The Merchant Jan 2015

MERCHANT

TRENDS IN TRIM & SIDING  WINDOWS & DOORS  WESTERN WOODS

The

JANUARY 2015

Magazine

THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922

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January 2015

The

 Volume 93  Number 7

MERCHANT

The

MERCHANT

Magazine

www.building-products.com

A publication of Cutler Publishing

151 Kalmus Dr., Ste. D-200, Costa Mesa, Ca. 92626

Magazine

Publisher Alan Oakes ajoakes@aol.com President/Co-Publisher Patrick Adams padams@building-products.com Publisher Emeritus David Cutler Vice President Shelly Smith-Adams Director of Editorial & Production David Koenig david@building-products.com Associate Editor Stephanie Ornelas sornelas@building-products.com Contributing Editors Carla Waldemar, James Olsen Advertising Sales Manager Chuck Casey ccasey@building-products.com Circulation Manager Heather Kelly hkelly@building-products.com

How to Advertise

Special Features

In Every Issue

9 FEATURE STORY

4 WAYS TECHNOLOGY CAN ENHANCE YOUR BUSINESS IMMEDIATELY

10 MARGIN BUILDERS

6 TOTALLY RANDOM 18 COMPETITIVE INTELLIGENCE 20 OLSEN ON SALES

KEYS TO SELLING VALUE-ADDED

23 APP WATCH

12 PRODUCT SPOTLIGHT

25 MOVERS & SHAKERS

EXTERIOR TRIM & SIDING

14 INDUSTRY TRENDS

NEW ENERGY STAR RULES IMPACT DOOR & WINDOW SUPPLIERS

16 INDUSTRY TRENDS

48 CLASSIFIED MARKETPLACE

PURCHASING SOFTWOOD LUMBER

28 WWPA SPECIAL FOCUS:

47 ASSOCIATION UPDATE 48 IN MEMORIAM

WINDOWS & DOORS IN 2015

26 NAWLA: THINKING AHEAD

40 NEW PRODUCTS

49 DATE BOOK 50 IDEA FILE

WESTERN WOODS

44 PHOTO RECAP:

50 ADVERTISERS INDEX

WCLBMA HOLIDAY PARTY

Online MERCHANT DIGITAL VERSION, BREAKING NEWS & PHOTOS

MERCHANT DIGITAL VERSION

THIS MONTH’S EDITION AS WELL BACK ISSUES OF THE MERCHANT CAN BE VIEWED DIGITALLY AT BUILDING-PRODUCTS.COM

BUILDING-PRODUCTS.COM

AS

FOLLOW ON TWITTER

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PRINT – Chuck Casey Phone (949) 852-1990 Fax 949-852-0231 ccasey@building-products.com ONLINE – Patrick Adams www.building-products.com Phone (949) 852-1990 Fax 949-852-0231 padams@building-products.com CLASSIFIED – David Koenig Phone (949) 852-1990 Fax 949-852-0231 david@building-products.com

How to Subscribe

SUBSCRIPTIONS Heather Kelly Phone (949) 852-1990 Fax 949-852-0231 hkelly@building-products.com or send a check to 151 Kalmus Dr., Ste. D-200, Costa Mesa, CA 92626 U.S.A.: One year (12 issues), $22 Two years, $36 Three years, $50 FOREIGN (Per year, paid in advance in US funds): Surface-Canada or Mexico, $48 Other countries, $60 Air rates also available.

SINGLE COPIES $4 + shipping BACK ISSUES $5 + shipping CHANGE OF ADDRESS Send address label from recent issue, new address, and 9-digit zip to address below.

POSTMASTER Send address changes to The Merchant Magazine, 151 Kalmus Dr., Ste. D-200, Costa Mesa, Ca. 92626.

The Merchant Magazine (ISSN 7399723) (USPS 796560) is published monthly at 151 Kalmus Dr., Ste. D200, Costa Mesa, Ca. 92626 by Cutler Publishing, Inc. Periodicals Postage paid at Newport Beach, Ca., and additional post offices. It is an independently-owned publication for the retail, wholesale and distribution levels of the lumber and building products markets in 13 western states. Copyright®2015 by Cutler Publishing, Inc. Cover and entire contents are fully protected and must not be reproduced in any manner without written permission. All Rights Reserved. It reserves the right to accept or reject any editorial or advertising matter, and assumes no liability for materials furnished to it.

TOTALLY Random

By Alan Oakes

With a heavy heart, time to say goodbye

F

IRST, A

HAPPY NEW YEAR. I hope you enjoyed a great holiday and time off with your family. As I indicated in my last column, we have changes afoot here at our publications.

Fourteen years ago, I became the owner and publisher of The Merchant Magazine and Building Products Digest. I inherited two magazines with a tremendous history supporting this industry back to 1922. David Cutler handed over the reins to me in 2001, and I will be handing them over to our new owner and publisher, Patrick Adams, in the next month as I head for retirement.

At that time in 2001, I simply had no clue as to the adventure I was about to embark on leading to the best fourteen years of my long career and it was so unsuspected. As I hit 66 just a few weeks back, as one of my recent columns suggested, you need to find the right time to walk away. I have sadly come to the conclusion that time is now. I have been a president/c.e.o. since I was 24, managing companies in the U.S., Canada, U.K., France, Spain, Netherlands, Germany, Sweden, UAE, moving continents several times. It is time to take a breather.

I would like to take a brief opportunity to thank two people who early in my career had great faith in me. Reinhold Wuerth (Wuerth KG) and Rodnay Zaks (Sybex) who both hired me at an early age and were responsible for bringing me to the U.S. to manage their companies. In both companies, I learned that I had to work and run hard and anybody who has seen me in this industry knows that to this day I lead my life the same way. I believe in doing nothing without a 100% passion, energy and commitment and running a company with the highest level of ethics and integrity. I have believed in people and have resisted strongly the hire and fire mentality in the corporate world today.

In 2001, I bought a P&L and a piece of paper. I had not counted on finding a home that was a perfect fit for me and my skills.

More importantly, I joined an industry with simply the best people I have ever come across in a variety of industries. The friends I have made will I hope be enduring during my retirement. I cannot thank enough the many, many people I have met who have given me hope, commitment and outright friendship. It is only when you have worked in other industries do you realize the value of this one.

