Weyerhaeuser Reports Fourth Quarter, Full Year Results - Fourth quarter 2012 net earnings increased 22 percent compared with third quarter.

- Full year 2012 net sales rose 14 percent and net earnings before special items increased 78 percent.

- Total shareholder return for 2012 exceeded 50 percent.

FEDERAL WAY, Wash., Jan. 25, 2013 /PRNewswire/ -- Weyerhaeuser Company (NYSE: WY) today reported net earnings of $143 million, or 26 cents per diluted share, for the fourth quarter. This compares with net earnings of $65 million, or 12 cents per diluted share, and net earnings before special items of $77 million, or 14 cents per diluted share, for the same period last year. Net sales for the fourth quarter of 2012 totaled $2.0 billion, compared with net sales of $1.6 billion for the fourth quarter of 2011.

(Logo: http://photos.prnewswire.com/prnh/20120111/AQ34535LOGO)

For the full year 2012, Weyerhaeuser reported net earnings of $385 million, or 71 cents per diluted share, on net sales of $7.1 billion. This compares with net earnings of $331 million, or 61 cents per diluted share, on net sales from continuing operations of $6.2 billion for the full year 2011.

"As I look forward to 2013, I am excited by the opportunity to build on the momentum of this past year," said Dan Fulton, president and chief executive officer. "In 2012, we began to realize the results of our work to position the company to capture the benefits of an improving housing market. As a result, our bottom line improved significantly, the Board increased the dividend, and our total shareholder return exceeded 50 percent, one of the best in our industry."

WEYERHAEUSER FINANCIAL HIGHLIGHTS

2012

2011

(millions, except per share data)

3Q

4Q

4Q

Net sales

$1,772

$2,000

$1,615

Net earnings

$117

$143

$65

Weighted average shares outstanding, diluted

542

547

538

Earnings per diluted share

$0.22

$0.26

$0.12

Net earnings before special items

$117

$143

$77

Earnings per diluted share before special items

$0.22

$0.26

$0.14

Net cash from operations

$122

$252

$147

Net change in cash and cash equivalents(1)

($253)

$290

($18)

Cash and cash equivalents at end of period(1)

$608

$898

$953

(1) Net change in cash and cash equivalents for the third quarter of 2012 includes $181 million for debt repayment and a $97 million payment on a note related to a timber monetization undertaken in 2002. Fourth quarter of 2012 includes $110 million received upon maturity of financial investments related to that timber monetization.

TIMBERLANDS

FINANCIAL HIGHLIGHTS (millions)

3Q 2012

4Q 2012

Change

Net sales

$267

$298

$31

Contribution to pre-tax earnings

$80

$95

$15

4Q 2012 Performance - Earnings increased compared with the third quarter due to improved selling prices and stronger market demand for export and domestic logs. Fee harvest volumes increased in both the West and the South. Earnings from disposition of non-strategic timberlands decreased $5 million.

1Q 2013 Outlook - Excluding dispositions of non-strategic timberlands, Weyerhaeuser expects earnings from the segment to be comparable to the fourth quarter. The company anticipates improved selling prices for Western domestic and export logs, offset by a seasonal decline in Southern fee harvest volumes. Earnings from dispositions of non-strategic timberlands are expected to decrease.

WOOD PRODUCTS

FINANCIAL HIGHLIGHTS (millions)

3Q 2012

4Q 2012

Change

Net sales

$816

$832

$16

Contribution to pre-tax earnings

$59

$38

($21)

4Q 2012 Performance - Stronger than expected market conditions for oriented strand board and lumber resulted in higher average selling prices and sales volumes for those products. However, all product lines experienced higher raw material costs. Engineered wood products operating rates decreased due to maintenance and seasonally weaker market conditions.

1Q 2013 Outlook - Weyerhaeuser anticipates significantly higher earnings from the Wood Products segment in the first quarter. The company expects increased average sales realizations for lumber and oriented strand board and seasonally higher sales volumes across all product lines. Unit manufacturing costs are expected to decline due to improved operating rates, partially offset by higher raw material costs.

