This is the exact part of the release from their website that has me thinking this is undervalued.
"DEBT AND FREE CASH FLOW(4) Debt was reduced $29.7 million in the quarter, compared with $7.1 million in the prior year quarter. Debt, net of changes in cash, has been reduced $111.4 million in the last 12 months. Carl Schmidt, vice president, chief financial officer and treasurer, said Lee remains in compliance with financial covenants and expects to continue repaying debt primarily with ongoing cash flow. Liquidity(5) at the end of the quarter totaled $103.8 million, which is comparable to the September 2010 level, and compares to $82.0 million of debt repayments due in the next four quarters. Free cash flow totaled $41.1 million for the quarter, an 18.4 percent increase from $34.7 million a year ago. Free cash flow in the last 12 months totaled $110.6 million."
They keep paying down debt, which hopefully in turn should end up as $ in the shareholders pocket (at some point down the road).