So this will be my last column. In 2001, the thought of writing a monthly column was daunting. I had never written before, so I simply shared my thoughts and ideas, which, from your amazing feedback, appears to have hit a chord. I never saw myself as right, I just wanted readers to be intrigued with what I wrote enough to look at themselves or their companies to see if they could do better. Many of my columns have been as an industry cheerleader through a time when, as owners, managers and employees, we were tested to our limits. Of course, today is the perfect time for me to go out, now that the industry has begun to grow again.

I would like to thank a number of people. First, I would like to thank all the wonderful ladies in this industry (there are not enough by the way) who were gracious to have their photos taken with me which has given me such joy and many of my readers too, who have thought I might be enjoying my job too much.

I would like to thank many of the young people of this indus-

Readers Respond

Have a thought or story to share about Alan or our publications as he heads into retirement? Please send a brief email to letters@building-products.com by Jan. 20 to be included in our February issue!

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try. They have proved to me that they still do want to read a magazine, despite what you may all hear. Their questions and feedback have been extremely encouraging for the future of this industry. However, this industry is not attracting enough of them, which needs to be overcome.

I would like to thank the many who have given feedback through the years and who have supported our publications through thick and thin. Our advertisers are the most loyal I could ever imagine. And the thousands of comments on how our readers enjoy what we do is what keeps us going.

I would like to thank in particular three of my colleagues who were here in 2001, David Koenig, Chuck Casey, and Heather Kelly. All have supported me through these years, and I will miss them deeply. All will continue with the new owner.

Lastly, I would like to thank my long-suffering wife of 45 years, Pierrette, who has supported my career at every turn and been my partner in this business. As a wife and mother, she is second to none. She has had about 15 career moves to deal with domestically and internationally and should take much of the credit for raising our two wonderful and successful children.

And now to the future. When I made the decision to retire and sell our company, it was critical to me that I found a company that would continue to expand and grow our magazines. Our history back to 1922 was paramount to me in finding a buyer who would believe in the way we do things at this company—very unlike traditional publishing houses—and who would lead us on to bigger and better things for a long time to come.

After a few months of talking to a number of companies and mostly remembering the reasons I left corporate life, I came to the conclusion that I needed to find someone like me 15 years ago, who wanted their own show and was disillusioned with corporate life. I am so excited that in Patrick Adams I believe we have found that person. He will tell you more about himself next month, but he joins us with 25 years of executive magazine and publishing experience and will bring new ideas to meet the future.

Patrick is just getting to grips with our industry and has already found out at a number of events that he is part of an incredible community of professionals, who do business the old-fashioned way, “on a handshake,” who are loyal to the core, love what they do, and have a deep commitment to this industry.

My exit will continue for a few months and still more shows to do, but as I again wrote a few months back in a column—Hey, I am not dead yet—I have plenty to do. My passion is travel, but I will consult for companies and individuals and I hope to find ways to continue to support this industry. My email address will stay the same, so please keep in contact.

Dear readers and friends, thank you for what you have given me. I enter retirement happy that I have had the best 14 years of my life, but leave with a very heavy heart. Thank you. Wishing you great sales and success and hoping you will have as much joy in your life as I have had.

Alan Oakes Publisher ajoakes@aol.com Building-Products.com

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FEATURE Story

the intangible, pinnacle of marketing: customer-generated word-of-mouth.

Engaging with reviewers on sites like Angie’s List, Google Places, HomeAdvisor or Yelp is an excellent way to build customer loyalty.

By Mac McCabe, JobFlex

4 ways tech can enhance your LBM business

L

BM BUSINESS and managers are constantly faced with evolving technology that promises to help their companies operate more effectively. It can leave one feeling inundated, overwhelmed or ready to give up on technology altogether. For anyone who wonders if additional technology is really necessary to run a lumberyard or home center, the answer is yes.

Here are ways tech can improve the efficiency of your business:

1 . Data storage and security.

Cloud storage solutions like Dropbox and Google Drive offer affordable data storage options for keeping and sharing documents online.

Why this matters for a business: • Cloud storage frees up space on internal hard drives and networks.

• Companies like Dropbox and Google have extensive IT resources in place to ensure data security, lessening the load on internal IT staff or vendors and decreasing vulnerabilities.

• Cloud storage facilitates collaboration—among co-workers, partners, vendors and contractors. No more sending different versions through email; live edit and share. File too big for email? Upload it to Dropbox.

2. Email and Internet marketing.

Businesses need to spend time & resources on e-blasts and social media to cultivate a community and increase engagement.

Why this matters for your business: • According to Convince & Convert, in the past year, 44% of people surveyed made at least one purchase based on a promotional email. It takes time to craft the right headline, determine the right content that will be useful to your audience, and coordiBuilding-Products.com

nate e-newsletters or e-blasts, but those who opt-in are typically qualified leads looking to learn more, so the payoff potential is large. Tools like MailChimp, AWeber, and Constant Contact can help you get started quickly and easily.

• Social channels like Facebook and Twitter offer the opportunity to engage with customers and fellow industry members, strategically driving traffic to specific landing pages, news, and other interesting information. Simply remember the 80/20 rule: 80% of content should be about your customers, partners and industry; 20% should be focused on how your business can help them.

• Online reviews can make or break

APPS like JobFlex arm your sales force with all the tools they need in the field.

3. Customer service and satisfaction. We live in a society that craves instant gratification. Web and mobile solutions enable your business to provide that for its customers.

Why this matters for your business: • A business’ website serves as a 24/7 sales professional. Differentiate your customers’ experience by providing a unique, easy-to-navigate web presence. Consider the most frequently asked questions about your services, products, team, location, experience, etc., and get them answered on your website.

• Perhaps your customers don’t want to wait to schedule an in-person meeting. Tools such as Skype, Google Hangouts, and GoToMeeting offer reliable solutions for holding client meetings virtually, allowing you the opportunity to satisfy customers faster.

• Cloud-based project management tools like Asana, Basecamp and Zoho foster collaboration among your team so that the customer is delivered the best service possible.

