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This Report traces the flow of Oregons 2003 timber harvest through the primary timber-processing industry and describes its structure, operations and condition. Pulp and board, lumber, and plywood and veer sectors accounted for 96 percent of total industry sales of $6.7 billion. Oregons 2003 timber harvest of just over 4 billion board feet was 95 percent softwood species; 65 percent of the total was Douglas-fir. As a result of improved technology, lumber overrun increased 32 percent since 1988 to 2.07 board feet lumber tally per board foot Scribner of timber input. Despite decrease in amount of timber harvested, the industry has remained important to Oregons workforce: average earnings for a worker in Oregon forest products industry was about $50,200; Oregons average for all industries was $32,400.