Note 11. Subsequent Event

In July, 2013, the Company closed a warranty easement deed with the United States Department of Agriculture, through its administering agency, The Natural Resources Conservation Service, granting a conservation easement on approximately 11,600 acres located in Hendry County, FL (the "Property") for $20,678,000. The easement agreement states the Property will be enrolled in perpetuity in the Wetlands Reserve Program designed to restore, protect and enhance the values of the wetlands and for the conservation of natural resources.

The Company will retain title to the Property and the right to various recreational uses including hunting, fishing and leasing of such rights. Additionally, the Company reserves the right to subsurface resources including oil, gas, minerals and geothermal resources underlying the easement area and the right to water uses and water rights identified as reserved to the Company.

The Company expects to generate an approximate $19,900,000 pre-tax gain which will be booked in the Company's fourth quarter results. Additionally, a $19,900,000 capital gain for tax purposes will be utilized against the $48,000,000 capital loss carryforward generated by the Lee County property transactions in fiscal years 2012 and 2013.