Document e5xK8qOpjRwg3oVv5GbYbJMqM

FILE NAME: Fibreboard (FIB) DATE: 1981 DOC#: FIB023 DOCUMENT DESCRIPTION: Moody's Industrial Manual Entry - Louisiana-Pacific Corp. 1981 VOL. 2 J-Z MOODY'S, INDUSTRIAL MANUAL LOUISIANA' Pa <.//c/ c COVERING NEW YORK, AMERICAN & REGIONAL STOCK EXCHANGES & INTERNATIONAL COMPANIES WILLIAM o . DWYER, Publisher HOWARD G. KIEDAISCH, Ass't Publisher L. JOSEPH ROGERS, Gen. Manager ROBERT P. HANSON, Editor-in-Chief Editorial Board ROBERT W. BURKE BRIAN T. COFFEY ALFRED C. ELLINGHAM HAROLD H. GOLDBERG ALVIN E. GOUVIA JOHN J. IERACI BERNARDO DIANE R. KRUTZ JOSEPH B. LEIGH WILLIAM H. MOORE WILLIAM M. PACCIONE FRANK R. PLATAROTE MICHAEL A. RABBIA G. SCERI, JR. Moody's Investors Service a company of The Dun & Bradstrcct Corporation SEE FOLLOWING PAGE FOR COMPLETE LIST OF OFFICES Copyright 1981 try MOODY'S INVESTORS SERVICE, INC;. New York All rights reserved. 3822 MOODY'S INDUSTRIAL MANUAL CAPITAL STRUCTURE LOWG T E R M D E B T Issue ' 1. N otes payable ............................................. 2- Fibreboard Corp. cv. sub. deb., 4*/4s, due 3. Fibreboard Corp. cv. sub. deb., 6*4s, due 1998 .......................................................... CAPITAL STOCK. Issue 1. Common LOUISIANA-PACIFIC CORPORATION T im es Rating QjAmount Outstanding <143,540,000 Charges Earned 1980 1979 Interest D ates Par Value *1 3.398.000 2.594.000 Amount O u tsta n d in g S29.889.791 shs Earned per Sh. 1980 1979 SS2.02 0*3.57 A 8t 0 1 5 A it OlS Divs. per Sh. 1980 l1.9.7.9 .0*9.69 13*0.60 Call Price 0101.75 0104.73 Call Price Price Range 1980 1979 51H- 511/, 89 - 89 91 - 89 Pnce Range 1980 1979 _29`/ 2- 18`/ , 26/,- 18V, HISTORY In c. .in D el. in J u ly , 1972 a s a w h o lly -o w n e d subsidiary of G eorgia-Pacific Corp. _ P u rsu an t to a settlem ent betw een G eorgiaPatnfic an d F T C (w hich resulted from a p ro ceeding com m enced against G -P in which r 11_ claim ed th at G -P s acquisition of certain properties in S outhern sta te s lessened com pe tition and tended to create a m onopoly in soft wood plyw ood industry) G -P form ed Co. and o n S ep t. 25, 1972 tra n sfe rre d to C o. its S a m o a D ivision, Ulciah D ivision, In te rm o u n ta in D ivi sion, W eather-Seal D ivision, S outhern D ivi sion plus its 50% investm ents in K etchikan P u lp Co., K etchikan S pruce M ills, Inc. and K etch ik an In tern atio n al Sales Co., all of w hich represented about 20% of total net in co m e of G- P. I n a d d itio n , G -P d istrib u te d to its h o ld e rs of re c o rd J a n . 5, 1973, 13,158,689 Co. *1 p ar com . shs. on basis of one Co. sh. for each 4 G -P shs. held. I n 1973 a c q u isitio n s w ere a s follow s: F eb . 1, B rew ton L u m b er Co. in L a.; Feb. 9, S um m it L u m b e r C o ., M o n ta n a ; F e b . 15, Ken&i L u m b e r Co., A laska; A pr. 2, M id state D ev elopm ent Co., M o n tan a; Ju n e 11, P rineville F o rest P rod u crts, O re.; T une 15, P lu m a s L u m b e r C o., Cakf.; Ju n e 29, H egew ald T im b er Co., W ash, an d D iam ond L u m b er Co., O re.; A ug. 1 T illa m o o k P ly w o o d C o., O re.; N o v . 15, E a s te rn O re g o n P in e C o.; D ec. 17, E v a n s L u m b e r C o., A laska. In 1974, acq u isitio n s w ere a s follow s: F eb. 15, C h e n e y F o r e s t P r o d u c ts , C h e n e y L u m b e r Co., C heney C alifornia L u m b er Co. an d C he n e y - G r a n t L u m b e r C o .; M a r. 15, T r o u t C re e k , Co., M o.; A pril 4, G o ld en S ta te B ldg. P ro d - " c ts, In c ., O re.; A p r . 12, M c A lp in e L u m b e r an d F looring Co., In c., Ala.; Ju n e 28, C om m an d er In d u stries, Inc., Cal.; Ju ly 1, G ood m an D iv. of U n iv ersal Oil P ro d u cts; a n d Aug. 2, In y o k e m , C al. saw m ill from S ierra-P acific In d u strie s. . n N o v . 