PCH - Earnings call transcript Q4 2019 | PotlatchDeltic Corporation

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Operator

Good morning. My name is Lindsey and I will be your conference operator today. At this time, I would like to welcome everyone to the PotlatchDeltic Fourth Quarter 2019 Conference Call. [Operator Instructions]

Thank you. to call like to now would turn over the Mr. I Financial Vice opening President Richards, Officer, and Jerry Chief for remarks.

Sir, you may proceed.

Jerry Richards

Thank to PotlatchDeltic's and Chief call. good Executive Officer morning. XXXX and Officer. Cremers, Covey, and the conference President Eric Mike in With you, earnings me Chief are Chairman Operating and fourth Lindsey, quarter room Welcome

the slides of This www.potlatchdeltic.com. risks that the press release our call statements warning in with forward-looking these contain will with can website a filings the associated forward-looking found and presentation statements. the SEC note at our statements. our on concerning non-GAAP Please review please be in on Also, measures reconciliation

I'll then our now some outlook. over cover for results Mike comments. I and turn And the our call to will fourth quarter

Mike Covey

good We adjusted million generated a and this Jerry, the has annual EBITDA our highest been We XXXX XXXX. everyone. created XXXX, through relatively in lumber the since environment, merger. level morning in accomplished that $XXX EBITDA status third which Company of is Deltic reflects which pricing stronger despite weak REIT of electing Thanks,

with pleased this real estate performance are We of year. the our business

better Sale opportunities excellent the real land key that $X of team land rural than were and legacy commercial Rock, had sales margins sales at for near we Timberlands drove Our two executing factors acre estate Deltic on identifying job and revenue Little an did planned. more Timberlands. Arkansas of per from $XX,XXX million EBITDA for

the spring with in normal Idaho inventories. operating plan This existed Turning was customers up than our in in to catching our volumes both harvest our of region higher regions. break-up Timberlands; against main log year the focus situation period entered because this

slightly year sawlog second of volume ahead ended team and plan. year to the Timberlands the the Our Idaho log the deliveries of successfully half shifted

sawlogs. Arkansas restricted in half Our year. of volumes was the year of the which Southern in our double normal short first fell areas supply operating Rainfall harvest levels this the

last make resulting quarter's of on in in inventories not able would in to because discussed the to year and the call log the half price oversupplied be response shortfall region. the volume the We at mills up supplier we led that Southern second

sawlog pine volumes return our higher levels to normal to we and XXXX. harvest normalized expect in prices Southern have

elevated Products XXXX. plan successfully and are kilns extended Wood capacity realization. the completed green new stacker, our improved project and grade projects these two of included; scanner, primary a sawmills, grade in its expanded of lumber capital lumber Notable at benefits the with -- projects

let improved a points. of back facility well our scaled expect in Other Deltic roughly operating by interest sale which will have $XXX included XXXX Deltic lowered of basis we the million We -- our the legacy of mills capital plan to and the debt, cost the MDF XX focus project what on be XXXX market conditions. highlights refinance

strong remains repurchases flexibility $XX of sheet in to returned the shareholders share We an of balance and of provides XXXX, $XXX million per to cash $XX million Our continue including price value. share. grow average at shareholder to

shares any XX% buy trades we the quarter. currently in above the price repurchase did approximately and stock average Our fourth not

are upward leading Looking forward have starts continue at and lumber meaningfully, bode market U.S. seasonally levels XXXX report an are to a to increased on for highest through fundamentals since which additions trend files housing December their XXXX, starts their housing two adjusted well improving basis. on order U.S. to demand. healthy key housing remained Homebuilders indicators. and

in the the underpin the our are affordable low homes cohort mortgages, additional Customer entering that the sale, for US in that years Millennials, demographic existing XXXX. largest are prime home fact confidence, of inventory optimism unemployment, low buying and factors

aggregate of were the capacity estimated over that and capacity billion is these portion decisions board offsets several Turning curtailment feet in a lumber the in or X added sawmill in capacity been removed that's American It supply, announced U.S. closures to XXXX. of lumber North

lumber review to that in The yesterday news not are duties first years. likely administrative was annual few decrease the unexpected. of as last South Canadian U.S. a Commerce's result

would August fundamentals in and is year until in of not this restarting that a mills. lumber prices will leverage not lumber do believe duty go our to into supply favorable the change benefit to Any producers Canadian and effect reduction positioned well lumber result PotlatchDeltic we demand from through

year. turn And to discuss and for outlook the to over Jerry I'll it now quarter our the