4 . Sell with technology. Your sales team is a finite resource. Your website and e-marketing will back you up to a certain point, but empowering your sales team with technology will further extend their ability to meet with clients and make the sale.

Why this matters for your business: • Create estimates and quotes on the go with mobile estimating software. Apps like JobFlex allow your sales team the flexibility to deliver quotes in the field, equipped with all the resources they need to generate a professional, branded estimate, with or without internet.

• Don’t wait for the drive back to the office to deliver. Set up bluetoothenabled devices to print wirelessly from the field to back up digital delivery with printed copies.

Where is your business lacking in resources? Which processes just aren’t flowing efficiently? Consider the problem, and there’s a technology solution. From online business training to cloud-based system apps, technology is at the crux of everything.

– Mac McCabe is v.p. of sales at JobFlex. Reach him at (855) 354-3539 or via www.job-flex.com.

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MARGIN Builders

By Rick Kapres, Versatex Building Products

If your price is too high, your story is too short 3 steps to boost profitability by selling value-added building products

Yes, price is a driver. After all, you’re in the lumber business. But it’s okay to slow down and present the price of a value-added product after you convince the end user of the product’s actual worth. Remember the old saying, “If your price is too high, your story is too short?” To move top-end products, you’ve got to tell a story that explains their value.

But, before your sales team can tell that story, you need to convince them that making the effort is in their best interest. Too often, sales reps spend their days simply handing over what builders ask for without stopping to wonder, “Is this the right product for the builder to use? Is this the right product for us to sell?”

The good news is that you can change that reactive mindset. Here’s a simple, three-step process that I’ve seen work for dozens of retailers: (1) Commit to one product.

(2) Create an incentive-rich selling environment.

(3) Craft your story and tell it.

Show Them You’re Serious

SELLING value-added building products, such as Versawrap one-piece PVC cladding system for pressure treated columns, works best through a three-step process.

“W

HAT’S YOUR PRICE?”

That question is always part of the equation. But it doesn’t have to be the equation. You already know the answer can never be low enough. So, if you’re tired of constantly sharpening your pencil, maybe it’s time to point your sales team toward value-added specialty products.

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Begin by committing to a specific product. Stock it starting now, because if it’s not in the yard, your sales team won’t see it as important, and it won’t move. Obviously, inventory dollars aren’t to be taken lightly. Dead inventory can kill you, and turns are paramount. But, while gross margin return on investment (GMROI) is critical, it has an “earn” side as well as a “turn” side. Disregarding earns— margin dollars—will doom you just as quickly as ignoring turns.

It’s like the guy who bought watermelons for two dollars each and sold them for a buck. He knew he was going broke, but his solution—“Get a bigger truck”—didn’t pay off.

Because margin matters, you’ll want to invest in inventory that can produce margin dollars. Do your homework: Understand which value-added features each manufacturer brings to the table, in every category you sell—siding, trim, decking, railings, windows or roofing.

Building-Products.com

You already know that every category has premium players who ask for more money but deliver more value.

Narrow the field to manufacturers who offer: • Superior warranties • Innovative, time-saving products that solve real problems • Higher quality • Sales and marketing people who will help you tell the value story.

Sweeten the Pot

Once you’ve identified a manufacturer and a value-added product, and have it in stock, your next move is to create incentives for selling it. Pay always gets people’s attention, so try adjusting commissions to make selling the product more attractive. Even when compensation is based on gross margin dollars, extra pay for conversions to a new product can counteract a risk-averse “bird in the hand” mentality.

For instance, a rep who’s used to selling spruce trimboards to a certain builder might not want to risk tinkering with the relationship, even though the commission would be higher on trim made of PVC. In this case, your job is to make the conversions worthwhile for both the rep and the builder.

Fortunately, most top-of-category manufacturers are ready to collaborate with you on rewards for reps or incentives for builders.

Spin the Tale

Okay, you’ve selected and stocked the right product, and set up incentives for your people and their customers.

Your third and final step is to craft your story and tell it. You want your customers to believe and remember a success story: how your product helped people like them gain profitability by solving a specific problem for them and their customers.

Here again, the manufacturer is your ally. Lean on their sales and marketing expertise, but don’t stop there.

Ask your own sales and marketing people to develop local angles.

Building products are regional, so concentrate on issues that builders face in your part of the country.

Support your story with testimonials and photos of local projects, posted on your website, in social media and on in-store displays.

Get customers to listen by staging events they’ll want to attend. Because builders love to buy from other builders, some manufacturers sponsor Building-Products.com

live, news-you-can-use programs, presented by experienced contractors.

These sessions can support your story by: • Helping you introduce a highermargin, value-added product to builders • Showing builders how to persuade homeowners that the product is desirable and that price is secondary.

Builders typically exit these gettogethers motivated to use higher-budget products, because they’ve gained confidence in their ability to suggest them to homeowners.

To help your team understand the product story and repeat it consistently, have them attend any training the manufacturer offers. Make sure each team member gets copies of presentations and absorbs key selling points.

And ask your top outside salespeople to travel with manufacturer reps to make joint calls on builders.

After hearing the story a few times, your people will be able to recite the key features with confidence and make the conversions you need. The selling process will evolve away from price and converge on performance and value. And your bottom line will reflect the change. You’ll also have a growing collection of builders who are thankful that you helped them see the light and are, ultimately, more loyal because you did.

– Rick Kapres is vice president-sales for Versatex Building Products, LLC, Pittsburgh, Pa. He can be reached via versatex.com.

RICK KAPRES – VERSATEX January 2015

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PRODUCT Spotlight Exterior Trim

Exterior trim packages looking up

T

a house “from the top down” with lowmaintenance urethane products—from gable vents and louvers down to millwork and balustrades—is a growing trend for busy homeowners looking for easy-care home exteriors.

“Today’s homeowners are selecting products for the outside of the home that are long-lasting and require minimal upkeep,” says Fypon’s Anita Piety. “Urethane and PVC products perfectly match the needs of consumers who are looking for stylish home enhancements that resist moisture, insects, cracking, peeling, rotting and warping.

RIMMING OUT

Functional venting louvers feature corrosion-resistant screens to help keep insects out of the home and angled slates to protect interiors from rain while still encouraging ventilation.