1, 1976 p u rc h a se d rem ain in g 50% interest m K etchikan Pulp Co. for a total cost of *46,000,000. O n Ju n e 27, 1978 acq u ired F ib re b o a rd C orp. fo r <64,340,000 including co st of com m on stock, preferred stock, w arranto and other di rect acquisitions costs. In O ct. 1978 sold C ircle D esign a n d P acM aster m achinery-m anufacturing operations to Paxail Inc. In 1979 a c q u ire d th ro u g h su b sid ia ry L o u isi ana-Pacific C anada L td., assets of Salm o F o r est P roducts L td, Salm o, British C olum bia. i n M a y 1979 a c q u ir e d 15 S o u th e r n C a lifo r nia building m aterial centers from L one S tar I n d u s tr ie s In c . C o. a ls o a c q u ir e d L o n e S t a r 's roof tru ss m anufacturing facility, and cargo handling and d istribution facilities. P roposed Sale of Subsidiary: In M ay 1980 Co announced its intention to sell T rim o n t L and Co., o p erato r of N o rth s ta r a t T ahoe. SUBSIDIARIES O w ns entire capital stock of follow ing com panies (nam e a n d place of incorporation): F ibreboard C orp. (D el.) T rim o n t L an d Co. (Calif.) S ugar Pine R ailw ay Co. (Calif.) H egew ald T im b er Co.. Inc. (W ash.) L ouisiana-Pacific International. Inc. (O re.) Louisiana-Pacific C anada, L td. (C anada) INCOME ACCOUNTS L ouisiana-Pacific T rucking Co. (O re.) L P I, Inc. (O re.) K enai L um ber Co. (A laska) K etchikan P ulp Co. (W ash.) P anhandle Logging Co. (A laska) H -CjaH odges L um ber Co. of W est B ay, Inc. H .C . H odges L um ber Co., Inc. (F la.) R oy O. M artin, In d u stries, Inc. (D el.) N ew W averly T ransportation, Inc. (T ex.) BUSINESS L ouisiana-P acific C orp. is in the business of grow ing m any varieties of trees, both h ard w oods and softw oods, for harvest and ulti m ate conversion into products. Included are lum ber, industrial and com m odity particle boards, hardboard. plyw ood, veneers, bleached k ra ft and dissolving pulps and chips. C ertain rem anufactured products are also produced, including w ood and alum inum w indow s an d doors, m illw ork, unfinished w ood m ouldings, m edium density fiberboard paperboard, corrugated containers an d indus trial insulation. T h e C o .'s w h o le s a le s a le s o r g a n iz a tio n se lls the Co. s building products, and building products purchased from other producers, p rim arily to w holesalers an d d istrib u to rs in the U nited States. P ulp and w ood chips are sold to industrial u sers in the U nited S tates and abroad. S a le s B reakdow n, By Major Product Groups: oRedj woodi liu m.b e r____ Other l u m b e r .............. 15%^80 38% 1^9c7rr9 47c# Panel p ro d u c ts ............ 18% 17% Logs, chips, veneer, windows & doors . 18% 13% A b o a r d * ............ c o n ta in e rs.............. 7% 7% T o ta l ................... 100% Operating ProfitBreakdown, B y M a jo r uct G roups: _ , 1980 Building products (lumber, panel products & oth.) . 82% Pulp, paperboard * c o n ta in e rs............... 18% 100% P ro d 1979 78% 22% T o ta l 100% 100% P R O P E R T IE S Lumber Plants (60) Cal. (19) W is. (2) Ida. (6) W yo. (2) M ont. (3) Tex. (6) W ash. (3) F la .(2) A laska (4) La. (4) Ore. (6) M ich. (2) British C olum bia _ , C a l. O re. Plyw ood Plants (5) Tex. (2) La. _ , al. (2) Tex. P artic le b o ard P lan ts (5) M ont. La. _ , L al5 h as h ard b o ard p lan t in O roville, Cal.: h ard w o o d plyw ood p la n t in B u rn ey , Cal.; hardw ood veneer p lan ts in G oodm an and M ellen, W ise.; w indow an d d o o r p lan ts in N o rto n (2), O ttaw a an d W inesburg, Ohio; m illw ork p lan ts in C alpella, R ed Bluff an d T ru ck ee, Cal.; an d p u lp m ills p lan ts in K etchi k an , A laska an d S am oa, Cal.; 2 m edium densi ty fiberboard p lan ts in R ocklin, Cal. an d E ri- fau la, Al.; a n d p a p e rb o a rd m ills p la n t in A nti och, Cal.; co rru g ated container p la n ts in A nti och, B uena P a rk Cal., an d Phoenix, Ariz.; in d u strial insulation p lan ts in F ru ita , Colo., and R uston, La.; m etal jacketing plan t in P ales tine, T ex., an d prin tin g p lates p lants in E m e r yville an d L os A ngeles, Cal., an d Seattle W ash. * Co. th ro u g h 1979 acquisitions also ow ns a R oof T ru ss m anufacturing facility in O range, Calif.; a n d a carg o handling a n d distrib u tio n facility in S an P ed ro , Calif. MANAGEMENT O fficers H .A . M erlo, C hm n., P res. & Chief E xec. Off. V ice-Presidents L.C. Sim pson D .R. K ayser J.C . H art, C ontr.