Reprod Valuations

Wed Jan 28 00:10:50 EST 1998

While I can't speak to your volume estimates you might consider the
following for value estimates. 
The amount for the Federal Land Bank rate I believe is too high and
Treasury Bonds are slightly below 6%. I'm sure these are used in forest
value determinations but I question their validity in forest values as
they really reflect borrowing and lending (monetary) values. I would
think that an average, say 10 years, annual timber price percentage
increment would be more appropriate. Forecasters love linear regression
analysis for trends but a good economic jolt can blow those charts out
of the water. Good Luck!

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