Wood products sales decline at Weyerhaeuser
Wood products producer Weyerhaeuser reported revenues of $1.64 billion for its second fiscal quarter, a 2% drop from $1.61 billion in revenues during the same period last year.
Sales in Weyerhaeuser’s wood products segment dropped 10.3% to $726 million from $809 million a year ago.
The Federal Way, Wash.-based company, which also operates divisions in timber sales, cellulose fibers and real estate, registered a profit of $10 million, compared with $14 million in the second quarter of 2011. Excluding one-time charges, earnings in the most recent quarter were $32 million.
Operating losses for the wood products division, which includes dimensional lumber, engineered wood products, oriented strand board (OSB) and plywood, were posted at $61 million in the second quarter of 2011, compared with a loss of $4 million a year earlier ago.
Excluding the sale of its hardwood products division, Weyerhaeuser said it anticipates “a comparable loss from the [wood products] segment in the third quarter." The company also said it "expects lower selling prices for lumber and oriented strand board and lower sales volumes across most product lines, offset by lower log costs and modest cost improvements."
LBM company closes after 118 years
Norfolk Sash & Door, a supplier of windows, doors, molding and security hardware in Virginia’s Tidewaters area since 1893, closed its business on July 29, according to an article in the Virginian-Pilot.
Originally opened as a sawmill, the family-owned business grew into a full-service building materials supplier and moved into a Norfolk industrial park in 1961. Owner Howard Filer, whose grandfather bought the company with two other partners in the 1920s, blamed the prolonged housing downtown for the failure of the business. Demand for the doors, knobs, lumber and framing supplies the company sells has plummeted, he said. "There are no customers out there," Filer added.
Revenues dropped below $3 million last year, according to the newspaper, and Filer gave the business until June to improve. When that didn’t happen, Filer began calling construction yards in s 50-mile radius to look for jobs for his seven remaining employees.
Weyerhaeuser completes sale of hardwoods business
Federal Way, Wash.-based Weyerhaeuser Co. has completed the sale of its hardwoods business to American Industrial Partners.
Total proceeds from the sale will be approximately $108 million.
Assets included in the transaction are located in Tuscumbia, Ala.; Elkhart, Ind.; Grand Rapids and Lewiston, Mich.; Brainerd, Minn.; Coos Bay, Eugene and Garibaldi, Ore.; Titusville, Pa.; Arlington, Centralia and Longview, Wash.; and Dorchester and Onalaska, Wis.
The business manufactures and distributes appearance lumber and plywood for use in cabinets, moldings, architectural millwork, panel furniture and retail boards. It also makes material for use in pallet cants and ties.