UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-K
[X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2008
or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
FOR THE TRANSITION PERIOD FROM TO
COMMISSION FILE NUMBER 1-4825
WEYERHAEUSER COMPANY
A WASHINGTON CORPORATION
91-0470860
(IRS EMPLOYER IDENTIFICATION NO.)
FEDERAL WAY, WASHINGTON 98063-9777 TELEPHONE (253) 924-2345
SECURITIES REGISTERED PURSUANT TO SECTION 12(B) OF THE ACT:
| TITLE OF EACH CLASS | NAME OF EACH EXCHANGE ON WHICH REGISTERED: | |
| Common Shares ($1.25 par value) | Chicago Stock Exchange | |
| New York Stock Exchange |
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. [X] Yes [ &nb sp;] No
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. [ ] Yes [X] No
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. [X] Yes [ ] No
Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [X]
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer.
Large accelerated filer [X] Accelerated filer [ ] Non-accelerated filer [ ] Smaller reporting company [ ]
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). [ ] Yes [X] No
As of June 27, 2008, the aggregate market value of the registrant’s common stock held by non-affiliates of the registrant was $10,409,005,150 based on the closing sale price as reported on the New York Stock Exchange Composite Price Transactions.
As of February 2, 2009, 211,227,629 shares of the registrant’s common stock ($1.25 par value) were outstanding.
DOCUMENTS INCORPORATED BY REFERENCE
Portions of the Notice of 2009 Annual Meeting of Shareholders and Proxy Statement for the company’s Annual Meeting of Shareholders to be held April 16, 2009, are incorporated by reference into Part II and III.
WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K
We are a forest products company that primarily grows and harvests trees, builds homes and makes a range of forest products essential to everyday lives. Our goal is to do this safely, profitably and responsibly.
Our business has offices or operations in 10 countries and has customers worldwide. We manage 22 million acres of forests, and in 2008, we generated $8 billion in net sales from our continuing operations.
This portion of our Annual Report and Form 10-K provides detailed information about who we are, what we do and where we are headed. Unless otherwise specified, current information reported in this Form 10-K is as of the fiscal year ended December 31, 2008.
We break out financial information such as revenues, earnings and assets by the business segments that form our company. We also discuss the development of our company and the geographic areas where we do business.
We report our financial results and condition in two groups:
| • | Weyerhaeuser – our forest products-based operations, principally the growing and harvesting of timber and the manufacture, distribution and sale of forest products; and |
| • | Real Estate – our real estate development and construction operations. |
Throughout this Form 10-K, unless specified otherwise, references to “we,” “our,” “us” and “the company” refer to the consolidated company, including both Weyerhaeuser and Real Estate.
AVAILABLE INFORMATION
We meet the information-reporting requirements of the Securities Exchange Act of 1934 by filing periodic reports, proxy statements and other information with the Securities and Exchange Commission (SEC). These reports and statements – information about our company’s business, financial results and other matters – are available at:
| • | the SEC Internet site – www.sec.gov; |
| • | the SEC’s Public Conference Room, 100 F St. N.E., Washington, D.C., 20549, (800) SEC-0330; and |
| • | our Internet site – www.weyerhaeuser.com. |
When we file the information electronically with the SEC, it also is added to our Internet site.
In the Consolidated Results section of Management’s Discussion and Analysis of Financial Condition and Results of Operations, you will find our overall performance results for our business segments:
| • | Timberlands; |
| • | Wood Products; |
| • | Cellulose Fibers; |
| • | Real Estate; |
| • | Fine Paper (divested in 2007); |
| • | Containerboard, Packaging and Recycling (sold in 2008); and |
| • | Corporate and Other. |
Detailed financial information about our business segments and our geographic locations is in Note 2: Business Segments and Note 25: Geographic Areas in the Notes to Consolidated Financial Statements, as well as in this section and in the Management’s Discussion and Analysis of Financial Condition and Results of Operations.
We started out as Weyerhaeuser Timber Company, incorporated in the state of Washington in January 1900 when Frederick Weyerhaeuser and 15 partners bought 900,000 acres of timberland.
Our innovations and accomplishments through the years include:
| • | establishing the nation’s first certified tree farm in 1941; |
| • | hand-planting 18.4 million seedlings through a foot or more of ash to transform 68,000 acres of devastated, heat-blasted landscape – left from the Mount St. Helens eruption in 1980 – into new forests that will be ready for harvesting in 2020; and |
| • | making our forests among the most productive in the world by using our High-Yield Forestry program – an approach that combines economic benefits with a concern for habitat, wildlife, water quality and other forest values. |
As a company, we are facing extraordinary conditions. The housing market has seen an incredible slowdown, consumer confidence remains at the lowest levels ever since tracking began in 1967 and tight credit poses a significant threat to customers. Against this backdrop, we are uncertain as to how long these challenging market conditions will continue.
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 1 |
For additional information about market risks and the effects of current market conditions on our operations see Risk Factors – Risks Related to Our Industries and Business and Management’s Discussion and Analysis of Financial Condition and Results of Operations – Economic and Market Conditions Affecting our Operations.
Our major markets – both domestic and foreign – are highly competitive, with numerous companies selling similar products. Many of our products also compete against substitutes for wood and wood-fiber products. In real estate development, we compete against numerous regional and national firms. We compete in our markets primarily through price, product quality and service levels.
Our business segments’ competitive strategies are as follows:
| • | Timberlands strives to extract maximum value for each acre. |
| • | Wood Products delivers high-quality lumber, engineered wood products and integrated solutions to the residential construction and industrial markets. |
| • | Cellulose Fibers concentrates primarily on value-added pulp products. |
| • | Weyerhaeuser Real Estate Company delivers its unique value propositions in target markets. |
Our Containerboard, Packaging and Recycling segment was sold to International Paper in August 2008. Our Fine Paper segment was divested in a transaction with Domtar Inc. in March 2007.
