Transactions with Affiliates

3 Months Ended

Mar. 31, 2013

Related Party Transactions [Abstract]

Transactions with Affiliates

TRANSACTIONS WITH AFFILIATES

LP has equity investments in AbitibiBowater-LP (a manufacturer of I-joist) and Canfor-LP ( a manufacturer of OSB). LP sells products and raw materials to AbitibiBowater-LP and purchases products for resale from AbitibiBowater-LP and Canfor-LP. LP eliminates profits on these sales and purchases, to the extent the inventory has not been sold through to third parties, on the basis of its 50% interest. For the quarters ended March 31, 2013 and 2012, LP sold $3.5 million and $1.6 million of products to AbitibiBowater-LP and purchased $11.0 million and $7.8 million of I-joist from AbitibiBowater-LP. LP also purchased $60.2 million and $26.9 million of OSB from Canfor-LP during the quarters ended March 31, 2013 and 2012. Included in LP’s Consolidated Balance Sheets at March 31, 2013 and December 31, 2012 are $2.5 million and $1.4 million in accounts receivable from these affiliates and $9.8 million and $6.7 million in accounts payable to these affiliates.

During the fourth quarter of 2012, LP announced its intent to acquire the remaining interest in the Canfor-LP joint venture noted above. It is anticipated that this transaction will close in the second quarter of 2013.