CELLULOSE FIBERS

FINANCIAL HIGHLIGHTS (millions)

3Q 2012

4Q 2012

Change

Net sales

$459

$463

$4

Contribution to pre-tax earnings

$78

$61

($17)

4Q 2012 Performance - Average sales realizations for pulp declined, and chemical and energy costs increased. Sales realizations and volumes for liquid packaging board decreased due to operational issues that are now resolved. These factors were partially offset by lower maintenance costs and improved pulp mill productivity due to fewer days of scheduled annual maintenance outages.

1Q 2013 Outlook - Weyerhaeuser expects lower earnings from the Cellulose Fibers segment in the first quarter. The company anticipates increased maintenance expenses, partially offset by slightly higher average selling prices for pulp.

REAL ESTATE

FINANCIAL HIGHLIGHTS (millions)

3Q 2012

4Q 2012

Change

Net sales

$230

$407

$177

Contribution to pre-tax earnings

$17

$81

$64

4Q 2012 Performance - Fourth quarter included earnings of $16 million from single-family homebuilding and $65 million from land sales, compared with $17 million from single-family homebuilding in the third quarter. Home closings increased seasonally to 842 single-family homes. Average margins on homes closed declined to 20 percent due to mix, and selling costs increased due to the additional closing volume.

At the end of the fourth quarter the backlog of homes sold, but not closed, totaled 774 units, compared with 429 units one year ago.

1Q 2013 Outlook - Weyerhaeuser anticipates a slight profit from single-family homebuilding in the first quarter. Home closings should decline seasonally to approximately 500 homes, with margins comparable to fourth quarter. Selling expenses are expected to decrease due to lower closing volumes.

ABOUT WEYERHAEUSER

Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900. We own or control more than 6 million acres of timberlands, primarily in the U.S., and manage another 14 million acres under long-term licenses in Canada. We manage these timberlands on a sustainable basis in compliance with internationally recognized forestry standards. We are also one of the largest manufacturers of wood and cellulose fibers products, and we develop real estate, primarily as a builder of single-family homes. Our company is a real estate investment trust. In 2012, we generated $7.1 billion in sales and employed approximately 13,200 people who serve customers worldwide. We are listed on the Dow Jones World Sustainability Index. Our stock trades on the New York Stock exchange under the symbol WY. More information about us is available at www.weyerhaeuser.com.

EARNINGS CALL INFORMATION

Weyerhaeuser will hold a live conference call at 7 a.m. Pacific (10 a.m. Eastern) on Jan. 25 to discuss fourth quarter results.

To access the conference call from within North America, dial 877-296-9413 (access code – 86484844) at least 15 minutes prior to the call. Those calling from outside North America should dial 706-679-2458 (access code – 86484844). Replays will be available for one week at 855-859-2056 (access code – 86484844) from within North America and at 404-537-3406 (access code – 86484844) from outside North America.

The call is being webcast through Weyerhaeuser's Internet site at http://investor.weyerhaeuser.com and is accessible by selecting the "Q4 2012 Weyerhaeuser Co. Earnings Conference Call" link.

The webcast is available through the Thomson StreetEvents Network to both institutional and individual investors. Individual investors can listen to the call at www.fulldisclosure.com, Thomson's individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson's password-protected site, StreetEvents (www.streetevents.com).

FORWARD LOOKING STATEMENTS

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 accurate because of risks and uncertainties surrounding these assumptions. Factors listed below, as well as other factors, may cause actual results to differ significantly from these forward-looking statements. There is no guarantee that any of the events anticipated by these forward-looking statements will occur. If any of the events occur, there is no guarantee what effect they will have on company operations or financial condition. The company will not update these forward-looking statements after the date of this news release.

Some forward-looking statements discuss the company's plans, strategies and intentions. They use words such as "expects," "may," "will," "believes," "should," "approximately," "anticipates," "estimates," and "plans."  In addition, these words may use the positive or negative or other variations of those terms.