In 2008, $2.5 billion – 22 percent – of our total consolidated sales and revenues, including sales from discontinued operations, were to customers outside the U.S. The table below shows sales outside the U.S. for the last three years.
| SALES OUTSIDE THE U.S. IN MILLIONS OF DOLLARS | ||||||||||||
| 2008 | 2007 | 2006 | ||||||||||
| Exports from the U.S. | $ | 1,666 | $ | 2,020 | $ | 1,864 | ||||||
| Canadian export and domestic sales | 240 | 583 | 1,326 | |||||||||
| Other foreign sales | 563 | 513 | 571 | |||||||||
| Total |
$ | 2,469 | $ | 3,116 | $ | 3,761 | ||||||
| Percent of total sales | 22% | 18% | 17% | |||||||||
We have approximately 19,850 employees. This number includes:
| • | 18,650 employed by our corporate operations and forest products-based business segments and |
| • | 1,200 employed by our Real Estate segment. |
Of these employees, approximately 4,100 are members of unions covered by multiyear collective-bargaining agreements.
Over the last five years, we have made an acquisition to complement our key operations and have exited businesses that did not fit our long-term strategic direction. As you review our results for the past five years, it may be helpful to keep in mind the following acquisition and divestitures and the segments affected.
Summary of Recent Divestitures and Acquisition
| YEAR | TRANSACTION | SEGMENTS AFFECTED | ||
| 2008 | Containerboard, Packaging and Recycling segment – sold | Containerboard, Packaging and Recycling segment | ||
| 2008 | Australian operations – sold | Corporate and Other segment | ||
| 2008 | Uruguay operations – partition completed | Timberland and Corporate and Other segments | ||
| 2007 | Fine Paper and related assets – divested | Fine Paper, Timberlands and Wood Products segments | ||
| 2007 | New Zealand operations – sold | Corporate and Other segment | ||
| 2007 | Canadian wood products distribution centers – sold | Wood Products segment | ||
| 2006 | North American and Irish composite panel operations – sold | Wood Products and Corporate and Other segments | ||
| 2006 | Maracay Homes – acquired | Real Estate segment | ||
| 2005 | Coastal British Columbia operations and timberlands (B.C Coastal) – sold | Wood Products and Timberlands segments | ||
| 2005 | French composite panel operations – sold | Corporate and Other segment |
Additional information related to our discontinued operations can be found in Note 3: Discontinued Operations and Assets Held for Sale in the Notes to Consolidated Financial Statements. Additional information related to our acquisition can be found in Note 24: Acquisitions in the Notes to Consolidated Financial Statements.
In addition to the divestitures and acquisition above, segment comparability is affected by the following:
International Operations
Effective July 2008, there were changes in senior management responsibility for Weyerhaeuser’s international operations outside of North America, which consist primarily of timberlands and related converting operations in South America. As a result, these operations, which previously were reported as part of the Corporate and Other segment, are now reported as part of the Timberlands segment.
| 2 |
Allocation of Pension and Postretirement Credits (Costs)
Effective with the first quarter of 2008, our recurring pension credits (costs) are no longer being allocated to Weyerhaeuser operating segments. Effective with the third quarter of 2008, our recurring postretirement credits (costs) are no longer being allocated to Weyerhaeuser operating segments. These Weyerhaeuser pension and postretirement credits (costs) are reported in the Corporate and Other segment with the exception of certain union-negotiated postretirement benefits that are reflected in the Cellulose Fibers segment. Pension and postretirement credits (costs) related to real estate operations are reported in the Real Estate segment.
This section provides information about how we:
| • | grow and harvest trees, |
| • | manufacture and sell products made from them and |
| • | build and sell homes. |
For each of our business segments, we provide details about what we do, where we do it, how much we sell and where we are headed.
Our Timberlands business segment manages 6.7 million acres of private commercial forestland worldwide. We own 6 million of those acres and lease the other 700,000 acres. In addition, we have renewable, long-term licenses on 15.2 million acres of forestland located in four Canadian provinces. The tables presented in this section include data from this segment’s business units as of the end of 2008.
Due to changes in senior management responsibility during 2008, we now report our international operations outside of North America – which consist primarily of timberlands and related converting operations in South America – as part of our Timberlands business segment. We previously reported these operations as part of our Corporate and Other business segment. We have reclassified business segment results for prior periods to be consistent with the current presentation.
WHAT WE DO
Forestry Management
Our Timberlands business segment is recognized as a leading forest manager. We:
| • | grow and harvest trees for use as lumber, other wood and building products and pulp and paper; |
| • | export logs to other countries where they are made into products; |
| • | plant seedlings—and in parts of Canada we use natural regeneration—to reforest the harvested areas using the most effective regeneration method for the site and species; |
| • | monitor and care for the new trees as they grow to maturity; and |
| • | seek to sustain and maximize the timber supply from our forestlands while keeping the health of our environment a key priority. |
Our goal is to achieve maximum returns by selling logs and stumpage to internal and external customers. We focus on solid wood and use intensive silviculture to improve forest productivity and returns while managing the forests on a sustainable basis to meet both customer and public expectations.
Wholly owned subsidiaries or joint ventures – for which we are the managing partner – run our international operations in this business segment. Our international assets consist principally of forest plantations, forest licenses and converting assets in South America. Weyerhaeuser is also the managing partner in Fujian Yong Hui Forestry Co. Ltd, a joint venture in China established in 2007. The joint venture is owned 51 percent by Weyerhaeuser and 49 percent by Fujian Yong’An Forestry Company. As of December 31, 2008, the joint venture managed 2,233 acres of timberlands with 56,000 seedlings planted in 2008.
Sustainable Forestry Practices
We are committed to responsible environmental stewardship wherever we operate, managing forests not only for wood production but also for the ecosystem services they provide. Most of the forests we manage include places with unique environmental, cultural, historical or recreational value. We manage these areas under regulatory requirements and voluntary standards to protect their unique qualities. Protecting forests with exceptional conservation value is part of implementing the Sustainable Forestry Initiative®(SFI) standard. All of the forests we own or manage in the United States have been independently certified as meeting the SFI standard. In addition, our forestlands in Uruguay are the model for the developing Uruguayan national forest certification standard, designed to be endorsed by the Program for the Endorsement of Forest Certification (PEFC).
