Boise Cascade Company (NYSE:BCC) Q3 2021 Earnings Conference Call November 2, 2021 11:00 AM ET Company Participants Kelly Hibbs - Senior Vice President, Chief Financial Officer and Treasurer Nate Jorgensen - Chief Executive Officer Mike Brown - Executive Vice President Jeff Strom - Executive Vice President Conference Call Participants Mark Wilde - Bank of Montreal George Staphos - Bank of America Charles Perron - Goldman Sachs Reuben Garner - Benchmark Operator Good morning. My name is Chris, and I will be ...

[PART I—FINANCIAL INFORMATION](index=2&type=section&id=PART%20I%E2%80%94FINANCIAL%20INFORMATION) [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited consolidated financial statements for Boise Cascade Company as of September 30, 2021, highlighting significant increases in nine-month sales, net income, cash, and stockholders' equity driven by favorable market conditions [Consolidated Statements of Operations](index=3&type=section&id=Consolidated%20Statements%20of%20Operations) Nine-month sales increased by **53.5% to $6.14 billion** and net income surged by **265% to $543.4 million**, while Q3 sales grew **18.3% to $1.88 billion** but net income decreased **11.1% to $91.7 million** Consolidated Statements of Operations Highlights (in thousands, except per-share data) | Metric | Q3 2021 | Q3 2020 | Change | Nine Months 2021 | Nine Months 2020 | Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Sales** | $1,879,451 | $1,589,313 | +18.3% | $6,143,928 | $4,002,607 | +53.5% | | **Income from operations** | $129,386 | $158,572 | -18.4% | $744,422 | $235,889 | +215.6% | | **Net income** | $91,699 | $103,192 | -11.1% | $543,411 | $148,978 | +264.8% | | **Diluted EPS** | $2.31 | $2.61 | -11.5% | $13.71 | $3.78 | +262.7% | [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) Total assets increased **31.7% to $2.59 billion** as of September 30, 2021, driven by a **94% rise in cash to $786.9 million**, with total stockholders' equity growing **53.5% to $1.31 billion** Consolidated Balance Sheet Highlights (in thousands) | Account | Sep 30, 2021 | Dec 31, 2020 | Change | | :--- | :--- | :--- | :--- | | **Cash and cash equivalents** | $786,886 | $405,382 | +94.1% | | **Total current assets** | $1,937,991 | $1,308,855 | +48.1% | | **Total assets** | $2,588,365 | $1,965,718 | +31.7% | | **Total current liabilities** | $700,295 | $524,002 | +33.6% | | **Long-term debt** | $444,419 | $443,792 | +0.1% | | **Total stockholders' equity** | $1,305,605 | $850,799 | +53.5% | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash provided by operations increased **80% to $527.1 million** for the first nine months of 2021 due to higher net income, while investing activities used **$50.8 million** and financing activities used **$94.8 million** primarily for dividends Consolidated Statements of Cash Flows Highlights (Nine Months Ended Sep 30, in thousands) | Cash Flow Activity | 2021 | 2020 | Change | | :--- | :--- | :--- | :--- | | **Net cash provided by operations** | $527,091 | $293,771 | +$233,320 | | **Net cash used for investment** | ($50,824) | ($46,431) | +$4,393 | | **Net cash used for financing** | ($94,763) | ($28,642) | +$66,121 | | **Net increase in cash** | $381,504 | $218,698 | +$162,806 | [Condensed Notes to Unaudited Quarterly Consolidated Financial Statements](index=10&type=section&id=Condensed%20Notes%20to%20Unaudited%20Quarterly%20Consolidated%20Financial%20Statements) Detailed notes disclose the company's Wood Products and BMD segments, significant accounting policies, debt, segment performance, and dividend declarations, including a **$3.00 per share supplemental dividend** and significant customer receivable concentrations - The company operates through two reportable segments: Wood Products (manufactures EWP and plywood) and Building Materials Distribution (BMD, a wholesale distributor)[27](index=27&type=chunk) - A significant concentration of credit risk exists, with two customers accounting for approximately **19% and 12% of total receivables** at September 30, 2021[49](index=49&type=chunk) - On October 28, 2021, the board declared a quarterly dividend of **$0.12 per share** and a supplemental dividend of **$3.00 per share**, payable on December 15, 2021[90](index=90&type=chunk) Segment Operating Income (in thousands) | Segment | Q3 2021 | Q3 2020 | Nine Months 2021 | Nine Months 2020 | | :--- | :--- | :--- | :--- | :--- | | **Wood Products** | $122,056 | $66,035 | $432,869 | $86,872 | | **Building Materials Distribution** | $16,565 | $107,901 | $343,122 | $180,413 | | **Total Segment Operating Income** | $138,621 | $173,936 | $775,991 | $267,285 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=24&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q3 2021 operating income decline to **$129.4 million**, driven by a **$91.3 million decrease** in BMD segment income due to falling commodity prices, partially offset by a **$56.0 million increase** in Wood Products income from higher prices, while maintaining **$1.13 billion** in liquidity [Executive Overview](index=24&type=section&id=Executive%20Overview) Q3 2021 income from operations decreased to **$129.4 million**, as a **$56.0 million increase** in Wood Products income was offset by a **$91.3 million decrease** in BMD income due to falling commodity prices, with the company maintaining **$1.13 billion** in total liquidity - Wood Products segment income increased by **$56.0 million** in Q3 2021 YoY, driven by higher sales prices for EWP, plywood, and lumber[110](index=110&type=chunk) - BMD segment income decreased by **$91.3 million** in Q3 2021 YoY, primarily due to a gross margin decrease of **$100.5 million** from a sharp decline in commodity prices[110](index=110&type=chunk) - The company maintained total available liquidity of **$1,132.2 million** at the end of Q3 2021[111](index=111&type=chunk) [Our Operating Results](index=27&type=section&id=Our%20Operating%20Results) Q3 2021 total sales increased **18% to $1.88 billion**, with Wood Products sales up **37%** due to higher prices, and BMD sales up **20%** despite its gross margin falling from **16.4% to 7.9%** due to declining commodity prices Sales Growth by Segment (Q3 2021 vs Q3 2020) | Segment | Q3 2021 Sales (millions) | Q3 2020 Sales (millions) | Growth | | :--- | :--- | :--- | :--- | | **Wood Products** | $497.3 | $363.7 | +37% | | **Building Materials Distribution** | $1,721.2 | $1,437.7 | +20% | - The increase in Wood Products sales was driven by higher average net selling prices for plywood (**+31%**), LVL (**+23%**), and I-joists (**+27%**)[127](index=127&type=chunk) - BMD's gross margin percentage fell to **7.9%** in Q3 2021 from **16.4%** in Q3 2020, primarily due to a sharp decline in commodity prices during the quarter[123](index=123&type=chunk)[140](index=140&type=chunk) [Liquidity and Capital Resources](index=32&type=section&id=Liquidity%20and%20Capital%20Resources) The company ended Q3 2021 with **$786.9 million in cash** and **$1.13 billion in total liquidity**, with net cash from operations increasing to **$527.1 million** for the first nine months, while projecting **$90-$100 million** in 2021 capital expenditures and using **$94.8 million** for financing activities, mainly dividends Cash Flow Summary (Nine Months Ended Sep 30, in thousands) | Activity | 2021 | 2020 | | :--- | :--- | :--- | | **Net cash provided by operations** | $527,091 | $293,771 | | **Net cash used for investment** | ($50,824) | ($46,431) | | **Net cash used for financing** | ($94,763) | ($28,642) | - Capital expenditures are expected to be approximately **$90 million to $100 million** in 2021 and are forecasted to increase to **$100 million to $130 million** in 2022[154](index=154&type=chunk) - During the first nine months of 2021, the company paid **$91.0 million** in common stock dividends[155](index=155&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=35&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reports no material changes in its exposure to market risk, which continues to include commodity prices, interest rates, and foreign currency exchange rates, from those disclosed in its 2020 Form 10-K - As of September 30, 2021, there have been no material changes in the company's exposure to market risk, which includes commodity prices, interest rates, and foreign currency exchange rates[168](index=168&type=chunk) [Controls and Procedures](index=35&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of September 30, 2021, with no material changes in internal control over financial reporting during the third quarter - The CEO and CFO concluded that as of September 30, 2021, the company's disclosure controls and procedures were effective at a reasonable assurance level[169](index=169&type=chunk) - No changes occurred during Q3 2021 that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[169](index=169&type=chunk) [PART II—OTHER INFORMATION](index=36&type=section&id=PART%20II%E2%80%94OTHER%20INFORMATION) [Legal Proceedings](index=36&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings in the ordinary course of business, none of which are believed by management to have a material adverse effect on its financial position, results, or cash flows - The company states that it is not reasonably possible that any current legal actions will have a material adverse effect on its financial position, results of operations, or cash flows[171](index=171&type=chunk) [Risk Factors](index=36&type=section&id=Item%201A.%20Risk%20Factors) New and updated risk factors include potential adverse impacts from proposed federal COVID-19 vaccination or testing mandates, which could increase costs and disrupt operations, and the potential for tax reform legislation, such as an increased U.S. corporate income tax rate, to adversely affect financial position - A new risk factor is the proposed regulation requiring mandatory COVID-19 vaccination or testing for employees, which could increase costs, interrupt operations, and increase employee turnover[173](index=173&type=chunk)[174](index=174&type=chunk) - The company identifies potential tax reform, such as a proposed increase in the U.S. corporate income tax rate, as a risk that could adversely impact its financial results[175](index=175&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=36&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - None[175](index=175&type=chunk) [Exhibits](index=38&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including CEO and CFO certifications pursuant to the Sarbanes-Oxley Act and Inline XBRL data files - Exhibits filed include CEO/CFO certifications (302 and 906) and Inline XBRL documents[179](index=179&type=chunk)[180](index=180&type=chunk)[181](index=181&type=chunk)[182](index=182&type=chunk)[183](index=183&type=chunk)

Boise Cascade Company (NYSE:BCC) Q2 2021 Earnings Conference Call August 3, 2021 11:00 AM ET Company Participants Kelly Hibbs - Senior Vice President, Chief Financial Officer and Treasurer Nate Jorgensen - Chief Executive Officer Mike Brown - Head, Wood Products Operations Jeff Strom - Head, Building Materials Distribution Conference Call Participants Jesse Barone - BMO Capital Markets Charles Perron - Goldman Sachs Reuben Garner - The Benchmark George Staphos - Bank of America Operator Good morning. My nam ...

