October 2004 Results Slideshow

8/14/2019 October 2004 Results Slideshow

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S.A. PlywoodGlobal Forest

ProductsIntroductionIntroduction

100-Ton Forklift

Plywood Business Review Meeting

Tuesday 9 November 2004

100-Ton Forklift


2/80


Products

Highlights andHighlights andLowlightsLowlights

Highlights and LowlightsHighlights and Lowlights


3/80


ProductsHighlightsHighlights

COMPLETION OFPERSONAL DEVELOPMENT PROFILE


4/80


ProductsLowlightsLowlights

DRY VENEER

DRYER VOLUMES

LOGS : SUPPLY MIX

R569 000 Logs

R 23 000 Transport

R592 000

DISAPPOINTING MONTH

-Turnover- Sales Mix

OVERTIME COST


5/80


Products

Volumes Sold 2000 -Volumes Sold 2000 -

20042004

0

500

1000

1500

2000

2500

3000

3500

4000

4500

m3Sold

2000 2001 2002 2003 2004

2000 1941 3443 3685 2999 2967 3629 3392 1510 1837 2440 1913 11232001 1849 3081 3262 2694 2900 3493 3117 2163 2322 2802 2208 1409

2002 1141 2607 2418 2175 3072 3283 3712 3299 3698 3636 3533 2078

2003 2549 2735 2338 2446 2578 2827 2983 3290 3255 3568 3274 1729

2004 2803 3312 3521 3252 3109 3112 3778 3651 4256 3305

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC


6/80


ProductsTurnover & Total CostTurnover & Total Cost

2,8142,9262,8172,8082,8962,655

2,6782,454

2,835

3,239

3,091

3091

2,6842,8042,7162,7302,804

2,5532,546

2,331

2,669

3,016

2,89 7

2897

2,4012,5392,4612,4342,4752,250

2,210

1,9872,352

2,688

2,57 5

2575

1,4781,288 1,162 1,105

1,251 1,274 1,338 1,1791,234 1,057

1,38 5

1385

3,0973,1623,1043,1333,1143,1403,0472,9992,9533,112

3343

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

2003 Jan 04 Feb 04 04-Mar Apr 04 May 04 Jun 04 Jul 04 Aug 04 Sep 04 Oct 04

R/M3

Int & Depr Variable Expenses C.O.S Fixed Cost Net Sales


7/80


Products

MarketingMarketing

S.A. PlywoodS.A. Plywood


8/80


Products

Local Market ConditionsLocal Market Conditions

Demand continues to be strong with all regions reportinggood business and this should continue throughout

November as projects need to be completed before the

December break.Demand for all flat board products continues to behigh.

Demand continues for shuttering products.

The veneer market is busy.

The outlook for November is good and once again themonth has started off very well.

Marketing S.A. PlywoodMarketing S.A. Plywood


9/80


ProductsMarketing S.A. PlywoodMarketing S.A. Plywood

Quality and ServiceQuality and Service

We received few complaints this month. However,there have still been some reports concerning warping.

Competitor ActivityCompetitor Activity

Malai product is readily available at low prices BUTtransport is an issue.

Cape Sawmills increased their Timbercore prices andwe have been able to increase our prices above the

recent increase into the Eastern Cape region.


10/80


ProductsMarketingMarketing

MarketingMarketingUniplyUniply


11/80


ProductsMarketing - UniplyMarketing - Uniply

173192 1401 821VOLUME (m3)

13840 8667 100 4866 259 620SALES (R)

VARIANCE %VARIANCEACTUALBUDGETTOTAL UNIPLY

September 2004

24187958771VOLUME (m3)

20552 3283 243 5342 691 206SALES (R)

VARIANCE %VARIANCEACTUALBUDGETUNIPLY NATAL

18131844713VOLUME (m3)

12290 9412 747 5032 456 562SALES (R)

VARIANCE %VARIANCEACTUALBUDGETUNIPLY GAUTENG

0,31338337VOLUME (m3)

(0,2)(2 403)1 109 4491 111 852SALES (R)

VARIANCE %VARIANCEACTUALBUDGETUNIPLY CAPE


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Products

Local Market ConditionsLocal Market Conditions

Market ActivityAnother good month with total Uniply 13% above budget on sales and 17% above budget on volume.

Competitor ActivityE.L.B. E.L.B. have now employed Charlie Woods (ex-Masonite) and they have a warehouse in

Durban which we believe is well stocked.