“The windows on the front of a home gain tremendous curb appeal when accented by mouldings, a crosshead, trim and a window panel,” she says. “Similar pieces—plus pilasters and pediments—can transform a ho-hum entryway into a stunning grand entrance for a home.”

To add the ultimate finishing touch to eaves and window areas on the exterior, Piety recommends incorporating brackets, dentil blocks, and corbels. These pieces can be positioned under showcase window areas and on porches, and are also typically found under the roofline of a home.

A trellis system installed above the garage door or a secondary entryway of the home carries through the decorative elements on the exterior.

“One of the best uses of low-maintenance products I’ve seen comes when people are adding balustrade systems, column wraps, and columns to a home exterior,” says Piety. “These are products that in the past were made only of wood, requiring endless hours of scraping and refinishing on a regular basis. Now, with an abundance of PVC and urethane options in these product categories, homeowners can almost forget about maintenance woes. An occasional washing is all that’s needed to keep these products looking fresh and new year after year.”

Top Down Colors for the Home PVC BRACKETS provide a great accent to siding and other decorative trim features.

“These products come with several finish options, including smooth, timber and stone cast, all primed and ready to paint or stain. The options encourage people to personalize their home exteriors with products that complement their home’s design while reaping all the benefits of durable, low maintenance materials.”

Top Down Accessories for the Home

At the roofline of the home, Piety recommends gable vents and louvers that come in shapes (such as octagons, cathedral, triangle and oval) and sizes to fit most openings.

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Since they often come with a pre-primed surface ready to stain or paint, the lightweight products are an ideal way to add “top down” color to the home exterior.

“Painted crossheads or pediments that sit above windows or doors can help draw the entire color palette together for a home while providing instant curb appeal,” says color expert Kate Smith. “While white trim is always striking on a home and can be a great contrast to darker colors, you can paint mouldings, brackets, trellis systems or louvers in a wide array of colors to truly highlight your home exterior. For example, a home with an overall green palette could use cream- or driftwood-colored accent pieces. Or, a Victorian-style home could use mouldings in shades of fuchsia or purples to set off its trim.

Building-Products.com

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responsible manner. It doesn’t just benefit builders; it benefits our entire ecosystem.

purchasing comes from woodlands that are managed in an environmentally and socially

Feel good about it

INDUSTRY Trends Windows & Doors

New Energy Star rules impact door/window sellers

N

EW CHANGES WITH Energy Star mean new concerns for dealers and distributors of residential windows, doors and skylights, particularly those that offer installation services or referrals.

Energy Star version 6.0 went into effect Jan. 1, 2015, except in the extreme-weather zone of the Northeast, which was given an additional year to comply.

According to John Jervis, managing director of AWDI, LLC (American Window & Door Institute), there are three main changes. First, there’s an increase in performance criteria for windows, doors and skylights.

Second, instead of being marked “Energy Star Qualified,” products will now be labeled “Energy Star Certified.”

The primary reason, says Jervis, “is

to promote the proper use of the Energy Star brand. A lot of manufacturers who aren’t Energy Star partners advertise that their products ‘meet all the requirements of Energy Star Qualified,’ to imply they are partners.”

The word “certified” provides far less interpretation than “qualified.”

Jervis says, “Probably a third of all fabricators in the U.S. making vinyl windows for retrofit are Energy Star participants. A third say their products meet Energy Star, which implies they have a label—that they often display in their ads and literature—but they do not. A third don’t bother at all. The change should force the middle group to be more honest.”

Third—and most pertinent for dealers and distributors—detailed installation instructions, covering eight spe-

NEW ENERGY STAR rules require companies selling windows and doors to make sure their customers have access to exacting installation instructions.

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cific areas, must be provided for all Energy Star windows, doors and skylights, either packaged with the window or readily available for online viewing.

The instructions are so detailed that supplying them at the point of purchase is impractical. Jervis says the standard industry install document is 90 pages long. “I don’t know how you staple that to every window,” he says.

Confusion may still arise over which website to head to—the retailer’s, the distributor’s, or the manufacturer’s?—particularly if the retailer markets products as its own brand.

“To be safe, if the retailer sells windows as part of an ‘at home service’ and collects the consumer’s money, they may want to put the requisite instructions on their website,” Jervis offers.

He suggests the company responsible is the one that offers the warranty.

But, to make it easier for Energy Star partners to comply, AWDI has launched an online library of compliant instructions (wixsys.com) to which manufacturers and retailers can link and have assurance from the EPA that they are compliant. Energy Star 6.0 partners can license the AWDI library and gain a QR code that they can place on their products, putting consumers a scan away from the site.

Retailers, fearing they could conceivably be held liable for incorrectly installed products, can also benefit from the online portal. They can have a QR code affixed to their retail shelf.

“The window won’t work right if it’s not installed right,” Jervis says.

“The goal of the Energy Star mandate is to now have qualified products installed well.”

Building-Products.com

INDUSTRY Trends

By Christine Marvin, Marvin Windows

Top window and door trends for 2015

S

IGNIFICANT TRENDS are emerging in the window and door industries— and the savvy dealers who take notice now can get a leg up on the competition. At Marvin, we’re constantly monitoring our customers’ evolving tastes and have identified the following key trends that we expect will affect the building industry in 2015.

Bringing the outside in

More people are seeking ways to integrate their open interiors with spacious exteriors and with this trend comes growing demand for larger windows and doors. When it comes to windows, many are opting for large casement windows or direct-glaze options, offering unobstructed views.

Others are seeking large sliding windows that feature unobstructed openings and wide open spaces.

Beyond expansive views, homeowners also desire a seamless transition between the homes’ inside and outside, making a dramatic connection with the outdoors.

Contemporary design elements

Homeowners’ gravitation toward larger windows and doors with clean sight lines is one of many indications of growing interest in contemporary designs. You can expect a demand in such contemporary design elements as pearlescent exterior finishes, including copper and silver colors, satin nickel hardware, dark interior stains, and beautiful ebony exteriors.

Another way to deliver a contemporary look is to install windows with “square sticking,” which include a clean, squared-off transition where the window’s glass meets wood, creating the minimal detailing emblematic of contemporary design.