Canadian Forestry Operations
In Canada, we are licensed to operate forestlands that provide the volume for our manufacturing units in various provinces. When the volume is harvested, we pay the provinces at stumpage rates that are set by the government and generally based on prevailing market prices. The economic benefit of growing the timber accrues to the provincial government. We do not generate any profit in the Timberlands segment from the harvest of timber from the licensed acres in Canada.
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 3 |
Other Values From Our Timberlands
We use our geologic databases to identify and market opportunities for commercial mineral and geothermal development on our lands with a focus on the Pacific Northwest and southern United States. Revenue is primarily derived from:
| • | royalty payments on oil and gas production, |
| • | bonus income from leasing activity and |
| • | the sale of mineral assets. |
Timberlands Products
| PRODUCTS | HOW THEY’RE USED | |
| Logs | Logs are made into lumber, other wood and building products and pulp and paper products | |
| Timberlands | Timberland tracts are exchanged to improve our timberland portfolio or are sold to third parties by our land development subsidiary within this segment | |
| Timber | Standing timber may be sold to third parties or converted into chips and other raw materials to be made into pulp and paper products | |
| Minerals, oil and gas | Sold into construction and energy markets | |
| Other products | Includes seed and seedlings, poles, as well as plywood and hardwood lumber produced by our international operations, primarily in South America |
HOW WE MEASURE OUR PRODUCT
Beginning this year, we have started to report Timberlands data in cubic meters. Cubic meters is a measure of the total volume of wood fiber in a tree or log that can be sold. Cubic meter volume is determined from the large- and small-end diameters and length and provides a more consistent and comparative measure of timber and log volume among operating regions, species, size and seasons of the year than other units of measure.
Previously, we recorded the measurable amount of fiber we can sell from a log in cunits, a similar volumetric measure where 1 cunit equals 100 cubic feet of solid wood. We changed the measurement because cubic meters is an internationally recognized measure of solid wood volume. One cunit is equal to 2.83 cubic meters.
We also use two other units of measure when transacting business including:
| • | thousand board feet (MBF) – used in the West to measure the expected lumber recovery from a tree or log, but it does not include taper or recovery of nonlumber residual products; and |
| • | green tons – used in the South to measure weight, but factors used for conversion to product volume can vary by species, size, location and season. |
Both of these measures are accurate for the regional purposes for which they are used, but they do not provide a meaningful basis for volumetric comparisons or comparisons between the regions.
The conversion rate for MBF to cubic meters varies based on several factors including diameter, length and taper of the timber being measured. The average conversion rate for MBF to cubic meters is approximately 6.7 cubic meters per MBF.
The conversion rate from green tons to cubic meters also varies based on the season harvested and the specific gravity of the wood for the region from which the timber is produced. An average conversion rate for green tons to cubic meters is approximately 0.825 cubic meters per green ton.
WHERE WE DO IT
Our balanced portfolio of timberlands assets are located primarily in North America. In the U.S. we own and manage sustainable forests – for use in wood products and pulp and paper manufacturing – in nine states. We own or lease:
| • | 4.2 million acres in the southern U.S. – which we refer to as our forests in the South; and |
| • | 2.2 million acres in the Pacific Northwest – which we refer to as our forests in the West. |
Our international operations are located primarily in Uruguay and China where, as of December 31, 2008, we own a total of 321,000 acres and have long-term leases on another 28,000 acres.
In addition, we have renewable, long-term licenses on 15.2 million acres of forestland that is owned by the provincial government of four Canadian provinces.
Our total timber inventory—including timber on owned and leased land in our U.S. and international operations—is approximately 319 million cubic meters. The timber inventory on licensed lands in Canada is approximately 382 million cubic meters. The amount of timber inventory does not translate into an amount of lumber or panel products because the quantity of end products:
| • | varies according to the species, size and quality of the timber; and |
| • | will change through time as the mix of these variables adjust. |
The relative value of our timberlands is affected by the species, size and grade of the trees.
| 4 |
Summary of 2008 Timber Inventory and Timberland Locations
United States
| GEOGRAPHIC AREA | MILLIONS OF CUBIC METERS |
THOUSANDS OF ACRES
AT DECEMBER 31, 2008 |
||||||||||
| TOTAL INVENTORY |
FEE OWNERSHIP |
LONG- TERM LEASES |
TOTAL ACRES |
|||||||||
| U.S. | ||||||||||||
| West |
173 | 2,218 | – | 2,218 | ||||||||
| South |
140 | 3,445 | 696 | 4,141 | ||||||||
| Total U.S. | 313 | 5,663 | 696 | 6,359 | ||||||||
Our Western timberlands are composed primarily of Douglas fir, a species highly valued for its structural strength. We also have large volumes of western hemlock along the coastal areas to serve the whitewood markets. Our Southern timberlands are predominantly southern yellow pine, which provide grade logs to wood products facilities and chips and fiber logs to pulp and paper operations. Both regions have minor volumes of various hardwood species.
International
| GEOGRAPHIC AREA | MILLIONS OF CUBIC METERS |
THOUSANDS OF ACRES AT DECEMBER 31, 2008 |
||||||||||
| TOTAL INVENTORY |
FEE OWNERSHIP |
LONG- TERM LEASES |
TOTAL ACRES |
|||||||||
| Uruguay | 6 | 321 | 26 | 347 | ||||||||
| China(1) | – | – | 2 | 2 | ||||||||
| Total International | 6 | 321 | 28 | 349 | ||||||||
| (1) Includes Weyerhaeuser percentage ownership of timberlands owned and managed through joint ventures |
| |||||||||||
Our forestlands in Uruguay are composed of approximately 70 percent loblolly pine and 30 percent eucalyptus. The average age class of the timber in Uruguay is in the first third of its rotation age. It is entering into that part of the growth rotation when we will see increased volume accretion. Only 50 percent of the area to be planted has been afforested to date. The afforestation program is planned to be completed within the next four years.