Zimbabwe Border Timbers do not appear to have any problems delivering product.Malai R.A.I. Ply appeared to have a transport problem at the beginning of the month but this seems

to have been rectified as a number of trucks have been received into Gauteng during the lastweek of October.

Market Developments Brick Pallets Orders appear to be tailing off but this might just be due to the time of year.

Customer ComplaintsQuite a few complaints were received this month, especially from Gauteng, and details have been passedon to Ken Herritt.

Marketing - UniplyMarketing - Uniply


13/80


ProductsExport MarketsExport Markets

0

Oct

123

123

Aug

124

124

Jul

17516629044260518454TOTAL

8642NewZealand

42Spain

89422074413147129Australia

4122England

8341129471261Holland

SepJunMay

AprMarFebJanCOUNTRY


14/80


Products

SafetySafety


15/80


Products

1. S.H.E. Induction Training : Own Employees :

15

Contractors

: 0

2. L.T.I / Minor Injury Statistics

3. L.T.I Benchmarks

4. L.T.I Frequency Rate

5. Manhours L.T.I Free

6. Highlights

7. Focus Areas

S.H.E. Review ReportS.H.E. Review Report

L T I s /Minor InjuriesL T I s /Minor Injuries


16/80


Products

L.T.I.s /Minor InjuriesL.T.I.s /Minor Injuries

2003 - 20042003 - 2004

3

1 001

00 0000 1

13

1

2

11

1

11

14

2

4

3

0

2

4

6

8

10

12

14

16

YTD2003

YTD2004

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

Month

D.I.'s

L.T.I.'s Minor Inj Target


17/80


ProductsL.T.I.s Benchmark : 1998 - 2004L.T.I.s Benchmark : 1998 - 2004

1

3

1

5

4

3 3

0

1

2

3

4

5

6

98 99 2000 2001 2002 2003 YTD 2004

D.I.'s Target

L T I F R : Nov 2003 OctL T I F R : Nov 2003 Oct


18/80


Products

L.T.I.F.R. : Nov 2003 OctL.T.I.F.R. : Nov 2003 Oct

20042004

0.9 0.9

0.7 0.7

0.9

1.4

1.2

0.70.90.9

1.2

0.9

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

NOV DEC Jan Feb Mar Apr May Jun Jul Aug Sept Oct

Month

LTIFR

LTIFR Target

Manhours L T I Free :Manhours L T I Free :


19/80


Products

Manhours L.T.I. Free :Manhours L.T.I. Free :

NovNov

2003 - Oct 20042003 - Oct 2004

0

200000

400000

600000

800000

1000000

1200000

Man

hours

Hours/WO/DI 69125 116877 43531 110950 180373 247402 314987 381743 29990 34439 105862 181328

Previous Best 653463 653463 653463 653463 653463 653463 653463 653463 653463 653463 653463 653463

Target 100000010000001000000100000010000001000000100000010000001000000100000010000001000000

NOV DEC Jan Feb March Apr May Jun Jul Aug Sept Oct


20/80


ProductsHighlightsHighlights

NO LOST TIME INJURIES TO CONTRACTORS

NO LOST TIME INJURIES TO EMPLOYEES

CONTRACTOR L.T.I.F.R. 0 < TARGET : 0.75 (5 STAR)

L.T.I.F.R is currently at 0.7 which is good enough for the

N.O.S.A. 5 star

l b lF A O b 2004F A O t b 2004


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ProductsFocus Areas October 2004Focus Areas October 2004

S.H.E. Inspections

Motorised equipment and First Aid

certificates expire during

2004

Final preparation for the N.O.S.A. audit

on the 25th of November 2004.

Gl b l F t


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Products

Health /Aids AwarenessHealth /Aids Awareness

Gl b l F tClinic : Medical TreatmentClinic : Medical Treatment


23/80


Products

Clinic : Medical TreatmentOctober 2004October 2004

0

20

40

6080

100

120

140

160

180

200220

240

260

By Sister 240 145 91 91 114 171 117 115 151 95 126 158 152

Referred to Doctor 5 2 2 2 2 14 4 7 5 5 4 3 4

Referred to OHD 4 5 4 3 4 7 5 6 5 11 15 11 5

Referred to Hospital 15 10 8 5 5 11 13 11 10 23 17 15 7

Periodicals 129 66 13 0 9 19 0 0 10 10 17 21 9

Pre-Employment Exams 0 0 0 0 0 3 2 1 0 1 2 1 15

Exit Medical Examinations 0 0 0 0 0 0 0 0 1 0 1 1 0

OCT NOV DEC Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Global ForestClinic : H.I.V./AIDS &Clinic : H.I.V./AIDS &