New window treatments

Meanwhile, more homeowners are leaning toward window treatments that match and integrate with their windows, rather than covering them up. They want simple, and sleek solutions that ensure the window

remains the focal point. But they also seek options—different light-filtering materials and color options, for example—and convenience.

We caught on to this trend and designed Marvin’s integrated interior shades, integrated seamlessly into the design of our windows and doors, so they don’t protrude into living spaces or interfere with hardware, and they can be matched to our interior finishes. Homeowners can program the automated exterior shading system to provide the optimal amount of light, 24 hours a day.

Accessories that make a statement

Seemingly small details can elevate a home from charming to breathtaking. Homeowners continue to value a wide array of options, including numerous color choices for window and door hardware and other accessories. More homeowners will make their statement by choosing copper and gold accessories.

Passive homes

With an increasing emphasis on energy efficiency, homeowners are gravitating toward “passive” building practices, whose requirements are designed to maintain temperatures with incredibly minimal heating and cooling systems. Using highly efficient windows can play a key role in attaining the rigorous passive standards.

Along with these strategic design elements, many trends will pave the way to future innovations, meeting the needs of people at all stages in their lives.

EXPANSIVE VIEWS are becoming more desireable within the home, thus making open-spaced windows and doors more of a demand.

(Photo courtesy Marvin Windows and Doors)

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– Christine Marvin is marketing director for Marvin Windows & Doors. Reach her via www.marvin.com/contact-us.

Building-Products.com

COMPETITIVE Intelligence

By Carla Waldemar

Milwaukee’s finest

B

LUMBER & Hardware, of Milwaukee, Wi., dates back— way back—to 1904, or even earlier, if you count the coal and ice company from which it sprang. “Sawdust and lumber go together,” explains current c.e.o. Eli Bliffert, “so my great-grandfather was smart enough to expand.”

Actually, those early 1900s were less than stellar for the outfit. But then the founder’s daughter married J.P. Bliffert, the fellow who added lumber to the mix and grew the company from one location in 1929 to six by 1955. When J.P. died, the six yards split into stand-alones, each operated by a different family member.

Fast forward to 2004, for if that year hadn’t spawned a brawny new LIFFERT

vision, you could turn the page right now; there wouldn’t be a story. The year 2004 was when young (then 35) Eli Bliffert—clearly a chip off his great-grandfather’s entrepreneurial block—had the smarts, and guts, to merge the six discrete, outlying sites back into one far-sounder corporation.

“It made more sense to operate them together than apart,” he explains.

“The others [family members] were getting up in years, so it took someone younger, who wanted to pull the company back together.”

He was. And he did. And since then, added a seventh site. Before that unification venture, he’d run two of those six yards with 20 employees.

After, seven stores with staff number-

BUSY WAUKESHA location was acquired in 2009, during the height of Bliffert’s aggressive downturn-timed expansion.

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ing 150. “In 2007, I built an office and hardware store on the original site and in 2009 bought the yard in Waukesha. In 2011, I merged the last of the family yards, and in 2013, I bought another existing yard an hour south of town in Racine County. I just did stuff that made sense. I expanded hard during the downturn, and that added size let me leverage better buying terms with vendors.” It also opened avenues to add new products, like salt and ice melt.

Huh? Hold that snicker. “Salt had not been sold in lumberyards,” he notes, “but it became a really strong category; we undersell the boxes by a good chunk of change,” yet still maintain cozy margins here in the snow belt muscling onto Lake Michigan.

There’s strength in numbers, sure, but also strength in diversity. No cookie cutters in the mix: “All my stores have different strengths and different demographics, so we handle a huge breadth of products, and we can move those products around [from store to store] to suit our customers.” Those customers are 70% pro, with a healthy sprinkling of do-ityourselfers and commercial accounts as well. In fact, says Eli, “we do a lot of commercial—stuff the boxes don’t want to play with, like concrete-forming products and fire-treated, flameresistant products. They’re strong categories, and we do some of the largest business in the state.”

Bliffert also serves those contractors building a house or two a year plus the larger builders developing tracts. “And our remodeling business is huge,” he discloses. “One niche is our moulding profiles in hardwoods.

Building-Products.com

In these older German cities around here, houses were built over a hundred years ago, and we can still match that trim.”

To glean new business, Bliffert takes out a few ads, attends trade shows, joins the local builders associations, and makes cold calls (“for sure!”), but mainly relies on the strength and expertise of his longtime inside and outside sales force. “We’ve been here so long—long-term family ownership and long-term employees with very little turnover. We tell them, ‘We want your business not just today, but for the long haul.’ As it is, today we’re dealing with many of the kids of our former customers, who’ve stuck with us when their dads retired.” To further aid these

FOURTH-GENERATION c.e.o. Eli Bliffert notes that finely focused expansions have been a hallmark of the business since its inception over a century ago.

pros, Bliffert schedules breakfast seminars “so the smaller guy can earn the CEU credits they need to keep their licenses current” and to introduce new products.

Sure, the boxes are nipping at his heels, as they are everywhere, “but we try to do things differently than they can; they all look the same. It’s to our advantage not to be a national chain, so folks can actually talk to the decisionmaker; they can always talk to me, and we’ll be able to do something creative to secure their business. There’s no other layer of management you have to go through.”

Look at the website’s map of locations, pinpointed evenly across the wider metro, and you think, “Smart!” But Eli only laughs. “Not! It’s just the way my great-grandfather built them.” But Eli, in turns, builds on that given: “Each has its own customer base, and that’s really our strength.”

That, and the courage (or whatever you choose to call Building-Products.com

it) to expand during the devastating downturn. “It was a miserable time,” he concedes.” We had to shrink employees, shrink vehicles, watch every single penny. But I hung in because there are no shareholders to answer to, just me.

The long-term goal was to keep on selling and not give up, and I never lost sight of things—so you’ve got to have the courage to expand in a downturn. I bought one ongoing business and then another, in Racine County, that had been closed five years. (And the community really embraced us.)

“The good times of 2004-’05 may never come back, and we’re still very vigilant with accounts receivable and margins,” Eli declares. “But we got smarter during the downturn: You make do with less, tighten your belt, and also, know how to expand. Today, business has more than doubled what it was five years ago.”