This release contains forward-looking statements regarding the company's expectations during the first quarter of 2013, including improved selling prices for Western domestic and export logs, a seasonal decline in Southern fee harvest volumes, decreased earnings from dispositions of non-strategic timberlands, and comparable earnings from the Timberlands segment excluding disposition of non-strategic timberlands; increased average sales realizations for lumber and oriented strand board, seasonally higher sales volumes across all product lines, improved operating rates, higher raw material costs, and significantly higher earnings from the Wood Products segment; increased maintenance expenses, slightly higher average selling prices for pulp, and lower earnings from the Cellulose Fibers segment; and seasonally lower home closings, comparable margins, decreased selling expenses due to lower closing volumes, and a slight profit from single-family homebuilding in the Real Estate segment.

Major risks, uncertainties and assumptions that affect the company's businesses and may cause actual results to differ from these forward-looking statements, include, but are not limited to:

  • the effect of general economic conditions, including employment rates, housing starts, interest rate levels, availability of financing for home mortgages, and strength of the U.S. dollar;
  • market demand for the company's products, which is related to the strength of the various U.S. business segments and U.S. and international economic conditions;
  • performance of the company's manufacturing operations, including maintenance requirements;
  • the level of competition from domestic and foreign producers;
  • raw material prices;
  • the effect of weather;
  • the risk of loss from fires, floods, windstorms, hurricanes, pest infestation and other natural disasters;
  • energy prices;
  • the successful execution of internal performance plans, including restructurings and cost reduction initiatives;
  • transportation costs;
  • federal tax policies;
  • the effect of forestry, land use, environmental and other governmental regulations;
  • legal proceedings;
  • performance of pension fund investments and related derivatives;
  • the effect of timing of retirements and changes in the market price of company stock on charges for stock-based compensation;
  • changes in accounting principles; and
  • other factors described under "Risk Factors" in the Company's annual report on Form 10-K and quarterly reports on Form 10-Q.

The company also is a large exporter and is affected by changes in economic activity in Europe and Asia, particularly Japan and China. It is affected by changes in currency exchange rates, particularly the relative value of the U.S. dollar to the euro and the Canadian dollar, and the relative value of the euro and the yen. Restrictions on international trade or tariffs imposed on imports also may affect the company.

Weyerhaeuser Company








Exhibit 99.2

Q4.2012 Analyst Package









Preliminary results, subject to audit











Consolidated Statement of Operations















in millions

Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Net sales and revenues

$ 1,494


$ 1,793


$ 1,772


$ 2,000


$ 1,615


$ 7,059


$ 6,216

Cost of products sold

1,290


1,516


1,424


1,580


1,317


5,810


5,120

Gross margin

204


277


348


420


298


1,249


1,096

Selling expenses

42


47


49


56


45


194


178

General and administrative expenses

108


95


107


126


104


436


423

Research and development expenses

7


8


8


9


9


32


30

Charges for restructuring, closures and impairments

12


4


10


6


31


32


83

Other operating income, net

(66)


(53)


(28)


(33)


(22)


(180)


(212)

Operating income

101


176


202


256


131


735


594

Interest income and other

12


11


15


14


12


52


47

Interest expense, net of capitalized interest

(87)


(86)


(87)


(88)


(88)


(348)


(384)

Earnings from continuing operations before income taxes

26


101


130


182


55


439


257

Income taxes

15


(17)


(13)


(40)


10


(55)


62

Earnings from continuing operations

41


84


117


142


65


384


319

Earnings from discontinued operations, net of income taxes







12

Net earnings

41


84


117


142


65


384


331

Add: net loss attributable to noncontrolling interests




1



1


Net earnings attributable to Weyerhaeuser common shareholders

$       41


$       84


$     117


$     143


$       65


$     385


$     331


Per Share Information


in millions

Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Earnings per share attributable to Weyerhaeuser common shareholders, basic:














Continuing operations

$     0.08


$     0.16


$     0.22


$     0.26


$     0.12


$     0.71


$     0.60

Discontinued operations







0.02

Net earnings per share

$     0.08


$     0.16


$     0.22


$     0.26


$     0.12


$     0.71


$     0.62

Earnings per share attributable to Weyerhaeuser common shareholders, diluted:














Continuing operations

$     0.08


$     0.16


$     0.22


$     0.26


$     0.12


$     0.71


$     0.59

Discontinued operations







0.02

Net earnings per share

$     0.08


$     0.16


$     0.22


$     0.26


$     0.12


$     0.71


$     0.61

Dividends paid per share

$     0.15


$     0.15


$     0.15


$     0.17


$     0.15


$     0.62


$     0.60

Weighted average shares outstanding (in thousands):














Basic

537,368


537,966


539,094


542,101


536,432


539,140


537,534

Diluted

539,728


540,033


542,311


547,137


538,119


542,310


539,879

Common shares outstanding at end of period (in thousands)

537,409


537,526


540,672


542,393


536,425


542,393


536,425















Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items*















in millions

Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Operating income

$     101


$     176


$     202


$     256


$     131


$     735


$     594

Depreciation, depletion and amortization

113


113


112


118


117


456


476

Non-operating pension and postretirement costs

7


7


7


8


5


29


26

Special items

(38)


(57)




19


(95)


(100)

Capitalized interest included in cost of products sold

3


19


6


9


12


37


29

Adjusted EBITDA, excluding special items*

$     186


$     258


$     327


$     391


$     284


$ 1,162


$ 1,025

* Non-GAAP measure



























Weyerhaeuser Company








Q4.2012 Analyst Package










Preliminary results, subject to audit










Consolidated Balance Sheet











in millions

Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011











ASSETS










Forest Products:










Current assets:










Cash and cash equivalents

$        726


$        857


$        602


$        893


$        950

Receivables, less allowances

479


488


504


468


468

Receivables for taxes

24


6


97


95


22

Inventories

517


487


512


531


476

Prepaid expenses

80


86


83


83


68

Deferred tax assets

113


100


117


65


81

Total current assets

1,939


2,024


1,915


2,135


2,065

Property and equipment, net

2,829


2,770


2,759


2,859


2,901

Construction in progress

192


208


220


50


145

Timber and timberlands at cost, less depletion charged to disposals

3,970


3,963


3,967


3,961


3,978

Investments in and advances to equity affiliates

189


187


188


192


192

Goodwill

40


40


40


40


40

Deferred tax assets

50


48


56


189


36

Other assets

442


435


352


358


444

Assets held by variable interest entities

914


916


914


805


916


10,565


10,591


10,411


10,589


10,717

Real Estate:










Cash and cash equivalents

2


4


6


5


3

Receivables, less allowances

30


38


36


72


41

Real estate in process of development and for sale

606


581


602


658


555

Land being processed for development

943


959


982


904


936

Investments in and advances to equity affiliates

19


20


20


21


21

Deferred tax assets

246


238


233


202


240

Other assets

113


89


98


94


113

Assets held by variable interest entities


3


6


47


8


1,959


1,932


1,983


2,003


1,917

Total assets

$ 12,524


$ 12,523


$ 12,394


$ 12,592


$ 12,634











LIABILITIES AND EQUITY










Forest Products:










Current liabilities:










Current maturities of long-term debt

$        167


$        184


$        340


$        340


$          12

Accounts payable

343


360


356


329


336

Accrued liabilities

536


576


558


561


593

Total current liabilities

1,046


1,120


1,254


1,230


941

Long-term debt

4,026


4,005


3,842


3,842


4,181

Deferred income taxes

158


140


124



129

Deferred pension and other postretirement benefits

1,470


1,429


1,378


1,936


1,467

Other liabilities

407


400


477


493


408

Liabilities (nonrecourse to the company) held by variable interest entities

775


778


680


681


776


7,882


7,872


7,755


8,182


7,902

Real Estate:










Long-term debt

283


283


109


109


285

Other liabilities

154


171


177


187


172

Liabilities (nonrecourse to the company) held by variable interest entities




1


8


437


454


286


297


465

Total liabilities

8,319


8,326


8,041


8,479


8,367

Equity:










Total Weyerhaeuser shareholders' interest

4,197


4,186


4,340


4,070


4,263

Noncontrolling interests

8


11


13


43


4

Total equity

4,205


4,197


4,353


4,113


4,267

Total liabilities and equity

$ 12,524


$ 12,523


$ 12,394


$ 12,592


$ 12,634

























Weyerhaeuser Company









Q4.2012 Analyst Package











Preliminary results, subject to audit











Consolidated Statement of Cash Flows















in millions

Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Cash flows from operations:














Net earnings

$     41


$     84


$   117


$   142


$     65


$   384


$   331

Noncash charges (credits) to income:














Depreciation, depletion and amortization

113


113


112


118


117


456


480

Deferred income taxes, net

(6)


13


15


40


51


62


(26)

Pension and other postretirement benefits

(28)


(30)


19


20


21


(19)


81

Share-based compensation expense

10


8


10


9


6


37


25

Charges for impairment of assets

8


4


7


5


19


24


56

Net gains on dispositions of assets

(7)


(10)


(22)


(30)


(9)


(69)


(236)

Foreign exchange transaction (gains) losses

(7)


9


(10)


2


(5)


(6)


6

Change in:














Receivables less allowances

(5)


(18)


(10)



(19)


(33)


(53)

Receivable for taxes

(2)


18


(1)


2


(18)


17


(37)

Inventories

(40)


28


(22)


(20)


(6)


(54)


(46)

Real estate and land

(55)


7


(47)


20


37


(75)


(12)

Prepaid expenses

(8)


(12)


2


2


17


(16)


3

Accounts payable and accrued liabilities

(56)


65


1


(5)


(59)


5


(133)

Deposits on land positions and other assets


22


(11)


(7)


5


4


(4)

Pension and postretirement contributions

(35)


(33)


(41)


(36)


(79)


(145)


(143)

Other

17


(1)


3


(10)


4


9


(1)

Net cash from operations

(60)


267


122


252


147


581


291















Cash flows from investing activities:














Property and equipment

(54)


(68)


(75)


(59)


(76)


(256)


(212)

Timberlands reforestation

(10)


(7)


(5)


(7)


(6)


(29)


(29)

Proceeds from sale of assets

6


18


12


44


9


80


362

Proceeds of investments (payments of liabilities) held by special purpose entities



(97)


110



13


Other

1


(1)


(1)


1


7



1

Cash from investing activities

(57)


(58)


(166)


89


(66)


(192)


122















Cash flows from financing activities:














Cash dividends

(81)


(80)


(81)


(92)


(81)


(334)


(323)

Change in book overdrafts

(29)


9


(12)



28


(32)


2

Payments on debt

(2)


(4)


(181)



(33)


(187)


(583)

Exercises of stock options

5


2


66


39


1


112


38

Repurchase of common stock





(13)



(37)

Other

(1)


(3)


(1)


2


(1)


(3)


(24)

Cash from financing activities

(108)


(76)


(209)


(51)


(99)


(444)


(927)















Net change in cash and cash equivalents

(225)


133


(253)


290


(18)


(55)


(514)

Cash and cash equivalents at beginning of period

953


728


861


608


971


953


1,467

Cash and cash equivalents at end of period

$   728


$   861


$   608


$   898


$   953


$   898


$   953

Cash paid (received) during the year for:














Interest, net of amount capitalized

$   116


$     57


$   117


$     51


$     58


$   341


$   420

Income taxes

$    (10)


$     (5)


$       1


$       1


$       7


$   (13)


$     28





















Weyerhaeuser Company






Total Company Statistics

Q4.2012 Analyst Package









Preliminary results, subject to audit











Special Items Included in Net Earnings















in millions

Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Net earnings

$    41


$    84


$  117


$  143


$    65


$  385


$  331

Income tax adjustments







(83)

