Retailer readies for battle in Louisville

(E=, TRATEGY and rlexibility -t govern the game plan lor Boland-Maloney Lumber Co. as it copes with the influx of chains into the Louisvill€, Ky., market.

"We face the next five years with the prospects of at least two down cycles in that time, if history repeats itself," speculates Richard Boland, president. "We expect additional washout of some small independents," he adds, "and in our own market probably a couple of the chain operations."

Story at a Glance

Well-eslablished two store independent sets strategy for an invasion by nationalchains and warehouse operators . . . lessons learned in the 1930s are still applied ... "profit is the name of the game, not salesl'

Boland-Maloney expects to remain flexible during this period to change with the times. They'll also remain hopeful, Boland emphasizes, that the industry will wake up to the reality that profit is the name of the game and not sales." Meanwhile, they are retrenching for the next shift in the marketing of lumber and millwork products, planning a strategy to meet the change.

Boland's answer to questions about his strategy plan is evasive. "We are ever mindful of General Patton's remark as he lay in wait for General Rommel in North Africa. 'I read your book.'(Referring to Rommel's book on tank warfare.) We will not publish our strategy just in case there is a Patton in the lumber industry."

Gerald J. Boland is vice president of the operation which has two locations, one at 913 E. Main in downtown Louisville and one on the out- skirts at 4010 Collins Lane. This store, which is the company headquarters, has 70,000 sq. ft. of salesfloor, warehouse and administrative space plus six outside lumber sheds on 8/z acres of land.

The 54,000 sq. ft. warehouse is supplemented by 8,000 sq. ft. of covered dock. The store occupies 12,000 sq. ft.

At the original downtown location, they are building a new warehouse and adding additional display space. They also are adding equipment to expand the millwork capacity at both locations. Internally, the company is working towards getting the inventory on computer and eventually the entire general ledger system.

Boland-Maloney was founded by Urban Boland and John Maloney during a low period of American economic history 1937. This certainly was not a year in which an economist would have recommended starting a lumber business, Boland comments.

The partners utilized the site which had been vacated by Higgins Lumber Co. and geared sales to the local industrial market. When the U.S. began to prepare for World War II, Louisville's industry became involved in developing synthetic rubber for Dupont. Boland-Maloney sold them the lumber needed to build the plants. When the plants became operational, they continued to supply lumber and building products. They also sold materials across the Ohio River in Indiana for an ammunition plant as well as an installation at Madison. Boland-Maloney also supplied material to Fort Knox, home of the nation's gold stockpile.

Buoyed by this activity, Boland-

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