Willamettes second-quarter net earnings have fallen due to a decline in sales coupled with costs associated with defending the firm against Weyerhaeusers 4.8bn hostile bid.


Sales for the quarter ending 30 June were down 4% compared with the same period last year at 812m, while net earnings fell 22% to 50.5m.


Willamette revealed that shareholders earnings had been reduced slightly by the 4.5m of costs related to fighting the takeover.


President and chief executive Duane McDougall said: "The second half of 2001 will be challenging, with pricing pressure on both white paper and building materials. However, in our view, Willamette remains well positioned to continue as an industry leader."