EX-99.2 3 wy-ex99_2.htm EX-99.2 EX-99.2

 

 

Weyerhaeuser Company

Exhibit 99.2

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

 

Consolidated Statement of Operations

 

 

 

Q4

 

 

Q1

 

in millions

 

Dec 31,
 2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Net sales

 

$

1,774

 

 

$

1,796

 

 

$

1,881

 

Costs of sales

 

 

1,432

 

 

 

1,441

 

 

 

1,512

 

Gross margin

 

 

342

 

 

 

355

 

 

 

369

 

Selling expenses

 

 

21

 

 

 

22

 

 

 

22

 

General and administrative expenses

 

 

115

 

 

 

120

 

 

 

101

 

Gain on sale of timberlands

 

 

(84

)

 

 

—

 

 

 

—

 

Other operating costs, net

 

 

12

 

 

 

17

 

 

 

10

 

Operating income

 

 

278

 

 

 

196

 

 

 

236

 

Non-operating pension and other post-employment benefit costs

 

 

(12

)

 

 

(11

)

 

 

(9

)

Interest income and other

 

 

22

 

 

 

16

 

 

 

12

 

Interest expense, net of capitalized interest

 

 

(72

)

 

 

(67

)

 

 

(66

)

Earnings before income taxes

 

 

216

 

 

 

134

 

 

 

173

 

Income taxes

 

 

3

 

 

 

(20

)

 

 

(22

)

Net earnings

 

$

219

 

 

$

114

 

 

$

151

 

 

 

Per Share Information

 

 

 

Q4

 

 

Q1

 

 

 

Dec 31,
 2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Earnings per share, basic and diluted

 

$

0.30

 

 

$

0.16

 

 

$

0.21

 

Dividends paid per common share

 

$

0.19

 

 

$

0.34

 

 

$

1.09

 

Weighted average shares outstanding (in thousands):

 

 

 

 

 

 

 

 

 

Basic

 

 

730,422

 

 

 

730,043

 

 

 

733,163

 

Diluted

 

 

731,277

 

 

 

730,558

 

 

 

733,546

 

Common shares outstanding at end of period (in thousands)

 

 

729,753

 

 

 

729,141

 

 

 

732,507

 

 

 

Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization (Adjusted EBITDA)

 

 

 

Q4

 

 

Q1

 

in millions

 

Dec 31,
 2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Net earnings

 

$

219

 

 

$

114

 

 

$

151

 

Non-operating pension and other post-employment benefit costs

 

 

12

 

 

 

11

 

 

 

9

 

Interest income and other

 

 

(22

)

 

 

(16

)

 

 

(12

)

Interest expense, net of capitalized interest

 

 

72

 

 

 

67

 

 

 

66

 

Income taxes

 

 

(3

)

 

 

20

 

 

 

22

 

Operating income

 

 

278

 

 

 

196

 

 

 

236

 

Depreciation, depletion and amortization

 

 

126

 

 

 

125

 

 

 

126

 

Basis of real estate sold

 

 

13

 

 

 

31

 

 

 

33

 

Special items included in operating income

 

 

(96

)

 

 

—

 

 

 

—

 

Adjusted EBITDA(1)

 

$

321

 

 

$

352

 

 

$

395

 

 

(1) Adjusted EBITDA is a non-GAAP measure that management uses to evaluate the performance of the company. Adjusted EBITDA, as we define it, is operating income adjusted for depreciation, depletion, amortization, basis of real estate sold and special items. Our definition of Adjusted EBITDA may be different from similarly titled measures reported by other companies. Adjusted EBITDA should not be considered in isolation from, and is not intended to represent an alternative to, our GAAP results.

