Louisiana-Pacific Corp has unveiled a US$30m cost reduction plan that calls for the shedding of more than 160 mid- to high-level corporate positions by the end of the year, a pay freeze and the cancellation of management bonuses.
The move came prior to the company’s announcement that it has made a third quarter net loss of US$2m on sales of US$636m.
Weyerhaueser has also posted reduced third quarter profits of US$91m – down from US$199m – on sales of US$3.7bn.
The disappointing earnings are being blamed on weak global economic conditions and the uncertainty created in the wake of the September 11 attacks.
Sales were slightly down on the US$3.9bn reported during the same quarter last year.
