NASHVILLE, Tenn.--Louisiana-Pacific Corporation (LP) (NYSE: LPX) reported today results for the second quarter of 2014, which included the following:

Total sales for the second quarter of $519 million were lower by 9 percent compared to the year ago quarter.

Income from continuing operations was $2 million ($0.01 per diluted share).

Non-GAAP adjusted loss from continuing operations was $4 million ($0.03 per diluted share).

Adjusted EBITDA from continuing operations for the second quarter was $26 million compared to $122 million in the second quarter of 2013.

Cash and cash equivalents were $555 million as of June 30, 2014.

“LP’s Siding business had another quarter of record volume shipments of SmartSide despite a tepid housing recovery in the quarter,” said Curt Stevens, Chief Executive Officer. “Strong demand from retail, repair and remodeling and non-residential structures allowed for continued growth in this business.”

For the second quarter of 2014, LP reported income from continuing operations of $2 million, or $0.01 per diluted share, as compared to $94 million, or $0.65 per diluted share for the second quarter of 2013.

ORIENTED STRAND BOARD (OSB) SEGMENT

LP’s OSB segment manufactures and distributes OSB structural panel products. The OSB segment reported net sales for the second quarter of 2014 of $224 million, a decrease from $306 million of net sales in the second quarter of 2013. For the second quarter of 2014, the OSB segment reported an operating loss of $6 million compared to operating income of $95 million in the second quarter of 2013. For the second quarter, adjusted EBITDA from continuing operations for this segment decreased by $99 million compared to the second quarter of 2013. For the second quarter, sales volumes were higher by 11 percent and sales prices decreased by 36 percent compared to the same period in 2013. The decrease in sales price accounted for approximately $118 million of the decrease in both operating results and adjusted EBITDA from continuing operations.

SIDING SEGMENT

LP’s Siding segment consists of SmartSide® siding as well as LP’s prefinished CanExel® siding line. These products are used in new construction as well as in the repair and remodeling markets. The Siding segment reported net sales of $170 million in the second quarter of 2014, an increase of 11 percent from $153 million in the year-ago second quarter. For the second quarter of 2014, the Siding segment reported operating income of $26 million compared to $27 million in the year-ago quarter. For the second quarter, LP reported $30 million in adjusted EBITDA from continuing operations for this segment, a decrease of $1 million compared to the second quarter of 2013. The decrease in sales prices for OSB sold in this segment accounted for approximately $2 million of the decrease in both operating results and adjusted EBITDA from continuing operations.

ENGINEERED WOOD PRODUCTS SEGMENT (EWP)

The EWP segment is comprised of I-Joist (IJ), Laminated Veneer Lumber and Laminated Strand Lumber (LVL and LSL). These products are principally used in new construction. EWP sales in the second quarter of 2014 totaled $81 million, an increase from $61 million reported in the second quarter of 2013. Operating losses were $5 million for the second quarter of 2014 and 2013. LP reported an improvement in adjusted EBITDA from continuing operations of $2 million for this segment as compared to the same quarter in 2013.

SOUTH AMERICA SEGMENT

The South American segment consists of OSB mills located in Chile and Brazil. South America sales in the second quarter of 2014 totaled $42 million, down from $44 million in the year-ago second quarter. For the second quarter of 2014, the South America segment reported operating income of $4 million compared to $6 million in the second quarter of 2013. South America reported $7 million in adjusted EBITDA from continuing operations for this segment in the second quarter down from $9 million in 2013.

COMPANY OUTLOOK

“All the signs point to improving demand for housing given demographics, an improving economy and job growth,” continued Stevens. “However, for this recovery to reach its potential, steps must be taken to foster credit access to the first time home buyer,” he concluded.

About LP

LP is a premier supplier of building materials, delivering innovative, high-quality commodity and specialty products to its retail, wholesale, homebuilding and industrial customers. Visit LP's web site at www.lpcorp.com for additional information on the company as well as reconciliation of non-GAAP results.

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