EX-99.2 3 wy-ex992_6.htm EX-99.2 wy-ex992_6.htm

 

Weyerhaeuser Company

Exhibit 99.2

Q4.2020 Analyst Package

Preliminary results (unaudited)

 

Consolidated Statement of Operations

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

in millions

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Net sales

 

$

1,728

 

 

$

1,631

 

 

$

2,110

 

 

$

2,063

 

 

$

1,548

 

 

$

7,532

 

 

$

6,554

 

Costs of sales

 

 

1,382

 

 

 

1,283

 

 

 

1,390

 

 

 

1,392

 

 

 

1,301

 

 

 

5,447

 

 

 

5,412

 

Gross margin

 

 

346

 

 

 

348

 

 

 

720

 

 

 

671

 

 

 

247

 

 

 

2,085

 

 

 

1,142

 

Selling expenses

 

 

22

 

 

 

18

 

 

 

22

 

 

 

21

 

 

 

22

 

 

 

83

 

 

 

84

 

General and administrative expenses

 

 

74

 

 

 

84

 

 

 

96

 

 

 

93

 

 

 

94

 

 

 

347

 

 

 

348

 

Gain on sale of timberlands

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(182

)

 

 

(48

)

 

 

(182

)

 

 

(48

)

Charges for integration and restructuring, closures and asset impairments

 

 

1

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

80

 

 

 

1

 

 

 

80

 

Product remediation recoveries

 

 

—

 

 

 

(8

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(8

)

 

 

(68

)

Other operating costs, net

 

 

9

 

 

 

11

 

 

 

92

 

 

 

22

 

 

 

10

 

 

 

134

 

 

 

95

 

Operating income

 

 

240

 

 

 

243

 

 

 

510

 

 

 

717

 

 

 

89

 

 

 

1,710

 

 

 

651

 

Non-operating pension and other post-employment benefit costs

 

 

(9

)

 

 

(10

)

 

 

(9

)

 

 

(262

)

 

 

(21

)

 

 

(290

)

 

 

(516

)

Interest income and other

 

 

1

 

 

 

2

 

 

 

2

 

 

 

—

 

 

 

8

 

 

 

5

 

 

 

30

 

Interest expense, net of capitalized interest

 

 

(85

)

 

 

(103

)

 

 

(111

)

 

 

(144

)

 

 

(89

)

 

 

(443

)

 

 

(378

)

Earnings (loss) before income taxes

 

 

147

 

 

 

132

 

 

 

392

 

 

 

311

 

 

 

(13

)

 

 

982

 

 

 

(213

)

Income taxes

 

 

3

 

 

 

(60

)

 

 

(109

)

 

 

(19

)

 

 

(1

)

 

 

(185

)

 

 

137

 

Net earnings (loss)

 

$

150

 

 

$

72

 

 

$

283

 

 

$

292

 

 

$

(14

)

 

$

797

 

 

$

(76

)

 

Per Share Information

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

 

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Earnings (loss) per share, basic and diluted

 

$

0.20

 

 

$

0.10

 

 

$

0.38

 

 

$

0.39

 

 

$

(0.02

)

 

$

1.07

 

 

$

(0.10

)

Dividends paid per common share

 

$

0.34

 

 

$

—

 

 

$

—

 

 

$

0.17

 

 

$

0.34

 

 

$

0.51

 

 

$

1.36

 

Weighted average shares outstanding (in thousands):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

746,534

 

 

 

746,896

 

 

 

746,996

 

 

 

747,294

 

 

 

745,886

 

 

 

746,931

 

 

 

745,897

 

Diluted

 

 

747,155

 

 

 

746,984

 

 

 

748,450

 

 

 

749,004

 

 

 

745,886

 

 

 

747,899

 

 

 

745,897

 

Common shares outstanding at end of period (in thousands)

 

 

746,206

 

 

 

746,251

 

 

 

746,398

 

 

 

747,385

 

 

 

745,300

 

 

 

747,385

 

 

 

745,300

 

 

 

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

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

in millions

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Net earnings (loss)

 

$

150

 

 

$

72

 

 

$

283

 

 

$

292

 

 

$

(14

)

 

$

797

 

 

$

(76

)

Non-operating pension and other post-employment benefit costs

 

 

9

 

 

 

10

 

 

 

9

 

 

 

262

 

 

 

21

 

 

 

290

 

 

 

516

 

Interest income and other

 

 

(1

)

 

 

(2

)

 

 

(2

)

 

 

—

 

 

 

(8

)

 

 

(5

)

 

 

(30

)

Interest expense, net of capitalized interest

 

 

85

 

 

 

103

 

 

 

111

 

 

 

144

 

 

 

89

 

 

 

443

 

 

 

378

 

Income taxes

 

 

(3

)

 

 

60

 

 

 

109

 

 

 

19

 

 

 

1

 

 

 

185

 

 

 

(137

)

Operating income

 

 

240

 

 

 

243

 

 

 

510

 

 

 

717

 

 

 

89

 

