Document:

Exhibit

FIRST AMENDMENT TO
PURCHASE AND SALE AGREEMENT

This First Amendment to Purchase and Sale Agreement (this “Amendment”) is entered into and effective as of October 4, 2018, by and among CATCHMARK HBU, LLC, a Delaware limited liability company (“HBU”), CATCHMARK SOUTHERN TIMBERLANDS II, L.P., a Delaware limited partnership (“Southern Timberlands”), CATCHMARK TRS HARVESTING OPERATIONS, LLC, a Delaware limited liability company (“TRS”), and CATCHMARK TEXAS TIMBERLANDS, L.P.,  a Texas limited partnership (“Texas Timberlands”, and collectively with HBU, TRS and Southern Timberlands, “Seller”), and FOREST INVESTMENT ASSOCIATES L.P., a Delaware limited partnership (hereinafter referred to as “Purchaser”).

W I T N E S S E T H:

WHEREAS, Seller and Purchaser entered into that certain Purchase and Sale Agreement dated effective August 20, 2018 (with all exhibits, addenda and amendments thereto, the “Contract”), covering certain real property located in Hardin, Jasper, Liberty, Newton, Orange, Polk and Tyler Counties, Texas, and Allen, Beauregard, Calcasieu, DeSoto, Natchitoches, Rapides, Sabine and Vernon Parishes, Louisiana containing approximately 55,702 acres, (the “Property”), as more particularly described in the Contract; and

WHEREAS, Seller and Purchaser have agreed to Cruise Specifications as set forth on Exhibit J attached hereto and hereby made a part hereof; and 

WHEREAS, pursuant to Section 35(c) of the Contract, Seller has exercised its one (1) time right to elect to remove certain entire stands from the list of Reserved Harvest Stands, and Exhibit K-2 attached hereto and hereby made a part hereof reflects the so updated Reserved Clearcut Harvest Stands, and there was no change in the Reserved Thinning Harvest Stands resulting from such removal; and

WHEREAS, pursuant to the last paragraph of Section 35 of the Contract, as a result of the update of the list of Reserved Clearcut Harvest Stands, the Value Table has been updated to Exhibit F attached hereto and hereby made a part hereof and the Purchase Price has been updated to $80,401,422.88; and

WHEREAS, Seller and Purchaser have agreed to enter into this Amendment on the terms and conditions set forth herein.  

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the undersigned parties hereby agree to amend the Contract as follows:

1.The phrase “SEVENTY EIGHT MILLION FIVE HUNDRED THOUSAND AND NO/100 DOLLARS ($78,500,000.00)” in Section 2 of the Contract is hereby deleted in its entirety and the following is inserted in lieu thereof:

“EIGHTY MILLION FOUR HUNDRED ONE THOUSAND FOUR HUNDRED TWENTY-TWO AND 88/100 DOLLARS ($80,401,422.88)”

2.Exhibit F of the Contract is hereby deleted in its entirety and Exhibit F attached hereto is inserted in lieu thereof.

3.Exhibit J of the Contract is hereby deleted in its entirety and Exhibit J attached hereto is inserted in lieu thereof.

4.Exhibit K-2 of the Contract is hereby deleted in its entirety and Exhibit K-2 attached hereto is inserted in lieu thereof.

5.The parties acknowledge and agree that Seller has used its one (1) time right to remove entire stands from the list of Reserved Harvest Stands and Section 35(c) and the last paragraph of Section 35 of the Contract are of no further force or effect.  Exhibit L of the Contract is hereby deleted in its entirety.

6.In the event of any conflict between the terms of this Amendment and the terms of the Contract, the terms of this Amendment shall control.

7.    Except as otherwise amended hereby, all of the other terms and provisions of the Contract are and shall remain in full force and effect and are hereby ratified by the parties hereto.  All capitalized but undefined terms used in this Amendment shall have the meanings ascribed in the Contract.

8.    This Amendment may be executed in any number of counterparts, each of which shall be an original and all of which together shall constitute but one and the same instrument.  The delivery of counterpart signatures by facsimile transmission or e-mail of PDF format electronic copy shall have the same force and effect as the delivery of a signed hard copy.

[Signatures begin on following page]

WITNESS THE EXECUTION HEREOF as of the date first set forth above.

SELLER:

CATCHMARK HBU, LLC, a Delaware limited liability company 

By: /s/ Don Warden                
      Name: Don Warden            
      Title: Vice President            
                Real Estate and Alternative Income
      (SEAL)

CATCHMARK SOUTHERN TIMBERLANDS II, L.P., a Delaware limited partnership 

By: /s/ Don Warden                
      Name: Don Warden            
      Title: Vice President            
                Real Estate and Alternative Income
      (SEAL)

CATCHMARK TRS HARVESTING OPERATIONS, LLC, a Delaware limited liability company

By: /s/ Don Warden                
      Name: Don Warden            
      Title: Vice President            
                Real Estate and Alternative Income
      (SEAL)

CATCHMARK TEXAS TIMBERLANDS, L.P., a Texas limited partnership 

By: /s/ Don Warden                
      Name: Don Warden            
      Title: Vice President            
                Real Estate and Alternative Income
      (SEAL)

PURCHASER:

FOREST INVESTMENT ASSOCIATES L.P.
By:  Forest Investment Associates, LLC
            Its General Partner

By: /s/ Charles L. VanOver            (SEAL)
Name: Charles L. VanOver        
Title:  Vice President             

Portions of the exhibit, indicated by the mark “[***],” were omitted and have been filed separately with the Securities and Exchange Commission pursuant to the Registrant’s application requesting confidential treatment pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Exhibit F
	
				
	Land
	Acres
	Per Acre Value
	Total Value

	Total
	                [***]
	 $             [***]
	 $     [***]

	 
	 
	 
	 

	Merchantable Timber (Planted Stands)
	 
	 

	Product
	Volume (tons)
	Unit Value
	Total Value

	Pine Pulpwood
	                [***]
	 $             [***]
	 $     [***]

	Pine Chip-n-saw
	                [***]
	 $             [***]
	 $     [***]

	Pine Sawtimber
	                [***]
	 $             [***]
	 $     [***]

	Hardwood Pulpwood
	                [***]
	 $             [***]
	 $     [***]

	Hardwood Sawtimber
	                [***]
	 $             [***]
	 $     [***]

	Total
	                [***]
	 
	 $     [***]

	 
	 
	 
	 

	Merchantable Timber (Natural Stands)
	 
	 

	Product
	Volume (tons)
	Unit Value
	Total Value

	Pine Pulpwood
	                [***]
	 $             [***]
	 $     [***]

	Pine Chip-n-saw
	                [***]
	 $             [***]
	 $     [***]

	Pine Sawtimber
	                [***]
	 $             [***]
	 $     [***]

	Hardwood Pulpwood
	                [***]
	 $             [***]
	 $     [***]

	Hardwood Sawtimber
	                [***]
	 $             [***]
	 $     [***]

	Total
	                [***]
	 
	 $     [***]

	 
	 
	 
	 

	Premerchantable Timber (Age 0-14)
	 
	 

	Age
	Acres
	Per Acre Value
	Total Value

	CC
	                [***]
	 $             [***]
	 $     [***]

	0
	                [***]
	 $             [***]
	 $     [***]

	1
	                [***]
	 $             [***]
	 $     [***]

	2
	                [***]
	 $             [***]
	 $     [***]

	3
	                [***]
	 $             [***]
	 $     [***]

	4
	                [***]
	 $             [***]
	 $     [***]

	5
	                [***]
	 $             [***]
	 $     [***]

	6
	                [***]
	 $             [***]
	 $     [***]

	7
	                [***]
	 $             [***]
	 $     [***]

	8
	                [***]
	 $             [***]
	 $     [***]

	9
	                [***]
	 $             [***]
	 $     [***]

	10
	                [***]
	 $             [***]
	 $     [***]

	11
	                [***]
	 $             [***]
	 $     [***]

	12
	                [***]
	 $             [***]
	 $     [***]

	13
	                [***]
	 $             [***]
	 $     [***]

	14
	                [***]
	 $             [***]
	 $     [***]

	Total
	                [***]
	 
	 $        [***]

	 
	 
	 
	 

	Total Value
	 
	 
	 $           [***]

	Total Value Per Acre
	 
	 
	 $             [***]

Exhibit J
(see attached)

INVENTORY VERIFICATION OF THE CTT SOUTHWEST PROPERTY
LOCATED IN LOUISIANA AND TEXAS

SEPTEMBER 6, 2018

PREPARED BY:
FORESTECH INTERNATIONAL, LLC

INTRODUCTION

ForesTech International (FTI) was retained by Forest Investment Associates (FIA) to design and conduct a verification inventory on the CTT Southwest property located in Louisiana and Texas.  The CTT Southwest property is located centrally between Beaumont, TX and Natchitoches, LA and consists of +/- 55,702 acres (Figure 1).  FTI was tasked with designing an inventory to target the property total value within the allowable error (AE) target of 5%.  The approach that FTI felt would achieve the desired statistics targets and time constraints motivated our decision to perform a two-stage list sample.  A total of 8 strata were created to accurately quantify attributes such as origin, age class, thin classification, and species group.  Overall, the inventory project will sample 242 stands (5,496 plots over 13,706 acres).

STRATIFIED TWO-STAGE LIST SAMPLING

Stratified two-stage list sampling is a cost and time efficient sampling scheme that has application for forest level inventories, particularly when time or budget constraints are important.  Before discussing stratified two-stage sampling, we will first discuss conventional inventory and then how two-stage sampling differs from conventional inventory.  

In a conventional stand inventory, sample plots are established, typically on a grid across the stand area, and tree attributes (i.e. dbh, species, tqi, stopper heights, total heights, etc.) are measured on the plots.  The volume or other attributes needed for the trees measured at those plots are used to estimate the volume per acre represented at that location in the stand.  The average of those volumes per acre at the sample plots represents the estimated volume per acre in the stand.  The assumption, often not explicitly stated, is that the plots selected represent the average conditions found throughout the stand and therefore their average is an accurate estimate of the average volume per acre in the stand.  For a conventional forest inventory, each stand receives an inventory from which an average volume per acre and total volume based on the measured plot values within the stand are calculated.  To get an estimate of the forest total, the stand total volume estimates are simply added since every stand has an estimated total volume.  It should be noted that there is no requirement that each stand be inventoried the same way.  

Two-stage sampling involves selecting stands first (“primaries”) and then within the selected stands a conventional inventory is conducted by putting in a grid of sample plots and measuring tree attributes of interest on these plots.  The plots are called “secondaries” in the sampling literature since they are only chosen and installed in the selected primaries.  The estimated average volume/value per acre and total volume for the stand are obtained in exactly the same way as for conventional inventory.  The only problem is that it is not possible to add all the stand estimates to obtain the forest level estimate because every stand does not have an estimate (not every stand had plot/points installed in it).  The assumption being made is that the stands selected for the inventory as primaries represent the average condition of stands in the forest.  Thinking back to conventional inventory, this is exactly the same intuitive logic used to estimate stand averages from plots.  The assumption there is that the plots chosen within a stand represent the average condition of the stand.  With two-stage sampling the assumption is that the stands chosen within the forest represent the average condition of the forest.

While all of this sounds logical in theory, how well has it worked in practice?  It has actually worked very well.  Borders et al. (2005) provided a framework and example from actual inventory comparing conventional and two-stage sampling.  This Southern Journal of Applied Forestry article was peer reviewed and provided added detail to the textbook discussion on two-stage sampling in Shiver and Borders (1996).  Their discussion was a refinement of two-stage sampling published by Cochran (1977) and DeVries (1986).  The idea of inventorying in the manner being described here has been thoroughly reviewed in the forestry sampling literature and found to be sound.

The CTT Southwest property of roughly +/- 55,702 acres, is located in southern Louisiana and Texas with a geographic distribution across fifteen counties.  In this case, an accurate forest level estimate is needed in a short time and it would be difficult to physically go to every stand and sample it within the desired time constraints.  In regular two-stage sampling, primaries are selected at random.  This means that large stands and small stands have the same chance of appearing in the sample.  While it is possible to obtain a sample of stands that is representative of the forest using random sampling, it takes a larger sample of stands to ensure a representative sample.  Borders et al. (2005) discuss the disadvantages of such a sampling scheme on the first page of their article.  Fortunately most forest landowners keep an information database for their properties in which they have relatively recent acreage, stand type, product volume estimates, etc.  This data, which exists for the CTT Southwest property, allows for an inventory design that takes advantage of this information.  

A two-stage list sample is a specific application of two-stage sampling that replaces the random sampling with sampling in which the larger “size” stands have a greater probability of being included in the first stage (where primaries or stands are chosen) than smaller “size” stands.  Size can refer to acres or if another stand characteristic that is correlated with size may be calculated, the probability may be in proportion to those values.  In the case of the CTT Southwest property, the estimated total value of each stand was calculated by applying realistic stumpage rates (Table 1) to the product volumes per acre to get an estimated value per acre and then multiplying by the acres to obtain an estimate of total stand value.  With list sampling, the stands are placed in a list and are selected from the list with probability proportional to their total value.

Table 1.  FIA Market Inventory Product Specifications and Stumpage Prices

	
								
	Planted Stands

	Product
	Min DBH
	Max DBH
	Min. Length
	Top Dob
	Height Meas.
	Topwood
	Stumpage

	PTOP
	-
	-
	-
	3.0
	Total
	No
	$       [***]

	PPWD
	3.6
	21.6
	21.0
	3.0
	Total
	No
	$       [***]

	PCNS
	8.6
	11.6
	20.0
	5.0
	Total
	Yes
	$       [***]

	PSAW
	12.6
	-
	17.0
	8.0
	Total
	Yes
	$       [***]

	HTOP
	-
	 
	-
	-
	Total
	No
	$       [***]

	HPWD
	4.6
	21.6
	20.0
	4.0
	Total
	No
	$       [***]

	HSAW
	12.6
	 
	17.0
	9.0
	Total
	No
	$       [***]

	 
	 
	 
	 
	 
	 
	 
	 

	Natural Stands

	Product
	Min DBH
	Max DBH
	Min. Length
	Top Dob
	Height Meas.
	Topwood
	Stumpage

	PTOP
	-
	-
	-
	3.0
	Total
	No
	$       [***]

	PPWD
	3.6
	21.6
	21.0
	3.0
	Total
	No
	$       [***]

	PCNS
	8.6
	11.6
	20.0
	5.0
	Total
	Yes
	$       [***]

	PSAW
	12.6
	-
	17.0
	8.0
	Total
	Yes
	$       [***]

	HTOP
	-
	 
	-
	-
	Total
	No
	$       [***]

	HPWD
	4.6
	21.6
	20.0
	4.0
	Total
	No
	$       [***]

	HSAW
	12.6
	 
	17.0
	9.0
	Total
	No
	$       [***]

It should be noted that even though more valuable stands have a higher probability of selection to be inventoried, this does not imply that the estimate of total value will be biased upward.  In fact, the estimator used in this sampling procedure produces unbiased estimates of value.  De Vries (1986) and Cochran (1977) both show proof that the estimator is unbiased.  This is similar to another estimator that foresters commonly use.  Within a stand, foresters often use point sampling.  Point sampling selects trees with probability proportional to their basal areas.  Larger trees have a higher probability of selection than smaller trees.  This allows foresters to focus their time on measuring mostly larger, more valuable trees.  In stands with a wide diameter distribution this results in a more efficient inventory.  The resulting point sampling estimators also produce unbiased estimates.

The ability of a two-stage sample to produce accurate estimates depends on choosing stands that represent the average condition of the forest.  Partitioning the forest into more uniform strata to select stands that represent the average of the stratum should logically allow for more efficient sampling.  Stratifying also allows for different sampling intensities within strata that can later be combined into an overall forest level estimate.  Stratification with two-stage list sampling is discussed in Borders et al. (2005) and in Shiver and Borders (1996).

When conducting a two-stage stratified list sample, the first operation is to remove any stands that will not be part of the inventory.  This may include pre-merchantable stands.  For the CTT Southwest property, removal of stands that did not have significant merchantable volume was the first step.  This resulted in 638 stands covering 26,519 acres.  This defines the “forest” for this sampling design.  

Page 8 of 8

The second step when conducting a two-stage stratified list sample is to define strata.  While strata definitions are somewhat arbitrary, they should be chosen with an objective of forming more consistent sets of stands than what would be present in the forest as a whole.  For the CTT Southwest property 8 strata were defined (Table 2).

Table 2.  Strata Descriptions for inventory of CTT Southwest property

	
		
	StrataOrder
	Description

	1
	PPN_UT_15-19 consisted of all unthinned pine plantations age 15 to 19

	2
	PPN_TH_15-19 consisted of all thinned pine plantations age 15 to 19

	3
	PPN_UT_20-24 consisted of all unthinned pine plantations age 20 to 24

	4
	PPN_TH_20-24 consisted of all thinned pine plantations age 20 to 24

	5
	PPN_UT_25+ consisted of all unthinned pine plantations age 25+

	6
	PPN_TH_25+ consisted of all thinned pine plantations age 25+

	7
	NPN_20+ consisted of all natural pine stands age 20+

	8
	NHD_20+ consisted of all natural hardwood stands age 20+

Table 3 shows the general characteristics of these eight strata.  Table 4 shows the total value of stands in each stratum as estimated using the CTT Southwest product tons provided in each stand multiplied by the following product prices according to stand origin.  Planted pine – pine pulpwood $9/ton, hardwood pulpwood $7.5/ton, pine chip-n-saw $15/ton, pine sawtimber $25/ton, and hardwood sawtimber $21/ton.  Natural stands – pine pulpwood $6/ton, hardwood pulpwood $5/ton, pine chip-n-saw $10/ton, pine sawtimber $16.67/ton, and hardwood sawtimber $14/ton.  The variance (S^2) for each stratum was estimated from the value per stratum data using equations (3) and (4) of the Borders et al. (2005). 

Table 3.  General characteristics of the 8 strata on the CTT Southwest property.

	
							
	Strata
	N_Stands
	Avg_StandSize
	Sum_NetAcres
	Avg_ValuePerAcre

	PPN_UT_15-19
	92
	48
	4,398
	

	$1,043
	

	PPN_TH_15-19
	47
	51
	2,408
	

	$690
	

	PPN_UT_20-24
	14
	24
	338
	

	$1,512
	

	PPN_TH_20-24
	31
	47
	1,447
	

	$1,087
	

	PPN_UT_25+
	14
	21
	288
	

	$1,704
	

	PPN_TH_25+
	88
	41
	3,569
	

	$1,396
	

	NPN_20+
	50
	28
	1,421
	

	$756
	

	NHD_20+
	302
	42
	12,649
	

	$688
	

	 
	638
	 
	26,519
	

	$1,109
	

Page 9 of 9

Table 4.   Estimated total values by stratum and overall and variances of value (S^2) by stratum.

	
											
	Strata
	N_Stands
	Sum_TotalValue
	S^2 WithinStrata
	S^2 OfTotal

	PPN_UT_15-19
	92
	

	$4,272,948
	

	

	$174,880
	

	

	$36,770,607,716
	

	PPN_TH_15-19
	47
	

	$1,554,735
	

	

	$65,965
	

	

	$8,141,137,114
	

	PPN_UT_20-24
	14
	

	$393,900
	

	

	$832,031
	

	

	$6,805,691,025
	

	PPN_TH_20-24
	31
	

	$1,541,574
	

	

	$88,087
	

	

	$5,947,790,363
	

	PPN_UT_25+
	14
	

	$510,491
	

	

	$654,467
	

	

	$3,881,474,995
	

	PPN_TH_25+
	88
	

	$4,874,546
	

	

	$316,989
	

	

	$45,881,290,043
	

	NPN_20+
	50
	

	$1,246,468
	

	

	$228,331
	

	

	$9,227,466,805
	

	NHD_20+
	302
	

	$8,193,714
	

	

	$183,442
	

	

	$97,178,934,867
	

	 
	638
	

	$22,588,376
	

	 
	

	$213,834,392,928
	

The third step in conducting a stratified two-stage list sample is to select primaries in each of the strata.  A two-stage list sample was carried out for each of the eight strata.  Simulated results were made using the values constructed from the product values assumed and the acreage and product tons in the CTT Southwest database (Table 5).  For field inventory sampling efficiency, all stands that fell below the 15 acre minimum threshold were excluded from being selected but will be included in the overall strata totals.  Sample sizes were changed as needed to obtain a stratum AE around 20%, if achievable.  Some of the smaller sized strata naturally had higher variability within the strata and thus were harder to reduce the AE.  For some of the less variable strata, the AE is considerably lower than 20%.  It should be noted that the variances used in this inventory design depend entirely on the product values and acreages in the CTT Southwest database.  Deviations from those stand product volumes or from the acreages by stand in the actual inventory once conducted will result in deviations from these projected AEs.  

Table 5.  Simulated results of a two-stage list sample assuming perfect reproduction of acres and product volumes in the CTT Southwest database.

Page 10 of 10

	
									
	Strata
	N_Stands
	Sum_NetAcres
	SE OfTotal
	AE
	Sample Value

	PPN_UT_15-19
	54
	2,907
	227,549
	11
	%
	

	$4,245,155.64
	

	PPN_TH_15-19
	26
	1,532
	124,007
	15
	%
	

	$1,645,365.75
	

	PPN_UT_20-24
	4
	247
	220,206
	82
	%
	

	$535,948.54
	

	PPN_TH_20-24
	27
	1,403
	76,557
	10
	%
	

	$1,535,004.76
	

	PPN_UT_25+
	5
	240
	89,570
	35
	%
	

	$513,743.06
	

	PPN_TH_25+
	50
	3,358
	239,103
	9
	%
	

	$5,057,323.04
	

	NPN_20+
	18
	986
	104,718
	18
	%
	

	$1,195,646.57
	

	NHD_20+
	58
	3,034
	562,722
	13
	%
	

	$8,446,548.04
	

	 
	242
	13,706
	 
	 
	

	$23,174,735
	

Note the advantages for obtaining an efficient estimate.  Even though there are 638 stands in the forest, only 242 of them (about 38% of stands but 52% of the area in acres) will be inventoried.  Though only one third of all stands will be inventoried, over half the acreage (13,706 out of 26,519) will be inventoried.  The stands chosen for selection contain a total estimated value of $13,206,632 of the estimated $22,588,376 total in all stands.  This emphasizes the efficiency of list sampling in placing plots in stands that are more important to obtaining a good estimate of the total value by sampling higher value stands with higher probability.  These stratum totals are not of particular interest in and of themselves.  They were rather arbitrarily chosen and the AE for the totals only serves as a barometer of how well the inventory within each stratum estimates the stratum total.  The variance of the total for each stratum is added to obtain the variance of the forest total.  The square root of this value is the standard error of the estimate of the forest total and is used in estimating the realized allowable error (RAE).  For this simulation the RAE was about 6%.  Again, it cannot be overemphasized that changes in product tons within the selected stands to be inventoried in the actual inventory versus the values in the database along with changes in acres can change the RAE in the actual inventory significantly.  However, in the absence of other data from which to design the inventory, the data provided must be assumed to be reasonably accurate until proven otherwise.

The fourth step in conducting a stratified two-stage list sample is to assign plots (secondaries) in each of the chosen stands (primaries).  The actual inventory intensity within each selected primary for the CTT Southwest project varies by stratum.  All strata will be inventoried using a predetermined basal area factor to target a minimum 6 tree average per plot.  Planted pine stands age 25 and greater (PN_TH_25+ and PPN_UT_25+) will have a cruise intensity of 1 plot per 2 acres with a minimum of 20 plots per stand and a maximum of 40 plots per stand.  Planted pine stands 15 to 20 years of age (PPN_UT_15-19, PPN_TH_15-19, PPN_UT_20-24 and PPN_TH_20-24) will have a cruise intensity of 1 plot per 3 acres with a minimum of 20 plots per stand and a maximum of 40 plots per stand.  Natural pine and hardwood stands will have a cruise intensity of 1 plot per 5 acres with a minimum of 15 plots per stand and a maximum of 40 plots per stand.  The result is 5,496 points (Table 6).  Points will be installed by FTI according to the 

Page 11 of 11

inventory cruise specifications and instructions (FIA_CTT_Southwest_Inventory_Specifications_20180906.pdf). 

A subsample of points will be audited by FTI personnel to ensure inventory foresters adhere to the cruise specifications and quality expectations.  The audit parameters are also included in the inventory cruise specifications.  Data will be compiled and estimates calculated by estimating product volumes through FTI’s SiMS system.  It will be possible to evaluate pre-inventory database values versus inventory estimates for each of the 242 stands selected if that is desired.

Table 6.  Inventory selected stands summary by Strata.

	
				
	Strata
	N_Stands
	N_Plots
	N_NetAcres

	PPN_UT_15-19
	54
	1,272
	2,907

	PPN_TH_15-19
	26
	607
	1,532

	PPN_UT_20-24
	4
	100
	247

	PPN_TH_20-24
	27
	616
	1,403

	PPN_UT_25+
	5
	124
	240

	PPN_TH_25+
	50
	1,480
	3,358

	NPN_20+
	18
	316
	986

	NHD_20+
	58
	981
	3,034

	 
	242
	5,496
	13,706

Two-stage stratified list sampling is an efficient inventory method when the objective is an estimate of forest level value.  It does not provide an estimate of every stand, but in many acquisition situations the overall value is the value needed.  This efficient sampling design should be more widely used in acquisition inventories.

INVENTORY VERIFICATION CRITERIA

The inventory verification results will be compiled as follows:

Step 1: Estimate the Stand Level Volume for the Cruised Stands:

The raw data from the field will be imported into FTI’s SiMS system for the cruise workup (Appendix 1. SiMS2012_SystemInfo_20180906.pdf). The inventory design product specifications for pine and hardwood will be utilized from earlier in document (Table 1). Tons by product will be estimated for each tree in the raw data and expanded to a per acre basis for each point. Estimated product tons per acre for each stand will be calculated using the standard methodology for point samples.  The tons per acre will be multiplied by the acres to determine the total stand level volumes. 