Canada – Licensed Timberlands
| GEOGRAPHIC AREA | MILLIONS OF CUBIC METERS |
THOUSANDS OF ACRES AT DECEMBER 31, 2008 |
|||||||
| TOTAL INVENTORY LICENSED STANDING VOLUME |
LICENSE ARRANGEMENTS |
TOTAL ACRES |
|||||||
| Canada | |||||||||
| Alberta |
246 | 5,356 | 5,356 | ||||||
| British Columbia |
23 | 2,255 | 2,255 | ||||||
| Ontario |
33 | 2,598 | 2,598 | ||||||
| Saskatchewan |
80 | 4,968 | 4,968 | ||||||
| Total Canada | 382 | 15,177 | 15,177 | ||||||
We lease and license forestland in Canada to secure the volume for our manufacturing units in the various provinces. We transfer logs from our harvest operations to our manufacturing facilities at cost. Any profit from the conversion of these logs is recognized in the Wood Products or Cellulose Fibers operating segment responsible for that activity.
All licenses managed in Canada have been independently certified using the Canadian Standards Association (CSA) standard.
Five-Year Summary of Timberlands Production
| PRODUCTION IN THOUSANDS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Fee depletion – cubic meters: | |||||||||||||||
| West |
11,494 | 10,403 | 10,666 | 10,630 | 10,457 | ||||||||||
| South |
12,363 | 12,645 | 13,246 | 13,219 | 13,192 | ||||||||||
| Canada |
– | – | – | 856 | 1,859 | ||||||||||
| Total | 23,857 | 23,048 | 23,912 | 24,705 | 25,508 | ||||||||||
Our Timberlands annual fee depletion represents the harvest of the timber assets we own. Depletion is a method of expensing the cost of establishing the fee timber asset base over the harvest or timber sales volume. The decline in fee depletion from 2004 through 2006 reflects the disposition of our B.C. Coastal operations in May 2005. The increase in volume in the West in 2008 reflects increased volume from salvage efforts following a December 2007 windstorm.
HOW MUCH WE SELL
Our net sales to unaffiliated customers over the last two years were:
| • | $899 million in 2008 – down 2 percent from 2007; and |
| • | $922 million in 2007. |
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 5 |
Our intersegment sales over the last two years were:
| • | $1.0 billion in 2008 – down 23 percent from 2007; and |
| • | $1.3 billion in 2007. |
Five-Year Summary of Net Sales for Timberlands
| NET SALES IN MILLIONS OF DOLLARS | ||||||||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||
| To unaffiliated customers: | ||||||||||||||||||||
| Logs: |
||||||||||||||||||||
| West |
$ | 547 | $ | 565 | $ | 667 | $ | 625 | $ | 657 | ||||||||||
| South |
97 | 56 | 57 | 67 | 71 | |||||||||||||||
| Canada(1) |
20 | 38 | 58 | 69 | 94 | |||||||||||||||
| Total |
664 | 659 | 782 | 761 | 822 | |||||||||||||||
| Timberlands exchanges |
73 | 128 | 96 | 145 | 160 | |||||||||||||||
| Higher and better use land sales(2) |
11 | 33 | 35 | 39 | 57 | |||||||||||||||
| Minerals, oil and gas |
61 | 40 | 48 | 47 | 29 | |||||||||||||||
| Pay as cut timber sales |
32 | 25 | 32 | 33 | 16 | |||||||||||||||
| Products from international operations(3) |
40 | 12 | 6 | 3 | 1 | |||||||||||||||
| Other products |
18 | 25 | 24 | 22 | 18 | |||||||||||||||
| Subtotal sales to unaffiliated customers | 899 | 922 | 1,023 | 1,050 | 1,103 | |||||||||||||||
| Intersegment sales: | ||||||||||||||||||||
| United States |
817 | 983 | 1,093 | 1,110 | 981 | |||||||||||||||
| Other |
217 | 363 | 593 | 691 | 642 | |||||||||||||||
| Subtotal intersegment sales | 1,034 | 1,346 | 1,686 | 1,801 | 1,623 | |||||||||||||||
| Total | $ | 1,933 | $ | 2,268 | $ | 2,709 | $ | 2,851 | $ | 2,726 | ||||||||||
| (1) Reflects the divestiture of our B.C. Coastal operations in May 2005 and the Domtar Transaction in March 2007. (2) Higher and better use timberland is sold through Weyerhaeuser subsidiaries. (3) Includes logs, plywood and hardwood lumber harvested or produced by our international operations, primarily in South America. |
| |||||||||||||||||||
Five-Year Trend for Total Net Sales in Timberlands
Percentage of 2008 Sales to Unaffiliated Customers
Log Sales Volumes
Logs sold to unaffiliated customers in 2008 increased approximately 1.5 million cubic meters – 17 percent – from 2007.
| • | Sales volumes in the West increased 755,000 cubic meters – 12 percent. The Western increase was primarily due to a higher harvest level of salvage logging following the December 2007 windstorm. Our Western sales to unaffiliated customers is generally higher-grade logs sold into the export market and domestic-grade logs sold to West Coast sawmills. |
| • | Sales to unaffiliated customers in the South increased 766,000 cubic meters – 48 percent – as we continue to supply fiber to the containerboard mills sold to International Paper in August 2008. Prior to August, logs sold to those mills would have been accounted for as intersegment sales. Our southern sales volumes to unaffiliated customers are generally lower-grade fiber logs sold to pulp or containerboard mills. We use almost all of our high-grade logs in our own conversion facilities. |
| • | Sales volumes from Canada decreased 396,000 cubic meters – 43 percent – in 2008. This reduction in volume was primarily due to having fewer operations in Canada. |
| • | Sales volumes from our international operations increased in 2008 with the addition of our Uruguay operations – which were previously reported as joint ventures. |
We have three primary grades of log sales – domestic grade, domestic fiber and export. Factors that may affect log sales in each of these categories include:
| • | domestic grade log sales – lumber usage, primarily for housing starts and repair and remodel activity, the needs of our own mills and the availability of logs from both outside markets and our own timberlands; |
| • | domestic fiber log sales – demand for chips by pulp and containerboard mills; and |
| • | export log sales – level of housing starts in Japan, where most of our North American export logs are sold. |
| 6 |
All our domestic and export logs are sold to unaffiliated customers or transferred at market prices to our internal mills by the sales and marketing staff within our Timberlands business units.