-T reas. D .R . H olm an, Sec. ' D irectors (Show ing P rincipal C orporate A ffiliations) D onald R. Holm an, S ec., L o u is ia n a -P a c ific C orp. an d P artn er, M iller, N ash, Y erke, W ie ner & H ager. Jo h n C. Jaqua, P a rtn e r, S u lliv an & C rom w ell. D onald R. K ayser, V ic e -P re s., L o u is ia n a - P a cific C orp. Harry A Merlo, C h m n ., P re s. & C hief E xec. Off., L ouisiana-P acific C orp. J a m e s F. Millar, A d v is o ry D ii., B ly th E a s t m an Paine W ebber Inc. Ralph C. R ounds, P riv a te In v e sto r. b ae C. Sim pson, V ice-P res., L o u isian a-P acific C orp. Ralph J. V oss, R e tire d C h m n ., W estern B anc o rp o ra tio n . Auditors: A rth u r A ndersen & Co. S hareholders Relatione: G erard R. G riffin, D i r e c to r -- C o r p o r a te C o m m u n ic a tio n s . Tel: (503)221-0800. Director Meeting: Q u arterly . Annuel Meeting: In A pr. General Counsel: M iller, N ash , Y erke, W ie ner & H ager, P o rtland, O re.; S ullivan & C rom well, N ew Y ork, N .Y . No. of Stockholders: D ec. 31, 1980, 69,000. No. of E m ployees: D ec. 31, 1980, 15,000. Executive Office: 1300 S.W . '5th A ve,, P o rt la n d , O R 97201. TeL: (503)221-0800. C O M P A R A T I V E C O N S O L I D A T E D I N C O M E A C C O U N T , Y E A R S E N D E D D E C . 31 (in thousands of dollars) N et sa le s............................ 1980 1,195,590 1979 1.301,910 1978 1,042,100 1977 794,480 1976 562,260 CUCost of sa le s.................. (TiSeUing & admin, exp. .. 936,810 60,570 976.520 72,800 773,020 50,020 573,730 406,250 Dcprec., am ort., etc.......... Cost of timber harvested. 68,030 74,250 59,360 36,830 56,660 27,550 40,670 Interest, n e t ...................... 19,040 (9.120) 22,260 (4,140) 23,560 5,960 17,020 14,360 17,500 12,470 Income before inc. taxes, equity earn. & extra, i t e m ...................................... Incom e ta x e s .................................................. 100,260 40,250 160,220 53,820 130,180 46,510 95,880 35,830 57,820 21,230 Inc. before equity earn. & extra, items . S E q u ity earnings .......................................... 60,010 106,400 81,670 60,050 36,590 cr3,820 Inc. bef. extraordinary item . ^ E x tra o rd in a ry item .................. 60,010 106,400 81,670 60,050 40,410 cri 27,000 N et In c o m e ............ ............... E arned surplus, beg. of y r............ Cash d iv id e n d s............................ * F air val. of shs. for stk. div........... Earned surplus, end of yr. .. 60,010 451,730 21,160 19,770 470,810 106,400 379,730 17,670 16,730 451,730 208,670 197,760 15,700 11,000 379,730 60,050 156,260 11,090 7,460 197,760 40,410 129,320 5,610 7,860 156,260 1975 386,700 289,300 20,250 30,970 12,650 16,150 17,380 4,170 13,210 cr3,500 16.710 16,710 117,840 5,230 129,320 1974 460,100 301.690 19,430 25,440 20,330 18,480 74,730 28,600 46,130 cri 0,470 56,600 56,600 65,150 3,910 117,840 BAU AS.1 Cash Marke Accot Inver Prep* 1 T im b Ree. i Ne In vei Inve> LI Curr Sh.-l Acct: Inco Lon> Pern Defe Emi Con* Paid Ean SU PR( A S. O d e: a s. o T Lar Bui Ma Cor Jnv r 598 197 1 na: am the of 1 ka (K rat ati eh. ka ho ve FU Si Di E (X T MOODY'S INDUSTRIAL MANUAL 3823 INCOME ACCOUNTS ( C o n t'd): 1980 1979 1978 1977 SUPPLEMENTARY P. & L. DATA M aintenance Acr e p a i r s ............................... 85,850 87,860 70,800 57.490 Deprec. & am o rt............................................ 68,030 74,250 59,360 56,o60 yCost of tim ber h arv e ste d ............................ 19,040 22,260 23,560 17,020 Taxes, other th an payrollf& inc. taxes . . . 12,110 13.,810 13,760 Includes related portions of items shown under "S upplem entary P. & L. Data*' below statem ent. E quity in net income of Ketchikan operations while 50% owned. 01978: Gain from condemnation of timber and timberlands for expansion of Redwood National Park. 1976 37,470 40,670 17,500 Consolidated Statem ent of C hanges dal Position (in th o u sa n d s of dollars): Funds Provided: 1980 Net in c o m e ................ 60,010 Depr., am ort. & cost of timber harv. ... 87,070 Def. inc. ta x e s ............ 