Step 2: Within Each Strata, Compare the Total Value of Cruised Stands to the Total Estimated Value of Cruised Stands based on Seller Data

For each stand the total volumes for the cruised stands will be multiplied by the unit values from the value table to determine the verification value of cruised stands.  Within each strata, this value will be summed for all cruised stands and this value will be compared to the estimated value of cruised stands based on seller’s volume data to determine a percent difference for each strata.  Baseline values were estimated from the seller provided volumes expanded by acres and stumpage prices for a property level value of $22,588,376 (Table 7).  

Table 7.  Property level summary values by products and values for the CTT Southwest Property.

	
			
	Products
	Tons
	Value

	PTOP_T + PPWD_T
	[***]
	$        [***]

	PCNS_T
	[***]
	$        [***]

	PSAW_T
	[***]
	$        [***]

	ALL PINE
	[***]
	$      [***]

	 
	 
	 

	HPWD_T
	[***]
	$        [***]

	HSAW_T
	[***]
	$        [***]

	ALL HARDWOOD
	[***]
	$        [***]

	 
	 
	 

	ALL TONS
	      [***]
	 $   [***] 

Step 3: Expand the Value Comparison for the Cruised Stands within Each Strata to the Entire Strata:

For each strata, the Percent Difference for the cruised stands within the strata will be applied to all stands included within the strata.  For example, if the verification value of cruised stands for the 50 stands cruised in the PPN_TH_25+ is found to be 108% of the 

estimated value for the same 50 stands using seller data, then a 108% value adjustment will be applied to all of the 88 stands within this strata.  (At the strata level, these adjustments will be applied without regards to the 3% threshold that will be used for the overall comparison).

Step 4:  Sum the Strata Level Results to get the Timber Verification Inventory Value of the Property:

All eight strata will be compiled using the same methodology for adjustment.  The sum of these adjusted values for the eight strata will be the Timber Verification Inventory Value.  The Timber Verification Inventory Value for all stands will be compared to the Total Estimated Merchantable Timber Value from the value table to determine the purchase price adjustment, if required. 

Borders, B. E., B. D. Shiver, and M. L. Clutter.  2005.  Timber Inventory of Large Acreages
Using Stratified Two-Stage List Sampling.  South. J. Appl. For.  29(3): 152-157.

Cochran, W. G.  1977.  Sampling techniques, 3rd Edition.  John Wiley & Sons, New York, 428 p.

DeVries, P. G.  1986.  Sampling theory for forest inventory.  Springer-Verlag, New York.  399 p.

Shiver, B. D. and B. E. Borders.  1996.  Sampling techniques for forest inventory.  John Wiley & 
Sons, New York, 356 p.

FIA INVENTORY VERIFICATION
CRUISE INSTRUCTIONS
SEPTEMBER 6, 2018

PREPARED BY:
FORESTECH INTERNATIONAL
P.O. BOX 1819
WATKINSVILLE, GEORGIA 30677

Table of Contents

INVENTORY1
Cruise Design1
DATA DELIVERY3
GENERAL INSTRUCTIONS4
Navigation4
Plot Monument4
Plot Type and Plot Size4
Stand Level Data6
Stand Level Attributes recorded in Microsoft Excel template7
DATA COLLECTION WITH TCRUISE 9
Plot Level Data9
Plot Identification collected with TCruise (Screen 1)9
Plot Level Attributes collected with TCruise (Screen 2)10
Tree Level Data11
Tree Level Attributes collected with TCruise (Screen 3)12
Stopper Heights14
Site Tree Designation15
Plot Irregularities16
Different Forest Type16
Unmapped SMZ16
Plot Falls outside Stand Boundary16
Unmapped Utility Corridors / Roads16
Non-Stocked Areas16
Edge Plots16
Dropped Plots17
Mistyped Stands17
Do not cruise17
Cruise17
TCruise Error Checks Setting17
QUALITY CONTROL19
Appendix A - BAF 10 Limiting Distance Table21
Appendix B - BAF 15 Limiting Distance Table22
Appendix C - BAF 20 Limiting Distance Table23
Appendix D - DBH Measurements24
Appendix E - Crown Classes25
Appendix F - Estimating 4 Inch Top in Hardwood Trees with Decurrent Branching26
Appendix G - Hardwood Groupings27
Noncommercial species to be considered in woody competition assessment27

INVENTORY
Overall objectives are to provide stand level assessments and to collect accurate plot and tree level data. ForesTech (FTI) provides digital copies of location maps (e.g. overview map, tract maps, and stand maps) and shapefiles. Inventory foresters are expected to record plot and tree level data using TCruise software. FTI provides the TCruise templates (TCC files). Stand level assessments will be recorded using the provided Microsoft Excel template (FTI_Stand_Template.xlsx). Contractors must use a GPS device to navigate to pre-numbered plots using the coordinates provided by FTI.
The document defines cruise design, stand level data to summarize, plot attributes and tree measurements to capture at each sample point, and how to handle plot irregularities. Screenshots of the TCruise templates, limiting distance tables, tree measurement diagrams, and audit expectations are provided.

Cruise Design
		
	•
	Sampling Intensity - Excel document, StandLister.xlsx, provides detail for individual stands.

		
	•
	Sampling Protocol

		
	a. 
	All stands within a strata must use the same prism throughout strata, no exceptions.

	
				
	Strata
	StrataOrder
	PlotType
	PlotSize

	PPN_UT_15-19
	1
	BAF
	20

	PPN_TH_15-19
	2
	BAF
	10

	PPN_UT_20-24
	3
	BAF
	20

	PPN_TH_20-24
	4
	BAF
	15

	PPN_UT_25+
	5
	BAF
	20

	PPN_TH_25+
	6
	BAF
	15

	NPN_20+
	7
	BAF
	15

	NHD_20+
	8
	BAF
	15

		
	•
	DBH

		
	a.
	Tally ALL PINE 3.6” (4” class) and greater in 1” DBH classes

		
	b.
	Tally ALL HARDWOOD 4.6” (5” class) and greater in 1” DBH classes

		
	•
	Tree Quality Index (TQI) - TQI (1, 3, or 4) will be utilized to determine a stem’s future potential.

		
	•
	Height Measurements

		
	a.
	PINE - Total height to nearest foot. Minimum of 30 total heights (minimum of two per plot) per stand to be measured. This includes one site index tree per plot.

		
	b.
	HARDWOOD - Heights measurements to 4” top to nearest foot. All hardwood stems tallied require a 4” top height. No hardwood site trees to be measured.

		
	•
	Stopper Heights (sawtimber and pulpwood) - Each stem should be assessed for stoppers. Measure stoppers to nearest foot interval for all trees. 

		
	a. 
	Minimum Lengths

		
	i.
	Sawtimber potential stems

		
	1.
	Pine - Each tallied tree should have a minimum of 16’ of clear log in the first 24’ and have sawtimber potential.

		
	2.
	Hardwood - Each tallied tree should have a minimum of 16’ of clear log (above butt swell).

		
	ii.
	Always pulpwood stems - No minimum length required. No sawtimber stopper allowed. 

DATA DELIVERY
Completed data to be uploaded daily. FTI will only accept completed stands. A “Dropbox” account will be available to upload completed data sets.
File naming: StandName_PlotType&PlotSize_CruiserInitials_PlotCount.tce 
Example: BD7061-0338_BAF 15_RDC_48.tce
Data submissions to include:
		
	•
	TCD and/or TCE files

		
	•
	Stand Template Excel spreadsheet (FTI_Stand_Template.xlsx) - Professional comments for each stand are required for payment.

		
	•
	Completed stand maps (only ones with annotations).

		
	•
	Waypoint file.

From time to time cruisers are given options on sample sizes (e.g. BAF 10, 15 or 20) for different stand types; therefore, FTI has applied three (3) ways to assure that the correct sample size is being identified for processing.
		
	1.
	The cruiser selects the appropriate TCruise TCC file. The parameters are set to the BAF selection that the cruiser chooses.

		
	2.
	The TCE file name includes the plot type and plot size in its title.

		
	3.
	The Microsoft Excel Template is completed by the cruiser after the stand is inventoried and the cruiser fills in the plot type and plot size used.

A work order will be provided that details zip folder names for uploaded files. If maps cannot be sent electronically, please mail them to:
ForesTech International  
1800 Hog Mountain Road  
Building 600, Suite 101  
Watkinsville, GA 30677 

GENERAL INSTRUCTIONS

Navigation
Inventory foresters are required to use GPS navigation to locate sample plots. A 33 foot tolerance from desired plot location is allowed. For sample points outside tolerance, cruisers are required to record and provide new coordinates for purposes of relocation.
With different navigation software (SOLO Forest) and hardware available, FTI require inventory foresters to use available versions that log exact coordinates where the sample plot is taken.

Plot Monument
Orange or pink vinyl flagging (fluorescent) is requested to be used in this cruise. Identify the exact plot center with a ground flag by exposing bare soils and staking a flag in the ground leaving 12”-18” left visible (pin flags are the preferred marking method for centers but ground flags are acceptable if installed appropriately). Tie a vertical flag at eye-level or higher as close to plot center as possible. Write cruiser initials (3 letters) and point number on the vertical flag. (Ex: RDC 100) Failing to correctly monument point (i.e. missing or inadequate flagging) can result in deductions during an audit.
		
	•
	Plantations:

		
	a.
	Double-band one dominant/co-dominant tree on the plot to represent a site index tree. Tree selected should be the dominant species in the stand and represent the stand age. Use this tree as the first tally tree.

		
	b.
	Single-band additional pine trees to represent height trees. These trees should also be the dominant species and represent the stand age.

		
	•
	Natural Stands:

		
	a.
	Double-band one dominant/co-dominant pine tree on the plot to represent a site index tree. Tree selected should be the dominant pine species in the stand and representative of the stand age. If no pine is available then double-band a dominant/co-dominant crown class tree as close to plot center as possible. Use the double banded tree as the first tally tree on the plot.

		
	b.
	Identify additional pine height trees in natural stands with a single band of flagging. No need to identify hardwood trees with flagging (unless tally begins with a hardwood tree).

		
	•
	Clockwise Tally:

		
	a.
	After recording the first measured tree (identified with double flagging), move in a clockwise manner around the plot recording tree data.

		
	b.
	If a tree is tallied out of order, please note in the TNote box with “ooo” to signal that the tree was tallied out of order. 

Plot Type and Plot Size
Cruisers should load the appropriate TCC file for the intended plot type and size of the stand to be inventoried. Note, TCC parameters are reflected in their respective names (origin, plot type, plot size) and should be loaded for each stand individually (i.e. each stand should have its own TCC file loaded). Once a TCC file is loaded, cruisers should rename and save the file to reflect the stand that is being inventoried. Refer to page 2 of this document for file naming.
FTI stand maps provide history detail with the intended plot type and plot size; however, stand history may not be current. For example, an expected unthinned plantation has been recently thinned. Furthermore, the unexpected thinned plantation needs to be updated in the Excel template that accompanies the TCE file submitted.
Both fixed radius and prism plots are utilized.
Table 1. Sampling protocol for intended strata type.

	
				
	Strata
	StrataOrder
	PlotType
	PlotSize

	PPN_UT_15-19
	1
	BAF
	20

	PPN_TH_15-19
	2
	BAF
	10

	PPN_UT_20-24
	3
	BAF
	20

	PPN_TH_20-24
	4
	BAF
	15

	PPN_UT_25+
	5
	BAF
	20

	PPN_TH_25+
	6
	BAF
	15

	NPN_20+
	7
	BAF
	15

	NHD_20+
	8
	BAF
	15

*No minimum tree requirement for BAF 10.
For a variable radius plot, the limiting distance is calculated using the tree’s DBH and a plot radius factor (PRF). This measured distance is compared to the calculated limiting distance (DBH*PRF) for that tree. If the measured distance is less than or equal to the limiting distance, then the tree is counted. Refer to Appendix for limiting distance tables. To determine if a candidate tree is in or out of a both plot types, the cruiser measures the horizontal distance from the plot center to the tree’s pith.
Table 2. Basal area factor and corresponding plot radius factor to determine limiting distance calculations.

	
		
	Basal Area Factor
	Plot Radius Factor

	10
	2.750

	15
	2.245

	20
	1.944

Limiting distance (feet) = Diameter Breast Height (DBH inches) * PRF

If slope is encountered and influences plot sampling then refer to Table 3 for critical distance measurements.
Table 3. Slope Correction Table

	
						
	% Slope
	Correction Factor
	% Slope
	Correction Factor
	% Slope
	Correction Factor

	10
	1.005
	45
	1.097
	80
	1.281

	15
	1.011
	50
	1.118
	85
	1.312

	20
	1.020
	55
	1.141
	90
	1.345

	25
	1.031
	60
	1.166
	95
	1.379

	30
	1.044
	65
	1.193
	100
	1.414

	35
	1.059
	70
	1.221
	 
	 

	40
	1.077
	75
	1.250
	 
	 

Example:
BAF     =    10
DBH    =    20.0
Slope    =    20%
	
		
	Slope Corrected Plot Radius Factor
	= Slope Correction Factor * Plot Radius Factor = 1.020 * 2.750  
= 2.805

	Limited Distance
	= Slope Corrected Plot Radius Factor * DBH  
= 2.805 * 20.0 = 56.1 feet

Stand Level Data
Stand level data will be recorded in a separate Microsoft Excel template provided in the cruiser’s project folder. The template is to summarize the stand, post-cruise. Cruisers should verify a stand’s cover type, stand lines, non-productive areas, age, etc. Any discrepancies or issues should be notated on the stand maps as well as noted in the Stand Template ‘Comments’ field (FTI_Stand_Template.xlsx). Stand maps should be submitted if edits are necessary.
The Stand Template is a required submission and is needed for processing. DATA SUBMISSIONS ARE INCOMPLETE WITHOUT STAND TEMPLATE AND ARE REQUIRED FOR PAYMENT. Most cells can be filled using the drop down selections. FTI requires stand comments. The ‘Comments’ field is intended for cruisers to expand on what was seen in the field. Even if the stand is “normal”, commenting about a stand’s overall health and tree form within the stand is good information to pass along. Noting crown development, site conditions, access roads, insect damage, thinning potential, understory species, logging damage, site cleanup, SMZ’s, etc. are beneficial to forest management. Each column heading in the Stand Template is further explained below. (Figure 1)

Stand Level Attributes recorded in Microsoft Excel template

	
										
	ID
	StandID
	CruiseDate
	Cruiser
	Stand Type
	PlotType
	PlotSize
	N_Plots
	Comments
	GISEdits

	1
	T20120-0050
	2/27/2017
	FTI-MAA
	Natural - Unthinned
	BAF
	15
	25
	The stand was totally flooded. Coul
	No

	2
	T20120-0973
	2/27/2017
	FTI-MAA
	Planted - Thinned
	BAF
	10
	11
	Trees look good, however, the stand
	No

	3
	T20120-0969
	2/27/2017
	FTI-MAA
	Planted - Thinned
	BAF
	20
	12
	Trees look good, however, the stand
	No

	4
	T11210-0402
	3/1/2017
	FTI-MAA
	Natural - Unthinned
	BAF
	15
	5
	Stand is very steep, hard to access,
	No

	5
	T11210-0503
	3/1/2017
	FTI-MAA
	Natural - Unthinned
	BAF
	15
	5
	Beautiful stand, park like, very tall
	No

	6
	T11456-0202
	3/1/2017
	FTI-MAA
	Planted - Thinned
	BAF
	15
	3
	Small stand, harvested really close
	No

Figure 1. Example stand data entry in Stand Template.
		
	•
	ID - Denotes entry number.

		
	•
	Stand ID - StandName.

		
	•
	CruiseDate (Cruise Date) - Enter the cruise date for the stand. If the stand is cruised over multiple days, use the last date cruiser visited the stand in the month/day/year format (Ex. 8/28/2018).

		
	•
	Cruiser (Cruiser) - Enter the “contractor-cruiser” abbreviation for the plot. The format is 7 characters total in length. Three character abbreviation for the contractor name and the cruiser’s three initials. Separate contractor and cruiser with a hyphen (Ex: FTI-RDC). If multiple cruisers are within a single stand, enter each cruiser’s 7 character abbreviations separated with a comma (only one stand entry needed).

		
	•
	Stand Type - Select from the drop down menu the stand type cruised:

		
	•
	Planted - Thinned 

		
	•
	Planted - Unthinned 

		
	•
	Natural - Thinned 

		
	•
	Natural - Unthinned

		
	•
	PlotType (Plot Type) - Enter the three letter abbreviation plot type selected for the inventory cruise. (BAF)

		
	•
	PlotSize (Plot Size) -BAF used (10, 15 or 20).

		
	•
	N Plots (Number of Plots) - Enter the total number of inventory plots collected during the cruise. If multiple cruisers are within a single stand, enter only one stand record in spreadsheet and provide the total plot count for the stand.

		
	•
	Comments (Comments) - Enter comments for each stand to provide information for future management. Notes about beetles, access, stand boundaries, dropped plots, poor logging, etc. are all topics worthy of comment. One to two sentences.

		
	•
	GIS Edits - Select ‘Yes’ or ‘No’ to indicate if edits to the shapefiles are needed due to stand delineation issues encountered. Completed stand map is required with data submission if edits are required.

		
	•
	

DATA COLLECTION WITH TCRUISE 

Plot Level Data
Cruisers will navigate to a predetermined plot location with a GPS device and locate the plot center. There are two levels of plot data collection in TCruise: plot identification (screen 1) and plot assessment attributes (screen 2).

Plot Identification collected with TCruise (Screen 1)
For inventory foresters using Real Time Inventory, the Plot Info fields will populate automatically once the plot is located within the tolerance desired. For cruisers navigating with alternative GPS hardware, they will need to fill the plot identification fields manually. Template examples of the plot identification are shown in Figure 2 below.
TCruise Plot Info Screen (Screen 1)

Figure 2. TCruise plot information screen (screen 1).
		
	•
	Stratum (StandName) - Input the stand number provided in the GIS database from the StandName field for the stand. The StandName is used to map the stand to the GIS database.

		
	•
	Plot ID (Plot identification number) - Enter the appropriate plot identification provided by PCH personnel. The value is this field should only be an integer number, no text or characters are allowed.

		
	•
	Cruiser (Cruiser) - Enter the “contractor-cruiser” abbreviation for the plot. The format is seven (7) characters total in length, including the dash. Three character abbreviation for the contractor name and the cruiser’s three initials. Separate contractor and cruiser with a hyphen (Ex: FTI-RDC).

		
	•
	Custom Info (Plot Attributes) - Opens Screen 2 (Plot Attributes).

		
	•
	OK - Opens Screen 3 (Tree Attributes).

Plot Level Attributes collected with TCruise (Screen 2)
After the waypoint is logged and identification recorded, the cruiser will assess and select the attributes for each sample point. Refer to Figure 3 for example data entry required. Explanations for each attribute follow. These must be recorded for each sample point before logging tree data.
TCruise Plot Info Screen (Screen 2)

Figure 3. Custom plot info screen. (Screen 2)
		
	•
	Plot Status - Indicates plot status/location. Selections other than “Normal” may be necessary when the plot does not conform to normal stand conditions. Please provide a comment in PNote that may help explain a selection that deviates from the default setting “Normal”.

		
	a.
	Normal - (Default) - No attributes in the list apply to the plot. Normal plot location identified and installed.

		
	b.
	Offset - Selection made if the plot had to be moved. For example, a plot may need offsetting for safety reasons. If a plot is intentionally moved outside the 33 feet tolerance, then please provide the reason for the offset and the new location as it relates to the original plot coordinates in PNote.

		
	c.
	Road - Selection for a plot that falls in an unmapped road. Describe road type (e.g. gravel, ATV, etc.) and enter width (in feet) (Ex: “ATV 10FT”)

		
	d.
	Deck - Plot fell in an unmapped deck. Enter approximate rectangular dimensions (in feet). (Ex: “150X200”)

		
	e.
	Cut - Plot fell in an unmapped cut area. Enter approximate rectangular dimensions (in feet). (Ex: “150X200”)

		
	f.
	Beaver - Plot fell in an area affected by beaver activity.

		
	g.
	Sensitive - Plot fell in an unmapped SMZ or plot fell in an area where grades are erodible.

		
	h.
	EndSpecies (Endangered Species) - Plot either included or was in view of an endangered species (includes both flora and fauna). Please comment in PNote.

		
	i.
	Dropped - Plot was not sampled. Notate in PNote and provide a comment in the Stands Excel Template.

		
	j.
	Other - Category used if none of the above apply. Please use PNote to explain.

		
	•
	NoTally - Answer the question, “Is this plot a ‘No Tally’?” (Yes or No) (Default ‘No’)

		
	•
	Woody (Woody Competition) - In pine plantations, an evaluation of the woody competition growing on each plot will be assessed (Table 4). Include both pine and hardwood, below the minimum diameter thresholds, in the woody assessment. Note, all stems will be considered woody competition if they fall below the lower diameter threshold for the stand, but certain noncommercial species will always be considered woody competition regardless of diameter size (Appendix H).

Table 4. Woody competition level assessment.

	
		
	Comp Level
	Measurement

	Low
	0-1 woody competitors per planted tallied stem

	Mod
	2-3 woody competitors per planted tallied stem

	High
	4 or more woody competitors per planted tallied stem

		
	•
	PNote (Plot Note) - Plot comments.

Tree Level Data
Using the TCruise template (TCC file) selected at the stand level, tree data will be captured. Several attributes will be recorded for each sample tree. Cruisers will identify tree species, measure DBH’s, grade a tree’s future potential using a tree quality index scale, and measure heights. Cruisers will verify and record age for site index trees. Remnant trees are categorized and tallied. Also, when applicable, the cruiser selects a defect from a dropdown menu. Figure 4 shows example tree entries in TCruise. Further discussion about each attribute follows the screenshot.

Tree Level Attributes collected with TCruise (Screen 3)

Figure 4. TCruise tree information screen (screen 3).
		
	•
	Spec (Species) - Record species for every tree tallied. Default code is LB (Loblolly Pine). There is no differentiation between Planted and Natural Pine.

		
	a.
	Pine Plantations - Hardwood tally is not species specific, rather tally by group Hard Hardwood (HH) or Soft Hardwood (HS) (Appendix G).

		
	b.
	Natural Stands - There are several natural species selections available in Table 4. However, if a particular hardwood species is not available in the table, please use a group code of Hard Hardwood (HH) or Soft Hardwood (HS) (Appendix G). 

Table 4. Species List.
	
		
	Pine Species List

	Code
	Species

	LB
	Loblolly Pine

	SL
	Slash Pine

	LL
	Longleaf Pine

	SP
	Sand Pine

	VP
	Virginia Pine

	SF
	Shortleaf Pine

	OP
	Other Pine

	
								
	Hardwood Species List

	Code
	Species
	 
	Code
	Species
	 
	Code
	Species

	HH
	Hard Hardwood
	 
	EL
	Elm
	 
	SG
	Sweetgum

	HS
	Soft Hardwood
	 
	HB
	Hackberry
	 
	SO
	Shumard Oak

	AS
	Ash
	 
	HK
	Hickory
	 
	SY
	Sycamore

	BE
	Beech
	 
	NO
	Nuttall Oak
	 
	WA
	Water Oak

	BG
	Blackgum
	 
	OO
	Overcup Oak
	 
	WI
	Willow Oak

	CD
	E Red Cedar
	 
	OR
	Other Red Oak
	 
	WL
	Walnut

	CH
	Black Cherry
	 
	OW
	Other White Oak
	 
	WO
	White Oak

	CO
	Cherrybark Oak
	 
	PO
	Post Oak
	 
	WT
	Water Tupelo

	CY
	Cypress
	 
	QM
	Chestnut Oak
	 
	YP
	Yellow Poplar

	EH
	Hemlock
	 
	RO
	Red Oak
	 
	 
	 

		
	•
	DBH (Diameter Breast Height) - Enter DBH in 1” classes for each tree tallied. Measure and record all pine 3.6” and greater, (4” class). Measure and record all hardwood 4.6” and greater, (5” class). Encountering stem variability is not uncommon when measuring a tree’s DBH. A diagram is included for ways to measure DBH on trees with irregularities (Appendix D).

		
	•
	TQI (Tree Quality Index) - Enter tree TQI (1, 3, or 4) on each tree tallied. (Default ‘1’). Tree Quality Index is assigned to all sample trees. There are three different values which are independent of time, size, or position in the canopy. The purpose of this designation is not only to assess current quality or form but to also consider the future for growing volume as well. Tree Quality refers to the form of the entire tree and is NOT to be confused with log quality. TQI is assigned to each tree based on its potential use now or in the future and is not based on its current size. This is very important to keep in mind as you are determining the appropriate TQI value for a given tree. For example, a very high quality tree that is currently a 6” DBH tree should be assigned TQI = 1 even though it does not currently qualify as sawtimber in the market place. The three different categories used are as follows:

		
	a.
	Tree Quality 1: Sawtimber potential. Tree has good form and quality consistent with producing a sawlog now or within the rotation cycle of the stand. These trees need not be perfect and can contain some minor defects including sweep, crook, knots, etc. A pine stem should have the potential to produce at least one 16 foot log within the first 24 feet of the stem. A hardwood stem should have at minimum 16 feet of clear log above the butt swell. A sawtimber stopper height (SST) should be determined by the cruiser when the sawlog portion of the stem is ‘stopped’ by any single or combination of defects that preclude the stem from being used for sawn material above that point.

		
	b.
	Tree Quality 3: Always pulpwood. These trees have poor quality and/or some type of defect that will limit them to always being a pulpwood product. Using this code will flag the tree as always pulpwood to be utilized for fiber volume only. TQI should not be confused with pulpwood stopper. A TQI 3 code quantifies the entire stem as pulpwood. A pulpwood stopper height (PST) should be determined by the cruiser when one or more defects will preclude the stem from being used for fiber above that defect (e.g. broken top).

		
	c.
	Tree Quality 4: Cull, trees that are not capable of producing any product. These trees usually have extremely poor form or some type of major defect. Cull trees are not dead trees. Do NOT tally dead trees.

