pope resources

POPE RESOURCES

Poulsbo Investor PresentationJanuary 2005

Safe Harbor This presentation contains forward-looking statements. These forward-looking statements are subject to a number of risks and should not be relied upon as predictions of future events. Some of the forward-looking statements can be identified by the use of forward-looking words such as believes, expects, may, will, should, seeks, approximately, intends, plans, estimates, projects, strategy or anticipates or the negative of those words or other comparable terminology. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those described in the forward-looking statements. Some of these factors include, but are not limited to: changes in forestry, land use, environmental, and other governmental regulations; risk of losses from fires, floods, windstorms, and other natural disasters; risk of loss from insect infestations or tree diseases; changes in economic conditions and competition in our domestic and export markets; an unanticipated reduction in the demand for timber products and/or an unanticipated increase in the supply of timber products; and other factors described from time to time in our filings with the Securities and Exchange Commission.

Pope Resources OverviewLast remaining timber MLPEstablished in 1985 as a spin-off from Pope & Talbot4.5 million units outstanding, with limited public float22% controlled by GPs and broader family ownership32% controlled by Private Capital ManagementLimited institutional ownershipOver one-third held by retail investorsThinly traded Market capitalization of $117 millionEnterprise value of approximately $150 millionYTD 2004 (thru Q3) revenues of $32 millionYTD 2004 (thru Q3) net income of $9.4 million or $2.04/unitYTD 2004 (thru Q3) EBITDDA of $15.8 millionUnit distribution of $0.15/quarter

OwnershipGeneral PartnersTwo corporate GPs own collectively about 1.5% of Pope ResourcesEach of GPs owned 50/50 by Peter Pope and his cousin, Emily Andrews$150,000/year management fee, unchanged since spin-offSliding-scale profit-sharing interest in third-party service subsidiary

Limited PartnersPrivate Capital Management at 32% (initial stake in 1993)Family position at 22% (including GP interest)Limited other institutional ownershipOver one-third held by retail investors

Pie

28883

11450

1429240

165478

129500

105110

1652512

1016423

Rutabaga Cap. Mgt.2.9%

Summary

% "Votable" using different % of trading overlap in past 5 years

Current OwnershipPercentage OwnershipUnits not held for 5 yearsOther adjustments to ownershipUnits held for over 5 years% "Votable" Ownership20%30%40%50%60%70%

Units Outstanding4,518,095100.0%(1,200,000)0.0E3,118,695100.0%000000

000000

Andrews679,554#15.0%0.0679,55421.8%0.2178969088032013421.8%20.8%19.9%19.0%18.3%17.6%

000000

Pope276,869#6.1%0.0276,8698.9%0.088777196872409778.9%8.5%8.1%7.8%7.4%7.2%

000000

GP ownership (EGP, MGP)60,000*1.3%0.060,0001.9%0.0192388162356370231.9%1.8%1.8%1.7%1.6%1.6%

000000

Outside Directors11,450##0.3%(8,200)3,2500.1%0.00104210254609700530.1%0.1%0.1%0.1%0.1%0.1%

000000

Management28,883##0.6%(28,383)5000.0%1.603234686303085E-40.0%0.0%0.0%0.0%0.0%0.0%

000000

Insider Subtotal1,056,75623.4%(36,583)1,020,17332.7%0.3271153479259754632.7%31.2%29.8%28.6%27.4%26.4%

000000

PCM ownership1,429,240**31.6%(392,247)0.01,036,99333.3%0.3325086294106990333.3%31.7%30.3%29.1%27.9%26.8%

000000

Mike Seaman211,950#4.7%(49,550)162,4005.2%0.05207306261112425.2%5.0%4.8%4.6%4.4%4.2%

000000

U.S. Trust165,478**3.7%(165,478)0.00.00.0%00.0%0.0%0.0%0.0%0.0%0.0%

000000

Rutabega129,5002.9%0.288302960052201328.8%32.1%35.1%37.8%40.3%42.6%

Royce33,0000.7%Combined GP Voting32.6%31.1%29.7%28.5%27.3%26.3%

Hollencrest21,5000.5%

White Mountains15,4000.3%Conclusion: If the trading in past 5 years has involved a high degree of churning (high overlap), then

this implies there are more votable units held outside both institutional & insider holders and thus GP's ability

Other Institutional ownership35,2100.8%(35,210)0.00.00.0%to successfully block a vote is diminished.

Conversely, a very low amount of churning improves the GP's ability to block a vote

All other unitholders1,420,06131.4%(520,932)899,12928.8%

The more the balance of the units are churned/traded, the greater chance the GP's have of blocking a vote

*2002 10-K as of 12/31/02Total trading volume in past 5 years1,500,000PCM may be doing a strategy of: if they're not a market maker, then less trading and if less

#2002 K-1trading then less churning and more votable units outside of insiders and greater chance of hitting 2/3 vote

**SEC 13-f ownership 7/31/03% overlap of past 5 years of trading20%

##SEC Form 4

Non-qualified units given assumed %

overlap of trading during past 5 years

% overlapNon-qualified unitsNon-qualified units

50%750,000

33%1,005,000

25%1,125,000

Management28,8830.6%

Outside Directors11,4500.3%

Private Cap. Mgt.1,429,24031.5%

U.S. Trust165,4783.6%

Rutabega Cap. Mgt.129,5002.9%

Other Inst.105,1102.3%

All Other1,652,51236.4%

GP Ownership1,016,42322.4%

4,538,596

&C&"Times New Roman,Bold"&16Pope Resources Ownership - Qualified Units - 6/30/03

&L&"Times New Roman,Regular"&D

Dave Nunes:Marco & Doug

Dave Nunes:Marco & Doug

Dave Nunes:Dave & Tom & Kevin

Dave Nunes:Tom only

Tom Ringo:hardcoded to mimic DLN's 070203 file

Insider detail

Andrews position:

sourcea =2002 K-1

Emily496,010ab =Dir/Ofcr s/s

Dolph1,090a

Gordon102,260a

Edith55,507a

Joe9,600b

Charles4,729a

Joseph III5,629a

Taylor4,729a

679,554

Pope position:

Peter200,015a

Josephine910a

Maria IRA220a

Maria Pope8,820a

Peter Beatty and Maria1,125a

Molly Pope8,820a

Adrianna Moffat Pope10,050a

Patricia Pope1,684a

Trust for Peter Jr 161-16218,820a

Trust for Peter Jr 161-16406,740a

Trust for Maria 161-16416,740a

Trust for Emily8,820a

Trust Emily (?) 161-16426,740a

Trust for Molly 161-16436,740a

Geo Pope Trust for Frederica125a

Geo Pope Trust for Guy Pope500a

276,869

Dir-officer

Pope Resources

Summary of Units Owned Positions by Directors, Officers and Senior Managers

Last Updated:1-Aug-03

CurrentOptionsTotal Owned

Units OwnedUnits Acq'dUnits Acq'dOwnedNumberNumberPlus

@ 12/31/02in 2003in 2004PositionVestedNon-VestedTotalVested Options

Peter Pope200,015200,01519,8469,45029,296219,861

Joe Tobin9,6009,60016,6019,45026,05126,201

Doug Norberg6,1503,85010,00036,8399,45046,28946,839

Marco Vitulli1,4501,45015,9899,45025,43917,439

Thurston Roach0.00.00.06,0006,0000.0

Dave Nunes13,0008,00321,00324,75042,00066,75045,753

Tom Ringo2,7807001,5004,98020,12522,75042,87525,105

John Shea2,4002,4003,40010,60014,0005,800

Jon Rose0.05,52511,47517,0005,525

Tom Kametz0.03,40010,60014,0003,400

Chris Daubenmire0.00.08,0008,0000.0

Kevin Bates2003005001,5004,5006,0002,000

233,19512,8533,900249,948147,975153,725301,700397,923

Mgt28,8830.6%635,426

Dir211,4654.7%4,652,230

5.3%5,287,656

GP's1,016,42322.5%22,361,306

Tom Ringo:200 on 2/14 @$10.00100 on 2/14 @$9.86100 on 2/14 @$9.87400 on 2/18 @$10.751000 on 2/18 @$10.67100 on 2/19 @$10.751950 on 4/24 @$9.75

Tom Ringo:103 on 2/13 @ $9.55900 on 2/13 @$9.85100 on 2/18 @$10.55500 on 2/20 @$11.002000 on 2/28 @$12.00400 on 2/28 @$12.25500 on 4/24 @$9.503500 on 5/5 @ $10.00

Tom Ringo:500 on 2/26 @$11.50100 on 5/6 @ $9.75100 on 5/9 @$9.50

Tom Ringo:300 on 4/24 @$9.50

Dave Nunes:exercise of options 3/15/04

Seaman

Detail per K-1's for 2002:Not owned

for 5 yrs

Michael Seaman12,80012,800

Geo Seaman Trust145,250

Phyllis Seaman34,60022,950

Sloane Seaman8,4002,900

Jordan Seaman UGMA5,0005,000

Kimberly Seaman5,9005,900

211,95049,550

PWC detail

Acquired since 1/1/95 and still held:

Negative Net Holdings

PCM(implies sales of pre 95 holdings)PopeAndrewsCannell

112/18/96175Henke168Samuel142312/27/95Taylor Andrews Tobin9657/1/99-300

24/1/975,500Popkin500Guy Ward19351/16/96Taylor Andrews Tobin8907/1/99-400

310/31/9722,000Eberhardt2,172Maria115Joseph Tobin60312/26/964500

41/1/965,000Stewart930Molly882012/27/95Joseph Tobin III96512/26/993500

53/29/961,000Glover312,293.001/16/96Joseph Tobin III890

66/7/9612,500Robertson801/26/99Edith Tobin-3000

711/22/961,500Suntzu bacchus5002/11/99Edith Tobin-10802

812/11/962,500Driscoll2,500-9489

93/26/9713,000Graf100

103/31/971,500McMahon105

114/15/9775Merck Will590same as 10/1/99 PCM

126/13/97200Berilla385

138/4/972,000Young500

149/16/97500Cynthia Cannell300Peter B. Cannell

1510/15/974,000William Cannell400Peter B. Cannell

1611/4/9715Cooperman400

171/23/982,000Budge100P&T BOD

187/23/9877Feroe1,000

1912/16/963,500Zamora16

2012/23/966,000Gladys215

213/15/991,000Holtcamp440

224/14/992,000Anderson4,000

2310/1/993,000Barto2,830

243/29/955,000Swan530

256/15/95270Mowery50

266/19/9510,000Odegard12

276/23/95250Willie3,750

2810/1/99(590)Judah2,096

293/22/961,500Follett1,000

305/13/961,000Lilly3,000

315/2/961,000Whitehead500

328/15/961,500James Miller50,000Jimmy Miller - bought 8,500 on 3/7/99, sold 58,500 on 10/27/99