 

Page 1 of 8

 

 

 

Weyerhaeuser Company

Total Company Statistics

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

Special Items Included in Net Earnings (Income Tax Affected)

 

 

 

Q4

 

 

Q1

 

in millions

 

Dec 31,
 2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Net earnings

 

$

219

 

 

$

114

 

 

$

151

 

Gain on sale of timberlands

 

 

(83

)

 

 

—

 

 

 

—

 

Insurance recovery

 

 

(10

)

 

 

—

 

 

 

—

 

Legal benefit

 

 

(25

)

 

 

—

 

 

 

—

 

Legal expense

 

 

20

 

 

 

—

 

 

 

—

 

Net earnings before special items(1)

 

$

121

 

 

$

114

 

 

$

151

 

 

 

 

 

Q4

 

 

Q1

 

 

 

Dec 31,
 2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Net earnings per diluted share

 

$

0.30

 

 

$

0.16

 

 

$

0.21

 

Gain on sale of timberlands

 

 

(0.12

)

 

 

—

 

 

 

—

 

Insurance recovery

 

 

(0.01

)

 

 

—

 

 

 

—

 

Legal benefit

 

 

(0.03

)

 

 

—

 

 

 

—

 

Legal expense

 

 

0.02

 

 

 

—

 

 

 

—

 

Net earnings per diluted share before special items(1)

 

$

0.16

 

 

$

0.16

 

 

$

0.21

 

 

(1) Net earnings before special items is a non-GAAP measure that management believes provides helpful context in understanding the company’s earnings performance. Net earnings before special items should not be considered in isolation from, and is not intended to represent an alternative to, our GAAP results.

 

Selected Total Company Items

 

 

 

Q4

 

 

Q1

 

in millions

 

Dec 31,
 2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Pension and post-employment costs:

 

 

 

 

 

 

 

 

 

Pension and post-employment service costs

 

$

6

 

 

$

5

 

 

$

6

 

Non-operating pension and other post-employment benefit costs

 

 

12

 

 

 

11

 

 

 

9

 

Total company pension and post-employment costs

 

$

18

 

 

$

16

 

 

$

15

 

 

Page 2 of 8

 

 

 

Weyerhaeuser Company

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

 

Condensed Consolidated Balance Sheet

 

in millions

 

December 31,
2023

 

 

March 31,
2024

 

 

March 31,
 2023

 

ASSETS

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

1,164

 

 

$

871

 

 

$

797

 

Receivables, net

 

 

354

 

 

 

405

 

 

 

440

 

Receivables for taxes

 

 

10

 

 

 

13

 

 

 

28

 

Inventories

 

 

566

 

 

 

630

 

 

 

586

 

Prepaid expenses and other current assets

 

 

219

 

 

 

192

 

 

 

202

 

Total current assets

 

 

2,313

 

 

 

2,111

 

 

 

2,053

 

Property and equipment, net

 

 

2,269

 

 

 

2,283

 

 

 

2,157

 

Construction in progress

 

 

270

 

 

 

243

 

 

 

222

 

Timber and timberlands at cost, less depletion

 

 

11,528

 

 

 

11,481

 

 

 

11,564

 

Minerals and mineral rights, less depletion

 

 

200

 

 

 

198

 

 

 

211

 

Deferred tax assets

 

 

15

 

 

 

14

 

 

 

8

 

Other assets

 

 

388

 

 

 

426

 

 

 

365

 

Total assets

 

$

16,983

 

 

$

16,756

 

 

$

16,580

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

Current maturities of long-term debt

 

$

—

 

 

$

210

 

 

$

981

 

Accounts payable

 

 

287

 

 

 

310

 

 

 

266

 

Accrued liabilities

 

 

501

 

 

 

424

 

 

 

403

 

Total current liabilities

 

 

788

 

 

 

944

 

 

 

1,650

 

Long-term debt, net

 

 

5,069

 

 

 

4,861

 

 

 

4,072

 

Deferred tax liabilities

 

 

81

 

 

 

84

 

 

 

101

 

Deferred pension and other post-employment benefits

 

 

461

 

 

 

460

 

 

 

346

 

Other liabilities

 

 

348

 

 

 

353

 

 

 

335

 

Total liabilities

 

 

6,747

 

 

 

6,702

 

 

 

6,504

 

Total equity

 

 

10,236

 

 

 

10,054

 

 

 

10,076

 

Total liabilities and equity

 

$

16,983

 

 

$

16,756

 

 