[PART I—FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%E2%80%94FINANCIAL%20INFORMATION) This part details Boise Cascade Company's unaudited quarterly financial statements, including operations, balance sheets, cash flows, and comprehensive notes, along with management's discussion and analysis of financial condition and results of operations [ITEM 1. FINANCIAL STATEMENTS](index=3&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS) This section presents Boise Cascade Company's unaudited quarterly consolidated financial statements, including statements of operations, comprehensive income, balance sheets, cash flows, and stockholders' equity, along with detailed condensed notes explaining significant accounting policies, debt, leases, and segment performance for the periods ended June 30, 2021 and 2020 [Consolidated Statements of Operations](index=3&type=section&id=Consolidated%20Statements%20of%20Operations) This section provides the consolidated statements of operations, detailing sales, income from operations, net income, and earnings per share for the three and six months ended June 30, 2021 and 2020 Consolidated Statements of Operations (Three Months Ended June 30) | Metric | 2021 (thousands) | 2020 (thousands) | Change (%) | | :------------------------------------------ | :--------------- | :--------------- | :--------- | | Sales | $2,443,161 | $1,242,760 | 96.6% | | Income from operations | $409,775 | $51,770 | 691.5% | | Income before income taxes | $403,582 | $44,920 | 798.4% | | Income tax provision | $(101,026) | $(11,334) | 791.4% | | Net income | $302,556 | $33,586 | 799.3% | | Basic Net income per common share | $7.67 | $0.85 | 796.5% | | Diluted Net income per common share | $7.62 | $0.85 | 796.5% | | Dividends declared per common share | $2.10 | $0.10 | 2000.0% | Consolidated Statements of Operations (Six Months Ended June 30) | Metric | 2021 (thousands) | 2020 (thousands) | Change (%) | | :------------------------------------------ | :--------------- | :--------------- | :--------- | | Sales | $4,264,477 | $2,413,294 | 76.7% | | Income from operations | $615,036 | $77,317 | 695.5% | | Income before income taxes | $604,186 | $61,127 | 888.4% | | Income tax provision | $(152,474) | $(15,341) | 894.0% | | Net income | $451,712 | $45,786 | 886.5% | | Basic Net income per common share | $11.47 | $1.17 | 879.5% | | Diluted Net income per common share | $11.40 | $1.16 | 882.8% | | Dividends declared per common share | $2.20 | $0.20 | 1000.0% | [Consolidated Statements of Comprehensive Income](index=4&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Income) This section presents the consolidated statements of comprehensive income, including net income and other comprehensive income (loss), for the three and six months ended June 30, 2021 and 2020 Consolidated Statements of Comprehensive Income (Three Months Ended June 30) | Metric | 2021 (thousands) | 2020 (thousands) | Change (%) | | :----------------------- | :--------------- | :--------------- | :--------- | | Net income | $302,556 | $33,586 | 799.3% | | Other comprehensive income (loss), net of tax | $(3) | $150 | -102.0% | | Comprehensive income | $302,553 | $33,736 | 796.8% | Consolidated Statements of Comprehensive Income (Six Months Ended June 30) | Metric | 2021 (thousands) | 2020 (thousands) | Change (%) | | :----------------------- | :--------------- | :--------------- | :--------- | | Net income | $451,712 | $45,786 | 886.5% | | Other comprehensive income (loss), net of tax | $(7) | $365 | -101.9% | | Comprehensive income | $451,705 | $46,151 | 878.8% | [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) This section provides the consolidated balance sheets, detailing assets, liabilities, and stockholders' equity as of June 30, 2021, and December 31, 2020 Consolidated Balance Sheets (June 30, 2021 vs December 31, 2020) | Metric | June 30, 2021 (thousands) | December 31, 2020 (thousands) | Change (%) | | :------------------------------------------ | :------------------------ | :-------------------------- | :--------- | | **ASSETS** | | | | | Cash and cash equivalents | $653,767 | $405,382 | 61.3% | | Total current assets | $2,007,430 | $1,308,855 | 53.4% | | Total assets | $2,647,440 | $1,965,718 | 34.7% | | **LIABILITIES AND STOCKHOLDERS' EQUITY** | | | | | Total current liabilities | $854,257 | $524,002 | 63.0% | | Long-term debt | $444,210 | $443,792 | 0.1% | | Total stockholders' equity | $1,215,710 | $850,799 | 42.9% | | Total liabilities and stockholders' equity | $2,647,440 | $1,965,718 | 34.7% | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) This section outlines the consolidated statements of cash flows, categorizing cash activities into operations, investment, and financing for the six months ended June 30, 2021 and 2020 Consolidated Statements of Cash Flows (Six Months Ended June 30) | Metric | 2021 (thousands) | 2020 (thousands) | Change (%) | | :------------------------------------------ | :--------------- | :--------------- | :--------- | | Net cash provided by operations | $291,179 | $118,276 | 146.2% | | Net cash used for investment | $(31,002) | $(28,443) | 9.0% | | Net cash used for financing | $(11,792) | $(13,634) | -13.4% | | Net increase in cash and cash equivalents | $248,385 | $76,199 | 226.0% | | Balance at end of the period | $653,767 | $361,436 | 80.9% | [Consolidated Statements of Stockholders' Equity](index=8&type=section&id=Consolidated%20Statements%20of%20Stockholders'%20Equity) This section details changes in stockholders' equity, including common stock, retained earnings, and accumulated other comprehensive loss, for the periods ended June 30, 2021, and December 31, 2020 Consolidated Statements of Stockholders' Equity (June 30, 2021 vs December 31, 2020) | Metric | June 30, 2021 (thousands) | December 31, 2020 (thousands) | Change (%) | | :------------------------------------------ | :------------------------ | :-------------------------- | :--------- | | Common stock, $0.01 par value per share | $447 | $446 | 0.2% | | Treasury stock | $(138,909) | $(138,909) | 0.0% | | Additional paid-in capital | $538,841 | $538,006 | 0.2% | | Accumulated other comprehensive loss | $(1,085) | $(1,078) | 0.6% | | Retained earnings | $816,416 | $452,334 | 80.5% | | Total stockholders' equity | $1,215,710 | $850,799 | 42.9% | - Common stock dividends declared for the six months ended June 30, 2021, totaled **$83,514 thousand**[24](index=24&type=chunk) [Condensed Notes to Unaudited Quarterly Consolidated Financial Statements](index=10&type=section&id=Condensed%20Notes%20to%20Unaudited%20Quarterly%20Consolidated%20Financial%20Statements) This section provides condensed notes explaining significant accounting policies, debt, leases, and segment performance for the unaudited quarterly consolidated financial statements [1. Nature of Operations and Consolidation](index=10&type=section&id=1.