		
	•
	HGT (Height) - Enter tree height to the nearest foot. The ‘HGT’ field in the TCruise template will be used to record the height of candidate trees. ‘HGT’ measurements vary based on species (pine or hardwood) (Table 5). The ‘HGT’ field in the TCruise templates will be utilized to accept both the total height measurements for pine and the 4” height measurements for hardwood trees.

Table 5. Site Tree and Height Tree (HGT) measurements by species and DBH.

	
					
	Species Group
	DBH (in.)
	Tree Classification
	Num of Height Trees per Plot

	Site Tree Measurement
	Height Tree Measurement

	Pine
	> 3.6
	Total
	Total
	See Stand Map

	Hardwood
	> 4.6
	NA
	4” DOB*
	ALL

*Refer to Appendix F for 4” top diagram
Stand maps give reference to a number of ‘Height Trees’ to be measured. This number applies to only PINE and informs a cruiser of the number of sample pine heights to measure on each plot. For example, the map for a planted pine stand may state that two (2) ‘Height Trees’ should be collected on each plot. This means, that in addition to the ‘Site Tree’ height measurement, one more height will need to be collected on each plot for a total of two (2) height measurements for each plot. Cruisers should target trees that are relatively straight and free of major defect (i.e. forks and broken tops). Also, Pine ‘Height Trees’ should represent the varying diameter classes represented in the stand.
Note, ‘Height Trees’ does not apply to hardwood trees. All hardwood trees, whether they are in plantations or natural stands, require height measurements. The only time a hardwood tree would not have a height measurement is if it has a TQI value 4, cull.
If a pine tree other than the dominant species in the stand (both plantation and natural stands) is encountered in the plot then the first occurrence of this “Other” pine species requires a height measurement. For example, when cruising a planted loblolly stand a natural shortleaf pine is tallied then a height measurement is required (only the first occurrence). 

Stopper Heights
Each sample tree should be assessed for stoppers (sawtimber and/or pulpwood). For example, a pine height tree may require only one height which will be a total height measurement, but a hardwood height tree may have a sawtimber stopper height, a pulpwood stopper height, and a 4” DOB height measured because of a forked bole and excessive branching in the crown (Appendix F).
		
	•
	SST (Sawtimber Stopper Height) - Enter height to nearest foot where sawtimber merchantability ends. The material above this point will not be used for solid wood material. The minimum length is 16 feet of usable sawtimber potential in the first 24 feet of the tree. TQI 1 trees may have an SST measurement; however, TQI 3 trees should not have an SST measurement because these trees will never have sawtimber potential.

		
	•
	PST (Pulpwood Stopper Height) - Enter height to nearest foot where pulpwood merchantability ends. The pulpwood stopper height is the height to the nearest foot where material above this point cannot be used for pulpwood (e.g. broken top pines or decurrent branching in hardwood crowns (Appendix F)). TQI 1 trees and TQI 3 trees can both have a PST.

Site Tree Designation
One PINE site index tree per plot is required in both pine plantations and natural stands. The site index tree chosen should be a dominant or co-dominant crown class sample and represent both the dominant pine species in the stand as well as represent the stand’s age (i.e. not a remnant tree). The tree selected should represent the “site” and preferably free of disease or any major defects (i.e. forks, broken tops, excessive branching, etc.). For all site index trees, record its AGE and its TOTAL HEIGHT in the TCruise template.
Note: The dominant pine species selected for the site tree should be used throughout the stand (i.e. do not mix species for site index trees).
		
	•
	Age - Enter age for ONLY the “Site Index Tree” in years. Stand age is represented from the site tree’s age. Planted pine ages will be on the respective stand map and site trees do not need to be cored unless the cruiser disagrees with the age printed. Verify stand age in natural stands as well.

If the cruiser disagrees with the stand age then coring the site tree at breast height and recording the new age is needed. Please do not replace core in the bore hole, but rather tie the core to the site tree flagging on the trunk. Record site tree ages in the Age field of the TCruise template. A minimum of five (5) site trees will need to be cored for age. Notate in the TNote field of the TCruise template that the tree was cored. Site tree ages on other plots can be estimated.
Note: Recording an age is the only identifier for the Site Index Tree in the template. Please do not omit.
		
	•
	Remn - Remnant refers to a pine tree left from a previous harvest. This tree represents an older age class in a planted stand and needs identifying. If tallied, the cruiser classifies this stem in the ‘Remn’ field of the TCruise template with a “Yes” indicator. Indicator is applicable to only pine plantations.

		
	•
	Defect - Select from the list the tree defect that represents the downgrade of the stem or influences a ‘HGT’ measurement (Table 6). Note, for any tree that is “jump/junk butted” record the measurement, in feet, in the TNote column.

Table 6. Abbreviations for tree defects.

	
				
	Code
	Tree Note
	Code
	Tree Note

	CR
	crook
	BT
	broken top

	SW
	sweep
	JB
	jump butt

	RU
	rust
	WH
	whorl

	FK
	fork
	OT
	other

		
	•
	TNote - Tree level comment.

Plot Irregularities
Due to inconsistencies with shapefile stand line edits, cruisers may encounter plots that do not coincide with map layers. Plots may fall entirely out of stand boundaries, in unmapped SMZs, cut areas, etc. We have tried to be proactive and alleviate as much as possible before the inventory but undoubtedly situations will arise. The following examples will answer ways best to handle such encounters; however, if a cruiser gets to an area and cannot determine the best action on how to handle the plot, then please contact ForesTech personnel. With any of these situations, please use your stand maps to notate edits, record new GPS coordinates and use the “Offset” selection in the PlotStatus field of the TCruise template.

Different Forest Type
If sample plots fall in an unmapped area within the stand that is a different forest type than the main stand being cruised, then measure the plots. Use the PNote field to comment as well as make stand map edits. Use the same plot type/size as the main stand.

Unmapped SMZ
Collect the plot where it falls as it relates to an unmapped or mistyped SMZ. These riparian sample areas will be included as valid plots and should not be offset. Use the PNote field to comment as well as make stand map edits. Use the same plot type/size as the main stand.

Plot Falls outside Stand Boundary
If a plot falls clearly outside actual stand boundaries move the plot into the appropriate stand type. Use ‘Offset’ in the PlotStatus field of the TCruise template and record new coordinates if location exceeds the 33 feet tolerance. Move far enough in the stand to not take an edge plot.

Unmapped Utility Corridors / Roads
If a plot falls on the edge or entirely within unmapped transmission lines, ROWs, etc. that are encountered within a stand, then consider these areas as parts of the stand and take the sample plot. Please add a Plot Comment that the plot fell in a utility corridor, etc.

Non-Stocked Areas
If sample plots falls in an area that is non-stocked (including clearcuts), record the plots in the area as ‘No Tally’ plots. Measure all remaining forested plots in the stand. Use the No Tally indicator and the PNote field in the TCruise template to explain. Please monument plot center.

Edge Plots
If a plot falls at the edge of a stand boundary and prevents a plot from being sampled in its entirety, then move the plot to be able to capture a full sample. If the plot needs to be offset by more than the 33 feet allowable tolerance please capture the new GPS coordinates.

Dropped Plots
Drop plots only for safety concerns. Please note why the plot was dropped.

Mistyped Stands
If the entire stand is mistyped, then use the following protocol. Cruisers need to make stand map edits and contact ForesTech with questions if they are uncertain on how to proceed.

Do not cruise
		
	1.
	Clearcuts

		
	2.
	If the stand was intended to be a planted stand and turns out to be a natural stand.

Cruise
		
	1.
	If a pine plantation was noted as an unthinned (UT) stand and intended to be cruised but was discovered to be thinned (TH). Document in the Stand Template Excel document.

		
	2.
	If the stand was expected to be a natural stand and turns out to be a planted stand - use cruise protocol for forest type. Consult with FTI for sampling intensity.

		
	3.
	If the stand was a mistyped natural stand. Ex: stand was intended to be a mature Pine Hardwood stand and turns out be a mature Bottomland.

TCruise Error Checks Setting
In order for TCruise to accept sawtimber stopper height measurements on smaller diameter stems, the error check setting for merchantable height - top should be unchecked. After loading the TCruise template at the stand level, select ‘Opts’ then ‘Error Checks’. Next, deselect ‘Merchantable height - top’ (Figure 5).

TCruise Error Check

Figure 5. TCruise Error Checks setting.

QUALITY CONTROL
Check cruising will follow the scoring system in Table 7. A cruiser’s understanding of the job control document will be scrutinized. Check cruising is to be used as a teaching tool to ensure that the cruise instructions and measurement standards are understood and the data collection is consistent from cruiser to cruiser.
Table 7. Check cruising tolerances for accepting/rejecting a cruiser’s work.

	
						
	Stand Penalties
	Penalty1
	Penalty2
	Tolerance
	Measurement
	Additional Penalty Comments

	Plot Type and Size Selection1
	10
	-
	-
	N/A
	None

	
						
	Stand Penalties
	Penalty1
	Penalty2
	Tolerance
	Measurement
	Additional Penalty Comments

	Plot Type and Size Selection1
	10
	-
	-
	N/A
	None

	Plot Flagged Correctly
	5
	-
	-
	N/A
	None

	Woody Comp
	2
	-
	1
	N/A
	None

	
						
	Stand Penalties
	Penalty1
	Penalty2
	Tolerance
	Measurement
	Additional Penalty Comments

	MissedAdded Tree
	8
	-
	0.3
	feet
	None

	SpeciesPenalty
	3
	-
	-
	species
	None

	DBH
	2
	-
	0.4
	inches
	None

	TQIPenalty
	1
	-
	-
	N/A
	None

	Missed/Add Saw Stop
	2
	-
	5
	feet
	None

	Missed/Add Pulp Stop
	2
	-
	5
	feet
	None

	Heights (Pine Site Trees)
	2
	0.5
	3
	feet
	0.5*ft outside tolerance

	Heights (All Pine)
	1
	0.25
	5
	feet
	0.25*ft outside tolerance

	Heights (Hardwoods)
	1
	0.25
	8
	feet
	0.25*ft outside tolerance

	SiteTreeAge
	1
	-
	2
	years
	None

	Remn Penalty (Remnant)
	1
	-
	-
	Indicator variable
	None

1Plot Type and Size Selection - cruiser will be penalized if auditor disagrees with BAF selection. For example, cruiser selected a BAF20 in a thinned pine plantation and not able to average a minimum of 6 trees per plots. The check cruiser felt that a BAF10 should have been selected. Please use the comments in TCRUISE (PNote) to explain your decision process.
2Penalty 2 - this is an additional point penalty that applies if the recorded measurement is out of tolerance. For example, if the check cruise determines that a pine tree height is 10 feet off, the penalty would be 2.25 points. One point for being > 5 feet different plus 1.25 points (10’ - 5’ = 5’ x 0.25 points = 1.25 points).
Stands will be assessed based on a batch of three plots per stand. The total point deduction will be calculated on each plot. Then, the simple average of the point deduction is calculated across the three plot batch. This yields the average point deduction per plot. If there was a stand deduction, it is added to the average point deduction per plot. This yields the total point deduction for the stand. Using a scale of 100, if the total point value in the stand is > 80, the stand passes. Table 8 shows an example calculation. In the example, the average point deduction per plot = 17.2. There was no stand level penalty added, so the total point deduction for the stand = 17.2. The stand would pass since 100 - 17.2 = 82.8 which is > 80.
Table 8. Example Check Cruising Analysis

	
			
	Stand
	Plot
	Plot and Tree Penalties

	1
	1
	19.3

	1
	2
	24.3

	1
	3
	8.0

	Average Penalty
	17.2

	Stand Level Penalty
	-

	Total Penalty
	17.2

Check cruising is part of a larger quality control effort, which also includes the following:
		
	1.
	Sufficient training of all cruisers at the start of a project to ensure that the cruise instructions, measurement standards, and other protocols are understood, and that work will be consistent from cruiser to cruiser.

		
	2.
	Actions in the event of substandard work by any cruiser, including:

		
	a.
	On-site training of cruisers and review of the instructions and protocols.

		
	b.
	Return to cruised plots in the audited stand to redo some or all measurements.

		
	c.
	Removal of a cruiser from the project.

Work that is deemed as unacceptable will require the check-cruiser to decide how much of the cruiser’s work must be discarded and redone. To minimize the likelihood of rejecting a large amount of work, check cruising will be done frequently, and results will be shared with the cruiser in a timely manner.
In addition to the check cruising, we will also be reviewing the cruise data to determine the following:       
		
	1.
	Total height measurement distribution across pine tree diameter classes.

		
	2.
	Average number of trees per plot. This will be used to determine if too many or too few trees are being measured.

		
	3.
	Plantation age is consistent with inventory data.

Appendix A
BAF 10 Limiting Distance Table
Limiting Distance for Tree Inclusion w/ Point Cruising 
(BAF 10 Prism in Feet -- Multiplier Value of 2.750)
DBH Tenths of an Inch

	
											
	DBH
	0
	0.1
	0.2
	0.3
	0.4
	0.5
	0.6
	0.7
	0.8
	0.9

	0
	0.0
	0.3
	0.6
	0.8
	1.1
	1.4
	1.7
	1.9
	2.2
	2.5

	1
	2.8
	3.0
	3.3
	3.6
	3.9
	4.1
	4.4
	4.7
	5.0
	5.2

	2
	5.5
	5.8
	6.1
	6.3
	6.6
	6.9
	7.2
	7.4
	7.7
	8.0

	3
	8.3
	8.5
	8.8
	9.1
	9.4
	9.6
	9.9
	10.2
	10.5
	10.7

	4
	11.0
	11.3
	11.6
	11.8
	12.1
	12.4
	12.7
	12.9
	13.2
	13.5

	5
	13.8
	14.0
	14.3
	14.6
	14.9
	15.1
	15.4
	15.7
	16.0
	16.2

	6
	16.5
	16.8
	17.1
	17.3
	17.6
	17.9
	18.2
	18.4
	18.7
	19.0

	7
	19.3
	19.5
	19.8
	20.1
	20.4
	20.6
	20.9
	21.2
	21.5
	21.7

	8
	22.0
	22.3
	22.6
	22.8
	23.1
	23.4
	23.7
	23.9
	24.2
	24.5

	9
	24.8
	25.0
	25.3
	25.6
	25.9
	26.1
	26.4
	26.7
	27.0
	27.2

	10
	27.5
	27.8
	28.1
	28.3
	28.6
	28.9
	29.2
	29.4
	29.7
	30.0

	11
	30.3
	30.5
	30.8
	31.1
	31.4
	31.6
	31.9
	32.2
	32.5
	32.7

	12
	33.0
	33.3
	33.6
	33.8
	34.1
	34.4
	34.7
	34.9
	35.2
	35.5

	13
	35.8
	36.0
	36.3
	36.6
	36.9
	37.1
	37.4
	37.7
	38.0
	38.2

	14
	38.5
	38.8
	39.1
	39.3
	39.6
	39.9
	40.2
	40.4
	40.7
	41.0

	15
	41.3
	41.5
	41.8
	42.1
	42.4
	42.6
	42.9
	43.2
	43.5
	43.7

	16
	44.0
	44.3
	44.6
	44.8
	45.1
	45.4
	45.7
	45.9
	46.2
	46.5

	17
	46.8
	47.0
	47.3
	47.6
	47.9
	48.1
	48.4
	48.7
	49.0
	49.2

	18
	49.5
	49.8
	50.1
	50.3
	50.6
	50.9
	51.2
	51.4
	51.7
	52.0

	19
	52.3
	52.5
	52.8
	53.1
	53.4
	53.6
	53.9
	54.2
	54.5
	54.7

	20
	55.0
	55.3
	55.6
	55.8
	56.1
	56.4
	56.7
	56.9
	57.2
	57.5

	21
	57.8
	58.0
	58.3
	58.6
	58.9
	59.1
	59.4
	59.7
	60.0
	60.2

	22
	60.5
	60.8
	61.1
	61.3
	61.6
	61.9
	62.2
	62.4
	62.7
	63.0

	23
	63.3
	63.5
	63.8
	64.1
	64.4
	64.6
	64.9
	65.2
	65.5
	65.7

	24
	66.0
	66.3
	66.6
	66.8
	67.1
	67.4
	67.7
	67.9
	68.2
	68.5

	25
	68.8
	69.0
	69.3
	69.6
	69.9
	70.1
	70.4
	70.7
	71.0
	71.2

	26
	71.5
	71.8
	72.1
	72.3
	72.6
	72.9
	73.2
	73.4
	73.7
	74.0

	27
	74.3
	74.5
	74.8
	75.1
	75.4
	75.6
	75.9
	76.2
	76.5
	76.7

	28
	77.0
	77.3
	77.6
	77.8
	78.1
	78.4
	78.7
	78.9
	79.2
	79.5

	29
	79.8
	80.0
	80.3
	80.6
	80.9
	81.1
	81.4
	81.7
	82.0
	82.2

	30
	82.5
	82.8
	83.1
	83.3
	83.6
	83.9
	84.2
	84.4
	84.7
	85.0

	31
	85.3
	85.5
	85.8
	86.1
	86.4
	86.6
	86.9
	87.2
	87.5
	87.7

	32
	88.0
	88.3
	88.6
	88.8
	89.1
	89.4
	89.7
	89.9
	90.2
	90.5

	33
	90.8
	91.0
	91.3
	91.6
	91.9
	92.1
	92.4
	92.7
	93.0
	93.2

	34
	93.5
	93.8
	94.1
	94.3
	94.6
	94.9
	95.2
	95.4
	95.7
	96.0

	35
	96.3
	96.5
	96.8
	97.1
	97.4
	97.6
	97.9
	98.2
	98.5
	98.7

	36
	99.0
	99.3
	99.6
	99.8
	100.1
	100.4
	100.7
	100.9
	101.2
	101.5

	37
	101.8
	102.0
	102.3
	102.6
	102.9
	103.1
	103.4
	103.7
	104.0
	104.2

	38
	104.5
	104.8
	105.1
	105.3
	105.6
	105.9
	106.2
	106.4
	106.7
	107.0

	39
	107.3
	107.5
	107.8
	108.1
	108.4
	108.6
	108.9
	109.2
	109.5
	109.7

	40
	110.0
	110.3
	110.6
	110.8
	111.1
	111.4
	111.7
	111.9
	112.2
	112.5

Appendix B
BAF 15 Limiting Distance Table
Limiting Distance for Tree Inclusion w/ Point Cruising 
(BAF 15 Prism in Feet -- Multiplier Value of 2.245)
DBH Tenths of an Inch

	
											
	DBH
	0
	0.1
	0.2
	0.3
	0.4
	0.5
	0.6
	0.7
	0.8
	0.9

	0
	0.0
	0.2
	0.4
	0.7
	0.9
	1.1
	1.3
	1.6
	1.8
	2.0

	1
	2.2
	2.5
	2.7
	2.9
	3.1
	3.4
	3.6
	3.8
	4.0
	4.3

	2
	4.5
	4.7
	4.9
	5.2
	5.4
	5.6
	5.8
	6.1
	6.3
	6.5

	3
	6.7
	7.0
	7.2
	7.4
	7.6
	7.9
	8.1
	8.3
	8.5
	8.8

	4
	9.0
	9.2
	9.4
	9.7
	9.9
	10.1
	10.3
	10.6
	10.8
	11.0

	5
	11.2
	11.4
	11.7
	11.9
	12.1
	12.3
	12.6
	12.8
	13.0
	13.2

	6
	13.5
	13.7
	13.9
	14.1
	14.4
	14.6
	14.8
	15.0
	15.3
	15.5

	7
	15.7
	15.9
	16.2
	16.4
	16.6
	16.8
	17.1
	17.3
	17.5
	17.7

	8
	18.0
	18.2
	18.4
	18.6
	18.9
	19.1
	19.3
	19.5
	19.8
	20.0

	9
	20.2
	20.4
	20.7
	20.9
	21.1
	21.3
	21.6
	21.8
	22.0
	22.2

	10
	22.5
	22.7
	22.9
	23.1
	23.3
	23.6
	23.8
	24.0
	24.2
	24.5

	11
	24.7
	24.9
	25.1
	25.4
	25.6
	25.8
	26.0
	26.3
	26.5
	26.7

	12
	26.9
	27.2
	27.4
	27.6
	27.8
	28.1
	28.3
	28.5
	28.7
	29.0

	13
	29.2
	29.4
	29.6
	29.9
	30.1
	30.3
	30.5
	30.8
	31.0
	31.2

	14
	31.4
	31.7
	31.9
	32.1
	32.3
	32.6
	32.8
	33.0
	33.2
	33.5

	15
	33.7
	33.9
	34.1
	34.3
	34.6
	34.8
	35.0
	35.2
	35.5
	35.7

	16
	35.9
	36.1
	36.4
	36.6
	36.8
	37.0
	37.3
	37.5
	37.7
	37.9

	17
	38.2
	38.4
	38.6
	38.8
	39.1
	39.3
	39.5
	39.7
	40.0
	40.2

	18
	40.4
	40.6
	40.9
	41.1
	41.3
	41.5
	41.8
	42.0
	42.2
	42.4

	19
	42.7
	42.9
	43.1
	43.3
	43.6
	43.8
	44.0
	44.2
	44.5
	44.7

	20
	44.9
	45.1
	45.3
	45.6
	45.8
	46.0
	46.2
	46.5
	46.7
	46.9

	21
	47.1
	47.4
	47.6
	47.8
	48.0
	48.3
	48.5
	48.7
	48.9
	49.2

	22
	49.4
	49.6
	49.8
	50.1
	50.3
	50.5
	50.7
	51.0
	51.2
	51.4

	23
	51.6
	51.9
	52.1
	52.3
	52.5
	52.8
	53.0
	53.2
	53.4
	53.7

	24
	53.9
	54.1
	54.3
	54.6
	54.8
	55.0
	55.2
	55.5
	55.7
	55.9

	25
	56.1
	56.3
	56.6
	56.8
	57.0
	57.2
	57.5
	57.7
	57.9
	58.1

	26
	58.4
	58.6
	58.8
	59.0
	59.3
	59.5
	59.7
	59.9
	60.2
	60.4

	27
	60.6
	60.8
	61.1
	61.3
	61.5
	61.7
	62.0
	62.2
	62.4
	62.6

	28
	62.9
	63.1
	63.3
	63.5
	63.8
	64.0
	64.2
	64.4
	64.7
	64.9

	29
	65.1
	65.3
	65.6
	65.8
	66.0
	66.2
	66.5
	66.7
	66.9
	67.1

	30
	67.4
	67.6
	67.8
	68.0
	68.2
	68.5
	68.7
	68.9
	69.1
	69.4

	31
	69.6
	69.8
	70.0
	70.3
	70.5
	70.7
	70.9
	71.2
	71.4
	71.6

	32
	71.8
	72.1
	72.3
	72.5
	72.7
	73.0
	73.2
	73.4
	73.6
	73.9

	33
	74.1
	74.3
	74.5
	74.8
	75.0
	75.2
	75.4
	75.7
	75.9
	76.1

	34
	76.3
	76.6
	76.8
	77.0
	77.2
	77.5
	77.7
	77.9
	78.1
	78.4

	35
	78.6
	78.8
	79.0
	79.2
	79.5
	79.7
	79.9
	80.1
	80.4
	80.6

	36
	80.8
	81.0
	81.3
	81.5
	81.7
	81.9
	82.2
	82.4
	82.6
	82.8

	37
	83.1
	83.3
	83.5
	83.7
	84.0
	84.2
	84.4
	84.6
	84.9
	85.1

	38
	85.3
	85.5
	85.8
	86.0
	86.2
	86.4
	86.7
	86.9
	87.1
	87.3

	39
	87.6
	87.8
	88.0
	88.2
	88.5
	88.7
	88.9
	89.1
	89.4
	89.6

	40
	89.8
	90.0
	90.2
	90.5
	90.7
	90.9
	91.1
	91.4
	91.6
	91.8

Appendix C
BAF 20 Limiting Distance Table
Limiting Distance for Tree Inclusion w/ Point Cruising 
(BAF 20 Prism in Feet -- Multiplier Value of 1.944)
DBH Tenths of an Inch

	
											