And market share has skyrocketed. “It’s doing very well. But today,” he concedes, “it’s a smaller market than it was ten years ago. We grew, but as we grew, we also lost competition, which left us as the largest lumberyard (if not the only one) in Milwaukee. As others went out of business, we picked up their best people, their best customers, and their equipment.”

Not bad for a fellow who might be titled The Accidental Entrepreneur. “I never grew up intending to join the family business. I got into it by accident. I was going to grad school in Milwaukee and needed a summer job. Uncle Fred hired me in 1993—and I never left.”

Why? “Owning your own business is very hard, but it’s also very rewarding. And building on the family history and tradition is something to be proud of. Milwaukee,” he says, “is bouncing back. By its nature, it never had the high peaks and the low lows of other cities; we’re behind the rest of the country, never had a jet set, but I’m okay with that. We’re a family company, and that comes first.”

What comes second? Remember the other local item those Germans love as much as their homes’ historic mouldings? Eli does.

He laughs, “We give away a lot of beer.”

Carla Waldemar cwaldemar@comcast.net January 2015

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OLSEN On Sales

By James Olsen

Sales prejudices

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REJUDICE IS FEAR of the unknown, different or difficult. We do not like change. We like and are comfortable with what we know and understand.

“Better the devil you know, than the devil you don’t know” and “Keep your friends close and your enemies closer” are idioms that express our attitude toward change. We would rather hang out with the devil or our enemies than risk a better life!

Check Your Prejudice

Your parents did not like salespeople. Prejudice is taught at the kitchen table. Your parents may have thought salespeople were pushy, slimy, greedy, lying, fast-talking confidence men. If you were brought up with this mentality, it will make it difficult for you to give your all at the moment(s) of truth in the sales process.

You think hard work wins the day. My parents taught me that hard work would overcome all. Hard work in sales is only the buy-in money. We have to work hard, and be charming and strategic in sales. We have to “work hard” on the “right things.” If organization is your weakness, work on it. If being charming is your weakness, work on it.

You think fairness matters. The marketplace does not care about us… unless we care about it. And we will be doing all of the caring—read, bringing the energy—to the market and our relationships before we see a payback. If you’re looking for 50/50 relationships, get out of sales! It will be 100% our energy and caring when we start and will continue to be more of us giving than getting for our entire career.

You may have grown up in a family that is prejudiced against hard work and success (usually in that order). You may see work as the enemy. You may see authority as the enemy—thus working against your boss and your customer, who both are bosses. You may have grown up with the “Do as little as possible for as much as possible” mentality. Lose this attitude or lose (in sales) for life.

You may be smart and think being smart should count for more in business/sales. You got good grades. You are playing for money now; it’s a lot more competitive. The crafty/quick kids who weren’t competing for grades are competing in the sales world. The smart people in the sales game hustle, too, so you being smart without hustle is

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worthless.

You may be a great athlete who is frustrated by the nerd-balls around you who are doing better than you—“being me has always worked before, why do I have to change?” Glory days are over.

Start acting like the team manager (actively nice), not the star—that’s the customer.

You may be very attractive. Being attractive helps, a lot. You are frustrated not with the number of appointments, but with the lack of orders. Customers are not going to buy it from you, you have to sell it to them and ask for it—oh yeah—more than once.

You may be very congenial. People like you, always have. You are frustrated not with the number of meaningful conversations, but the lack of orders. Your secret prejudice is, “I could sell more if I wanted to be a pushy idiot like ______ (fill in name of best salesperson on your team).” This kind of seller wants to be liked more than they want the business. It’s push or die, Mr. Nice Guy. It’s not even push, it’s ask for the order.

You may be cool. Always have been. Never let them see you sweat. Some of this attitude is good in sales. Too much is way too much. Customers like to see us sweat.

They want to see us hustle for the business. Desire and hustle are hard to say no to; nonchalance is the easiest.

You may be respectful. And expect to be treated in kind. I won’t have him/her talk to me that way! Feelings are not the luxury of the master seller.

Deal with nasty buyers. They are doing our job for us. They are keeping the weak away. Kill them with kindness, be thorough and Johnny-on-the-spot with everything, and, if all else fails, bully a bully, but leave the Marquees-of-Queensberry attitude for playing Monopoly with your family.

When we embrace and overcome our prejudices, we sell more!

James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com Building-Products.com

Simpson Selling 4 Sawmills to Interfor Simpson Lumber Co. has agreed to sell its sawmill operations in Commencement Bay (Port of Tacoma) and Longview, Wa.; Meldrim, Ga.; and Georgetown, S.C., to Interfor Corp., Vancouver, B.C. Simpson will retain its sawmills in and around Shelton, Wa. The mills to be sold have a combined annual lumber capacity of 750 million bd. ft. and produced 555 million bd. ft. in 2014. The additions will increase Interfor’s total capacity by 30% to 3.1 billion bd. ft..

Interfor said the properties complement its existing facilities in the

Pacific Northwest and Southeast.

The deal is expected to close in the first quarter.

Norbord, Ainsworth Merging

Norbord Inc., Toronto, Ont., and Ainsworth Lumber, Vancouver, B.C., have agreed to merge, surpassing Louisiana-Pacific as the world’s largest OSB producer.

The combined company will operate 15 OSB plants—13 of them in North America—generating $1.6 billion in annual sales. It will retain the Norbord name, under current c.e.o.

Peter Wijnbergen. Its board will have an equal number of independent directors from the current Norbord and Ainworth boards.

Ainsworth c.e.o. Jim Lake will stay on in an advisory position for six months, and the combined company will retain an office in Vancouver, to better serve increasing exports to Asia.

The deal stipulates Norbord will acquire all outstanding common shares of Ainsworth at a 15% premium, equating to a value of $759 million. Fifteen months ago, L-P agreed to pay $869 million for Ainsworth, but backed out after eight months of dealing with anti-trust concerns.

DEALER Briefs ProBuild, Denver, Co., reportedly is exploring the possible sale of the 400-unit chain.

On Dec. 5, ProBuild closed its Sandpoint, Id., location, consolidating sales at its store in Post Falls, Id. Vashon True Value, Vashon, Wa., ended its 37-year affiliation with True Value Dec. 27 and has switched to Ace Hardware.