%20Nature%20of%20Operations%20and%20Consolidation) This note describes Boise Cascade Company's business segments, Wood Products and Building Materials Distribution, and its operational headquarters - Boise Cascade Company is a building products company headquartered in Boise, Idaho, operating two reportable segments: Wood Products (manufactures EWP and plywood) and Building Materials Distribution (wholesale distributor)[30](index=30&type=chunk) [2. Summary of Significant Accounting Policies](index=10&type=section&id=2.%20Summary%20of%20Significant%20Accounting%20Policies) This note outlines the company's key accounting policies, including revenue recognition, rebates, derivative instruments, credit risk, and the impact of new accounting standards - Revenue is recognized when control of promised goods or services is transferred to customers[34](index=34&type=chunk) - Customer rebates are estimated and recorded as a decrease in 'Sales', while vendor rebates reduce 'Materials, labor, and other operating expenses' or 'Selling and distribution expenses'[36](index=36&type=chunk)[37](index=37&type=chunk) - The company uses interest rate swaps to mitigate variable interest rate exposure, not for speculation, with changes in fair value recognized in the Consolidated Statements of Operations[49](index=49&type=chunk)[51](index=51&type=chunk) - Receivables from two customers accounted for approximately **18% and 10% of total receivables** at June 30, 2021, indicating a concentration of credit risk[52](index=52&type=chunk) - The adoption of ASU 2020-04 and 2021-01 related to Reference Rate Reform is not expected to have a material effect on financial statements[53](index=53&type=chunk) [3. Income Taxes](index=14&type=section&id=3.%20Income%20Taxes) This note details the income tax provision and effective tax rates, explaining the primary drivers of differences from the federal statutory rate and cash taxes paid Income Tax Provision and Effective Rate (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (millions) | 3 Months 2020 (millions) | 6 Months 2021 (millions) | 6 Months 2020 (millions) | | :----------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Income tax provision | $101.0 | $11.3 | $152.5 | $15.3 | | Effective rate | 25.0% | 25.2% | 25.2% | 25.1% | - The primary reason for the difference between the federal statutory income tax rate of 21% and the effective tax rate was the effect of state taxes[55](index=55&type=chunk) - Cash paid for taxes, net of refunds, for the six months ended June 30, 2021, was **$155.5 million**, significantly up from **$8.9 million** in 2020[56](index=56&type=chunk) [4. Net Income Per Common Share](index=14&type=section&id=4.%20Net%20Income%20Per%20Common%20Share) This note presents the basic and diluted net income per common share for the three and six months ended June 30, 2021 and 2020 Net Income Per Common Share (Three and Six Months Ended June 30) | Metric | 3 Months 2021 | 3 Months 2020 | 6 Months 2021 | 6 Months 2020 | | :------------------------------------------ | :------------ | :------------ | :------------ | :------------ | | Basic Net income per common share | $7.67 | $0.85 | $11.47 | $1.17 | | Diluted Net income per common share | $7.62 | $0.85 | $11.40 | $1.16 | [5. Curtailment of Manufacturing Facility](index=15&type=section&id=5.%20Curtailment%20of%20Manufacturing%20Facility) This note describes the permanent curtailment of I-joist production at the Roxboro facility in 2020 and the associated accelerated depreciation and closure costs - On February 20, 2020, the company decided to permanently curtail I-joist production at its Roxboro, North Carolina facility by March 31, 2020[60](index=60&type=chunk) - As a result, **$15.0 million** of accelerated depreciation and **$1.7 million** of closure-related costs were recorded in the first quarter of 2020[60](index=60&type=chunk) [6. Debt](index=15&type=section&id=6.%20Debt) This note provides details on the company's long-term debt, including its asset-based credit facility, senior notes, and related interest rates and availability Long-Term Debt (June 30, 2021 vs December 31, 2020) | Metric | June 30, 2021 (thousands) | December 31, 2020 (thousands) | | :------------------------------------------ | :------------------------ | :-------------------------- | | Asset-based credit facility term loan due 2025 | $50,000 | $50,000 | | 4.875% senior notes due 2030 | $400,000 | $400,000 | | Long-term debt | $444,210 | $443,792 | - The company has a **$350 million** senior secured asset-based revolving credit facility (Revolving Credit Facility) and a **$50.0 million** term loan (ABL Term Loan) maturing on March 13, 2025[62](index=62&type=chunk) - At June 30, 2021, there were no borrowings outstanding under the Revolving Credit Facility, and Availability was **$345.3 million**[64](index=64&type=chunk)[67](index=67&type=chunk) - The effective average net interest rate on the ABL Term Loan was approximately **0.9%** during the six months ended June 30, 2021, after patronage distributions[69](index=69&type=chunk) - Cash payments for interest for the six months ended June 30, 2021, were **$9.6 million**, down from **$11.5 million** in 2020[74](index=74&type=chunk) [7. Leases](index=17&type=section&id=7.%20Leases) This note presents information on total lease costs, weighted-average lease terms, discount rates, and long-term lease obligations for operating and finance leases Total Lease Cost (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (thousands) | 3 Months 2020 (thousands) | 6 Months 2021 (thousands) | 6 Months 2020 (thousands) | | :----------------------- | :------------------------ | :------------------------ | :------------------------ | :------------------------ | | Total lease cost | $6,625 | $6,125 | $13,022 | $12,204 | Weighted-Average Lease Terms and Discount Rates (June 30, 2021) | Metric | Operating Leases | Finance Leases | | :------------------------------------------ | :--------------- | :------------- | | Weighted-average remaining lease term (years) | 7 | 15 | | Weighted-average discount rate | 6.4% | 7.7% | Long-Term Lease Obligations (June 30, 2021) | Lease Type | Amount (thousands) | | :----------------------- | :--------------- | | Operating leases | $50,967 | | Finance leases | $30,661 | [8. Retirement and Benefit Plans](index=19&type=section&id=8.