Weyerhaeuser Posts Numbers for Quarter
Weyerhaeuser Co. reported net earnings for the fourth quarter of $126 million. This compares with a loss of $15 million for the same period last year.
For the full year, Weyerhaeuser reported net earnings of $241 million on net sales of $18.5 billion. This compares with net earnings of $354 million on net sales of $14.5 billion for 2001.
"We're delighted with how well our employees worked to bring two great companies together to create a strong foundation for the future," said Steven Rogel, chairman, president and chief executive officer. "During the fourth quarter, our Pulp and Paper, and Containerboard, Packaging and Recycling businesses produced improved operating results in difficult markets. Strong residential construction continues to drive excellent performance in our Real Estate business and demand for timber. Wood Products, however, continues to be a problem due to oversupplied markets and the uncertainty created by the Canadian softwood lumber issue.
The company noted that the increased earnings for containerboard between the third and fourth quarters were primarily due to lower costs for recycled fiber used in the production of containerboard, higher box prices and a decrease in year-to-date depreciation of $14 million resulting from an adjustment to the preliminary purchase price allocation for the Willamette acquisition.
Partially offsetting these increases were seasonally lower box shipments, 35,000 tons of market-related downtime and $14 million in pretax charges associated with previously announced plant closures.
As part of the company's focus on rationalizing its containerboard production, Weyerhaeuser previously announced the closure of the Sturgeon Falls, Ontario, containerboard mill during the fourth quarter which will eliminate approximately 100,000 tons of production.
First quarter operating earnings are expected to be lower than fourth quarter earnings due to higher anticipated levels of maintenance and market-related downtime, currently planned to be approximately 140,000 tons. Market conditions are expected to remain relatively stable.
Boise Swings to Profit for Quarter
Boise Cascade Corp. reported fourth quarter net income of $6.2 million, compared with a net loss of $41.7 million in fourth quarter 2001 and net income of $8.5 million in third quarter 2002.
For full year 2002, net income was $11.3 million, compared with a net loss of $42.5 million in 2001.
Sales in fourth quarter 2002 were $1.8 billion, about 3 percent greater than sales in fourth quarter 2001.
Sales for full year 2002 were $7.4 billion, about flat with sales in 2001.