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Press release from Business Wire

Weyerhaeuser Reports First Quarter Results

Thursday, April 29, 2010

Weyerhaeuser Reports First Quarter Results08:00 EDT Thursday, April 29, 2010 FEDERAL WAY, Wash. (Business Wire) -- Weyerhaeuser Company (NYSE: WY) today reported a net loss of $20 million for the first quarter, or 10 cents per share, on net sales of $1.4 billion. This compares with a net loss of $264 million, or $1.25 per share, on net sales from continuing operations of $1.3 billion for the same period last year. SIGNIFICANT FIRST QUARTER 2010 AFTER-TAX ITEMS     After-Tax Gain(Charge)($ millions)     Gain (Charge)per share(dollars) Income tax adjustments related to Medicare prescription drug subsidy and state tax law changes ($31 )   ($0.15 ) Wood Products asset sales $ 26 $ 0.12   Excluding these items, the company reported a net loss of $15 million, or 7 cents per share, in the first quarter of 2010. SIGNIFICANT FIRST QUARTER 2009 AFTER-TAX ITEMS     After-TaxCharge($ millions)     Chargeper share(dollars) Closures, restructuring and asset impairments, primarily for Wood Products ($46 ) ($0.22 ) Impairments and reserves for Real Estate assets ($45 ) ($0.21 ) Corporate restructuring and asset impairments ($17 ) ($0.08 ) Reserve for an agreement in principle to settle alder litigation ($12 ) ($0.06 )   Excluding these items, the company's net loss was $144 million, or 68 cents per share, in the first quarter of 2009. “After many difficult quarters, we're encouraged by the improvement in our performance,” said Dan Fulton, president and chief executive officer. “Financial results increased significantly compared with the prior quarter and on a year-over-year basis due to better market conditions and the work we've done to improve our long-term competitiveness. While the pace of the housing recovery remains uncertain, we're moving in the right direction. In addition, recent approvals by our shareholders make it possible to complete our strategic conversion to a REIT.” SUMMARY OF FIRST QUARTER FINANCIAL HIGHLIGHTSMillions (except per share data)     1Q 2010     1Q 2009     Change Net loss ($20 ) ($264 ) $ 244 Loss per share ($0.10 ) ($1.25 ) $ 1.15 Net sales $ 1,419 $ 1,275 $ 144   SEGMENT RESULTS FOR FIRST QUARTER(Contributions (Charges) to Pre-Tax Earnings)Millions     1Q 2010     1Q 2009     Change Timberlands $ 81 $ 40 $ 41 Wood Products ($19 ) ($266 ) $ 247 Cellulose Fibers $ 19 $ 31 ($12 ) Real Estate $ 31 ($96 ) $ 127   TIMBERLANDS     1Q 2010     4Q 2009     Change Contribution to pre-tax earnings (millions) $ 81 $ 13 $ 68   1Q 2010 Performance – Excluding fourth quarter charges of $15 million for asset impairments, primarily in international manufacturing operations, the segment's earnings improved $53 million in the first quarter. First quarter included pre-tax gains of $31 million from disposition of non-strategic timberlands, compared to $6 million in the fourth quarter. Earnings from operations increased due to improved log price realizations, higher fee volumes, and lower unit costs for logging, trucking and roads. Silviculture spending declined, primarily due to weather. Losses related to international operations, excluding the pre-tax items noted above, were $4 million in the first quarter compared to $6 million in the fourth quarter. 2Q 2010 Outlook – Excluding the disposition of non-strategic timberlands, Weyerhaeuser expects second quarter operating earnings from the segment to be somewhat lower than first quarter, as higher log prices are offset by increased silviculture and road costs and lower fee timber harvest in the south. WOOD PRODUCTS     1Q 2010     4Q 2009     Change Charge to pre-tax earnings (millions) ($19 ) ($208 ) $ 189   1Q 2010 Performance – Excluding the pre-tax items noted below, the segment's results improved by $60 million, resulting in a significantly smaller loss in the first quarter. First quarter 2010 included pre-tax gains of $40 million from the sale of certain British Columbia forest licenses and associated rights, and $4 million from the sale of a sawmill. Fourth quarter 2009 included charges of $85 million for closures, restructuring and asset impairments. Lumber and oriented strand board sales realizations increased substantially, and operating rates improved. These improvements were partially offset by higher log costs. 