	DBH
	0
	0.1
	0.2
	0.3
	0.4
	0.5
	0.6
	0.7
	0.8
	0.9

	0
	0.0
	0.2
	0.4
	0.6
	0.8
	1.0
	1.2
	1.4
	1.6
	1.7

	1
	1.9
	2.1
	2.3
	2.5
	2.7
	2.9
	3.1
	3.3
	3.5
	3.7

	2
	3.9
	4.1
	4.3
	4.5
	4.7
	4.9
	5.1
	5.2
	5.4
	5.6

	3
	5.8
	6.0
	6.2
	6.4
	6.6
	6.8
	7.0
	7.2
	7.4
	7.6

	4
	7.8
	8.0
	8.2
	8.4
	8.6
	8.7
	8.9
	9.1
	9.3
	9.5

	5
	9.7
	9.9
	10.1
	10.3
	10.5
	10.7
	10.9
	11.1
	11.3
	11.5

	6
	11.7
	11.9
	12.1
	12.2
	12.4
	12.6
	12.8
	13.0
	13.2
	13.4

	7
	13.6
	13.8
	14.0
	14.2
	14.4
	14.6
	14.8
	15.0
	15.2
	15.4

	8
	15.6
	15.7
	15.9
	16.1
	16.3
	16.5
	16.7
	16.9
	17.1
	17.3

	9
	17.5
	17.7
	17.9
	18.1
	18.3
	18.5
	18.7
	18.9
	19.1
	19.2

	10
	19.4
	19.6
	19.8
	20.0
	20.2
	20.4
	20.6
	20.8
	21.0
	21.2

	11
	21.4
	21.6
	21.8
	22.0
	22.2
	22.4
	22.6
	22.7
	22.9
	23.1

	12
	23.3
	23.5
	23.7
	23.9
	24.1
	24.3
	24.5
	24.7
	24.9
	25.1

	13
	25.3
	25.5
	25.7
	25.9
	26.0
	26.2
	26.4
	26.6
	26.8
	27.0

	14
	27.2
	27.4
	27.6
	27.8
	28.0
	28.2
	28.4
	28.6
	28.8
	29.0

	15
	29.2
	29.4
	29.5
	29.7
	29.9
	30.1
	30.3
	30.5
	30.7
	30.9

	16
	31.1
	31.3
	31.5
	31.7
	31.9
	32.1
	32.3
	32.5
	32.7
	32.9

	17
	33.0
	33.2
	33.4
	33.6
	33.8
	34.0
	34.2
	34.4
	34.6
	34.8

	18
	35.0
	35.2
	35.4
	35.6
	35.8
	36.0
	36.2
	36.4
	36.5
	36.7

	19
	36.9
	37.1
	37.3
	37.5
	37.7
	37.9
	38.1
	38.3
	38.5
	38.7

	20
	38.9
	39.1
	39.3
	39.5
	39.7
	39.9
	40.0
	40.2
	40.4
	40.6

	21
	40.8
	41.0
	41.2
	41.4
	41.6
	41.8
	42.0
	42.2
	42.4
	42.6

	22
	42.8
	43.0
	43.2
	43.4
	43.5
	43.7
	43.9
	44.1
	44.3
	44.5

	23
	44.7
	44.9
	45.1
	45.3
	45.5
	45.7
	45.9
	46.1
	46.3
	46.5

	24
	46.7
	46.9
	47.0
	47.2
	47.4
	47.6
	47.8
	48.0
	48.2
	48.4

	25
	48.6
	48.8
	49.0
	49.2
	49.4
	49.6
	49.8
	50.0
	50.2
	50.3

	26
	50.5
	50.7
	50.9
	51.1
	51.3
	51.5
	51.7
	51.9
	52.1
	52.3

	27
	52.5
	52.7
	52.9
	53.1
	53.3
	53.5
	53.7
	53.8
	54.0
	54.2

	28
	54.4
	54.6
	54.8
	55.0
	55.2
	55.4
	55.6
	55.8
	56.0
	56.2

	29
	56.4
	56.6
	56.8
	57.0
	57.2
	57.3
	57.5
	57.7
	57.9
	58.1

	30
	58.3
	58.5
	58.7
	58.9
	59.1
	59.3
	59.5
	59.7
	59.9
	60.1

	31
	60.3
	60.5
	60.7
	60.8
	61.0
	61.2
	61.4
	61.6
	61.8
	62.0

	32
	62.2
	62.4
	62.6
	62.8
	63.0
	63.2
	63.4
	63.6
	63.8
	64.0

	33
	64.2
	64.3
	64.5
	64.7
	64.9
	65.1
	65.3
	65.5
	65.7
	65.9

	34
	66.1
	66.3
	66.5
	66.7
	66.9
	67.1
	67.3
	67.5
	67.7
	67.8

	35
	68.0
	68.2
	68.4
	68.6
	68.8
	69.0
	69.2
	69.4
	69.6
	69.8

	36
	70.0
	70.2
	70.4
	70.6
	70.8
	71.0
	71.2
	71.3
	71.5
	71.7

	37
	71.9
	72.1
	72.3
	72.5
	72.7
	72.9
	73.1
	73.3
	73.5
	73.7

	38
	73.9
	74.1
	74.3
	74.5
	74.6
	74.8
	75.0
	75.2
	75.4
	75.6

	39
	75.8
	76.0
	76.2
	76.4
	76.6
	76.8
	77.0
	77.2
	77.4
	77.6

	40
	77.8
	78.0
	78.1
	78.3
	78.5
	78.7
	78.9
	79.1
	79.3
	79.5

Appendix D
DBH Measurements

Appendix E
Crown Classes

Appendix F
Estimating 4 Inch Top in Hardwood Trees with Decurrent Branching

Appendix G
Hardwood Groupings

	
							
	Species
	General Species
	Type
	 
	Species
	General Species
	Type

	American Holly
	Hard Hardwoods, Other
	Hard Hardwood
	 
	American Elm
	Soft Hardwoods, Other
	Soft Hardwood

	Birch Sp.
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Black Cherry
	Soft Hardwoods, Other
	Soft Hardwood

	Black Locust
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Black Willow
	Soft Hardwoods, Other
	Soft Hardwood

	Black Oak
	Red Oaks, Other
	Hard Hardwood
	 
	Boxelder
	Soft Hardwoods, Other
	Soft Hardwood

	Blackjack Oak
	Red Oaks, Other
	Hard Hardwood
	 
	Cypress
	Soft Hardwoods, Other
	Soft Hardwood

	Cherrybark Oak
	Red Oaks, Select
	Hard Hardwood
	 
	Elm
	Soft Hardwoods, Other
	Soft Hardwood

	Chestnut Oak
	White Oaks, Other
	Hard Hardwood
	 
	Gray Birch
	Soft Hardwoods, Other
	Soft Hardwood

	Chinkapin Oak
	White Oaks, Select
	Hard Hardwood
	 
	Hackberry
	Soft Hardwoods, Other
	Soft Hardwood

	Common Persimmon
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Hackberry Sp.
	Soft Hardwoods, Other
	Soft Hardwood

	Flowering Dogwood
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Magnolia Sp.
	Soft Hardwoods, Other
	Soft Hardwood

	Honeylocust
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Paper Birch
	Soft Hardwoods, Other
	Soft Hardwood

	Laurel Oak
	Red Oaks, Other
	Hard Hardwood
	 
	Redbay
	Soft Hardwoods, Other
	Soft Hardwood

	Live Oak
	White Oaks, Other
	Hard Hardwood
	 
	River Birch
	Soft Hardwoods, Other
	Soft Hardwood

	Northern Red Oak
	Red Oaks, Select
	Hard Hardwood
	 
	Sassafras
	Soft Hardwoods, Other
	Soft Hardwood

	Nuttall Oak
	Red Oaks, Other
	Hard Hardwood
	 
	Slippery Elm
	Soft Hardwoods, Other
	Soft Hardwood

	Overcup Oak
	White Oaks, Other
	Hard Hardwood
	 
	Southern Magnolia
	Soft Hardwoods, Other
	Soft Hardwood

	Pin Oak
	Red Oaks, Other
	Hard Hardwood
	 
	Sugarberry
	Soft Hardwoods, Other
	Soft Hardwood

	Post Oak
	White Oaks, Other
	Hard Hardwood
	 
	Sweetbay
	Soft Hardwoods, Other
	Soft Hardwood

	Red Mulberry
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Sycamore
	Soft Hardwoods, Other
	Soft Hardwood

	Rock Elm
	Hard Hardwoods, Other
	Hard Hardwood
	 
	Willow
	Soft Hardwoods, Other
	Soft Hardwood

	Scarlet Oak
	Red Oaks, Other
	Hard Hardwood
	 
	Winged Elm
	Soft Hardwoods, Other
	Soft Hardwood

	Shumard Oak
	Red Oaks, Select
	Hard Hardwood
	 
	Yellow Buckeye
	Soft Hardwoods, Other
	Soft Hardwood

	Southern Red Oak
	Red Oaks, Other
	Hard Hardwood
	 
	 
	 
	 

	Swamp Chestnut Oak
	White Oaks, Select
	Hard Hardwood
	 
	 
	 
	 

	Swamp White Oak
	White Oaks, Select
	Hard Hardwood
	 
	 
	 
	 

	Sweet Birch
	Hard Hardwoods, Other
	Hard Hardwood
	 
	 
	 
	 

	Water Oak
	Red Oaks, Other
	Hard Hardwood
	 
	 
	 
	 

	White Mulberry
	Hard Hardwoods, Other
	Hard Hardwood
	 
	 
	 
	 

	White Oak
	White Oaks, Select
	Hard Hardwood
	 
	 
	 
	 

	Willow Oak
	Red Oaks, Other
	Hard Hardwood
	 
	 
	 
	 

Noncommercial species to be considered in woody competition assessment.
(Not to be tallied as Hardwood)

	
					
	Species
	General Species
	 
	Species
	General Species

	Bamboo
	noncommercial
	 
	Sparkleberry
	noncommercial

	Gallberry
	noncommercial
	 
	Tallow Tree
	noncommercial

	Palmetto spp.
	noncommercial
	 
	Titi
	noncommercial

	Privet
	noncommercial
	 
	Wax myrtle
	noncommercial

	Redbud
	noncommercial
	 
	Yaupon
	noncommercial

	Sabal palm
	noncommercial
	 
	 
	 

SiMS 2012 Suite of Software Products - Growth Model Documentation

Stand Type Growth Modules Currently Available Within SiMS_2012
Cutover Loblolly Pine (Pinus taeda L.) Plantations (Southeast)
Cutover Loblolly Pine (Pinus taeda L.) Plantations (West Gulf)
Oldfield Loblolly Pine (Pinus taeda L.) Plantations (CRP type stands)
Cutover Slash Pine (Pinus elliottii Engelm) Plantations (Southeast)
Cutover Slash Pine (Pinus elliottii Engelm) Plantations (West Gulf)
Oldfield Slash Pine (Pinus elliottii Engelm) Plantations (CRP type stands)
Longleaf Pine (Pinus palustris Mill.) Plantations
Natural Loblolly Pine (Pinus taeda L.) Stands
Natural Slash Pine (Pinus elliottii Engelm) Stands
Natural Longleaf Pine (Pinus palustris Mill.) Stands
Natural Mixed Pine-Hardwood Stands
Natural Mixed Hardwood Stands
Sand Pine (Pinus clausa) Plantations

Detailed discussion of model architecture along with references is given below for each of the growth modules.

Modeling Architecture

The underlying modeling architecture used in SiMS_2012 products is described as a hybrid modeling system that makes use of the best traits of both whole-stand and individual-tree models. Whole-stand models are used to predict and project estimates of surviving stems/acre, stand dominant height (ft) and stand basal area (ft2/acre). If the user does not have a current estimate of the associated stand table then a stand table is predicted using a Weibull (Bailey and Dell 1973) probability distribution function or percentile-based system developed for the stand type in question. See individual stand type model descriptions below for specific citations. If a stand table is available from a cruise then this stand table is input into the SiMS_2012 system and a projection is made from this beginning stand table using generalized stand table projection methodology of Pienaar and Harrison (1988). This procedure projects from the current stand table condition to the expected future stand table condition such that the projected stand table is compatible with the projected whole stand estimates of stems/acre and basal area/acre. Once a predicted and/or projected stand table is available, a height – diameter function is used to obtain heights for each diameter class. Diameter class volume and/or weight per acre is then obtained using individual tree volume and/or weight equations appropriate for the stand type.

Growth projections for thinned stands are accomplished using the concept of a competition index originally presented by O’Connor (1935) modified by Pienaar (1979) and discussed by Harrison and Borders (1996). This methodology makes use a an “unthinned counterpart” to project growth for thinned stands and assures that projections are logical and reasonable relative to expected development of unthinned stands (the case which is best understood). 

Growth responses to cultural treatments such as chemical site preparation (based on expected residual hardwood levels), mechanical site preparation treatments that improve tillage (e.g. ripping, bedding, etc.), herbaceous weed control, woody understory release, level of genetic improvement in seedlings used for plantation establishment, and fertilization are obtained using the approach of Pienaar and Rheney (1995). 

This approach makes use of an additive growth response term that is used with whole-stand models for dominant height and stand basal area. This approach is very flexible and, based on ForesTech’s proprietary modifications of Pienaar and Rheney’s (1995) published approach, can be used to model expected stand response for treatments that exhibit different long-term response patterns (e.g. 1: treatments that are expected to show increased growth relative to untreated conditions for some number of years after which the cumulated difference between treated and untreated stands is expected to dissipate, 2: treatments that are expected to show an increased growth rate relative to untreated conditions for some number of years and then maintain the cumulated difference through the rotation). Note that ForesTech personnel have been instrumental in the development of this modeling architecture (which is used in many proprietary models developed by individual forest products companies and organizations) and have modified the approach to be consistent with the best understanding available concerning expected responses to silvicultural treatments used singly and in various combinations. Proprietary modifications that adjust expected treatment responses relative to underlying site quality and expected understory competition levels are also built into the system. All silvicultural treatment adjustments are based on the latest information from studies across the southeastern U.S. (e.g. Martin et al. 1999, Amateis et al. 2000, NCSFNC 2000, Borders and Bailey 2001, Lauer and Zutter, 2001, Martin and Shiver 2002, Martin and Shiver 2002, NCSFNC 2002, Miller et al. 2003). 

Individual Stand Type Models 

When searching the scientific literature for growth and yield systems for various stand types that are managed in the southern U.S. it is rare to find complete systems that allow for the capability and flexibility to make projections under various types of management. Typically, pieces of complete growth and yield systems are developed and published separately by various individuals and organizations. Such individual growth and yield model components are often times not only published separately by different individuals and organizations but they are calibrated with different data. This “piece meal” model development and publication makes for many problems in implementation and logical growth and yield prediction and projection capability. For example, many models have been developed for dominant height development of loblolly pine plantations in the southern U.S. However, they all exhibit different characteristics and can lead to very different projections of dominant height development for the same stand. Furthermore, when growth projections of various species are made using models taken “as is” from the literature many illogical results can be obtained if one chooses to compare projections for the various stand types. For example, for a given set of stand conditions a model for a longleaf pine plantation may project a stand characteristic such as dominant height or basal area/acre that is totally illogical when compared to what actually happens on the ground in longleaf pine stands and/or when compared to what happens in a loblolly pine stand on a similar site with similar management. This is because both the model form and associated parameter estimates (and hence model behavior) are unique to the data used for model development and calibration. Since data available for model development and calibration are limited to the specific set of conditions represented by the data then many situations exist for which growth projections represent extrapolations of both the model form and the data used to calibrate the model. 

Prior to the development of the SiMS_2012 system the problem of illogical projections of individual stands as well as illogical properties of how projections of one stand type relate to other stand types have been ignored. However, with the expertise of ForesTech personnel we have modified base model forms taken from the literature and built a modeling architecture that produces growth and yield projections of individual stands that are logical across a wide array of stand conditions and cultural treatments as well as among 

stand types. These proprietary modifications and modeling approaches make the SiMS_2012 system the most powerful and realistic growth and yield simulator available for southern pine stand types. 

Literature Cited 

Amateis, R.L., J. Liu, M.J. Ducey, and H. Lee Allen. 2000. Modeling response to midrotation nitrogen and phosphorous fertilization in loblolly pine plantations. Southern Journal of Applied Forestry 24(4):207-212. 
Bailey, R.L. and T.R. Dell. 1973. Quantifying diameter distributions with the Weibull function. Forest Science19:97-104. 
Borders, B.E. and R.L. Bailey. 2001. Loblolly pine – pushing the limits of growth. Southern Journal of Applied Forestry 25(2): 69-74. 
Harrison, W.M. and B.E. Borders. 1996. Yield prediction and growth projection for site-prepared loblolly pine plantations in the Carolinas, Georgia, Alabama, and Florida. PMRC Technical Report 1996-1. D.B. Warnell School of Forest Resources. The University of Georgia. Athens, GA. 59pp. 
Lauer, D.K. and B.R. Zutter. 2001. Vegetation cover response and second-year loblolly and slash pine response following bedding and pre- and post-plant herbicide applications in Florida. Southern Journal of Applied Forestry 25(2):75-83. 
O’Connor, A.J. 1935. Forest research with special reference to planting densities and thinning. Br. Emp. For. Conf. South Africa. 30pp. 
Martin, S.W., R.L. Bailey, and E.J. Jokela. 1999. Growth and yield predictions for lower coastal plain slash pine plantations fertilized at mid-rotation. Southern Journal of Applied Forestry 23(1):39-45. 
Martin, S.W. and B.D. Shiver. 2002. Impacts of vegetation control, genetic improvement and their interaction on loblolly pine growth in the southern United States – age 12 results. Southern Journal of Applied Forestry 26(1):37-42. 
Martin, S.W. and B.D. Shiver, B.D. 2002. Twelve-year results of a loblolly site preparation study in the piedmont and upper coastal plain of South Carolina, Georgia, and Alabama. Southern Journal of Applied Forestry 26(1):32-36. 
Miller, J.H., B.R. Zutter, S.M. Zedaker, M.B. Edwards, and R.A. Newbold. 2003. Growth and yield relative to competition for loblolly pine plantations to midrotation – a southeastern United States regional study. Southern Journal of Applied Forestry 27(4): 237-252. 
NCSFNC. 2000. Eight-Year Responses of Young Loblolly Pine to Nitrogen, Phosphorus, and Potassium Fertilization. NCSFNC Report No. 45. Dept. of Forestry. North Carolina State Univ., Raleigh, NC. 
NCSFNC. 2002 Responses to Nutrient Additions in Young Loblolly Pine Plantations: Regionwide 18 Third Report. NCSFNC Report No. 49. Dept. of Forestry. North Carolina State Univ., Raleigh, NC. 
Pienaar, L.V. 1979. An approximation of basal area growth after thinning based on growth in unthinned plantations. Forest Science 25(2): 223-232. 

Pienaar, L.V. and W.M. Harrison. 1988. A stand table projection approach to yield prediction in unthinned even-aged stands. Forest Science 34(3): 804-808. 
Pienaar, L.V. and J.W. Rheney. 1995. Modeling stand level growth and yield response to silvicultural treatments. Forest Science 41(3):629-638. 

Literature for Individual Stand Type Models 

Pertinent literature for each stand type available in the SiMS_2012 system is cited below. A short description of the data used for model development is also given. As discussed in detail above, the publications cited below provided individual model components that were combined as necessary and adjusted to develop full growth and yield functionality for each stand type. 

Cutover Loblolly Pine (Pinus taeda L.) Plantations (Southeast) 
Harrison, W.M. and B.E. Borders. 1996. Yield prediction and growth projection for site-prepared loblolly pine plantations in the Carolinas, Georgia, Alabama and Florida. PMRC Technical Report 1996-1. D.B. Warnell School of Forest Resources. The University of Georgia. Athens, GA. 59pp. 
Data are from a total of 805 temporary and permanent sample plots located throughout the lower coastal plain, upper coastal plain and piedmont of North Carolina, South Carolina, Georgia, Florida and Alabama. 
Cutover Slash Pine (Pinus elliottii Engelm) Plantations (Southeast) 
Pienaar, L.V., B.D. Shiver and J.W. Rheney. 1996. Yield prediction for mechanically site-prepared slash pine plantations in the Southeastern Coastal Plain. PMRC Technical Report 1996-3. D.B. Warnell School of Forest Resources. The University of Georgia. Athens, GA. 57pp. 
Data are from a total of 691 temporary plots and 254 permanent plots located in the lower coastal plain of South Carolina, Georgia and north Florida. Additional data come from a regionwide (lower coastal plain) planting density study with 114 installations that has planting densities of 100 to 900 trees/acre that were measured up to 8 times at 3 year intervals beginning at age 5 years. 
Old-Field Loblolly Pine (Pinus taeda L.) Plantations (CRP-type stands) 
Lenhart, J.D. and J.L. Clutter. 1971. Cubic-foot yield tables for oldfield loblolly pine plantations in the Georgia piedmont. GA For. Res. Council Rep. No. 22. 12pp. 
Data are from 226 sample plots distributed throughout the piedmont of Georgia. 
Pienaar, L.V. and J.W. Rheney. 1998. An evaluation of the potential productivity of intensively managed pine plantations in Georgia. Final Report of a study funded by The Georgia Consortium for Technological Competitiveness in Pulp and Paper. 41pp. 
Data obtained from 37 randomly chosen loblolly pine plantations throughout Georgia established under the Conservation Reserve Program as well as from designed studies associated with the Plantation Management Research Cooperative at the D.B. Warnell School of Forest Resources at the University of Georgia. 
Old-Field Slash Pine (Pinus elliottii Engelm) Plantations (CRP-type stands) 
Bennett, F.A. 1970. Yields and stand structure patterns for old-field plantations of slash pine. USDA For. Serv. Res. Paper SE-60. 81pp. 

Clutter, J.L. and E.P. Jones. 1980. Prediction of growth after thinning in oldfield slash pine plantations. USDA For. Serv. Res. Paper SE-217. Southeast For. Exp. Stn. Asheville, NC. 14pp. 
Data for the above two publications are from 212 permanent sample plots distributed through north Florida, south Georgia, southern Alabama and Mississippi. 
Pienaar, L.V. and J.W. Rheney. 1998. An evaluation of the potential productivity of intensively managed pine plantations in Georgia. Final Report of a study funded by The Georgia Consortium for Technological Competitiveness in Pulp and Paper. 41pp. 
Data from 23 oldfield slash pine plantations established under the Conservation Reserve Program as well as from designed studies associated with the Plantation Management Research Cooperative at the D.B. Warnell School of Forest Resources at the University of Georgia. 
Cutover Loblolly Pine (Pinus taeda L.) Plantations (West Gulf) 
Baldwin, V.C., Jr. and D.P. Feduccia. 1987. Loblolly pine growth and yield prediction for managed west gulf plantations. USDA For. Serv. Res. Paper SO-236. Southern For. Exp. Station. New Orleans, LA. 27pp. 
Data are from 85 unthinned and 167 thinned permanent plots distributed through Louisiana, a single county in southwestern Mississippi and two counties in eastern Texas. 
Cutover Slash Pine (Pinus elliottii Engelm) Plantations (West Gulf) 
Zarnoch, S.J., D.P. Feduccia, V.C. Baldwin, Jr, and T.R. Dell. 1991. Growth and yield model predictions for thinned and unthinned slash pine plantations on cutover sites in the west gulf region. USDA For. Serv. Res. Paper SO-264. Southern For. Exp. Station. New Orleans, LA. 32 pp. 
Data consist of 507 unthinned stand yield observations and 543 thinned stand growth period observations from permanent sample plots distributed in the West Gulf region as well as 530 residual stand observations of post-thinning conditions from permanent sample plots distributed in the West Gulf region. 
Longleaf Pine (Pinus palustris Mill.) Plantations 
In the SiMS_2012 system a single model is used for longleaf pine plantation growth and yield across the entire southern U.S. Models available in the published literature for planted longleaf pine stands are produce illogical and biologically unreasonable long-term growth projections outside of the limited range of data used to develop available models. Therefore, a study of how longleaf pine growth and yield relates to the growth and yield of slash pine plantations was carried out. Based on the results of this internal study ForesTech has developed a growth and yield system for longleaf pine plantations that are a variation of the slash pine plantation models discussed above. This model produces biologically reasonable growth and yield projections for this stand type. Estimates of per acre yield in terms of volume and/or weight is obtained using the individual tree volume and weight equations cited below. 
Baldwin, V.C., Jr., and J.R. Saucier. 1983. Aboveground weight and volume of unthinned, planted longleaf pine on West Gulf Forest Sites. USDA For. Serv. Res. Paper SO-191. Southern For. Exp. Station. New Orleans, LA. 8pp. 

Natural Loblolly Pine (Pinus taeda L.) Stands 
In the SiMS_2012 system a single model is used for natural loblolly pine stands across the entire southern U.S. Several published and unpublished models were evaluated for extrapolative properties and biological reasonableness. The best model available was developed by Souter (1986) and is cited below. 
Souter, Ray Albert. 1986. Dynamic Stand Structure in Thinned Stands of Naturally-Regenerated Loblolly Pine in the Georgia Piedmont. PhD Dissertation. School of Forest Resources, University of Georgia. Athens, GA. 
Data come from 71 permanent sample plots located on the Hitchiti Experimental Forest in the Piedmont of Georgia (the Growing Space Study). These research plots were established in 1948 and remeasured six times through 1982. Even though the data used in the development of this model are limited geographically, the models behave very well and produce reasonable growth projections for naturally regenerated loblolly pine stands. 
Natural Slash Pine (Pinus elliottii Engelm) Stands 
In the SiMS_2012 system a single model is used for natural slash pine stands across the entire southern U.S. The models are based on the publications by Frank Bennett. 
Bennett, Frank A. 1970. Variable-density yield tables for managed stands of natural slash pine. USDA For. Serv. Res. Note SE-141. Southeastern For. Exp. Station. Asheville, NC. 7pp. 
Data are from 82 permanent sample plots that had initial measurement and one five year re-measurement. Plots were distributed throughout north Florida and southeastern Georgia. 
Bennett, Frank A. 1981. Growth and yield in natural stands of slash pine and suggested management alternatives. USDA For. Serv. Res. Paper SE-211. Southeastern For. Exp. Station. Asheville, NC. 8pp. 
Data are the same data as in the 1970 paper with additional sample plots for a total of 176 permanent sample plots distributed throughout north Florida and southeastern Georgia. 
Natural Longleaf Pine (Pinus palustris Mill.) Stands 
In the SiMS_2012 system a single model is used for natural longleaf pine stand growth and yield across the entire southern U.S. Models available in the published literature for natural longleaf pine stands are produce illogical and biologically unreasonable growth projections outside of the limited range of data used to develop available models. Therefore, a study of how natural longleaf pine growth and yield relates to the growth and yield of natural slash pine stands was carried out. Based on the results of this internal study ForesTech has developed a growth and yield system for natural longleaf pine plantations that are a variation of the natural slash pine models discussed above. This model produces biologically reasonable growth and yield projections for this stand type. Individual tree volume and weight equations are those used for planted longleaf stands (see citation for Longleaf Pine Plantations above). 
Natural Mixed Pine-Hardwood Stands 
There are very few models available for growth and yield of mixed pine-hardwood stands that provide estimates of how pine growth and yield changes relative to the amount of hardwood present in the stand. 

