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Segment Information | 12 Months Ended
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Dec. 31, 2012
Segment Reporting [Abstract] |
Segment Information | SEGMENT INFORMATION LP operates in four segments: Oriented Strand Board (OSB); Siding; Engineered Wood Products (EWP) and South America. LP’s business units have been aggregated into these four segments based upon the similarity of economic characteristics, customers and distribution methods. LP’s results of operations are summarized below for each of these segments separately as well as for the “other” category which comprises other products that are not individually significant. Segment information was prepared in accordance with the same accounting principles as those described in Note 1. In the current year, the Company recast the prior year presentation of its reportable segments to show South American operations as a separate segment based upon the attainment of certain thresholds as defined by the Financial Accounting Standards Board (“FASB”). LP evaluates the performance of its business segments based upon operating profits excluding other operating credits and charges, net, gain (loss) on sales of and impairments of long-lived assets, general corporate and other expenses, translation gains and losses, interest and income taxes. The OSB segment includes OSB products produced in North America. The siding segment includes Smart Side® siding products; Canexel siding products; and other related products. The engineered wood products segment includes laminated veneer lumber and laminated strand lumber; I-joists; plywood; and other related products. The South America segment includes products produced and or sold (generally OSB) in South America. Information about LP’s product segments is as follows:
| Year ended December 31,
Dollar amounts in millions | 2012 |  | 2011 |  | 2010
SALES BY BUSINESS SEGMENT |  |  |  |  |
OSB | $ | 814.1 |  |  | $ | 542.0 |  |  | $ | 602.7 |
Siding | 500.9 |  |  | 429.8 |  |  | 427.8 |
Engineered Wood Products | 213.4 |  |  | 203.3 |  |  | 192.0 |
South America | 168.8 |  |  | 144.9 |  |  | 124.7 |
Other products | 37.4 |  |  | 39.4 |  |  | 42.9 |
Intersegment Sales | (18.8 | ) |  | (2.5 | ) |  | (6.5 | )
Total sales | $ | 1,715.8 |  |  | $ | 1,356.9 |  |  | $ | 1,383.6 |
PROFIT (LOSS) BY BUSINESS SEGMENT |  |  |  |  |
OSB | $ | 124.0 |  |  | $ | (63.5 | ) |  | $ | 25.8 |
Siding | 67.4 |  |  | 42.0 |  |  | 51.3 |
Engineered Wood Products | (13.9 | ) |  | (15.5 | ) |  | (21.3 | )
South America | 18.0 |  |  | 11.6 |  |  | 7.2 |
Other products | (5.7 | ) |  | (12.5 | ) |  | (1.1 | )
Other operating credits and charges, net | 2.9 |  |  | 11.2 |  |  | (0.1 | )
Gain (loss) on sales of and impairments of long-lived assets | (4.9 | ) |  | (73.9 | ) |  | (2.4 | )
General corporate and other expense, net | (78.7 | ) |  | (66.4 | ) |  | (73.4 | )
Investment income | 14.8 |  |  | 28.7 |  |  | 38.4 |
Interest expense, net of capitalized interest | (49.3 | ) |  | (56.9 | ) |  | (63.9 | )
Other-than-temporary investment impairment | — |  |  | (14.8 | ) |  | (17.0 | )
Other non-operating income (expense) | (34.9 | ) |  | (1.0 | ) |  | 2.2 |
Income (loss) from continuing operations before taxes | 39.7 |  |  | (211.0 | ) |  | (54.3 | )
Provision (benefit) for income taxes | 7.6 |  |  | (39.1 | ) |  | (22.1 | )
Income (loss) from continuing operations | $ | 32.1 |  |  | $ | (171.9 | ) |  | $ | (32.2 | )
| Year ended December 31,
| 2012 |  | 2011 |  | 2010