%20Retirement%20and%20Benefit%20Plans) This note details the net periodic benefit expense for retirement plans and expected cash payments to nonqualified pension plan participants Net Periodic Benefit Expense (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (thousands) | 3 Months 2020 (thousands) | 6 Months 2021 (thousands) | 6 Months 2020 (thousands) | | :----------------------- | :------------------------ | :------------------------ | :------------------------ | :------------------------ | | Net periodic benefit expense | $19 | $468 | $38 | $1,023 | - The significant decrease in net periodic benefit expense was primarily due to changes in interest cost and expected return on plan assets[82](index=82&type=chunk) - The company expects to make approximately **$0.2 million** in cash payments to nonqualified pension plan participants for the remainder of 2021[83](index=83&type=chunk) [9. Stock-Based Compensation](index=19&type=section&id=9.%20Stock-Based%20Compensation) This note outlines the stock-based compensation granted, total compensation expense recognized, and unrecognized compensation expense for nonvested share-based awards - During the six months ended June 30, 2021, the company granted **73,265 PSUs** and **99,588 RSUs**[85](index=85&type=chunk)[86](index=86&type=chunk) Total Stock-Based Compensation (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (thousands) | 3 Months 2020 (thousands) | 6 Months 2021 (thousands) | 6 Months 2020 (thousands) | | :----------------------- | :------------------------ | :------------------------ | :------------------------ | :------------------------ | | PSUs | $745 | $691 | $1,834 | $1,301 | | RSUs | $666 | $980 | $1,669 | $2,044 | | Total | $1,411 | $1,671 | $3,503 | $3,345 | - As of June 30, 2021, total unrecognized compensation expense related to nonvested share-based compensation arrangements was **$14.9 million**, expected to be recognized over a weighted-average period of **2.1 years**[91](index=91&type=chunk) [10. Stockholders' Equity](index=20&type=section&id=10.%20Stockholders'%20Equity) This note discusses changes in stockholders' equity, including declared dividends and the accumulated other comprehensive loss - On June 28, 2021, the board of directors declared a supplemental dividend of **$2.00 per share** on common stock, resulting in an accrued **$78.7 million** in 'Dividends payable' at June 30, 2021[93](index=93&type=chunk) - A quarterly dividend of **$0.10 per share** was declared on July 29, 2021[93](index=93&type=chunk) Accumulated Other Comprehensive Loss (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (thousands) | 3 Months 2020 (thousands) | 6 Months 2021 (thousands) | 6 Months 2020 (thousands) | | :----------------------- | :------------------------ | :------------------------ | :------------------------ | :------------------------ | | Beginning balance, net of taxes | $(1,082) | $(50,033) | $(1,078) | $(50,248) | | Ending balance, net of taxes | $(1,085) | $(49,883) | $(1,085) | $(49,883) | [11. Transactions With Related Party](index=21&type=section&id=11.%20Transactions%20With%20Related%20Party) This note details transactions with Louisiana Timber Procurement Company, L.L.C., an unconsolidated variable-interest entity, including sales and wood fiber purchases - Boise Cascade is **50% owner** of Louisiana Timber Procurement Company, L.L.C. (LTP), an unconsolidated variable-interest entity[96](index=96&type=chunk) Related-Party Transactions with LTP (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (millions) | 3 Months 2020 (millions) | 6 Months 2021 (millions) | 6 Months 2020 (millions) | | :----------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Sales to LTP | $3.4 | $2.5 | $6.7 | $6.8 | | Wood fiber purchases from LTP | $20.7 | $13.8 | $41.0 | $36.4 | [12. Segment Information](index=22&type=section&id=12.%20Segment%20Information) This note provides financial information by segment, detailing net sales and operating income for Wood Products and Building Materials Distribution Net Sales by Segment (Three and Six Months Ended June 30) | Segment | 3 Months 2021 (thousands) | 3 Months 2020 (thousands) | 6 Months 2021 (thousands) | 6 Months 2020 (thousands) | | :------------------------------------------ | :------------------------ | :------------------------ | :------------------------ | :------------------------ | | Wood Products | $594,569 | $281,505 | $1,026,904 | $601,566 | | Building Materials Distribution | $2,172,744 | $1,134,260 | $3,807,521 | $2,184,257 | | Total net sales | $2,443,161 | $1,242,760 | $4,264,477 | $2,413,294 | Segment Operating Income (Three and Six Months Ended June 30) | Segment | 3 Months 2021 (thousands) | 3 Months 2020 (thousands) | 6 Months 2021 (thousands) | 6 Months 2020 (thousands) | | :------------------------------------------ | :------------------------ | :------------------------ | :------------------------ | :------------------------ | | Wood Products | $213,761 | $17,074 | $310,813 | $20,837 | | Building Materials Distribution | $206,338 | $43,210 | $326,557 | $72,512 | | Total segment operating income | $420,099 | $60,284 | $637,370 | $93,349 | | Unallocated corporate costs | $(10,324) | $(8,514) | $(22,334) | $(16,032) | | Income from operations | $409,775 | $51,770 | $615,036 | $77,317 | - For the six months ended June 30, 2020, Wood Products segment operating income included **$15.0 million** of accelerated depreciation and **$1.7 million** of other closure-related costs due to the curtailment of I-joist production[104](index=104&type=chunk) [13. Commitments, Legal Proceedings and Contingencies, and Guarantees](index=23&type=section&id=13.%20Commitments%2C%20Legal%20Proceedings%20and%20Contingencies%2C%20and%20Guarantees) This note confirms no material changes to commitments, legal proceedings, contingencies, or guarantees since the prior annual report - As of June 30, 2021, there have been no material changes to commitments, legal proceedings, or guarantees disclosed in the 2020 Form 10-K[105](index=105&type=chunk)[106](index=106&type=chunk)[107](index=107&type=chunk) [ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS](index=24&type=section&id=ITEM%202.