 

 

1,710

 

 

 

651

 

Depreciation, depletion and amortization

 

 

123

 

 

 

117

 

 

 

115

 

 

 

117

 

 

 

128

 

 

 

472

 

 

 

510

 

Basis of real estate sold

 

 

62

 

 

 

34

 

 

 

40

 

 

 

5

 

 

 

11

 

 

 

141

 

 

 

116

 

Special items included in operating income

 

 

(12

)

 

 

(8

)

 

 

80

 

 

 

(182

)

 

 

32

 

 

 

(122

)

 

 

(1

)

Adjusted EBITDA(1)

 

$

413

 

 

$

386

 

 

$

745

 

 

$

657

 

 

$

260

 

 

$

2,201

 

 

$

1,276

 

 

(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

Q4.2020 Analyst Package

Preliminary results (unaudited)

 

Special Items Included in Net Earnings (Income Tax Affected)

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

in millions

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Net earnings (loss)

 

$

150

 

 

$

72

 

 

$

283

 

 

$

292

 

 

$

(14

)

 

$

797

 

 

$

(76

)

Early extinguishment of debt charges(1)

 

 

—

 

 

 

11

 

 

 

23

 

 

 

58

 

 

 

—

 

 

 

92

 

 

 

9

 

Gain on sale of timberlands

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(182

)

 

 

(48

)

 

 

(182

)

 

 

(48

)

Legal charges (benefits)

 

 

(12

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(12

)

 

 

26

 

Pension settlement charges

 

 

—

 

 

 

—

 

 

 

—

 

 

 

193

 

 

 

5

 

 

 

193

 

 

 

345

 

Product remediation recoveries

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(6

)

 

 

(51

)

Restructuring, impairments and other charges

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

 

 

80

 

Timber casualty loss

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

Net earnings before special items(2)

 

$

138

 

 

$

77

 

 

$

386

 

 

$

361

 

 

$

23

 

 

$

962

 

 

$

285

 

 

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

 

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Net earnings (loss) per diluted share

 

$

0.20

 

 

$

0.10

 

 

$

0.38

 

 

$

0.39

 

 

$

(0.02

)

 

$

1.07

 

 

$

(0.10

)

Early extinguishment of debt charges(1)

 

 

—

 

 

 

0.02

 

 

 

0.03

 

 

 

0.07

 

 

 

—

 

 

 

0.12

 

 

 

0.01

 

Gain on sale of timberlands

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(0.24

)

 

 

(0.07

)

 

 

(0.24

)

 

 

(0.07

)

Legal charges (benefits)

 

 

(0.02

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(0.02

)

 

 

0.04

 

Pension settlement charges

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.26

 

 

 

0.01

 

 

 

0.26

 

 

 

0.47

 

Product remediation recoveries

 

 

—

 

 

 

(0.01

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(0.01

)

 

 

(0.07

)

Restructuring, impairments and other charges

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

0.11

 

 

 

—

 

 

 

0.11

 

Timber casualty loss

 

 

—

 

 

 

—

 

 

 

0.11

 

 

 

—

 

 

 

—

 

 

 

0.11

 

 

 

—

 

Net earnings per diluted share before special items(2)

 

$

0.18

 

 

$

0.11

 

 

$

0.52

 

 

$

0.48

 

 

$

0.03

 

 

$

1.29

 

 

$

0.39

 

 

(1) We recorded pretax charges of $12 million ($9 million after-tax), $11 million ($11 million after-tax), $23 million ($23 million after-tax) and $58 million ($58 million after-tax) related to the early extinguishment of debt in first quarter 2019, second quarter 2020, third quarter 2020 and fourth quarter 2020, respectively. These charges were included in Interest expense, net of capitalized interest in the Consolidated Statement of Operations.

(2) 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

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

in millions

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Pension and post-employment costs:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pension and post-employment service costs

 

$

10

 

 

$

8

 

 

$

9

 

 

$

9

 

 

$

8

 

 

$

36

 

 

$

32

 

Non-operating pension and other post-employment benefit costs

 

 

9

 

 

 

10

 

 

 

9

 

 

 

262

 

 

 

21

 

 

 

290

 

 

 

516

 

Total company pension and post-employment costs

 

$

19

 

 

$

18

 

 

$

18

 

 

$

271

 

 

$

29

 

 

$

326

 

 

$

548

 

 

Page 2 of 8

 

 

 

Weyerhaeuser Company

Q4.2020 Analyst Package

Preliminary results (unaudited)

 

Consolidated Balance Sheet

 

in millions

 

March 31,

2020

 

 

June 30,

2020

 

 

September 30,

2020

 

 

December 31,

2020

 

 

December 31,

2019

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

1,458

 

 

$

643

 

 

$

787

 

 

$

495

 

 

$

139

 

Receivables, net

 

 

390

 

 

 

420

 

 

 

500

 

 

 

450

 

 

 

309

 

Receivables for taxes

 

 

24

 

 

 

48

 

 

 

48

 

 

 

82

 