Five-Year Summary of Log Sales Volumes to Unaffiliated Customers for Timberlands
| SALES VOLUMES IN THOUSANDS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Logs – cubic meters: | |||||||||||||||
| West |
6,967 | 6,212 | 6,602 | 6,380 | 6,571 | ||||||||||
| South |
2,347 | 1,581 | 1,698 | 1,925 | 2,209 | ||||||||||
| Canada |
529 | 925 | 1,425 | 1,745 | 2,314 | ||||||||||
| International |
329 | – | 55 | 31 | – | ||||||||||
| Total | 10,172 | 8,718 | 9,780 | 10,081 | 11,094 | ||||||||||
| Reflects the divestiture of our B.C. Coastal operations in May 2005 and the Domtar Transaction in March 2007. | |||||||||||||||
Log Prices
The majority of our log sales to unaffiliated customers are sales to the export market and to other domestic sawmills in the Pacific Northwest. Following is a five-year summary of selected export log prices.
Five-Year Summary of Selected Export Log Prices
(#2 Sawlog Bark On – $/MBF)
Our log prices are affected by the supply of and demand for grade and fiber logs and are influenced by the same factors that affect log sales. Export log prices are particularly affected by the Japanese housing market.
Average 2008 log realizations in the West decreased from 2007 – primarily due to lower domestic log prices and an increased mix of lower-value whitewood in both our export and domestic volumes resulting from the salvage logging efforts following the December 2007 windstorm. These were slightly offset by increased log realizations in the South compared to 2007.
WHERE WE’RE HEADED
Our competitive strategies include:
| • | managing forests on a sustainable basis to meet customer and public expectations; |
| • | reducing the time it takes to realize returns by practicing intensive forest management and focusing on the most advantageous markets; |
| • | efficiently delivering raw materials to internal supply chains; |
| • | building long-term relationships with external customers who rely on a consistent supply of high-quality raw material; |
| • | continuously reviewing our portfolio of land holdings to create the greatest value for the company; |
| • | investing in technology and advances in silviculture to improve yields and timber quality; and |
| • | positioning ourselves as one of the largest, lowest-cost growers of global softwood and hardwood timber. |
In addition, we believe we will generate additional revenues from new products and services, such as wetland mitigation banking and conservation easements, and from participating in emerging carbon markets.
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 7 |
We are one of the largest manufacturers and distributors of wood products in North America.
WHAT WE DO
Our wood products segment:
| • | provides a family of high-quality softwood lumber, engineered lumber, structural panels and other specialty products to the residential structural frame market; |
| • | delivers innovative homebuilding solutions to help our customers quickly and efficiently meet their customers’ needs; |
| • | sells our products and services primarily through our own sales organizations and distribution facilities and supplements our product offerings with building materials that we purchase from other manufacturers; |
| • | sells certain products into the repair and remodel market through the wood preserving and home-improvement warehouse channels; |
| • | exports our engineered building materials and industrial hardwood products to Europe and Asia; |
| • | makes and sells hardwood and softwood lumber and panels to manufacturers of furniture and cabinetry in more than 40 countries; and |
| • | acquires raw materials at market price from our Timberlands business segment and from third parties. |
Wood Products
| PRODUCTS | HOW THEY’RE USED | |
| Softwood lumber | Structural framing for residential and commercial structures | |
| Engineered lumber • Solid section • I-joists |
Floor and roof joists, and headers and beams for residential and commercial structures | |
| Structural panels • Oriented strand board (OSB) • Plywood |
Structural sheathing, subflooring and stair tread for residential and commercial structures | |
| Veneer | Intermediate raw material for plywood and engineered lumber manufacturing | |
| Hardwood lumber | Furniture, pallets, ties, moldings, panels, cabinets, architectural millwork, components and retail boards | |
| Other products | Complementary building products such as cedar decking, siding, insulation, rebar and engineered lumber connectors |
WHERE WE DO IT
We operate manufacturing facilities in the U.S. and Canada. We distribute through a combination of Weyerhaeuser and third-party locations. Information about the locations, capacities and actual production of our manufacturing facilities is included below.
Principal Manufacturing Locations
Locations of our principal manufacturing facilities as of December 31, 2008, by major product group were:
| • | Softwood lumber |
| – | U.S. – Alabama, Arkansas, Louisiana, Mississippi, North Carolina, Oklahoma, Oregon and Washington |
| – | Canada – Alberta and British Columbia |
| • | Engineered lumber |
| – | U.S. – Alabama, Georgia, Kentucky, Louisiana, Minnesota, Oregon and West Virginia |
| – | Canada – British Columbia and Ontario |
| • | Oriented strand board |
| – | U.S. – Louisiana, Michigan, North Carolina and West Virginia |
| – | Canada – Alberta, Ontario and Saskatchewan |
| • | Plywood and veneer |
| – | U.S. – Alabama, Arkansas, Louisiana, Oregon and Washington |
| • | Hardwood lumber |
| – | U.S. – Michigan, Oregon, Washington and Wisconsin |
Subsequent to year-end and through the date of this filing, we announced the permanent closures of one lumber mill and one veneer mill in Aberdeen, Washington, and the indefinite closures of one lumber mill and one veneer mill in Pine Hill, Alabama.
