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Brad FranchiJanuary 25, 2008
The constantly changing definitions and value of HBU lands in forestry
Analysis of: Potlatch to Acquire 179,000 Acres of Idaho Forestland | www.allbusiness.com
Author: Brad Franchi, President, Forest Strategies, LLC.
The designation of forest land as higher and better use, HBU is becoming more important in the valuation of large Timberland transactions.  The definition of HBU has broadened into more nontraditional forestry uses.  Up to the mid-1980s, HBU was pretty much considered to be waterfront properties...
Brad FranchiJanuary 14, 2008
HELP -what do these forestry terms really mean?
Analysis of: Glossary of Forestry Terms | www.dnr.state.md.us
Author: Brad Franchi, President, Forest Strategies, LLC.
Forestry like many other operations has its own vocabulary which it can be confusing to other professions.  Here's a partial list of terms and acronyms which made find helpful   Ownership Structures and related terms   REIT - this refers to a Real Estate Investment Trust that among other...
January 11, 2008
Who wins , who loses from rising food prices ? Part 2 --Retailers
Analysis of: Higher Food Prices Start to Pinch Consumers | online.wsj.com
Author: Rick Shea, President, Shea Marketing Consulting Inc.
As commodity prices increase, food manufacturers will be required to pass on higher raw material costs to their consumers.Over time these higher prices will put pressure on premium priced branded products and shift share to private label and value brands.Will this same pressure apply to retailers and...
January 11, 2008
Virtual reality becomes all too real...
Analysis of: Second Life bans unregulated banks | www.ft.com
Author: GLG Expert Contributor
Banks and payment processors need to develop expertise to identify and support virtual world transactions. Banks need to manage virtual risk because it involved real growth and real losses.
January 10, 2008
Who wins , who loses with higher food prices ?
Analysis of: Higher Food prices Start to Pinch Consumers | online.wsj.com
Author: Rick Shea, President, Shea Marketing Consulting Inc.
Commodity prices continue to rise driving prices higher in the grocery aisle.Wheat ,corn,dairy and oil prices continue to climb creating a very challenging environment for food manufacturers and retailers.The rising prices begs the question of who will this benefit and who will this hurt over 2008 ?...
Brad FranchiJanuary 7, 2008
The rise and fall (and rise again?) of the Reverse Morris Trust (RMT)
Analysis of: Reviving the Reverse Morris Trust for Mergers | www.cfo.com
Author: Brad Franchi, President, Forest Strategies, LLC.
Think back to about a decade ago, things in the Integrated Forest Products were going well. The Mega take over’s and Corporate Raids were pretty much over – Sir James Goldsmiths et al. had raided Crown Zellerback, and forced Champion International to "White Night" Saint Regis to avoid being dismantled....
Brad FranchiJanuary 2, 2008
What is the predominant software used for mapping gas, oil, minning, and forestry operations?
Analysis of: SAP and ESRI Collaborate on Enterprise Services | esri.com
Author: Brad Franchi, President, Forest Strategies, LLC.
When building an enterprise wide geographic information system GIS, utilize the industry data standards that are already in place.  By far the largest developer of software in the GIS area ESRI, which was founded in 1969 in California.  Today the flagship product of ESRI...
Brad FranchiJanuary 2, 2008
What if I really want to do is take the tax advanteges of a REIT, and the operating flexability of C-Corp ownership?
Analysis of: Weyerhaeuser Names Fulton President | biz.yahoo.com
Author: Brad Franchi, President, Forest Strategies, LLC.
This line of reasoning is pretty close to the Timber Relief legislation that WY has been lobbying pretty heavily for, especially from the states of Washington and Arkansas, which contain many acres of Weyerhaeuser lands. The logic is that C-Corp (or Fee) timberlands are "double taxed" as...
January 2, 2008
Will Lexmark continue to be a "Dog" stock?
Analysis of: The Dogs of Wall Street | www.businessweek.com
Author: James Howes, President, Data Doctors Computer Services
In 2007 Lexmark again had a significant earning miss and their stock has lost almost half of its value. This happened even though the company poured a huge amount of cash into stock repurchases. It is irrational for a management team to make these repurchases if they had any idea that they were so far...
Brad FranchiJanuary 2, 2008
Will the Abitibi-Bowater merger process drive more profit to the bottom line?
Analysis of: DEPARTMENT OF JUSTICE REQUIRES DIVESTITURE IN ABITIBI /BOWATER MERGER | usdoj.gov
Author: Brad Franchi, President, Forest Strategies, LLC.
The BOW-ATB merger was completed on Oct 29th, 2007, and the DOJ is mandating the sale of the Abitibi newsprint mill located at Snowflake, AZ, which ironically, is one of the best newsprint mill in the US.   The really difficult decisions are production curtailment or reallocation of tonnage...

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