The SiMS_2012 system uses models from a recent study in Georgia that provides such capability. All models were evaluated and adjusted as needed to obtain logical and biologically reasonable growth patterns. 
Martin, S.W. and G.H. Brister. 1999. A growth and yield model incorporating hardwood competition for natural loblolly pine stands in the Georgia piedmont. Southern Journal of Applied Forestry 23(3):179-185. 
Data are from 75 permanent sample plots located in the Piedmont of Georgia. 
Natural Hardwood Stands 
Very few models exist for growth and yield of natural hardwood stands. Most hardwood projections are made using a simplifying assumption such as hardwood yield is expected to grow at 2 to 3% per year. To obtain more flexibility and perhaps more realistic hardwood stand projections ForesTech has evaluated models from the scientific literature and put them together in a workable and complete growth and yield system. 
Bowling, E.H., H.E. Burkhart, T.E. Burk and D.E. Beck. 1989. A stand level growth model for Appalachian hardwoods. Canadian Journal of Forest Research 19:405-412. 
Graney, D.L. and P.A. Murphy. 1994. Growth and yield of thinned upland oak stands in the Boston Mountains of Arkansas. Southern Journal of Applied Forestry 18(1):10-14. 
Zahner, R. and M.K. Myers. 1984. Productivity of young Piedmont oak stands of sprout origin. Southern Journal of Applied Forestry 8(2):102-108. 
Olson, D. J., Jr. 1959. Site index curves for upland oak in the Southeast. USDA Forest Service Research Note SE-125. 2p. 
Data are varied. Please see publications for data descriptions. 
Sand Pine (Pinus clausa) Plantations 
Brendemuehl, R. H. 1981. Options for Management of Sandhill Forest Land. Southern Journal Of Applied Forestry 5(4): 216-222. 
Burns, Russell M., and R. H. Brendemuehl. 1969. Yield of a Choctawhatchee Sand Pine Plantation at Age 28. USDA Forest Service Research Note SE-103. 4pp. 
Outcalt, Kenneth W. 1986. Stand Density Affects Growth of Choctawhatchee Sand Pine. Southern Journal of Applied Forestry 10(3): 128-131. 
McNab, W.H., K.W. Outcalt, R.H. Brendemuehl. 1985. Weight and Volume of Plantation-Grown Choctawhatchee Sand Pine. USDA Forest Service Research Paper SE-252. 44pp. 
Data are varied. Please see publications for data descriptions. 
Individual-Tree Taper, Volume and Weight 

Individual-tree stem profiles and cubic-foot volumes are estimated using a form class based, segmented taper equation described in Clark et.al, 1991. Coefficients are available for most commercial and non-commercial tree species encountered in the southeastern U.S. The coefficients were updated using FIA data in 2001 (Souter and Clark, 2001). 
To calculate total-stem and merchantable green weights for individual trees, pound-per-cubic-foot conversion factors are calculated using associated weight and volume tables in Clark et al., 1986 and Clark et al., 1990. 
Clark Alexander; Saucier, Joseph R.; McNab, W. Henry. 1986. Total-tree weight, stem weight, and volume tables for hardwood species in the southeast. Georgia Forest Research Paper GF-RP-60. Georgia Forestry Commission. 44 p. 
Clark, Alexander; Saucier, Joseph R. 1990. Tables for estimating total-tree weights, stem weights, and volumes of planted and natural southern pine in the southeast. Georgia Forest Research Paper GF-RP-79. Georgia Forestry Commission. 23 p. 
Clark, Alexander, III; Souter, Ray A.; Schlaegel, Bryce E. 1991. Stem Profile for Southern Equations for Southern Tree Species. Res. Pap. SE-282. Asheville, NC: U.S. Department of Agriculture, Forest Service, Southeastern Forest Experiment Station. 117 p. 
Souter, R.A. and A. Clark III. 2001. Taper and volume prediction in southern tree species. USDA For. Serv. Southern Research Station. FIA Work Unit Administrative Report. 

Portions of the exhibit, indicated by the mark “[***],” were omitted and have been filed separately with the Securities and Exchange Commission pursuant to the Registrant’s application requesting confidential treatment pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as amended.

Exhibit K-2

[***]Exhibit

Exhibit 10.4

Execution Version

OPTION AGREEMENT

THIS OPTION AGREEMENT (this “Agreement”), made as of the Effective Date (as defined in paragraph 26 below), by and among FIA TIMBER PARTNERS II, L.P., a Delaware limited partnership (hereinafter referred to as “Seller”), CATCHMARK TIMBER TRUST, INC., a Maryland corporation (hereinafter referred to as “Purchaser”). 

W I T N E S S E T H:

WHEREAS, Seller is the owner of those certain tracts or parcels of land in Coos and Curry Counties, Oregon, containing approximately ± 5,239 acres, which tracts or parcels are more fully described in Exhibit A-1 and which are identified as being owned by Seller as approximately depicted on the maps in Exhibit A-2, each attached hereto and hereby made a part hereof (the “Real Property”), together with Seller’s right, title and interest in the following: all buildings, structures, and other improvements located thereon, all tenements, hereditaments, easements, appurtenances and privileges thereto belonging, all trees, timber, sand, gravel, rock and crops now located thereon or thereunder, and all oil, gas and mineral rights and interests in the Real Property not reserved or conveyed by Seller or Seller’s predecessors in title prior to the Effective Date, and, to the extent assignable, Seller’s interests under the Unrecorded Encumbrances set forth on attached Exhibit D, less any of the Unrecorded Encumbrances that expire prior to Closing (the foregoing hereinafter referred to collectively with the Real Property and the Personal Property as defined in Section 4(b)(vi) below as the “Property”); and

WHEREAS, Purchaser desires to acquire an option to purchase the Property, and Seller is willing to grant to Purchaser an option sell the Property on the terms and subject to the conditions set forth in this Agreement;

NOW, THEREFORE, the parties have agreed and do hereby agree as follows:

1.Grant and Terms of Option.  Subject to the provisions of this Agreement, and for the consideration herein stated, Seller hereby grants to Purchaser an exclusive and irrevocable option to purchase the Property (the “Option”).  The Option shall be effective as of the Effective Date and shall continue in effect until 5:00 pm Eastern Time on June 29, 2018 (such date and time the “Option Expiration Time” and the period running between the Effective Date and the Option Expiration Time, the “Option Period”). Purchaser shall exercise the Option, if at all, by giving written notice to Seller within the Option Term stating that the Option is exercised (the “Exercise Notice”). Purchaser may exercise the Option only as to all of the Property and no partial exercise of the Option shall be permitted.  Upon timely exercise of the Option, Seller shall be obligated to sell, and Purchaser shall be obligated to purchase, the Property for the price and on the terms and conditions set forth in this Agreement.  If Purchaser fails to exercise the Option within the Option 

    

Term, this Agreement will automatically terminate, Seller will retain the Option Consideration and Purchaser will have no further right to acquire the Property.

2.    Purchase Price; Assumed Liabilities.  If Purchaser timely exercises the Option, the purchase price (subject to adjustment as provided herein, hereinafter referred to as the “Purchase Price”) to be paid by Purchaser for the Property shall be TWENTY-FIVE MILLION THREE HUNDRED NINETY-EIGHT THOUSAND FOUR HUNDRED SEVENTY-FOUR AND 45/100 DOLLARS ($25,398,474.45), and shall be payable to Seller by wire transfer of immediately available funds at the date of Closing to an account designated by Seller.  The purchase and sale pursuant to this Agreement is not based on a per-acre price and the Purchase Price shall not be subject to adjustment if the acres within the Property are more or less than the above-stated numbers of acres.  The Purchase Price shall be allocated between the Personal Property and the Real Property as set forth on attached Exhibit K.  Any subsequent adjustment to the Purchase Price under this Agreement shall be deemed an adjustment to the amount allocated to the Real Property.  The portion of the Purchase Price which is allocated to the Real Property pursuant to Exhibit K (as such allocation may be subsequently adjusted pursuant to this Agreement) shall be used as the consideration required to be stated on the face of the Deed.  As additional consideration for the purchase and sale transaction contemplated by this Agreement, Purchaser shall assume from Seller at Closing: (a) all liabilities and obligations of Seller arising on or after the Closing Date (as defined herein) under easements and other matters of record affecting the Real Property which impose obligations on the owner thereof and under the Unrecorded Encumbrances (as defined herein) other than the Timber Cutting Agreements set forth on Exhibit D (the “Timber Cutting Agreements”, which Timber Cutting Agreements are being retained by Seller); and (b) all Continuing Obligations as defined in Section 36 below (collectively, the “Assumed Liabilities”).

3.    Option Consideration.  Contemporaneously with Purchaser’s execution of this Agreement, Purchaser has delivered to Seller by wire transfer of immediately available funds the sum of $1,015,938,98 as non-refundable option consideration (said amount is hereinafter referred to as the “Option Consideration”).  The Option Consideration is non-refundable except as otherwise provided in this Agreement and shall be considered earned by Seller on receipt, but shall be credited against the Purchase Price at Closing (if Closing occurs).

4.    Closing.  

(a)    If the Option is exercised, the delivery of the funds, documents and instruments for the consummation of the purchase and sale pursuant hereto (herein referred to as the “Closing”) shall take place on July 13, 2018 at 10:00 a.m. Pacific Time through the escrow services of First American Title Insurance Company, Six Concourse Parkway, Suite 2000, Atlanta, Georgia 30328 (hereinafter referred to as “Title Company” and "Escrow Agent"), or on such earlier date and time, and/or such other location, as may be mutually agreeable to Seller and Purchaser (the “Closing Date”).

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(b)    At the Closing, Seller shall deliver the following:

(i)    one or more (at Purchaser’s election) Statutory Special Warranty Deeds (warranting only against the claims of persons claiming by, through or under Seller) for each county in which the Real Property is located, in the form of Exhibit B attached hereto, and subject only to the Unrecorded Encumbrances and the Permitted Encumbrances (both as hereinafter defined) and further excepting from Seller’s  warranties contained in such deed(s) those certain matters affecting Seller’s title set forth on attached Exhibit C (collectively, the “Deed”); and, to the extent the Seller or its timber buyers under the Timber Cutting Agreements  have not, by Closing, completed harvesting and removal of the timber from the Harvest Parcels identified on Exhibit E (the “Unharvested Timber”), the Deed shall contain a reservation of the Unharvested Timber in favor of Seller. The legal description of the Real Property to be contained in the Deed shall be the legal description of the Real Property as set forth on Exhibit A attached hereto and hereby made a part hereof (as the same description may have been modified in connection with the Title Commitment or any Update thereto); 

(ii)    an affidavit as to the non-foreign status of Seller in form satisfactory to Seller;

(iii)    a certificate or other documentary evidence complying with ORS 314.258 that is reasonably acceptable to the Title Company and sufficient to assure the Title Company that no withholding is required under ORS 314.258;

(iv)    an assignment and assumption agreement with respect to Purchaser’s assumption of the Assumed Liabilities from Seller, in form attached as Exhibit F (the “Assignment and Assumption Agreement”); 

(v)    if Purchaser elects to purchase loan policy coverage or extended coverage or endorsements to the Basic Title Policy (as defined herein), an owner’s affidavit in the form attached hereto as Exhibit I (the “Owner’s Affidavit”); 

(vi)    a bill of sale, substantially in the form of attached Exhibit J, with respect to the crushed rock culvert stock listed on Schedule 4(b)(vi) (the “Personal Property”);

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(vii)    a Closing statement; and

(viii)    Seller hereby agrees to execute such other certificates, and do such other acts as may be reasonably necessary to consummate the purchase and sale contemplated hereby and to enable Purchaser to obtain the Basic Title Policy in accordance with this Agreement.  The Owner’s Affidavit contemplated by Section 4(b)(v) above and any other affidavits or certificates executed by or on behalf of Seller at the Closing shall be given to the actual knowledge of the person or entity executing the same, without independent investigation or inquiry.

(c)    At the Closing, Purchaser shall deliver the following:
(i)    the Assignment and Assumption Agreement;

(ii)    a Closing statement; and

(iii)    Purchaser hereby agrees to deliver the Purchase Price (as it may be adjusted for the prorations and other adjustments required by this Agreement) less the credit for the Option Consideration and to execute such other certificates and affidavits, and do such other acts as may be reasonably necessary to consummate the purchase and sale contemplated hereby and to obtain the Basic Title Policy in accordance with this Agreement.

5.    Title.

(a)    If the Option is timely exercised, Seller agrees to convey to Purchaser at Closing fee simple title to the Real Property by the Deed, free and clear of all liens, encumbrances, mortgages, deeds of trust, deeds to secure debt, assessments, agreements, options and covenants created or suffered by, through or under Seller, except for and subject to the Permitted Encumbrances, as hereinafter defined, and the matters set forth on attached Exhibit C.

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(b)    To the extent not previously provided, contemporaneously with Seller’s execution of this Agreement, Seller will, at Seller’s cost, cause to be delivered to Purchaser a title insurance commitment, or similar title report sufficient to allow the Title Company to issue the Basic Title Policy, together with complete and legible copies of all documentary title exceptions listed or referred to therein, (the “Title Commitment”) issued by the Title Company. During the Option Period, Purchaser shall have the right to review Seller’s title to the Real Property and provide Seller with written notice (the “Title Objection Notice”) of Purchaser’s objections, if any, to Seller’s title. Purchaser shall have the right to object to any title matter affecting Seller’s title to the Real Property; provided, however, that Purchaser shall not object to (i) the lien of real property taxes not yet due and payable and additional taxes which may be assessed if the Real Property is disqualified for assessment as forest or farm land; and (ii) any title matter which does not adversely affect the use or value of the Property as commercial timberlands or for resale as  timberlands.  Failure of Purchaser to provide the Title Objection Notice to Seller within the Option Period will be deemed an election by Purchaser to waive any objection to the matters disclosed in such Title Commitment (in which case all liens, encumbrances, or other defects or special exceptions to coverage in such Title Commitment will thereafter be Permitted Encumbrances) and to accept such title as Seller is able to convey without any reduction in the Purchase Price.

(c)    If Purchaser delivers the Title Objection Notice to Seller within the Option Period, Seller shall give written notice to Purchaser of its response to such objections indicating whether or not Seller will cure the matters objected to by Purchaser (the “Title Objection Response”); provided, however, that Seller shall at its sole cost secure the release of any monetary liens or encumbrances created by Seller and of a definite or ascertainable amount by Seller’s payment or bonding against the same at or prior to Closing other than the lien of real property taxes not yet due and payable and additional taxes which may be assessed if the Real Property is disqualified for assessment as forest or farm land (“Required Cure Matters”).  Any failure of Seller to deliver a Title Objection Response within the Option Period shall be deemed an election by Seller not to cure any title objections raised in Purchaser’s Title Objection Notice. Other than with respect to Required Cure Matters, if Seller fails to, or elects not to, cure or satisfy any objections contained in the Title Objection Notice (a “Title Defect”) then Purchaser’s exercise of the Option  shall be deemed Purchaser’s waiver of such Title Defect(s) and Purchaser will be required to close the sale without regard to said Title Defect(s) and without an adjustment to the Purchase Price (in which event such Title Defect(s) shall become Permitted Encumbrances for all purposes).

In the event that Seller delivers the Title Objection Response indicating that Seller will cure some or all of the Title Defects, Seller shall cure such Title Defects prior to Closing and, Seller, in its sole discretion, may extend the Closing Date for so many days as Seller may elect in order to cure such Title Defects, but in no event shall the aggregate number of days of extension exceed thirty (30) calendar days.

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(d)    If Purchaser timely exercises the Option, within three (3) days following Purchaser’s receipt of any update to the Title Commitment disclosing any title matter which first appears in said updated Title Commitment or Purchaser’s receipt of notice of any unrecorded encumbrance affecting Seller’s title to the Real Property which comes into existence after Purchaser’s exercise of the Option (as applicable, an “Update”), in each case other than (i) any Pre-Closing Easements permitted under Section 5(e) below, (ii) any matter which has become a Permitted Encumbrance pursuant to Section 5(b) or 5(c) above, (iii) any title matter which does not adversely affect the use or value of the Property as commercial timberlands or for resale as timberlands, and (iv) the lien of real property taxes not yet due and payable and additional taxes which may be assessed if the Real Property is disqualified for assessment as forest or farm land, Purchaser shall have the right to notify Seller in writing of Purchaser’s objection to such new matter (a “Supplemental Title Objection Notice”).  Failure of Purchaser to provide Seller with a Supplemental Title Objection Notice within such 3-day period will be deemed an election by Purchaser to waive any objection to the additional matters disclosed in such Update (in which case all liens, encumbrances, or other defects or special exceptions to coverage in such Update will thereafter be Permitted Encumbrances) and to accept such title as Seller is able to convey without any reduction in the Purchase Price. If Purchaser delivers a Supplemental Title Objection Notice to Seller within such 3-day period, Seller shall give written notice to Purchaser of its response to such objections within three (3) days after Seller’s receipt of Purchaser’s notice indicating whether Seller will cure the matters objected to by Purchaser (a “Supplemental Title Objection Response”); provided, however, that Seller shall at its sole cost secure the release of any Required Cure Matters appearing in the Update.  Any failure of Seller to deliver a Supplemental Title Objection Response within the foregoing 3-day period shall be deemed an election by Seller not to cure any title objections raised in Purchaser’s Supplemental Title Objection Notice. Other than with respect to Required Cure Matters, if Seller fails to, or elects not to, cure or satisfy any objections contained in the Supplemental Title Objection Notice then Purchaser shall, as its sole and exclusive remedy, elect either to: (i) waive such objection and close the sale without an adjustment to the Purchase Price (in which event the matters set forth in the Supplemental Title Objection Notice shall become Permitted Encumbrances for all purposes); or (ii) terminate this Agreement and receive a refund of the Option Consideration.

In the event that Seller delivers the Supplemental Title Objection Response indicating that Seller will cure some or all of the matters set forth in the Supplemental Title Objection Notice, Seller shall cure such matters prior to Closing and, Seller, in its sole discretion, may extend the Closing Date for so many days as Seller may elect in order to cure such matters, but in no event shall the aggregate number of days of extension exceed thirty (30) calendar days.

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(e)    For so long as this Agreement remains in force, Seller shall not lease, encumber or convey all or part of the Property or any interest therein, or enter into any agreement granting to any person any right with respect to the Property or any portion thereof, without the prior written consent of Purchaser; provided, however, that prior to Closing Seller shall be entitled to enter into (i) renewals or replacements of the Unrecorded Encumbrances  listed on attached Exhibit D on substantially the same terms as existing on the Effective Date (except that Seller shall not, without the prior consent of Purchaser, enter into any renewals, extensions or replacements of any Timber Cutting Agreement that are not already permitted by the terms of such Timber Cutting Agreement, as amended through the Effective Date), and (ii) reciprocal or unilateral road easement agreements as more particularly outlined for Seller on attached Schedule 5(e), pursuant to which Seller, as applicable, may (a) as a grantor, grant to third parties access rights over existing roads located on the Real Property for purposes of transporting forest products and rock, timber management (including fire protection and suppression), and access to identified lands of such third parties; (b) as a grantee, be granted access over and across certain lands of third parties for purposes of transporting forest products and rock to and from, timber management (including fire protection and suppression) on, and access to and from portions of the Real Property (the foregoing collectively, the “Pre-Closing Easements”).

(f)    For purposes of this Agreement, “Permitted Encumbrances” shall mean, collectively, (i) the Unrecorded Encumbrances; and (ii) and any other title matter to which Purchaser does not object, or for which Purchaser waives its objection or is deemed to have accepted pursuant to this Section 5.  

(g)    Purchaser acknowledges and agrees that Seller may continue to conduct ongoing timber harvesting operations until Closing on those harvest planning units identified in Exhibit E (the “Harvest Parcels”).  If Seller is unable to complete such harvesting operations by Closing, Seller shall reserve in the Deed all right and title to the Unharvested Timber on such Harvest Parcels together with the right to complete such harvesting operations on such Harvest Parcels for one (1) year after the Closing (as such time for removal may be further extended under the terms of the Post Closing Harvest Agreement defined below).  In such event, Purchaser and Seller shall enter into an access and harvest agreement at Closing in the form attached hereto as Exhibit H (the “Post Closing Harvest Agreement”). Seller shall retain all rights to such timber and all proceeds therefrom until Closing, and through the term of the Post Closing Harvest Agreement, if applicable.

6.    Inspection.  

(a)    Purchaser and its agents, representatives, employees, engineers and contractors (“Purchaser Representatives”) shall have the right at any time during the term of this Agreement to enter upon the Real Property at their own risk to inspect, examine, survey and make 

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timber cruises and other engineering tests or surveys, including a Phase I environmental site assessment (collectively, the “Tests”) which it may deem necessary or advisable, all at Purchaser’s sole cost and expense.  Purchaser and the Purchaser Representatives will comply with such reasonable restrictions and requirements as Seller may impose in connection with their activities on the Real Property and, if so required by Seller, Purchaser will, prior to Purchaser or the Purchaser Representatives entering the Real Property, provide Seller with evidence of liability insurance in an amount and issued by an insurer reasonably satisfactory to Seller, covering the activities of Purchaser and the Purchaser Representatives on the Real Property and naming Seller as an additional insured. Upon completion of the Tests, Purchaser shall repair, at its sole cost and expense, any physical damage caused to the Real Property by Purchaser’s (or any Purchaser Representative’s) inspection of the Real Property and the Tests, and shall remove all debris and materials placed on the Real Property in connection with Purchaser’s inspection of the Real Property and the Tests.  Purchaser shall keep the Real Property free of any liens resulting from Purchaser’s inspection of the Real Property and the Tests.

(b)    Purchaser hereby agrees to indemnify, defend and hold Seller harmless from and against, and will compensate and reimburse Seller for, any and all causes, claims, demands, losses, liabilities, costs, damages, expenses and fees (including, but not limited to, reasonable attorney’s fees incurred at any level of proceedings including appeal) incurred or suffered by or asserted against Seller caused by or related to Purchaser’s or the Purchaser Representatives inspection of the Real Property or the Tests, with the exception of any causes, claims, demands, losses, liabilities, costs, damages, expenses and fees caused by the gross negligence of Seller. The foregoing indemnification shall survive any termination, cancellation or expiration of this Agreement or the Closing of the purchase and sale contemplated hereby.  

7.    [Intentionally Deleted] 

8.    Condition of Property; Damage; Condemnation.

(a)    Seller agrees that at the Closing the Property shall be in the same condition as exists on the date hereof, subject to natural wear and tear, trespass, condemnation, removal of timber from the Harvest Parcels or pursuant to rights granted to third parties under the Unrecorded Encumbrances or under recorded instruments disclosed in the Title Commitment and any Updates thereto, Casualty (as defined herein), and the Permitted Encumbrances.  During the term of this Agreement, Seller shall neither cut or remove nor permit the cutting or removal of any timber or trees which are included as part of the Property subject to and excepting from the foregoing prohibition any removal of timber from the Harvest Parcels or other Real Property pursuant to rights granted to third parties under the Unrecorded Encumbrances or under recorded instruments disclosed in the Title Commitment and any Updates thereto.  

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(b)    If at any time prior to the Closing, the Property or any part thereof (including, but not limited to, any timber or trees which are included as part of the Property) is destroyed or damaged by fire or other Casualty (as hereinafter defined), Seller shall deliver to Purchaser prompt written notice of such destruction or damage along with Seller’s good faith calculation of the amount of such damage resulting from the Casualty (calculated as the fair market value of the destroyed or damaged Property less the salvage value of such destroyed or damaged Property), and the transactions contemplated by this Agreement shall be subject to the provisions of this Section 8(b).  The Closing Date shall be extended to the extent necessary to permit the compliance with all procedures set forth in this Section 8(b).

(i)        If the amount of such damage (as finally determined pursuant to this Section 8) does not exceed $50,000 (the “Threshold Amount”), and Purchaser exercises the Option, or has previously exercised the Option, then Purchaser shall be required to purchase the Property in accordance with this Agreement without a reduction of the Purchase Price.  

(ii)        If the amount of such damage (as finally determined pursuant to this Section 8) exceeds the Threshold Amount but does not exceed $3,000,000, then, if Purchaser exercises the Option, or has previously exercised the Option, Purchaser shall be required to purchase the Property in accordance with this Agreement, provided that the Purchase Price shall be reduced by an amount equal to the amount of such damage (as finally determined pursuant to this Section 8).

(iii)        If the amount of such damage (as finally determined pursuant to this Section 8) exceeds $3,000,000, then either party may, at its sole option, elect to cancel this Agreement by delivering written notice to the other party, whereupon Seller shall promptly return the Option Consideration to Purchaser and no party hereto shall have any further rights or obligations hereunder (except as may otherwise be expressly provided herein). If neither party elects to cancel this Agreement in accordance with the foregoing sentence, and Purchaser exercises the Option, or has previously exercised the Option, then the parties will proceed to Closing (subject to the other terms and conditions set forth in this Agreement) and the Purchase Price shall be reduced at Closing by an amount equal to the amount of such damage (as finally determined pursuant to this Section 8).

(iv)        If Purchaser, by delivering written notice to Seller within fifteen (15) days following Seller’s delivery of written notice of any Casualty, disputes the amount of damage reported by Seller, Purchaser and Seller shall attempt in good faith to resolve such dispute and agree upon the amount of the damage. If Purchaser and Seller agree upon the amount of the damage resulting from the Casualty, such agreed amount shall be final and binding on the parties for purposes of this Section 8. However, if Purchaser and 

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Seller are unable to agree as to the amount of damage from fire or other Casualty on or before ten (10) days after Purchaser delivers to Seller written notice of its dispute, then the amount of damage will be determined in accordance with Section 23 of this Agreement.