Jerry Richards

decrease Starting shipment Mike. quarter. volumes. was slides. our due third review EBITDA primarily Total sequential on lower segments I'll operating more now quarter you, EBITDA to The and each with of the provide fourth in quarter in in adjusted the harvest fourth Thank color Page the the $XX of million is to million X compared lumber $XX results. and

tons the in our in quarter on was We through for to This is harvested is XXX,XXX Slides Timberlands EBITDA million third Information the seasonally we fourth compared the down The X. of segment the quarter. in million in sawlogs fourth XXX,XXX adjusted that X the displayed North from $XX in the quarter. segment's harvested quarter. third tons $XX

partially prices. were higher of lower cedar compared by and mix sawlogs in third to density a the seasonal per The the normal in prices percent offset a X% quarter index quarter. sawlog higher the on effect of increase the fourth Northern in slightly ton logs slightly of a basis was

about the million flat quarter-over-quarter In X volume harvest at our was South, tons.

pine Southern the sawlogs on quarter. The lower the prices Our to that the were fourth experienced seasonally related absence due to sawlog sawlog of a X% the decline into mix hardwood wet the prices third quarter. of was quarter and in a proportion in premium we third compared Southern lower weather

the back variety cost and of affected third market of was negatively the adjusted quarter Wood fourth quarter lower to million scaled reasons, for and fourth X, from EBITDA absorption. X $X.X $X.X Slides which a operational Production on fixed the million quarter. was Products Turning in in

year. The new longer kilns continuous anticipated. kilns the For were of than Arkansas example, the by start-up dry well the Warren sawmill all our operating new end of at took

ran to index in market than planned this time second log had given in prices. over we a Log increase example, in less conditions. were an costs In Idaho, higher primarily segment, we due

Estate segment's adjusted land Real quarter million in quarter-over-quarter. acres commercial and $XX.X in from Moving the the of EBITDA on to in slightly An $XX million fewer third the was increase Valley mostly Slides XX; rural in down Chenal fourth sales of XX quarter. the sale offset

that old Shifting We new savings relative on We modest will the of in loan. to the X.X%. to term interest financial loan XX. Interest is XXXX summarized to term and scheduled $XX in $XX about matures December. with net be was million items variable refinanced rate But on the Slide the million which are ended loan cash. patronage, November of rate, mature year the the

million XXXX. term another million Capital expenditures Interest have to We in year. a we rates $XX flow and that in the from real remain for full $XX plays role mature expenditures, which attractive, statement. included that development the in estate in evaluate refinancing $XX.X quarter our cash this as amounts in are million these December fourth key Note scheduled or include cash debt. operations were loans which repaying were

of XXXX Slide XX. Details presented on outlook our are

about seasonally the in compared to our the volume in Harvest XXXX tons X of approximately lower to the the harvest volumes in first be in expect the in to quarter South. segment XX% Timberlands are fourth We million North with planned quarter.

logs the modestly to seasonally decrease sawlog the Northern fewer to due first mix. and primarily in quarter, heavier sawlogs expect We cedar in prices

South volumes seasonally to Harvest be the in are planned lower.

feet lumber sawlog over We due of quarter, the decline expect X.X ship modestly We hardwood board lower prices seasonally Southern a in to of billion primarily in just sawlogs. first mix to to XXXX. plan

and to We expect average XXX modestly quarter first the million XXX fourth ship the million to prices board of to in feet first be quarter. lumber higher lumber quarter than

higher price lumber fourth average average is than quarter price. approximately lumber Our in our January $XX

spot $XX lumber is fourth quarter higher price average lumber currently Our our price. than average