333/27/96500Machala1,000

346/28/961,000Yturri1,090

351/10/961,500Fluhrer1,090

361/10/962,000Kelly1,685

378/14/961,500Miller1,000

384/14/975,000Benton315

393/28/96250Hart50

403/27/961,000Leventhal8,775

4110/24/962,500Jacob65

424/6/981,115Sutton340

438/8/971,000Sandoz95

449/30/971,000Bandoni20

459/30/971,000Gastroent1,500PCM 1/19/99

4612/9/971,000Horner530

472/27/975,000Margolies50

484/14/99(5,000)Escott310

493/6/98400St. Mark's Cathedral15

504/30/98700Arnold260

513/31/981,000Merck2,109PCM 10/1/99

526/9/99(1,000)Merck2,787PCM 10/1/99

537/31/9816,000Merck3,509PCM 10/1/99

544/8/991,600Merck1,764PCM 10/1/99

5510/1/993,000Merck180PCM 10/1/99

561/19/99(1,500)Merck4,589PCM 10/1/99

571/8/981,200Gayner500

5810/29/981,500State of CA220

5910/26/98500Eberhardt2,173

6010/26/98500Dahlgrin48

6110/26/98500FI AZ215

6210/26/981,000Wells320

639/2/981,600Lasher200

6410/1/99(2,109)State of Delaware5

6511/13/98500Edith Tobin13,802Andrews

6610/1/99(2,787)Droll200

6710/1/99(3,509)Blew76

6810/1/99(1,764)Demetris750

6910/1/99(180)Librach1,500

7010/1/99(4,589)Beers1,500

7112/28/981,792Green1,000

721/5/99500Blix770

7312/31/98500Birk200

743/23/993,500Omnibus600

754/14/993,000Hiatt1,000

765/13/994,200Cooper500

775/21/995Bartram110

787/15/99649Fleming110

7910/1/991,900Zamora16

8010/27/991,334Ringo2,875MEC Options

813/15/95280Sandoz95

823/16/952,720Blanda5

833/8/9515Shirk500

849/26/973,000Plumbers & Pipefitters10,000

851/5/982,000World asset Mgt.100

861/12/981,000Ford Master700

871/20/984,000Hillman1,000

881/23/987,500Bershad500

892/9/981,600Tingue500

902/17/981,000vanderbergh1,000

914/30/981,000Halpern265

9210/6/982,000Eplee50

9310/21/98500Egelhoff500

9410/28/98500Sylvia Sherman1,000PCM

9511/2/981,519Lippmann400

9611/4/98500Suozzo1,500

9712/24/964,750Blair1,200

988/8/97400Jenkins565

991/30/98500Saribeyoglu200

1009/3/99500Webb208

10110/1/991,600Choban5

1021/27/957,500Hillman1,000

1031/31/9530,000Cox1,200

1044/13/953,500Hensel1,000

1056/19/955,000Sivyer44

1066/29/954,000na250

1077/31/952,500Bissett400

1085/11/99200CEDE & CO???

1098/30/955,000Dalzell600

1101/20/984,500Daubenspeck500

1111/23/987,500Denver & Co45

1122/9/981,600State of CA25

1132/12/98750First Manhattan107,500

1144/30/981,000Goldman Sachs4,160

1155/21/982,965Freed Taylor192

1167/28/983,285Hutsell200

1179/1/981,500Lowe105

1185/10/96535Lera500

11912/28/983,400Moore8,820

1202/25/99(3,400)Nelson300

12112/16/962,000Riddle82

12211/22/9515,000Rodakowski588

1231/18/951,250Klaische1,020

1241/27/951,750289,814total of negative holdings

1251/31/952,5002,372,967Total Units outstanding 12/31/99 that were acquired since 1/1/95

1268/21/963,0002,662,781

12712/3/982,000

1281/18/951,2504,528,019

1291/27/951,7502,155,0521,865,238implied units outstanding 12/31/99 that were acquired prior to 1/1/95

1301/31/955,000

1318/21/963,00018,028PCM negative positions

13212/3/982,1003,090PCM negative positions

1331/31/952,50014,938

1348/8/951,971

13510/5/9590

13610/9/951,000

13710/11/95500

13810/16/951,215

13910/18/95330

14010/26/951,500

14110/30/9565

14211/21/954,430

1435/20/9612,500

1446/25/962,360

1459/3/98500

1469/10/98676

1479/15/98241

1489/17/982,000

1499/18/982,300

1509/21/98100

15110/9/981,888

15210/26/98600

15311/5/984,500

15412/15/986,800

15512/22/98100

15612/23/983,500

15712/31/988,000

1581/19/992,500

1591/28/992,060

1603/12/992,600

1613/31/993,710

1624/23/992,000

1635/3/99987

1645/20/99400

16510/8/9910,000

16610/11/99403

16710/14/991,500

16810/20/991,000

16911/19/993,000

1707/20/951,625

1716/3/9625

17212/3/981,495

1731/31/955,000

1741/31/957,500

1755/15/951,500

1761/24/952,500

1776/15/952,500

1788/12/982,000

1797/5/953,500

1809/26/95500

1817/13/951,500

18212/31/961,000

438,569

PCM sort by date

1231/18/951,250

1281/18/951,250

1761/24/952,500

1021/27/957,500

1241/27/951,750

1291/27/951,750

1031/31/9530,000

1251/31/952,500

1301/31/955,000

1331/31/952,500

1731/31/955,000

1741/31/957,500

833/8/9515

813/15/95280

823/16/952,720

243/29/955,000

1044/13/953,500

1755/15/951,500

256/15/95270

1776/15/952,500

266/19/9510,000

1056/19/955,000

276/23/95250

1066/29/954,000

1797/5/953,500

1817/13/951,500

1707/20/951,625

1077/31/952,500

1348/8/951,971

1098/30/955,000

1809/26/95500

13510/5/9590

13610/9/951,000

13710/11/95500

13810/16/951,215

13910/18/95330

14010/26/951,500

14110/30/9565

14211/21/954,430

12211/22/9515,000

41/1/965,000

351/10/961,500

361/10/962,000

293/22/961,500

333/27/96500

403/27/961,000

393/28/96250

53/29/961,000

315/2/961,000

1185/10/96535

305/13/961,000

1435/20/9612,500

1716/3/9625

66/7/9612,500

1446/25/962,360

346/28/961,000

378/14/961,500

328/15/961,500

1268/21/963,000

1318/21/963,000

4110/24/962,500

711/22/961,500

812/11/962,500

1912/16/963,500

12112/16/962,000

112/18/96175

2012/23/966,000

9712/24/964,750

18212/31/961,000

472/27/975,000

93/26/9713,000

103/31/971,500

24/1/975,500

384/14/975,000

114/15/9775

126/13/97200

138/4/972,000

438/8/971,000

988/8/97400

149/16/97500

849/26/973,000

449/30/971,000

459/30/971,000

1510/15/974,000

310/31/9722,000

1611/4/9715

4612/9/971,000

851/5/982,000

571/8/981,200

861/12/981,000

871/20/984,000

1101/20/984,500

171/23/982,000

881/23/987,500

1111/23/987,500

991/30/98500

892/9/981,600

1122/9/981,600

1132/12/98750

902/17/981,000

493/6/98400

513/31/981,000

424/6/981,115

504/30/98700

914/30/981,000

1144/30/981,000

1155/21/982,965

187/23/9877

1167/28/983,285

537/31/9816,000

1788/12/982,000

1179/1/981,500

639/2/981,600

1459/3/98500

1469/10/98676

1479/15/98241

1489/17/982,000

1499/18/982,300

1509/21/98100

9210/6/982,000

15110/9/981,888

9310/21/98500

5910/26/98500

6010/26/98500

6110/26/98500

6210/26/981,000

15210/26/98600

9410/28/98500

5810/29/981,500

9511/2/981,519

9611/4/98500

15311/5/984,500

6511/13/98500

12712/3/982,000

13212/3/982,100

17212/3/981,495

15412/15/986,800

15512/22/98100

15612/23/983,500

7112/28/981,792

11912/28/983,400

7312/31/98500

15712/31/988,000

721/5/99500

561/19/99(1,500)

1581/19/992,500

1591/28/992,060

1202/25/99(3,400)

1603/12/992,600

213/15/991,000

743/23/993,500

1613/31/993,710

544/8/991,600

224/14/992,000

484/14/99(5,000)

754/14/993,000

1624/23/992,000

1635/3/99987

1085/11/99200

765/13/994,200

1645/20/99400

775/21/995

526/9/99(1,000)

787/15/99649

1009/3/99500

2310/1/993,000

2810/1/99(590)

5510/1/993,000

6410/1/99(2,109)

6610/1/99(2,787)

6710/1/99(3,509)

6810/1/99(1,764)

6910/1/99(180)

7010/1/99(4,589)

7910/1/991,900

10110/1/991,600

16510/8/9910,000

16610/11/99403

16710/14/991,500

16810/20/991,000

8010/27/991,334

16911/19/993,00011,209net new units since 9/30/99 filing

26,737purchases

15,528sales

11,209

Pope Resources Business SegmentsFee Timber116,000 acres of timberland in western Washington Producing 61 MMBF of annual log harvest volume in 20042004 log production includes 14 MMBF attributable to recent acquisitionsFuture growth will be primarily through co-investment with ORM Timber Funds

Timberland Management & Consulting Olympic Resource Management (ORM) subsidiary provides third-party timberland management services to other owners of timber, leveraging off our timberland management expertise and providing additional economies of scaleNew contract to manage 522,000 acres for Cascade Timberlands LLCLaunch of $50 million private equity fund, ORM Timber Fund IDuring past six years, ORM managed 1 million acres of industrial timberland in the Western U.S. for Hancock Timber Resource Group and Pioneer Resources

Real Estate2,400 acres of higher and better use properties near population centersSeeking development entitlements to add value to landPrimary role is as a master developer, selling lands to other developers following entitlement processOwnership and management of historic mill town of Port Gamble

Pope Resources Growth StrategyFree cash flow, after debt service and distributions, of $3 to $5 million per year, depending on log prices Used for co-investment in ORM Timber FundsOpportunistically pursue fee (owned) timberland acquisitionsWhere appropriate, invest in real estate projectsPotential to increase unit distribution with excess cashGrowth CapitalNo current expectation for secondary offering of unitsCurrency too cheap to issue new units (currently at $25/unit, down from high of $35/unit in 1999)Debt capacityBetween $50 and $80 million of incremental debt capacity, depending upon the value of Units and cash flowsDebt to total capitalization covenant of 50% (currently 24% - market equity)Near-term growth fueled primarily by organic cash flow generationMaintain modest unit distribution Current distribution is $0.60/unit per year, or a yield of 2.4%

Fee Timber StrategyAcquisition of Columbia tree farm in 2001 from Plum Creek filled age-class gap and leveled off age classes older than 30 yearsRecent acquisitions will push 2005 harvest to 79 MMBF Addition of 12 MMBF in each of years 2004 and 2005 as result of January 2004 acquisitionAddition of 21 MMBF in 2005 as result of November 2004 acquisitionBeginning in 2006, base non-declining harvest level of 53 MMBF for subsequent decade, before gradual increasing over ensuing decades (reaching 65 MMBF eventually)Look to add to fee (owned) timberland baseAcquisitions involving debt likely to be dilutive to earnings initially Opportunistic/contrarian approach to timber acquisitionsMuch of fee timber growth will come through co-investment in new ORM Timber FundsWill allow Pope Resources to participate in acquisition economies associated with larger transactions

