Fungus

A crust fungus, probably Chondrostereum purpureum [Note added 2013-12-30: I now think this is Stereum sanguinolentum, see here for details], on the end of a log from a cedar tree (Cedrus libani).

The uppermost edges often fold back to form convoluted brackets:

The upper surface of the brackets are somewhat banded:

The undersides of the brackets are smooth with no visible pores:

The spores (at x600, image width = 86um) were about 6.5 x 2.5um:

This agrees well with the sizes of around 5-8 x 2.5-3.5um given in the descriptions listed on the species page at Mycobank.

First 2 photos and sample taken in Whiteknights Park, Reading, UK, on 2013-01-09.