 

 

98

 

Inventories

 

 

480

 

 

 

409

 

 

 

411

 

 

 

443

 

 

 

416

 

Assets held for sale

 

 

—

 

 

 

—

 

 

 

199

 

 

 

—

 

 

 

140

 

Prepaid expenses and other current assets

 

 

141

 

 

 

131

 

 

 

101

 

 

 

139

 

 

 

147

 

Current restricted financial investments held by variable interest entities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

362

 

Total current assets

 

 

2,493

 

 

 

1,651

 

 

 

2,046

 

 

 

1,609

 

 

 

1,611

 

Property and equipment, net

 

 

1,911

 

 

 

1,958

 

 

 

1,945

 

 

 

2,013

 

 

 

1,969

 

Construction in progress

 

 

153

 

 

 

110

 

 

 

119

 

 

 

73

 

 

 

130

 

Timber and timberlands at cost, less depletion

 

 

11,847

 

 

 

11,780

 

 

 

11,465

 

 

 

11,827

 

 

 

11,929

 

Minerals and mineral rights, less depletion

 

 

278

 

 

 

275

 

 

 

271

 

 

 

268

 

 

 

281

 

Deferred tax assets

 

 

147

 

 

 

65

 

 

 

44

 

 

 

120

 

 

 

72

 

Other assets

 

 

399

 

 

 

415

 

 

 

466

 

 

 

401

 

 

 

414

 

Total assets

 

$

17,228

 

 

$

16,254

 

 

$

16,356

 

 

$

16,311

 

 

$

16,406

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current maturities of long-term debt

 

$

577

 

 

$

—

 

 

$

—

 

 

$

150

 

 

$

—

 

Borrowings on line of credit

 

 

550

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

230

 

Accounts payable

 

 

241

 

 

 

199

 

 

 

215

 

 

 

204

 

 

 

246

 

Accrued liabilities

 

 

448

 

 

 

525

 

 

 

617

 

 

 

596

 

 

 

530

 

Total current liabilities

 

 

1,816

 

 

 

724

 

 

 

832

 

 

 

950

 

 

 

1,006

 

Long-term debt, net

 

 

6,299

 

 

 

6,299

 

 

 

5,974

 

 

 

5,325

 

 

 

6,147

 

Deferred tax liabilities

 

 

10

 

 

 

18

 

 

 

27

 

 

 

24

 

 

 

6

 

Deferred pension and other post-employment benefits

 

 

669

 

 

 

652

 

 

 

638

 

 

 

911

 

 

 

693

 

Other liabilities

 

 

352

 

 

 

359

 

 

 

358

 

 

 

370

 

 

 

377

 

Total liabilities

 

 

9,146

 

 

 

8,052

 

 

 

7,829

 

 

 

7,580

 

 

 

8,229

 

Total equity

 

 

8,082

 

 

 

8,202

 

 

 

8,527

 

 

 

8,731

 

 

 

8,177

 

Total liabilities and equity

 

$

17,228

 

 

$

16,254

 

 

$

16,356

 

 

$

16,311

 

 

$

16,406

 

 

 

 

Page 3 of 8

 

 

 

Weyerhaeuser Company

Q4.2020 Analyst Package

Preliminary results (unaudited)

 

Consolidated Statement of Cash Flows

 

 

 

Q1

 

 

Q2

 

 

Q3

 

 

Q4

 

 

Year-to-Date

 

in millions

 

Mar 31,

2020

 

 

June 30,

2020

 

 

Sept 30,

2020

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

 

Dec 31,

2020

 

 

Dec 31,

2019

 

Cash flows from operations:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings (loss)

 

$

150

 

 

$

72

 

 

$

283

 

 

$

292

 

 

$

(14

)

 

$

797

 

 

$

(76

)

Noncash charges (credits) to earnings (loss):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Depreciation, depletion and amortization

 

 

123

 

 

 

117

 

 

 

115

 

 

 

117

 

 

 

128

 

 

 

472

 

 

 

510

 

Basis of real estate sold

 

 

62

 

 

 

34

 

 

 

40

 

 

 

5

 

 

 

11

 

 

 

141

 

 

 

116

 

Deferred income taxes, net

 

 

(82

)

 

 

80

 

 

 

22

 

 

 

(76

)

 

 

(5

)

 

 

(56

)

 

 

(169

)

Pension and other post-employment benefits

 

 

19

 

 

 

18

 

 

 

18

 

 

 

271

 

 

 

29

 

 

 

326

 

 

 

548

 

Share-based compensation expense

 

 

7

 

 

 

8

 

 

 

7

 

 

 

8

 

 

 

7

 

 

 

30

 

 

 

30

 

Timber casualty loss

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

Charges for impairment of assets

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

 

 

80

 

Net gains on sale of timberlands

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(182

)

 

 

(48

)

 

 

(182

)

 

 

(48

)

Change in:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Receivables, net

 

 

(82

)

 

 

(30

)

 

 

(80

)

 

 

51

 

 

 