Productive Acres & Inventory by Age Class (1/1/05)

AgeClass

1213.1243552044753.2189491955

5904.18363519942381.486441422

11265.68233948333190.2866824462

1710.20054217432466.274795058

7388.30411806248526.2323421008

10737.28468432625373.5818416227

5419.96280168025437.0119674014

2300.68698000912670.3480737567

1657.58730772673539.2721467344

1154.38177752372973.7743575087

767.77243000081396.3280985765

1328.8391828105257.0946430961

3632.625741807817.5839345753

3884.3265387609523.3189723836

4147.9546614132494.8292205632

Hood Canal 62,513 acres

Columbia 40,001 acres

Total Productive Acres 102,514 acres

1 acres

Hood Canal

Columbia

Total Fee Productive Acres 1/1/05

MBF

20734.852682673443070.5734930554

16949.461968707747027.0512042069

9460.570206664625884.762718094

25773.78503839427304.0080995426

82036.1222152416294.7001682608

91250.557303390612844.2436381745

109349.00215857215442.9518901242

Hood Canal Tree Farm 369,777 MBF

Columbia Tree Farm 157,943 MBF

Total Merchantable Inventory 527,720 MBF

Hood Canal

Columbia

Age Class

MBF

Total Merchantable Inventory (35+ year old) 1/1/05

acres inv overlay

1966.3433043999Clearcut

8285.67007662140 - 4

14455.96902192955 - 9

4176.475337232310 - 14

15914.536460163115 - 19

16110.866525948820 - 24

10856.974769081525 - 29

4971.035053765830 - 34

5196.859454461266.3576432228

4128.156135032366.5355736998

2164.100528577336.7591462417

1585.933825906634.4009048635

3650.209676383285.6240552788

4407.6455111444108.2585929792

4642.7838819763129.7836322106

Total Productive Acres102,514 Acres

Total Merchantable Inventory528 MMBF

Acres

Inventory

Productive Acres by Age Class

MMBF Inventory by Age Class

Data

Hood CanalHood Canal Grown

AgeClassNetAcInop AcRd AcRMZ AcWa AcDFMBFWHMBFRCMBFOCMBFRAMBFOHMBFTotalMBFS12+S8+CNSPulpAgeClassNetAcInop AcRd AcRMZ AcWa AcDFMBFWHMBFRCMBFOCMBFRAMBFOHMBFTotalMBFS12+S8+CNSPulp

Clearcut1,2130.042230Clearcut1,2130.042230

0 - 45,9040.02196610 - 45,9040.0219661

5 - 911,2660.04249975 - 911,2660.0424997

10 - 141,7100.073120.010 - 141,7100.073120.0

15 - 197,3880.029370115 - 197,3880.0293701

20 - 2410,7370.043191620 - 2410,7370.0431916

25 - 295,4200.022243025 - 295,4200.0222430

30 - 342,3010.0101160.030 - 342,3010.0101160.0

35 - 391,6580.07316412,8352,1702,1782442,79351520,7354,0596,3017,3802,99535 - 391,6580.07316413,3492,2572,2652542,90453621,5644,2216,5537,6763,115

40 - 441,1540.04212111,0541,3091,6006711,99631916,9493,5945,2095,6922,45540 - 441,1540.04212111,4971,3621,6646982,07633117,6273,7385,4185,9192,553

45 - 497680.022250.05,4241,1496702647561,1999,4613,5342,6331,9171,37645 - 497680.022250.05,6411,1956972747861,2469,8393,6762,7391,9941,431

50 - 541,3290.04036219,8532,3851,3195131,33137425,77410,1108,7024,4272,53550 - 541,3290.04036220,6472,4801,3725331,38438926,80510,5159,0504,6042,637

55 - 593,6330.011489165,3826,3082,7031,2825,81354882,03632,10129,57313,1227,04355 - 593,6330.011489167,9976,5602,8111,3336,04657085,31833,38530,75613,6477,324

60 - 643,8840.011191469,5846,8483,8701,2998,69195891,25137,03232,16714,5257,52760 - 643,8840.011191472,3677,1224,0251,3519,03899794,90138,51333,45415,1067,828

65+4,1480.097951072,69314,9268,9531,0809,5292,169109,34948,52034,79315,0868,62465+4,1480.097951075,60115,5239,3111,1239,9102,255113,72350,46136,18515,6908,969

62,513355,55462,513369,777

ColumbiaColumbia Grown


Clearcut75343680.0Clearcut75343680.0

0 - 42,38119114290.00 - 42,38119114290.0

5 - 93,19025149310.05 - 93,19025149310.0

10 - 142,46673128500.010 - 142,46673128500.0

15 - 198,526419421209115 - 198,5264194212091

20 - 245,37431625288220 - 245,374316252882

25 - 295,437121257760.025 - 295,437121257760.0

30 - 342,6701191271020.030 - 342,6701191271020.0

35 - 393,53913155500.029,8438,5416026293,00844743,0715,18318,06312,5026,98935 - 393,53913155500.031,0378,8836276543,12846544,7935,39018,78613,0027,269

40 - 442,97413128891233,5147,7269238543,22278847,0277,32020,16011,9137,56840 - 442,97413128891234,8558,0359608883,35182048,9087,61320,96712,3897,871

45 - 491,3964469213,1916,1006998903,9101,09425,8855,75210,4796,1563,49845 - 491,3964469213,7196,3447279254,0661,13826,9205,98210,8986,4023,638

50 - 5425721210.04,8111,621462554041677,3043,1792,49295068350 - 5425721210.05,0031,686482654201747,5963,3062,592988711

55 - 59180.000.00.02252112291629511090524355 - 59180.000.00.023422123017306114935445

60 - 6452317920.04,8793,7509235172,17460112,8445,1504,5082,1041,08260 - 6452317920.05,0743,9009605382,26162513,3585,3564,6882,1891,126

65+4950.06130.010,3892,2624203841,66532315,4438,4853,8132,14899765+4950.06130.010,8052,3534374001,73233616,0618,8253,9652,2341,037

40,001151,86840,001157,943

Pope TotalPope Total Grown


Clearcut1,9664783100.00.00.00.00.00.00.00.00.00.0Clearcut1,9664783100.00.00.00.00.00.00.00.00.00.0

0 - 48,286193339510.00.00.00.00.00.00.00.00.00.00 - 48,286193339510.00.00.00.00.00.00.00.00.00.0

5 - 914,4562557413070.00.00.00.00.00.00.00.00.00.05 - 914,4562557413070.00.00.00.00.00.00.00.00.00.0

10 - 144,17673201620.00.00.00.00.00.00.00.00.00.00.010 - 144,17673201620.00.00.00.00.00.00.00.00.00.00.0

15 - 1915,91541971427920.00.00.00.00.00.00.00.00.00.015 - 1915,91541971427920.00.00.00.00.00.00.00.00.00.0

20 - 2416,11131668317990.00.00.00.00.00.00.00.00.00.020 - 2416,11131668317990.00.00.00.00.00.00.00.00.00.0

25 - 2910,85712147911900.00.00.00.00.00.00.00.00.00.025 - 2910,85712147911900.00.00.00.00.00.00.00.00.00.0

30 - 344,9711192281180.00.00.00.00.00.00.00.00.00.00.030 - 344,9711192281180.00.00.00.00.00.00.00.00.00.00.0

35 - 395,1971322866442,67810,7112,7808735,801962649,24224,36419,8839,98435 - 395,1971322866444,38611,1392,8919086,0331,001669,61125,33820,67810,383

40 - 444,128131701011344,5699,0352,5231,5255,2181,1076410,91425,36917,60510,02340 - 444,128131701011346,3519,3972,6241,5865,4271,1516711,35026,38418,30910,424

45 - 492,16446834218,6157,2491,3691,1544,6662,293359,28713,1128,0734,87445 - 492,16446834219,3607,5391,4241,2004,8522,384379,65813,6378,3965,069

50 - 541,58625237224,6644,0061,3667681,7345413313,28911,1945,3773,21950 - 541,58625237225,6504,1661,4207981,8045623413,82011,6425,5923,347

55 - 593,6500.011489165,6076,3292,7041,2845,8425658232,21129,66313,1747,08655 - 593,6500.011489168,2326,5822,8121,3356,0765878633,49930,85013,7017,370

60 - 644,4081711993474,46310,5984,7931,81610,8651,55910442,18136,67516,6298,60960 - 644,4081711993477,44111,0224,9851,88911,3001,62210843,86938,14217,2958,953

65+4,6430.01031081083,08317,1889,3721,46411,1942,49112557,00638,60617,2349,62165+4,6430.01031081086,40617,8769,7471,52211,6422,59113059,28640,15017,92410,006