24/80


Products

/Related Cases - October 2004Related Cases - October 2004

0

5

10

15

20

25

30

PERIOD

NUMBEROFCASES

AIDS Confirmed 16 16 16 17 17 19 18 21 23 25 24 25 19

AIDS Suspect 18 18 18 17 17 19 19 17 17 19 19 19 17

AIDS Fatalities 0 0 0 0 0 0 1 0 0 0 0 1 0

T.B. 3 2 2 2 2 2 2 2 2 3 5 5 2

S.T.D. 2 1 2 1 1 3 0 0 0 0 0 0 3Hypertension 11 13 13 13 13 13 13 13 13 13 13 12 13

Oct Nov Dec JAN FEB MAR APR MAY JUN JUL AUG SEP OCT

Newly Diagnosed HIV/AIDS Cases = 2 Newly Suspected HIV Cases = 0

Global Forest


25/80


Products

Human ResourcesHuman Resources

Global ForestManning Levels : Salaried StaffManning Levels : Salaried Staff


26/80


ProductsManning Levels : Salaried StaffManning Levels : Salaried Staff

42

43

44

45

46

47

48

49

50

51

52

PERIOD

MANPOWER

Plan 45 45 45 51 51 51 51 51 51 51 51 51 51

Actual 48 49 50 51 51 50 50 51 51 50 50 50 50

Oct Nov Dec Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04

Global ForestManning Levels : Wage StaffManning Levels : Wage Staff


27/80


ProductsManning Levels : Wage StaffManning Levels : Wage Staff

280

285

290

295

300

305

310

315

320

PERIOD

MA

NPOWER

Plan 315 315 315 307 307 307 295 295 295 295 295 295 295

Actual 310 312 312 310 306 306 309 310 306 307 308 309 318

Oct Nov Dec Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04

Global ForestAbsenteeismAbsenteeism


28/80


ProductsAbsenteeismAbsenteeism

0.0%

0.2%

0.4%

0.6%

0.8%

1.0%

1.2%

1.4%

1.6%

Oct-03 Nov-03 Dec-03 Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04

Global ForestOvertime as a % of Time WorkedOvertime as a % of Time Worked


29/80


ProductsOvertime as a % of Time WorkedOvertime as a % of Time Worked

0

5

10

15

20

25

30

Oct-03 Nov-03 Dec-03 Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04

Wages Discretional O/Tas a % of Total Time Worked 19.96 19.34 12.89 19.55 17.11 21.52 16.49 18.21 21.69 21.16 22.64 25.15

Staff Discretional O/T as a % of Total Time Worked 1.86 1.71 2.08 1.99 1.72 1.87 1.44 2.19 1.82 2.59 2.72 2.36

Oct-03 Nov-03 Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04

Global Forest


30/80


Products

Log ProcurementLog Procurement

Global ForestLog ProcurementLog Procurement


31/80

S.A. PlywoodG oba o es

Products

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

Budget All 2149 1526 1059 2616 7350

Actual All 1554 1682 1156 3978 8369

Industrial C Industrial D C Veneer D Veneer Total C & D


VOLUME DELIVERIES OCTOBER 2004

Unpruned supply as a % of total intake: July 27%, August 31%, September 36%, October - 39%.

There is a shortage of C Class unpruned logs being harvested in terms of mill requirements.

Global ForestLog ProcurementLog Procurement


32/80

S.A. PlywoodProducts

0

5000

10000

15000

20000

25000

Budget All 9320 5802 4689 9939 29750

Actual All 5709 4870 4969 15819 31366

C Sawlog D Sawlog C Veneer D Veneer Total C & D


VOLUME DELIVERIES OCTOBER 2004Y.T.D.