Kinney & Keele True Value, Ontario, Or., has remodeled into the Destination True Value format.

Discount Lumber, North Spo-

kane, Wa., suffered eight break-ins late last year within a month’s time, resulting in thousands of dollars worth of stolen merchandise and vandalized property.

Habitat for Humanity relocated its ReStore discount LBM outlet in St. George, Ut., from a 10,000-sq. ft. building to a 40,000-sq. ft. location on Dec. 1 (Tat Chan, mgr.).

The Bend, Or., ReStore has moved to the former Backstrom Builders Center, after spending $500,000 to renovate the 18,000-sq. ft. building.

Sierra Pacific Building New Washington Sawmill

Sierra Pacific Industries has begun site preparation to build a new sawmill in Frederickson, Wa. Construction should begin this spring, with lumber operations beginning in 2016. Initially, the mill will employ 150, with room for expansion.

Building-Products.com

ARCHITECTS CARNEY LOGAN BURKE ARCHITECTS PHOTOGRAPHER PAUL WARCHOL

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QUALITY | SUSTAINABLE | CERTIFIED

westernforest.com

www.realcedar.com

For your local distributor contact: 604 648 4500

1 866 778 9096

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Bright Forecast for LBM Distributors A number of market conditions and trends are providing tailwind for profitable growth for the $120 billion-ayear lumber and building material distribution industry, according to new Principia report.

Factors contributing to potential for profitable growth over the mediumand long-term include growing demand for housing, remodeling and commercial projects; increases in U.S. population size and age; existing housing stock profile; and favorable lending markets.

LBM distribution companies are

adding complementary product lines to leverage cross-selling opportunities with existing customer relationships.

Distributors and dealers are also looking to “out-of-category” products to reach customers in brand-new areas that are not traditional LBM markets.

An increasingly larger segment of LBM distribution has manufacturing capabilities, including roof trusses, wall panels, and stair production, with installation service available.

In addition, value-added services such as direct takeoffs from building plans, quick-turn jobsite deliveries,

and advice on project design are offered to generate revenue and build customer loyalty. Merchandising, including product showrooms and vignettes, are also a growing trend among more progressive distributors and pro dealers to reach builders and the trades, as well as property owners, to grow their businesses.

“Distributors and dealers are carefully reviewing which products represent the best margin opportunities and how to support these products with current and prospective customers,” said Principia’s Ken Jacobson. “This program will pinpoint where and how channel dynamics are likely to impact strategies for both manufacturers and distribution, and where alignment opportunities exist.”

Two Workers Killed in Pacific Northwest Mill Accidents

Industrial accidents days apart at two Pacific Northwest sawmills have left two millworkers dead.

On Dec. 9, a seven-year employee of Weyerhaeuser, Cottage Grove, Or., became trapped in a sawdust conveyor. Justin Simons, 31, was freed from the machinery by emergency personnel, but died on the scene.

Three days later, Jeffrey Busha, 45, was killed in an accident at Manke Lumber, Tacoma, Wa. No further details were available.

SUPPLIER Briefs Honsador Holdings, Kapolei, Hi., parent of Honsador Lumber & Building Materials , has been acquired by private equity firm Grey Mountain Partners, Boulder, Co., from Cyprium Partners , Cleveland, Oh. California Redwood Co. will indefinitely idle its Korbel, Ca., sawmill in February, as it continues its search for a buyer (see Nov., p. 28).

Norman Distribution , Medford, Or., is now distributing MiraTEC treated exterior composite trim.

Boral TruExterior poly-ash siding received Cradle to Cradle Certified TM1 distinction by the Cradle to Cradle Certified Products Program.

Anniversaries: Idaho Pacific Lumber, Boise, Id., 35th …

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Building-Products.com

Depot Buys Back Crown Bolt

HD Supply agreed to sell its fastener and builders hardware distribution division, HD Supply Hardware Solutions, back to Home Depot, Atlanta, Ga. Home Depot, which spun off HD Supply in 2007, is the hardware division’s primary customer. It had been known as Crown Bolt, Aliso Viejo, Ca.

APP Watch

App: STANLEY FLOOR PLAN APP Produced by: STANLEY Price: Free* Platforms: iOS, Android A new app digitally measures and creates floor plans for builders, remodelers, estimators and d-i-yers.

Using your smartphone or tablet’s camera, view your room or space through the app’s augmented reality function, working your way around your space, designating placement of room corners and doors. Its intuitive software estimates and automatically populates each room with dimensions and square footage calculations.

After you have created all of your individual spaces, you can easily link them together to create a complete floor plan. You can then add objects such as furniture, appliances, windows, doors and more into plans. * The app is free to download and floor plans can be saved, viewed and shared free of charge between fellow app users. However, to export plans into files and for public and commercial use, they will cost $2.99 each.

– Download from iTunes App Store or Google Play

Building-Products.com

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PARR

LUMBER COMPANY 14023 Ramona • PO Box 898 Chino, CA 91708

www.parrlumberchino.com (909) 627-0953 • Fax 909-591-9132

• Plywood/OSB

• Hardwood Panels

• Plyforms

• Dimension Softwoods

• Composites

• Dimension Hardwoods

• Melamines/Vinyls

• Pine & Fir Boards

Michael Parrella – x15 • Vince Galloway – x19 Janet Pimentel – x23

• Chris Hexberg – x22

Pete Ulloa – x18

• Bert McKee – x16

Nestor Pimentel – x31 • Joe McCarron – x21 George Parden – x26

ASSOCIATION Update Western Building Material Association will conduct workshops on an introduction to building material sales Jan. 20 and on blueprint reading and material take-off Jan. 21-22 at the DoubleTree by Hilton, Salem, Or. Mountain States Lumber & Building Material Dealers Association is hosting its annual products expo March 19 at the Denver Mart, Denver, Co. New products and services will be the focus, following a chili cook-off between exhibitors.