102,514507102,514528

Log Markets and Harvest Mix

Chart2

474302136

531383136

590426159

606401155

774501205

1049706227

1031701199

1059700277

1003670127

895680131

749555169

767603157

837577149

733541111

65555094

616550103

Source: RISI, Log Lines

Douglas-fir Export Sawlogs

Douglas-fir Domestic Sawlogs

Douglas-fir Pulpwood

$/MBF

Harvest Mix

Hood Canal Tree FarmTotal Pope Resources

2003 Budget2003 Budget

SalesMBF$/MBF% TotalSalesMBF$/MBF% Total

DF-Ex$4,642,2757,912$587638.9%DF-Ex$6,057,12110,327$58723.3%

DF-D$7,502,18414,767$5081192.6%DF-D$9,740,98919,024$51242.8%

DF-P$195,0021,300$150105.0%DF-P$235,0831,524$1543.4%

WW-EX$10,56431$3402.5%WW-EX$150,832429$3511.0%

WW-D$557,6021,676$333135.4%WW-D$1,805,2785,419$33312.2%

WW-P$262,3561,543$170124.6%WW-P$305,0381,794$1704.0%

HW-D$636,7341,592$400128.6%HW-D$754,6381,810$4174.1%

HW-P$432,0422,214$195178.8%HW-P$530,4822,706$1966.1%

RC-D$1,386,1581,235$1,12299.7%RC-D$1,513,1581,362$1,1113.1%

RC-P$1,2386$2060.5%RC-P$1,2386$2060.0%

Total:$15,626,15532,277$484100.0%Total:$21,093,85844,402$475100.0%

Variance Species GroupingsVariance Species Groupings

DF$12,339,46123,979$5151936.5%DF$16,033,19430,875$51969.5%

WW$830,5233,251$255262.5%WW$2,261,1497,643$29617.2%

HW$1,068,7753,806$281307.4%HW$1,285,1204,516$28510.2%

RC$1,387,3961,241$1,118100.2%RC$1,514,3961,368$1,1073.1%

Columbia Tree Farm

2003 Budget

SalesMBF$/MBF% Total

Data for Pie Chart

DF-Ex$1,414,8462,416$586195.1%Export Sawlogs10,757

DF-D$2,238,8054,257$526343.8%Domestic Sawlogs27,615

DF-P$40,081224$17918.1%Pulpwood6,030

WW-EX$140,268398$35232.2%44,402check

WW-D$1,247,6763,743$333302.2%

WW-P$42,682251$17020.3%

HW-D$117,904218$54117.6%

HW-P$98,440492$20039.7%

RC-D$127,000127$1,00010.3%

RC-P0.00.00.00.0%

Total:$5,467,70312,125$451100.0%

Variance Species Groupings

DF$3,693,7336,896$536556.9%

WW$1,430,6264,392$326354.7%

HW$216,344710$30557.3%

RC$127,000127$1,00010.3%

Prices

89-present Log Lines, Puget Sound, DF, 2S, High: History RISI IFA

Log Lines/RISI IFA, DF, 2S HighPNW Export Douglas-firLog Lines, DF, Pulp

88302474136

89383531136

90426590159

91401606155

92501774205

937061049227

947011031199

957001059277

966701003127

97680895131

98555749169

99603767157

00577837149

01541733111

0255065594

03550616103

2003LL, DF,#2, puget, high

jan550

feb550

mar550

apr550

may550

Charts

Charts

10756.57708

27614.65912

6030.39375

2003 Total Harvest44.4 Million Board Feet (MMBF)

Estimated2003 Harvest Mix

474302136

531383136

590426159

606401155

774501205

1049706227

1031701199

1059700277

1003670127

895680131

749555169

767603157

837577149

733541111

65555094

616550103





$/MBF

Chart1

14

72

14

2003 Total Harvest45 Million Board Feet (MMBF)

2003 Harvest Mix

Harvest Mix

Hood Canal Tree FarmTotal Pope Resources

2003 Budget2003 Budget

SalesMBF$/MBF% TotalSalesMBF$/MBF% Total

DF-Ex$4,642,2757,912$587638.9%DF-Ex$6,057,12110,327$58723.3%

DF-D$7,502,18414,767$5081192.6%DF-D$9,740,98919,024$51242.8%

DF-P$195,0021,300$150105.0%DF-P$235,0831,524$1543.4%

WW-EX$10,56431$3402.5%WW-EX$150,832429$3511.0%

WW-D$557,6021,676$333135.4%WW-D$1,805,2785,419$33312.2%

WW-P$262,3561,543$170124.6%WW-P$305,0381,794$1704.0%

HW-D$636,7341,592$400128.6%HW-D$754,6381,810$4174.1%

HW-P$432,0422,214$195178.8%HW-P$530,4822,706$1966.1%

RC-D$1,386,1581,235$1,12299.7%RC-D$1,513,1581,362$1,1113.1%

RC-P$1,2386$2060.5%RC-P$1,2386$2060.0%

Total:$15,626,15532,277$484100.0%Total:$21,093,85844,402$475100.0%

Variance Species GroupingsVariance Species Groupings

DF$12,339,46123,979$5151936.5%DF$16,033,19430,875$51969.5%

WW$830,5233,251$255262.5%WW$2,261,1497,643$29617.2%

HW$1,068,7753,806$281307.4%HW$1,285,1204,516$28510.2%

RC$1,387,3961,241$1,118100.2%RC$1,514,3961,368$1,1073.1%

Columbia Tree Farm

2003 Budget

SalesMBF$/MBF% Total

Data for Pie Chart

DF-Ex$1,414,8462,416$586195.1%Export Sawlogs10,757

DF-D$2,238,8054,257$526343.8%Domestic Sawlogs27,615

DF-P$40,081224$17918.1%Pulpwood6,030

WW-EX$140,268398$35232.2%44,402check

WW-D$1,247,6763,743$333302.2%

WW-P$42,682251$17020.3%

HW-D$117,904218$54117.6%

HW-P$98,440492$20039.7%24%14

RC-D$127,000127$1,00010.3%62%72

RC-P0.00.00.00.0%14%14

Total:$5,467,70312,125$451100.0%100

Variance Species Groupings

DF$3,693,7336,896$536556.9%

WW$1,430,6264,392$326354.7%

HW$216,344710$30557.3%

RC$127,000127$1,00010.3%

Prices

89-present Log Lines, Puget Sound, DF, 2S, High: History RISI IFA

Log Lines/RISI IFA, DF, 2S HighPNW Export Douglas-firLog Lines, DF, Pulp

1988302474136

1989383531136

1990426590159

1991401606155

1992501774205

19937061049227

19947011031199

19957001059277

19966701003127

1997680895131

1998555749169

1999603767157

2000577837149

2001541733111

200255065594

2003550616103

2003LL, DF,#2, puget, high

jan550

feb550

mar550

apr550

may550

Charts

Charts

14

72

14

2003 Total Harvest44.4 Million Board Feet (MMBF)

Estimated2003 Harvest Mix

474302136

531383136

590426159

606401155

774501205

1049706227

1031701199

1059700277

1003670127

895680131

749555169

767603157

837577149

733541111

65555094

616550103





$/MBF

Timberland Management & Consulting StrategyManage timberlands for third-party clientsFull-service management, selected forestry consulting services, workout specialistFocus development of expert processes/tools, and market presenceAncillary benefits accrue to fee timber properties through management expertise and economies of scaleFit with broad ownership trends in industryRaise capital for investing in timberlands: ORM Timber Fund I, L.P.$50 million of equity capital10% co-investment by Pope Resources and affiliatesORMLLC will serve as GP

Real Estate Strategy Push real estate properties through entitlement and permitting pipelineTo point where sale opportunity is optimal May retain selected properties where management is passive and income stream is steady with upsideMajor early-stage entitlement projectsGig Harbor - 320 acre mixed-use project within city limitsCommercial rezone effort enables future sale to Costco, Walgreens, YMCANew Tacoma Narrows bridge impactBremerton - 230 acre mixed-use project with 15 year development agreementKingston - 710 acre project subject to urban growth boundary determination

Port Gamble historic mill town is a many-faceted, long-term projectRural historic town designation under States Growth Management ActWater rights recently securedEnvironmental cleanup completeSewer system expansion needed for build-out of town siteLong term: development of former mill site and remaining portion of town site

Financial Performance Eleven-Year Summary

10 yr

(All amounts in $ millions, except per unit data)

Q3

199319941995199619971998199920002001200220032004

Revenues:

Fee Timber25.719.126.621.819.721.023.521.425.023.322.928.0

Timberland Mgmnt & Consulting8.911.711.09.77.32.41.0

Real Estate8.611.09.611.210.413.115.718.213.11.61.72.7

Total Revenues34.330.136.233.030.143.050.950.647.832.227.031.7

Net Income/(Loss)14.88.913.18.33.58.85.1(6.3)(0.4)3.33.59.4

Net Income/(Loss) per Unit$3.00$1.93$2.90$1.84$0.78$1.94$1.11$(1.38)$(0.10)$0.74$0.78$2.04

EBITDDA18.311.716.010.96.211.99.0(3.0)10.69.310.115.8

Operating Cash Flow20.17.417.012.35.89.28.310.011.29.08.614.3

Timberland Harvest (MMBF)36.329.737.931.633.238.942.037.336.345.145.051.2

Unitholder Distributions per Unit$1.20$0.72$1.06$0.82$0.49$0.40$0.40$0.400.0$0.10$0.24$0.29

Unit Trading Prices:

High$16.40$18.80$21.80$23.40$31.00$32.50$35.00$29.25$24.50$15.50$15.99$24.00

Low$9.60$14.40$15.25$15.80$17.40$24.06$27.88$19.00$14.00$9.30$7.00$15.00

Bal Sht

(in $millions)

31-Mar-0431-Dec-03

Assets

Cash3.410.4

Other Current Assets3.52.4

Properties and Equipment79.872.1

Other Assets1.41.4

Total Assets88.186.3

Liabilities & Equity

Current Liabilities (excl. Current Debt)1.92.2

Total Debt36.237.7

Other Liabilities0.30.4

Total Liabilities38.440.3

Equity49.746.0

Total Liabilities & Equity88.186.3

Tax yield

ABC

Pope Res 1065Resultant

AggregatePerApplicableTax (Liab)/

AmountsUnitTaxBenefitTax "Yield" at Various Unit Prices

ReportedAmountsRate$10.00$14.00$18.00$22.00

New Tax Rates:

K-1 Taxable Income1,500,000$0.33

631(a) amount15,045,000$3.33

Depletion(3,300,000)(0.73)

1231 gain11,700,000$2.5915.0%$(0.39)

Int income300,0000.0735.0%(0.02)

Ord loss(10,500,000)(2.32)35.0%0.81

1,500,000$0.33$0.404.0%2.9%2.2%1.8%

Note: Income amounts provided are representative examples only and should not be interpreted as pro forma results.

4518095

Debt Capacity

ProIf unit price is

ActualForma$15.00$17.50$21.00

Current debt ($000's)36,20085,70067,70078,70094,700

Current unit price$19.00

Units outstanding (000's)4,522

Market cap85,91685,91667,82979,13394,960

Total capitalization122,116171,616135,529157,833189,660

Debt to total cap ratio29.64%49.94%49.95%49.86%49.93%

Incremental debt capacity49,500315004250058500

Imputed values

Timber value per acre

HBU = $5KHBU = $10K

Today's unit price$19.00$19.00

Number of units4,5204,520

Market cap85,88085,880

Plus: debt36,20036,200

Less HBU value

At $5K per acre2500(12,500)

At $10K per acre2500(25,000)

109,58097,080

Fee Timber acres115,000115,000

Value per acre of fee timber953844

Enterprise value to EBITDDA

Enterprise Value

at 12/31/03at 5/31/04

Market Cap calc

Units45184522

Price$15.43$19.00

Market Cap69,71385,918

Plus debt3768836,200

Less cash-10361-6700

Enterprise value97,040115,418

Average enterprise value106,229

Trailing EBITDDA:

Q1 20033009

Q2 20032972

Q3 20032573

Q4 20031535

Q1 2004638713467

Enterprise value divided by trailing EBITDDA7.89

Trailing earnings$000'sPer unit

Q1 20031,2914518$0.29

Q2 20031,2964518$0.29

Q3 20039414518$0.21

Q4 20030.045180.0

Q1 20043,9984518$0.88$1.38

Unit price/trailing earnings13.77

Investment Grade Balance Sheet

10 yr


Q3

199319941995199619971998199920002001200220032004

Revenues:

Fee Timber25.719.126.621.819.721.023.521.425.023.322.928.0


Real Estate8.611.09.611.210.413.115.718.213.11.61.72.7

Total Revenues34.330.136.233.030.143.050.950.647.832.227.031.7

Net Income/(Loss)14.88.913.18.33.58.85.1(6.3)(0.4)3.33.59.4


EBITDDA18.311.716.010.96.211.99.0(3.0)10.69.310.115.8





High$16.40$18.80$21.80$23.40$31.00$32.50$35.00$29.25$24.50$15.50$15.99$24.00

Low$9.60$14.40$15.25$15.80$17.40$24.06$27.88$19.00$14.00$9.30$7.00$15.00

Bal Sht

(in $millions)