DEPRECIATION AND AMORTIZATION |  |  |  |  |
OSB | $ | 33.1 |  |  | $ | 36.3 |  |  | $ | 37.4 |
Siding | 15.5 |  |  | 15.5 |  |  | 18.1 |
Engineered Wood Products | 11.0 |  |  | 12.6 |  |  | 13.1 |
South America | 12.0 |  |  | 11.6 |  |  | 10.0 |
Other products | 0.6 |  |  | 0.8 |  |  | 1.1 |
Non-segment related | 1.7 |  |  | 2.1 |  |  | 2.3 |
Total depreciation and amortization | $ | 73.9 |  |  | $ | 78.9 |  |  | $ | 82.0 |
CAPITAL EXPENDITURES |  |  |  |  |
OSB | $ | 10.1 |  |  | $ | 8.9 |  |  | $ | 7.1 |
Siding | 8.7 |  |  | 5.9 |  |  | 5.6 |
Engineered Wood Products | 2.5 |  |  | 2.0 |  |  | 0.4 |
South America | 4.6 |  |  | 2.7 |  |  | 1.1 |
Other products | 0.9 |  |  | 0.2 |  |  | — |
Non-segment related | 4.4 |  |  | 1.7 |  |  | 0.3 |
Total capital expenditures | $ | 31.2 |  |  | $ | 21.4 |  |  | $ | 14.5 |
Information concerning identifiable assets by segment is as follows:
Dollar amounts in millions | December 31,
2012 |  | 2011
IDENTIFIABLE ASSETS |  |  |
OSB | $ | 532.0 |  |  | $ | 525.6 |
Siding | 178.1 |  |  | 167.1 |
Engineered Wood Products | 136.5 |  |  | 141.4 |
South America | 168.1 |  |  | 156.6 |
Other products | 25.2 |  |  | 33.6 |
Non-segment related | 1,291.1 |  |  | 1,115.6 |
Total assets | $ | 2,331.0 |  |  | $ | 2,139.9 |
Non-segment related assets include long-term notes receivable, cash and cash equivalents, short-term and long-term investments, corporate assets, assets held for sale and other items. Information concerning LP’s geographic segments is as follows:
| Year ended December 31,
Dollar amounts in millions | 2012 |  | 2011 |  | 2010
GEOGRAPHIC SEGMENTS |  |  |  |  |
Total Sales—Point of origin |  |  |  |  |
U.S. | $ | 1,342 |  |  | $ | 991 |  |  | $ | 1,015 |
Canada | 331 |  |  | 280 |  |  | 314 |
South America | 164 |  |  | 145 |  |  | 125 |
Intersegment sales | (121 | ) |  | (59 | ) |  | (70 | )
Total Sales | $ | 1,716 |  |  | $ | 1,357 |  |  | $ | 1,384 |
Operating profit (loss) |  |  |  |  |
U.S. | $ | 169 |  |  | $ | 14 |  |  | $ | 55 |
Canada | 3 |  |  | (64 | ) |  | — |
South America | 18 |  |  | 12 |  |  | 7 |
Other operating credits and charges, net and gain (loss) on sales of and impairments of long-lived assets | (2 | ) |  | (63 | ) |  | (3 | )
General corporate expense, other-than-temporary investment impairment, loss on early debt extinguishment, realized gain on long term investments, translation gains (losses) and interest, net | (148 | ) |  | (110 | ) |  | (113 | )
| 40 |  |  | (211 | ) |  | (54 | )
Provision (benefit) for income taxes | 8 |  |  | (39 | ) |  | (22 | )
Income (loss) from continuing operations | $ | 32 |  |  | $ | (172 | ) |  | $ | (32 | )
IDENTIFIABLE TANGIBLE LONG LIVED ASSETS |  |  |  |  |
U.S. | $ | 540 |  |  | $ | 576 |  |  | $ | 683 |
Canada | 144 |  |  | 158 |  |  | 172 |
South America | 100 |  |  | 107 |  |  | 127 |
Total assets | $ | 784 |  |  | $ | 841 |  |  | $ | 982 |
Interim Financial Results (unaudited)
| 1ST QTR |  | 2ND QTR |  | 3RD QTR |  | 4TH QTR
(Dollars in millions, except per share) | 2012 |  | 2011 |  | 2012 |  | 2011 |  | 2012 |  | 2011 |  | 2012 |  | 2011
QUARTERLY DATA |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Net sales | $ | 361.5 |  |  | $ | 331.7 |  |  | $ | 427.8 |  |  | $ | 362.4 |  |  | $ | 467.8 |  |  | $ | 350.6 |  |  | $ | 458.7 |  |  | $ | 312.2 |
Income (loss) from continuing operations before taxes, equity in (income) loss of unconsolidated affiliates | (10.6 | ) |  | (26.4 | ) |  | (45.5 | ) |  | (33.9 | ) |  | 37.3 |  |  | (74.2 | ) |  | 56.8 |  |  | (49.6 | )