60

 

 

 

(141

)

 

 

13

 

Receivables and payables for taxes

 

 

79

 

 

 

(18

)

 

 

42

 

 

 

(38

)

 

 

51

 

 

 

65

 

 

 

33

 

Inventories

 

 

(72

)

 

 

74

 

 

 

—

 

 

 

(27

)

 

 

(21

)

 

 

(25

)

 

 

(23

)

Prepaid expenses and other current assets

 

 

(2

)

 

 

7

 

 

 

—

 

 

 

(9

)

 

 

1

 

 

 

(4

)

 

 

6

 

Accounts payable and accrued liabilities

 

 

(91

)

 

 

30

 

 

 

64

 

 

 

(20

)

 

 

50

 

 

 

(17

)

 

 

37

 

Pension and post-employment benefit contributions and payments

 

 

(10

)

 

 

(6

)

 

 

(5

)

 

 

(9

)

 

 

(9

)

 

 

(30

)

 

 

(45

)

Other

 

 

(15

)

 

 

5

 

 

 

22

 

 

 

61

 

 

 

(28

)

 

 

73

 

 

 

(46

)

Net cash from operations

 

$

86

 

 

$

391

 

 

$

608

 

 

$

444

 

 

$

292

 

 

$

1,529

 

 

$

966

 

Cash flows from investing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capital expenditures for property and equipment

 

$

(47

)

 

$

(55

)

 

$

(56

)

 

$

(67

)

 

$

(128

)

 

$

(225

)

 

$

(327

)

Capital expenditures for timberlands reforestation

 

 

(21

)

 

 

(11

)

 

 

(9

)

 

 

(15

)

 

 

(15

)

 

 

(56

)

 

 

(57

)

Acquisition of timberlands

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(425

)

 

 

—

 

 

 

(425

)

 

 

—

 

Proceeds from note receivable held by variable interest entities

 

 

362

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

362

 

 

 

253

 

Proceeds from sale of timberlands

 

 

145

 

 

 

—

 

 

 

—

 

 

 

381

 

 

 

297

 

 

 

526

 

 

 

297

 

Other

 

 

2

 

 

 

1

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

3

 

 

 

21

 

Net cash from investing activities

 

$

441

 

 

$

(65

)

 

$

(65

)

 

$

(126

)

 

$

155

 

 

$

185

 

 

$

187

 

Cash flows from financing activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash dividends on common shares

 

$

(254

)

 

$

—

 

 

$

—

 

 

$

(127

)

 

$

(253

)

 

$

(381

)

 

$

(1,013

)

Net proceeds from issuance of long-term debt

 

 

732

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

732

 

 

 

739

 

Payments on long-term debt

 

 

—

 

 

 

(588

)

 

 

(348

)

 

 

(556

)

 

 

—

 

 

 

(1,492

)

 

 

(512

)

Proceeds from borrowings on line of credit

 

 

550

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

220

 

 

 

550

 

 

 

1,095

 

Payments on line of credit

 

 

(230

)

 

 

(550

)

 

 

—

 

 

 

—

 

 

 

(430

)

 

 

(780

)

 

 

(1,290

)

Payments on debt held by variable interest entities

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(302

)

Proceeds from exercise of stock options

 

 

6

 

 

 

—

 

 

 

3

 

 

 

24

 

 

 

5

 

 

 

33

 

 

 

13

 

Repurchases of common shares

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(60

)

Other

 

 

(12

)

 

 

(3

)

 

 

(1

)

 

 

(4

)

 

 

(3

)

 

 

(20

)

 

 

(18

)

Net cash from financing activities

 

$

792

 

 

$

(1,141

)

 

$

(346

)

 

$

(663

)

 

$

(461

)

 

$

(1,358

)

 

$

(1,348

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net change in cash and cash equivalents

 

$

1,319

 

 

$

(815

)

 

$

197

 

 

$

(345

)

 

$

(14

)

 

$

356

 

 

$

(195

)

Cash and cash equivalents at beginning of period

 

 

139

 

 

 

1,458

 

 

 

643

 

 

 

840

 

 

 

153

 

 

 

139

 

 

 

334

 

Cash and cash equivalents at end of period

 

$

1,458

 

 

$

643

 

 

$

840

 

 

$

495

 

 

$

139

 

 

$

495

 

 

$

139

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash paid (received) during the period for:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest, net of amounts capitalized

 

$

108

 

 

$

70

 

 

$

100

 

 

$

87

 

 

$

60

 

 

$

365

 

 

$

370

 

Income taxes, net of refunds

 

$

—

 

 

$

1

 

 

$

45

 

 

$

130

 

 

$

(48

)

 

$

176

 

 

$

(2

)

 


 

Page 4 of 8

 

 

 

Weyerhaeuser Company

Timberlands Segment

Q4.2020 Analyst Package

Preliminary results (unaudited)

 

Segment Statement of Operations

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Sales to unaffiliated customers

 

$

381

 

 

$

359

 

 

$

345

 

 

