Replies to post #600 on The Rising Influence of Rising Affluence

[DewDiligence]

PCL: Marc Racicot, the former Governor of Montana, has joined the BoD:

http://finance.yahoo.com/news/Marc-F-Racicot-to-Join-Plum-bw-2532037281.html?x=0&.v=1

[DewDiligence]

PCL’s business is receiving an assist from an unlikely source: the
mountain pine beetle! This pest is destroying substantial timber
acreage in British Columbia, which is lessening the competition
for PCL’s timber and thereby strengthening prices. The below
is from slide #26 of PCL’s Investor Day presentation today.



The full presentation slide set is at:
http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MjcxODA3MHxDaGlsZElEPTM3Mjk1MnxUeXBlPTI=&t=1

[DewDiligence]

PCL Completes $200M Buyback, Will Seek New Authorization

[PCL is one of my favorites stocks. By my calculations, the company’s timberlands are worth about $53/sh, which means the stock is currently trading at a 36% discount to fair value. If that weren’t enough to make PCL a strong buy, there’s also the hefty dividend payout, which is taxed to shareholders at the long-term capital-gains rate rather than the dividend rate. This could be a significant wrinkle starting in 2011 if Congress allows the tax rate on dividends to rise when the Bush tax cuts expire on 12/31/10.]

http://finance.yahoo.com/news/Plum-Creek-Completes-50-bw-2495582955.html?x=0&.v=1

›June 4, 2010, 8:30 am EDT

SEATTLE--(BUSINESS WIRE)--Plum Creek Timber Company, Inc. (NYSE: PCL) announced today that it repurchased $50 million of its common stock, completing its previously announced $200 million open-market share repurchase program. The company expects to seek authorization of a new open-market share repurchase program at its next scheduled Board of Directors meeting. During the second quarter, the company repurchased approximately 1.37 million shares at an average price of $36.37 per share. As of June 1, 2010, Plum Creek had approximately 161.6 million shares outstanding.

“Disciplined capital allocation is at the heart of Plum Creek’s long-term strategy for shareholder value creation. We are convinced that the most compelling timber investment available in today’s market is our own stock,” said Rick Holley, president and chief executive officer.

Plum Creek is the largest and most geographically diverse private landowner in the nation with approximately 7 million acres of timberlands in major timber-producing regions of the United States and wood products manufacturing facilities in the Northwest. For more information, visit www.plumcreek.com.‹