30-Sep-0431-Dec-03

Assets

Cash10.110.4



Other Assets1.31.4




Total Debt35.737.7



Equity54.146.0


Tax yield

ABC




ReportedAmountsRate$10.00$14.00$18.00$22.00

New Tax Rates:


631(a) amount15,045,000$3.33

Depletion(3,300,000)(0.73)

1231 gain11,700,000$2.5915.0%$(0.39)

Int income300,0000.0735.0%(0.02)

Ord loss(10,500,000)(2.32)35.0%0.81

1,500,000$0.33$0.404.0%2.9%2.2%1.8%


4518095

Debt Capacity

ProIf unit price is

ActualForma$15.00$17.50$21.00

Current debt ($000's)35,70085,20067,20078,20094,200

Current unit price$19.00

Units outstanding (000's)4,522

Market cap85,91685,91667,82979,13394,960

Total capitalization121,616171,116135,029157,333189,160

Debt to total cap ratio29.35%49.79%49.77%49.70%49.80%

Incremental debt capacity49,500315004250058500

Imputed values

Timber value per acre

HBU = $5KHBU = $10K

Today's unit price$19.00$19.00

Number of units4,5204,520

Market cap85,88085,880

Plus: debt35,70035,700

Less HBU value

At $5K per acre2500(12,500)

At $10K per acre2500(25,000)

109,08096,580

Fee Timber acres115,000115,000

Value per acre of fee timber949840

Enterprise value to EBITDDA

Enterprise Value

at 12/31/03at 5/31/04

Market Cap calc

Units45184522

Price$15.43$19.00

Market Cap69,71385,918

Plus debt3768835,700

Less cash-10361-6700

Enterprise value97,040114,918

Average enterprise value105,979

Trailing EBITDDA:

Q1 20033009

Q2 20032972

Q3 20032573

Q4 20031535

Q1 2004638713467

Enterprise value divided by trailing EBITDDA7.87

Trailing earnings$000'sPer unit

Q1 20031,2914518$0.29

Q2 20031,2964518$0.29

Q3 20039414518$0.21

Q4 20030.045180.0

Q1 20043,9984518$0.88$1.38

Unit price/trailing earnings13.77

Pope Resources - Summary of Investment OpportunityStill a deep discount to NAV in spite of 2004 rise in unit priceImputed value of fee timberlands of between $1,050 and $1,200 per acre, depending on assumptions made for value of HBU lands ($5-$10K/acre)Enterprise value to EBITDDA multiple of 7Trading at 12 times trailing 12-month earningsHighly tax-efficient vehicle for investing in timberland asset classPositive tax yieldModest distribution yieldCompelling diversification benefits of timberland asset classAdding value through use of free cash flow Co-investment in ORM Timber Fund I, L.P.Opportunistic acquisitionsIncreases in distribution levelImproved alignment with insider buying in past few yearsFavorable liquidity trends

Pope Resources Unit Price vs. Douglas-Fir Log Prices (98-03)

Chart1

2950026.97700560

2757525.11720618.5

2850026.17700560

27.1249025.35670544

27.7558526.07680613.5

28.555026.78675587.5

28.2558026.54720622

2862526.31730656.5

27.8757826.31740626.6

2862526.43720653.5

2961027.51700637

32.560030.83725637.5

28.7560027.27720636

2962027.51700644

3070028.6700700

3167529.55725690

3565033.5675657.5

3258030.63710619

32.2563530.87710657.5

31.8764030.6690655

31.6267530.36690679.5

31.1265029.88720671

29.8763528.78730663.5

29.2561028.18770658

2570024.08810733

2170020.32810733

23.2570022.5810733

2065019.36800695

21.567520.81810715.5

2060019.36810663

20.557519.84815647

19.555018.97820631

2152520.43850622.5

2262521.4820683.5

2258021.5820652

24.558023.94820652

2258021.5820652

2156520.52700605.5

2057319.54675603.6

1958018.57650601

19.962519.44690644.5

1962518.57690644.5

18.562518.08710650.5

2062519.54710650.5

1858017.59650601

15.5558015.19645599.5

15.7652515.4625555

14.7553514.41620560.5

13.9852513.66640559.5

1355012.7630574

13.2555012.95630574

13.4557013.14600579

12.7557012.46600579

12.555012.21580559

12.557012.21600579

12.254011.97580552

1254511.77630570.5

105309.81630560

9.455509.32625572.5

10.115509.97625572.5

10.2555010.11620571

12.2555012.08620571

9.55509.41620571

9.55509.41600565

11.3855011.32600565

11.9154011.84610561

12.2554012.18610561

13.2655013.26610568

13.757013.7610582

13.657013.6640591

14.356014.23650587

15.4355015.43660583

15.5355515.53660586.5

17.5165038019630644

17.7358538047630598.5

17.7560038078670621

19.5462038110660632

18.9869038139670684

19.8869038169670684

Pope Resources Unit Price

DF Export

DF 2Saw

Source: Log LinesDF Export = C12H, Puget Sound, HighDF 2Saw = 2S, Puget Sound, High

POPEZ Close

DF 2Saw

POPEZ Adj. Close*

DF Export

DF Composite (30% Export)


$/MBF

New

29500

27575

28500

27.12490

27.75585

28.5550

28.25580

28625

27.87578

28625

29610

32.5600

28.75600

29620

30700

31675

35650

32580

32.25635

31.87640

31.62675

31.12650

29.87635

29.25610

25700

21700

23.25700

20650

21.5675

20600

20.5575

19.5550

21525

22625

22580

24.5580

22580

21565

20573

19580

19.9625

19625

18.5625

20625

18580

15.55580

15.76525

14.75535

13.98525

13550

13.25550

13.45570

12.75570

12.5550

12.5570

12.2540

12545

10530

9.45550

10.11550

10.25550

12.25550

9.5550

9.5550

11.38550

11.91540

12.25540

13.26550

13.7570

13.6570

14.3560

15.43550

15.53555

17.51650

17.73585

17.75600

19.54620

18.98690

19.88690


Douglas-fir Domestic 2Saw

POPEZ Close

DF 2Saw


Log Price ($/MBF)

Sheet1

data

DateOpenHighLowPOPEZ CloseVolumePOPEZ Adj. Close*DateOpenHighLowTIMBZ CloseVolumeTIMBZ Adj. Close*DateOpenHighLowCRPP CloseVolumeCRPP Adj. Close*DateOpenHighLowPCL CloseVolumePCL Adj. Close*SourceRegionSpeciesYearMonthSortDF 2SawNotesHALYearMonthDF ExportPriceDF Composite (30% Export)DF

2-Jan-9828.252924.0629499026.9717326.75732-Jan-9825.0427.4924.9927.076786516.651LogLinesPuget SoundDouglas-fir199812S500High19981C12H7005601998555

2-Feb-9829292527117825.1127226.0625722-Feb-9827.2829.0527.0428.465004717.862LogLinesPuget SoundDouglas-fir199822S575High19982C12H720618.51999603

2-Mar-98272926.6228177726.1737125712-Mar-9828.7829.2627.327.944595417.523LogLinesPuget SoundDouglas-fir199832S500High19983C12H7005602000577

1-Apr-98282826.6227.12287625.3547026.8125701-Apr-9828.4128.9926.8827.095323316.994LogLinesPuget SoundDouglas-fir199842S490High19984C12H6705442001541

1-May-9827.12312727.75184026.0756925.5691-May-9827.0428.3625.8526.286956016.835LogLinesPuget SoundDouglas-fir199852S585High19985C12H680613.52002550

1-Jun-9827.7530.6927.7528.5155426.7866825.4375681-Jun-9826.3927.3624.2925.99837716.596LogLinesPuget SoundDouglas-fir199862S550High19986C12H675587.52003552

1-Jul-982829.252828.25220426.5476724.9375671-Jul-9826.2226.8223.123.267946314.97LogLinesPuget SoundDouglas-fir199872S580High19987C12H720622

3-Aug-9828.2528.872828189526.3186621.125663-Aug-9823.124.1520.6321.5710950914.168LogLinesPuget SoundDouglas-fir199882S625High19988C12H730656.5

1-Sep-982829.527.8727.87111426.3196523.25651-Sep-9821.9525.0921.5724.656838016.199LogLinesPuget SoundDouglas-fir199892S578High19989C12H740626.6

1-Oct-9827.8728.527.6228137226.43106424.6875641-Oct-9824.8725.3122.0124.655974016.1910LogLinesPuget SoundDouglas-fir1998102S625High199810C12H720653.5

2-Nov-98282927.7529308027.51116321.9375632-Nov-9824.5425.5324.0324.486116516.4511LogLinesPuget SoundDouglas-fir1998112S610High199811C12H700637

1-Dec-982932.52932.5536330.83126221.25621-Dec-9824.4824.5422.2923.427211815.7412LogLinesPuget SoundDouglas-fir1998122S600High199812C12H725637.5

4-Jan-993133.3828.7528.75216327.27136122.125614-Jan-9923.4224.9323.0224.035571516.1513LogLinesPuget SoundDouglas-fir199912S600High19991C12H720636

1-Feb-9928.8730.2527.8729335727.51146020.25601-Feb-9924.2625.4723.4624.386324216.7814LogLinesPuget SoundDouglas-fir199922S620High19992C12H700644

1-Mar-99293127.8730414728.6155920.9375591-Mar-9924.2727.0223.426.165844718.0115LogLinesPuget SoundDouglas-fir199932S700High19993C12H700700


3-May-9931353135101033.5175722.5625573-May-9926.7927.6126.1626.795442518.8317LogLinesPuget SoundDouglas-fir199952S650High19995C12H675657.5

1-Jun-99353531.623295430.63185622.5561-Jun-9926.7930.0626.2629.195058120.5218LogLinesPuget SoundDouglas-fir199962S580High19996C12H710619

1-Jul-9931.623431.6232.2583830.87195524551-Jul-9929.629.8327.6127.615472319.4119LogLinesPuget SoundDouglas-fir199972S635High19997C12H710657.5

2-Aug-9932.2532.2531.6231.87141330.6205422.375542-Aug-9927.7828.3125.625.64800018.3920LogLinesPuget SoundDouglas-fir199982S640High19998C12H690655


1-Oct-9931.7534.8831.1231.12395229.88225222.5521-Oct-99292924.5925.064279611822LogLinesPuget SoundDouglas-fir1999102S650High199910C12H720671

1-Nov-9931.1231.1229.8729.87291928.78235119.5625511-Nov-9925.1825.6624.424.5218470918.0323LogLinesPuget SoundDouglas-fir1999112S635High199911C12H730663.5

1-Dec-9929.8729.8729.2529.2551328.18245017.875501-Dec-9924.4625.0122.5724.413483617.9424LogLinesPuget SoundDouglas-fir1999122S610High199912C12H770658

3-Jan-0029.2529.2524.1225317524.08254919.5493-Jan-0024.3425.1320.9922.0815943516.2325LogLinesPuget SoundDouglas-fir200012S700High20001C12H810733

1-Feb-00252519.2521381020.32264818.9375481-Feb-0022.4523.692222.2512813116.7726LogLinesPuget SoundDouglas-fir200022S700High20002C12H810733

