Weyerhaeuser Company · NYSE:WY
Weyerhaeuser — Q1 2010 Earnings Presentation
16 slides from Weyerhaeuser's earnings presentation, Apr 29, 2010
Slide 1: Earnings Release 1st Quarter 2010
Earnings Release 1st Quarter — 2010 Weyerhaeuser Company April 29, 2010 3065 2010 Q1.ppt • 04/28/2010• 1
Slide 2: Forward-looking Statement
Forward-looking Statement This news release contains statements concerning the company’s future results and performance that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on various assumptions and may not be acc
Slide 3: Statements Relating to Non-GAAP Financial Measures
Statements Relating to Non-GAAP Financial Measures During the course of this presentation, certain non-U.S. GAAP financial information will be presented. A reconciliation of those numbers to U.S. GAAP financial measures is included in this presentation which is available on the company’s website a
Slide 4: 2010 Q1 Consolidated Results
Chart 1 2010 Q1 Consolidated Results 2010 Q1 $ Millions except EPS 2009 2010 Contribution to Pre-Tax Earnings before Special Q4 Q1 Revenues ($ Millions) $1,419 Items Timberlands $28 $81 Net Earnings before Special Items ($ Millions) 1. ($15) Wood Products (123) (63) Cellulose Fibers 34 19 Earnings P
Slide 5: Diluted EPS Before Special Items
Chart 2 Diluted EPS Before Special Items A reconciliation to GAAP EPS is available on Chart 12 and at www.weyerhaeuser.com 2009 2010 3065 2010 Q1.ppt • 04/28/2010• 5
Slide 6: Reconciliation to GAAP
Chart 3 Reconciliation to GAAP $ Millions except EPS EPS Net Earnings 2009 2010 2009 2010 Q4 Q1 Q4 Q1 EPS / Net Earnings before Special Items ($0.52) ($0.07) ($109) ($15) Income Tax Adjustments (0.15) (31) Wood Products Asset Sales 0.12 26 Alternative Fuel Mixture Credits 0.36 77 Real Estate Asset I
Slide 7: Changes in Contribution to Earnings by Segment
Chart 4 Changes in Contribution to Earnings by Segment Earnings Before Special Items, Interest and Taxes ($ millions)1. 23 80 60 20 (15) 53 (61) 1. A reconciliation before Special Items to GAAP can be found on Chart 3 and at www.weyerhaeuser.com 3065 2010 Q1.ppt • 04/28/2010• 7
Slide 8: Timberlands Segment
Chart 5 Timberlands Segment 1st Quarter Notes Timberlands ($ Millions) 2009 Q4 2010 Q1 Improved log price realizations and higher fee volumes Third Party Revenues1. $149 $192 Lower unit logging, trucking and road costs Inter-Segment Revenues1. $79 $104 1st quarter includes gains of $31 million
Slide 9: Wood Products Segment
Chart 6 Wood Products Segment 1st Quarter Notes Wood Products ($ Millions) 2009 Q4 2010 Q1 Higher sales realizations for lumber and OSB Revenues $510 $604 Improved operating rates Higher log costs Contribution to Pre-Tax Earnings ($208) ($19) 1st quarter includes gains on asset sales of $44
Slide 10: Average 3rd-Party Realizations — OSB and Lumber / Engineered Lumber
Average 3rd-Party Realizations — Chart 7 OSB and Lumber / Engineered Lumber OSB and Lumber Engineered Lumber $/Thousand $/Unit 2400 2200 Solid Section ($/CCF) 2000 1817 Lumber ($/MBF) 1771 1750 1754 1800 1715 1600 OSB ($/M 3/8”) 1400 TJI’s ($/MLF) 1281 1200 1169 1116 1112 1087 1000 Q1 Q2 Q3 Q4 Q1 20
Slide 11: Cellulose Fibers Segment
Chart 8 Cellulose Fibers Segment 1st Quarter Notes Cellulose Fibers ($ Millions) 2009 Q4 2010 Q1 Increased annual maintenance costs Revenues $408 $410 Higher average price realizations Higher fiber and freight costs Contribution to Pre-Tax Earnings $147 $19 Lower shipment volumes 4th quart
Slide 12: Real Estate Segment
Chart 9 Real Estate Segment 1st Quarter Notes Real Estate ($ Millions) 2009 Q4 2010 Q1 Includes gains of $33 million on sale of partnerships and $3 million on land and lot sales Revenues $337 $151 Decrease in average home closing price due to mix Contribution to Pre-Tax Earnings ($89) $31 Sell
Slide 13: 2010 Q2 Outlook
Chart 10 2010 Q2 Outlook Segment Comments Weyerhaeuser expects increased log prices, offset by a lower grade mix. The company anticipates higher silviculture and road costs. Timberlands The company expects lower earnings from fee timber harvest. Excluding the disposition of non-strategic tim
Slide 14: Appendix
Appendix 3065 2010 Q1.ppt • 04/28/2010• 14
Slide 15: Earnings Summary
Chart 11 Earnings Summary $ Millions except EPS 2009 2010 Contribution to Earnings before Special Items Q1 Q2 Q3 Q4 Q1 Timberlands $40 $71 $58 $28 $81 Wood Products (176) (147) (92) (123) (63) Cellulose Fibers 32 (7) 44 34 19 Real Estate (24) 2 (9) 11 31 Corporate and Other (14) 20 14 (11) 12 Total
Slide 16: Earnings per Share Reconciliation
Chart 12 Earnings per Share Reconciliation 2009 2010 Q1 Q2 Q3 Q4 Q1 Diluted EPS before Special Items ($0.68) ($0.59) ($0.26) ($0.52) ($0.07) Tax Law Changes / Other One-time Tax Adjustments (0.10) (0.15) Net Gain on Divestiture of Assets and Operations / 0.06 0.46 0.12 Restructuring of Uruguay Owner