Global Forest


33/80


Quality AssuranceQuality Assurance

l dGlobal ForestQuality AssuranceQuality Assurance


34/80


Plywood Monthly Quality Conformance Graph October 2004

91 90

999998

94

87

9797 96 959192

95

90

87

94

98 97 98

50

60

70

80

90

100

110

120

LogQ

uality

Sortin

gAccu

racy

VatT

emper

ature

Vatp

HCo

resPe

eler

Dryer

s

Gradi

ngAc

curac

y

Core

Saw

Splice

rs

Patch

ers

Blockb

oard

ConformancetoQualityStandards(%)

Conformance Y.T.D. Target

Q yQ y

S A Pl dGlobal ForestQuality AssuranceQuality Assurance


35/80


Plywood Monthly Quality Conformance Graph October 2004

94

99

94

100

76

9899

98100

85

9497

86

949798

99

86

99 98

50

60

70

80

90

100

110

120

GlueVisc

osity

GlueS

pread

Press

Quality

Panel

Sizing

Sand

er

Finishin

g/Grad

ingAccur

acy

Gradin

gAccurac

y-Do

wngra

des

Knife

Tests

RejectRa

teCon

forma

nce

AverageQ

uality

Confo

rmanc

e

Conformance

toQualityStandards(%)

Conformance Y.T.D. Target

y


36/80

S A PlywoodGlobal Forest

dQuality AssuranceQuality Assurance


37/80


Highlights and Lowlights

Q yy

Highs

Low conformances on Glue Spreads and

Grading Accuracy of Downgrades.

Low pass rate of Finished Product Graders

in the S.A.T.A.S. test.

Delams/blisters on RP 9 / resin film boards

(blockboard cores) cause identified.

Both Reject Rate and Average Quality

Conformances are above target.

Lows


P d t


38/80


ProductionProduction


P d t


39/80


WetsideWetside


ProductsPeeler Volume - DailyPeeler Volume - Daily


40/80


324

354 344 342 340

384

326 336

354363

398

350385

360

318

338

100

150

200

250

300

350

400

450

500

2003 JAN MAR MAY JUL SEP Wk 1 Wk 3

Yearly Monthly Weekly

350

FOCUS THIS MONTH

* Stacking quality remains an issue


ProductsPeeler RecoveryPeeler Recovery


41/80


67 67

64

6766

67

7069

67

64

6766

50

55

60

65

70

75

80

2003 YTD JAN FEB MAR APR MAY JUN JUL AUG SEP OCT

Yearly Monthly

65,3


ProductsDryer Volume - DailyDryer Volume - Daily


42/80


100

125

150

175

200

225

Redry 28 34 27 15 21 30 22 16 16 19 18 17 22 18

Net m3 151 155 156 157 154 150 158 163 172 167 167 163 170 169

Net m3 157 158

2003 Y .T.D. JAN FEB MAR APR MAY JUN JUL AUG SEP OCT Wk 1 Wk 2 Wk 3 Wk 4

Combined Dryers

Target

196m3

FOCUS THIS MONTH

Reduce downtimes

Reduce and maintain redry % at below 10%.

Blockages


Products

BlockboardBlockboardNo. of BoardsNo. of Boards


43/80

yProducts

55865657

4315

6806

8359

5334

6234

46964747

4232

5556

4340

1493

2845

2051

1970

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

2003 Y.T.D. JAN FEB MAR APR MAY JUN JUL AUG SEP OCT Wk 1 Wk 2 Wk 3 Wk 4

YTD/Months Weeks

No. of BoardsNo. of Boards

ManufacturedManufactured

Second shift in place since week 3

Replaced the planer in week 3

Targe

1 500

FOCUS THIS MONTH

People training

Throughput


Products


44/80

yProducts

DrysideDryside


ProductsPressing Volumes -Pressing Volumes -

D ilD il


45/80

yProductsDailyDaily

143

161143

153 161

170

161 154 153 164

186

169

173

165 168 169

0

25

50

75

100

125

150

175

200

225

m3

2003 2004

Y.T.D.

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT Wk 1 Wk 2 Wk 3 Wk 4

Previous Months Week

Target = 155m3

* Veneer supply was lower than expected but we managed to

make up with core from the blockboard plant.