2Q 2010 Outlook – Weyerhaeuser expects the segment to be profitable in the second quarter. The company anticipates improved operating rates, sales realizations and volumes, partially offset by higher log costs. CELLULOSE FIBERS     1Q 2010     4Q 2009     Change Contribution to pre-tax earnings (millions) $ 19 $ 147 ($128 )   1Q 2010 Performance – Excluding the pre-tax items noted below, the segment's earnings declined $15 million in the first quarter. Fourth quarter 2009 included a pre-tax gain of $115 million related to alternative fuel mixture credits. Fourth quarter also included charges of $2 million for asset impairments. Higher average price realizations were offset by increased annual maintenance, fiber, and freight costs and somewhat lower shipment volumes. 2Q 2010 Outlook – Weyerhaeuser expects second quarter earnings from the segment to improve significantly compared to the first quarter. The company anticipates higher pulp price realizations, partially offset by increased freight and slightly higher annual maintenance costs. REAL ESTATE     1Q 2010     4Q 2009     Change Contribution (charge) to pre-tax earnings (millions) $ 31 ($89 ) $ 120   1Q 2010 Performance – Excluding $100 million of fourth quarter asset impairments, restructuring, and investment related charges, the segment's first quarter results improved by $20 million. Improved first quarter operating results were primarily due to gains of $33 million on the sale of two commercial partnership interests. First quarter also included gains of $3 million on the sale of land and lots, compared to losses of $10 million in the fourth quarter. Home sale closings declined seasonally to 393 single-family homes, a 49 percent decrease from fourth quarter. Market conditions remain fragile. The average price of homes closed declined 7 percent from the previous quarter due to mix. Selling expenses declined due to lower volumes and cost improvements. 2Q 2010 Outlook –Weyerhaeuser expects second quarter results from single-family homebuilding operations to be comparable to the first quarter. The company anticipates an increase in home sale closings, offset by lower average sales prices due to mix. ABOUT WEYERHAEUSER Weyerhaeuser Company, one of the world's largest forest products companies, began operations in 1900. We grow and harvest trees, build homes and make a range of forest products essential to everyday lives. We manage 22 million acres of timberland worldwide on a sustainable basis in compliance with internationally recognized forestry standards. At the end of 2009, we employed approximately 14,900 employees in 10 countries. We have customers worldwide and generated $5.5 billion in sales in 2009. Our stock trades on the New York Stock exchange under the symbol WY. Additional information about us is available at http://www.weyerhaeuser.com. EARNINGS CALL INFORMATION Weyerhaeuser will hold a live conference call at 8:30 a.m. Pacific (11:30 a.m. Eastern) on April 29 to discuss first quarter results. To access the conference call from within North America, dial (877) 296-9413 (access code – 53829334) at least 15 minutes prior to the call. Those calling from outside North America should dial 1-(706) 679-2458 (access code – 53829334). Replays will be available for one week at (800) 642-1687 (access code – 53829334) from within North America and at 1-(706) 645-9291 (access code – 53829334) from outside North America. The call is being webcast through Weyerhaeuser's Internet site at http://investor.weyerhaeuser.com and is accessible by selecting the “Q1 2010 Earnings Conference Call” link. The webcast