Summary of 2008 Wood Products Capacities
| CAPACITIES IN MILLIONS | ||||||
| PRODUCTION CAPACITY |
NUMBER OF FACILITIES |
|||||
| Softwood lumber – board feet | 5,960 | 27 | ||||
| Engineered solid section – cubic feet | 56 | 11 | ||||
| Engineered I-joists – lineal feet | 485 | 5 | ||||
| Oriented strand board – square feet (3/8”) | 3,485 | 7 | ||||
| Plywood – square feet (3/8”) | 460 | 2 | ||||
| Veneer – square feet (3/8”) | 1,355 | 6 | ||||
| Hardwood lumber – board feet | 300 | 7 | ||||
| Capacities include: - announced closure or indefinite curtailment of two lumber facilities and two veneer mills in early 2009 – Aberdeen Lumber, Pacific Veneer and Pine Hill Lumber and Veneer; - indefinite curtailment of two engineered solid section facilities – Colbert Parallam and Deerwood Timberstrand; - indefinite curtailment of one engineered I-joist facility – Valdosta; and - indefinite curtailment of two oriented strand board mills – Wawa and Hudson Bay. |
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| 8 |
Five-Year Summary of Wood Products Production
| PRODUCTION IN MILLIONS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Softwood lumber –board feet(1) | 4,451 | 5,490 | 6,355 | 6,986 | 7,187 | ||||||||||
| Engineered solid section – cubic feet(2) | 22 | 28 | 41 | 41 | 42 | ||||||||||
| Engineered I-joists –lineal feet(2) | 218 | 339 | 473 | 483 | 504 | ||||||||||
| Oriented strand board – square feet (3/8”) | 2,468 | 3,428 | 4,166 | 4,078 | 4,081 | ||||||||||
| Plywood – square feet (3/8”)(3) | 333 | 423 | 900 | 1,155 | 1,628 | ||||||||||
| Veneer – square feet (3/8”)(3)(4) | 872 | 1,150 | 1,739 | 1,979 | 2,386 | ||||||||||
| Composite panels – square feet (3/4”) (1) | — | — | 666 | 1,080 | 1,066 | ||||||||||
| Hardwood lumber – board feet | 253 | 294 | 324 | 364 | 349 | ||||||||||
| (1) Reflects the divestitures of our B.C. Coastal operations in May 2005, North American composite panel operations in July 2006 and the Domtar Transaction in March 2007. (2) Weyerhaeuser engineered I-joist facilities also may produce engineered solid section. (3) All Weyerhaeuser plywood facilities also produce veneer. (4) Veneer production represents lathe production and includes volumes that are used to produce plywood and engineered lumber products by our mills. |
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HOW MUCH WE SELL
Revenues of our Wood Products business segment come from sales to wood products dealers, do-it-yourself retailers, builders and industrial users. We provide products and services to the residential construction market under the iLevel®brand. In 2008, our net sales were $3.8 billion compared with $5.7 billion in 2007.
Five-Year Summary of Net Sales for Wood Products
| NET SALES IN MILLIONS OF DOLLARS | ||||||||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||
| Softwood lumber(1) | $ | 1,443 | $ | 2,241 | $ | 2,997 | $ | 3,624 | $ | 3,915 | ||||||||||
| Engineered solid section | 414 | 608 | 794 | 833 | 701 | |||||||||||||||
| Engineered I-joists | 284 | 467 | 670 | 704 | 645 | |||||||||||||||
| Oriented strand board | 416 | 589 | 939 | 1,164 | 1,390 | |||||||||||||||
| Plywood | 202 | 366 | 529 | 735 | 929 | |||||||||||||||
| Hardwood lumber | 291 | 355 | 398 | 390 | 365 | |||||||||||||||
| Other products produced(1) | 225 | 226 | 214 | 277 | 374 | |||||||||||||||
| Other products purchased for resale | 493 | 847 | 1,361 | 1,551 | 1,456 | |||||||||||||||
| Total | $ | 3,768 | $ | 5,699 | $ | 7,902 | $ | 9,278 | $ | 9,775 | ||||||||||
| (1) Reflects the divestitures of our B.C. Coastal operations in May 2005, North American composite panel operations in July 2006 and the Domtar Transaction in March 2007. |
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Five-Year Trend for Total Net Sales in Wood Products
Percentage of 2008 Net Sales in Wood Products
Wood Products Volume
The volume of wood products sold in 2008 declined from 2007 primarily due to a significant decline in market demand, resulting from the downturn of the homebuilding and repair and remodel markets. In response to these market conditions in 2007 and 2008, we sold or closed a number of facilities and curtailed production at several other mills. The sales and closures include:
| • | Sales: |
| – | 2008 – seven U.S. distribution centers; and |
| – | 2007 – two plywood facilities and 16 Canadian distribution centers. |
| • | Closures: |
| – | 2008 – three lumber mills, four U.S. distribution centers and two Canadian OSB mills that were curtailed in 2007; and |
| – | 2007 – two lumber mills, one engineered lumber mill, two U.S. distribution centers, a plywood line and a veneer peeling operation. |
| • | Indefinite curtailment: |
| – | 2008 – one Canadian OSB mill and one engineered lumber mill; and |
| – | 2007 – two Canadian OSB mills and two engineered lumber mills. |
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 9 |
Five-Year Summary of Sales Volume for Wood Products
| SALES VOLUMES IN MILLIONS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Softwood lumber(1) – board feet |
4,722 | 6,538 | 7,871 | 8,650 | 8,890 | ||||||||||
| Engineered solid section – cubic feet | 23 | 30 | 36 | 38 | 37 | ||||||||||
| Engineered I-joists – lineal feet |
227 | 338 | 456 | 484 | 496 | ||||||||||
| Oriented strand board – square feet (3/8”) |
2,438 | 3,466 | 4,096 | 3,948 | 4,213 | ||||||||||
| Plywood – square feet (3/8”) |
565 | 1,049 | 1,663 | 2,180 | 2,629 | ||||||||||
| Hardwood lumber – board feet |
324 | 363 | 412 | 427 | 417 | ||||||||||
| (1) Reflects the divestiture of our B.C. Coastal operations in May 2005 and the Domtar Transaction in March 2007. |
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Wood Products Prices
Prices for wood products in 2008 declined from 2007.