1-Mar-0022.2523.517.2523.25509522.5274721.5471-Mar-0022.525.6322.1224.6215896918.5627LogLinesPuget SoundDouglas-fir200032S700High20003C12H810733


1-May-0019.7521.519.7521.5181320.81294521.1875451-May-0024.6226.52426.317927220.2729LogLinesPuget SoundDouglas-fir200052S675High20005C12H810715.5

1-Jun-0021.52319.1220125419.36304419441-Jun-0026.3129.8125.7525.9114663519.9630LogLinesPuget SoundDouglas-fir200062S600High20006C12H810663

3-Jul-002021.8718.1220.597519.84314320.8125433-Jul-0026.0628.9425.1926.2522981520.2231LogLinesPuget SoundDouglas-fir200172S575High20007C12H815647


1-Sep-0019.52119.252195020.43334117.375411-Sep-0024.1224.3121.8822.3119976517.5833LogLinesPuget SoundDouglas-fir200092S525High20009C12H850622.5

2-Oct-00212219.122251321.4344018.625402-Oct-0022.3826.9421.8125.9416240420.4334LogLinesPuget SoundDouglas-fir2000102S625High200010C12H820683.5

1-Nov-0021.524.2521.52296621.5353915.6875391-Nov-0025.9426.3123.8824.259928019.5435LogLinesPuget SoundDouglas-fir2000112S580High200011C12H820652

1-Dec-002225.52224.5171023.9436388.9375381-Dec-0024.1226.6223.752615736520.9536LogLinesPuget SoundDouglas-fir2000122S580High200012C12H820652

2-Jan-0124.524.5222254721.537377.76372-Jan-01262724.5626.814395721.5937LogLinesPuget SoundDouglas-fir200112S580High20011C12H820652

1-Feb-01222220.122152120.5238366.93361-Feb-0126.627.324.525.9321791521.3438LogLinesPuget SoundDouglas-fir200122S565High20012C12H700605.5

1-Mar-01212119.520202719.5439357.7351-Mar-0125.9525.9523.324.221004019.9239LogLinesPuget SoundDouglas-fir200232S573High20013C12H675603.6

2-Apr-012020181988518.5740348.2342-Apr-0124.225.623.3824.5918191020.2440LogLinesPuget SoundDouglas-fir200142S580High20014C12H650601

1-May-01192016.519.938619.4441339.35331-May-0125.2427.9525.2127.5835219523.241LogLinesPuget SoundDouglas-fir200152S625High20015C12H690644.5

1-Jun-0119.7919.7917.751944718.5742328.17321-Jun-0127.85292728.1332140423.6642LogLinesPuget SoundDouglas-fir200162S625High20016C12H690644.5

2-Jul-011919.218.1518.545718.0843317.35312-Jul-0128.1328.8527.0527.4627749523.143LogLinesPuget SoundDouglas-fir200172S625High20017C12H710650.5

1-Aug-0118.52016.7520128619.5444307.9301-Aug-0127.53027.329.5353900025.3244LogLinesPuget SoundDouglas-fir200182S625High20018C12H710650.5

4-Sep-01202015.51850017.5945296.5294-Sep-0129.529.923.5626.7148540022.945LogLinesPuget SoundDouglas-fir200192S580High20019C12H650601

1-Oct-01181815.1515.55217815.1946284.91281-Oct-0126.7328.9823.727.6398135623.6946LogLinesPuget SoundDouglas-fir2001102S580High200110C12H645599.5

1-Nov-0115.5516.211515.7676115.447274.75271-Nov-0127.7528.7427.7528.3794676624.8247LogLinesPuget SoundDouglas-fir2001112S525High200111C12H625555

3-Dec-0115.2515.91314.75153514.4148265.94263-Dec-0128.428.9927.7528.3564923525.3148LogLinesPuget SoundDouglas-fir2001122S535High200112C12H620560.5

2-Jan-0214.7515.512.513.9874713.6649256.21252-Jan-0228.4931.1928.230.2228137626.9649LogLinesPuget SoundDouglas-fir200212S525High20021C12H640559.5

1-Feb-0213.9814.2610.513111512.750246.27244-Feb-0230.5531.9829.730.9575169427.6350LogLinesPuget SoundDouglas-fir200222S550High20022C12H630574

1-Mar-0213.9815.011213.25132012.9551236.32231-Mar-0231.131.229.2729.7162546526.5251LogLinesPuget SoundDouglas-fir200232S550High20023C12H630574

1-Apr-0212.611511.713.451061313.1452225.08221-Apr-0229.8530.5929.3130.4559372327.1852LogLinesPuget SoundDouglas-fir200242S570High20024C12H600579

1-May-0214.5514.61212.75182212.4653215.16211-May-0230.4831.2529.9830.3755692227.6353LogLinesPuget SoundDouglas-fir200252S570High20025C12H600579

3-Jun-0212.961312.3512.5168012.2154204.85203-Jun-0230.4830.9529.6830.774725027.9354LogLinesPuget SoundDouglas-fir200262S550High20026C12H580559

1-Jul-0212.513.2412.1612.564512.2155193.3191-Jul-0230.4530.524.9728.594883125.9355LogLinesPuget SoundDouglas-fir200272S570High20027C12H600579

1-Aug-0212.512.991212.255411.9756183.8181-Aug-0228.5229.1924.7325.7492005423.9556LogLinesPuget SoundDouglas-fir200282S540High20028C12H580552


1-Oct-0211.811.89.61012829.8158161.78161-Oct-0222.8123.218.9222.61102559521.0458LogLinesPuget SoundDouglas-fir2002102S530High200210C12H630560

1-Nov-021010.59.459.4522459.3259151.99151-Nov-0222.424.522.324.356076102359LogLinesPuget SoundDouglas-fir2002112S550High200211C12H625572.5

2-Dec-029.4910.189.310.1110289.9760141.79142-Dec-0224.4224.4522.5723.679076622.2960LogLinesPuget SoundDouglas-fir2002122S550High200212C12H625572.5

2-Jan-0310.110.259.810.2512810.1161131.63132-Jan-0323.8524.2921.1521.8273469520.6161LogLinesPuget SoundDouglas-fir200312S550High20031C12H620571

3-Feb-0310.1112.57.2512.25197312.0862120.74123-Feb-0321.922.421.0221.755885220.8362LogLinesPuget SoundDouglas-fir200322S550High20032C12H620571

3-Mar-0312.2512.2579.57149.4163110.15113-Mar-0321.7523.420.8821.5970620020.7363LogLinesPuget SoundDouglas-fir200332S550High20033C12H620571


1-May-039.511.88.9511.38147111.326590.391-May-0323.2526.492326.491664725.7165LogLinesPuget SoundDouglas-fir200352S550High20035C12H600565

2-Jun-031112.410.3611.91159511.846680.1882-Jun-0326.3527.325.8525.9569670025.2766LogLinesPuget SoundDouglas-fir200362S540High20036C12H610561

1-Jul-03121311.712.25134512.186770.1271-Jul-0325.727.4725.4227.1659502226.4567LogLinesPuget SoundDouglas-fir200372S540High20037C12H610561


2-Sep-0313.7614.6512.4913.7210913.76950.1252-Sep-0326.3826.7824.8325.4472757125.169LogLinesPuget SoundDouglas-fir200392S570High20039C12H610582

1-Oct-0313.714.512.5613.6106013.67040.0941-Oct-0325.6727.4425.2826.356589172670LogLinesPuget SoundDouglas-fir2003102S570High200310C12H640591

3-Nov-0313.615.9913.214.344714.237130.0733-Nov-0326.4826.9925.4226.6347134726.6371LogLinesPuget SoundDouglas-fir2003112S560High200311C12H650587

1-Dec-0314.2515.6114.1715.4392215.437220.0521-Dec-0326.5930.7526.5630.4566146330.4572LogLinesPuget SoundDouglas-fir2003122S550High200312C12H660583

2-Jan-0415161515.53690015.537310.0712-Jan-0430.4530.6529.930.05107902530.0573LogLinesPuget SoundDouglas-fir200412S555High20041C12H660586.5

2-Feb-0417.51LogLinesPuget SoundDouglas-fir200422S650High20042C12H630644

1-Mar-0417.73LogLinesPuget SoundDouglas-fir200432S585High20043C12H630598.5

1-Apr-0417.75LogLinesPuget SoundDouglas-fir200442S600High20044C12H670621

3-May-0419.54LogLinesPuget SoundDouglas-fir200452S620High20045C12H660632

1-Jun-0418.98LogLinesPuget SoundDouglas-fir200462S690High20046C12H670684

1-Jul-0419.88LogLinesPuget SoundDouglas-fir200472S690High20047C12H670684

2-Aug-0419.55

MBD003C7108.xls

Chart1

29500

27575

28500

27.12490

27.75585

28.5550

28.25580

28625

27.87578

28625

29610

32.5600

28.75600

29620

30700

31675

35650

32580

32.25635

31.87640

31.62675

31.12650

29.87635

29.25610

25700

21700

23.25700

20650

21.5675

20600

20.5575

19.5550

21525

22625

22580

24.5580

22580

21565

20573

19580

19.9625

19625

18.5625

20625

18580

15.55580

15.76525

14.75535

13.98525

13550

13.25550

13.45570

12.75570

12.5550

12.5570

12.2540

12545

10530

9.45550

10.11550

10.25550

12.25550

9.5550

9.5550

11.38550

11.91540

12.25540

13.26550

13.7570

13.6570

13.237928


Douglas-Fir Domestic 2Saw

POPEZ Close

DF 2Saw


$/MBF

data

DateOpenHighLowPOPEZ CloseVolumePOPEZ Adj. Close*SourceRegionSpeciesYearMonthSortDF 2SawNotesHALYearMonthDF ExportPriceDF Composite (30% Export)DF

2-Jan-9828.252924.0629499026.971LogLinesPuget SoundDouglas-fir199812S500High19981C12H7005601.01.01.01998555

2-Feb-9829292527117825.112LogLinesPuget SoundDouglas-fir199822S575High19982C12H720618.51.20.90.91999603

2-Mar-98272926.6228177726.173LogLinesPuget SoundDouglas-fir199832S500High19983C12H7005601.01.01.02000577

1-Apr-98282826.6227.12287625.354LogLinesPuget SoundDouglas-fir199842S490High19984C12H6705441.00.90.92001541

1-May-9827.12312727.75184026.075LogLinesPuget SoundDouglas-fir199852S585High19985C12H680613.51.21.01.02002550

1-Jun-9827.7530.6927.7528.5155426.786LogLinesPuget SoundDouglas-fir199862S550High19986C12H675587.51.11.01.02003552

1-Jul-982829.252828.25220426.547LogLinesPuget SoundDouglas-fir199872S580High19987C12H7206221.21.01.0

3-Aug-9828.2528.872828189526.318LogLinesPuget SoundDouglas-fir199882S625High19988C12H730656.51.31.01.0

1-Sep-982829.527.8727.87111426.319LogLinesPuget SoundDouglas-fir199892S578High19989C12H740626.61.21.01.0