is available through the Thomson StreetEvents Network to both institutional and individual investors. Individual investors can listen to the call at http://www.fulldisclosure.com, Thomson's individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson's password-protected site, StreetEvents (http://www.streetevents.com). FORWARD LOOKING STATEMENTS 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. These statements are based on various assumptions and may not be accurate because of risks and uncertainties surrounding these assumptions. Factors listed below, as well as other factors, may cause actual results to differ significantly from these forward-looking statements. There is no guarantee that any of the events anticipated by these forward-looking statements will occur. If any of the events occur, there is no guarantee what effect they will have on company operations or financial condition. The company will not update these forward-looking statements after the date of this news release. Some forward-looking statements discuss the company's plans, strategies and intentions. They use words such as “expects,” “may,” “will,” “believes,” “should,” “approximately,” “anticipates,” “estimates,” and “plans.” In addition, these words may use the positive or negative or other variations of those terms. This release contains forward-looking statements regarding the company's expectations during the second quarter of 2010, including the company's markets, seasonally higher silvaculture and road costs in Timberlands, improved operating rates and higher sales volumes in the Wood Products segment, higher log costs, higher pulp price realizations, increased expenses for annual planned maintenance and freight in the Cellulose Fiber segment, and increases in home sale closings and lower average sales prices in our single-family homebuilding operations. Major risks, uncertainties and assumptions that affect the company's businesses and may cause actual results to differ from these forward-looking statements, include, but are not limited to: the effect of general economic conditions, including the level of interest rates, availability of financing for home mortgages, strength of the U.S. dollar, employment rates and housing starts; market demand for the company's products, which is related to the strength of the various U.S. business segments and economic conditions; the successful execution of internal performance plans, including restructurings and cost reduction initiatives; the restructuring of the Company's business support functions; performance of the company's manufacturing operations, including maintenance requirements; raw material prices; energy prices; transportation costs; performance of pension fund investments and related derivatives; the effect of timing of retirements and changes in the market price of company stock on charges for stock-based compensation; the level of competition from domestic and foreign producers; the effect of forestry, land use, environmental and other governmental regulations; legal proceedings; changes in accounting principles; the effect of weather; the risk of loss from fires, floods, windstorms, hurricanes, pest infestation and other natural disasters; and other factors described under “Risk Factors” in the Company's annual report on Form 10-K. The company also is a large exporter and is affected by changes in economic activity in Europe and Asia, particularly Japan and China. It also is affected by changes in currency exchange rates, particularly the relative value of the U.S. dollar to the euro and the Canadian dollar. Restrictions on international trade or tariffs imposed on imports also may affect the company. WEYERHAEUSER COMPANY         STATISTICAL INFORMATION (unaudited)CONSOLIDATED EARNINGS     (in millions, except per-share figures)Q1Q4March 31,March 31,Dec. 31,2010   20092009 Net sales and revenues:   Forest Products $ 1,268 $ 1,103 $ 1,118 Real Estate   151       172     337   Total net sales and