$

381

 

 

$

388

 

 

$

1,466

 

 

$

1,618

 

Intersegment sales

 

 

122

 

 

 

121

 

 

 

107

 

 

 

121

 

 

 

122

 

 

 

471

 

 

 

503

 

Total net sales

 

 

503

 

 

 

480

 

 

 

452

 

 

 

502

 

 

 

510

 

 

 

1,937

 

 

 

2,121

 

Costs of sales

 

 

375

 

 

 

383

 

 

 

358

 

 

 

375

 

 

 

402

 

 

 

1,491

 

 

 

1,649

 

Gross margin

 

 

128

 

 

 

97

 

 

 

94

 

 

 

127

 

 

 

108

 

 

 

446

 

 

 

472

 

Selling expenses

 

 

—

 

 

 

1

 

 

 

—

 

 

 

1

 

 

 

—

 

 

 

2

 

 

 

1

 

General and administrative expenses

 

 

24

 

 

 

22

 

 

 

24

 

 

 

23

 

 

 

23

 

 

 

93

 

 

 

94

 

Gain on sale of timberlands

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(182

)

 

 

(48

)

 

 

(182

)

 

 

(48

)

Charges for integration and restructuring, closures and asset impairments

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

80

 

 

 

—

 

 

 

80

 

Other operating costs (income), net

 

 

(1

)

 

 

(1

)

 

 

81

 

 

 

(1

)

 

 

—

 

 

 

78

 

 

 

(2

)

Operating income (loss) and Net contribution (charge) to earnings

 

$

105

 

 

$

75

 

 

$

(11

)

 

$

286

 

 

$

53

 

 

$

455

 

 

$

347

 

 

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

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Operating income (loss)

 

$

105

 

 

$

75

 

 

$

(11

)

 

$

286

 

 

$

53

 

 

$

455

 

 

$

347

 

Depreciation, depletion and amortization

 

 

68

 

 

 

65

 

 

 

61

 

 

 

63

 

 

 

73

 

 

 

257

 

 

 

301

 

Special items

 

 

—

 

 

 

—

 

 

 

80

 

 

 

(182

)

 

 

32

 

 

 

(102

)

 

 

32

 

Adjusted EBITDA(1)

 

$

173

 

 

$

140

 

 

$

130

 

 

$

167

 

 

$

158

 

 

$

610

 

 

$

680

 

 

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

 

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

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Gain on sale of timberlands

 

$

—

 

 

$

—

 

 

$

—

 

 

$

182

 

 

$

48

 

 

$

182

 

 

$

48

 

Restructuring, impairments and other charges

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(80

)

 

$

—

 

 

$

(80

)

Timber casualty loss

 

$

—

 

 

$

—

 

 

$

(80

)

 

$

—

 

 

$

—

 

 

$

(80

)

 

$

—

 

 

Selected Segment Items

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Total decrease (increase) in working capital(2)

 

$

(3

)

 

$

(2

)

 

$

43

 

 

$

(47

)

 

$

(12

)

 

$

(9

)

 

$

12

 

Cash spent for capital expenditures(3)

 

$

(30

)

 

$

(21

)

 

$

(24

)

 

$

(29

)

 

$

(33

)

 

$

(104

)

 

$

(112

)

 

(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)

 

 

 

 

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Third Party

 

Delivered logs:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Sales

 

West

 

$

177

 

 

$

179

 

 

$

163

 

 

$

201

 

 

$

169

 

 

$

720

 

 

$

740

 

(millions)

 

South

 

 

150

 

 

 

145

 

 

 

141

 

 

 

137

 

 

 

157

 

 

 

573

 

 

 

640

 

 

 

North

 

 

17

 

 

 

7

 

 

 

13

 

 

 

15

 

 

 

22

 

 

 

52

 

 

 

92

 

 

 

Total delivered logs

 

 

344

 

 

 

331

 

 

 

317

 

 

 

353

 

 

 

348

 

 

 

1,345

 

 

 

1,472

 

 

 

Stumpage and pay-as-cut timber

 

 

5

 

 

 

5

 

 

 

5

 

 

 

4

 

 

 

13

 

 

 

19

 

 

 

42

 

 

 

Recreational and other lease revenue

 

 

15

 

 

 

16

 

 

 

16

 

 

 

16

 

 

 

16

 

 

 

63

 

 

 

61

 

 

 

Other revenue

 

 

17

 

 

 

7

 

 

 

7

 

 

 

8

 

 

 

11

 

 

 

39

 

 

 

43

 

 

 

Total

 

$

381

 

 

$

359

 

 

$

345

 

 

$

381

 

 

$

388

 

 

$

1,466

 

 

$

1,618

 

Delivered Logs

 

West

 

$

104.91

 

 

$

104.90

 

 

$

109.01

 

 

$

124.37

 

 

$

102.12

 

 

$

110.69

 

 

$

103.18

 

Third Party Sales

 

South

 

$

34.27

 

 

$

33.68

 

 

$

33.68

 

 

