Investing in woodland. A natural choice.

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1 Investing in woodland. A natural choice.

2 Birch and maple trees in New England, typical of the 600,000 acres of forest under management by fountains in the USA.

3 Let s walk you through the attractions of woodland investment. HOW MANY INVESTMENTS can you see as living, tangible assets? When can you make an investment decision in the certain knowledge that the property will be there for generations to come? And how often can you commit to an investment that will benefit the environment? These are just some of the satisfactions associated with a timberland property; there are many more. As well as the return from the timber harvest, like the stock market, the value of the asset should rise over the long term. An amenity that grows on you. Many forestry owners invest because they want to enjoy their woodland as well as their future security. The recreational possibilities are there to be enjoyed; shooting, fishing, off-roading, riding, rambling, or just appreciating nature at its wildest. As the world takes its ecological responsibilities more seriously, forestry investors, having made a Socially Responsible Investment, are helping to enhance green environments. How the British woodland attractions stack up Forestry investments qualify for relief from Inheritance Tax after two years. No UK income tax or corporation tax is payable on timber sales. Capital gains tax is only payable on land value increase.

4 Scottish forest, growing in the shadow of Ben Nevis.

5 Our roots have always been in forestry. THERE CAN BE few companies with as much forestry experience as fountains. Established in the South West of England in the 1950s as a woodland management operation, the company grew substantially through the 1970s with operations throughout the United Kingdom. During the 1980s, forestry management for private and institutional investors was extended to the United States, where Fountain Forestry Incorporated manages 600,000 acres of naturally regenerating hardwood forests. fountains provide consultancy and brokerage services in the USA as well as in the UK. fountains plc is quoted on the Alternative Investment Market (AIM) of the London Stock Exchange.As well as the core business of forestry management, fountains also has specialist divisions undertaking vegetation management on electrical, rail and highway networks, grounds maintenance and landscaping. The group has over 700 staff and operates from headquarters in Banbury, UK. Customers on both sides of the Atlantic include individual families, charities, institutional and corporate landowners. 600,000 forestry acres under management in the USA. 150,000 woodland acres under management in the UK.

6 Professional forestry management makes the most of your investment. ONE OF THE MOST IMPORTANT SPECIES to be found in British forests is Sitka spruce. This hardy, fast growing tree is ideally suited to the British climate. It is constantly in demand for packaging, energy, communications, and construction. Environmentally-conscious companies insist that the timber they use comes from renewable sources. You can rest assured that with fountains caring for your property investment, your woodland is in the best hands. The company has the skills to add value; to assess, monitor and maximise asset values in financial, aesthetic and amenity terms. fountains has embraced the principles of the UK Woodland Assurance Scheme (UKWAS) which commits to follow practices that make a positive contribution to the environment. The company is a certified resource manager for the Forestry Stewardship Council, an international body which promotes and monitors environmentally sustainable forestry management. We are visible and accountable, safe and responsible, professional and competent. We seek to offer more.

7 Your future is in the forest. AN INVESTMENT IN TIMBERLAND is, perhaps, a little out of the norm when compared with traditional stocks, shares and bonds. The prospects for growth are excellent, the UK tax benefits are clear, the additional advantages of enjoying your investment are also apparent. The next step is to ensure you approach the opportunity with the best advice and clearest understanding of the prospects, the specific property and its potential for growth. With fountains, you have the most experienced, professional partner in the market. This same unbiased and highly professional advice is, of course, also available to independent financial and tax advisors. If you are going into forestry, we ll be your guide.

8 fountains plc UK office +44 (0) US office fountains is not a financial advisor and interested investors should consult their own financial advisors to check the applicability of the taxation benefits and the suitability of forestry investment for their particular circumstances.