EBITDA approximately As a in of $XX a an for lumber million basis. equals annual price foot board us per on change $XX reminder, consolidated thousand

Real expect Estate, rural sell to in XX,XXX XXXX. we acres acres land, to XXX Valley of to a XX,XXX lots Chenal and Shifting

the estate Additional provided slide. are details on real

$XX pension estimate cash be million of credit per post-retirement restructuring non-operating contributions change an XXXX and increase will to in year the XXXX. to post-retirement We is and end related because post-retirement $XX $X plans million will non-cash, pension XXXX. this as amortized year. fully Our expense of largely The was plans that approximately the in million of

will expense patronage million XXXX. annual than our lower normal from will fourth Farm receive for be payment the quarter $X third per first and we'll to when interest is of in $X Banks. be million Our that We the in the $X Credit first quarter, interest and the expense quarters because quarter second, million that estimate

in and year $XX projects of We are total in Our $XX $XX spend completed allow expect in million to excluding range million conditions. the be Products improved series less million, to to XXXX. $XX will of will our high-return capital we large market mills operating to acquisitions in what on our our to last Wood XXXX. mills focus plan expenditures a This be well planned in we million on segment

fourth we quarter to a volumes. lower primarily Overall, adjusted than in will quarter, first EBITDA decrease be estimate harvest due that seasonal total

by we expect industry year. improving to encouraged XXXX are We fundamentals be and a solid

the our Q&A. I'd That like to remarks. open to now call concludes prepared Lindsey,

Operator

comes question Our America. John Instructions] Bank [Operator from with Babcock first of

open. line now Your is

John Babcock

year. to on What guess. and be now, that morning, afternoon Canadian guess your you the reports I you on And confirmed share and view mentioned good expect then starting rather I good is the guess digit will duties impact level later that? you of also, the single kind well, could fundamentals? Hey, falling if to this as I that how on lumber

Mike Covey

in Remember as so year duties, a really basis They're on from of are duties had under understand move feet approximately about board roughly the we is dollar XXXX, The fall going Mike. with board we thousand today which feet price strong thousand to board down in is per this lumber. thousand because price the here it. in August, be a inversely $XX a about analysis. they to $XX half cut Well, per that's proposed foot per they

And the lumber they year we are when was would this, go year. weak because another XXXX a in reviewed up duties would following expect price

going the not Canadians in this call, stated decisions to made do that is sawmills we the As shutter reverse that we to permanently. expect

Although certainly today. producers, for effect Canadian of we North lumber America will fundamentally in it improve some think margins supply the don't will

John Babcock

those projects you what that. provide generally year? some Thanks some bit a Do capital were on projects to about in can be and you XXXX, have XXXX. those then talked also expect little this pushing just projects what you basically projects completed you off color the for capital also planned in And for

Mike Covey

Well, Eric can really any expand on this. off. push We didn't

I completed priority of, the projects was had. matter we highest think a it we

to want those and mills better by we realizations our able produce positive expected operate as as capacity well for run our distracted in year capital lumber blast pricing. All year going on We be and and grade are lumber, full impacts to as this ability not be a more to have of to to full at higher be projects.

we really I some that's shift would probably So done. we've just say postponed will We anything. really to what XXXX.

John Babcock

And you commercial acreage in before you. looked the a were like the at how pretty quarter, Thank much remaining juncture? sales acre then I turnover. this question It last commercial portfolio strong do have in

Eric Cremers

is So John, this Eric.

