PCH
#<UNK>, we had two conversations going on at once.
<UNK> wanted to correct something before your next question.
I meant second-quarter not third quarter on the tax benefit, sorry.
No I don't think so.
We still view the dividend as very significant and supported by the business, we hopefully can continue to grow it.
It's probably taken a bit of the pause given the collapse we've seen in earnings from our wood products business, which bleeds over to lower log prices in our resource business but certainly the dividend is still a highest priority.
For sawlogs we anticipate a similar sort of drop.
Largely driven by the mix issues that I spoke about earlier.
Hardwood prices have come off and hardwood is a mix percent in the fourth quarter and is going to be lower.
Those two factors will drive prices lower by about 12%.
Southern softwood sawlogs are flat.
Pine sawlogs are flat.
I don't think we've seen in a lack of interest.
The amount of capital still is there and I think is evidenced by recent transactions that were just completed for quality timberlands that are unencumbered by supply agreements or don't have poor site index and so on, I think the recent transactions have continue to support Southern Timberland trading, call it $2000 an acre for quality timberlands.
Well we never say no to anything if we can create more shareholder value by selling it would certainly consider it.
The businesses we think have a ---+ they have a really nice fit with out timberlands especially in Idaho and Arkansas where we are really kind of naturally hedged because about half of the volume goes from our land to the mill so when log prices are weak we capture the returns in sawmill business and vice versa.
We like that aspect of it and it's important that the mills operate and are well-maintained by somebody that doesn't have to be us, but I think we have done an okay job with it and we continue to, the last benchmarking we did our mills were still first quartile margin performers and suspect they are still in that same ZIP Code, so I think the business I think has served us well.
Thank you, Phyllis.
And thanks to all of you for your interest in Potlatch.
That wraps up the call for today.
Thank you.