1-Oct-9827.8728.527.6228137226.4310LogLinesPuget SoundDouglas-fir1998102S625High199810C12H720653.51.31.01.0

2-Nov-98282927.7529308027.5111LogLinesPuget SoundDouglas-fir1998112S610High199811C12H7006371.21.01.0

1-Dec-982932.52932.5536330.8312LogLinesPuget SoundDouglas-fir1998122S600High199812C12H725637.51.21.11.1

4-Jan-993133.3828.7528.75216327.2713LogLinesPuget SoundDouglas-fir199912S600High19991C12H7206361.21.01.0

1-Feb-9928.8730.2527.8729335727.5114LogLinesPuget SoundDouglas-fir199922S620High19992C12H7006441.21.01.0

1-Mar-99293127.8730414728.615LogLinesPuget SoundDouglas-fir199932S700High19993C12H7007001.41.01.1


3-May-9931353135101033.517LogLinesPuget SoundDouglas-fir199952S650High19995C12H675657.51.31.21.2

1-Jun-99353531.623295430.6318LogLinesPuget SoundDouglas-fir199962S580High19996C12H7106191.21.11.1

1-Jul-9931.623431.6232.2583830.8719LogLinesPuget SoundDouglas-fir199972S635High19997C12H710657.51.31.11.1

2-Aug-9932.2532.2531.6231.87141330.620LogLinesPuget SoundDouglas-fir199982S640High19998C12H6906551.31.11.1


1-Oct-9931.7534.8831.1231.12395229.8822LogLinesPuget SoundDouglas-fir1999102S650High199910C12H7206711.31.11.1

1-Nov-9931.1231.1229.8729.87291928.7823LogLinesPuget SoundDouglas-fir1999112S635High199911C12H730663.51.31.01.1

1-Dec-9929.8729.8729.2529.2551328.1824LogLinesPuget SoundDouglas-fir1999122S610High199912C12H7706581.21.01.0

3-Jan-0029.2529.2524.1225317524.0825LogLinesPuget SoundDouglas-fir200012S700High20001C12H8107331.40.90.9

1-Feb-00252519.2521381020.3226LogLinesPuget SoundDouglas-fir200022S700High20002C12H8107331.40.70.8

1-Mar-0022.2523.517.2523.25509522.527LogLinesPuget SoundDouglas-fir200032S700High20003C12H8107331.40.80.8


1-May-0019.7521.519.7521.5181320.8129LogLinesPuget SoundDouglas-fir200052S675High20005C12H810715.51.40.70.8

1-Jun-0021.52319.1220125419.3630LogLinesPuget SoundDouglas-fir200062S600High20006C12H8106631.20.70.7

3-Jul-002021.8718.1220.597519.8431LogLinesPuget SoundDouglas-fir200172S575High20007C12H8156471.20.70.7


1-Sep-0019.52119.252195020.4333LogLinesPuget SoundDouglas-fir200092S525High20009C12H850622.51.10.70.8

2-Oct-00212219.122251321.434LogLinesPuget SoundDouglas-fir2000102S625High200010C12H820683.51.30.80.8

1-Nov-0021.524.2521.52296621.535LogLinesPuget SoundDouglas-fir2000112S580High200011C12H8206521.20.80.8

1-Dec-002225.52224.5171023.9436LogLinesPuget SoundDouglas-fir2000122S580High200012C12H8206521.20.80.9

2-Jan-0124.524.5222254721.537LogLinesPuget SoundDouglas-fir200112S580High20011C12H8206521.20.80.8

1-Feb-01222220.122152120.5238LogLinesPuget SoundDouglas-fir200122S565High20012C12H700605.51.10.70.8

1-Mar-01212119.520202719.5439LogLinesPuget SoundDouglas-fir200232S573High20013C12H675603.61.10.70.7

2-Apr-012020181988518.5740LogLinesPuget SoundDouglas-fir200142S580High20014C12H6506011.20.70.7

1-May-01192016.519.938619.4441LogLinesPuget SoundDouglas-fir200152S625High20015C12H690644.51.30.70.7

1-Jun-0119.7919.7917.751944718.5742LogLinesPuget SoundDouglas-fir200162S625High20016C12H690644.51.30.70.7

2-Jul-011919.218.1518.545718.0843LogLinesPuget SoundDouglas-fir200172S625High20017C12H710650.51.30.60.7

1-Aug-0118.52016.7520128619.5444LogLinesPuget SoundDouglas-fir200182S625High20018C12H710650.51.30.70.7

4-Sep-01202015.51850017.5945LogLinesPuget SoundDouglas-fir200192S580High20019C12H6506011.20.60.7

1-Oct-01181815.1515.55217815.1946LogLinesPuget SoundDouglas-fir2001102S580High200110C12H645599.51.20.50.6

1-Nov-0115.5516.211515.7676115.447LogLinesPuget SoundDouglas-fir2001112S525High200111C12H6255551.10.50.6

3-Dec-0115.2515.91314.75153514.4148LogLinesPuget SoundDouglas-fir2001122S535High200112C12H620560.51.10.50.5

2-Jan-0214.7515.512.513.9874713.6649LogLinesPuget SoundDouglas-fir200212S525High20021C12H640559.51.10.50.5

1-Feb-0213.9814.2610.513111512.750LogLinesPuget SoundDouglas-fir200222S550High20022C12H6305741.10.40.5

1-Mar-0213.9815.011213.25132012.9551LogLinesPuget SoundDouglas-fir200232S550High20023C12H6305741.10.50.5

1-Apr-0212.611511.713.451061313.1452LogLinesPuget SoundDouglas-fir200242S570High20024C12H6005791.10.50.5

1-May-0214.5514.61212.75182212.4653LogLinesPuget SoundDouglas-fir200252S570High20025C12H6005791.10.40.5

3-Jun-0212.961312.3512.5168012.2154LogLinesPuget SoundDouglas-fir200262S550High20026C12H5805591.10.40.5

1-Jul-0212.513.2412.1612.564512.2155LogLinesPuget SoundDouglas-fir200272S570High20027C12H6005791.10.40.5

1-Aug-0212.512.991212.255411.9756LogLinesPuget SoundDouglas-fir200282S540High20028C12H5805521.10.40.4


1-Oct-0211.811.89.61012829.8158LogLinesPuget SoundDouglas-fir2002102S530High200210C12H6305601.10.30.4

1-Nov-021010.59.459.4522459.3259LogLinesPuget SoundDouglas-fir2002112S550High200211C12H625572.51.10.30.3

2-Dec-029.4910.189.310.1110289.9760LogLinesPuget SoundDouglas-fir2002122S550High200212C12H625572.51.10.30.4

2-Jan-0310.110.259.810.2512810.1161LogLinesPuget SoundDouglas-fir200312S550High20031C12H6205711.10.40.4

3-Feb-0310.1112.57.2512.25197312.0862LogLinesPuget SoundDouglas-fir200322S550High20032C12H6205711.10.40.4

3-Mar-0312.2512.2579.57149.4163LogLinesPuget SoundDouglas-fir200332S550High20033C12H6205711.10.30.3


1-May-039.511.88.9511.38147111.3265LogLinesPuget SoundDouglas-fir200352S550High20035C12H6005651.10.40.4

2-Jun-031112.410.3611.91159511.8466LogLinesPuget SoundDouglas-fir200362S540High20036C12H6105611.10.40.4

1-Jul-03121311.712.25134512.1867LogLinesPuget SoundDouglas-fir200372S540High20037C12H6105611.10.40.5


2-Sep-0313.7614.6512.4913.7210913.769LogLinesPuget SoundDouglas-fir200392S570High20039C12H6105821.10.50.5

1-Oct-0313.714.512.5613.6106013.670LogLinesPuget SoundDouglas-fir2003102S570High200310C12H6405911.10.50.5

3-Nov-0313.613.613.213.217513.271

Unit Price as Multiple of Trailing Cash Flows** Trailing Cash Flow defined as EBITDDA for POPEZ and as either EBITDDA or cash flow from operations for other 3 firms.

price to cash mult

14.586564983499.47.29568125445.2525669643

12.587862043100.16.51410531983.8396624473

12.81729078018.17771191146.26799445813.0394839719

15.95962910017.79125509995.02459726142.7537593985

12.13343499959.37242562526.74575246252.8076868829

11.3877630759.13872010346.27933997653.4330839568

10.008604990110.76608079028.61185004743.365942029

7.99977473939.7320094428.71329713623.0314606742

5.627113168112.37567982217.90327577824.1676300578

5.236137387415.52690512258.41257875534.4886267902

4.606916347216.99187722769.4413205454.977710233

4.694937651512.22391728116.40778585513.96875

4.266175441311.88971040189.80803290024.1324200913

3.504973256611.73279491719.47151976914.1244867589

4.776787523312.507708325710.21970278743.2273794564

5.639899908912.973552292910.11608401214.6102152873

6.91540579815.17218914388.06650974485.8071014785

6.037991684610.40679743879.27240849756.3939052813

Pope Resources asset impairment charges reversed

Pope Resources

Plum Creek

Deltic

Rayonier

Ratio of Price to Cash Flow per Share .

POPEZ multiples

99.199.199.130

99.299.299.232

99.399.399.331.625

24.063239042120.052699201816.042159361429.25

22.164208587918.470173823314.776139058623.25

18.724705877115.603921564312.483137251420

15.789840629713.158200524810.526560419821

24.23056620120.192138500916.153710800724.5

21.075254061717.562711718114.050169374520

22.780397490518.983664575415.186931660419

27.000760276222.500633563518.000506850818

31.45484988726.212374905820.969899924614.75

30.365895360825.304912800620.243930240513.25

32.55974033327.133116944221.706493555412.5

30.671333825425.559444854520.447555883612

28.437649053423.698040877818.958432702310.11

32.525212506627.104343755521.68347500449.5

29.919689603724.933074669719.946459735811.91

29.149453475424.291211229519.432968983613.7

26.77500141122.312501175817.850000940715.43

35.773484178629.811236815523.848989452418

36.314737021830.262280851524.2098246812

43.336456715636.113713929628.8909711437

40.813194474334.010995395327.2087963162

Unit Price at 12x

Unit Price at 10x

Unit Price at 8x

Actual Unit Price


Pope Resources Unit Price at Different Cash Flow Multiples

EBITDDA cht

9.06

9.123

11.843

10.707

10.081

15.369472

2005

EBITDDA

EBITDDA (millions)

Annual Cash Flow Generation (EBITDDA)

FCF cht

3.595

4.119

3.838

5.497

4.681

2004

2005

Historic FCF

Free Cash Flow ($ MM)

Cash Flow Generation (Free Cash Flow)

FCF2 cht

3.5951999199919991999

4.1192000200020002000

3.8382001200120012001

5.4972002200220022002

4.6812003200320032003

20043.5200420042004

20053.50.7520052005

20063.50.7687520062006

20073.50.787968751.252007

20083.50.80766796881.281252008

20093.50.8278596681.313281251.25

Historic FCF

Base Business

Timber Fund #1

Timber Fund #2

Timber Fund #3

Free Cash Flow ($MM)

