EX-99.2 3 ex992-093017ebitdareconcil.htm EXHIBIT 99.2 - EBITDA RECONCILIATION Exhibit


Exhibit 99.2 Reconciliation of EBITDA from continuing operations and Adjusted EBITDA from continuing operations for the quarter and nine months ended September 30, 2017 and 2016.
Quarter Ended September 30, 2017 (Dollar amounts in millions)
Siding
 
OSB
 
EWP
 
South America
 
Other
 
Corporate
 
Total
Net Sales
$
226.2

 
$
350.9

 
$
98.1

 
$
38.3

 
$
6.5

 
$
(1.7
)
 
$
718.3

Depreciation and amortization
8.1

 
15.2

 
4.0

 
2.4

 
0.7

 
0.7

 
31.1

Cost of sales and selling and administrative
165.3

 
209.3

 
88.8

 
30.1

 
7.4

 
27.6

 
528.5

Loss on sale or impairment of long lived assets, net

 

 

 

 

 
0.7

 
0.7

Other operating credits and charges, net

 

 

 

 

 
(0.9
)
 
(0.9
)
Total operating costs
173.4

 
224.5

 
92.8

 
32.5

 
8.1

 
28.1

 
559.4

Income (loss) from operations
52.8

 
126.4

 
5.3

 
5.8

 
(1.6
)
 
(29.8
)
 
158.9

Total non-operating expense

 

 

 

 

 
(2.6
)
 
(2.6
)
Income (loss) from continuing operations before taxes and equity in income of unconsolidated affiliates
52.8

 
126.4

 
5.3

 
5.8

 
(1.6
)
 
(32.4
)
 
156.3

Provision for income taxes

 

 

 

 

 
46.4

 
46.4

Equity in income of unconsolidated affiliates

 

 
(1.0
)
 

 

 

 
(1.0
)
Income (loss) from continuing operations
$
52.8

 
$
126.4

 
$
6.3

 
$
5.8

 
$
(1.6
)
 
$
(78.8
)
 
$
110.9

Reconciliation of income (loss) from continuing operations to Adjusted EBITDA from continuing operations
 
 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) from continuing operations
$
52.8

 
$
126.4

 
$
6.3

 
$
5.8

 
$
(1.6
)
 
$
(78.8
)
 
$
110.9

Provision for income taxes

 

 

 

 

 
46.4

 
46.4

Interest expense, net of capitalized interest

 

 

 

 

 
4.9

 
4.9

Depreciation and amortization
8.1

 
15.2

 
4.0

 
2.4

 
0.7

 
0.7

 
31.1

EBITDA from continuing operations
60.9

 
141.6

 
10.3

 
8.2

 
(0.9
)
 
(26.8
)
 
193.3

Stock-based compensation expense
0.2

 
0.2

 
0.1

 

 

 
1.5

 
2.0

Loss on sale or impairment of long lived assets, net

 

 

 

 

 
0.7

 
0.7

Investment income

 

 

 

 

 
(2.9
)
 
(2.9
)
Other operating credits and charges, net

 

 

 

 

 
(0.9
)
 
(0.9
)
Adjusted EBITDA from continuing operations
$
61.1

 
$
141.8

 
$
10.4

 
$
8.2

 
$
(0.9
)
 
$
(28.4
)
 
$
192.2

Adjusted EBITDA Margin
27.0
%
 
40.4
%
 
10.6
%
 
21.4
%
 
(13.8
)%
 
NA

 
26.8
%
 









Quarter Ended September 30, 2016
(Dollar amounts in millions)
Siding
 
OSB
 
EWP
 
South America
 
Other
 
Corporate
 
Total
Net Sales
$
194.8

 
$
282.1

 
$
80.7

 
$
31.7

 
$
7.6

 
$
(0.5
)
 
$
596.4

Depreciation and amortization
6.3

 
15.3

 
3.8

 
2.5

 
0.9

 
0.8

 
29.6

Cost of sales and selling and administrative
153.3

 
199.4

 
78.3

 
25.9

 
7.1

 
25.6

 
489.6

Loss on sale or impairment of long lived assets, net

 

 

 

 

 
0.3

 
0.3

Other operating credits and charges, net

 

 

 

 

 

 

Total operating costs
159.6

 
214.7

 
82.1

 
28.4

 
8.0

 
26.7

 
519.5

Income (loss) from operations
35.2

 
67.4

 
(1.4
)
 
