Revenue Recognition

9 Months Ended

Sep. 30, 2019

Revenue From Contract With Customer [Abstract]

NOTE 5. REVENUE RECOGNITION

The majority of our revenues are derived from the sale of delivered logs, manufactured wood products, residual wood by-products and real estate. We recognize revenue in accordance with FASB Accounting Standards Codification Topic 606, Revenue from Contracts with Customers (ASC 606). Performance obligations associated with real estate sales are generally satisfied at a point in time when all conditions of closing have been met and title transfers to the buyer. Real estate closings are generally facilitated through an escrow process.

At September 30, 2019 and December 31, 2018, we recorded $7.2 million and $4.3 million, respectively, for contract liabilities recorded as deferred revenue. These contract related liabilities predominately relate to hunting and other access rights on our timberlands and member related activities at the Chenal Country Club. These contract liabilities are recognized over the term of the contracts, which is typically twelve months or less, except membership initiation fees at the Chenal Country Club which typically are recognized up to 10 years. Other contract asset and liability balances, such as prepayments, are immaterial. For real estate sales, we typically receive the entire consideration in cash at closing.

The following table represents our revenues by major product. For additional information regarding our segments, see Note 6: Segment Information.

	Three Months Ended September 30,						Nine Months Ended September 30,
(in thousands)	2019			2018			2019			2018
Timberlands
Northern region
Sawlogs	$	53,152		$	69,658		$	116,118		$	168,869
Pulpwood		1,489			1,575			4,698			4,654
Stumpage		3			39			109			175
Other		1,085			765			1,649			1,233
		55,729			72,037			122,574			174,931
Southern region
Sawlogs		24,053			21,974			63,469			61,194
Pulpwood		15,754			13,700			38,847			36,138
Stumpage		767			653			1,233			2,106
Other		2,506			3,057			7,725			6,069
		43,080			39,384			111,274			105,507
Total Timberlands revenues		98,809			111,421			233,848			280,438

Wood Products
Lumber		108,364			138,281			301,923			367,062
Residuals and Panels		35,279			60,744			112,056			165,363
Total Wood Products revenues		143,643			199,025			413,979			532,425

Real Estate
Rural real estate		9,689			8,238			44,223			29,740
Development real estate		7,674			1,287			12,102			4,249
Other¹		1,500			1,708			5,134			4,230
Total Real Estate revenues		18,863			11,233			61,459			38,219

Total Segment Revenues		261,315			321,679			709,286			851,082
Intersegment Timberlands revenues²		(35,013	)		(32,480	)		(85,687	)		(93,753	)
Total consolidated revenues	$	226,302		$	289,199		$	623,599		$	757,329

¹	^{Other Real Estate revenues primarily relate to the Chenal Country Club.}

²	Intersegment revenues represent logs sold by our Timberlands segment to our Wood Products segment.