In general, the following factors influence prices for wood products:
| • | Overall demand for structural wood products used in new residential construction and the repair and remodel of existing homes affects prices. Residential construction is affected by the rate of household formation and other demographic factors, mortgage interest rates, the need for replacement of existing housing stock and the demand for secondary or vacation homes. Repair and remodel activity is affected by the size and age of existing housing inventory and access to home equity financing and other credit. |
| • | The availability of supply of commodity building products such as lumber and plywood affects prices. A number of factors can affect supply, including new capacity, weather, raw material quality and availability and rail and truck transportation availability. |
| • | Proprietary-grade products and services can command higher prices. Our ability to differentiate our products and services from other manufacturers and create demand for them in the marketplace could generate higher prices. |
Demand for home construction fell dramatically from 2006 through 2008, with a corresponding drop in demand for the products that we produce and sell. The ongoing oversupply of products has put significant and prolonged downward pressure on prices. This is evident in the following graphs.
Five-Year Summary of Selected Published Lumber Prices – $/MBF
Five-Year Summary of Selected Published Oriented Strand Board Prices – $/MSF
Five-Year Summary of Selected Published Plywood Prices ( 1/2” CDX) – $/MSF
| 10 |
WHERE WE’RE HEADED
Our competitive strategies include:
| • | responding to difficult market conditions by actively managing our network of production facilities to balance supply with market demand; |
| • | achieving operating excellence throughout the delivery chain; |
| • | taking advantage of our size, scale, expertise and breadth of products that make us unique in serving the residential structural-frame marketplace; |
| • | developing and delivering innovative homebuilding solutions, such as residential structural frame construction, to meet customers’ needs; |
| • | meeting international demands for hardwood products by aligning our global supply chain and strengthening our industrial wood products sales capability; and |
| • | continuing to meet the needs of home-improvement repair and remodel customers. |
Our cellulose fibers (pulp) products are distributed through a global direct sales network, and our liquid packaging products are sold directly to carton and food product packaging converters in North America and Asia. We also have a 50 percent interest in North Pacific Paper Corporation (NORPAC) – a joint venture with Nippon Paper Industries that produces newsprint and high-brightness publication papers.
WHAT WE DO
As one of the world’s largest softwood market pulp producers, we:
| • | provide cellulose fibers for targeted specialty markets, |
| • | work closely with our customers to develop unique or specialized applications and |
| • | manufacture liquid packaging board used primarily for the production of containers for liquid products. |
Cellulose Fibers Products
| PRODUCTS | HOW THEY’RE USED | |
| Pulp • Fluff pulp (Southern softwood kraft fiber) • Papergrade pulp (Southern and Northern softwood kraft fiber) • Specialty chemical cellulose pulp |
• Used in sanitary disposable products that require bulk, softness and absorbency • Used in products that include printing and writing papers and tissue
• Used in textiles, absorbent products, specialty packaging, specialty applications and proprietary high-bulking fibers | |
| Liquid packaging board | Converted into containers to hold liquid materials such as milk, juice and tea | |
| Other products • Slush pulp • Wet lap pulp |
Used in the manufacture of paper products |
WHERE WE DO IT
We have four pulp mills in the southern part of the U.S. and one pulp mill in Canada. We also have a converting facility for modified fibers in Mississippi. Our liquid packaging mill is located in Washington state.
Principal Manufacturing Locations
Locations of our principal manufacturing facilities by major product group are:
| • | Pulp |
| – | U.S. – Georgia, Mississippi and North Carolina |
| – | Canada – Alberta |
| • | Modified fiber converting facility |
| – | U.S. – Mississippi |
| • | Liquid packaging board |
| – | U.S. – Washington |
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 11 |
Summary of 2008 Cellulose Fibers Capacities
| CAPACITIES IN THOUSANDS | ||||||
| PRODUCTION CAPACITY |
NUMBER OF FACILITIES |
|||||
| Pulp – air-dry metric tons | 1,790 | 5 | ||||
| Liquid packaging board – tons | 300 | 1 | ||||
Five-Year Summary of Cellulose Fibers Production
| PRODUCTION IN THOUSANDS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Pulp – air-dry metric tons (1) | 1,760 | 1,851 | 2,588 | 2,502 | 2,546 | ||||||||||
| Liquid packaging board – tons | 297 | 283 | 282 | 264 | 266 | ||||||||||
| (1) Reflects Domtar Transaction in March 2007. |
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HOW MUCH WE SELL
Revenues of our Cellulose Fibers segment come from sales to customers who use the products for further manufacturing or distribution and for direct use. Our net sales were approximately $1.8 billion in 2008 and 2007.
Five-Year Summary of Net Sales for Cellulose Fibers
| NET SALES IN MILLIONS OF DOLLARS | ||||||||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||
| Pulp (1) | $ | 1,357 | $ | 1,478 | $ | 1,657 | $ | 1,482 | $ | 1,471 | ||||||||||
| Liquid packaging board | 290 | 247 | 229 | 203 | 208 | |||||||||||||||
| Other products | 118 | 107 | 70 | 51 | 43 | |||||||||||||||
| Total | $ | 1,765 | $ | 1,832 | $ | 1,956 | $ | 1,736 | $ | 1,722 | ||||||||||
| (1) Reflects Domtar Transaction in March 2007. |
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Five-Year Trend for Total Net Sales in Cellulose Fibers
Percentage of 2008 Net Sales in Cellulose Fibers
Pulp Volumes
Our sales volume of cellulose fiber products in 2008 was 1.7 million tons – a decrease of 18 percent compared with 2007. This reduction in volume was primarily due to the divestiture of five production facilities in the 2007 Domtar Transaction. Following the divestiture, we entered into a brokerage agreement with Domtar under which we bought and resold pulp for the remainder of 2007. This activity did not continue in 2008 – further reducing our sales volumes.