%20MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) This section provides management's perspective on Boise Cascade's financial performance, liquidity, and capital resources for the quarter ended June 30, 2021 [Understanding Our Financial Information](index=24&type=section&id=Understanding%20Our%20Financial%20Information) This section advises reading the discussion in conjunction with consolidated financial statements and notes, highlighting the inherent uncertainty of forward-looking statements - This discussion should be read in conjunction with the consolidated financial statements and related notes in Item 1 of this Form 10-Q, as well as the 2020 Form 10-K[109](index=109&type=chunk) - Forward-looking statements are based on management's estimates and assumptions, which are inherently uncertain and subject to numerous risks and uncertainties[109](index=109&type=chunk) [Executive Overview](index=24&type=section&id=Executive%20Overview) This overview highlights significant income growth driven by strong market conditions and commodity pricing, and discusses the company's liquidity and market outlook - Income from operations for the three months ended June 30, 2021, was **$409.8 million**, a significant increase from **$51.8 million** in the prior year[111](index=111&type=chunk) - Wood Products segment income increased by **$196.7 million** to **$213.8 million**, and Building Materials Distribution segment income increased by **$163.1 million** to **$206.3 million**[111](index=111&type=chunk) - The company ended Q2 2021 with **$653.8 million** in cash and cash equivalents and **$345.3 million** in undrawn bank line availability, totaling **$999.1 million** in liquidity[112](index=112&type=chunk) - Lumber pricing peaked in May 2021 and then dropped sharply, driven by declining repair and remodel and 'do-it-yourself' activity[112](index=112&type=chunk) - A favorable demand environment for new residential construction, particularly single-family housing starts, is expected to continue in 2021 and into next year[116](index=116&type=chunk) - Current composite panel and lumber prices have declined by approximately **53%** and **48%**, respectively, from levels at the end of Q2 2021[117](index=117&type=chunk) [Factors That Affect Our Operating Results and Trends](index=25&type=section&id=Factors%20That%20Affect%20Our%20Operating%20Results%20and%20Trends) This section identifies key factors influencing operating results, including commodity prices, economic conditions, competition, supply chain, and regulatory compliance - Operating results are influenced by commodity product price movements, general economic conditions (e.g., housing starts, interest rates), and the impacts of the COVID-19 pandemic[118](index=118&type=chunk) - Other factors include industry competition, disruptions to information systems, material disruptions at manufacturing facilities, customer concentration, product shortages, labor issues, raw material costs, and compliance with government regulations[118](index=118&type=chunk)[119](index=119&type=chunk) [Our Operating Results](index=27&type=section&id=Our%20Operating%20Results) This section analyzes the company's operating results, including sales volumes, prices, costs, expenses, and income from operations for the reported periods Income from Operations and Percentage of Sales (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (millions) | 3 Months 2020 (millions) | 6 Months 2021 (millions) | 6 Months 2020 (millions) | | :----------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Income from operations | $409.8 | $51.8 | $615.0 | $77.3 | | Income from operations (% of sales) | 16.8% | 4.2% | 14.4% | 3.2% | [Sales Volumes and Prices](index=28&type=section&id=Sales%20Volumes%20and%20Prices) This section analyzes changes in sales volumes and prices for Wood Products and Building Materials Distribution, noting the impact of housing starts and commodity prices Total Sales (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (millions) | 3 Months 2020 (millions) | 6 Months 2021 (millions) | 6 Months 2020 (millions) | | :----------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Total sales | $2,443.2 | $1,242.8 | $4,264.5 | $2,413.3 | - U.S. housing starts increased **43%** in Q2 2021, with single-family starts up **42%** from the same period in 2020[128](index=128&type=chunk) - Average composite panel and lumber prices for Q2 2021 were **280%** and **210% higher**, respectively, than in Q2 2020[128](index=128&type=chunk) - Wood Products sales increased **111%** in Q2 2021, primarily due to **206% higher plywood prices** and increased I-joist and LVL sales volumes[129](index=129&type=chunk) - Building Materials Distribution sales increased **92%** in Q2 2021, driven by **83% sales price** and **9% volume increases**, with commodity sales up **167%**[131](index=131&type=chunk) [Costs and Expenses](index=29&type=section&id=Costs%20and%20Expenses) This section details changes in materials, labor, operating expenses, depreciation, selling, distribution, and general and administrative expenses - Materials, labor, and other operating expenses (excluding depreciation) increased **78%** to **$1,864.5 million** for Q2 2021, but decreased as a percentage of sales due to improved leveraging and gross margins[133](index=133&type=chunk) - Depreciation and amortization decreased **28%** for the six months ended June 30, 2021, to **$40.0 million**, primarily due to **$15.0 million** of accelerated depreciation recorded in Q1 2020[135](index=135&type=chunk) - Selling and distribution expenses increased **26%** to **$130.7 million** for Q2 2021, mainly due to **$19.7 million** higher employee-related expenses, mostly incentive compensation[136](index=136&type=chunk) - General and administrative expenses increased **24%** to **$43.3 million** for the six months ended June 30, 2021, primarily due to **$9.0 million** higher employee-related expenses[137](index=137&type=chunk) [Income From Operations](index=30&type=section&id=Income%20From%20Operations) This section discusses the drivers of changes in income from operations for both Wood Products and Building Materials Distribution segments, and unallocated corporate costs - Income from operations increased **$358.0 million** to **$409.8 million** for Q2 2021, and **$537.7 million** to **$615.0 million** for the six months ended June 30, 2021[139](index=139&type=chunk) - Wood Products segment income increased **$196.7 million** to **$213.8 million** in Q2 2021, driven by higher sales prices and volumes[139](index=139&type=chunk) - Building Materials Distribution segment income increased **$163.1 million** to **$206.3 million** in Q2 2021, due to a **$187.9 million** gross margin increase from improved sales volumes and gross margins on commodity products[141](index=141&type=chunk) - Unallocated corporate expenses increased **$6.3 million** to **$22.3 million** for the six months ended June 30, 2021, due to higher incentive compensation and **$3.4 million** in estimated insurance losses[143](index=143&type=chunk) [Other (Change in fair value of interest rate swaps)](index=31&type=section&id=Other%20(Change%20in%20fair%20value%20of%20interest%20rate%20swaps)) This section refers to Note 2 for details on the change in fair value of interest rate swaps - For information related to interest rate swaps, refer to Note 2, Summary of Significant Accounting Policies, in Item 1 of this Form 10-Q[144](index=144&type=chunk) [Income Tax Provision](index=31&type=section&id=Income%20Tax%20Provision) This section provides the income tax provision and effective tax rates for the reported periods, highlighting the impact of state taxes Income Tax Provision and Effective Rate (Three and Six Months Ended June 30) | Metric | 3 Months 2021 (millions) | 