20,400 Change in * Fibreboard pension liab. cr. to in........................ (8,630) In Finan* 1979 106.400 96,510 12,300 Com pensation on rec. from U.S. Govt. . .. New b o rro w in g ........ Other trans., n e t. . .. T o t a l ................ Funds Applied: Cash divs..................... Pit,, equip. & logging road add., net, oth. than Ketchikan purch.. (9,180) 10,460 13,190 173.320 21,160 114,920 5,900 (2,140) 218,970 17,670 139,080 Timber & tim b erlan d s add., n e t.......................... Reduct, of lg.-tm. d e b t .................... Purch, of treas. stk. . T otal ................ Addit. (reduct.) to work, cap.............. 1975 26,890 30.970 12,650 29,370 29,810 195,260 (21,940) 1974 31,340 25.440 20.330 31,340 32,970 5,880 226,940 (7,970) BALANCE SHEETS CO M PA RA TIV E CO N SO LID A TED BALANCE S H E E T . AS O F ASSETS Cash ......................................................... M arketable sec........................................ Accounts receiv ab le.............................. Inventories ............................................ Prepaid e x p e n s e s .................................. 1980 33,070 87,370 159.190 9,820 (in thousands of dollars) ' 1979 1978 2,360 5,870 60,000 112,670 82,540 216,380 176,800 3,690 , 4,370 1077 9.110 69,980 129,630 4,030 D E C . 31 1976 15,530 70.290 123,100 3,720 1975 26,400 34.220 91.140 2,200 1974 27,760 37*790 101.860 2.200 Total c u rra n t a s s e t s .................... Tim ber & tim b erlan d s.......................... Rec. from U.S. G o v t ............................. Prop., pit. and equip........................... Less: D e p re c ia tio n ............................ 289,450 202,740 59,310 847,130 319,750 335,100 192,410 47,720 750,220 269,730 329,580 183,330 45,000 628,380 212,720 212,750 141.530 488,240 175.780 212,640 136.410 448,740 150,040 153.960 125,090 343,530 123.110 169.610 33.230 315,516 101.610 N et pro p erty a c c o u n t...................... Invest, in K etchikan oper..................... Invest. & other assets .......................... 527,380 35,540 480,490 45,730 415,660 42,590 312.460 11.430 298,700 8.270 220 420 42 780 7,440 213.900 ' 39,490 4.200 T o ta l ................................................ L IA B IL IT IE S Curt, portion lg.-tm. d e b t .................... Sh.-tm. notes payable ; ........................ Accts. pay. & accr. Uabil........................ Income ta x e s .......................................... 1,114,420 18,090 102.750 13,850 1,101,450 30.220 106,470 21,710 1,016,160 15,230 15,500 85,990 28,t90 678.170 8.080 350 49,900 27,890 656,020 11,490 10,240 47,940 25,840 549,690 13,540 27,560 6,620 560,430 14,540 27,310 13,180 Total c u rre n t l i a b i l i t ie s .............. Long-term d e b t...................................... Pension oblig. related to acq. Co.......... Deferred inc. t a x e s ................................ Empl. stk. purch. p la n .......................... Common stock (SI p ar) ...................... Paid-in surplus .................................... Earned s u r p lu s .............. ....................... Less: T reasu ry s to c k ........................ 134,690 143,540 3,760 141,200 3,890 29,890 188,850 470,810 2,210 158,400 162,890 11,130 120,800 1,850 29,050 168,960 451,730 3,360 144.910 189,960 12,420 108,500 1,510 28,640 160,850 379,730 10,360 86,220 202.840 30,600 300 27,500 137.350 197,760 4,400 95,510 219,920 27.6 790 26.810 130.430 156,260 1,300 47,720 208,680 15,900 130 26,320 123,950 129,320 2.330 55,030 224,890 14,700 370 26.320 123.770 117,840 2.400 T otal stkhldrs.1e q u ity .................. 687,340 646,380 558,860 358,210 312,200 277,260 265,440 T o ta l ................................................ Nat c u rre n t a s s e t s ...................... 1.114,420 154,760 1,101,450 176,700 1,016,160 184,670 678,170 126,530 . 656,020 117,130 549,690 106,240 560,430 114,580 PROPERTY ACCT.--ANALYSIS Additions at c o s t................................ Sales & r e tire m e n ts ........................ . Other deductions .............................. DEPREC. RESERVE--ANALYSIS Additions chgd. to cost & exp. ---Sales & r e tire m e n ts ........................ O th e r................................................... 156,660 12,010 37,410 49,690 dr, 120 8,450 193,300 14,340 48,040 48,490 *6,100 14,620 143,610 26,700 43,790 39,390 dr9,360 6,910 105,710 21,830 39,260 34,700 drl4,790 5,830 154,490 6,290 31.670 26.500 rfrJ.110 3.540 46.860 4,900 22,080 23,840 tfrl,700 drtS40 126,800 9,740 24.890 . 20.880 dr2,030 1,300 01980 (in $000): Land, impr. & logging rds............. B u ild in g s .................... Mach. 8? equip............ Constr. in prog%........ Invest, tax credit . . . . Book Value 110,680 98.100 617,830 20,430 Reserves 8,060 25,570 ' 257,730 26.390 T otal .................. 847,130 319,750 Shares a t cost: 1980, 119,418; 1979, 180,807; 1978, 598,543; 1977, 328,550; 1976, 97,245; 1975, 174,852; 1974, 186,592. General Notes t P rinciples of C on so lid atio n : C o n so lid ated fi nancial statem en ts include the accounts of Co. and all subsidiaries in w hich it ow ns m ore than 50% of th e voting stock, after elim ination of in terco m p an y b alan ces a n d tra n sa c tio n s. < Investm ents in K etchikan P u lp Co. (K etchi kan) and K etchikan In ternational Sales Co. (KISC), a dom estic international sales corpo ration, are referred to as the K etchikan O per ations in th e financial statem en ts. Co. p u r chased rem aining 50% of the stock of K etchi kan on N o v . I, 1976 a n d later so ld its 50% holding in K IS C . W hile 50% ow ned, th e in vestm ent in the K etchikan O perations w as re flected in the financial statem en ts using the equity m ethod of accounting, and Co. received m anagem ent fees and sales com m issions from the K etchikan O perations for m anagem ent an d lum ber m arketing services. In v en to ry V aluation: In v en to ries of logs an d lum ber generally are valued for financial purposes a t the low er of L IF O an d average cost or m arket (based on current sales prices). In v en to ry costs include m aterial, labor and operating overhead. L IF O inventories are com puted using the dollar-value m ethod, and accordingly it is n o t possible to p resen t a breakdow n of inventories betw een finished goods and raw m aterials and supplies. Inven to ries used in determ ining th e cost of sales in th e sta te m e n ts of incom e w ere as follow s: Dec. 31, 1977 ................................$129,630 Dec. 31, 1978 ................................$176,800 Dec. 31, 1979 ................................ $216,380 Dec. 31, 1980 ................................ $159,190 T hese inventories w ere determ ined on the basis of physical inventories, adjusted w here necessary for intervening transactions from the date of physical inventory to the end of the year. . . P roperty, P lant and E quipm ent: Provisions for depreciation of buildings, m achinery and equipm ent have been com puted using straight-line com posite rates based upon the estim ated service lives of the various units of property. E ffective straight-line com posite rates for principal classes of p ro p erty and equipm ent range from approx. 5% to 20%. N o g ain o r loss is recognized on norm al p ro p erty dispositions; p ro p erty cost is credit ed to the asset accounts and charged to the depreciation reserve accounts and any p ro ceeds are credited to the d*preciation reserve accounts. W hen there are abnorm al disposi tions of p roperty the cost and related depreci ation reserves are rem oved from the accounts a n d a n y g ain o r loss is reflected in incom e. Co. capitalizes interest on borrow ed funds during construction periods. C apitalized in ter est is charged to the m achinery and eq u ip m ent acco u n t and am ortized over th e life of th e related asset. Co. defers start-u p costs on new construc tion projects during the start-u p phase, and am ortizes the deferral over seven years. Investm ent tax credits are accounted for u s ing the deferred m ethod. Credits are am or tized over an eight-year period as a reduction of depreciation expense. FINANCIAL & OPERATING DATA Statistical Record Earned per sh.