EX-99.3 4 exhibit993-unauditedsegmen.htm EXHIBIT 99.3 UNAIDITED SEGMENT RECLASSIFICATION Exhibit


Exhibit 99.4 - Unaudited reclassified summary segment financial information for LP
The unaudited reclassified summary segment financial information provided below is provided to reflect the realignment of LP's unallocated expenses to the business segments effective during the first quarter of 2019. LP did not review results in this method for any of these prior periods and will begin to report comparative results under the new method effective with the filing of its Quarterly Report on Form 10-Q for the quarter ended March 31, 2019.
Reporting segment data on a quarterly basis for the year ended December 31, 2018 and 2017 and on an annual basis for the years ended December 31, 2018, 2017 and 2016 is presented in the tables below:
 
1ST QTR
 
2ND QTR
 
3RD QTR
 
4TH QTR
(Dollars in millions)
2018
 
2017
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
SALES BY SEGMENT:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Siding
$
227.0

 
$
214.0

 
$
261.6

 
$
231.0

 
$
240.8

 
$
226.2

 
$
212.9

 
$
212.8

OSB
313.3

 
268.4

 
387.4

 
325.0

 
349.1

 
350.9

 
255.4

 
358.2

Engineered wood products
105.8

 
87.7

 
113.3

 
98

 
109.7

 
101.8

 
79.9

 
96.5

South America
42.4

 
37.8

 
45.3

 
38.7

 
34.5

 
38.3

 
38.6

 
40.5

Other
2.8

 
3.1

 
3.2

 
3.3

 
2.7

 
2.8

 
2.4

 
2.7

Intersegment sales
—

 
(0.1
)
 
—

 
(1.9
)
 
—

 
(1.7
)
 
(0.1
)
 
(0.1
)
Total net sales
$
691.3

 
$
610.9

 
$
810.8

 
$
694.1

 
$
736.8

 
$
718.3

 
$
589.1

 
$
710.6

PROFIT (LOSS) BY BUSINESS SEGMENT
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Siding
$
35.9

 
$
33.0

 
$
53.4

 
$
40.9

 
$
50.6

 
$
45.4

 
$
25.3

 
$
38.1

OSB
89.2

 
52.7

 
149.0

 
94.5

 
106.4

 
118.2

 
18.7

 
128.6

Engineered wood products
0.3

 
(1.6
)
 
6.0

 
2.5

 
5.8

 
3.1

 
(3.5
)
 
0.4

South America
8.9

 
5.1

 
9.6

 
5.5

 
6.5

 
5.8

 
6.0

 
7.9

Other
(2.3
)
 
(1.4
)
 
(2.1
)
 
(2.0
)
 
(2.4
)
 
(2.0
)
 
(1.9
)
 
(1.8
)
Other operating credits and charges, net
0.4

 
(3.4
)
 
4.5

 
(2.0
)
 
6.3

 
0.9

 
(9.0
)
 
(0.4
)
Gain (loss) on sale of and impairment of long-lived assets
0.6

 
(0.6
)
 
—

 
3.1

 
(0.3
)
 
(0.7
)
 
(11.1
)
 
(8.6
)
General corporate and other expenses, net
(5.8
)
 
(8.4
)
 
(6.0
)
 
(6.3
)
 
(6.4
)
 
(9.2
)
 
(9.4
)
 
(4.5
)
Non-operating income (expense)
(1.4
)
 
(1.9
)
 
(0.7
)
 
(3.1
)
 
(2.2
)
 
(2.2
)
 
0.4

 
(6.6
)
Investment income
3.2

 
2.0

 
4.8

 
2.3

 
5.5

 
2.9

 
4.1

 
3.3

Interest expense, net of capitalized interest
(4.4
)
 
(5.0
)
 
(4.4
)
 
(4.9
)
 
(3.9
)
 
(4.9
)
 
(3.1
)
 