You commercial acres of first know And Chenal a master we're community. had think is developed, plan When XXX down acres remaining. I acre property about it XXX available. now X,XXX over

pretty sell. So left acres we got good a inventory commercial still of to

Operator

from James. line Raymond the Mings of Our comes next with Collin question

now is open. line Your

Collin Mings

Thanks and good morning, guys.

for the year. the for capital me, question sticking just expenditure with guidance First

recurring pretty some is the the about much these projects? Again, million million is still some that last capex of return we or relative year. of of activity to maintenance think about back is that comments scaling component As of that to $XX all there higher that appreciate kind $XX some I number,

a sense what number maintenance to Just run like? get trying of better kind looks rate that of capex

Eric Cremers

in Eric. is large level our capital were at $XX five our We're two Warren XXXX, mills. for a kilns million this strictly go including We at the a that in of Collin, install. spending facility had maintenance not projects

For XXXX, and our a going planned. a A mill. mill at in we've got three stacker debarker our Mary's, Gwinn stacker Ola St. at meaningful projects

or million $X adds collectively about another, million. who $X And knows

level still investment our above spending. maintenance of we're at still spending So we're mills and a in

don't there. So impression get wrong the

Collin Mings

Okay. number here New just just opportunities? sticking potential That's helpful there. allocation, actually we just calls Year I acquisition with maybe a enter capital recently thoughts know very but as it's discussed current on for on color of the bolt-on Maybe been

of has where that of Company to price the the I is, the know fourth comments your Mike, and again quarter repurchase back going stock on the front. during inactive prepared been focus the was

not opportunities maybe or are right seeing bit markets talk about timberland So just now? a the acquisition and little you are the

Mike Covey

it average consider XXXX I terms The was, in of market in would what traded.

U.S. pattern continue that's I very continue price trade the in to the full high a Northwest timberlands at we that or see Pacific in whether think a quality to

South. ground, an for $X,XXX the quality If it's in South selling the is and $X,XXX well-stocked, an roughly productive, good speaking in acre Northwest. acre

some wasn't unexpected. Class C and of seen We've have that that, quality properties sold kind but much less for B lower that than

there do no have that timberland synergy So someone else have the M&A adjacent be or is we in it with market steals where on emphasis might puts for had to where more bolt-on advantage not acquisitions us some property. and

For us Texas. market Mississippi, would property be little on Alabama, But that and very the Louisiana currently. of there perhaps in is Arkansas, parts

Collin Mings

Okay. to And real over quick. then, the switching just business Timberland

update seeing front? you on demand on a that provide can cedar you're -- quick Just and the pricing log

Eric Cremers

Yes.

thought we So cedar had Collins, our Eric in on prices bottomed that call again. We it's XXXX. mentioned last

real about of a market cedar compared were for where a And year. fundamentals. XX% last nice in things to improve to different have changed since seen are We XX% rebound prices. most of couple up to They they have

one, are now high inventory Number most log year. pretty mill down. cedar were last levels They of running

relatively was decks their because thing. the That's demand first were So full. low

have is, logs. diversify steps for we our The our to taken second cedar markets thing

in out So the supply/demand the we region here Inland improving that's of cedar getting area. are logs dynamic intentionally the

prices. a prices cedar And Products Forest strike seen U.S. rebound there here impacting real that's is up Western cedar on cedar in which going lot in then We've produces Canada, lastly, at of a probably nice and a the log in favorably

Operator

A. Our with next D. Steve Chercover question Davidson. comes from

Your now open. is line

Steve Chercover

that volumes down lumber were reason the of the part explain QX. in did you So

environment? positive any normal the that projects be any how that wondering, due what's levels XXXX? believe get effort inventories and reduction most could completed to the your an Do their last you characterize to are Just flow was in order files lumber of you desired you And -- cash in operating would three finally, in now?

Eric Cremers

candidly is had kiln what run fourth quarter issues a not the variety Yeah I'd well At for to as Jerry Warren tell just No, Eric. we Steve, our spoke our Wood you we this in business sawmill, happened Products reasons. of start-up about. did like

mill Waldo challenges up-time has during down Our in quarter. the Arkansas

last variable Ola timbers quarter. volume were the so low mill half for which, year prices is below much we the in fourth its timbers, Our fourth cost that of of -- were

that negatively So there impacted to we had hold fixed volumes cost absorption. back production and