$

16,580

 

 

 

 

Page 3 of 8

 

 

 

Weyerhaeuser Company

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

 

Consolidated Statement of Cash Flows

 

 

 

Q4

 

 

Q1

 

in millions

 

December 31,
2023

 

 

March 31,
2024

 

 

March 31,
2023

 

Cash flows from operations:

 

 

 

 

 

 

 

 

 

Net earnings

 

$

219

 

 

$

114

 

 

$

151

 

Noncash charges (credits) to earnings:

 

 

 

 

 

 

 

 

 

Depreciation, depletion and amortization

 

 

126

 

 

 

125

 

 

 

126

 

Basis of real estate sold

 

 

13

 

 

 

31

 

 

 

33

 

Pension and other post-employment benefits

 

 

18

 

 

 

16

 

 

 

15

 

Share-based compensation expense

 

 

10

 

 

 

10

 

 

 

8

 

Net gain on sale of timberlands

 

 

(84

)

 

 

—

 

 

 

—

 

Other

 

 

(2

)

 

 

1

 

 

 

3

 

Change in:

 

 

 

 

 

 

 

 

 

Receivables, net

 

 

81

 

 

 

(53

)

 

 

(83

)

Receivables and payables for taxes

 

 

(10

)

 

 

(3

)

 

 

14

 

Inventories

 

 

(36

)

 

 

(68

)

 

 

(36

)

Prepaid expenses and other current assets

 

 

(8

)

 

 

17

 

 

 

(9

)

Accounts payable and accrued liabilities

 

 

(8

)

 

 

(51

)

 

 

(87

)

Pension and post-employment benefit contributions and payments

 

 

(4

)

 

 

(4

)

 

 

(6

)

Other

 

 

(27

)

 

 

(11

)

 

 

(3

)

Net cash from operations

 

$

288

 

 

$

124

 

 

$

126

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

Capital expenditures for property and equipment

 

$

(181

)

 

$

(57

)

 

$

(50

)

Capital expenditures for timberlands reforestation

 

 

(15

)

 

 

(22

)

 

 

(21

)

Acquisition of timberlands

 

 

(163

)

 

 

—

 

 

 

—

 

Proceeds from sale of timberlands

 

 

166

 

 

 

—

 

 

 

—

 

Maturities of short-term investments

 

 

664

 

 

 

—

 

 

 

—

 

Other

 

 

3

 

 

 

2

 

 

 

2

 

Net cash from investing activities

 

$

474

 

 

$

(77

)

 

$

(69

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

Cash dividends on common shares

 

$

(140

)

 

$

(248

)

 

$

(799

)

Net proceeds from issuance of long-term debt

 

 

249

 

 

 

—

 

 

 

—

 

Payments on long-term debt

 

 

(860

)

 

 

—

 

 

 

—

 

Repurchases of common shares

 

 

(22

)

 

 

(50

)

 

 

(34

)

Other

 

 

2

 

 

 

(10

)

 

 

(8

)

Net cash from financing activities

 

$

(771

)

 

$

(308

)

 

$

(841

)

 

 

 

 

 

 

 

 

 

Net change in cash, cash equivalents and restricted cash

 

$

(9

)

 

$

(261

)

 

$

(784

)

Cash, cash equivalents and restricted cash at beginning of period

 

 

1,173

 

 

 

1,164

 

 

 

1,581

 

Cash, cash equivalents and restricted cash at end of period

 

$

1,164

 

 

$

903

 

 

$

797

 

 

 

 

 

 

 

 

 

 

Cash paid during the period for:

 

 

 

 

 

 

 

 

 

Interest, net of amounts capitalized

 

$

93

 

 

$

57

 

 

$

57

 

Income taxes, net of refunds

 

$

23

 

 

$

23

 

 

$

6

 

 

 

Page 4 of 8

 

 

 

Weyerhaeuser Company

Timberlands Segment

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

 

Segment Statement of Operations

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Sales to unaffiliated customers

 

$

395

 

 

$

387

 

 

$

462

 

Intersegment sales

 

 

139

 

 

 