(c)    If at any time prior to the Closing, any action or proceeding is filed or threatened under which any portion of the Property may be taken pursuant to any law, ordinance or regulation by condemnation or the right of eminent domain, Seller shall deliver to Purchaser prompt notice thereof.  To the extent such action or proceeding would result in the taking of one thousand (1,000) acres or more, then Purchaser at its sole option shall elect, by delivering written notice to Seller within fifteen (15) days following Seller’s delivery of notice to Purchaser, either (i) to cancel this Agreement, whereupon Seller shall promptly return the Option Consideration to Purchaser and no party hereto shall have any further rights or obligations hereunder (except as may otherwise be expressly provided herein), or (ii) to purchase the Property pursuant to this Agreement, notwithstanding such action or proceeding.  Failure by Purchaser to deliver written notice to Seller of its election within such fifteen (15) day period shall be deemed an election of clause (ii).  If the action or proceeding would result in the taking of less than one thousand (1,000) acres, or if Purchaser elects or is deemed to elect clause (ii) above, then Purchaser shall receive a credit against the Purchase Price at Closing in the amount of all proceeds of any awards actually paid to Seller prior to Closing with respect to the Property so taken (less the costs of Seller incurred in procuring such proceeds or awards), or, if such amount is not known or received at the time of the Closing, the Purchase Price shall not be reduced and Seller shall instead assign to Purchaser at the Closing all of Seller’s right to such proceeds from such action or proceeding to the extent not yet received by Seller. To the extent such action or proceeding would result in the taking of one thousand (1,000) acres or more, the Closing Date shall be extended to the extent necessary to permit the exercise of such election by Purchaser.

9.    Warranties and Representations; Indemnification.

(a)    Seller hereby warrants and represents to Purchaser that as of the Effective Date and as of the date of Closing:

(i)     Seller is a limited partnership duly registered and validly existing under the laws of the State of Delaware.

(ii)    Seller has the full right, power, and authority to enter into and perform its obligations under this Agreement; and no consent, approval, order or authorization of any court or other governmental entity is required to be obtained by Seller in connection with the execution and delivery of this Agreement or the performance hereof by Seller.

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(iii)    Attached hereto as Exhibit D is a true and accurate summary of all unrecorded agreements, Timber Cutting Agreements and other unrecorded licenses created by Seller that currently affect the Real Property that will remain in effect as of the Closing Date (the “Unrecorded Encumbrances”).  The Unrecorded Encumbrances remain in full force and effect and have not been modified or amended, except as indicated on said Exhibit D.  To Seller’s knowledge, no event or condition exists or has occurred which with notice, the passage of time or otherwise would constitute a material default or event of default under any of the Unrecorded Encumbrances.

(iv)    There is no pending or, to Seller’s knowledge, threatened litigation, action or proceeding (including, but not limited to, any condemnation or eminent domain action or proceeding or any litigation regarding the location of lines and corners of the Property or any action or proceeding regarding adverse possession by third parties of any Real Property) before any court, governmental agency or arbitrator which may adversely affect Seller’s ability to perform this Agreement or which may affect the Property.

(v)    To Seller’s knowledge, (i) Seller’s use of the Real Property is in material compliance with all statutes, ordinances, rules, regulations, orders and requirements of all federal, state and local authorities and any other governmental entity having jurisdiction over the Property (“Laws”), and (ii) no condition exists on the Property which violates any Laws in any material respect.  Seller has not received any notice from any such governmental entity of any violation of any Laws.

(vi)        Seller has received no written notice of any pending or threatened actions against Seller or the Real Property based upon the presence on the Real Property of any species listed as threatened or endangered under the Endangered Species Act of the United States or any law of the State of Oregon protecting endangered or threatened animal or plant species, and Seller has no knowledge of the current or past presence on the Real Property of any such threatened or endangered species that would adversely affect the Purchaser’s ability to conduct commercial timber operations on the Real Property.

(vii)    Seller (which for this purpose includes Seller’s partners, members, principal stockholders and managers) (x) has not been designated as a “specifically designated national and blocked person” on the most current list published by the U.S. Treasury Department Office of Foreign Assets Control at its official website, <http://www.treas.gov/ofac/t11sdn.pdf> or at any replacement website or other replacement official publication of such list and (y) is currently in compliance with and will at all times during the term of this Agreement remain in compliance with the regulations of the Office of Foreign Asset Control of the Department of the Treasury and any statute, executive order (including the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action relating thereto.

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(viii)        Except as disclosed in the Phase I, Neither Seller nor, to Seller’s knowledge, any other person has used any portion of the Real Property as a land fill or as a dump to receive garbage, refuse, or waste, whether or not hazardous (other than unauthorized household refuse dump sites typical of rural timberlands not more than 1/4 acre in size), and, except as disclosed in the Phase I, neither Seller nor, to Seller’s knowledge, any other person has stored, handled, installed or disposed in, on or about the Real Property any Hazardous Substance, except for, in accordance with applicable Law, (A) the use of motor vehicle lubricants and fuels, and (B) the application of silvicultural and agricultural chemicals.  For purposes of this warranty, the term “Hazardous Substance” means any chemical, compound, constituent, material, waste, contaminant (including petroleum, crude oil or any fraction thereof) or other substance, defined as hazardous or toxic, or otherwise regulated by any of the following laws and regulations promulgated thereunder as amended from time to time prior to the Effective Date:  (1) the Comprehensive Environmental Response, Compensation and Liability Act (as amended by the Superfund Amendments and Reauthorization Act), 42 U.S.C. § 9601 et seq.; (2) the Resource Conservation and Recovery Act of 1976, 42 U.S.C. § 6901 et seq.; (3) the Hazardous Materials Transportation Act, 49 U.S.C. § 1801 et seq.; (4) the Toxic Substances Control Act, 15 U.S.C. § 2601 et seq.; (5) the Clean Water Act, 33 U.S.C. § 1251 et seq.; (6) the Clean Air Act, 42 U.S.C. § 1857 et seq.; and (7) all laws of the State of Oregon that are based on, or substantially similar to, the federal statutes listed in clauses (1) through (6) of this sentence.

(ix)        Except as provided under the Unrecorded Encumbrances (including the Timber Cutting Agreements) and under recorded instruments disclosed in the Title Commitment and any Updates thereto:  (A) to Seller’s knowledge, no third party has any rights to enter upon the Real Property to harvest and remove any timber therefrom; and (B) no timber or trees have been removed or harvested from the Real Property or affected by any Casualty causing damage in excess of the Threshold Amount since February 2, 2018 (the “Inventory Date”). For purposes of this Agreement, “Casualty” shall mean any physical damage to or loss of the timber on any portion of the Property by fire, earthquake, flood, insects, disease or other calamity, or as a result of timber trespass or unauthorized harvest.

(x)        except for the Unrecorded Encumbrances, to Seller’s knowledge, there are no unrecorded contracts, leases, or other agreements that affect the ownership, use or operation of the Real Property and that would be binding on Purchaser after the Closing date.  
    
(xi)        to Seller’s knowledge, except as disclosed in the Title Commitment and any Updates thereto, (A) no taxes or assessments relating to the Property are delinquent, and (B) there are no special taxes, assessments or charges proposed, pending or threatened against the Property.  During the period of Seller’s ownership of the Real 

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Property, neither Seller nor, to the best of Seller’s knowledge, any other person or entity has caused any portion of the Real Property to violate the terms and conditions of any program in which such portion is enrolled that allows reduced ad valorem real property tax assessments for agricultural or silvicultural use.

(xii)        to Seller’s knowledge, there have been no active mining operations conducted on the Real Property during the period in which Seller has owned the Real Property, and Seller has no knowledge of any proposed mineral activity on the Real Property.

(xiii)        Subject to the limitations set forth in Section 9(d) and 9(e) below, if Purchaser exercises the Option, Seller will hold harmless, indemnify and defend Purchaser from and against any and all obligations, liabilities, claims, liens or damages suffered or incurred by Purchaser or imposed against the Property on account of any breach of any representation or warranty of Seller set forth in this Section 9(a).

(b)    For purposes of this Agreement, “Seller’s knowledge” and similar phrases with respect to matters known by Seller shall be defined as the present, actual knowledge possessed by Sarah Hall and Jack Stover, without any duty of inquiry.

(c)    Purchaser hereby warrants and represents to Seller, as of the Effective Date and as of Closing, that:

(i)     Purchaser is a corporation duly organized and validly existing under the laws of the State of Maryland.

(ii)    Purchaser has the full right, power and authority to enter into and perform its obligations under this Agreement; and no consent, approval, order or authorization of any court or other governmental entity is required to be obtained by Purchaser in connection with the execution and delivery of this Agreement or the performance hereof by Purchaser.

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(d)    Notwithstanding anything herein to the contrary, all representations and warranties contained in this Section 9 shall survive the Closing and the delivery of the conveyance instruments to Purchaser for a period of one (1) year after the Closing Date (the “Survival Period”). No claim for a breach of any Seller representation or warranty, or the failure or default of a covenant or agreement of Seller that survives Closing, shall be actionable or payable unless written notice containing a description of the specific nature of such breach shall have been delivered by Purchaser to Seller prior to the expiration of the Survival Period. The maximum amount that Purchaser shall be entitled to collect from Seller in connection with all suits, litigation or administrative proceedings resulting from all breaches by Seller of any Seller representations or any covenants of Seller shall in no event exceed ten percent (10%) of the Purchase Price in the aggregate.

(e)    The indemnification provisions set forth in this Section 9 shall provide the parties’ exclusive post-Closing remedy for breach of any representation or warranty set forth in this Agreement. Notwithstanding anything in this Agreement to the contrary, the limitations on remedies set forth in this Section and elsewhere in this Agreement  shall not apply to or limit in any way any post-Closing rights or remedies (i) contained in or derived from the Deed or the other conveyance documents delivered at Closing, (ii) arising out of any fraud or intentional misconduct on the part of either party hereto, or (iii) any right of contribution or indemnification existing under any statute or law resulting from the existence on the Closing date of any “Recognized Environmental Condition” (as such term is defined in ASTM Practice E 2247-16 Standard Practice for Environmental Site Assessments: Phase I Environmental Site Assessment Process for Forestland or Rural Property) affecting the Property.

10.    Brokerage Commission.  Seller shall indemnify and hold Purchaser harmless from all claims, losses, liabilities and expenses (including but not limited to reasonable attorneys’ fees and court costs actually incurred) which Purchaser may incur on account of any claim which may be asserted against Purchaser, whether or not meritorious, by any broker or other person on the basis of any agreements made or alleged to have been made by or on behalf of Seller for commissions or other compensation for bringing about the transaction contemplated by this Agreement.  Purchaser shall indemnify and hold Seller harmless from all claims, losses, liabilities and expenses (including but not limited to reasonable attorneys’ fees and court costs actually incurred) which Seller may incur on account of any claim which may be asserted against Seller, whether or not meritorious, by any broker or other person on the basis of any agreements made or alleged to have been made by or on behalf of Purchaser for commissions or other compensation for bringing about the transaction contemplated by this Agreement. This Section 10 shall survive the Closing or any termination, cancellation or expiration of this Agreement.

11.    Prorations of Income; Taxes; Expenses.  

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(a)    All rent and other income and all expenses relating to the Property (other than any deficit or surplus balances under BLM road use agreements) shall be prorated as of the date of Closing. If the actual rent and other income and all expenses relating to the Property are not known as of the date of Closing, then within thirty (30) days after Closing or the date such amounts became known (whichever is later), Seller and Purchaser shall reconcile such actual rent and other income and all expenses with the prorations done at Closing, and an adjusting payment shall be made between the parties to effectuate the final prorated amounts. This obligation shall survive the Closing.

(b)    Ad valorem real property taxes on the Property and special assessments (including, without limitation, fire protection district assessments) shall be prorated as of the Closing Date.  If actual tax bills for the calendar year of Closing are not available, said taxes shall be prorated based on tax bills for the previous calendar year and the parties hereto agree to cause a reproration of said taxes upon the receipt of tax bills for the calendar year of Closing and an adjusting payment shall be made between the parties to effectuate the final prorated amounts.  This obligation to reprorate shall survive the closing of the purchase and sale contemplated hereby.  If the Real Property is not designated a separate tax parcel from any real property which is not being purchased by Purchaser under this Agreement, the taxes for such tax parcel shall be adjusted to an amount bearing the same relationship to the total tax bill which the acreage contained within the Real Property bears to the acreage contained within the total real property included within said tax bill.  

(c)    Purchaser and Seller shall each pay one-half of the Escrow Agent’s standard closing fees for the transaction.  Purchaser shall pay the costs of recordation of the Deed.  

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(d)    Seller shall pay any and all fees, costs and expenses for title searches and examinations and other title-related charges in connection with obtaining the initial Title Commitment (if any charged separately from the Basic Title Policy premium), and the premium for the issuance of a single standard coverage owner’s policy of title policy in the amount of the Purchase Price and without endorsements or extended coverage insuring Purchaser of good and marketable title to the Real Property, subject only to the Permitted Encumbrances and the standard printed exceptions appearing in such policy form (the “Basic Title Policy”).  Purchaser shall pay any and all fees, costs and expenses for any additional title searches and examinations and other title-related charges (if any charged separately from the Basic Title Policy premium) in connection with the issuance of any Updates or any title search and examination which is required in connection with any Title Objection Notice or Supplemental Title Objection Notice delivered by Purchaser.  Purchaser shall also pay the premium and title related charges for any loan policies and extended coverage form policies of title insurance and any endorsements thereto or to the Basic Title Policy, if requested by Purchaser, and for any loan title policy required by Purchaser’s lender; provided, however, that a commitment to issue any such loan policies and extended coverage or endorsements shall not be a condition precedent to Purchaser’s obligations to close the transactions contemplated by this Agreement and Seller shall not be obligated in any event to indemnify the Title Company to induce it to issue the Basic Title Policy or any extended coverage or endorsements requested by Purchaser (other than a standard “gap” indemnity, if required by the Title Company, and delivery of the Owner’s Affidavit contemplated by Section 4(b)(v) above).

(e)    Each party shall pay its respective costs and expenses of legal representation.

(f)    Purchaser shall be solely responsible and liable for any deferred, rollback, recapture or other tax or assessment (“Rollback Taxes”) imposed or charged with respect to the Property or any part thereof for or relating to any periods prior to or subsequent to the Closing based on any change of use of the Property by Purchaser. Seller shall be responsible for any Rollback Taxes based upon the actions of Seller, including but not limited to the sale of the Property to Purchaser.  The provisions of this subparagraph (f) shall survive the Closing.

12.    Default; Remedies.  

(a)    If Purchaser timely exercises the Option, and the purchase and sale of the Property contemplated hereby is not thereafter consummated on or prior to the Closing Date (as it may be extended under this Agreement) because of a default by Purchaser under this Agreement, then, in addition to Seller retaining the Option Consideration, Purchaser shall reimburse Seller on demand for Seller’s reasonable and documented third party cost and expenses incurred in connection with this Agreement, provided said reimbursement obligation under this Agreement 

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shall not exceed $100,000.00 in the aggregate.  Purchaser’s payment of Seller’s expenses as provided above shall be Seller’s sole remedy.

(b)    If Purchaser timely exercises the Option, and the purchase and sale of the Property contemplated hereby is not thereafter consummated on or prior to the Closing Date (as it may be extended under this Agreement) because of a default by Seller under this Agreement, then Purchaser shall have the right, as its sole and exclusive remedy, either (i) to terminate this Agreement, whereupon Seller will return the Option Consideration to Purchaser, and the parties hereto will have no further rights or obligations hereunder (except as otherwise expressly provided herein), (ii) to waive any such default and proceed to Closing, (iii) to seek specific performance of this Agreement, or (iv) if specific performance is not available to Purchaser, Seller shall reimburse Purchaser on demand for Purchaser’s reasonable and documented third party cost and expenses incurred in connection with this Agreement, provided said reimbursement obligation under this Agreement shall not exceed $100,000.00 in the aggregate.

13.    Assignment.  Except as otherwise expressly permitted in this Agreement, neither party hereto shall assign its rights or obligations hereunder, in whole or in part, without the prior written consent of the other party, which written consent will not be unreasonably withheld of delayed.  Notwithstanding the foregoing, (a) Purchaser shall have the right, upon written notice given to Seller not less than five (5) days prior to the Closing Date, to assign its rights and obligations under this Agreement in whole or in part to any affiliate or affiliates of Purchaser, provided that Purchaser shall remain liable for all obligations under this Agreement to the extent arising out of or relating to performance, acts or omissions occurring prior to Closing; and (b) Purchaser may assign this Agreement at the Closing, but not earlier, to any institutional lender or lenders as security for obligations to such lender or lenders in respect of financing arrangements of Purchaser or any affiliates thereof with such lender or lenders. Without limiting the generality of the foregoing, Purchaser may elect to have some or all of the Property, and/or the timber located thereon, conveyed directly at Closing to one or more of Purchaser’s affiliates and in such event the Deed shall be delivered to, and the applicable instruments of conveyance and assumption delivered at Closing shall be executed by, such affiliate or affiliates, as applicable.

14.    No Waiver.  No action or failure to act by any party hereto shall constitute a waiver of any right or duty afforded to such party under this Agreement, nor shall any such action or failure to act constitute an approval of or acquiescence in any breach of this Agreement except as may be specifically agreed in writing.

15.    Governing Law.  This Agreement shall be governed by the laws of the State of Oregon.  

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16.    Notice.  Any and all notices, elections and communications required or permitted by this Agreement shall be made or given in writing and shall be delivered in person or sent by postage, pre-paid, United States Mail, certified or registered, return receipt requested, or by a recognized overnight courier such as FedEx or UPS, or by facsimile or e-mail, to the other parties at the addresses set forth below, or such other address as may be furnished by notice in accordance with this paragraph.  The date of notice given by personal delivery shall be the date of such delivery.  The effective date of notice by mail, facsimile, email or overnight courier shall be the date such notice is mailed, faxed, emailed or deposited with such overnight courier.  In the event that the last day for giving notice hereunder or for the performance of any obligation hereunder, including Closing, falls upon a Saturday, Sunday or a legal holiday, the last day for said notice or performance shall be deemed to be the next day which is neither a Saturday, Sunday nor a legal holiday.

Seller:            FIA Timber Partners II, L.P.
c/o Forest Investment Associates L.P.
15 Piedmont Center
Suite 1250
Atlanta, Georgia 30305
Attention:  Sarah Hall
Email: shall@forestinvest.com

with a copy to:           Stoel Rives LLP
760 SW Ninth Ave., Suite 3000
Portland, OR 97205                
Attention: Adam H. Dittman
Attention: Mark A. Norby
Facsimile:  (503) 220-2480
Email: adam.dittman@stoel.com
Email: mark.norby@stoel.com
            
Purchaser:            c/o CatchMark Timber Trust
Five Concourse Parkway
Suite 2325
Atlanta, Georgia 30328
Attention:  John D. Capriotti
Facsimile No.:  (770) 243-8172
Email:  john.capriotti@catchmark.com

with a copy to:            Smith, Gambrell & Russell, LLP
Suite 3100, Promenade II
1230 Peachtree Street, N.E.
Atlanta, Georgia  30309-3592
Attention:  Mark G. Pottorff
Facsimile:  (404) 685-6897
Email: mpottorff@sgrlaw.com

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17.    Entire Agreement.  This Agreement and the Confidentiality Agreement contain the entire agreement among the parties hereto with respect to the subject matter hereof and cannot be amended or supplemented except by a written agreement signed by Seller and Purchaser.

18.    Captions.  The captions of paragraphs in this Agreement are for convenience and reference only and are not part of the substance hereof.

19.    Severability.  In the event that any one or more of the provisions, paragraphs, words, clauses, phrases or sentences contained in this Agreement, or the application thereof in any circumstance is held invalid, illegal or unenforceable in any respect for any reason, the validity, legality and enforceability of any such provision, paragraph, word, clause, phrase or sentence in every other respect and of the remaining provisions, paragraphs, words, clauses, phrases or sentences of this Agreement, shall not be in any way impaired, it being the intention of the parties that this Agreement shall be enforceable to the fullest extent permitted by laws.

20.    Counterparts.  This Agreement may be executed in multiple counterparts which shall be construed together as one instrument.  This Agreement, including any amendments thereto, may be executed and delivered by facsimile transmission, with the intention that such facsimile signature and delivery shall have the same effect as an original signature and actual delivery.

21.    Binding Effect.  This Agreement shall bind the parties hereto and their respective heirs, legal representatives, successors and assigns.

22.    Time; Business Day.  

(a)    Time is of the essence of this Agreement; provided that in the event that the last day for performance of any obligation hereunder falls upon a day that is not a business day (as defined below), the last day for said performance shall be deemed to be the next business day.

(b)    As used in this Agreement, the term “business day” shall mean any day that is not a Saturday, a Sunday, a legal holiday in the United States of America, or a legal holiday in the State of Oregon.

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23.    Resolution of Disputes.  In the event that any provision of this Agreement refers to this Section 23 for a determination of the amount of any change in the value of the Property or the fair market value of any portion(s) of the Property or the timber on the Property or to resolve a disagreement between the parties with respect to the allocation of the Purchase Price, Seller and Purchaser will promptly make a good faith attempt to mutually agree upon such fair market value or allocation.  In the event Seller and Purchaser are unable to so agree within the time period specified in this Agreement after notice of the event or circumstance necessitating the need for such determination from either party to the other party, Seller and Purchaser will each promptly appoint an independent forestry consultant, each of which may be a consultant previously engaged by the appointing party with respect to the Property, and such two consultants will in turn promptly select a third independent forestry consultant (which third consultant may not be a consultant previously engaged by either party) to act with them in a panel to determine the appropriate fair market valuation or allocation.  The panel of consultants will reach a binding decision within thirty (30) days of the selection of the third consultant, and the decision of the panel of consultants as to the fair market valuation or the amount of the Purchase Price to be allocated to Real Property or Personal Property that is in dispute will be final. Each party will submit its determination of value or, in the case of a dispute regarding the allocation of the Purchase Price, its position regarding the amount to be allocated to the item(s) in dispute to the panel of consultants within three (3) days of selection of the third consultant. When making is determination of value or of the proper allocation to attribute to a disputed allocation to Real Property or Personal Property, as applicable, the panel of consultants shall select the submission of the party that the panel determines most closely represents the fair market valuation of the Real Property or Personal Property for which the allocation of value is disputed taking into account any guidelines set forth in the applicable section of this Agreement, but the panel shall not be authorized to select a different amount. Seller shall pay the cost of its appointed consultant; Purchaser shall pay the cost of its appointed consultant; and Seller and Purchaser shall each pay one-half (1/2) of the cost of the third consultant.  The Closing Date shall be extended to the extent necessary for such consultants to reach such decision but not by more than forty-five (45) days.

24.    Public Announcements.  Seller and Purchaser hereby agree that prior to the Closing, except as required by applicable laws or any applicable stock exchange rules, all press releases and other public announcements with respect to the transactions contemplated by this Agreement, including the time, form and content of such release or announcement, shall be made only with the prior mutual written agreement of Purchaser and Seller; provided, however, that any disclosure required to be made under applicable law may be made only if a party required to make such disclosure has determined in good faith and upon advice of legal counsel that it is necessary to do so and such party has used reasonable efforts, prior to the issuance of the disclosure, to provide the other party with a copy of the proposed disclosure and to discuss the proposed disclosure with the other party.

25.    Patriot Act Compliance.   Purchaser represents that neither Purchaser nor any of Purchaser’s affiliates, nor any of their respective partners, members, shareholders or other equity owners, and none of their respective employees, officers, directors, representatives or agents is, nor 

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will they become, a person or entity with whom U.S. persons or entities are restricted from doing business under regulations of the Office of Foreign Asset Control (“OFAC”) of the Department of the Treasury (including those named on OFAC’s Specially Designated and Blocked Persons List) or under any statute, executive order (including the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action and is not and will not attempt to assign this contract to, contract with or otherwise engage in any dealings or transactions or be otherwise associated with such persons or entities.  Any assignee of this contract is deemed to make this representation upon acceptance of an assignment of this contract.  Purchaser’s primary address is as set forth in the notice section of this Agreement.  Purchaser hereby covenants and agrees that if Purchaser obtains knowledge that Purchaser or any owner of any controlling interest in Purchaser becomes listed on the foregoing or is indicted, arraigned, or custodially detained on charges involving money laundering or predicate crimes to money laundering, Purchaser will immediately notify Seller in writing, and in such event, Seller will have the right to terminate this Agreement without penalty or liability to Seller immediately upon delivery of written notice thereof to Purchaser, in which event the Earnest Money will be returned to Purchaser and neither party will have any further rights or obligations under this Agreement, except for such as specifically survive termination.   

26.    Effective Date.  The “Effective Date” of this Agreement will be the date the later of Seller and Purchaser has executed this Agreement, as indicated on the signature page(s) below.  

27.    Incorporation of Exhibits.  All exhibits referred to herein are hereby incorporated in this Agreement by this reference.

28.    AS IS.    PURCHASER ACKNOWLEDGES THAT, EXCEPT FOR SELLER’S REPRESENTATIONS AND WARRANTIES SET FORTH IN SELLER’S SPECIAL WARRANTY OF TITLE IN THE DEED AND EXCEPT FOR SELLER’S REPRESENTATIONS AND WARRANTIES CONTAINED IN SECTION 9 OF THIS AGREEMENT: (I) NO REPRESENTATIONS OR WARRANTIES, EXPRESS OR IMPLIED, HAVE BEEN OR ARE BEING MADE BY OR ON BEHALF OF SELLER OR ANY OTHER PERSON, INCLUDING WITH RESPECT TO THE CONDITION OR VALUE OF THE PROPERTY OR THE TIMBER THEREON, AND SELLER HEREBY EXPRESSLY DISCLAIMS ALL WARRANTIES, EITHER EXPRESS OR IMPLIED, INCLUDING MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND SUITABILITY FOR ITS INTENDED USE, (II) IN ENTERING INTO THIS AGREEMENT, PURCHASER HAS NOT RELIED ON AND DOES NOT RELY ON ANY SUCH REPRESENTATIONS OR WARRANTIES, EXPRESS OR IMPLIED, BY OR ON BEHALF OF SELLER OR ANY OTHER PERSON, AND (III) PURCHASER SHALL ACQUIRE THE PROPERTY IN “AS IS, WHERE IS, AND WITH ALL FAULTS” CONDITION ON THE CLOSING DATE.  

