Roof Settlement Tentative

According to a story breaking in The Wall Street Journalin early July, a tentative agreement has been reached between more than 70 insurance companies, home builders, chemical treaters and plywood manufacturers to contribute money to a revolving fund for out of court settlement of allegedly defective fire retardant treated plywood roof cases.

However, the companies involved, including Hoover Treated Wood Products, Osmose Wood Preserving Inc., Georgia-Pacific Corp. and Weyerhaeuser Co., have declined to comment, citing an agreement for confidentiality until

Hardwood Plywood Prc*rctions

Ten major trends are forecast for the hardwood plywood industrY in the 1990s by the Hardwood PlYwood Manufacturers Association.

o Environmental issues will be the decade's single most important factor affecting the industry.

o The number of firms producing the agreement is signed, probably by Sept. 30.

A spokesperson for one of the companies involved expressed surprise that Washington attorney Kenneth Feinberg, mediator for ihe settlement, had discussed the proposed settlement, adding that he felt his comments were premature.

The voluntary agreement would result in about 700/o of the replacement costs for defective roofs being paid by those who developed or sold the chemical formula or treated the plywood. Builders, warranty companies, plywood manufacturers and wholesale and retail distributors prefinished wall panels will decline in the next three years. o The number of cut-to-size and stock panel manufacturers will likely decline during the next few years. o Demand for cut-to-size and stock panel manufactured products will continue to be stable.

. North American consumption of wall paneling will decrease.