--common: Qn Year end shares: Before extraord. ite m s .................... N et incom e......................................... 0O n Average shares: Before extraord. ite m s.................... N et incom e........................................ Dividends per sh.--c o m m o n .................... Price Range--c o m m o n .......................... Net tang, assets per sh.--common . . . . Tunes charges earned: Bef. inc. taxes .......................................... After inc. t a x e s ........................................ 1980 $2.01 $2.01 $2.02 $2.02 ($0.69 29.50-18.50 $23.01 1979 $3.55 $3.66 $3.57 $3.57 $0.60 25,61-17.55 $21.60 1978 $2.75 $7.00 $2.74 S7.00 SO. 55 22.70-10.56 $18.80 22.84 14.7,0 1977 1976 $2.04 $2.04 * $1.40 $1.40 $2.03 $2.03 $0.40 16.75-11.17 $12.18 $1.37 $1.37 $0.20 16.26-10.56 $10.81 7.68 5.94 5.18 4.24 1975 $0.59 $0.59 $0.56 $0.56 $0.20 14.93 7.52 $9.81 2.29 2.03 1974 *2.00 $2.00 $1.92 $1.92 SO. 15 21.84-6.07 $9.57 5.61 4.06 3824- MOODY'S INDUSTRIAL MANUAL FINANCIAL A OPERATING DATA P nce Range--Fibreboard deb. 43/is, 1993 --Fibreboard deb 6% s, 1998................ , N et tang, assets fl.OOOig. tm . d e b t ............ N et curr. assets per 81,000 Ig. tm . d e b t___ [UNumber of shares--common: Year-end Average com. & com. equiv............ Financial 4 O perating Ratios tCurrent assets-i-currentliabilities___ cash & securities to current assets . inventories to current a s s e t s .......... %To nueti currenmt assets to niet w o r th ___ % pro p erty depreciated ...................... % annual depr., etc. to gross property Capitalization: % long term debt .............................. % common stock & surplus ............ Sales -r in v e n to rie s.................................. Sale -r receivables.................................... % sales to net p r o p e rty .......................... % sales to to tal a s s e t s ............................ % net income to total a s s e ts .................. % net income to net w o r t h .................... Analysis of Operations: Gross sales, less returns, allow., e tc .. . . Cost of sa le s.............................................. Selling, general, etc., e x p e n s e s........ ..!! D e p re c ia tio n ............................................ O perating p r o f i t ......................................* Interest paid ............................................ O ther income d e d u c tio n s ......................] B alan ce....................................................... Prov. Fed. inc. t a x .................................. E quity e a r n in g s ....................................... E xtraordinary i t e m s .............................. N et income. (C o n t d): 5111/928-05iy 3 89-89 84,788 81.078 29,889,791 29,740,000 2.15 11.43 55.00 22.52 37.75 8.03 17.28 82.72 7.51 13.08 226.70 107.28 5.38 8.73 % 100.00 78.36 6.74 5.69 9.21 crO.76 1.58 8.39 8.37 5.02 in 1979 91-89 84,968 81,085 1978 6 1 Vs - 52/4 91%-77Vs 83,942 8972 29,921,964 29,800,000 29,747,700 29,760,000 2.12 0.70 64.57 27 34 35.95 9.90 2.27 19.99 53.64 33.04 33.85 13.20 20.13 79.87 16.62 8.65 270.95 118.20 9.66 16.46 % 100.00 75.01 5.59 5.70 13.70 0.32 1.71 12.31 4.13 25.37 74.63 5.89 12.63 250.71 102.55 20.54 37.34 % 100.00 74.18 4.80 5.70 15.32 0.57 2.26 12.49 4.66 12.19 20.02 i% ^ jUSted ^ 1977 S6*/a-52 83-72 82,766 8624 29.397,760 29,650,000 2.47 4.28 60.93 35.32 36.00 11.60 36.15 63.85 5.97 11.07 247.85 114.20 8.85 16.76 % 100.00 72.21 4.63 7.13 16.03 1.80 2.14 12.09 4.50 7.59 1980 " d >92* 1976 61-51% 94-62Vi 82,420 8533 1975 54-50 80-60 82.330 8509 1974 7 6 - 511/4 104-67 Vs 82,180 8509 28,910,020 29,540,000 28,228.380 29,490,000 28,275,677 29,490,000 2.23 7.30 57.89 37.51 33.43 9.06 3.23 17.14 59.19 38.31 35.83 12.69 3.08 16.36 60.05 43.17 32.20 14.50 41.32 58.68 4.57 8.00 188.23 85.70 6.15 1er2r.94 /o 100.00 72.25 4.89 7.23 15.63 2.22 3.11 10.30 3.77 00.67 42.94 57.06 4.24 11.30 175.43 70.34 3.03 6.00 % 100.00 74.82 5.23 8.00 11.95 4.17 3.27 4.51 1.07 0.90 45 85 54.15 4.52 12.18 215.10 82.09 10.09 21.32 % 100.00 65.58 4.23 5.52 24.67 4.01 4.41 16.25 6.21 2.27 7.20 4.34 * 12. stock'dividends 197M8. and 2-for-l `s p l LONG TERM DEBT _ f^ '- ^ J * * F s y a b la : O u ts tg ., D e c . 