Income (loss) from continuing operations | (11.2 | ) |  | (22.9 | ) |  | (37.2 | ) |  | (32.9 | ) |  | 31.4 |  |  | (59.3 | ) |  | 49.1 |  |  | (56.8 | )
Net income (loss) | $ | (11.3 | ) |  | $ | (22.9 | ) |  | $ | (37.3 | ) |  | $ | (35.4 | ) |  | $ | 31.3 |  |  | $ | (65.6 | ) |  | $ | 46.1 |  |  | $ | (57.2 | )
Income (loss) from continuing operations per share—basic | $ | (0.08 | ) |  | $ | (0.18 | ) |  | $ | (0.27 | ) |  | $ | (0.25 | ) |  | $ | 0.23 |  |  | $ | (0.44 | ) |  | $ | 0.35 |  |  | $ | (0.42 | )
Income (loss) from continuing operations per share—diluted | $ | (0.08 | ) |  | $ | (0.18 | ) |  | $ | (0.27 | ) |  | $ | (0.25 | ) |  | $ | 0.22 |  |  | $ | (0.44 | ) |  | $ | 0.34 |  |  | $ | (0.42 | )
Net income (loss) per share—basic | $ | (0.08 | ) |  | $ | (0.18 | ) |  | $ | (0.27 | ) |  | $ | (0.27 | ) |  | $ | 0.23 |  |  | $ | (0.49 | ) |  | $ | 0.33 |  |  | $ | (0.42 | )
Net income (loss) per share—diluted | $ | (0.08 | ) |  | $ | (0.18 | ) |  | $ | (0.27 | ) |  | $ | (0.27 | ) |  | $ | 0.22 |  |  | $ | (0.49 | ) |  | $ | 0.32 |  |  | $ | (0.42 | )
Cash dividends per share | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
SALES BY SEGMENT: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
OSB | $ | 149.0 |  |  | $ | 132.1 |  |  | $ | 194.9 |  |  | $ | 140.6 |  |  | $ | 226.6 |  |  | $ | 138.8 |  |  | $ | 243.1 |  |  | $ | 130.6 |
Siding | 113.1 |  |  | 106.2 |  |  | 137.0 |  |  | 118.6 |  |  | 134.1 |  |  | 112.0 |  |  | 116.7 |  |  | 93.0 |
Engineered wood products | 48.6 |  |  | 48.3 |  |  | 51.7 |  |  | 53.6 |  |  | 61.5 |  |  | 54.9 |  |  | 51.6 |  |  | 46.4 |
South America | 42.4 |  |  | 35.3 |  |  | 42.7 |  |  | 39.5 |  |  | 42.0 |  |  | 36.3 |  |  | 41.7 |  |  | 33.8 |
Other | 10.0 |  |  | 10.5 |  |  | 10.7 |  |  | 10.4 |  |  | 9.1 |  |  | 9.5 |  |  | 7.5 |  |  | 9.1 |
Intersegment sales | (1.6 | ) |  | (0.7 | ) |  | (9.2 | ) |  | (0.3 | ) |  | (5.5 | ) |  | (0.9 | ) |  | (1.9 | ) |  | (0.7 | )
Total net sales | $ | 361.5 |  |  | $ | 331.7 |  |  | $ | 427.8 |  |  | $ | 362.4 |  |  | $ | 467.8 |  |  | $ | 350.6 |  |  | $ | 458.7 |  |  | $ | 312.2 |
PROFIT (LOSS) BY BUSINESS SEGMENT |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
OSB | $ | (0.3 | ) |  | $ | (9.1 | ) |  | $ | 17.0 |  |  | $ | (22.9 | ) |  | $ | 49.3 |  |  | $ | (16.0 | ) |  | $ | 58.0 |  |  | $ | (15.5 | )
Siding | 16.8 |  |  | 12.7 |  |  | 19.4 |  |  | 11.3 |  |  | 20.3 |  |  | 11.8 |  |  | 11.0 |  |  | 6.2 |
Engineered wood products | (2.8 | ) |  | (5.5 | ) |  | (3.4 | ) |  | (3.2 | ) |  | (3.0 | ) |  | (3.2 | ) |  | (4.6 | ) |  | (3.6 | )
South America | 3.1 |  |  | 3.6 |  |  | 3.6 |  |  | 4.2 |  |  | 4.5 |  |  | 2.3 |  |  | 6.8 |  |  | 1.5 |
Other | (0.7 | ) |  | (0.7 | ) |  | (1.9 | ) |  | (2.0 | ) |  | (2.0 | ) |  | (3.2 | ) |  | (1.2 | ) |  | (6.6 | )
Other operating credits and charges, net | 0.2 |  |  | 0.8 |  |  | (0.2 | ) |  | 0.6 |  |  | (1.2 | ) |  | 9.8 |  |  | 4.1 |  |  | — |
Loss on sale of and impairment of long-lived assets | (0.1 | ) |  | (5.5 | ) |  | (0.1 | ) |  | (2.5 | ) |  | (4.3 | ) |  | (65.0 | ) |  | (0.4 | ) |  | (0.9 | )
General corporate and other expenses, net | (20.1 | ) |  | (17.8 | ) |  | (18.2 | ) |  | (16.5 | ) |  | (18.1 | ) |  | (15.2 | ) |  | (22.4 | ) |  | (16.9 | )
Non-operating income (expense) | (0.1 | ) |  | 1.8 |  |  | (54.8 | ) |  | 0.6 |  |  | 0.4 |  |  | (4.0 | ) |  | 19.6 |  |  | 0.6 |
Other-than-temporary investment impairment | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |  |  | (14.8 | )
Investment income | 4.2 |  |  | 4.0 |  |  | 3.4 |  |  | 3.5 |  |  | 4.1 |  |  | 16.7 |  |  | 3.1 |  |  | 4.5 |