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29.    Property Data and Materials; Confidentiality Agreement.   Purchaser acknowledges that, except as may otherwise be provided in Section 9, any information or materials provided or made available to Purchaser or its representatives in hard copy, by facsimile or electronic transmission or via the online data room managed by Forest Investment Associates L.P., including, without limitation, any cost or other estimates, projections, acreage, and timber information, the Title Commitment, other title commitments, and other title policies, are not and shall not be deemed representations or warranties by or on behalf of Seller.  Purchaser acknowledges and agrees that Purchaser is and will remain, until the Closing, subject to and bound by all of the prohibitions, requirements, restrictions and other provisions of that certain Confidentiality Agreement, dated as of February 16, 2018, between Forest Investment Associates L.P., in its capacity as investment manager, on behalf of Seller and Purchaser (the “Confidentiality Agreement”), and Purchaser reaffirms all of its obligations and liabilities thereunder.

30.    No Survival.  Except as otherwise provided herein, the provisions of this Agreement shall not survive the Closing of the purchase and sale contemplated hereby and shall be merged into the delivery of the Deed and other documents and the payment of all monies pursuant hereto.

31.    No Solicitation.  Seller agrees that it shall not after the Effective Date and until this Agreement is terminated, directly or indirectly, through any officer, director, employee, agent or otherwise, (a) solicit, initiate or encourage submission of proposals, offers or expressions of interest from any person or entity other than Purchaser relating to any acquisition or purchase of all or a portion of the Property (any of the foregoing proposals, offers or expressions of interest being referred to herein as an “Acquisition Proposal”), or (b) participate in any negotiations or discussions with any person other than Purchaser regarding, or furnish to such person any nonpublic information with respect to, or otherwise cooperate in any way with, or assist or participate in, facilitate or encourage, any Acquisition Proposal.

32.    [Intentionally Deleted]

33.    Property Information.  To the extent not already delivered to Purchaser, and to the extent transferrable, Seller shall make available to Purchaser within ten (10) days of the date hereof copies of all title information owned by Seller and within Seller’s possession relating the Real Property, inventory information, GIS information, current third party contracts for silvicultural activities with respect to the Property, and plot data from Seller’s latest cruise of the Property (the “Property Information”).  At Closing, Seller shall deliver both hard copies and electronic versions (to the extent in existence and to the extent transferrable) of the Property Information as Purchaser may reasonably request; provided, however, that Seller shall have no obligation to provide or make available to Purchaser at any time, and the term “Property Information” shall not include: (a) any information that is subject to the attorney-client, attorney work product doctrine or other privilege (as reasonably and in good faith determined by Seller), (b) any information regarding the pricing 

22
    
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of timber, internal or external appraisals of the Real Property, other valuations or similar pricing or financial records, or any other information that is confidential and proprietary to Seller, (c) all communications by Seller personnel prior to the Closing Date regarding the transactions contemplated by this Agreement and any other documentation relating to the negotiation, documentation, and consummation of the transactions contemplated by this Agreement, (d) Seller’s investor and manager communications and (e) any document or item which Seller is contractually bound to keep confidential. 

34.    Statutory Notice.  THE PROPERTY DESCRIBED IN THIS INSTRUMENT MAY NOT BE WITHIN A FIRE PROTECTION DISTRICT PROTECTING STRUCTURES. THE PROPERTY IS SUBJECT TO LAND USE LAWS AND REGULATIONS THAT, IN FARM OR FOREST ZONES, MAY NOT AUTHORIZE CONSTRUCTION OR SITING OF A RESIDENCE AND THAT LIMIT LAWSUITS AGAINST FARMING OR FOREST PRACTICES, AS DEFINED IN ORS 30.930, IN ALL ZONES. BEFORE SIGNING OR ACCEPTING THIS INSTRUMENT, THE PERSON TRANSFERRING FEE TITLE SHOULD INQUIRE ABOUT THE PERSON’S RIGHTS, IF ANY, UNDER ORS 195.300, 195.301 AND 195.305 TO 195.336 AND SECTIONS 5 TO 11, CHAPTER 424, OREGON LAWS 2007, SECTIONS 2 TO 9 AND 17, CHAPTER 855, OREGON LAWS 2009, AND SECTIONS 2 TO 7, CHAPTER 8, OREGON LAWS 2010. BEFORE SIGNING OR ACCEPTING THIS INSTRUMENT, THE PERSON ACQUIRING FEE TITLE TO THE PROPERTY SHOULD CHECK WITH THE APPROPRIATE CITY OR COUNTY PLANNING DEPARTMENT TO VERIFY THAT THE UNIT OF LAND BEING TRANSFERRED IS A LAWFULLY ESTABLISHED LOT OR PARCEL, AS DEFINED IN ORS 92.010 OR 215.010, TO VERIFY THE APPROVED USES OF THE LOT OR PARCEL, TO VERIFY THE EXISTENCE OF FIRE PROTECTION FOR STRUCTURES AND TO INQUIRE ABOUT THE RIGHTS OF NEIGHBORING PROPERTY OWNERS, IF ANY, UNDER ORS 195.300, 195.301 AND 195.305 TO 195.336 AND SECTIONS 5 TO 11, CHAPTER 424, OREGON LAWS 2007, SECTIONS 2 TO 9 AND 17, CHAPTER 855, OREGON LAWS 2009, AND SECTIONS 2 TO 7, CHAPTER 8, OREGON LAWS 2010.

35.    Post-Closing Permit Transfer.  Upon Seller’s completion, after Closing, of the harvest of Unharvested Timber, if any, from the Harvest Parcels listed on Exhibit E, or, if earlier, the date that Seller’s reservation of the Unharvested Timber expires (such date, as to each permit, the “Post-Closing Permit Transfer Date”), Seller shall assign the notifications of operations/permits for such harvest unit to Purchaser and Purchaser shall be deemed to have assumed the obligations arising under such permits, and such permits shall thereafter be Assumed Liabilities, except that Purchaser is not assuming, and shall not be liable for, any liabilities or obligations of Seller under such permits arising prior to the Post-Closing Permit Transfer Date other than unperformed reforestation obligations under such permits.
36.    Continuing Obligations.  Purchaser acknowledges that the Real Property is subject to certain reforestation and/or slash removal obligations imposed by applicable law or governmental regulations, including, without limitation, the Oregon Forest Practices Act, 

23
    
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concerning the Real Property, including but not limited to the continuing obligations under the notifications listed on attached Exhibit G (collectively, the “Continuing Obligations”). The parties acknowledge that the disclosures set forth in Exhibit G satisfy the statutory requirements of ORS 527.665.  As of the Closing, Purchaser assumes and agrees to perform the Continuing Obligations at Purchaser’s sole cost and expense in a timely fashion, and to indemnify, defend and hold Seller harmless from and against the Continuing Obligations and any claim, loss, damage, cost or expense arising from Purchaser’s failure to perform the same. The obligations under this Section shall survive Closing.

37.    Fees and Expenses; Attorney’s Fees.  Except as expressly provided in this Agreement to the contrary, whether or not the transactions contemplated by this Agreement are consummated, all legal and other costs and expenses incurred in connection the due diligence, preparation, negotiation and execution of this Agreement and in connection with the transactions contemplated hereby shall be paid by the party incurring such costs and expenses. Should any legal action or proceeding be commenced by either party in order to enforce this Agreement or any provision hereof or any agreement or instrument executed and delivered in connection with this Agreement, or in connection with any alleged dispute, breach, default, or misrepresentation in connection with any provision herein or therein contained, the prevailing party shall be entitled to recover reasonable attorneys’ fees and costs incurred in connection with such action or proceeding, including reasonable title insurance company charges or fees and reasonable and necessary expert witness fee and costs of pursuing or defending any legal action, including, without limitation, any on appeal, discovery or negotiation and preparation of settlement arrangements, in addition to such other relief as may be granted.

38.    Conditions.
(a)    Unless waived by Purchaser, if the Option is exercised, the obligations of Purchaser to purchase the Property under this Agreement are expressly made subject to the fulfillment in all respects of the following conditions precedent:

(i)        the truth and accuracy as of the date of Closing of each and every warranty and representation herein made by Seller; and

(ii)        Seller’s timely performance of and compliance with each and every term, condition, agreement, restriction and obligation to be performed and complied with by Seller prior to Closing under this Agreement; and

(iii)        Purchaser shall have received, in the form of a “marked binder” delivered at Closing, an irrevocable commitment by the Title Company to issue to Purchaser the Basic Title Policy subject only to the payment of the premiums therefor 

24
    
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at Closing (but, for the avoidance of doubt, the Title Company’s commitment to issue any extended coverage or endorsements to the Basic Title Policy or to issue loan policies to Purchaser’s lenders shall not be a condition to Closing).

In the event that Purchaser has exercised the Option, if any of the above conditions is not satisfied on or before the Closing, Purchaser will have the right, exercisable at Purchaser’s sole election, to exercise the remedies described in Section 12(b), provided however, that Purchaser shall not be entitled to exercise the remedies described in Section 12(b) if the failure of any such condition to be satisfied is on account of any fault of Purchaser or breach of this Agreement by Purchaser.
(b)    Unless waived by Seller, upon exercise of the Option, the obligations of Seller to sell the Property under this Agreement are expressly made subject to the fulfillment in all respects of the following conditions precedent:

(i)        the truth and accuracy as of the date of Closing of each and every warranty and representation herein made by Purchaser; and

(ii)        Purchaser’s timely performance of and compliance with each and every term, condition, agreement, restriction and obligation to be performed and complied with by Purchaser prior to Closing under this Agreement.

In the event that Purchaser has exercised the Option, if any of the above conditions is not satisfied on or before the Closing, Seller will have the right, exercisable at Seller’s sole election, to exercise the remedies described in Section 12(a) provided however, that Seller shall not be entitled to exercise the remedies described in Section 12(a) if the failure of any such condition to be satisfied is on account of any fault of Seller or breach of this Agreement by Seller.

39.    [signatures commence on following page]

25
    
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IN WITNESS WHEREOF, this Agreement has been duly executed, sealed and delivered by the parties hereto the day and year first above written.

	
			
	Date of Seller’s Execution:

________________________

	 
	SELLER:

FIA TIMBER PARTNERS II, L.P., a Delaware limited partnership

By: FIA Timber Management II, LLC, its General Partner

By:               
      Name: Charles L. VanOver
      Title: Vice President    

[signatures continue on following page]

    
    

        

	
			
	 
	 
	 

	

Date of Purchaser’s Execution:

________________________

	 
	

PURCHASER:

CATCHMARK TIMBER TRUST, INC., a
Maryland corporation

By: _________________________ (SEAL)
Name: _______________________
Title: _________________________

	 
	 
	 

[end of signatures] 

        

Schedule of Exhibits

Exhibit A-1     -     Real Property Descriptions
Exhibit A-2    -    Maps Depicting Real Property
Exhibit B    -    Form of Deed
Exhibit C    -    Certain Title Matters
Exhibit D    -    Schedule of Unrecorded Encumbrances
Exhibit E    -    Harvest Parcels
Exhibit F    -    Form of Assignment and Assumption Agreement
Exhibit G    -    Continuing Obligations 
Exhibit H    -    Form of Post-Closing Harvest Agreement
Exhibit I    -     Form of Owner’s Affidavit
Exhibit J    -    Form of Bill of Sale
Exhibit K    -    Allocation

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EXHIBIT A-1

Real Property Descriptions

Real property in the County of Coos, State of Oregon, described as follows: 
TOWNSHIP 30 SOUTH, RANGE 12 WEST and

TOWNSHIP 30 SOUTH, RANGE 13 WEST

Parcel 54

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Secitons 13 and 18:  All thoase portion of the NE 1/4, the NW 1/4, the SW 1/4 of Section 18, Township 30 South, Range 12 West of the Willamette Meridian, Coos County, Oregon and the SE 1/4, the SE 1/4 of the SW 1/4 of Section 13, Township 30 South, Range 13 West of the Willamette Meridian, Coos County, Oregon, lying Northwesterly of a line beginning at an iron pipe on the Section line between Sections 13 and 24, Townsip 30 South, Range 13 West of the Willamette Meridian, Coos County, Oregon 451.7 feet West from the South quarter corner of said Section 13; thence North 17° 13’ East 188.8 feet; thence North 23° 13’ East 351.7 feet to a iron pipe; thence North 35° 06’ East 1171.2 feet to an iron pipe on the West edge of a road; thence along the Northwesterly edge of said road North 17° 50’ East 142.8 feet; North 05° 32’ West 191.6 feet; North 30° 21’ East 133.2 feet North 54° 52’ East 263.6 feet; South 72° 07’ East 124.7 feet; South 51° 36’ East 160.2 feet; South 77° 22’ East 150.8 feet; South 87° 38’ East 281.2 feet; South 60° 45’ East 128.3 feet; North 63° 22’ East 310.8 feet; South 57° 47’ East 131.7 feet to an iron pipe on the Westelry edge of said road; thence South 80° 05’ East 324.3 feet to an iron pipe; thence North 44° 48’ East 210.5 feet to an iron pipe; thence North 42° 17’ East 404.0 feet to an iron pipe; thence North 40° 22’ East 546.2 feet to an iron pipe; thence North 71° 36’ East 205.3 feet to an iron pipe; thence North 44° 04’ East 411.8 feet to an iron pipe; thence North 33° 17’ East 129.6 feet to an iron pipe; thence North 42° 31’ East 218.5 feet to an iron pipe; thence North 36° 44’ East 196.8 feet to an iron pipe; thence North 29° 09’ East 240.6 feet to an iron pipe; thence North 51° 40’ East 150.8 feet to an iron pipe; thence North 63° 08’ East 313.1 feet to an iron pipe; thence North 65° 23’ East 135.7 feet to an iron pipe; thence North 76° 46’ East 160.8 feet to an iron pipe; thence North 77° 14’  East 245.4 feet to an iron pipe; thence North 39° 42’ East 199.7 feet to an iron pipe; thence North 67° 15’ East 306.2 feet to an iron pipe; thence North 39° 35’ East 247.7 feet to an iron pipe; thence South 85° 03’ East 185.7 feet to an iron pipe; thence South 40° 23’ East 148.3 feet to an iron pipe; thence South 39° 29’ East 124.1 feet to an iron pipe; thence South 86° 09’ East 154.1 feet to an iron pipe; thence North 64° 39’ East 187.9 feet to an iron pipe; thence North 41° 49’ East 291.6 feet to an iron pipe; thence North 28° 49’ East 87.2 feet to an iron pipe; thence North 47° 28’ East 149.8 feet to an iron pipe; thence North 38° 17’ East 93.8 feet to an iron pipe; thence North 21° 58’ East 115.7 feet to an iron pipe; thence North 03° 48 East 328.6 feet to an iron pipe on the Section line between Sections 7 and 18, Townsip 30 South, Range 12 West of the Willamette Meridian, Coos County, Oregon, 60.0 feet West from the East 1/16th corner between said Sections 7 and 18.

TOGETHER WITH access easement rights reserved in instrument recorded as Document No. 75-2-110740, Coos County, Oregon records.

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South 47° 06’ 19” West 63.10 feet; thence North 72° 20’ 22” West 76.24 feet; thence
South 82° 28’ 19” West 88.27 feet; thence South 04° 30’ 41” West 125.94 feet; thence
South 29° 31’ 31” East 56.95 feet; thence South 12° 05’ 18” West 70.96 feet; thence
South 73° 53’ 11” West 244.04 feet; thence North 77° 53’ 55” West 70.92 feet; thence
South 55° 39’ 18” West 81.99 feet; thence South 02° 44’ 10” West 86.74 feet; thence
South 32° 46’ 09” East 158.73 feet; thence South 00° 44’ 37” East 174.20 feet; thence
South 41° 17’ 32” West 99.36 feet; thence South 88° 05’ 23” West 67.86 feet; thence
North 32° 43’ 13” West 75.29 feet; thence North 10° 32’ 00” East 197.42 feet; thence
North 62° 38’ 12” West 74.21 feet; thence South 56° 02’ 53” West 291.64 feet; thence
South 27° 48’ 38” West 92.07 feet; thence South 09° 39’ 16” East 107.85 feet; thence
South 87° 30’ 32” West 52.05 feet; thence South 27° 44’ 42” West 48.57 feet; thence 

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Parcel 60

Section 11: The S 1/2 of the NE 1/4; the NW 1/4 of the NE 1/4; the N 1/2 of the SE 1/4; the SE 1/4 of the SE 1/4; the NE 1/4 of the SW 1/4; the SE 1/4 of the NW 1/4.

PARCEL 61

Section 13:  The N 1/2; the N 1/2 of the SW 1/4; the SW 1/4 of the SW 1/4.

Parcel 62

Section 14:  The E 1/2; the SW 1/4 and that portion of the NW 1/4 lying South of that boundary line described in Property Line Adjustment Deed recorded in Coos County Microfilm Reel No. 94-05-0751.

Parcel 63

Section 15: The SE 1/4 of the SE 1/4; the S 1/2 of the SW 1/4.

thence South 34° 16’ 46” West 55.32 feet; thence South 48° 38’ 28” West 52.52 feet;
thence South 89° 06’ 09” West 55.56 feet; thence North 77° 59’ 44” West 135.45 feet;

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thence South 74° 35’ 54” West 67.00 feet; thence South 72° 46’ 04” West 64.23 feet;
thence South 56° 28’ 57” West 73.26 feet; thence South 63° 05’ 11” West 65.70 feet;
thence South 78° 44’ 49” West 69.13 feet; thence South 88° 46’ 33” West 76.31 feet;
thence South 78° 19’ 46” West 69.20 feet; thence South 79° 16’ 54” West 71.32 feet;
thence South 81° 04’ 10” West 72.26 feet; thence South 62° 11’ 57” West 67.86 feet;
thence South 60° 44’ 45” West 73.19 feet; thence South 53° 41’ 22” West 49.85 feet;
thence South 46° 20’ 51” West 5.53 feet; thence South 46° 20’ 51” West 58.84 feet;
thence South 45° 37’ 10” West 67.32 feet; thence South 45° 42’ 31” West 58.71 feet;
thence South 26° 27’ 40” West 62.97 feet; thence South 13° 46’ 17” West 68.24 feet;
thence South 25° 14’ 45” West 133.33 feet; thence South 17° 47’ 43” West 1.17 feet;

thence South 67° 57’ 47” West 53.17 feet; thence South 54° 10’ 19” West 52.03 feet; 
thence South 59° 44’ 53” West 54.94 feet; thence South 85° 51’ 50” West 64.71 feet;
thence South 89° 51’ 10” West 67.65 feet; thence South 80° 17’ 10” West 66.53 feet; 

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thence North 83° 12’ 14” West 55.96 feet; thence North 87° 57’ 55” West 54.79 feet; 
thence South 67° 22’ 29” West 56.80 feet; thence South 56° 58’ 00” West 59.43 feet;
thence South 66° 45’ 36” West 56.38 feet; thence North 74° 47’ 28” West 49.20 feet;
thence North 47° 14’ 06” West 31.87 feet; thence North 50° 23’ 12” West 51.32 feet; 
thence North 75° 23’ 23” West 47.13 feet; thence North 88° 09’ 18” West 48.96 feet; 
thence South 63° 13’ 58” West 50.80 feet; thence South 60° 22’ 23” West 51.83 feet;
thence South 85° 36’ 55” West 53.89 feet; thence North 88° 57’ 19” West 57.48 feet;
thence North 74° 03’ 03” West 53.54 feet; thence North 62° 16’ 25” West 57.09 feet;
thence North 52° 32’ 38” West 57.84 feet; thence North 63° 51’ 21” West 76.66 feet;

97087663.1 0067129-00001 

        

97087663.1 0067129-00001 

        

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EXHIBIT A-2

Maps Depicting Real Property

(See attached)

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EXHIBIT B

FORM OF SPECIAL WARRANTY DEED

	
		
	After Recording, Return To:
[_____________]
[_____________]
[_____________]

Until A Change Is Requested,
Send All Tax Statements To:

[_____________]
[_____________]
[_____________]
	 

Space above reserved for recorder

STATUTORY SPECIAL WARRANTY DEED

FIA TIMBER PARTNERS II, L.P., a Delaware limited partnership (“Grantor”), conveys and specially warrants to [_______________], a  [_______________] (“Grantee”), the real property located in [Coos]/[Curry] County, Oregon, described on the attached Exhibit A, together with Grantor’s right, title and interest in the following: all buildings, structures, and other improvements located thereon, all tenements, hereditaments, easements, appurtenances and privileges thereto belonging, all trees, timber, sand, gravel, rock and crops now located thereon or thereunder, and all oil, gas and mineral rights and interests in said real property not reserved or conveyed by Grantor or Grantor’s predecessors in title (collectively, the “Property”), free of encumbrances created or suffered by the Grantor except as specifically set forth herein.
SUBJECT TO, and excepting and excluding from the covenants and warranties described herein and in ORS 93.855, the matters set forth on attached Exhibit B.
The true consideration for this conveyance is $_______________.

[TIMBER RESERVATION TO BE INSERTED IF THERE IS UNHARVESTED TIMBER ON HARVEST PARCELS]

Grantor hereby excepts from the conveyance made herein and reserves for itself and for the benefit of Grantor’s successors, assigns and contract timber buyers all timber standing or fallen and located on the portions of the Property which are cross-hatched on Exhibit C attached hereto for a period not to exceed one (1) year from the date of this Deed, as such time for removal may be 

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further extended pursuant to the terms of the Post Closing Harvest Agreement defined below (the “Timber Reservation”).  Grantor’s reserved rights to enter the Property and to remove the timber reserved to Grantor under the foregoing Timber Reservation is governed by the terms and conditions of a separate unrecorded Post Closing Harvest Agreement entered into between Grantor and Grantee of even date with this deed (the “Post Closing Harvest Agreement”). Upon the expiration of the time for removal of timber subject to the foregoing Timber Reservation, all rights, title and interest to all such timber remaining on the Property shall automatically pass to Grantee.

BEFORE SIGNING OR ACCEPTING THIS INSTRUMENT, THE PERSON TRANSFERRING FEE TITLE SHOULD INQUIRE ABOUT THE PERSON’S RIGHTS, IF ANY, UNDER ORS 195.300, 195.301 AND 195.305 TO 195.336 AND SECTIONS 5 TO 11, CHAPTER 424, OREGON LAWS 2007, SECTIONS 2 TO 9 AND 17, CHAPTER 855, OREGON LAWS 2009, AND SECTIONS 2 TO 7, CHAPTER 8, OREGON LAWS 2010. THIS INSTRUMENT DOES NOT ALLOW USE OF THE PROPERTY DESCRIBED IN THIS INSTRUMENT IN VIOLATION OF APPLICABLE LAND USE LAWS AND REGULATIONS. BEFORE SIGNING OR ACCEPTING THIS INSTRUMENT, THE PERSON ACQUIRING FEE TITLE TO THE PROPERTY SHOULD CHECK WITH THE APPROPRIATE CITY OR COUNTY PLANNING DEPARTMENT TO VERIFY THAT THE UNIT OF LAND BEING TRANSFERRED IS A LAWFULLY ESTABLISHED LOT OR PARCEL, AS DEFINED IN ORS 92.010 OR 215.010, TO VERIFY THE APPROVED USES OF THE LOT OR PARCEL, TO DETERMINE ANY LIMITS ON LAWSUITS AGAINST FARMING OR FOREST PRACTICES, AS DEFINED IN ORS 30.930, AND TO INQUIRE ABOUT THE RIGHTS OF NEIGHBORING PROPERTY OWNERS, IF ANY, UNDER ORS 195.300, 195.301 AND 195.305 TO 195.336 AND SECTIONS 5 TO 11, CHAPTER 424, OREGON LAWS 2007, SECTIONS 2 TO 9 AND 17, CHAPTER 855, OREGON LAWS 2009, AND SECTIONS 2 TO 7, CHAPTER 8, OREGON LAWS 2010.

DATED as of [_____________________], 2018.

FIA TIMBER PARTNERS II, L.P.,
a Delaware limited partnership

By: FIA Timber Management II, LLC,
its General Partner

By:                         
Name:                         
Title:                         

97087663.1 0067129-00001 

        

STATE OF OREGON    )
)ss.
County of __________    )

The foregoing instrument is acknowledged before on [_______________], 2018, by [__________________], as [____________________] of FIA Timber Management II, LLC, the General Partner of FIA Timber Partners II, L.P., a Delaware limited partnership.

        
Notary Public for Oregon
Commission No.:        
My commission expires:         
    

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Exhibit A

Legal Description of Property

[Insert legal description]

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Exhibit B

Exceptions to Title

		
	1.
	[INSERT PERMITTED ENCUMBRANCES THAT BECOME PERMITTED ENCUMBRANCES UNDER THE AGREEMENT AND EXHIBIT C (OF OPTION AGREEMENT) MATTERS]

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EXHIBIT C

Certain Title Matters

		
	1.
	Liens for taxes, assessments and other governmental charges which are not yet due and payable.

		
	2.
	Rights of third parties in and to any oil, gas and other minerals or other substances of any kind or character as may have been reserved by or conveyed to others prior to the Effective Date and any leases concerning any of such previously reserved or conveyed oil, gas, other minerals or other substances in, on or under the Real Property.

		
	3.
	All matters that would be revealed by a current and accurate survey or inspection of the Real Property.

		
	4.
	Any loss or claim due to lack of access to any portion of the Real Property.

		
	5.
	Existing zoning, forestry, building and land use restrictions, codes, ordinances, rules and regulations affecting the Real Property or the use thereof.

		
	6.
	Rights of parties in possession pursuant to the Unrecorded Encumbrances.

		
	7.
	Rights of others in and to any creeks, rivers, lakes or streams located on or adjoining the Real Property, including any rights of the United States of America, of the State of Oregon or any other parties whatsoever, in the use and continuous flow of any brooks, streams or other natural water courses or water bodies, riparian rights, navigational servitudes, or right to the beds and banks of such water courses below the ordinary high-water mark thereof.

		
	8.
	Existing road rights of way and the right of the public to use such roads.

		
	9.
	Existing railroad rights of way and easements.

97087663.1 0067129-00001 

        

		
	10.
	Existing utility easements and rights of way.

		
	11.
	Rights, if any, relating to the construction and maintenance in connection with any public utility of wires, poles, pipes, conduits and appurtenances thereto, on, under, above or across the Real Property.

