Oct 29, 2010. /Lesprom Network/. Potlatch Corporation announced financial results for the 3Q ended September 30, 2010. “We continue to improve our balance sheet with the sale of non-strategic timberland and each of our business segments reported solid quarterly results based on each segment’s market conditions through the 3Q,” said Michael Covey, Chairman, President and CEO of Potlatch Corporation. “Our Resource segment had another strong quarter as both fee harvest volumes and prices increased over the 2Q 2010 and the 3Q 2009. This was the Resource segment’s highest quarterly operating income since the 3Q 2008, if the results of the timber deed in 2009 are removed. In our Real Estate segment, we completed the sale of non-strategic timberland in Wisconsin and Arkansas, and we continue to see steady interest in our higher and better use, or HBU, and rural real estate properties. As expected, our Wood Products segment experienced price pressure during the 3Q, but lumber sales volumes were adequate to operate our mills at capacity and the segment managed to operate at a positive cash flow level,” concluded Mr. Covey. Net earnings for the quarter, including discontinued operations, were $18.1 million, compared to $45.8 million for 3Q 2009. In 3Q 2010, Potlatch completed a non-strategic timberland sale of approximately 41,700 acres in Wisconsin and Arkansas to RMK for $28.7 million, which provided $0.12 of positive EPS impact. In 3Q 2009, a timber deed sale was completed, resulting in $48.6 million of EBITDDA and a positive EPS impact of $1.04. EBITDDA in 3Q 2010 was $56.4 million, compared to $33.1 million in 2Q 2010 and $63.0 million in 3Q 2009, which included the results of the timber deed sale. Excluding the non-strategic timberland sale in Arkansas and Wisconsin, EBITDDA was $28.2 million in 3Q 2010 and EPS was $0.33. Excluding the timber deed sale, EBITDDA was $14.4 million in 3Q 2009 and EPS was $0.11. Potlatch is a Real Estate Investment Trust (REIT) with approximately 1.5 million acres of timberland in Arkansas, Idaho and Minnesota, USA. Potlatch, a verified forest practices leader, is committed to providing superior returns to stockholders through long-term stewardship of its forest resources. The company also conducts a land sales and development business and operates wood products manufacturing facilities through its taxable REIT subsidiary.