PulteGroup names executive VP, CFO
Bloomfield Hills, Mich.-based PulteGroup has appointed Robert "Bob" O’Shaughnessy as executive VP and chief financial officer, effective May 31. He will be responsible for the corporate accounting, treasury, tax, investor relations, audit, information technology and asset management functions, including the mortgage and title company. O’Shaughnessy will report directly to Richard J. Dugas Jr., chairman, president and CEO.
O’Shaughnessy joined PulteGroup from Penske Automotive Group, where he was executive VP and chief financial officer since 2007. He held various financial roles at the firm since 1997, including senior VP and controller.
"Bob is a proven leader who has demonstrated operational expertise," Dugas said. "With nearly 25 years of finance experience and a solid grounding in public accounting, Bob brings a broad range of expertise to PulteGroup, from which our entire operation will benefit.
O’Shaughnessy is replacing Roger Cregg as CFO. Cregg will retire from PulteGroup effective May 27.
LP posts 12% rise in sales
Louisiana-Pacific (LP), one of the industry’s leading producers of oriented strand board (OSB), siding and engineered wood products, reported net sales of $332 million for the first quarter of 2011, a 12% increase over sales of $297 million in the same period of 2010.
The company reported a loss from continuing operations of $23 million for the quarter, which ended March 31, reflecting no change from the $23 million loss in the first quarter of 2010.
LP’s OSB segment, which operates eight facilities, reported net sales for the first quarter of $132 million, up 12% compared with $118 million of net sales in last year’s first quarter. For the quarter, the OSB segment reported an operating loss of $9 million compared with an operating loss of $5 million in the first quarter of 2010. Sales volumes were up 18%, with sales price decreasing by 5%.
LP’s Siding segment reported net sales of $106 million in the first quarter of 2011, up 18% from $90 million in the year-ago first quarter. For the quarter, the Siding segment reported operating income of $13 million compared with operating income of $9 million in the year-ago quarter.
The Engineered Wood Product (EWP), comprised of I-Joist (IJ), Laminated Veneer Lumber and Laminated Strand Lumber (LVL and LSL), reported sales in the first quarter of $48 million, about flat compared with the year-ago quarter. Operating losses decreased 17% to $6 million for the quarter from $7 million in the first quarter of 2010.
"At the beginning of the year, we felt some optimism in the market, but it waned as we finished the quarter," said CEO Rick Frost in a prepared statement. "LP took advantage of what the market did offer, and our operations were able to generate positive adjusted EBITDA of $10 million despite lower housing starts."
In terms of outlook, Frost said: “While the economy has begun to recover and we are seeing some job growth, which we believe is key to stimulating demand for new home construction, this uptick in employment has not yet translated into increased housing activity. In response to market uncertainty, we continue to focus on our costs and enhanced relationships with customers so that we are poised to win as housing recovers.”
Georgia-Pacific aids tornado victims
Georgia-Pacific (GP) has announced an aid package to victims of the Southeastern tornados last month that includes cash, products and matching donations.
GP will contribute $50,000 to The Salvation Army for recovery effort in the Southeast and $10,000 to the American Red Cross in Alabama. The company will also match up to a total of $50,000 in donations made by employees of GP or any other Koch company to the Salvation Army’s efforts between now and July 8.
GP has also donated bath tissue, paper towels and tabletop covers to temporary shelters in several states.
“Many communities near our facilities have been impacted,” said president and CEO Jim Hannan, noting that half of the company’s employees live and work in southeastern states affected by the tornadoes. “We also have a number of employees who have suffered losses of loved ones and property,” he added.