* Spreader capacity increased due to doubling and tripling of

loads

FOCUS THIS MONTH

* Glue spreads

* UF resin component


Products100-Day Project100-Day Project


46/80

Products

0

50

100

150

200

250

300

350

400

450

R/m3

0

100000

200000

300000

400000

500000

600000

RandValue

PF/UF/MUF R/M3 415 414.86 353.39 351.85 286.6 297.41 292.13 291.3 313 274 305

Improvement on 2003 [R] 0 194,570218,240417,243396,868396,641415,175350,954552,575170,057

2003 Jan-04 Feb-04 Mar-04 Apr-04 May-04 Jun-04 Jul-04 Aug-04 Sep-04 Oct-04

Project Ayilahlwa

Glue Usage R/m3 Improvement From 2003


Products


47/80

oduc s

Production SummaryProduction Summary


ProductsMachine Centre - TargetMachine Centre - Target

EfficiencyEfficiency


48/80

EfficiencyEfficiency

0%

20%

40%

60%

80%

100%

120%

YTD Avg 88% 91% 80% 84% 83% 81% 72% 65% 79%

J une 69% 79% 75% 109% 93% 63% 65% 54% 76%

J uly 84% 70% 73% 93% 70% 80% 70% 64% 62%

Aug 98% 101% 82% 72% 72% 90% 71% 76% 85%

Sep 102% 108% 87% 75% 97% 91% 80% 64% 91%

Oct 91% 98% 84% 71% 84% 83% 74% 64% 78%

LogDeck Peeler Dryer Welder Core Plant Pressing Panel Saw Sander Finishing


ProductsPeelerPeeler ProductivityProductivity


49/80

0.000

0.200

0.400

0.600

0.800

1.000

1.200

1.400

1.600

1.800

2.000

m

ACTUAL 1.627 1.570 1.547 1.850 1.540

BUDGET 1.305 1.305 1.305 1.305 1.305

YTD Jul Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun


ProductsPeeling Unit CostPeeling Unit Cost


50/80

0

10

20

30

40

50

60

70

cost/m 59 56 54 56 48 65BUDGET 44 44 44 44 44 44

2003 YTD Jul Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun


ProductsDryers ProductivityDryers Productivity


51/80

0.000

0.100

0.200

0.300

0.400

0.500

m

ACTUAL 0.292 0.289 0.304 0.299 0.274

BUDGET 0.255 0.255 0.255 0.255 0.255



ProductsDrying Unit CostDrying Unit Cost


52/80

50

65

80

95

110

R

cost/m 97 96 97 98 94 96BUDGET 101 101 101 101 101



ProductsPress ProductivityPress Productivity


53/80

0.000

0.100

0.200

0.300

0.400

0.500

m

ACTUAL 0.269 0.280 0.284 0.266 0.245

BUDGET 0.238 0.238 0.238 0.238 0.238



ProductsPresses Unit CostPresses Unit Cost


54/80

0

10

20

30

40

50

60

70

80

90

100

R

cost/m 96 87 80 84 77 86

BUDGET 96 96 96 96 96



ProductsTotal ProductionTotal Production - M- M33


55/80

0

500

1000

1500

2000

2500

3000

3500

4000

4500

ACTUAL 2933 3482 3608 3914 3663

BUDGET3475 3317 3316 3211



ProductsTotal ProductivityTotal Productivity


56/80

-0.010

0.010

0.030

0.050

0.070

0.090

0.110

0.130

0.150

R

/m

ACTUAL0.090 0.110 0.115 0.120 0.105

BUDGET 0.098 0.098 0.098 0.098 0.098



ProductsTotal Unit CostTotal Unit Cost


57/80

0

1,000

2,000

3,000

4,000

R/m

ACTUAL 2,310 2,483 2,579 2,568 2,528 2,430

BUDGET 2144 2,186 2186 2186 2186



ProductsCost of ClaimsCost of Claims


58/80

0

10,000

20,000

30,000

40,000

50,000

Ran

d

Rand 17,050 11,100 41,044 22,911 11,346 6,535 7 ,707 55 12,335 0 624 8,448

2003

AVG

2004

AVGJan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec


ProductsLooking Ahead!Looking Ahead!


59/80

Capex

Delivery: Dryer 7-8 months from time of order

- if ordered 1st wk January, arrives mid August

- installation 6-8 wks, commissioning November Peeler would arrive 1 month after dryer commission, 4 wk installation

Areas of Focus (Outside of Dryer/Peeler Capex)

Log Sorting Minimize pruned logs Veneer Stacking focus on high grade veneers

Production Schedule improve communications between Sales, Drysideand Wetside. If were having problems now, wait until production doubles. Maximize veneer value put the right veneer into the right panel Visibility of Management Staff