134

 

 

 

142

 

Total net sales

 

 

534

 

 

 

521

 

 

 

604

 

Costs of sales

 

 

429

 

 

 

415

 

 

 

461

 

Gross margin

 

 

105

 

 

 

106

 

 

 

143

 

General and administrative expenses

 

 

26

 

 

 

25

 

 

 

25

 

Gain on sale of timberlands

 

 

(84

)

 

 

—

 

 

 

—

 

Other operating (income) costs, net

 

 

(23

)

 

 

1

 

 

 

(2

)

Operating income and Net contribution to earnings

 

$

186

 

 

$

80

 

 

$

120

 

 

 

Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization(1)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Operating income

 

$

186

 

 

$

80

 

 

$

120

 

Depreciation, depletion and amortization

 

 

66

 

 

 

64

 

 

 

68

 

Special items

 

 

(109

)

 

 

—

 

 

 

—

 

Adjusted EBITDA(1)

 

$

143

 

 

$

144

 

 

$

188

 

 

(1) See definition of Adjusted EBITDA (a non-GAAP measure) on page 1.

 

Segment Special Items Included in Net Contribution to Earnings (Pretax)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Gain on sale of timberlands

 

$

(84

)

 

$

—

 

 

$

—

 

Legal benefit

 

$

(25

)

 

$

—

 

 

$

—

 

 

Selected Segment Items

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Total (increase) decrease in working capital(2)

 

$

(45

)

 

$

8

 

 

$

(24

)

Cash spent for capital expenditures(3)

 

$

(37

)

 

$

(31

)

 

$

(26

)

 

(2) Represents the change in prepaid assets, accounts receivable, accounts payable, accrued liabilities and log inventory for the Timberlands and Real Estate & ENR segments combined.

(3) Does not include cash spent for the acquisition of timberlands.

 

Segment Statistics(4)

 

 

 

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Third Party

 

Delivered logs:

 

 

 

 

 

 

 

 

Net Sales

 

West

$

183

 

 

$

176

 

 

$

229

 

(millions)

 

South

 

158

 

 

 

151

 

 

 

168

 

 

North

 

13

 

 

 

13

 

 

 

17

 

 

Total delivered logs

 

354

 

 

 

340

 

 

 

414

 

 

Stumpage and pay-as-cut timber

 

13

 

 

 

11

 

 

 

16

 

 

Recreational and other lease revenue

 

20

 

 

 

19

 

 

 

18

 

 

Other revenue

 

8

 

 

 

17

 

 

 

14

 

 

Total

$

395

 

 

$

387

 

 

$

462

 

Delivered Logs

 

West

$

126.58

 

 

$

121.06

 

 

$

137.10

 

Third Party Sales

 

South

$

37.15

 

 

$

36.93

 

 

$

38.23

 

Realizations (per ton)

 

North

$

69.92

 

 

$

73.58

 

 

$

81.71

 

Delivered Logs

 

West

 

1,445

 

 

 

1,452

 

 

 

1,674

 

Third Party Sales

 

South

 

4,266

 

 

 

4,089

 

 

 

4,386

 

Volumes (tons, thousands)

 

North

 

179

 

 

 

175

 

 

 

204

 

Fee Harvest Volumes

 

West

 

2,079

 

 

 

2,214

 

 

 

2,245

 

(tons, thousands)

 

South

 

6,169

 

 

 

5,990

 

 

 

6,432

 

 

 

North

 

259

 

 

 

239

 

 

 

285

 

 

(4) Western logs are primarily transacted in MBF but are converted to ton equivalents for external reporting purposes.

