Weyerhaeuser (WY) today reduced expectations for fourth-quarter earnings, authorized a $250 million share repurchase program, and cut its quarterly dividend 58 percent, from 60 cents to 25 cents a share.

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Hit by the housing slump and weakness in wood pulp markets, Weyerhaeuser’s board today reduced expectations for fourth-quarter earnings, authorized a $250 million share repurchase program, and cut the Federal Way company’s quarterly dividend 58 percent, from 60 cents to 25 cents a share.

The forest-products company also said that wages would be frozen at 2008 levels for executive and salaried employees. And the board reduced its capital spending level for 2009, to a range of $200 million to $250 million, down from approximately $425 million in 2008.

“We are committed to making tough decisions as we manage through this downturn,” Dan Fulton, president and chief executive, said in a statement. “Through these actions, we are taking steps to preserve our financial strength, enhance our strategic flexibility, and position Weyerhaeuser to create shareholder value as the economy recovers.”

Weyerhaeuser’s stock closed down $3.54, or 9.5 percent, at $33.59 today. It is down more than 54 percent so far this year.

Information from The Associated Press is included in this report.