revenues   1,419       1,275     1,455     Costs and expenses: Forest Products:   Costs of products sold 1,008 978 936 Alternative fuel mixture credits - - (115 ) Depreciation, depletion and amortization 116 122 121 Selling expenses 34 43 38 General and administrative expenses 82 96 67 Research and development expenses 8 13 13 Charges for restructuring and closures - 82 25 Impairment of goodwill and other assets 1 18 108 Other operating costs (income), net   (71 )     6     (14 )   1,178       1,358     1,179   Real Estate: Costs and operating expenses 121 151 280 Depreciation and amortization 3 4 6 Selling expenses 15 22 22 General and administrative expenses 16 28 19 Other operating costs, net 1 - 10 Impairment of long-lived assets and other related charges   1       42     117     157       247     454   Total costs and expenses   1,335       1,605     1,633     Operating income (loss) 84 (330 ) (178 ) Interest expense and other: Forest Products: Interest expense incurred (106 ) (108 ) (114 ) Less: interest capitalized 1 2 1 Loss on early extinguishment of debt - - (28 ) Interest income and other 9 14 15 Equity in income (loss) of equity affiliates (6 ) 3 (4 ) Real Estate: Interest expense incurred (6 ) (7 ) (8 ) Less: interest capitalized 5 7 6 Interest income and other 3 1 - Equity in income of equity affiliates 36 2 3 Impairments of investments and other related charges   -       (26 )   25   Earnings (loss) before income taxes 20 (442 ) (282 ) Income tax benefit (provision) (1)   (38 )     176     101   Net loss (18 ) (266 ) (181 ) Less: (earnings) loss attributable to noncontrolling interests   (2 )     2     6   Net loss attributable to Weyerhaeuser common shareholders $ (20 )   $ (264 ) $ (175 )   Basic and diluted net loss per share attributable to Weyerhaeuser common shareholders $ (0.10 )   $ (1.25 ) $ (0.83 )   Dividends paid per share $ 0.05     $ 0.25   $ 0.05     Weighted average shares outstanding (in thousands): Basic 211,440 211,298 211,358 Diluted 211,440 211,298 211,358   Common shares outstanding at end of period (in thousands)   211,557       211,355     211,359     (1) First quarter 2010 includes $31 million in tax charges related to the elimination of the ability to claim a tax deduction for prescription drug benefits provided to retirees and reimbursed under the Medicare Part D subsidy beginning in 2013 and state tax rate changes.   WEYERHAEUSER COMPANY         STATISTICAL INFORMATION (unaudited)NET SALES AND REVENUES           (in millions)Q1Q4   March 31,March 31,Dec. 31,2010   20092009 Timberlands: Logs: West $ 82 $ 82 $ 76 South 27 33 29 Canada   9     2   6 Total logs 118 117 111 Pay as cut timber sales 8 7 7 Timberlands exchanges and non-strategic dispositions (1) 35 4 7 Higher and better use land sales (1) 5 1 1 Minerals, oil and gas 15 14 13 Products from international operations (2) 15 7 14 Other products   6     7   3   202     157   156 Wood Products: Structural lumber 241 212 202 Engineered solid section 66 55 54 Engineered I-Joists 48 33 39 Oriented strand board 66 55 58 Softwood plywood 16 14 13 Hardwood lumber 54 51 45 Other products produced 35 43 27 Other products purchased for resale   78     79   72   604     542   510 Cellulose Fibers: Pulp 321 281 315 Liquid packaging board 71 66 74 Other products   18     17   19   410     364   408 Real Estate: Single family housing 143 162 305 Land 7 9 31 Other   1     1   1   151     172   337   Corporate and Other 52 40 44         $ 1,419   $ 1,275 $ 1,455   (1) Higher and better use timberlands and non-strategic dispositions are sold through Forest Products subsidiaries. (2) Includes logs, plywood and hardwood lumber harvested or produced by our international operations, primarily in South America.   