		
	12.
	Indian treaty or aboriginal rights, including easements and equitable servitudes.

		
	13.
	All water districts, water rights, restrictions or reservations outstanding in third parties.

		
	14.
	Possible additional taxes and penalties that may be assessed if the Real Property is disqualified for assessment on the basis of forestland or farmland use.

		
	15.
	Reservations in federal patents and acts authorizing the same.

		
	16.
	If applicable, the Timber Reservation to be contained in the Deed.

		
	17.
	Any Pre-Closing Easements which are entered by Seller pursuant to Section 5(e) of this Agreement.

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EXHIBIT D

Schedule of Unrecorded Encumbrances

		
	•
	Timber Cutting Agreements

		
	1.
	Pay as Cut Timber Cutting Right Contract No. 567-17-24 dated November 28, 2017, between FIA Timber Partners II, L.P., as seller, and Scott Timber Co., as purchaser. 

		
	2.
	Pay as Cut Timber Cutting Right Contract No. 567-17-26 dated November 30, 2017, between FIA Timber Partners II, L.P., as seller, and G & D Timber Inc., as purchaser. 

		
	•
	Temporary Access Licenses

		
	1.
	Temporary Access Letter Agreement for Beaver Dam Road dated April 14, 2018, between FIA Timber Partners II, LP, and Mt. Scott Holding Co.

		
	•
	Grazing Lease

		
	1.
	Grazing Lease dated October 6, 2017, between FIA Timber Partners II, L.P., as lessor and Mark Isenhart, as lessee. 

		
	•
	Hunting License Agreements

		
	1.
	Hunting License Agreement dated February 9, 2018, between FIA Timber Partners II, L.P., as licensor, and Wilderness Unlimited, as licensee.

		
	•
	Other Agreements

		
	1.
	Contract for Patrol of Timberlands (Sheriff’s Office) dated effective July 1, 2017 between FIA Timber Partners II, L.P. and the Board of Commissioners of Coos County, Oregon

 

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EXHIBIT E

Harvest Parcels

The Harvest Parcels shall include the parcels depicted on the following maps, each such map being the map attached as Exhibit A to the applicable Timber Cutting Agreement and identifying the “Sale Area” as defined therein. The acreage shown on each of the following maps is an approximation determined by GIS mapping. 

FIA Timber Partners II, L.P.

97087663.1 0067129-00001 

        

 FIA Timber Partners II, L.P.

97087663.1 0067129-00001 

        

97087663.1 0067129-00001 

        

FIA Timber Partners II, L.P.

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EXHIBIT F

Form of Assignment and Assumption Agreement

ASSIGNMENT AND ASSUMPTION AGREEMENT

This Assignment and Assumption Agreement (this “Agreement”), dated as of _______________ ___, 2018, is by and between FIA Timber Partners II, L.P., a Delaware limited partnership (“Assignor”), and ________________, a _________________ (“Assignee”).
Assignor and CatchMark Timber Trust, Inc., a Maryland corporation (“CTT”) have entered into that certain Option Agreement, dated as of _____________ ____, 2018, by and between Assignor, as seller, and CTT, as buyer, as assigned by CTT to Assignee (as it may have been amended, the “Option Agreement”).  All capitalized terms used in this Agreement but not otherwise defined herein are given the meanings set forth in the Option Agreement.
For good and valuable consideration as recited in the Option Agreement, the receipt and adequacy of which are hereby acknowledged, Assignor and Assignee agree as follows:
1.Assignment.  Effective as of the Closing Date, Assignor, to the extent of its interest therein, hereby sells, assigns, transfers and conveys to Assignee, to the extent assignable, all of Assignor’s right, title and interest in, to and under the Unrecorded Encumbrances set forth on attached Exhibit A (the “Assignment”).
2.    Assumption.  Effective as of the Closing Date, Assignee hereby purchases, acquires and accepts the foregoing Assignment from Seller, and Assignee further hereby assumes and agrees to pay, honor and discharge when due the Assumed Liabilities.
3.    Indemnification.
(a)    Assignee hereby agrees to indemnify, defend and hold harmless Assignor for, from and against, and will reimburse Assignor for, any and all actions, claims, costs, damages, demands, expenses (including reasonable attorneys’ fees), loss and liability, of any nature whatsoever, arising out of or in any way related to the Assumed Liabilities and to the failure of Assignee to pay and perform the obligations under the Unrecorded Encumbrances set forth on attached Exhibit A, arising on or after the Closing Date.
(b)    Assignor hereby agrees to indemnify, defend and hold harmless Assignee for, from and against, and will reimburse Assignee for, any and all actions, claims, costs, damages, demands, 

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expenses (including reasonable attorneys’ fees), loss and liability, of any nature whatsoever, arising out of or in any way related to the failure of Assignor to pay and perform the obligations under the Unrecorded Encumbrances set forth on attached Exhibit A arising prior to the Closing Date.
4.    Governing Law. This Agreement shall be governed by and construed in accordance with the internal laws of the State of Oregon without giving effect to any choice or conflict of law provision or rule (whether of the State of Oregon or any other jurisdiction).
5.    Counterparts.  This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement notwithstanding that all parties are not signatories to the same counterpart. A signed copy of this Agreement delivered by facsimile, email or other means of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Agreement.
6.    General.  This Agreement shall be binding upon and shall inure to the benefit of the parties and their respective successors and assigns.  This Agreement is not intended to confer upon any person other than the parties hereto any rights or remedies hereunder.

[Signatures on following pages.]

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IN WITNESS WHEREOF, each of Assignor and Assignee has caused this Assignment and Assumption Agreement to be executed by its duly authorized representative with the intent that it be effective as of the date set forth above.

Assignor:    

FIA Timber Partners II, L.P., 
a Delaware limited partnership
    
By: FIA Timber Management II, LLC,
its General Partner

By:      
Name:  
Title:   

Assignee:

_____________________,
a ________________________

By:      
Name:  
Title:  

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EXHIBIT A
To
Assignment and Assumption Agreement

		
	•
	Temporary Access Licenses

		
	1.
	Temporary Access Letter Agreement for Beaver Dam Road dated April 14, 2018, between FIA Timber Partners II, LP, and Mt. Scott Holding Co.

		
	•
	Grazing Lease

		
	1.
	Grazing Lease dated October 6, 2017, between FIA Timber Partners II, L.P., as lessor and Mark Isenhart, as lessee. 

		
	•
	Hunting License Agreements

		
	1.
	Hunting License Agreement dated February 9, 2018, between FIA Timber Partners II, L.P., as licensor, and Wilderness Unlimited, as licensee.

		
	•
	Other Agreements

		
	1.
	Contract for Patrol of Timberlands (Sheriff’s Office) dated effective July 1, 2017 between FIA Timber Partners II, L.P. and the Board of Commissioners of Coos County, Oregon

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EXHIBIT G

Continuing Obligations

Reforestation and slash disposal obligations in connection with the following operations on the Real Property:

		
	1.
	Notification of Operations/Permit # 2017-740-13703 with respect to Pay as Cut Timber Cutting Right Contract No. 567-17-24 dated November 28, 2017, between FIA Timber Partners II, L.P., as seller, and Scott Timber Co., as purchaser. 

		
	2.
	Notification of Operations/Permit # 2017-740-13432 with respect to Pay as Cut Timber Cutting Right Contract No. 567-17-26 dated November 30, 2017, between FIA Timber Partners II, L.P., as seller, and G & D Timber Inc., as purchaser.

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EXHIBIT H

Form of Post Closing Harvest Agreement

POST-CLOSING HARVESTING AGREEMENT

This Post-Closing Harvesting Agreement (the "Agreement") is made by and between _______________, a ________________ (hereinafter referred to as "Owner"), and FIA Timber Partners II, L.P., a Delaware limited partnership  (hereinafter referred to as "Seller"), as of the ___ day of __________, 2018.

W I T N E S S E T H:

For and in consideration of the mutual promises herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby mutually acknowledged, it is agreed by and between the parties hereto as follows:

		
	1.
	Timberland Sale and Timber Reservation: Seller has conveyed to Owner by Statutory Special Warranty Deed dated on the date hereof certain timberland located in Coos and Curry Counties, Oregon (the "Property").  Seller has reserved from Seller’s conveyance to Owner all timber standing and fallen and located on the portions of the Property shown on Exhibit “A” attached hereto and hereby made a part hereof (such reserved timber, the “Timber” and such reservation, the “Timber Reservation”).  Seller has entered into those timber sale contracts listed on Exhibit “B” attached hereto (the “Timber Contracts”) pursuant to which the respective timber buyers under such contracts have the right to harvest the Timber more particularly described in such Timber Contract.  Seller and Owner are entering into this Agreement to define and acknowledge the responsibilities and obligations of Seller and Owner with respect to the harvesting of the Timber reserved to Seller in the Timber Reservation.

		
	2.
	Cutting & Access Rights:  Seller, its timber buyers under the Timber contracts, and their respective employees, contractors, agents and assigns (collectively, “Permittees”) shall be entitled to enter the Property and to cut and remove the Timber on or before ____________, 2019 (as it may be extended as provided herein, the “Removal Date”, with the period from the date hereof through and including the Removal Date being hereinafter referred to as the “Term”.  Seller and its Permittees shall have no further rights to enter the Property or cut the Timber after the Removal Date.  Owner hereby grants to Seller and its Permittees rights of ingress and egress with workers, machinery and equipment on the Property and any adjoining property of Owner, but only to the extent necessary to conduct such timber cutting and removal.  Seller’s and its Permittees’ 

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use of Owner’s existing roads or any new roads permitted to be constructed by the terms of the Timber Contracts shall be at Seller’s and such Permittees’ own risk.  Seller and its Permittees shall be entitled to construct such new roads as are contemplated under the Timber Contracts. Owner shall not be liable for any latent or patent defect in any roadway nor shall Owner be liable for any damages or injuries sustained by Seller or Seller’s Permittees, or any other individual or entity acting by, for or under Seller or its Permittees hereunder, arising out of or resulting from the use of said roads, except to the extent such damages or injuries are caused by Owner’s gross negligence or willful misconduct.  Seller agrees to conduct its activities at all times so as to minimize damage to Owner’s roads and agrees to repair any damage to Owner’s roads caused by Seller or Seller’s Permittees.  

		
	3.
	Seller’s Operations:  Seller shall conduct its timber cutting and removal under this Agreement in the manner provided in the Timber Contracts and otherwise in a prudent and responsible manner, using generally accepted and sound silvicultural and harvesting procedures and practices in order to protect and preserve in all respects the land upon which said timber is located and any adjoining timber and lands of Owner.  Trees shall be cut as low to the ground as practical in accordance with generally acceptable industry standards.  Seller shall repair all fences or structures damaged by its operations.  Seller shall leave all fire breaks, property lines, running streams and drainage ditches clear of logs, timber, limbs and debris.  All oil drums, cans, bottles, cartons, limbing bars, loading decks, abandoned equipment and other debris shall be removed from the Property upon completion of Seller’s harvesting operations at Seller’s expense.  If repairs are not made or if the debris is not removed and cleared promptly after notice from Owner, Owner may undertake such repair or removal for Seller’s account, and Seller shall be liable to Owner for any reasonable expenses incurred in repairing or removing same.  Seller shall not, under any circumstances, bury any material underground.

Seller acknowledges that a higher degree of care is required when the Property is abnormally wet and that such condition may require Seller to stop or interrupt its operations hereunder.  Owner reserves the right to suspend Seller’s harvesting operations when Owner reasonably deems significant site damage will result from continued operations; provided that in the event of any such suspension, the Removal Date shall automatically be extended for the same number of days that such suspension was in effect. 

All timber harvesting operations shall be conducted in compliance with the Best Management Practices (BMP) guidelines of the State of Oregon and in compliance with applicable law.

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	4.
	Owner’s Inspection:  Owner shall have the right, at any time, to inspect the Property upon which the Timber is located for the purpose of ascertaining whether the requirements of this Agreement are being met.  In the event any violations are discovered or ascertained by Owner, then Owner shall provide written notice of such violations to Seller, and Seller shall have a reasonable amount of time thereafter to remedy such violations.  If Seller fails to remedy such violations within a reasonable amount of time, Owner shall have the right to remedy the same, and Seller shall reimburse Owner for the cost thereof.

		
	5.
	Payment for Unauthorized Cutting:  The cutting or materially damaging of any trees not permitted to be cut hereunder shall be paid for by Seller at the rate of 150% of the then current market value of said timber.

		
	6.
	Indemnification & Hold Harmless:  Seller does hereby agree to indemnify and hold harmless Owner in connection with and from any and all causes of action, liabilities, losses, damages, injuries, claims, costs (including reasonable attorney fees) or litigation, arising out of, attributable to, resulting from or due to: (a) the activities and operations of Seller or its Permittees on the Property, except to the extent such are caused by the gross negligence or willful misconduct of Owner, or its agents or employees; and (b) any violation or default under any of the Timber Contracts.

		
	7.
	Insurance:  During the Term, Seller shall maintain a general liability insurance policy, with coverage in an amount not less than $2,000,000.00, insuring for covered losses arising out of Seller’s presence and activities on the Property.  In lieu of coverage in the amount of $2,000,000, Seller may maintain general liability coverage on a per occurrence basis of $1,000,000 and excess umbrella coverage on a per occurrence basis of $1,000,000.  The aforesaid insurance shall be obtained from a company reasonably satisfactory to Owner and licensed to do business in the State of Oregon.  Such insurance policy or policies shall name Owner and Owner’s manager, CatchMark Timber Operating Partnership, L.P., as additional insureds, and shall provide for at least thirty (30) days’ written notice to Owner prior to cancellation, termination, modification or change of any such policy.  A certificate thereof, together with satisfactory evidence of payment of the premium thereon, shall be deposited with Owner on or before the commencement of harvest by Seller or any timber buyer or, if later, the date of this Agreement.  Owner makes no representation that the limits of liability specified to be carried by Seller under the terms hereof are adequate to protect Seller.  If Seller deems this insurance to be inadequate, Seller shall, at its own expense, provide such additional insurance as necessary.  

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	8.
	Fire Protection:  Seller shall use all reasonable and customary precautions and procedures to prevent fires on the Property or any adjacent lands of Owner.  In the event of any such fire caused by Seller or its Permittees of which Seller is aware, Seller shall promptly notify Owner, and shall use reasonable efforts to cause Seller’s Permittees carrying on said timber operations, to assist in controlling said fire.  Owner specifically reserves the right to prohibit the making of fires on the Property if it is deemed advisable to do so, and further reserves the right to temporarily stop or interrupt Seller’s operations hereunder if conditions are such that, in Owner’s discretion, continued operations are reasonably likely to start forest fires. In the event Owner so requires suspension of harvesting, or suspension of harvesting is required by the Oregon Department of Forestry or other agency due to fire risk, the Removal Date shall automatically be extended for the same number of days that such stoppage or suspension was in effect.

		
	9.
	Compliance with Laws, Etc.:  Seller shall comply with all federal, state and local laws, rules, and regulations applicable to the operations contemplated by this Agreement, including, without limitation, environmental protection/pollution laws and regulations, workmen’s compensation laws and regulations, and the securing by Seller of all necessary licenses and permits incidental to said operations, provided, that Owner shall be responsible for complying with any reforestation and slash disposal requirements with respect to the Property.  Seller further covenants and agrees that it will not conduct its operations in a manner which could cause Owner to be in violation of any federal, state or local law, rule or regulation.  Except with respect to reforestation and slash disposal obligations, Seller covenants and agrees to hold Owner harmless from and/or reimburse Owner from any costs including fees imposed by any federal, state or local agency and attorney fees which may result from Seller’s failure to fully comply with such laws, rules and regulations or from any cost which may result from Seller’s conduct which exposes Owner to a violation of such laws, rules and regulations.

		
	10.
	Severance Taxes:  Seller shall pay such severance tax and all assessments as may now or hereafter be required to be paid by the laws of the State of Oregon, if any, in connection with its removal of the Timber hereunder.

		
	11.
	Default:  Either party may exercise any rights or remedies available to it in any court of law or equity.  In addition to all other remedies, Owner, in the event of Seller’s default in any provision of this Agreement, shall have the right to order that Seller immediately stop its harvesting operations whereupon Seller will cease its operations until the default is corrected.  If the default is not corrected within thirty (30) days, at Owner’s option this Agreement may be terminated; provided, however, in the event such default cannot be corrected within thirty (30) days, such thirty (30) day period shall be extended for a reasonable amount of time so long as Seller is diligently pursuing correction thereof.  

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No extension of the cutting period will be granted in the event of such default and extension of operations.

Owner’s right to terminate as set forth in this Paragraph 11 shall be a right in addition to collection of any damages, including costs of repair, sustained by Owner which arise out of or result from Seller’s breach of the provisions contained in this Agreement.  The remedies provided for in this paragraph are in addition to any other remedies permitted in this Agreement or allowed by law.

		
	12.
	Notice:  Seller shall notify Owner at the address listed in Paragraph 16 below, with regard to cutting activity as follows:

		
	a.
	At the beginning of any road construction or the cutting of the Timber.

		
	b.
	Upon completion of the cutting operation or when the cutting operation moves onto or off of the Property.

		
	13.
	Assignment:  This Agreement shall not be assigned by Seller, in whole or in part, without the prior written consent of Owner.  

		
	14.
	Bankruptcy, etc.:  This Agreement may be terminated by Owner in the event of the filing of any bankruptcy or insolvency action or proceedings by or against Seller.

		
	15.
	Owner’s Retained Rights; Warranty:  Title to the Property on which the Timber is located shall remain vested in Owner.  This Agreement is made subject to any rights outstanding under any existing oil, gas or any other mineral leases or contracts covering all or any part of the Property, whether the same be recorded or otherwise, and to any rights outstanding under any other contracts, leases, easements, rights-of-way or roads as may be evidenced by possession, use, survey or which are of record.  

		
	16.
	Miscellaneous:  

		
	a.
	This Agreement contains the entire agreement of the parties hereto, and both parties acknowledge that neither party has made any promise or representations or offered any inducement, except as herein set forth with regard to the subject matter of this Agreement.  There shall be no alteration or modification of this Agreement, other than by an appropriate written instrument executed by the parties hereto or their respective successors in interest.

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	b.
	The paragraph titles herein are for purposes of convenience only and shall in no way be held to explain, modify or aid in the interpretation, construction or meaning of the provisions of this Agreement.

		
	c.
	The terms Seller and Owner shall and do include and extend to the contractors, representatives, successors, heirs and assigns of the parties hereto.  The rights of Seller under this Agreement extend to the respective timber buyers under the Timber Contracts, and each of such timber buyer’s contractors, agents and employees.

		
	d.
	Any delay or failure by Owner in the strict enforcement of the provisions of this Agreement with respect to any default by Seller hereunder shall not constitute a waiver of Owner’s rights respecting such default or any other default hereunder.  All indemnities, rights and remedies provided for herein shall survive the expiration or earlier termination of this Agreement.

		
	e.
	This Agreement shall be construed under the laws of the State of Oregon.

		
	f.
	Time is of the essence of this Agreement.  

		
	g.
	Any notices contemplated under this Agreement shall be deemed sufficient if mailed to the Owner at c/o CatchMark Timber Trust, Inc., Five Concourse Parkway, Suite 2325, Atlanta, Georgia 30328, Attn: John D. Capriotti, and Seller at c/o Forest Investment Associates L.P., 15 Piedmont Center, Suite 1250, Atlanta, Georgia 30305, Attn:  Sarah Hall.

IN WITNESS WHEREOF, Owner and Seller have caused this Agreement to be duly executed by authorized representatives as of the date first written above.  

[Signatures begin on following page]

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"OWNER"

________________________, a_______________________

By: ________________________
Name: ______________________
Title: _______________________

[Signatures continue on following page]

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“SELLER”

                
FIA Timber Partners II, L.P., 
a Delaware limited partnership
    
By: FIA Timber Management II, LLC,
its General Partner

By:___________________________________
Name:_________________________________
Title:__________________________________

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EXHIBIT "A" 
to Post Closing Harvest Agreement

1.    

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EXHIBIT "B" 
to Post Closing Harvest Agreement

1.    

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EXHIBIT I
Form of Owner’s Affidavit
Owner’s Affidavit
State of 
County of 

		
	Property: 
	Certain real property located in Coos and Curry Counties, Oregon and commonly known as a portion of the Dement Creek Management Unit and more particularly described in the First American Title Commitment No. NCS‐903759DEM-ATL dated ______________ (such property, the “Property” and such commitment, the “Title Commitment”)

I,_____________, as _____________ of Forest Investment Associates, L.P., the duly authorized investment manager of FIA Timber Partners II, L.P., a Delaware limited partnership ("Seller"), in such representative capacity and not in my individual capacity, having personal knowledge of the facts averred to herein and being first duly sworn, on oath depose and state that Seller is the owner of the Property and during all the time that Seller has owned the Property, Seller has received no written notice to Seller’s knowledge that record title to the Property has been disputed and more particularly:
1.The Seller, at present, and for a period of seventy-five (75) days prior to the date of this Affidavit, (a) has not caused construction, erection, alteration or repairs of any structures or improvements on the Property to be done (“Improvements”), nor has Seller contracted for any material to be delivered to the Property (“Materials”) or (b) if it has so caused Improvements on or delivery of Materials to the Property within the foregoing period, the charges therefor have been paid or will be fully paid for when due.
2.The undersigned has no knowledge of any unpaid real estate taxes or installments of special assessments for the Property which are currently due and payable.
3.The Seller has received no written notice of any uncured violations of any covenants, restrictions, agreements, or conditions affecting title to the Property during Seller’s ownership of the Property.
4.The Seller has received no written notice of pending suits, proceedings, judgments, bankruptcies, liens or executions against the Property and the Seller either in the aforesaid county or any other county in the aforesaid state.

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5.To Seller’s knowledge, except for the agreements described in Exhibit A attached hereto and incorporated herein by this reference, and except as provided in the above-described Title Commitment (excluding the standard or general exceptions set forth in Schedule B of the Title Commitment), there are no unrecorded agreements, encumbrances, easements, licenses or permits granting to third parties any tenancy, possessory or other occupancy rights in the Property. For purposes of this Affidavit, the term “to Seller’s knowledge” shall mean the present, actual knowledge of ______________, ________________ of Forest Investment Associates, L.P., the authorized investment manager of Seller, with no further duty to investigate or inquire.
This affidavit is given to induce First American Title Insurance Company to issue its title insurance policy or policies in reliance upon any of the statements contained herein.

Dated as of _____________, 2018 

[Signature and notary appear on the following page]

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AFFIANT:

    
Name : ____________________, in his/her capacity as _________________ of Forest Investment Associates, L.P., as authorized investment manager of the herein named Seller.

Subscribed and Sworn to before me this
______ day of ________________, 2018.

_____________________________________
My Commission Expires:

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EXHIBIT J

Bill of Sale

BILL OF SALE

This Bill of Sale is executed by FIA Timber Partners II, L.P., a Delaware limited partnership, and delivered to [●], a(n) __________ __________ (“Purchaser”), pursuant to that certain Option Agreement dated __________ ___, 2018 (“Option Agreement”), by and between Seller and [Purchaser]/[ CatchMark Timber Trust, Inc., a Maryland corporation (“CTT”), as assigned by CTT to Purchaser].  Unless otherwise defined herein, capitalized terms used in this Bill of Sale shall have the meanings ascribed to them in the Option Agreement.
KNOW ALL MEN BY THESE PRESENTS, that Seller for the consideration stated in the Option Agreement and other good and valuable consideration paid to Seller by Purchaser, the receipt and sufficiency of which are hereby acknowledged, hereby sells and delivers unto Purchaser the Personal Property more particularly described on attached Exhibit A.  
TO HAVE AND TO HOLD all the Personal Property unto Purchaser, its successors and assigns, forever.  Seller hereby represents, covenants, and warrants to Purchaser that Seller is the lawful owner of the Personal Property; that the Personal Property is free from all monetary encumbrances; that Seller has a right to sell the Personal Property to Purchaser; and that Seller shall warrant and forever defend title to the Personal Property unto Purchaser, its successors and assigns, against the lawful claims and demands of all persons.
DATED as of this ___ day of _______________, 2018.

		
	SELLER: 
	FIA Timber Partners II, L.P., a Delaware limited partnership

By: FIA Timber Management II, LLC,
its General Partner

By:  ______________________________    
Name:     
Title:       

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EXHIBIT K

Purchase Price Allocation

The parties’ initial allocation of the Purchase Price between the Real Property and the Personal Property is as follows:

Real Property

	
		
	County
	 

	Coos
	$24,605,939.32

	Curry
	$582,105.33

	TOTAL
	$25,188,044.65

Personal Property

	
		
	Crushed Rock
	$204,250.00

	Culverts
	$6,179.80

	TOTAL
	$210,429.80

Not later than fifteen (15) days following the Effective Date (the “Allocation Date”), Purchaser shall have the right to provide Seller with written notice of any proposed revisions to the above allocations based on  Purchaser’s further review of the Real Property and Personal Property. Failure of Purchaser to provide such notice by the close of business on the Allocation Date shall be deemed an acceptance of the initial allocation set forth above. If Purchaser timely notifies Seller in writing of any proposed revisions to one or more items reflected in the above allocations prior to the close of business on the Allocation Date, and Seller does not agree with Purchaser’s proposed revisions, then Seller and Purchaser shall negotiate in good faith to resolve such disagreement; provided, however, that if Seller and Purchaser are unable to resolve any disagreement with respect to the proposed revisions to the above allocation within three (3) business days following the Allocation Date, then such dispute shall be resolved in accordance with the procedures set forth in Section 23 of this Agreement. Purchaser and Seller shall file all tax returns (including amended returns and claims for refund) and information reports in a manner consistent with the allocation schedule as finally determined herein. Any adjustments to the Purchase Price pursuant to this Agreement shall be allocated in the manner described in Section 2 of this Agreement.

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Schedule 4(b)(vi)

Personal Property

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Schedule 5(e)

Pre-Closing Access Easements

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