Interest expense, net of capitalized interest | (12.6 | ) |  | (14.0 | ) |  | (13.1 | ) |  | (14.4 | ) |  | (10.7 | ) |  | (14.2 | ) |  | (12.9 | ) |  | (14.3 | )
Income (loss) from operations before taxes | (12.4 | ) |  | (29.7 | ) |  | (48.3 | ) |  | (41.3 | ) |  | 39.3 |  |  | (80.2 | ) |  | 61.1 |  |  | (59.8 | )
Provision (benefit) for income taxes | (1.2 | ) |  | (6.8 | ) |  | (11.1 | ) |  | (8.4 | ) |  | 7.9 |  |  | (20.9 | ) |  | 12.0 |  |  | (3.0 | )
Income (loss) from continuing operations | $ | (11.2 | ) |  | $ | (22.9 | ) |  | $ | (37.2 | ) |  | $ | (32.9 | ) |  | $ | 31.4 |  |  | $ | (59.3 | ) |  | $ | 49.1 |  |  | $ | (56.8 | )
Included in “Other operating credits and charges, net” and “(Gain) loss on sale or impairment of long-lived assets” for continuing operations are the following: In the first quarter of 2012, LP recorded a loss of $0.3 million associated with severance related to an indefinitely curtailed OSB mill in British Columbia, Canada as well as a reversal of a $0.5 million loss associated with an assessment related to one of its indefinitely curtailed OSB mills. In the third quarter of 2012, LP recorded a loss of $1.0 million related to an increase in product related warranty reserves associated with Canexel products sold in Europe in prior years; a loss of $4.4 million related to the impairment of assets associated with an OSB mill in Quebec, Canada, held for sale based upon a change in the plan of their sale to reduce their carrying value to the estimated selling price less selling costs. In the fourth quarter of 2012, LP recognized a gain of $20.0 million from the settlement of its ARS litigation with Deutsche Bank Securities, Inc.; a loss of $1.5 million related to a prior year inventory adjustment; a loss $3.8 million consisting of $2.2 million related to SERP curtailment associated with the retirement of LP's previous CEO and $1.6 million related to termination indemnities in South America; a gain of $5.0 million related to a reduction in product related contingency reserves associated with the national hardboard class action settlement; a gain of $3.6 million is related to a reduction in hardboard siding trim reserve and a loss of $0.8 million for additions to warranty reserves associated with a discontinued line of OSB siding. In the first quarter of 2011, LP recorded a gain of $0.8 million associated with an action against a previous claim inspector associated with LP's hardboard class action for various states. In the second quarter of 2011, LP recorded a gain of $1.5 million related to reductions in reforestation liabilities associated with LP's Canadian timber obligations and an increase of $0.9 million in environmental reserves associated with a facility currently held for sale. In the third quarter of 2011, LP recorded a loss of $0.4 million associated with severance related to an indefinitely curtailed OSB mill in British Columbia, Canada. Additionally, LP recorded a gain of $10.7 million related to a reduction in product related contingency reserves associated with the national hardboard class action settlement. In the fourth quarter of 2011, LP recorded an other than temporary impairment of an equity investment of $14.8 million. See Notes 16 and 17 for further discussion on the other operating charges and credits, net and the gains and losses on sale of and impairment of long-lived assets mentioned above.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 + Details
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