Gain on sale of 82,000 acres of non-strategic timberlands







(96)

Loss on early extinguishment of debt







16

Restructuring, impairments and other charges

10





12


10


36

Gain on postretirement plan amendment

(34)


(33)





(67)


Gain on sale of properties


(4)





(4)


(9)

Tax settlements

(8)






(8)


Charges related to the sale of hardwoods







14

Gain on sale of Westwood Shipping Lines







(31)

Net earnings before special items

$       9


$    47


$  117


$  143


$    77


$  316


$  178







Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Net earnings per diluted share

$ 0.08


$ 0.16


$ 0.22


$ 0.26


$ 0.12


$ 0.71


$ 0.61

Income tax adjustments







(0.15)

Gain on sale of 82,000 acres of non-strategic timberlands







(0.18)

Loss on early extinguishment of debt







0.03

Restructuring, impairments and other charges

0.02





0.02


0.02


0.07

Gain on postretirement plan amendment

(0.06)


(0.06)





(0.12)


Gain on sale of properties


(0.01)





(0.01)


(0.02)

Tax settlements

(0.02)






(0.02)


Charges related to the sale of hardwoods







0.03

Gain on sale of Westwood Shipping Lines







(0.06)

Net earnings before special items per diluted share

$ 0.02


$ 0.09


$ 0.22


$ 0.26


$ 0.14


$ 0.58


$ 0.33


Selected Total Company Items, Excluding Discontinued Operations


in millions

Q1


Q2


Q3


Q4


Year-to-date


Mar 31,

2012


Jun 30,

2012


Sep 30,

2012


Dec 31,

2012


Dec 31,

2011


Dec 31,

2012


Dec 31,

2011















Depreciation, depletion and amortization:














Cost of products sold

$   102


$   103


$   102


$   109


$   104


$   416


$   422

Selling, general and administrative expenses

11


10


10


9


13


40


54

Total depreciation, depletion and amortization

$   113


$   113


$   112


$   118


$   117


$   456


$   476














Pension and postretirement costs:














Pension and postretirement costs allocated to business segments

$     13


$     14


$     12


$     12


$     12


$     51


$     46

Pension and postretirement costs not allocated

7


7


7


8


5


29


26

Total company pension and postretirement costs

$     20


$     21


$     19


$     20


$     17


$     80


$     72















Total decrease (increase) in Forest Products working capital (1)

$  (148)


$   103


$    (29)


$    (85)


$    (41)


$  (159)


$  (211)

Cash spent for capital expenditures

$    (64)


$    (75)


$    (80)


$    (66)


$    (82)


$  (285)


$  (238)

(1)Working capital does not include cash balances.


























Weyerhaeuser Company




Timberlands Segment

Q4.2012 Analyst Package











Preliminary results, subject to audit


























Segment Statement of Operations
















in millions


Q1.2012


Q2.2012


Q3.2012


Q4.2012


Q4.2011


YTD.2012


YTD.2011

Sales to and revenues from unaffiliated customers

$     250


$     262


$     267


$     298


$     274


$   1,077


$   1,044

Intersegment sales

190


146


162


185


167


683


646

Total net sales and revenues

440


408


429


483


441


1,760


1,690

Cost of products sold

353


313


336


374


358


1,376


1,290

Gross margin

87


95


93


109


83


384


400

Selling expenses

2


2


3


2


3


9


10

General and administrative expenses

23


21


21


20


18


85


81

Research and development expenses

4


5


4


6


6


19


18

Restructuring, closures and impairments




2



2


Other operating income, net

(11)


(10)


(14)


(14)


(14)


(49)


(196)

Operating income

69


77


79


93


70


318


487

Interest income and other

1



1


1


1


3


4

Loss attributable to noncontrolling interest




1



1


Net contribution to earnings

$      70


$      77


$      80


$      95


$      71


$     322


$     491
















Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization, Excluding Special Items*
















in millions


Q1.2012


Q2.2012


Q3.2012


Q4.2012


Q4.2011


YTD.2012


YTD.2011

Operating income

$      69


$      77


$      79


$      93


$      70


$     318


$     487

Depreciation, depletion and amortization

35


34


35


38


35


142


137

Special items







(152)