WEYERHAEUSER COMPANY         STATISTICAL INFORMATION (unaudited)NET CONTRIBUTION TO PRE-TAX EARNINGS   (in millions)       Q1Q4March 31,March 31,Dec. 31,2010   20092009 Timberlands $ 81 $ 40 $ 13 Wood Products (19 ) (266 ) (208 ) Cellulose Fibers 19 31 147 Real Estate 31 (96 ) (89 ) Corporate and Other   12       (43 )   4   $ 124     $ (334 ) $ (133 )   WEYERHAEUSER COMPANY         FOOTNOTES TO NET CONTRIBUTION TO PRE-TAX EARNINGS (unaudited)   (in millions)         Timberlands includes: Q1 2010   Q1 2009Q4 2009 Asset impairments - attributable to Weyerhaeuser shareholders $ - $ - $ (15 ) Asset impairments - attributable to noncontrolling interests   -       -     (5 )           Wood Products includes: Q1 2010   Q1 2009Q4 2009 Charges for restructuring and closures $ - $ (63 ) $ (1 ) Goodwill impairments - (3 ) - Other asset impairments - (5 ) (84 ) Reserve for litigation - (19 ) - Gain on sale of operations 4 - Gain on sale of property   40       -     -             Cellulose Fibers includes: Q1 2010   Q1 2009Q4 2009 Charges for restructuring and closures $ - $ (1 ) $ - Other asset impairments - - (2 ) Alternative fuel mixture credits   -       -     115             Real Estate includes: Q1 2010   Q1 2009Q4 2009 Charges for restructuring and closures $ - $ (4 ) $ (8 ) Impairment of assets and other related charges - attributable to Weyerhaeuser shareholders - (66 ) (92 ) Impairment of assets and other related charges - attributable to noncontrolling interests - (2 ) - Sale of partnership interests 33 - - Net gain (loss) on land and lot sales   3       6     (10 )           Corporate and Other includes: Q1 2010   Q1 2009Q4 2009 Charges for restructuring and closures $ - $ (18 ) $ (24 ) Asset impairments - (10 ) (2 ) Cost of sales adjustment on previously impaired Real Estate assets - - 24 Reduction in retiree life insurance benefits - - 17 Share-based compensation (2 ) (3 ) (4 ) Net foreign exchange gains (losses) 10 (5 ) 6 Pension and postretirement credits (1) 16 24 29 Lease accounting adjustments   -       -     (12 )   (1) Excludes pension and postretirement included in charges for restructuring and closures.   WEYERHAEUSER COMPANY         STATISTICAL INFORMATION (unaudited)THIRD PARTY SALES VOLUMES         Q1Q4March 31,March 31,Dec. 31,2010   20092009 Timberlands (thousands):   Logs - cubic meters:   West 975 1,090 950 South 634 769 724 Canada 259 64 198 International 78 77 71   Wood Products (millions): Structural lumber - board feet 761 881 759 Engineered solid section - cubic feet 4 3 3 Engineered I-Joists - lineal feet 44 26 34 Oriented strand board - square feet (3/8") 334 347 348 Softwood plywood - square feet (3/8") 60 51 51 Hardwood lumber - board feet 67 58 59   Cellulose Fibers (thousands): Pulp - air-dry metric tons 422 409 443 Liquid packaging board - tons 67 64 73   Real Estate: Single-family homes sold 620 455 431 Single-family homes closed 393 429 778 Single-family homes sold but not closed at end of period (backlog) 877   584 650   WEYERHAEUSER COMPANY         STATISTICAL INFORMATION (unaudited)TOTAL PRODUCTION VOLUMES         Q1Q4March 31,March 31,Dec. 31,2010   20092009 Timberlands (thousands):   Fee depletion - cubic meters:   West 1,431 1,678 1,168 South 2,140 2,380 1,863 International 92 107 133   Wood Products (millions): Structural lumber - board feet 801 861 668 Engineered solid section - cubic feet 4 2 3 Engineered I-Joists - lineal feet 41 20 29 Oriented strand board - square feet (3/8") 378 335 354 Softwood plywood - square feet (3/8") 48 28 37 Hardwood lumber - board feet 59 55 44   Cellulose Fibers (thousands): Pulp - air-dry metric tons 437 415 417 Liquid packaging board - tons 69   65 69   WEYERHAEUSER COMPANY         STATISTICAL INFORMATIONCONDENSED CONSOLIDATED BALANCE SHEETS (unaudited)   (in millions)     March 31,Dec. 31,Assets20102009   Forest Products Current assets:   Cash and cash equivalents $ 2,143 $ 1,862 Short-term investments 1 49 Receivables, less allowances 462 370 Receivables for taxes 34 602 Receivable from pension trust 96 146 Inventories 515 447 Prepaid expenses 93 82 Deferred tax assets   136   109 Total current assets   3,480   3,667 Property and equipment, net 3,539 3,611 Construction in progress 69 52 Timber and timberlands at cost, less