3 Months 2020 (millions) | 6 Months 2021 (millions) | 6 Months 2020 (millions) | | :----------------------- | :----------------------- | :----------------------- | :----------------------- | :----------------------- | | Income tax provision | $101.0 | $11.3 | $152.5 | $15.3 | | Effective rate | 25.0% | 25.2% | 25.2% | 25.1% | - The primary reason for the difference between the federal statutory income tax rate of 21% and the effective tax rate was the effect of state taxes[145](index=145&type=chunk) [Industry Mergers and Acquisitions](index=31&type=section&id=Industry%20Mergers%20and%20Acquisitions) This section discusses the impact of the Builders FirstSource and BMC Stock Holdings merger on customer concentration and future operations - The merger of Builders FirstSource, Inc. and BMC Stock Holdings in early 2021 resulted in a combined company that accounted for **18% of total receivables** as of June 30, 2021[146](index=146&type=chunk) - The company does not expect the merger to have a material impact on its future results of operations[146](index=146&type=chunk) [Liquidity and Capital Resources](index=31&type=section&id=Liquidity%20and%20Capital%20Resources) This section assesses the company's liquidity, capital resources, and ability to fund operations, investments, and obligations through cash flows and available credit - At June 30, 2021, the company had **$653.8 million** of cash and cash equivalents and **$345.3 million** of undrawn committed bank line availability, totaling **$999.1 million** in available liquidity[147](index=147&type=chunk) - The company believes its cash flows from operations, current cash levels, and available borrowing capacity will be adequate to fund debt service, operations, capital expenditures, lease obligations, working capital, income tax payments, and cash dividends for the next 12 months[148](index=148&type=chunk) - Capital expenditures in 2021 are expected to total approximately **$90 million to $100 million**, focusing on business improvement, replacement, and expansion projects[154](index=154&type=chunk) [Sources and Uses of Cash](index=32&type=section&id=Sources%20and%20Uses%20of%20Cash) This section outlines the primary sources and uses of cash, including sales, borrowings, operating expenses, investments, debt service, and dividends - Cash is primarily generated from sales of products and borrowings, and used for manufacturing/distribution expenses, investments, debt service, dividends, and contractual obligations[149](index=149&type=chunk) Net Cash Provided by (Used for) Activities (Six Months Ended June 30) | Activity | 2021 (thousands) | 2020 (thousands) | | :----------------------- | :--------------- | :--------------- | | Net cash provided by operations | $291,179 | $118,276 | | Net cash used for investment | $(31,002) | $(28,443) | | Net cash used for financing | $(11,792) | $(13,634) | [Operating Activities](index=32&type=section&id=Operating%20Activities) This section details cash generated from operating activities, highlighting the impact of income from operations, working capital changes, and tax payments - Operating activities generated **$291.2 million** of cash for the six months ended June 30, 2021, a **$172.9 million increase** from the prior year, primarily due to improved income from operations[151](index=151&type=chunk) - An increase in working capital of **$203.4 million** in H1 2021 (vs. a **$0.1 million decrease** in H1 2020) partially offset the cash increase[151](index=151&type=chunk) - Cash paid for taxes, net of refunds, increased **$146.6 million** compared to the prior year[151](index=151&type=chunk) - Increases in receivables and inventories, offset by an increase in accounts payable and accrued liabilities, contributed to the working capital changes[152](index=152&type=chunk) [Investment Activities](index=32&type=section&id=Investment%20Activities) This section describes cash used for investment activities, primarily purchases of property and equipment, and outlines expected capital expenditures - Cash used for purchases of property and equipment was **$31.5 million** for the six months ended June 30, 2021, compared to **$28.8 million** in 2020[153](index=153&type=chunk) - Expected capital expenditures for 2021 are **$90 million to $100 million**, including projects like a log utilization center, a new door assembly operation, and distribution expansion[154](index=154&type=chunk) [Financing Activities](index=33&type=section&id=Financing%20Activities) This section explains cash used for financing activities, including dividend payments, tax withholding on stock awards, and revolving credit facility transactions - Financing activities used **$11.8 million** of cash for the six months ended June 30, 2021, primarily for **$8.4 million** in common stock dividend payments and **$2.7 million** in tax withholding payments on stock-based awards[155](index=155&type=chunk) - The company borrowed and subsequently repaid **$28.0 million** under its revolving credit facility during the six months ended June 30, 2021[155](index=155&type=chunk) [Contractual Obligations](index=33&type=section&id=Contractual%20Obligations) This section confirms no material changes to contractual obligations since the prior annual report - As of June 30, 2021, there have been no material changes in contractual obligations outside the ordinary course of business since December 31, 2020[157](index=157&type=chunk) [Off-Balance-Sheet Activities](index=33&type=section&id=Off-Balance-Sheet%20Activities) This section states that the company had no material off-balance-sheet arrangements with unconsolidated entities - At June 30, 2021, and December 31, 2020, the company had no material off-balance-sheet arrangements with unconsolidated entities[158](index=158&type=chunk) [Guarantees](index=33&type=section&id=Guarantees) This section confirms no material changes to guarantees since the prior annual report - As of June 30, 2021, there have been no material changes to the guarantees disclosed in the 2020 Form 10-K[159](index=159&type=chunk) [Seasonal Influences](index=33&type=section&id=Seasonal%20Influences) This section describes the seasonal fluctuations in sales volumes and working capital due to weather and construction activity - The company experiences seasonal fluctuations, with lower sales volumes in the first and fourth quarters due to poor weather affecting construction, and higher sales volumes in the second and third quarters[160](index=160&type=chunk) - Working capital is typically higher in the first and second quarters in preparation for the building season[160](index=160&type=chunk) [Employees](index=34&type=section&id=Employees) This section provides employee numbers, details on collective bargaining agreements, and potential impacts of labor disruptions