3.3

 
(0.4
)
 
(27.2
)
 
76.9

Total non-operating expense

 

 

 

 

 
(20.2
)
 
(20.2
)
Income (loss) from continuing operations before taxes and equity in income of unconsolidated affiliates
35.2

 
67.4

 
(1.4
)
 
3.3

 
(0.4
)
 
(47.4
)
 
56.7

Benefit for income taxes

 

 

 

 

 
(7.5
)
 
(7.5
)
Equity in income of unconsolidated affiliates

 

 
(1.4
)
 

 

 

 
(1.4
)
Income (loss) from continuing operations
$
35.2

 
$
67.4

 
$

 
$
3.3

 
$
(0.4
)
 
$
(39.9
)
 
$
65.6

Reconciliation of income (loss) from continuing operations to Adjusted EBITDA from continuing operations
 
 
 
 
 
 
 
 
 
 
 
 

Income (loss) from continuing operations
$
35.2

 
$
67.4

 
$

 
$
3.3

 
$
(0.4
)
 
$
(39.9
)
 
$
65.6

Benefit for income taxes

 

 

 

 

 
(7.5
)
 
(7.5
)
Interest expense, net of capitalized interest

 

 

 

 

 
9.0

 
9.0

Depreciation and amortization
6.3

 
15.3

 
3.8

 
2.5

 
0.9

 
0.8

 
29.6

EBITDA from continuing operations
41.5

 
82.7

 
3.8

 
5.8

 
0.5

 
(37.6
)
 
96.7

Stock-based compensation expense
0.2

 
0.3

 
0.2

 

 

 
2.5

 
3.2

Loss on sale or impairment of long lived assets, net

 

 

 

 

 
0.3

 
0.3

Investment income

 

 

 

 

 
(2.5
)
 
(2.5
)
Loss on early debt extinguishment



 

 

 

 
13.2

 
13.2

Other operating credits and charges, net

 

 

 

 

 

 

Adjusted EBITDA from continuing operations
$
41.7

 
$
83.0

 
$
4.0

 
$
5.8

 
$
0.5

 
$
(24.1
)
 
$
110.9

Adjusted EBITDA Margin
21.4
%
 
29.4
%
 
5.0
%
 
18.3
%
 
6.6
%
 
NA

 
18.6
%


 










Nine Months Ended September 30, 2017 (Dollar amounts in millions)
Siding
 
OSB
 
EWP
 
South America
 
Other
 
Corporate
 
Total
Net Sales
$
671.2

 
$
944.3

 
$
274.4

 
$
114.8

 
$
22.3

 
$
(3.7
)
 
$
2,023.3

Depreciation and amortization
23.7

 
44.8

 
11.6

 
6.8

 
2.1

 
2.3

 
91.3

Cost of sales and selling and administrative
506.0

 
610.1

 
254.6

 
91.6

 
22.9

 
79.7

 
1,564.9

Gain on sale or impairment of long lived assets, net

 

 

 

 

 
(1.8
)
 
(1.8
)
Other operating credits and charges, net

 

 

 

 

 
4.5

 
4.5

Total operating costs
529.7

 
654.9

 
266.2

 
98.4

 
25.0

 
84.7

 
1,658.9

Income (loss) from operations
141.5

 
289.4

 
8.2

 
16.4

 
(2.7
)
 
(88.4
)
 
364.4

Total non-operating expense

 

 

 

 

 
(10.0
)
 
(10.0
)
Income (loss) from continuing operations before taxes and equity in income of unconsolidated affiliates
141.5

 
289.4

 
8.2

 
16.4

 
(2.7
)
 
(98.4
)
 
354.4

Provision for income taxes

 

 

 

 

 
97.9

 
97.9

Equity in income of unconsolidated affiliates

 

 
(3.8
)
 

 

 

 
(3.8
)
Income (loss) from continuing operations
$
141.5

 
$
289.4

 
$
12.0

 
$
16.4

 
$
(2.7
)
 
$
(196.3
)
 
$
260.3

Reconciliation of income (loss) from continuing operations to Adjusted EBITDA from continuing operations
 
 
 
 
 
 
 
 
 
 
 
 

Income (loss) from continuing operations
$
141.5

 
$
289.4

 
$
12.0

 
$
16.4

 
$
(2.7
)
 
$
(196.3
)
 
$
260.3

Provision for income taxes

 

 

 

 