Products


60/80

EngineeringEngineering


ProductsUptime ComparisonUptime Comparison


61/80

84%

60%

64%68%

82%

78%

92%

86%

98%

88%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

MAY JUN JULY AUG SEPT

Uptime Comparison

WETSIDE PEELER


ProductsPeeler UptimePeeler Uptime


62/80

5.3% 2.5%6.2%

86.0%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Prod Mech Elect Total

Peeler Plant Uptime


ProductsDryside UptimeDryside Uptime


63/80

9%2% 0%

89%

0%

20%

40%

60%

80%

100%


DRYSIDE PLANT UPTIME


ProductsDryers UptimeDryers Uptime


64/80

11.9%4.8%

1.5%

81.8%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%


DRYERS UPTIME


ProductsWetside UptimeWetside Uptime


65/80

2.6% 2.2%7.2%

88.0%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%


WETSIDE PLANT UPTIME


ProductsEnvironmental IssuesEnvironmental Issues

W Pi


66/80

Waste Pit


ProductsBudget Cost SummaryBudget Cost Summary


67/80

334,338382,714

4,062 2,77120,498

037,663

55,903

406,000

438,617

0

100,000

200,000

300,000

400,000

Pla nt Maint Consumable Plant Rebuild Prop Maint JAN TOTAL

Budget Cost Summary

BUDGET ACTUAL


ProductsUnit CostUnit Cost


68/80

Unit Cost

1,733,352

438,617376,945492,048515,267441,229

109

89

123

147

136

46

114114114114

127114

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

2004 JUN JUL AUG SEPT OCT

0

20

40

60

80

100

120

140

160

Actual Y.T.D Budget Y.T.D. R/M3 Budget Cost R/M3


Products


69/80

FinanceFinance


ProductsIncome StatementIncome Statement

October - MonthOctober - Month


70/80

M O N T H

INCOME STATEMENT Budget Actual

R000's R/M3 R000's R/M3

NET SALES 11,488 3,269 11,445 3,343

GROSS CONTRIBUTION 7,125 2,028 6,748 1,971

% 62% 62% 59% 59%

VARIABLE SELLING EXPENSES -1261 -359 -1141 -333% -11% -11% -10% -10%

NET CONTRIBUTION 5,865 1,669 5,608 1,638

% 51.1% 51.1% 49.0% 49.0%

TOTAL FIXED COSTS -4553 -1,296 -4289 -1,253

E.B.I.T.D.A. 1,312 373 1,319 385.

E.B.T. 673 192 699 204


ProductsIncome StatementIncome StatementOctober - Y.T.D.October - Y.T.D.


71/80

YEAR TO DATE

INCOME STATEMENT Budget

R000's R/M3 R000's R/M3 R000's R/M3

NET SALES 45,255 3,164 48,783 3,169 40904 3,123

GROSS CONTRIBUTION 27,497 1,922 28,454 1,849 25056 1,913

% 60.8% 60.8% 58.3% 58.3% 61.3% 61.3%

VARIABLE EXPENSES -5093 -356 -4354 -283 -4260 -325% -11.3% -11.3% -8.9% -8.9% -10.4% -10.4%

NET CONTRIBUTION 22,395 1,566 24,101 1,566 20797 1,588

% 49.5% 49.5% 49.4% 49.4% 50.8% 50.8%

TOTAL FIXED COSTS -18404 -1,287 -19455 -1,264 -18340 -1,400

E.B.I.T.D.A. 3,991 279 4,646 302 2457 188

E.B.T. 873 61 1,544 100 -2075 -158

Actual Prior YearActual


Products

ncome a emenncome a emen

AnalysisAnalysis

(R/m(R/m33) October 2004) October 2004

(R/M3) (ROOO)


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(R/M3) (ROOO)

BUDGET ACTUAL VARIANCE VARIANCE

VOLUME

Sales Product M3

Domestic 3,134 3,424 290 961Export 380 0 -380 -963

Total 3,514 3,424 -90 -2

RATE

ASP

Domestic 3,325 3,300 -25 -86

Export 2,535 0 -2,535 0

Other Income 32 47 15 47

Claims & rebates -3 -4 -1 -2

Net Turnover 3,269 3,343 73 -43

Variable Cost -1,241 -1,372 -130 -334

COS at Std. -1,237 -1,259 -22 -75

- PPV's /MUV -5 -112 -108 -370

COS Volume 111

Gross Contribution 2,028 1,971 -57 -377


Products

ncome a emen

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(R/M3) (ROOO)