31, 1980, * l43^540.000 (ex clu d in g c u rre n t p o rtio n ), com p rised of: ( 1) 868,000,000 5 1/ 2% - 87/ i % p r o m is s o r y notes payable to insurance co. m varying a m o u n ts a n n u a lly th r u 1995. (2) 835,100,000 in stallm en t n o te s a n d co n tract payable. (3) 845,800,000 rev en u e bo n d s. In 1980, C o. issu ed 822,000 of K etch ik an pollution control project revenue bonds. T he b o n d p ro ceed s to g eth er w ith 89,300 fro m th e construction fund tru st account w ere used to re tire th e 831,500 of o u tsta n d in g rev en u e b o n d s. A t D ec. 31, 1980 a n d 1979, th e constructio n fu n d b alan ce w as 88,720 an d 824,670 an d is included in Investm ents and O ther A ssets in the consolidated balance sheets. D isbursem ents from the construction fund tru st account are m ade as K etchikan incurs project construction costs. Installm ent notes and contracts payable w ere incurred prim arily through acquisitions of plants and tim ber and are generally unsecured. R__e_v_o_lv_i_n_g_C__r_e_d_it__A_g_r_e_e_m__e_nt,,: _C__o._h a s a r1eCvVo,, l1vV. ing credit agreem ent w ith banks w hich prov id es fo r m ax im u m b o rro w in g s of 8100,000 w ith interest a t 107% of the prim e interest r a te . I t: m a y b e c o n v e r te d to alte r m lo a n o n o r b efo re D ec. 3 1983 a t 112% of th e p rim e inte re st ra te w ith re p a y m e n t fro m 1984 th ro u g h 986- C o. h a d n o b o rro w in g s in eith er 1980 or *979 u n d e r th e revolving cred it ag reem en t. T h e r e v o lv in-g---c--r-e--d--i-t---a-g--r-e--e--m---e--n--t--a--n--d---in s u r-ance com pany note agreem ents each contain I N T E. R E S T. - A & O l5 t o h o ld e r s re g is te r e d o n t15u^i}tAq*tYg_'PitIloru_to" i"ni--te r e s t d a--t-e--.. T R U S T E E -- B ank of C alifornia, San Francis- A U T H E N T IC A T IN G , _- - ---------------- T ru s t Co., N Y C . A G E N T -- B ankers D E N O M IN A T IO N -- F u lly reg istered , 81,000 and authorized m ultiples thereof. C A L L A B L E --As a w hole o r in p a rt on at le a s t 30 days* n o tic e t o e a c h O c t. 14, incl., a s follow s: 1981 101.75 1982 ....... 101.50 1983 101.25 1984 101.00 1985 ....... 100.75 1986 1987 . . . . 100.25 1988 ....... 100.00 100.50 Also callable for sinking fund (w hich see) at par. S I N K I N G F U N D -- A n n u a lly , e a c hn wO cet. i1s5 1979-92, to retire debs., cash (o r debs.) eq u a' to 81,500,000; p lu s s im ila r o p tio n a l1 p a y m e n ts , S E C U R IT Y --N o t secured; subordinated to *11 s e n io r d e b t. C O N V E R T IB L E -- In to cash a t 8544 p er 8""1,000 d e Lb e n tu r e . IN D E N T U R E M O D IFIC A T IO N --Inden tu re m ay be m odified, except as provided, consent of 66% % of debs, outstg. PU R PO SE -- Proceeds to repurchase shs. of Jen n eco Corp. O F F E R E D -- (830,000,000) a t 100 (p ro c e e d s to 98h/ st n ^ t . 115, 1968 th r u L e h m a n B ro th ers and J. B arth & Co. and associates. 3. Fibreboard Corp. convertible eubordineted d e b e n tu re SVe d u e 1998: O U T S T G .--S2,594,000. D A T E D -- A u g . 15, 1973. D U E -- O ct. IS 1998 I N T E R E S T -- A & b 15 to h o ld e r s re g is te r e d C O N V E R T IB L E -- In to cash a t 8918 92 o er 81,,u0w00wo f udceubcemn tuurrceas.. i y i * `92 p e r IS S U E D -- In 1973 in co n n ectio n w ith an c h a n g e o ffe r to hoollHdte-rs o f d e b . 43%/ =s, d u e ,1993 r a t e o f 8750 p r in . a m t. d eb , 6V4S f o r ea c h 81,000 p rin . a m t. 4V48. CAPITAL STOCK Louisiana-Pacific Corp. com m on; par SI: A U T H .-- 75.000,000 sh ares; o u tstg ., D ec. 31, 1980, 29,770.373 sh a re s; in tre a s u ry , 119,418 sh a res; reserv ed fo r o p tio n s, 872,822 shares; reserv ed fo r p u rc h a se p lan . 314,826 s h a re s p a r SI. SI p a r sh s. sp lit 2 -fo r-l Tan. 9. 