FEDERAL WAY, Wash., Dec. 6 /PRNewswire-FirstCall/ -- Weyerhaeuser Company today announced that challenging market conditions necessitate further actions, which could include closures, curtailments and restricted operating postures at softwood lumber, engineered lumber and structural panels operations across North America.
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Downtime and restricted operating postures have already been undertaken at about 70 percent of Weyerhaeuser residential wood products facilities. These curtailments have led to significant fourth quarter production decreases across all product lines.
"Demand for wood products is very weak," said Steven R. Rogel, chairman, president and chief executive officer. "We continue to analyze our operating postures and portfolio and expect additional capacity adjustments in the near term.
"We want to be clear that these actions are not related to the performance of employees. We recognize the hard work and dedication by our team this year," Rogel said. "Weyerhaeuser's employees work diligently to make our mills competitive and today's announcement is only a reflection of the challenging business environment we face."
Weyerhaeuser Company, one of the world's largest integrated forest products companies, was incorporated in 1900. In 2005, sales were $22.6 billion. It has offices or operations in 18 countries, with customers worldwide. Weyerhaeuser is principally engaged in the growing and harvesting of timber; the manufacture, distribution and sale of forest products; and real estate construction, development and related activities. Additional information about Weyerhaeuser's businesses, products and practices is available at http://www.weyerhaeuser.com/ .
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. Some of these forward-looking statements can be identified by the use of forward-looking terminology such as "expects," "may," "will," "believes," "should," "approximately," anticipates," "estimates," and "plans," and the negative or other variations of those terms or comparable terminology or by discussions of strategy, plans or intentions. In particular, some of these forward-looking statements deal with expectations regarding the company's markets, downtime and restricted operating postures at certain of the company's facilities; decreased production and other matters. The accuracy of such statements is subject to a number of risks, uncertainties and assumptions that may cause actual results to differ materially from those projected, including, but not limited to, the effect of general economic conditions, including the level of interest rates and housing starts; market demand for the company's products, which may be tied to the relative strength of various U.S. business segments; performance of the company's manufacturing operations; and the successful execution of internal performance plans. These and other factors that could cause or contribute to actual results differing materially from such forward looking statements are discussed in greater detail in the company's Securities and Exchange Commission filings.
For more information contact:
Media - Frank Mendizabal
(253) 924-3357
Analysts - Kathy McAuley
(253) 924-2058
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