Page 5 of 8

 

 

 

Weyerhaeuser Company

Real Estate, Energy & Natural Resources Segment

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

 

Segment Statement of Operations

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Net sales

 

$

77

 

 

$

107

 

 

$

101

 

Costs of sales

 

 

21

 

 

 

41

 

 

 

41

 

Gross margin

 

 

56

 

 

 

66

 

 

 

60

 

General and administrative expenses

 

 

6

 

 

 

6

 

 

 

7

 

Operating income and Net contribution to earnings

 

$

50

 

 

$

60

 

 

$

53

 

 

 

Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization(1)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Operating income

 

$

50

 

 

$

60

 

 

$

53

 

Depreciation, depletion and amortization

 

 

4

 

 

 

3

 

 

 

3

 

Basis of real estate sold

 

 

13

 

 

 

31

 

 

 

33

 

Adjusted EBITDA(1)

 

$

67

 

 

$

94

 

 

$

89

 

 

(1) See definition of Adjusted EBITDA (a non-GAAP measure) on page 1.

 

 

Selected Segment Items

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Cash spent for capital expenditures

 

$

—

 

 

$

—

 

 

$

—

 

 

 

Segment Statistics

 

 

 

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Net Sales

Real Estate

 

$

39

 

 

$

83

 

 

$

72

 

(millions)

Energy and Natural Resources

 

 

38

 

 

 

24

 

 

 

29

 

 

Total

 

$

77

 

 

$

107

 

 

$

101

 

Acres Sold

Real Estate

 

 

7,187

 

 

 

19,774

 

 

 

20,753

 

Price per Acre

Real Estate

 

$

4,202

 

 

$

3,629

 

 

$

3,241

 

Basis as a Percent of
Real Estate Net Sales

Real Estate

 

 

33

%

 

 

37

%

 

 

46

%

 

 

 

Page 6 of 8

 

 

 

Weyerhaeuser Company

Wood Products Segment

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

 

Segment Statement of Operations

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Net sales

 

$

1,302

 

 

$

1,302

 

 

$

1,318

 

Costs of sales

 

 

1,127

 

 

 

1,107

 

 

 

1,159

 

Gross margin

 

 

175

 

 

 

195

 

 

 

159

 

Selling expenses

 

 

21

 

 

 

21

 

 

 

22

 

General and administrative expenses

 

 

38

 

 

 

40

 

 

 

36

 

Other operating (income) costs, net

 

 

(3

)

 

 

6

 

 

 

6

 

Operating income and Net contribution to earnings

 

$

119

 

 

$

128

 

 

$

95

 

 

 

Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization(1)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Operating income

 

$

119

 

 

$

128

 

 

$

95

 

Depreciation, depletion and amortization

 

 

54

 

 

 

56

 

 

 

53

 

Special items

 

 

(14

)

 

 

—

 

 

 

—

 

Adjusted EBITDA(1)

 

$

159

 

 

$

184

 

 

$

148

 

 

(1) See definition of Adjusted EBITDA (a non-GAAP measure) on page 1.

 

 

Segment Special Items Included in Net Contribution to Earnings (Pretax)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Insurance recovery

 

$

(14

)

 

$

—

 

 

$

—

 

 

 

Selected Segment Items

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Total decrease (increase) in working capital(2)

 

$

61

 

 

$

(174

)

 

$

(127

)

Cash spent for capital expenditures

 

$

(155

)

 

$

(42

)

 

$

(43

)

 

(2) Represents the change in prepaid assets, accounts receivable, accounts payable, accrued liabilities and inventory for the Wood Products segment.

 

 

Segment Statistics

 

in millions, except for third party sales realizations

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Structural Lumber

Third party net sales

 

$

465

 

 

$

464

 

 

$

515

 

(volumes presented

Third party sales realizations

 

$

413

 

 

$

429

 

 

$

450

 

in board feet)

Third party sales volumes(3)

 

 

1,125

 

 

 

1,080

 

 

 

1,144

 

Production volumes

 

 

1,091

 

 

 

1,085

 

 

 

1,143

 

Oriented Strand

Third party net sales

 

$

237

 

 

$

255

 

 

$

208

 

Board

Third party sales realizations

 

$

344

 

 

$

359

 

 

$

269

 

(volumes presented

Third party sales volumes(3)

 

 

688

 

 

 

710

 

 

 

773

 

in square feet 3/8")

Production volumes

 

 

721

 

 

 

735

 

 

 

761

 

Engineered Solid

Third party net sales

 

$

183

 

 

$

177

 

 