depletion charged to disposals 4,016 4,010 Investments in and advances to equity affiliates 192 197 Goodwill 40 40 Deferred pension and other assets 904 756 Restricted assets held by special purpose entities   914   915   13,154   13,248 Real Estate Cash and cash equivalents 17 7 Receivables, less allowances 34 32 Inventory 1,553 1,515 Investments in and advances to equity affiliates 18 17 Deferred tax assets 271 299 Other assets 122 126 Consolidated assets not owned   6   6   2,021   2,002 Total assets $ 15,175 $ 15,250   Liabilities   Forest Products Current liabilities: Notes payable and commercial paper $ 1 $ 4 Current maturities of long-term debt 3 3 Accounts payable 329 317 Accrued liabilities   603   631 Total current liabilities   936   955 Long-term debt 5,281 5,281 Deferred income taxes 1,578 1,538 Deferred pension, other postretirement benefits and other liabilities 1,942 2,000 Liabilities (nonrecourse to Weyerhaeuser) held by special purpose entities   767   768   10,504   10,542 Real Estate Long-term debt 390 402 Other liabilities   224   252   614   654 Total liabilities   11,118   11,196   Equity   Weyerhaeuser shareholders' interest 4,046 4,044 Noncontrolling interest   11   10 Total equity   4,057   4,054 Total liabilities and equity $ 15,175 $ 15,250   WEYERHAEUSER COMPANY       STATISTICAL INFORMATION (unaudited)   STATEMENT OF CASH FLOWS         SELECTED INFORMATION (unaudited)Q1Q4(in millions)March 31,March 31,Dec. 31,2010   20092009     Net cash from operations $ 190 $ (436 ) $ 74 Cash paid for property and equipment (1) (45 ) (53 ) (56 ) Cash paid for timberlands reforestation (1) (13 ) (15 ) (7 ) Acquisition of timberlands (9 ) (7 ) 10 Cash received from issuances of debt - - 491 Payments on debt (17 ) (1 ) (432 ) Proceeds from the sale of assets and operations 115 8 14 Cash paid for dividends (11 ) (53 ) (11 ) Repayments from (loan to) pension trust   50       (85 )   139     (1) Capital spending is for Forest Products only and excludes Real Estate.     Forest Products Working Capital by Business Segment         March 31,March 31,Dec. 31,2010   20092009 Timberlands $ 24 $ 47 $ 9 Wood Products 360 354 226 Cellulose Fibers 244 292 234 Corporate and Other (1)   1,916       1,484     2,243   $ 2,544     $ 2,177   $ 2,712     (1) Corporate and Other segment holds payroll and other liabilities related to the segments and income taxes receivable related to Real Estate.             Forest Products Capital Expenditures by Business SegmentQ1Q4March 31,March 31,Dec. 31,2010   20092009 Timberlands $ 20 $ 28 $ 16 Wood Products 2 25 24 Cellulose Fibers 39 8 23 Corporate and Other   1       7     -   $ 62     $ 68   $ 63     WEYERHAEUSER COMPANY                   STATISTICAL INFORMATION (unaudited)APPENDIXSTATEMENT OF OPERATIONS BY BUSINESS SEGMENT(Dollar amounts in millions)   Q1 2010WoodCelluloseCorporate andTotal ForestTimberlands   Products   Fibers   Other   Eliminations   Products   Real Estate   Total Trade sales and revenues (unaffiliated customers) $ 202 $ 604 $ 410 $ 52 $ - $ 1,268 $ 151 $ 1,419 Intersegment sales   171       16       -       4       (191 )     -       -       -   Net sales and revenues   373       620       410       56       (191 )     1,268       151       1,419   Costs and expenses: Costs of products sold 254 572 331 42 (191 ) 1,008 121 1,129 Depreciation, depletion and amortization 23 45 36 12 - 116 3 119 Selling expenses 2 28 3 1 - 34 15 49 General and administrative expenses 18 39 17 8 - 82 16 98 Research and development expenses 4 1 2 1 - 8 - 8 Charges for restructuring and closures 1 - - (1 ) - - - - Impairment of goodwill and other assets - 1 - - - 1 1 2 Other operating costs (income), net   (10 )     (46 )     (2 )     (13 )     -       (71 )     1       (70 ) Total costs and expenses   292       640       387       50       (191 )     1,178       157       1,335   Operating income (loss) 81 (20 ) 23 6 - 90 (6 ) 84 Interest income and other - 1 - 8 - 9 3 12 Equity in income (loss) of equity