SPOKANE, WA – Potlatch Corp. reported
that net earnings from continuing operations for the first quarter of
2010 were $1.2 million compared to $24.8 million for Q1 2009.
year is off to a good start and we are seeing positive developments in
both our resource and wood products segments," said Michael Covey,
chairman, president and CEO of Potlatch. "Our wood products segment had
quarterly operating income for the first time since the third quarter
of 2008, as lumber prices and sales volumes both increased more than 25
percent in the first quarter of 2010 over the same period in 2009.
our resource segment, the volume of saw logs sold increased over the
first quarter of last year," Covey added. "Furthermore, the price
increases we are seeing in our Wood Products business have begun to
roll over into log prices, so we expect continued improvement from our
"Looking ahead, we are optimistic based on
our results for the first quarter and what we have experienced to-date
in the second quarter. Demand for logs is improving in all regions, and
prices look even better for the second quarter than they were in the
first quarter,” Covey said. “We expect our 2010 harvest to be
approximately 4.0 to 4.4 million tons, above the 3.8 million tons we
harvested in 2009. If the current improvements continue, our 2010
harvest may be at the upper end of the range, or potentially even
higher. In our wood products business, we expect the cost-cutting
measures made in 2009, combined with the strong price improvements and
increased demand we have experienced in 2010, to continue to result in
positive earnings in the second quarter.”
Read Potlatch Corp.'s press release.
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