$

169

 

Section

Third party sales realizations

 

$

3,385

 

 

$

3,212

 

 

$

3,643

 

(volumes presented

Third party sales volumes(3)

 

 

5.4

 

 

 

5.4

 

 

 

4.7

 

in cubic feet)

Production volumes

 

 

5.8

 

 

 

5.7

 

 

 

4.6

 

Engineered

Third party net sales

 

$

112

 

 

$

99

 

 

$

87

 

I-joists

Third party sales realizations

 

$

2,766

 

 

$

2,648

 

 

$

3,171

 

(volumes presented

Third party sales volumes(3)

 

 

41

 

 

 

37

 

 

 

27

 

in lineal feet)

Production volumes

 

 

42

 

 

 

43

 

 

 

25

 

Softwood Plywood

Third party net sales

 

$

39

 

 

$

41

 

 

$

41

 

(volumes presented

Third party sales realizations

 

$

495

 

 

$

508

 

 

$

490

 

in square feet 3/8")

Third party sales volumes(3)

 

 

79

 

 

 

81

 

 

 

83

 

Production volumes

 

 

75

 

 

 

72

 

 

 

74

 

Medium Density

Third party net sales

 

$

35

 

 

$

39

 

 

$

38

 

Fiberboard

Third party sales realizations

 

$

1,191

 

 

$

1,183

 

 

$

1,314

 

(volumes presented

Third party sales volumes(3)

 

 

29

 

 

 

33

 

 

 

29

 

in square feet 3/4")

Production volumes

 

 

31

 

 

 

34

 

 

 

34

 

 

(3) Volumes include sales of internally produced products and products purchased for resale primarily through our distribution business.

Page 7 of 8

 

 

 

Weyerhaeuser Company

Unallocated Items

Q1.2024 Analyst Package

Preliminary results (unaudited)

 

Unallocated items are gains or charges not related to, or allocated to, an individual operating segment. They include all or a portion of items such as share-based compensation, pension and post-employment costs, elimination of intersegment profit in inventory and LIFO, foreign exchange transaction gains and losses and interest income and other.

 

 

Net Charge to Earnings

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Unallocated corporate function and variable compensation expense

 

$

(35

)

 

$

(38

)

 

$

(27

)

Liability classified share-based compensation

 

 

(2

)

 

 

(1

)

 

 

—

 

Foreign exchange loss

 

 

—

 

 

 

(1

)

 

 

(1

)

Elimination of intersegment profit in inventory and LIFO

 

 

3

 

 

 

(6

)

 

 

9

 

Other, net

 

 

(43

)

 

 

(26

)

 

 

(13

)

Operating loss

 

 

(77

)

 

 

(72

)

 

 

(32

)

Non-operating pension and other post-employment benefit costs

 

 

(12

)

 

 

(11

)

 

 

(9

)

Interest income and other

 

 

22

 

 

 

16

 

 

 

12

 

Net charge to earnings

 

$

(67

)

 

$

(67

)

 

$

(29

)

 

 

Adjusted Earnings before Interest, Tax, Depreciation, Depletion and Amortization(1)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Operating loss

 

$

(77

)

 

$

(72

)

 

$

(32

)

Depreciation, depletion and amortization

 

 

2

 

 

 

2

 

 

 

2

 

Special items

 

 

27

 

 

 

—

 

 

 

—

 

Adjusted EBITDA(1)

 

$

(48

)

 

$

(70

)

 

$

(30

)

 

(1) See definition of Adjusted EBITDA (a non-GAAP measure) on page 1.

 

 

Unallocated Special Items Included in Net Charge to Earnings (Pretax)

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Legal expense

 

 

27

 

 

 

—

 

 

 

—

 

Special items included in operating loss and net charge to earnings

 

$

27

 

 

$

—

 

 

$

—

 

 

 

Unallocated Selected Items

 

in millions

 

Q4.2023

 

 

Q1.2024

 

 

Q1.2023

 

Cash spent for capital expenditures

 

$

(4

)

 

$

(6

)

 

$

(2

)

 

Page 8 of 8