BUDGET ACTUAL VARIANCE VARIANCE

Gross Contribution 2,028 1,971 -57 -377

Variable Expenses Rate -359 -333 26 86

Volume 32

- Production -47 -48 -1 -3

- Distribution -14 -12 2 7

- Outward Freight -179 -183 -5 -17- Commission & Disc -94 -86 9 31

- Other -24 -4 20 68

Net Contribution 1,669 1,638 -31 -257

Sales Volume 3,514 3,424 -90

Rand Contribution R 5,864,777 R 5,607,659 -257,118


ProductsIncome Statement AnalysisIncome Statement Analysis(R/m(R/m33) : October 2004) : October 2004


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BUDGET ACTUAL VARIANCE

Rand Contribution R 5,864,777 R 5,607,659 -R 257,118

Less Fixed Expenses -4,395,851 -4,606,041 -210,190

- Employment -1,893,794 -2,031,082 -137,288

- Property Expenses -105,521 -128,657 -23,136

- Plant Maintenance -382,804 -394,496 -11,692

- Transport -251,459 -231,000 20,459

- Utilities -514,045 -476,537 37,508

- Insurance -161,816 -66,405 95,411

- Log Transport 0 -22,610 -22,610

- Gen.

- Bad Debts -145,047 -145,047

- Other -675,396 -682,828 -7,432

Sundry Income 5,000 2,020 -2,980

Fixed Admin -416,016 -429,399 -13,383

OVERHEAD MOVEMENT -156,810 317,088 473,898

Stock Movement Prod Recovery 3,683,000 4,232,379 549,379

Stock Movement Cost of Sales -3,839,810 -3,915,291 -75,481

EBITDA 1,312,116 1,318,706 6,590

Deprec. Amortisation -756,371 -756,323 48

Interest 117,272 136,482 19,210

EBT R 673,017 R 698,865 R 25,848


ProductsCash Flow StatementCash Flow Statement


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End

OCTOBER2004

Actual YTD Budget Variance toBudget ActualMonth Budget Variance toBudget

Cash Generated by Operations 4,645,893 3,990,971 654,922 1,318,707 1,312,116 6,591

Plus/Minus Working Capital MovementStock 2,675,962 779,608 1,896,354 (360,455) 400,760 (761,215)

Debtors (4,594,660) (3,116,211) (1,478,449) 1,328,917 (310,643) 1,639,560Creditors 1,509,784 556,318 953,466 (292,733) 163,578 (456,311)Group Transactions (760,223) (1,400,516) 640,293 (1,671,168) 103,178 (1,774,346)

Cash Generated by Ops Activities 3,476,756 810,170 2,666,586 323,268 1,668,989 (1,345,721)

Plus/Minus Operational Interest 1,313,210 891,565 421,645 325,181 383,565 (58,384)Cash Applied to Ops Activities 4,789,966 1,701,735 3,088,231 648,449 2,052,554 (1,404,105)

OtherProceeds on Assets Sold - - - - - -

Capital Expenditure (186,228) (5,112,000) 4,925,772 (2,434) (2,074,500) 2,072,066

Taxation - - - - - -

Interest on Capital Loans (1,835,046) (1,534,840) (300,206) - - -

Total Cash Utilised 2,768,692 (4,945,105) 7,713,797 646,015 (21,946) 667,961

Current YTD Balances Current Month Balances


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ProductsDays Sales OutstandingDays Sales Outstanding

3 Y C i3 Y C i


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30

35

40

45

50

55

D

AYS

NOV DEC Jan Feb Mar Apr May Jun Jul Aug Sep Oct

2002 2003 2004

3 Year Comparison3 Year Comparison


ProductsClosing StockClosing Stock


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3379

4991

46144887

4134

47614548

3862

4764

3217

5108

47034690

2728

15861717

5219

4804

0

1000

2000

3000

4000

5000

6000

7000

2000 2001 2002 2003 SEP OCT NOV DEC Jan Feb Mar Apr May Jun Jul Aug Sep Oct

Closing Stock Cautionary Level Critical Level

6180

5180


Products


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Critical IssuesCritical Issues


ProductsCritical IssuesCritical Issues


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+ Expansion

- Final Design- Funding

+ Logs Pruned vs Unpruned and Supplier Mix

+ Exports : CE marking proofloader at U.P.

+ Control our buying and receiving on J.D.E.

+ Process flow onto J.D.E. Capacity J.D.E.+ Preventative Maintenance programme

- On track

- Basic information formulated

+ Grader Test Results

Documents

October 2004 Results Slideshow