I this different We're What the is now of that bunch XXXX hit one continue our business. whole are really month us start in but a you nice we're well we a So operating in that mills optimistic that into quarter. reasons that have on fourth to would seen trajectory, tell turn very year. the we

operate term, track first in over question while very the are, On well there think look I issue, industry. speaking, at in regularly our the mills if believe quarter do peers operate our do two, other performance leading a We the benchmark we And we long black? our or our to think large peers, quartile the impact about, and generally with an mills tend we your we'll in can which or we'll is mills. second We our margin compared occasionally black. to

to think at we're So bottom, to the we black so going speak. do be

Steve Chercover

a guys you ran at might XXXX, that. not Okay, million Deltic even then a Real Estate, by cash or think to and which in because definition thank there opportunistic. should that. lumpy XXXX you we switching I I'm in be that prior Is mistaken suppose few the is for below assume, $XX costs EBIT, and give base And I combination take if load to about

that we holding So you're accurate missing year, back? Or this is I'm really are something? just wondering, that

Eric Cremers

side? part Estate side development of or which about the rural business, our the talking you're Real No,

Steve Chercover

well, the Valley going mean -- Well, what I is lots the Chenal do you we the know -- to really given both, and average.

So the guess non-core I HBU it's side? more timber on

Eric Cremers

transaction XX,XXX I Little the is XX,XXX year XX,XXX for to acres think But of past. just We large the very comments in and the think rural year Jerry's No, consistent with were very a sell that's to I outside the we've what last done we'll that acres consistent. had with XX,XXX year Rock. great

Steve Chercover

kind if touched I took in you context look under a announced guess I Okay, and of transaction it question. But month, fairly hood? guys last the the was of Timberlands. final and large a wondering there you was

Mike Covey

Since guess comment on Steve. at announced, that observations at in can't our value, full sold Northwest. are been a that price encouraging it's trades and We to Pacific see I still it's a premium it's the Timberland particularly

Steve Chercover

Okay, thanks, Mike.

Operator

Mark comes question Seaport. from Our next Weintraub with

now open. is line Your

Mark Weintraub

you. Thank

to in have hoping on thoughts and was get inventories in First, your trends? recent lumber market any of I demand just terms channel you sense dynamics

Eric Cremers

Yes.

here. to lumber Eric. it's turnaround finally pleased prices we're see Mark, So Yes,

curtailments, As lumber we really a of and until mills And of seen the didn't you come had that's there know of lot as fourth log that happen backdrop the down quarter are and demand. -- year the wind improving number last so have supply a closures off to inventories. market against

home in strong out December homebuilders. We saw of really the and seeing we're files the strong order month of sales really

at MDC, If plus whether the all of take Lennar, like all growth a kind showing publicly traded XX% DR order they're numbers. homebuilders look Horton, you Pulte, -- they're

as we your ahead couple short in is business. the So for wood low. to think channel, about kind be products there better order of a getting lumber our with we our They've low But been distributors back inventories and continue they dealers of think files. to point years for can now times live

Mark Weintraub

the seeing your to for lumber seeing orders? having you you more pickup you improving, begin mean demand the that sales I in are weeks? lumber are home in And about obviously, a few talked last been into translate

Eric Cremers

been We're remodel the rising. pricing have little what recent the don't sell has more like in feeling the bit been and and a power produce, have and repair of over. past that Candidly, we been markets the than that. I'd have rolling we -- say we have talk see given we there Well, prices we

Our home right center now. business is great doing

Mark Weintraub

Okay.

was the being and that like you're than describing January like be would is it modest -- trying I'm price if QX. understand, sounded So you up versus improvement. it we QX sustained about quarter just it $XX -- lumber pricing, fourth more than I that's higher today, spot, you just it $XX sounds when only modestly heard you the suggested right, where if to this, even talked but

to just make wanted some other I work? there at I So if understood were sure dynamic

Eric Cremers

No.

slow a had So, we year. the to start

of part here or would have But late, a January, not first hoped. have The run-up. of we we seen prices as as responding well liked were nice

If for and prices going have they've you look quarter place. That's X%. trends at as about FEA in their where average, them RISI got the be to quarter. the On think what current we well, if up for stay they're

