In This Issue:

• Message from the CEO
• Corporate News
• Operations
• Log Harvesting
• Forestry News
• Mill Report
• Safety Stats
• Information Systems
• Fred's Compost Talk
• Calendar

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By Paul Pashnik, ManagerForestry News

New Forestry Manger

I�fm pleased to welcome Ken Matthews to the Coulson Forestry Team. Ken will be replacing me as Forestry Manager. I will be retiring from this position. Ken, a Registered Professional Forester, worked for 35 years for the Ministry of Forests on coastal BC. He held the positions of Operations Manager in Port Alberni and was responsible for the timber program and the management of Clayoquot Sound. Ken was also Regional Staff Manager for 4 years at the Nanaimo Regional Forestry Office and during the last 4 years was B.C. Timber Sales Manager for the Georgia Straight B.C. Timber Sales Program which includes most of Vancouver Island and the Sunshine Coast. In April 2007, Ken retired from the Ministry of Forests and became a forest consultant. On February 1, 2008 Ken joined the Coulson Group Team.

I will remain in an advisory capacity to Ken until June 2008 and will continue to be responsible for environmental certification for company operations and assist Coulson Aircrane with marketing aircraft, coordinating travel visas for air and support crews for Australia and Brazil and other countries as Aircrane expands around the world. Ken, Welcome to the Coulson Team!!

Forest Stewardship Plans

The Sandhill Creek drainage on Kennedy Flats watershed plan is in the process of being amended into the approved Forest Stewardship Plan for TFL54. Ron Sorensen is preparing this important amendment and expects to submit the amendment in to the District Manager South Island Forest District during the first week of March 2008. Ron expects to have all approvals in place by mid March 2008.

Cutting Permits

An application for CP116 TFL54 was submitted to the Ministry during the first part of February and we are expecting approval to be granted very soon. This permit consists of 3 blocks (E19A, E22, & E24) totaling approx. 20,000m3. Road construction is well underway and logging is expected to start in the 2nd quarter of 2008.

ISO14001 Internal EMS Audit

An internal audit of Coulson Manufacturing�fs sawmill and value added facilities was just completed. A number of issues were identified with our on-line EMS manual and the record keeping related to training. We will need remedy these opportunities for improvement prior to our external audit which is scheduled for May 2008.

Also, as mentioned in previous additions of Log n Talk, we will be bringing Coulson Flying Tankers Sproat Lake base and field mobile operations under the Coulson EMS program. We have engaged Streamline Environmental Consulting to assist Wayne Darlington and I in getting these operations certified. We expect to get the Flying Tanker division certified in time for bomber deployment during the 2008 fire season.

2008 Fire Season

Fire Season officially starts on April 1st each year - it is only one month away. In preparation for the season Ron Sorensen will be preparing detailed fire management plans for each operating area which must be in place prior to April 1st. As I mentioned last month, we will be purchasing a new fire weather station for our TFL54 Clayoquot logging operations. This station will involve automated reporting via satellite phone. We plan to install this station at the Stewardson TFL54 logging operations as we will be active there throughout the summer.