Weyerhaeuser has announced a US$264m net loss for the first quarter, primarily due to the performance of its wood products division.
The result represents a US$116m widening of the group’s losses compared with a year ago. Sales totalled US$1.3bn, compared with US$2bn a year ago.
The wood products division’s losses were US$266m, compared with a loss of US$960m in the preceding quarter.
Weyerhaeuser said excluding US$71m pre-tax items relating to closures, restructuring and asset impairments and a US$19m reserve for an agreement to settle alder litigation, the division improved its results by US$23m.
It expects a smaller operating loss for the division in the second quarter due to cost reductions resulting from first-quarter facility closures and other cost control measures.
The company also anticipates lower raw material costs and slightly higher sales volumes.