 
97.9

 
97.9

Interest expense, net of capitalized interest

 

 

 

 

 
14.8

 
14.8

Depreciation and amortization
23.7

 
44.8

 
11.6

 
6.8

 
2.1

 
2.3

 
91.3

EBITDA from continuing operations
165.2

 
334.2

 
23.6

 
23.2

 
(0.6
)
 
(81.3
)
 
464.3

Stock-based compensation expense
0.6

 
0.6

 
0.2

 

 

 
6.6

 
8.0

Gain on sale or impairment of long lived assets, net

 

 

 

 

 
(1.8
)
 
(1.8
)
Investment income

 

 

 

 

 
(7.2
)
 
(7.2
)
Other operating credits and charges, net

 

 

 

 

 
4.5

 
4.5

Adjusted EBITDA from continuing operations
$
165.8

 
$
334.8

 
$
23.8

 
$
23.2

 
$
(0.6
)
 
$
(79.2
)
 
$
467.8

Adjusted EBITDA Margin
24.7
%
 
35.5
%
 
8.7
%
 
20.2
%
 
(2.7
)%
 
NA

 
23.1
%












Nine Months Ended June 30, 2016 (Dollar amounts in millions)
Siding
 
OSB
 
EWP
 
South America
 
Other
 
Corporate
 
Total
Net Sales
$
583.3

 
$
751.9

 
$
230.5

 
$
103.2

 
$
20.3

 
$
(5.8
)
 
$
1,683.4

Depreciation and amortization
20.7

 
44.6

 
10.2

 
6.6

 
1.7

 
2.2

 
86.0

Cost of sales and selling and administrative
458.7

 
580.6

 
226.7

 
81.3

 
19.6

 
70.1

 
1,437.0

Loss on sale or impairment of long lived assets, net

 

 

 

 

 
1.0

 
1.0

Other operating credits and charges, net

 

 

 

 

 
11.4

 
11.4

Total operating costs
479.4

 
625.2

 
236.9

 
87.9

 
21.3

 
84.7

 
1,535.4

Income (loss) from operations
103.9

 
126.7

 
(6.4
)
 
15.3

 
(1.0
)
 
(90.5
)
 
148.0

Total non-operating expense

 

 

 

 

 
(31.7
)
 
(31.7
)
Income (loss) from continuing operations before taxes and equity in income of unconsolidated affiliates
103.9

 
126.7

 
(6.4
)
 
15.3

 
(1.0
)
 
(122.2
)

116.3

Provision for income taxes

 

 

 

 

 
13.1

 
13.1

Equity in income of unconsolidated affiliates

 

 
(4.4
)
 

 

 

 
(4.4
)
Income (loss) from continuing operations
$
103.9

 
$
126.7

 
$
(2.0
)
 
$
15.3

 
$
(1.0
)
 
$
(135.3
)
 
$
107.6

Reconciliation of income (loss) from continuing operations to Adjusted EBITDA from continuing operations
 
 
 
 
 
 
 
 
 
 
 
 

Income (loss) from continuing operations
$
103.9

 
$
126.7

 
$
(2.0
)
 
$
15.3

 
$
(1.0
)
 
$
(135.3
)
 
$
107.6

Provision for income taxes

 

 

 

 

 
13.1

 
13.1

Interest expense, net of capitalized interest

 

 

 

 

 
26.3

 
26.3

Depreciation and amortization
20.7

 
44.6

 
10.2

 
6.6

 
1.7

 
2.2

 
86.0

EBITDA from continuing operations
124.6

 
171.3

 
8.2

 
21.9

 
0.7

 
(93.7
)
 
233.0

Stock-based compensation expense
0.7

 
0.7

 
0.5

 

 

 
7.5

 
9.4

Loss on sale or impairment of long lived assets, net

 

 

 

 

 
1.0

 
1.0

Investment income

 

 

 

 

 
(6.4
)
 
(6.4
)
Loss on early debt extinguishment

 

 

 

 

 
13.2

 
13.2

Other operating credits and charges, net

 

 

 

 

 
11.4

 
11.4

Adjusted EBITDA from continuing operations
$
125.3

 
$
172.0

 
$
8.7

 
$
21.9

 
$
0.7

 
$
(67.0
)
 
$
261.6

Adjusted EBITDA Margin
21.5
%
 
22.9
%
 
3.8
%
 
21.2
%
 
3.4
%
 
NA

 
15.5
%