Owens Corning Posts Operating Loss on Weak Housing Market

Building materials maker Owens Corning , which emerged from bankruptcy in October, on Wednesday posted a fourth-quarter loss from continuing operations due to the weak U.S. housing market.

The company also said it was considering selling its Siding Solutions and Fabwel businesses.

Excluding gains and bankruptcy-related accounting changes, the company reported a loss from continuing operations of $9 million, compared with year-earlier earnings of $230 million.

Revenue fell 13.8% to $1.48 billion.

Net income was $7.7 billion, up from $338 million a year earlier. The results included gains of $5.86 billion on the settlement of liabilities and $3.05 billion from accounting adjustments.

The Toledo, Ohio-based company said it expected the U.S. housing market to continue to slow this year, and it sees the trend taking a toll on its first-quarter results.

For 2007, the company forecast adjusted income from operations of $415 million, down from $569 million last year.

It said that figure factors out income and expenses from its Chapter 11 proceedings, asbestos liabilities, restructuring and other activities and accounting changes.