$

33.69

 

 

$

34.71

 

 

$

33.83

 

 

$

35.13

 

Realizations (per ton)

 

North

 

$

60.51

 

 

$

59.82

 

 

$

57.19

 

 

$

58.96

 

 

$

56.95

 

 

$

59.10

 

 

$

58.80

 

Delivered Logs

 

West

 

 

1,684

 

 

 

1,714

 

 

 

1,489

 

 

 

1,619

 

 

 

1,660

 

 

 

6,506

 

 

 

7,173

 

Third Party Sales

 

South

 

 

4,365

 

 

 

4,307

 

 

 

4,185

 

 

 

4,097

 

 

 

4,538

 

 

 

16,954

 

 

 

18,232

 

Volumes (tons, thousands)

 

North

 

 

284

 

 

 

113

 

 

 

234

 

 

 

241

 

 

 

372

 

 

 

872

 

 

 

1,558

 

Fee Harvest Volumes

 

West

 

 

2,310

 

 

 

2,236

 

 

 

1,911

 

 

 

2,085

 

 

 

2,214

 

 

 

8,542

 

 

 

9,237

 

(tons, thousands)

 

South

 

 

6,130

 

 

 

5,914

 

 

 

5,596

 

 

 

5,509

 

 

 

6,617

 

 

 

23,149

 

 

 

26,278

 

 

 

North

 

 

386

 

 

 

194

 

 

 

321

 

 

 

325

 

 

 

477

 

 

 

1,226

 

 

 

2,042

 

(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

Q4.2020 Analyst Package

Preliminary results (unaudited)

 

Segment Statement of Operations

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Net sales

 

$

112

 

 

$

65

 

 

$

69

 

 

$

30

 

 

$

46

 

 

$

276

 

 

$

314

 

Costs of sales

 

 

70

 

 

 

40

 

 

 

46

 

 

 

9

 

 

 

18

 

 

 

165

 

 

 

145

 

Gross margin

 

 

42

 

 

 

25

 

 

 

23

 

 

 

21

 

 

 

28

 

 

 

111

 

 

 

169

 

General and administrative expenses

 

 

6

 

 

 

6

 

 

 

6

 

 

 

7

 

 

 

7

 

 

 

25

 

 

 

27

 

Other operating income, net

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(1

)

 

 

—

 

 

 

(2

)

Operating income and Net contribution to earnings

 

$

36

 

 

$

19

 

 

$

17

 

 

$

14

 

 

$

22

 

 

$

86

 

 

$

144

 

 

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

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Operating income

 

$

36

 

 

$

19

 

 

$

17

 

 

$

14

 

 

$

22

 

 

$

86

 

 

$

144

 

Depreciation, depletion and amortization

 

 

3

 

 

 

4

 

 

 

3

 

 

 

4

 

 

 

4

 

 

 

14

 

 

 

14

 

Basis of real estate sold

 

 

62

 

 

 

34

 

 

 

40

 

 

 

5

 

 

 

11

 

 

 

141

 

 

 

116

 

Adjusted EBITDA(1)

 

$

101

 

 

$

57

 

 

$

60

 

 

$

23

 

 

$

37

 

 

$

241

 

 

$

274

 

 

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

 

Selected Segment Items

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Cash spent for capital expenditures

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

Segment Statistics

 

 

 

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Net Sales

Real Estate

 

$

95

 

 

$

48

 

 

$

49

 

 

$

10

 

 

$

25

 

 

$

202

 

 

$

225

 

(millions)

Energy and Natural Resources

 

 

17

 

 

 

17

 

 

 

20

 

 

 

20

 

 

 

21

 

 

 

74

 

 

 

89

 

 

Total

 

$

112

 

 

$

65

 

 

$

69

 

 

$

30

 

 

$

46

 

 

$

276

 

 

$

314

 

Acres Sold

Real Estate

 

 

44,974

 

 

 

31,337

 

 

 

34,917

 

 

 

670

 

 

 

9,393

 

 

 

111,898

 

 

 

113,315

 

Price per Acre

Real Estate

 

$

1,992

 

 

$

1,501

 

 

$

1,381

 

 

$

6,316

 

 

$

2,308

 

 

$

1,690

 

 

$

1,848

 

Basis as a Percent of

Real Estate Net Sales

Real Estate

 

 

65

%

 

 

71

%

 

 

82

%

 

 

50

%

 

 

44

%

 

 

70

%

 

 

52

%

 

 

 

Page 6 of 8

 

 

 

Weyerhaeuser Company

Wood Products Segment

Q4.2020 Analyst Package

Preliminary results (unaudited)

Segment Statement of Operations

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Net sales

 

$

1,235

 

 

$

1,207

 

 

$

1,696

 

 

$

1,652

 

 

$

1,115

 

 

$

5,790

 

 

$

4,623

 

Costs of sales

 

 

1,040

 

 

 

997

 

 

 

1,075

 

 

 

1,109

 

 

 

994

 

 

 

4,221

 

 

 

4,098

 

