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OPERANNG OPPORTUNITIES

WALLY LYNCH Paid Associates

PO. Box 741623 Dallas, Tx.75243

HAT has meant boom to most of the country has brought gloom to the oil producing states. The farmers are in trouble too. In some cases this has been compounded by state laws that have never served twentieth century economies.

The sum total is a business climate akin to water skiing on roller skates. lt's not uncommon to hear dealers say "we've got twice as many lumber yards as we need." Another cry is "business is off40%, but meetings are up 600/n."

While much of the economic sluggishness in the oil states is caused by factors out of the dealer's control, there is little doubt that many an operator is a victim of his own past success. The expansion and growth experienced in the area in the past 1-5 to 20 years have been nothing short ofphenomenal. Business cascaded through open doors as the snowbirds flew south to set up permanent residence.

Being in the path of progress was instant profit. For all practical purposes, a managerial base was spawned, put in place and matured without ever having to fight its way out of a recession. Adversity has not been part of its agenda.

A more successful group of entrepreneurs has probably never before existed. Entrepreneurs, independent in nature, easily by-pass the fact that their success does not automatically imbue them wilh everything important to know. Thus, it's business as usual except business, as in sales dollars, is a change that cannot be made by decree. The forces behind today's "Sales" are far too powerful to be mitigated locally or regionally by even the best of managers.

Those who emerge from this down cycle in a viable position won't be the same as when they went into it, but they will all have reduced expenditures below sales revenues. The profit culprits don't change from down cycle to down cycle. Everyone knows about people and inventory, but not everyone has done something about them. lf you think all of this is trite and can't serve your company or your area, let us recommend an old merchant's PloY. Look behind you! Look back to that year when your sales volume was at tday's level. Use today's annual rate because you can't change the economic forces currently dictating the sales rate. What you c:ln change are the expense rate and the pattern for successful operation. Compare the now "Operating Expenses" with the then "Operating Expenses" and cut the cloth to fit. You did it before, why not again todaY?

The only day we have to work with is todayt tomonow is not todaY. lt is tougher to shut down a facility than to open one, reducing is expense is the toughest of all. In the meantime, business must go on.

Many have never advertised. TheY have been good neighbors, minding their own business, never heard from. lf we don't talk to neighbors, friends and even relatives we lose them. The same applies to customers.

Southeast Scene

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David VanHoozer , Thompson Lumber Co ., Memphis.

Directors at large are Jimmy Brown , Brown's Concrete & Block Co., Dickson ; Buddy Duncan , Duncan Lumber Co ., New Tazewell; Eliot Whittington , Eliot Whittington Lumber Co ., Memphis; George McGuffin , McGuffin Lumber Co ., Morristown , and Steve Robinson , Cleve land Plywood Co ., Cleveland.

Associate member directors are Darrell Rice, Holston Builders Supply , Kingsport ; Mack McClain , Industrial Products Co ., Mt. Pleasant , and Bob Bell , Bolen-Brunson-Bell Lumber Co., Memphis.

Building Material M e rchants Association of Georgia and Ala bama will hold a board/committee retreat , April 23-26 at the Sheraton Savannah Inn & Country Club , Savannah.

Larry McReynolds , author of Georgia ' s materialmen ' s/mechanic ' s lien law will present a session on Friday telling dealers how to use what is considered one of the best li en laws in the country.

Harry Horrocks of the National Lumber & Building Material Dealers Association will be the dinner speaker on Saturday evening, discussing what's happening in Washington , D .C. , new legislation and its effect on dealers.

Meetings of the insurance trustees , education , business managements , legislative and membership committees and the board of directors are scheduled.

Several social events and golf and tennis tournaments will round out the meeting. A special program including tours of Savannah , the William Scarborough House and the Great Sa va nn a h Exposition is scheduled for spouses.

Southeastern Lumber Manufacturers Association and Buchanan Hardwoods , Inc ., Montgomery , Al., will co-sponsor a hardwood lumber grading short course in Montgomery, May 4-8.

Classroom sessions will be held at the State Capitol Holiday Inn. Grading sessions will be at the Buchanan mill.

On May 18-22 , SLMA and the Appalachian Lumbermen 's Club will co-sponsor a hardwood lumber grading short course in Hickory , N.C. The classroom sessions will be held at the Ramada Inn and the grading sessions will be conducted at Century Furniture Co.

The cost of the courses will be $100 per person.

Pricing

We can fill all your treated lumber needs landscape timbers, plywood, all dimensional lumber, 4x4 through 12x12. On 6x6 and larger we have lengths ranging up to 45 feet. Plus, we now carry in stock .60 FDN . We also have our own fleet of trucks to help you solve any delivery problems you may have. All our materia! is TPI grade marked. We feature the AWPB quality mark on all our treated material.

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