Estimation of the value of damaged timber stands can be complicated. The foundation for any valuation calculations involving damaged timber is land expectation value (LEV). A timber damage model using LEV is described in detail. The concept is economically sound as it ignores sunk costs and considers land opportunity cost and the impact on future rotations. The method described is an income approach. The results can also be applied to a replacement cost model. The two approaches will produce consistent results. FORVAL is a free computer software model that uses the same methodology and will produce the same results.