Rayonier - Best-in-Class, Pure-Play Timber REIT
Lumber Margins Have Recovered, Timber Poised To Follow
U.S. South Sawmill Variable Costs / Margin vs. Lumber & Sawtimber Prices
($ per MBF)
($ per ton)
$450
$90
Mill Variable Costs / Composite Lumber Price
$400
$350
$300
$250
$200
$150
$100
$50
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Q2
Wood Cost (Stumpage)
Other Variable Costs
- Variable Margin
RL Composite Price
Sawtimber Price
$80
$70
$60
$50
$40
$30
$20
$10
Sawtimber Stumpage Price
While sawtimber prices have been relatively stagnant over the last year, increases in sawmill
margins should accrue to timber suppliers over time.
Rayonier
Source: Forest Economic Advisors, RISI, Random Lengths, Timber Mart-South and Rayonier analysis.
Investor Relations | August 2017
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