Mark Weintraub

So I average. the you If And was versus heard trying was January you up $XX understand that. the then $XX. up I guess to said just I'm QX you right, said current

presumably, $XX, $XX And we be more be the at up so by $XX somewhere stayed that and X%. up and if we'd $XX, the somewhat the would, to closer math, between than my

Jerry Richards

it hairs I Mark. I X%, we're here. mean, pretty could mean slicing be Yes, fine

Mark Weintraub

prices But obviously into that, correctly? go understood and certainly today if to are as from that's be where they could -- -- higher built Okay. OK not so would well I

Jerry Richards

That's correct. Correct.

Mark Weintraub

then... Fair enough. And

Mike Covey

up to maybe maybe around Mark, we're term So just clarify hung modest. the

mentioned the a word that statement than on X% up the it or put so prices are we modest. is to more here think, accurate a of, finer I number point,

Jerry Richards

That's correct.

Mark Weintraub

lumber duties make and just change, fully understand. then to And the I prospective on super. the Okay, sure

as the are to a in averaged prices understand adjustment it. duties of just the you opposed August where change as entirely in framework lumber into It's framework? any no function So come that starting would lower potentially, there lumber effect is

Jerry Richards

whatsoever, currently that tariffs of Our refund in U.S. is fact change be is will any file understanding, continue the Treasury deposits and the there news, in framework and to there are going collected nor will on in no that this be put and a is fresh forward.

any I there framework So is changed. don't think that's

in very that high not had leading because unexpected will. went lumber was to down price XXXX, duties if year It we less a you injury, the

then, back year were the than at negotiated up a of time when would look we much 'XX have we lower XXXX comes settlement review, prices in expect as duties because and by 'XX. go don't we lumber to for that Now

Mark Weintraub

two Got it. Thank quick you. just And ones.

Beyond going a talk more that, at potentially. do European and one even knock-on lumber China How Spruce flows, business, has that all? is into lot you that and see impacts if affecting global about timber to there's your been

Eric Cremers

little Mark. at end day, nothing Well, the of to the

As export don't or logs you really know, we lumber.

Inland while Western Our lumber we produce here, region. price the the to inland species, indexed business really of we're here in

So doesn't here. prices log what an happens have West on effect Coast with really us

us. is, is look that What I've coming in So, don't the by peaked. way, been lumber what been bottom impacting of I've line from volumes the they it we And amount Central those like hearing see Europe. reading,

could prices think seem out And that so lumber push the doesn't -- lumber be lower that prices you volume Central coming to if incremental here case. export -- volume of Europe

Mark Weintraub

lumber affect down, one there great. supply the if wouldn't To had of you they one the still gone point that that have down yet that to that Okay, be on running to prospectively thought to already perspective could knowledge announced there were been down to change down? duties or the has and decision-making. are that's the the last going but down going me. perhaps And way caveat be where were lower to would announced go being capacity were known one was sawmills hasn't capacity that your going in they while were go was the guess much already the gone at I that makes sense duties is we though, down, side going

Jerry Richards

latter. This We honestly, heard don't mostly is But BC any. a the know. think I issue. really we of haven't it's

last They inventory of and down end announced shut. log are closure, and We they're the of their decks them announcements year. now wound haven't their at calendar the any for really heard year of BC that most pending were sold

Operator

comes RBC Markets. [Operator Instructions] with Quinn Paul next question from Our Capital

line open. now Your is

Paul Quinn

go the levered bit a better. question a seen on, a talking and South Pine a Southern I about X-by-X just Hey, had you and more business would to I've thought so I little the price lot just you're three recovery been lumber weeks. last down Yellow understand over have your

it better Lengths could can we look at give it a size X-by-X, track between us So, X-by-XX, for your X-by-X, us maybe so what feel Random a to is better. mix X-by-X, you is just for composite or