or increased costs - As of July 25, 2021, Boise Cascade had approximately **6,130 employees**, with about **23%** working under collective bargaining agreements[162](index=162&type=chunk) - Two collective bargaining agreements covering approximately **780 employees** expired on July 15, 2021, with negotiations for new agreements ongoing[162](index=162&type=chunk) - Potential labor disruptions, strikes, or significantly increased labor costs could impact sales and profitability[162](index=162&type=chunk) [Disclosures of Financial Market Risks](index=34&type=section&id=Disclosures%20of%20Financial%20Market%20Risks) This section confirms no material changes to financial market risks since the prior annual report - As of June 30, 2021, there have been no material changes in the company's exposure to market risk from those disclosed in the 2020 Form 10-K[163](index=163&type=chunk) [Environmental](index=34&type=section&id=Environmental) This section confirms no material changes to environmental issues since the prior annual report - As of June 30, 2021, there have been no material changes to environmental issues disclosed in the 2020 Form 10-K[164](index=164&type=chunk) [Critical Accounting Estimates](index=34&type=section&id=Critical%20Accounting%20Estimates) This section confirms no material changes to critical accounting estimates since the prior annual report - As of June 30, 2021, there have been no material changes to critical accounting estimates from those disclosed in the 2020 Form 10-K[165](index=165&type=chunk) [New and Recently Adopted Accounting Standards](index=34&type=section&id=New%20and%20Recently%20Adopted%20Accounting%20Standards) This section refers to Note 2 for information on new and recently adopted accounting standards - For information related to new and recently adopted accounting standards, refer to Note 2, Summary of Significant Accounting Policies, in Item 1 of this Form 10-Q[166](index=166&type=chunk) [ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK](index=34&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) This section states that there have been no material changes in the company's exposure to market risk, including commodity prices, interest rates, and foreign currency exchange rates, since the disclosures in the 2020 Form 10-K - As of June 30, 2021, there have been no material changes in the company's exposure to market risk from those disclosed in the 2020 Form 10-K[167](index=167&type=chunk) [ITEM 4. CONTROLS AND PROCEDURES](index=35&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) The company's CEO and CFO concluded that disclosure controls and procedures were effective as of June 30, 2021. There were no material changes in internal control over financial reporting during the quarter - The CEO and CFO concluded that disclosure controls and procedures were effective as of June 30, 2021, operating at a reasonable assurance level[169](index=169&type=chunk) - There were no changes in internal control over financial reporting during the three months ended June 30, 2021, that materially affected or are reasonably likely to materially affect internal control over financial reporting[169](index=169&type=chunk) [PART II—OTHER INFORMATION](index=36&type=section&id=PART%20II%E2%80%94OTHER%20INFORMATION) This part contains other information, including legal proceedings, risk factors, sales of equity securities, defaults, mine safety, and exhibits [ITEM 1. LEGAL PROCEEDINGS](index=36&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) The company is a party to various legal proceedings arising in the ordinary course of business but does not believe any will individually or in aggregate have a material adverse effect on its financial position, results of operations, or cash flows - The company believes it is not reasonably possible that any legal actions against it will have a material adverse effect on its financial position, results of operations, or cash flows[171](index=171&type=chunk) - The disclosure threshold for environmental proceedings is **$1 million or more**[171](index=171&type=chunk) [ITEM 1A. RISK FACTORS](index=36&type=section&id=ITEM%201A.%20RISK%20FACTORS) This section refers to the detailed discussion of risk factors in the company's 2020 Form 10-K, emphasizing that actual results may differ materially from forward-looking statements - Readers should review the risk factors listed in 'Item 1A. Risk Factors' in the 2020 Form 10-K[172](index=172&type=chunk) [ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS](index=36&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) There were no unregistered sales of equity securities or use of proceeds to report for the period - None[172](index=172&type=chunk) [ITEM 3. DEFAULTS UPON SENIOR SECURITIES](index=36&type=section&id=ITEM%203.%20DEFAULTS%20UPON%20SENIOR%20SECURITIES) There were no defaults upon senior securities to report for the period - None[172](index=172&type=chunk) [ITEM 4. MINE SAFETY DISCLOSURES](index=36&type=section&id=ITEM%204.%20MINE%20SAFETY%20DISCLOSURES) This item is not applicable to the company's operations - Not applicable[172](index=172&type=chunk) [ITEM 5. OTHER INFORMATION](index=36&type=section&id=ITEM%205.%20OTHER%20INFORMATION) There is no other information to report under this item - None[172](index=172&type=chunk) [ITEM 6. EXHIBITS](index=37&type=section&id=ITEM%206.%20EXHIBITS) This section lists the exhibits filed with the Quarterly Report on Form 10-Q, including CEO and CFO certifications and various Inline XBRL documents - Exhibits include CEO and CFO Certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002[173](index=173&type=chunk)[174](index=174&type=chunk)[175](index=175&type=chunk)[176](index=176&type=chunk) - Includes Inline XBRL Instance Document and Taxonomy Extension Schema, Calculation, Definition, and Presentation Linkbase Documents[177](index=177&type=chunk)[178](index=178&type=chunk)[179](index=179&type=chunk) [Signatures](index=38&type=section&id=Signatures) The report is duly signed on behalf of Boise Cascade Company by Kelly E. Hibbs, Senior Vice President, Chief Financial Officer and Treasurer - The report was signed by Kelly E. Hibbs, Senior Vice President, Chief Financial Officer and Treasurer, on August 2, 2021[183](index=183&type=chunk)

Boise Cascade Company (NYSE:BCC) Q1 2021 Earnings Conference Call May 7, 2021 11:00 AM ET Company Participants Kelly Hibbs - Incoming SVP, CFO and Treasurer of Boise Cascade Nate Jorgensen - CEO Mike Brown - Head, Wood Products Operations Jeff Strom - Head. Building Materials Distribution Operations Wayne Rancourt - CFO Conference Call Participants Jesse Barone - BMO Capital Markets Kurt Yinger - D.A. Davidson Reuben Garner - The Benchmark Jonathan Hall - Portland Engineering John Babcock - Bank of America ...