Other factors that affect sales volumes for cellulose fiber products include:
| • | growth of the world gross domestic product and |
| • | demand for paper production and diapers. |
Five-Year Summary of Sales Volume for Cellulose Fibers
| SALES VOLUMES IN THOUSANDS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Pulp – air-dry metric tons (1) | 1,704 | 2,070 | 2,621 | 2,502 | 2,558 | ||||||||||
| Liquid packaging board – tons | 302 | 286 | 275 | 258 | 276 | ||||||||||
| (1) Reflects the Domtar Transaction in March 2007. |
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Pulp Prices
Our average pulp prices in 2008 increased compared with 2007 due to:
| • | the relative weakness of the U.S. dollar, |
| • | the level of demand and |
| • | the world economic environment. |
| 12 |
Five-Year Summary of Selected Published Pulp Prices – $/TON
WHERE WE’RE HEADED
Our competitive strategies include:
| • | focusing our Cellulose Fibers businesses on value-added products, |
| • | focusing research and development resources on new ways to expand and improve the range of applications for cellulose fibers and on new product opportunities, |
| • | providing our customers with access to our technical expertise, |
| • | improving our cost-competitiveness through operational excellence and noncapital solutions, |
| • | focusing capital investments on new and improved product capabilities and cost-reduction opportunities and |
| • | collaborating with third parties to develop new products. |
Our Real Estate business segment includes our wholly owned subsidiary Weyerhaeuser Real Estate Company (WRECO) and its subsidiaries. WRECO’s operations are concentrated in projected long-term, high-growth metropolitan areas in the United States.
WHAT WE DO
The Real Estate segment is focused on:
| • | constructing single-family housing and |
| • | developing residential lots for our use and for sale. |
Real Estate Products and Activities
| PRODUCTS | HOW THEY’RE USED | |
| Single-family housing | Residential living | |
| Land development | Residential lots and land for construction and sale, master-planned communities | |
| Other | Residential homebuilding investment management |
WHERE WE DO IT
Our operations are concentrated in select metropolitan areas:
| • | Single-family housing and land development |
| – | Arizona, California, Maryland, Nevada, Oregon, Texas, Virginia and Washington |
| • | Real estate investment management offices |
| – | California, Illinois and Washington |
HOW MUCH WE SELL
We are one of the top 20 homebuilding companies in the U.S. as measured by annual single-family home closings.
Our revenues decreased to $1.4 billion in 2008 – 40 percent – from $2.4 billion in 2007, primarily due to a 28 percent decline in single-family closings. The decline in home closings is the result of weak financial markets, tight lending standards and the collapse of consumer confidence, which continues to put downward pressure on pricing.
The following factors affect revenues in our Real Estate business segment:
| • | Market prices of the homes that we construct for sale may vary. |
| • | The product and geographic mix of sales vary based on the following: |
| – | We build in a variety of locations. Market conditions vary by geography, which affects total revenues. |
| WEYERHAEUSER COMPANY > 2008 ANNUAL REPORT AND FORM 10-K | 13 |
| – | We provide homes at a range of price points to meet our target customers’ needs from entry-level products in Washington state to move-up, custom homes in Southern California and the Washington, D.C., metro area. The mix of these sales affects total revenues. |
| – | We build both traditional, single-family, detached homes and attached products such as town homes and condominiums. The mix of price points at which these products sell creates variability in our revenue from period to period. |
| • | Land and lot sales are a component of our activities. These sales do not occur evenly from year to year, but average approximately 5 percent to 15 percent of total Real Estate revenues annually. |
| • | From time to time, we sell apartment buildings we have constructed. |
Five-Year Summary of Revenue for Real Estate
| REVENUE IN MILLIONS OF DOLLARS | ||||||||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||
| Single-family housing | $ | 1,294 | $ | 2,079 | $ | 2,951 | $ | 2,686 | $ | 2,193 | ||||||||||
| Land development | 99 | 213 | 310 | 202 | 284 | |||||||||||||||
| Other | 15 | 67 | 74 | 27 | 18 | |||||||||||||||
| Total | $ | 1,408 | $ | 2,359 | $ | 3,335 | $ | 2,915 | $ | 2,495 | ||||||||||
| Reflectsthe acquisition of Maracay Homes in February 2006. |
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Five-Year Trend for Total Net Sales in Real Estate
Percentage Breakdown of 2008 Net Sales in Real Estate
Five-Year Summary of Single-Family Unit Statistics
| SINGLE-FAMILY UNIT STATISTICS | |||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||
| Homes sold | 2,545 | 4,152 | 4,541 | 5,685 | 5,375 | ||||||||||
| Homes closed | 3,188 | 4,427 | 5,836 | 5,647 | 5,264 | ||||||||||
| Homes sold but not closed | 581 | 1,224 | 1,499 | 2,410 | 2,372 | ||||||||||
| Single-family gross margin – excluding impairments (%)(1) | 11.5 | % | 21.2 | % | 27.6 | % | 32.8 | % | 29.7 | % | |||||
| (1) Single-family gross margin equals revenue less cost of sales and period costs other than impairments. Reflects the acquisition of Maracay Homes in February 2006. |
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WHERE WE’RE HEADED
Our competitive strategies include:
| • | delivering quality homes to satisfied customers – a principle we measure through “willingness to refer” rates from surveys of homebuyers; |
| • | focusing on reducing costs, generating cash and reducing debt; |
| • | applying distinct value propositions that target a specific market niche in each of our chosen geographies; |
| • | replicating best practices developed in each geographic area; and |
| • | reducing and rebalancing our land portfolio. |
| 14 |
On March 7, 2007, our fine paper operations and related assets were divested in the Domtar Transaction. As a result, the year ended December 30, 2007, includes nine weeks of fine paper operations. Subsequent to the first quarter of 2007, we no longer have results of operations for the Fine Paper segment.
Five-Year Summary of Net Sales for Fine Paper
| NET SALES IN MILLIONS OF DOLLARS | ||||||||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||
| Paper | $ | – | $ | 432 | $ | 2,470 | $ | 2,417 | $ | 2,226 | ||||||||||
| Coated groundwood | – | 26 | 171 | &n | ||||||||||||||||