Jerry Richards

-- X-by-X, XX% Well, product lot is really think look Random than is perfect XX% is Southern as compare XX% really nearly there Southern we're mix to X% Random our Pine. a we're X-by-X. Lengths. different at we're We no is I Paul. Random index is Random X% Lengths, to Lengths Lengths timbers, Lengths Frankly, we economy, economy. Yellow X% XX% is timbers. Yellow Pine, we're XX% Random

weak so there time So as of the good recently, takes and from to about to up -- composite have to the in X% index, get, contrast they're was perfect was but that Lengths really XX% there's just many puts where Random pricing a isn't is it's to to we as you're timbers pricing. the QX Lengths down comparator, here incredibly October QX. like going periods underperformed Timbers not and due really from March and be Random going and

were but of there $XXX, XX% actually lot we index. would tell Random 'XX going that was an to And when than prices, had I price I outsized reported to also $XX. better about So on think only do down down overall a our 'XX the you impact time we're is decline Lengths when periods

did we index. the $XX than So better

index. as up it's comparator and index to a about we of when So than than periods periods going with. good of the worse really you better do where as they're we time can be But time come the of do

Paul Quinn

Okay.

weighting that fit versus Yellow it you. the Have lumber -- Southern isn't your might Random a in like realization? Pine, your XX% be given better pine for So composite sounds the composite of that one, Yellow tried Southern you Lengths out but maybe

Eric Cremers

and well. wides then is directions Yellow narrows Well, two in Southern different and Pine, can there move is also there's as those within and there

So encourage the about just pricing best I to to think you Lengths the I thing guess, guidance. as again, would use for Random

Paul Quinn

want try reduction will were that just for place out. in mentioning the And I'll then duties you a maybe that. for Yeah, reduction Mike, -- that year. in Okay, be thanks

U.S. the eventually? Just between thinking side deal wondering to going U.S. change negotiations a to that's try Canada of if terms potential the the to and on get in

Mike Covey

an don't and of know. that aware Paul. Well, It's U.S. Canada. the I no negotiations between is I'm year. election ongoing There

we're the long-term members early we I the that on most which think settlement coalition it's a but negotiated of, days. continue sense market believe all market-based makes to share,

Paul Quinn

summary -- you cases or just case give are a What move individual what that could WTO coming this the issue actually that -- of us maybe move are up NAFTA this forward? might

Mike Covey

My dramatically expertise level just off of with that questions. fell

So such certainly We top to of call can't a help the matter, that. those recite I off -- at is with as head. with this complicated you can my follow-up follow-up -- on a

Paul Quinn

had. luck. Okay, that's helpful, Best thanks. That's all I of

Operator

Seaport. comes next question Our Weintraub with Mark from

is open. line Your now

Mark Weintraub

Hi, thanks.

Timbers, Paul's Just follow the one quick that in like XX% up sorry, post question percentage? again, was. what I'm was you said economy is

Eric Cremers

our of production. X% Timbers is

Mark Weintraub

Just X%. Oh,

what... Okay, and

Mark Weintraub

to we're should something a where this, but timber, -- Lengths can or there look I I I Okay. And can is would and at where that track the find Random looking economy know for? item if apologize we particular

Eric Cremers

to numbers but on you Random I get think that. buried to Lengths, back have are those Paul, I'll in

Mike Covey

Mark, economy pricing dive Random for we items you into the -- a there the timbers both deeper and report if lumber product generate lumber economy Lengths' weekly X-by-X where there economy. line stud Yeah is and are the really

Mark Weintraub

I'll Thanks circle so great. details. back get Okay, much. to

Mike Covey

bet. You

Operator

there are I'll showing more Jerry over turn Richards. I'm call to time, no this back questions. At the

Jerry Richards

couple follow-ups. on All and has in and everybody heard a take be the right. you interest a to your Thank be rest Certainly, detailed day everybody you modeling good call, the of questions your Lindsey, PotlatchDeltic. hope of But happy as thank you, day. for the and available

Operator

you conference now disconnect. may This call, concludes today's

PotlatchDeltic (PCH) 4 Feb 202019 Q4 Earnings call transcript