Pope Resources Free Cash Flow Generation

Summary

199920002001200220032004

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4

Pope Resources

AQuarter end unit price$30.00$32.00$31.63$29.25$23.25$20.00$21.00$24.50$20.00$19.00$18.00$14.75$13.25$12.50$12.00$10.11$9.50$11.91$13.70$15.43$18.00

Quarterly EBITDDA per basic unit$0.84$0.84$0.68$(0.35)$0.68$0.55$0.44$0.35$0.41$0.69$0.79$0.72$0.32$0.88$0.63$0.54$0.66$0.66$0.57$0.34$1.41$0.70$1.15$0.13

BRolling 4-quarter per unit cash flow$2.01$1.85$1.56$1.32$2.02$1.76$1.90$2.25$2.62$2.53$2.71$2.56$2.37$2.71$2.49$2.43$2.23$2.98$3.03$3.61$3.40

Unit price divided by trailing 4-qtr cash flow (A/B)14.612.612.816.012.111.410.08.05.65.24.64.74.33.54.85.66.96.0

Plum Creek


Quarterly Cash Flows$1.17$0.85$0.90$0.69$0.53$0.65$0.77$0.66$0.66$0.20$0.39$0.55$0.71$0.33$0.25$0.78$0.59$0.38$1.32

BRolling 4-quarter per unit cash flow$3.61$2.97$2.77$2.65$2.61$2.74$2.29$1.91$1.81$1.85$1.98$1.84$2.07$1.96$2.01$3.07

Unit price divided by trailing 4-qtr cash flow (A/B)8.27.89.49.110.89.712.415.517.012.211.911.712.513.015.210.4

Rayonier


Quarterly EBITDDA per basic unit$2.10$2.03$2.14$2.69$4.99$2.97$2.65$3.57$2.84$4.74$2.20$2.33$2.60$2.74$2.89$2.72$2.33$2.28$1.47$1.06$1.79

BRolling 4-quarter per unit cash flow$8.96$11.85$12.79$13.30$14.18$12.03$13.80$13.35$12.11$11.87$9.87$10.56$10.95$10.68$10.23$8.81$7.15$6.60


Deltic


Quarterly Cash Flows$0.60$0.66$0.87$0.82$1.08$0.51$1.18$0.78$0.76$0.63$0.74$1.34$0.89$0.68$0.51$0.63$0.69$0.94$0.59$1.54$0.54

BRolling 4-quarter per unit cash flow$2.96$3.43$3.28$3.58$3.54$3.22$3.34$2.90$3.47$3.60$3.65$3.43$2.72$2.52$2.78$2.86$3.77$3.62


99.400.100.200.300.401.101.201.301.402.102.202.302.403.103.203.303.404.1

Pope Resources1513131612111086555445676

Plum Creek8899111012161712121213131510

Rayonier543333334454443566

Deltic776576998896109101089

99.199.299.399.400.100.200.300.401.101.201.301.402.102.202.302.403.103.203.303.404.104.204.304.4

Actual Unit Price$30$32$32$29$23$20$21$25$20$19$18$15$13$13$12$10$10$12$14$15$18

Unit Price at 8x$16$15$12$11$16$14$15$18$21$20$22$20$19$22$20$19$18$24$24$29$27

Unit Price at 10x$20$18$16$13$20$18$19$23$26$25$27$26$24$27$25$24$22$30$30$36$34

Unit Price at 12x$24$22$19$16$24$21$23$27$31$30$33$31$28$33$30$29$27$36$36$43$41

1999200020012002200320042005200620072008

EBITDDA$9$9$12$11$10$15

19992000200120022003200420052006200720082009

Historic FCF$4$4$4$5$5

Base Business3.53.53.53.53.53.5

Timber Fund #10.750.768750.787968750.80766796880.827859668

Timber Fund #21.251.281251.31328125

Timber Fund #31.25

Tom Ringo:PCL converted to a REIT on July 1, 1999. Data for Q's 1 and 2 in year of conversion are omitted. Cash flow measures reported over time have varied. EBITDDA is presented from Q3 99 through Q3 2001. Thereafter, the measure used is Net Cash Flow from Operations

Tom Ringo:Merger with The Timber Company completed 10/6/01

Tom Ringo:Used Deltic's reported Net Cash Flows from Operations (EBITDDA not consistently reported)

EBITDDA

Normalized net income by adding back asset impairment charges

Quarterly EBITDDA calc's ($millions):

199920002001200220032004

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4

Pope Resources

Net income (loss)2.572.492.09(2.06)2.371.460.871.160.830.621.41(2.05)0.012.461.061.201.291.300.940.04.00

Int income(0.03)(0.06)(0.08)(0.10)(0.09)(0.07)(0.16)(0.26)(0.15)(0.07)(0.11)(0.15)(0.11)(0.13)(0.09)(0.11)(0.08)(0.08)(0.07)(0.06)(0.02)

Int expense0.320.330.320.330.310.340.290.340.301.190.980.980.850.810.820.840.790.770.760.770.77

Taxes0.120.12(0.02)0.04(0.11)0.000.05(0.26)0.220.030.20(0.10)(0.02)(0.43)0.06(0.41)(0.01)0.010.00.240.0

Deprec/Depl0.800.900.780.210.590.760.940.620.661.351.094.600.721.241.000.901.000.970.950.591.64

Amortbudget for Q2-Q4 2004

EBITDDA per quarter3.773.783.09(1.59)3.062.491.991.591.873.133.573.271.463.962.862.433.002.972.571.546.393.185.220.59

Units outstanding - basic4.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.524.524.52

EBITDDA per basic unit$0.84$0.84$0.68$(0.35)$0.68$0.55$0.44$0.35$0.41$0.69$0.79$0.72$0.32$0.88$0.63$0.54$0.66$0.66$0.57$0.34$1.41$0.70$1.15$0.13

Rolling 4 qtr EBITDDA9.068.357.055.959.127.948.5810.1711.8411.4312.2611.5510.7112.2511.2710.9810.0813.4713.6716.3215.37

Plum Creek

EBITDDA per quarter74.357.062.147.936.845.253.445.546.036.073.0102.0131.062.046.0144.0109.070.0242.0

Shares outstanding- diluted63.4667.2969.2169.2169.2369.2169.2469.2769.35180.60185.30185.40185.50185.30184.60183.50184.00183.90184.00

Cash flow per unit$1.17$0.85$0.90$0.69$0.53$0.65$0.77$0.66$0.66$0.20$0.39$0.55$0.71$0.33$0.25$0.78$0.59$0.38$1.32

Rolling 4 qtr EBITDDA241.30203.80192.00183.30180.90190.10180.90200.50257.00342.00368.00341.00383.00361.00369.00565.00421.00312.00242.00

Rayonier

Cash flow from op's82.00

Rolling 4 qtr EBITDDA0.00.00.00.00.00.00.00.00.00.00.00.00.039.300.00.035.4082.0082.0082.0082.00

Deltic

Cash flow from op's7.648.2110.810.213.46.214.19.39.17.58.715.910.68.26.17.58.311.27.018.56.5

Shares outstanding12.7512.3912.3912.3912.3712.1912.0011.9411.9211.8911.8911.8911.9111.9511.9211.9211.9011.9011.9711.9712.02

Cash flow per unit$0.60$0.66$0.87$0.82$1.08$0.51$1.18$0.78$0.76$0.63$0.74$1.34$0.89$0.68$0.51$0.63$0.69$0.94$0.59$1.54$0.54

Rolling 4 qtr Op Cash Flow36.8442.5540.5443.8142.9238.6839.9534.5841.2442.7643.4740.8532.4530.0833.1534.0744.9943.27

Pope Resources - units o/s

Basic4.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.5184.518

Diluted4.5194.5194.5194.5194.5194.5194.5194.5194.5194.5194.5194.5194.534.524.5184.5194.5184.5194.5244.5444.575

Shares outstanding (millions):

Rayonier

Basic27.75342827.71745827.78085941.79677642.13341343.42443649.341

Diluted28.20128628.07636328.13565942.51650842.96335244.55664750.776

Tom Ringo:Includes 114 million from sales of "non-strategic" lands

Tom Ringo:Basic and diluted amounts not materially different

Tom Ringo:REIT conversion effective 1/1/04

Tom Ringo:3 for 2 split on June 12

Pope Resources Trading Volume

non-block trading

349021497

206193472

325812740

281998832

4458901457

Annual Non-Block Trading Volume (left axis)

Number ofNon-Block Trades (right axis)

Total Volume

# of Trades

Trading Volume

Non-block Trades

data

All POPEZ Volume

Total Volume# of TradesAvg. Trade Size

2000512,3985021,021

2001216,193473457

2002508,836746682

2003281,998832339

2004708,6901,464484

Non-Block Volume


2000349,021497702

2001206,193472437

2002325,812740440

2003281,998832339

2004445,8901,457306

Block Volume


2000163,377532,675

200110,000110,000

2002183,024630,504

20030.00.0N/A

2004262,800737,543

Sheet2

Sheet3

Tax Advantages of Investing in Pope Resources Units

10 yr


Q3

199319941995199619971998199920002001200220032004

Revenues:

Fee Timber25.719.126.621.819.721.023.521.425.023.322.911.4


Real Estate8.611.09.611.210.413.115.718.213.11.61.70.2

Total Revenues34.330.136.233.030.143.050.950.647.832.227.011.7

Net Income/(Loss)14.88.913.18.33.58.85.1(6.3)(0.4)3.33.54.0


EBITDDA18.311.716.010.96.211.99.0(3.0)10.69.310.16.4





High$16.40$18.80$21.80$23.40$31.00$32.50$35.00$29.25$24.50$15.50$15.99$21.00

Low$9.60$14.40$15.25$15.80$17.40$24.06$27.88$19.00$14.00$9.30$7.00$15.00

Bal Sht

(in $millions)

31-Mar-0431-Dec-03

Assets

Cash3.410.4



Other Assets1.41.4




Total Debt36.237.7



Equity49.746.0


Tax yield

ABC




ReportedAmountsRate(B times -C)$15.00$18.00$22.00$25.00

New Tax Rates:


631(a) amount15,045,000$3.33

Depletion(3,300,000)(0.73)

1231 gain11,700,000$2.5915.0%$(0.39)

Int income300,0000.0735.0%(0.02)

Ord loss(10,500,000)(2.32)35.0%0.81

1,500,000$0.33$0.402.7%2.2%1.8%1.6%


4518095

Debt Capacity

Current debt

Current unit price

Units outstanding

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Why Invest in POPEZ?Pope Resources represents compelling value playDiscount to liquidation value by any measureTarred unfairly by problems faced by two former timber publicly traded partnerships Great time to invest in timber asset classPortfolio diversification benefitsStrong asset class track recordAsset values have fallen substantiallyTax attributes meaningful to sophisticated individual investorsYield component associated with arbitrage between tax rate applicable to capital gains and ordinary incomeGrowing value, not necessarily near-term earnings Cash flow engine cranked upBest suited to long-term holderIdeal for long-term wealth accumulation or for passing wealth to future generationsModest distribution yield

POPE RESOURCES

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