Adjusted EBITDA, excluding special items*

$   104


$   111


$   114


$   131


$   105


$     460


$     472

* Non-GAAP measure





























Segment Special Items Included in Net Contribution to Earnings (Pre-Tax)


















Q1.2012


Q2.2012


Q3.2012


Q4.2012


Q4.2011


YTD.2012


YTD.2011

Gain on sale of 82,000 acres of non-strategic timberlands

$      —


$      —


$      —


$      —


$      —


$        —


$      152
















Selected Segment Items


















Q1.2012


Q2.2012


Q3.2012


Q4.2012


Q4.2011


YTD.2012


YTD.2011

Total decrease (increase) in working capital (1)

$       (9)


$         6


$       19


$     (37)


$       (6)


$      (21)


$      (26)

Cash spent for capital expenditures

$     (12)


$     (15)


$     (17)


$     (16)


$     (13)


$      (60)


$      (53)

(1)Working capital does not include cash balances.


























Segment Statistics


















Q1.2012


Q2.2012


Q3.2012


Q4.2012


Q4.2011


YTD.2012


YTD.2011

Third Party 

Net Sales

and Revenue

(millions)

Logs:














West

$     130


$     146


$     132


$     151


$     139


$      559


$      545

South

50


56


60


67


53


233


196

Canada

7


2


5


5


5


19


17

Total Logs

187


204


197


223


197


811


758

Pay as cut timber sales

11


9


8


9


9


37


34

Timberlands exchanges

8


7


24


20


15


59


77

Higher and better use land sales

4


5


4


9


14


22


25

Minerals, oil and gas

7


7


8


9


10


31


53

Products from international operations

25


29


26


26


27


106


86

Other products

8


1



2


2


11


11

Total

$     250


$     262


$     267


$     298


$     274


$   1,077


$   1,044

 

Logs

Third Party Sales

Realizations

(per cubic meter)

West

$  99.10


$  94.47


$  89.28


$  96.46


$  99.71


$   94.72


$ 103.57

South

$  40.48


$  41.15


$  42.04


$  43.30


$  39.82


$   41.83


$   40.10

Canada

$  36.35


$  34.66


$  35.23


$  38.70


$  34.04


$   36.51


$   34.65

International

$  22.97


$  23.53


$  23.76


$  24.30


$  17.03


$   23.66


$   28.11

 

Logs

Third Party Sales

Volumes

(cubic meters,

thousands)

West

1,308


1,551


1,480.


1,559


1,396


5,898


5,267

South

1,228


1,354


1,430.


1,563


1,327


5,575


4,879

Canada

205


54


133.


139


146


531


479

International

78


82


99.


84


75


343


314

Total

2,819


3,041


3,142


3,345


2,944


12,347


10,939

 

Logs

Fee Harvest Volumes

(cubic meters,

thousands)

West

1,679


1,831


1,784.


1,876


1,633


7,170


6,595

South

2,714


2,788


2,809.


3,177


2,668


11,488


9,738

International

172


161


198.


232


265


763


854

Total

4,565


4,780


4,791


5,285


4,566


19,421


17,187

<
















Weyerhaeuser Company




Wood Products Segment

Q4.2012 Analyst Package











Preliminary results, subject to audit


























Segment Statement of Operations  
















in millions


Q1.2012


Q2.2012


Q3.2012


Q4.2012


Q4.2011


YTD.2012


YTD.2011

Sales to and revenues from unaffiliated customers

$     634


$     776


$     816


$     832


$     542


$    3,058


$    2,276

Intersegment sales

20


20


18


16


19


74


80

Total net sales and revenues

654


796


834


848


561


3,132


2,356

Cost of products sold

611


708


713


748


573


2,780


2,359

Gross margin

43


88


121


100


(12)


352


(3)

Selling expenses

21


21


23


24


19


89


79