(4.5
)
Income from operations before taxes
124.6

 
70.5

 
214.1

 
130.5

 
165.9

 
157.3

 
16.5

 
151.9

Provision (benefit) for income taxes
29.7

 
15.5

 
51.2

 
36.0

 
41.8

 
46.4

 
(0.4
)
 
21.2

Income from continuing operations
$
94.9

 
$
55.0

 
$
162.9

 
$
94.5

 
$
124.1

 
$
110.9

 
$
16.9

 
$
130.7

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjusted EBITDA
Siding
$
44.9

 
$
41.9

 
$
62.7

 
$
49.2

 
$
59.7

 
$
54.3

 
$
33.6

 
$
46.1

OSB
104.8

 
68.2

 
163.1

 
110.2

 
122.7

 
134.1

 
33.7

 
146.2

Engineered wood products
5.3

 
3.2

 
11.0

 
6.9

 
10.2

 
7.8

 
(0.3
)
 
5.4

South America
11.2

 
7.3

 
11.9

 
7.7

 
8.6

 
8.2

 
8.4

 
10.2

Other
(2.1
)
 
(1.2
)
 
(1.8
)
 
(1.9
)
 
(2.3
)
 
(1.7
)
 
(1.8
)
 
(1.6
)
General corporate and other expenses, net
(4.7
)
 
(5.3
)
 
(4.9
)
 
(5.5
)
 
(5.5
)
 
(8.3
)
 
(8.6
)
 
(3.9
)
Adjusted EBITDA
$
159.4

 
$
114.1

 
$
242.0

 
$
166.6

 
$
193.4

 
$
194.4

 
$
65.0

 
$
202.4











  
Year ended December 31,
Dollar amounts in millions
2018
 
2017
 
2016
SALES BY BUSINESS SEGMENT
 
 
 
 
 
Siding
$
942.3

 
$
884.0

 
$
752.3

OSB
1,305.2

 
1,302.5

 
1,027.7

Engineered Wood Products
408.7

 
384.0

 
311.4

South America
160.8

 
155.3

 
136.9

Other products
11.1

 
11.9

 
12.4

Intersegment Sales
(0.1
)
 
(3.8
)
 
(7.3
)
Total sales
$
2,828.0

 
$
2,733.9

 
$
2,233.4

PROFIT (LOSS) BY BUSINESS SEGMENT
 
 
 
 
 
Siding
$
165.2

 
$
157.4

 
$
102.0

OSB
363.3

 
394.0

 
154.0

Engineered Wood Products
8.6

 
4.4

 
(16.2
)
South America
31

 
24.3

 
17.0

Other products
(8.7
)
 
(7.2
)
 
(3.8
)
Other operating credits and charges, net
2.2

 
(4.9
)
 
(17.4
)
Gain (loss) on sales of and impairments of long-lived assets
(10.8
)
 
(6.8
)
 
8.4

General corporate and other expense, net
(27.6
)
 
(28.4
)
 
(28.6
)
Interest expense, net of capitalized interest
(3.9
)
 
(13.8
)
 
(32.1
)
Investment income
17.6

 
10.5

 
8.2

Other non-operating income (expense)
(15.8
)
 
(19.3
)
 
(21.4
)
Income from continuing operations before taxes
521.1

 
510.2

 
170.1

Provision for income taxes
122.3

 
119.1

 
19.8

Income from continuing operations
$
398.8

 
$
391.1

 
$
150.3

Adjusted EBITDA
Siding
$
200.9

 
$
191.5

 
$
132.3

OSB
424.3

 
458.7

 
216.2

Engineered Wood Products
26.2

 
23.3

 
(0.2
)
South America
40.1

 
33.4

 
25.6

Other products
(8.0
)
 
(6.4
)
 
(3.1
)
General corporate and other expense, net
(23.7
)
 
(23.0
)
 
(20.6
)
Adjusted EBITDA
$
659.8

 
$
677.5

 
$
350.2