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January 14, 2008HELP -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 7, 2008The 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....
January 2, 2008What 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...
January 2, 2008What 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, 2008Will 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...
December 27, 2007If becoming a REIT is such an attractive alternative for integrated forest products companies, why not implement imediately?
Analysis of: Weyerhaeuser Names Fulton President | biz.yahoo.com
Author: Brad Franchi, President, Forest Strategies, LLC.
Okay so now you decide to form a REIT. What are the rules and regulations which must be followed to convert our timberlands to a REIT? 1. The 100 owner rule states that there can be no more than 100 owners, and one individual owner cannot have more than 9.9% of the...
December 26, 2007With new ledearship, Will WY succomb to change, or stay the course?
Analysis of: Weyerhaeuser Names Fulton President | biz.yahoo.com
Author: Brad Franchi, President, Forest Strategies, LLC.
Over the last 10 years over 20 million acres of C-Corp ownership have been converted from fee simple to Timber Management Organization (TIMOs) and REITs. The last holdout and the one of the largest landowners of all time is the Weyerhaeuser Corporation. WY owns about 6.8 million acres of...
December 26, 2007Pulp & Paper Industry in North America - consolidation and contraction
Analysis of: Forest-Products Company's Trim Assets | www.fool.com
Author: Dave Hillman, Independent Consultant, Dave Hillman
Three important industry segments, newsprint (and its related grades of SC and mechanical specialites), Uncoated FreeSheet (UFS) and Coated FreeSheet have all experienced significant declines in overall North American demand. Something has to be done if prices are going to keep up with rising...
November 26, 2007IP's Fluff Pulp: expanding just to keep pace
Analysis of: IP to Convert Louisiana Mill to 100% Pulp | www.tappi.org
Author: Dave Hillman, Independent Consultant, Dave Hillman
The global fluff pulp market now measures 4.5 million mt with the US enjoying a dominant position. Can we maintain that position or even expand it? Industry observers believe our position is very secure and that we are in the best position to expand. What's behind this optimism? Fluff...
November 22, 2007Uncoated FreeSheet: Can Domtar and IP Control The Market?
Analysis of: Orignal Article: ROYER CREATES WHITE PAPER GIANT | www.risiinfo.com
Author: Dave Hillman, Independent Consultant, Dave Hillman
The Uncoated FreeSheet market in North America is declining with the Internet and electronic devices being blamed for much of it. Is this really the case? In spite of this decline selling prices have increased with few objections from major buyers. Is there any...
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