Gross margin

 

 

195

 

 

 

210

 

 

 

621

 

 

 

543

 

 

 

121

 

 

 

1,569

 

 

 

525

 

Selling expenses

 

 

21

 

 

 

18

 

 

 

18

 

 

 

20

 

 

 

21

 

 

 

77

 

 

 

80

 

General and administrative expenses

 

 

36

 

 

 

33

 

 

 

33

 

 

 

34

 

 

 

35

 

 

 

136

 

 

 

139

 

Product remediation recoveries

 

 

—

 

 

 

(8

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(8

)

 

 

(68

)

Charges for integration and restructuring, closures and asset impairments

 

 

1

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1

 

 

 

—

 

Other operating costs, net

 

 

3

 

 

 

8

 

 

 

4

 

 

 

8

 

 

 

5

 

 

 

23

 

 

 

21

 

Operating income and Net contribution to earnings

 

$

134

 

 

$

159

 

 

$

566

 

 

$

481

 

 

$

60

 

 

$

1,340

 

 

$

353

 

 

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

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Operating income

 

$

134

 

 

$

159

 

 

$

566

 

 

$

481

 

 

$

60

 

 

$

1,340

 

 

$

353

 

Depreciation, depletion and amortization

 

 

50

 

 

 

47

 

 

 

49

 

 

 

49

 

 

 

50

 

 

 

195

 

 

 

191

 

Special items

 

 

—

 

 

 

(8

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(8

)

 

 

(68

)

Adjusted EBITDA(1)

 

$

184

 

 

$

198

 

 

$

615

 

 

$

530

 

 

$

110

 

 

$

1,527

 

 

$

476

 

 

(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

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Product remediation recoveries

 

$

—

 

 

$

8

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

8

 

 

$

68

 

 

Selected Segment Items

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Total decrease (increase) in working capital(2)

 

$

(186

)

 

$

56

 

 

$

(68

)

 

$

16

 

 

$

49

 

 

$

(182

)

 

$

1

 

Cash spent for capital expenditures

 

$

(38

)

 

$

(45

)

 

$

(41

)

 

$

(52

)

 

$

(109

)

 

$

(176

)

 

$

(257

)

 

(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

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Structural Lumber

Third party net sales

 

$

508

 

 

$

538

 

 

$

819

 

 

$

737

 

 

$

466

 

 

$

2,602

 

 

$

1,892

 

(volumes presented

Third party sales realizations

 

$

416

 

 

$

438

 

 

$

674

 

 

$

609

 

 

$

389

 

 

$

534

 

 

$

389

 

in board feet)

Third party sales volumes(3)

 

 

1,222

 

 

 

1,225

 

 

 

1,216

 

 

 

1,210

 

 

 

1,197

 

 

 

4,873

 

 

 

4,857

 

 

Production volumes

 

 

1,209

 

 

 

1,108

 

 

 

1,170

 

 

 

1,179

 

 

 

1,178

 

 

 

4,666

 

 

 

4,705

 

Oriented Strand

Third party net sales

 

$

190

 

 

$

179

 

 

$

290

 

 

$

354

 

 

$

157

 

 

$

1,013

 

 

$

632

 

Board

Third party sales realizations

 

$

246

 

 

$

240

 

 

$

395

 

 

$

503

 

 

$

216

 

 

$

343

 

 

$

217

 

(volumes presented

Third party sales volumes(3)

 

 

770

 

 

 

747

 

 

 

736

 

 

 

703

 

 

 

726

 

 

 

2,956

 

 

 

2,916

 

in square feet 3/8")

Production volumes

 

 

777

 

 

 

742

 

 

 

759

 

 

 

735

 

 

 

757

 

 

 

3,013

 

 

 

2,969

 

Engineered Solid

Third party net sales

 

$

127

 

 

$

111

 

 

$

135

 

 

$

132

 

 

$

122

 

 

$

505

 

 

$

510

 

Section

Third party sales realizations

 

$

2,149

 

 

$

2,151

 

 

$

2,128

 

 

$

2,221

 

 

$

2,166

 

 

$

2,162

 

 

$

2,196

 

(volumes presented

Third party sales volumes(3)

 

 

5.9

 

 

 

5.2

 

 

 

6.3

 

 

 

6.0

 

 

 

5.6

 

 

 

23.4

 

 

 

23.2

 

in cubic feet)

Production volumes

 

 

6.1

 

 

 

5.3

 

 

 

5.4

 

 

 

6.2

 

 

 

5.4

 

 

 

23.0

 

 

 

22.6

 

Engineered

Third party net sales

 

$

78

 

 

$

70

 

 

$

83

 

 

$

85

 

 

$

77

 

 

$

316

 

 

$

323

 

I-joists

Third party sales realizations

 

$

1,667

 

 

$

1,645

 

 

$

1,638

 

 

$

1,695

 

 

$

1,678

 

 

$

1,662

 

 

$

1,677

 

(volumes presented

Third party sales volumes(3)

 

 

47

 

 

