On December 3, 1999, approximately 1030 Pacific standard time, a Hughes 369E helicopter, N11KV, was substantially damaged during a forced landing after sustaining in-flight damage to the tail rotor while conducting Christmas tree external load operations (14 CFR 133) near Salem, Oregon. The commercial pilot, the sole occupant, received minor injuries. There was no flight plan for the local flight, which was conducted in visual meteorological conditions. There was no report of an ELT actuating. The helicopter was operating with a 25 foot long-line at the time of the accident. The pilot was returning to pick up another load of trees, when he heard a bang and released the cable. He was estimated to be between 30 and 50 feet above ground level at the time. The helicopter made three to five rotations to the right before the pilot was able to land. The pilot stated that he had an immediate loss of tail rotor effectiveness. During the forced landing, the main rotor struck and separated the tail boom. In a written report, the operator stated that while the pilot was maneuvering at slow speed looking for the hooker, he heard a loud bang and the aircraft began to spin rapidly. More bangs were heard from the rear of the aircraft as it continued to spin. The pilot rolled the throttle to idle, which did not arrest the spin. The aircraft then entered a nose-low attitude while spinning; the pilot could not get the nose up with full aft cyclic. Just prior to ground impact, the pilot rolled the throttle to full open, which brought the nose up to a near-level attitude. The helicopter impacted the ground level, but sliding to the left into a hillside. Terrain was described as small rolling hillsides with various fields of small to large Christmas trees. FAA inspectors found evidence of white paint transfer on the long-line cable, and also signatures consistent with cable marks on one of the two separated tail rotor blades. Witnesses did note that ground fog was forming in the area at the time of the accident.