Oregon Public Broadcasting

North America’s largest lumber producer, Weyerhaeuser posted a loss of $1.2 billion in the fourth quarter of last year. It also announced more layoffs. Kristian Foden-Vencil reports.

The Federal Way, WA company announced the shut-down of two mills in Aberdeen just a couple of weeks ago, with the loss of 220 workers.

Now, it says it will indefinitely shut down a veneer and a lumber mill in Alabama -- affecting another 300 employees.

The $1.2 billion loss is the company’s largest ever, and comes as a result of poor sales of new homes and a lack of residential construction.

Turmoil in the financial markets also played a part.

Shares of Weyerhaeuser traded up about 2.5% on the news. But the stock is down nearly 60% over the last year.