affiliates - - (4 ) (2 ) - (6 ) 36 30 Income attributable to noncontrolling interests   -       -       -       -       -       -       (2 )     (2 ) Net contribution to earnings $ 81     $ (19 )   $ 19     $ 12     $ -     $ 93     $ 31   124 Interest expense, net of capitalized interest   (106 ) Earnings before income taxes 18 Income tax provision   (38 ) Net loss attributable to Weyerhaeuser common shareholders $ (20 )       Q1 2009WoodCelluloseCorporate andTotal ForestTimberlands   Products   Fibers   Other   Eliminations   Products   Real Estate   Total Trade sales and revenues (unaffiliated customers) $ 157 $ 542 $ 364 $ 40 $ - $ 1,103 $ 172 $ 1,275 Intersegment sales   171       18       -       3       (192 )     -       -       -   Net sales and revenues   328       560       364       43       (192 )     1,103       172       1,275   Costs and expenses: Costs of products sold 266 595 282 27 (192 ) 978 151 1,129 Depreciation, depletion and amortization 23 50 35 14 - 122 4 126 Selling expenses 2 36 4 1 - 43 22 65 General and administrative expenses 18 53 16 9 - 96 28 124 Research and development expenses 2 3 2 6 - 13 - 13 Charges for restructuring and closures - 62 1 19 - 82 - 82 Impairment of goodwill and other assets - 9 - 9 - 18 - 18 Real Estate impairments and other related charges - - - - - - 42 42 Other operating costs (income), net   (22 )     18       (3 )     13       -       6       -       6   Total costs and expenses   289       826       337       98       (192 )     1,358       247       1,605   Operating income (loss) 39 (266 ) 27 (55 ) - (255 ) (75 ) (330 ) Interest income and other 1 - - 13 - 14 1 15 Equity in income (loss) of equity affiliates - - 4 (1 ) - 3 2 5 Investment impairments and other related charges - - - - - - (26 ) (26 ) Loss attributable to noncontrolling interests   -       -       -       -       -       -       2       2   Net contribution to earnings $ 40     $ (266 )   $ 31     $ (43 )   $ -     $ (238 )   $ (96 ) (334 ) Interest expense, net of capitalized interest   (106 ) Loss before income taxes (440 ) Income tax benefit   176   Net loss attributable to Weyerhaeuser common shareholders $ (264 )       Q4 2009WoodCelluloseCorporate andTotal ForestTimberlands   Products   Fibers   Other   Eliminations   Products   Real Estate   Total Trade sales and revenues (unaffiliated customers) $ 156 $ 510 $ 408 $ 44 $ - $ 1,118 $ 337 $ 1,455 Intersegment sales   129       15       -       4       (148 )     -       -       -   Net sales and revenues   285       525       408       48       (148 )     1,118       337       1,455   Costs and expenses: Costs of products sold 229 524 322 9 (148 ) 936 280 1,216 Alternative fuel mixture credits - - (115 ) - - (115 ) - (115 ) Depreciation, depletion and amortization 21 48 36 16 - 121 6 127 Selling expenses 2 32 5 (1 ) - 38 22 60 General and administrative expenses 13 42 13 (1 ) - 67 19 86 Research and development expenses 3 2 2 6 - 13 - 13 Charges for restructuring and closures - 1 - 24 - 25 - 25 Impairment of goodwill and other assets 20 82 2 4 - 108 - 108 Real Estate impairments and other related charges - - - - - - 117 117 Other operating costs (income), net   (9 )     3       (6 )     (2 )     -       (14 )     10       (4 ) Total costs and expenses   279       734       259       55       (148 )     1,179       454       1,633   Operating income (loss) 6 (209 ) 149 (7 ) - (61 ) (117 ) (178 ) Interest income and other 1 1 - 13 - 15 - 15 Equity in income (loss) of equity affiliates - - (2 ) (2 ) - (4 ) 3 (1 ) Investment impairments and other related charges - - - - - - 25 25 Loss attributable to noncontrolling interests   6       -       -       -       -       6       -       6   Net contribution to earnings $ 13     $ (208 )   $ 147     $ 4     $ -     $ (44 )   $ (89 ) (133 ) Interest expense, net of capitalized interest   (143 ) Loss before income taxes (276 ) Income tax benefit   101   Net loss attributable to Weyerhaeuser common shareholders $ (175 )