The application of fair value to standing timber requires a considerable degree of judgment, and the presentation of this type of valuation is of interest, not only amongst preparers and investors with knowledge about the industry, but also on behalf of new investors, such as investments funds. Amongst preparers and investors there are major questions as to how the standard is being applied to forest assets.
In 2009, we published a first of its kind study on how fair value was being applied by forest owning companies applying IFRS. In our follow up study 2011 we reviewed the manner in which fair value were being applied by the companies included in the 2009 study and a few additional companies who were early adopters based in regions migrating to IFRS.
In this 2017 study, based on financial statements published during 2015 and 2016, we have followed up on current development. A few companies have been dropped as they no longer publish IFRS financial statements.