 

42

 

 

 

51

 

 

 

50

 

 

 

45

 

 

 

190

 

 

 

192

 

in lineal feet)

Production volumes

 

 

47

 

 

 

38

 

 

 

43

 

 

 

47

 

 

 

43

 

 

 

175

 

 

 

182

 

Softwood Plywood

Third party net sales

 

$

39

 

 

$

34

 

 

$

55

 

 

$

43

 

 

$

31

 

 

$

171

 

 

$

161

 

(volumes presented

Third party sales realizations

 

$

348

 

 

$

356

 

 

$

507

 

 

$

433

 

 

$

337

 

 

$

411

 

 

$

363

 

in square feet 3/8")

Third party sales volumes(3)

 

 

113

 

 

 

95

 

 

 

107

 

 

 

99

 

 

 

94

 

 

 

414

 

 

 

445

 

 

Production volumes

 

 

97

 

 

 

76

 

 

 

94

 

 

 

80

 

 

 

84

 

 

 

347

 

 

 

386

 

Medium Density

Third party net sales

 

$

44

 

 

$

33

 

 

$

47

 

 

$

47

 

 

$

39

 

 

$

171

 

 

$

166

 

Fiberboard

Third party sales realizations

 

$

841

 

 

$

825

 

 

$

864

 

 

$

867

 

 

$

826

 

 

$

851

 

 

$

834

 

(volumes presented

Third party sales volumes(3)

 

 

52

 

 

 

40

 

 

 

55

 

 

 

54

 

 

 

48

 

 

 

201

 

 

 

200

 

in square feet 3/4")

Production volumes

 

 

56

 

 

 

35

 

 

 

57

 

 

 

52

 

 

 

49

 

 

 

200

 

 

 

202

 

 

(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

Q4.2020 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, interest income and other as well as legacy obligations.

 

Net Charge to Earnings

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Unallocated corporate function and variable compensation expense

 

$

(19

)

 

$

(23

)

 

$

(36

)

 

$

(31

)

 

$

(30

)

 

$

(109

)

 

$

(80

)

Liability classified share-based compensation

 

 

10

 

 

 

(4

)

 

 

(5

)

 

 

(3

)

 

 

(2

)

 

 

(2

)

 

 

(7

)

Foreign exchange gain (loss)

 

 

(8

)

 

 

3

 

 

 

2

 

 

 

(4

)

 

 

—

 

 

 

(7

)

 

 

(2

)

Elimination of intersegment profit in inventory and LIFO

 

 

(13

)

 

 

18

 

 

 

(9

)

 

 

(13

)

 

 

(1

)

 

 

(17

)

 

 

(5

)

Other, net

 

 

(5

)

 

 

(4

)

 

 

(14

)

 

 

(13

)

 

 

(13

)

 

 

(36

)

 

 

(99

)

Operating loss

 

 

(35

)

 

 

(10

)

 

 

(62

)

 

 

(64

)

 

 

(46

)

 

 

(171

)

 

 

(193

)

Non-operating pension and other post-employment benefit costs

 

 

(9

)

 

 

(10

)

 

 

(9

)

 

 

(262

)

 

 

(21

)

 

 

(290

)

 

 

(516

)

Interest income and other

 

 

1

 

 

 

2

 

 

 

2

 

 

 

—

 

 

 

8

 

 

 

5

 

 

 

30

 

Net charge to earnings

 

$

(43

)

 

$

(18

)

 

$

(69

)

 

$

(326

)

 

$

(59

)

 

$

(456

)

 

$

(679

)

 

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

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Operating loss

 

$

(35

)

 

$

(10

)

 

$

(62

)

 

$

(64

)

 

$

(46

)

 

$

(171

)

 

$

(193

)

Depreciation, depletion and amortization

 

 

2

 

 

 

1

 

 

 

2

 

 

 

1

 

 

 

1

 

 

 

6

 

 

 

4

 

Special items

 

 

(12

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(12

)

 

 

35

 

Adjusted EBITDA(1)

 

$

(45

)

 

$

(9

)

 

$

(60

)

 

$

(63

)

 

$

(45

)

 

$

(177

)

 

$

(154

)

 

(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

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Legal benefits (charges)

 

$

12

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

12

 

 

$

(35

)

Special items included in operating loss

 

 

12

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

12

 

 

 

(35

)

Pension settlement charges

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(253

)

 

 

(6

)

 

 

(253

)

 

 

(455

)

Special items included in net charge to earnings

 

$

12

 

 

$

—

 

 

$

—

 

 

$

(253

)

 

$

(6

)

 

$

(241

)

 

$

(490

)

 

 

Unallocated Selected Items

 

in millions

 

Q1.2020

 

 

Q2.2020

 

 

Q3.2020

 

 

Q4.2020

 

 

Q4.2019

 

 

YTD.2020

 

 

YTD.2019

 

Cash spent for capital expenditures

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(1

)

 

$

(1

)

 

$

(1

)

 

$

(15

)

 

Page 8 of 8