SEGMENT AND GEOGRAPHICAL INFORMATION

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

SEGMENT AND GEOGRAPHICAL INFORMATION

SEGMENT AND GEOGRAPHICAL INFORMATION

Sales between operating segments are made based on estimated fair market value, and intercompany sales, purchases and profits (losses) are eliminated in consolidation. We evaluate financial performance based on segment operating income and Adjusted Earnings Before Interest, Taxes, Depreciation, Depletion and Amortization (“Adjusted EBITDA”). Asset information is not reported by segment, as we do not produce asset information by segment internally.

Operating income as presented in the Consolidated Statements of Income and Comprehensive Income is equal to segment income. Certain income (loss) items in the Consolidated Statements of Income and Comprehensive Income are not allocated to segments. These items, which include interest expense, miscellaneous income (expense) and income tax expense, are not considered by management to be part of segment operations and are included under “unallocated interest expense and other.”

The following tables summarize the segment information for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
SALES	2023	2022
Southern Timber	$71,842	$76,763
Pacific Northwest Timber	34,419	46,281
New Zealand Timber	44,105	51,389
Real Estate	16,276	34,195
Trading	12,569	13,461
Intersegment Eliminations (a)	(129)	(48)
Total	$179,082	$222,041

(a)Primarily consists of log marketing fees paid to our Trading segment from our Southern Timber and Pacific Northwest Timber segments for marketing log export sales.

	Three Months Ended March 31,
OPERATING INCOME	2023	2022
Southern Timber	$22,223	$30,342
Pacific Northwest Timber	(3,543)	6,606
New Zealand Timber (a)	(663)	5,392
Real Estate	883	10,181
Trading	341	351
Corporate and Other	(8,619)	(7,554)
Total Operating Income	10,622	45,318
Unallocated interest expense and other (b)	(2,146)	(8,805)
Total Income before Income Taxes	$8,476	$36,513

(a)The three months ended March 31, 2023 includes a $2.3 million timber write-off resulting from a casualty event. Timber write-offs resulting from a casualty event are recorded within the Consolidated Statements of Income and Comprehensive Income under the caption “Cost of Sales”.

(b)The three months ended March 31, 2023 includes a $9.1 million net recovery associated with a legal settlement.

	Three Months Ended March 31,
DEPRECIATION, DEPLETION AND AMORTIZATION	2023	2022
Southern Timber	$20,610	$18,059
Pacific Northwest Timber	10,650	14,916
New Zealand Timber	4,455	4,989
Real Estate	1,503	9,145
Corporate and Other	381	310
Total	$37,599	$47,419

	Three Months Ended March 31,
NON-CASH COST OF LAND AND IMPROVED DEVELOPMENT	2023	2022
Real Estate	$4,208	$5,359
Total	$4,208	$5,359