1974. D IV ID E N D R E S T R IC T IO N S --(see Reyolvm g C redit A greem ent above). V O T IN G R IG H T S --E n titled to one vote per sh. w ith non-cum ulative voting for directors. N o preem ptive rights. D IV ID E N D S ---(p ay m en ts sin ce 1972 follow ): 1973 ......... S0.10 O n SI p a r shs. after 2-for-l split: 1974 ..........10.15 0197S-76 . .10.20 31977 ......... S0.40 01978 ........ 0.55(31979 ........ 0.60 0 1 9 8 0 .......... 0.69 0 1 9 8 1 -----(30.38 A m Anl s o pai iqso d ws t k- A. dnirv s\.n: 1i9o7s6>-78\,o 2f '%' ; 1979-80, 3%; APr r r r i ' AinZ* t * l. 3Tp` DrtTI VV ItrDVEtrNwDri' R" Er IiNmV ExS T\ M, dE!-XN: T P L A N C om pany offers its holders of com m on stock opportunity to buy additional shkres of com m on stock through its A utom atic D ividend R einvestm ent and O ptional C ash P aym ent Plan. As A gent for p articip an t in A utom atic D ividend R einvestm ent Plan, T he C hase the defined net incom e of Co. after th a t date A t D ec. 31, 1980 th e r e w a s 103 000 n f e a r n e d s u r p lu s a v a ila b le f o r Ui" p a y ^ t o f d i v i dends as a result of loan lim itations In tion, Co. m u st m ainm in a m "nim um o 1120,000 o f w o r k in g c a p ita l ak d tr in ^ d t m u s t tio n a l b o rro w in g a n d m utos tomr daeirn ttaointa ca urka taido doif, liabilities to n et w orth, as defined, of no m ore th a p 1.25 t o 1. A t D e c . 31, 1980 a n d 1979, th is r a tio w a s .62 to 1 a n d .70 t o 1. L ouisiana-P acific has generally follow ed the Pokey of m aintaining com pensating bank de posits in the b an k s w hich participate in cer tain credit agreem ents although there are no contractual requirem ents to do so. S ubstan tially all cash balances are used as com pensat ing bank deposits. 2. Fibreboard Corp. convertible eubordineted d e b e n tu re 4 % a . d u e 1893: A U T H .-- 30,000,000; o u tstg ., 3,398,000. N ote: See Issued under conv. subord. deb. 6a/*s, d u e 1998 b elo w . D A T E D -- O c t. 15, 1968. D U E -- O c t. 15, 1993. t r ! ? c t e E- Bank f CaUf0TMia- N -A- San P A Y IN G T R A N S F E R Si r O N V P R im M a p f n t ' tV T, j CO N V ER SIO N G E N T - T r u s te e , an d B an k ers T ru s t Co., nFM riiU T M at t o k t t u . . j __ _ registered 150 1 OOO ' * 1-000 a n d m te r m u ltip le s of C A L L A B L E --As a w hole o r in p art, on a t fritl*1 d a y s to e a c h O c t. 14, in cl. a s poration C om m on Shares registered in nam e of p articip an t on books of Co. as to which particfpant elec dividends to be so reinvested, and on an y full or fractional C om m on Share equivalents acquired o r deposited under Plan. an y deposited cash, and net proceeds from I h a r ( `if e re in a f te t'^ f " reddto ^ "1 1 1 ^ % o ? other securities sold by the B ank after deduct- i oft9 1982 ........ ........ [110o04a4.3.399...1..19.9.8.8.3.3..................... }?!! ...................... 104.05 1984 ......... 1S0h3.a7r1e s p a a n r d ti c fr ip a a c n uo t 's n a a c fsh cou a n r t e . ^ q u i v i f e ^ for B ank will invest cash 1985 ......... 103.38 1986 ---- 103.04 1987 102.70 d iv id e n d s p r o m p tly a f te r re c e ip t a n d will in 1988 ......... 102.36 1989 ___ 102.03 1990 101.69 v e s t a ll o th e r fu n d s a s h e r e in a f te r p ro v id e d . 1991 .........101.35 1992 .........101.01 1993 100.68 S u c h p u r c h a s e s m a y b e m a d e o n a n y s e c u ri 1994 ........ 100.34 ties exchange w here S haies are trad ed , in a n d th e r e a f te r a t 100. A lso c a lla b le o n lik e n o o v e r-th e -c o u n te r m a r k e t o r in n e g o tia te d tice fo r sin k in g fu n d (w h ich see) a t 100. transactions, and m ay be on such term s as to S I N K I N G F U N D -- A n n u a lly , e a c h O c t. 15, p ric e , --d e liv e r y a n d o th e rw is e a s B a n k m a y d e - 1984-97, cash (o r d eb s.) to red eem 5% of debs, term ine. o u ts tg . o n O c t. IS, 1984, p lu s s im ila r o p tio n a l T R A N S F E R A G E N T & R E G I S T R A R __ _________ C hase M a n h attan B ank (N .A .), N Y C. S E C U R IT Y -- IN D E N T U R E M O D IFIC A - L IS T E D --O n N Y S E (Sym bol: L PX ); also . Y X i , S a m e as conv subord. deb. 4% s, due listed on Pacific Stock E xchange. U nlisted 1993. (see N o . 2 a b o v e.) trading on M idw est SE.