Aug 27, 2008. /Lesprom.com/. Plum Creek Timber Company, Inc. announced it will form a joint venture with The Campbell Group LLC that will allow Plum Creek to capture the value of approximately 454,000 acres of investment grade Southern timberlands. The transaction values these timberlands at $783 million, or approximately $1,725 per acre. Plum Creek will contribute the timberlands to the joint venture and an investment fund sponsored by Campbell Group will contribute $783 million in cash. Campbell Group, a timber investment management organization will manage the joint venture lands for continued timber production. The timberlands are located in six states including Oklahoma, Arkansas, Mississippi, North Carolina, South Carolina and Georgia. Under the terms of the agreement, Plum Creek will receive a $705 million preferred interest in the joint venture. The preferred interest establishes the economic returns with respect to 90% of Plum Creek’s investment. Additionally, Plum Creek will receive a $78 million common interest, representing the balance of its investment. Separately, Plum Creek will receive cash of $783 million through a loan from the joint venture. Campbell Group’s investors will receive a common interest in the joint venture, representing approximately 91 percent of the joint venture’s common equity. The agreement is expected to become effective during the 4Q 2008. Plum Creek is the largest and most geographically diverse private landowner in the nation with approximately 8 million acres of timberlands in major timber producing regions of the United States and 10 wood products manufacturing facilities in the Northwest.