North American Wholesale Lumber Association has drafted former MLB pitcher Jim Mecir to speak on breaking through barriers that are blocking your success, during its annual Leadership Summit March 2224 in Scottsdale, Az. Western Forestry & Conservation Association has adopted the theme “Mapping the Course: Timberlands, Forest Products Processing, and Energy Issues for 2015” for its annual conference Jan. 28 at Heathman Lodge, Vancouver, Wa. Speakers include Hakan Ekstrom, Wood Resources International, on Douglas-fir exports; Will Sonnenfeld, timberland investments; Murray Hall, B.C. wood supply & demand; Ken Shields, Conifex, production; Darrell Keeling, Northwest Hardwoods, hardwoods; WWPA’s Kevin Binam, lumber; Roy Anderson, Beck Group, biomass; Jeff Walton, Cascade Pacific Pulp, pulp; Tom Leeds, Pacific Lumber & Shipping, ocean freight; Cassie Phillips, Weyerhaeuser, certification; and Bob Flynn, RISI, exports.

American Wood Council elected Sierra Pacific Industries president George Emmerson as its new chairman, succeeding Georgia-Pacific’s Fritz Mason.

New 1st vice chair is Tom Corrick, Boise Cascade Wood Products; 2nd vice chair Andrew Miller, Stimson Lumber; re-elected director Aubra Anthony, Anthony Forest Products; and new director Allyn Ford, Roseburg Forest Products.

Black Bart Hoo-Hoo Club hosts its annual industry night Jan. 14 in Redwood Valley, Ca., following on Jan. 15 by Humbolt Hoo-Hoo Club’s 43rd annual crab feed in Eureka, Ca.

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MOVERS & Shakers Mike Spitulski has been promoted to sales mgr. at Redwood Empire, Morgan Hill, Ca. Chris Lynch, general mgr., Cedar Creek Denver, Co., has retired after 42 years in the industry.

Jarrett Deschenes, ex-Capital Lumber, is a new account mgr. at Universal Forest Products, Riverside, Ca. Bryan Craig has been promoted to general mgr. of Snavely Forest Products, Denver, Co. Hugh Paarmann has been promoted to national sales mgr. for Cedar Valley, Hollister, Ca. Jon Whorley is now a v.p.

Chris Lynch, general mgr., Cedar Creek Denver, Co., has retired after 42 years in the industry.

Jamison Ryan is new to sales at Sierra Forest Products, Denver, Co. Wendy Minichiello, ex-ABC Supply, has rejoined Weyerhaeuser, as Southwest region mgr., based in the San Diego, Ca., area.

Greg Frohn, ex-Interfor, has been named mgr. of Northwest market sales for Forest2Market, working from Hayden, Ut. He succeeds Gordon Culbertson, who was promoted earlier to Eugene, Or.-based director of international business.

Brendon Bolton, ex-Rock Creek Lumber, is now general mgr. of Bloedorn Lumber, Lewiston, Mt. Austin Overman is now in outside sales with Sunroc Building Materials, Lehi, Ut.

Eric Wareham has been appointed director of government relations for Western Wood Preservers Institute, Vancouver, Wa. Gabriel Zepeda, ex-Sepulveda Building Materials, is new to outside sales at Thompson Building Materials, Lomita, Ca. Frank Ready, ex-Armstrong Worldwide, has been appointed c.e.o. and a director of Henry Co., El Segundo, Ca. Thomas Ringo has been officially named c.e.o. of Pope Resources, Poulsbo, Wa., after six months as interim c.e.o.

Jim Logan, owner and president, Metriguard Inc., Pullman, Wa., was presented the Bronson J. Lewis Award for leadership and contributions to the industry during APA’s recent annual meeting.

Wesley Barker has joined BMC, Atlanta, Ga., as chief operating officer. Also new are Noah Gay, v.p./controller; Terry Arnold, v.p.human resources; and Sherrie Ricker, director of tax.

Jim Logan, owner and president, Metriguard Inc., Pullman, Wa., was presented the Bronson J. Lewis Award for leadership and contributions to the industry during APA’s recent annual meeting. Dr. B.J. Yeh, APA’s director of technical services, was named chairman of the Canadian Standards Association A369 technical committee on wood-based panels.

Jery Y. Huntley has retired after 20 years as president and c.e.o. of the Vinyl Siding Institute, Washington, D.C. Kate Offringa is the new president.

Brock Lee and Russell Sprout are to blame for the new healthy menu at Mungus-Fungus Forest Products’ employee cafeteria, Climax, Nv., report owners Hugh Mungus and Freddy Fungus.

Arizona Mill in the Works

Good Earth Power AZ (GEPAZ) has signed a lease on 37 acres in Williams, Az., to build a lumber mill and material processing facility.

With hopes to start site preparation before the end of the year, GEPAZ plans to begin producing lumber and wood chips by March 2015. The mill saw will be optimized to cut logs ranging from 7 to 9 inches in diameter.

Good Earth Power c.e.o. Jason Rosamond expects to begin milling 50,000 bd. ft. a day and steadily increase production until they reach 300,000 bd. ft. daily. “We’d like to get the slabs in place before winter sets in so that we can establish the initial production line during the coming months,” announced Rosamond.

Rosamond touched on expanding markets and increasing processing capacity, and how it will be necessary for restoration work to proceed at a faster pace: “We need to be restoring 2,000 to 2,500 acres a month by June 2015 to support the capacity that we are creating. That means more logging sides, more loggers, more truckers and more jobs at all GEPAZ facilities.”

Distributed By

P.O. Box 1802, Medford, OR 97501 •

(541) 535-3465

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Superior Service, Products & Support – 100% of the Time Building-Products.com

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THINKING Ahead

By Martin Carter, Carter Forest Products, and Committee Member, North American Wholesale Lumber Association

Purchasing softwood lumber

F

three months, NAWLA’s volunteers will offer their perspectives on purchasing, starting with how they buy lumber in this issue. Future columns will focus on how buying behavior varies by region and how you can evaluate the success of your efforts.

There are many schools of thought about how to purchase lumber, from the highly academic to gut instinct. In my opinion, successfully buying lumber in an office wholesale context is about having a great plan OR THE NEXT

About NAWLA

NAWLA (North American Wholesale Lumber Association) is the association that delivers unparalleled access to relationships and resources that improve business strategy and performance through sales growth, cost savings, and operational efficiencies for wholesalers and manufacturers of forest products and other building materials that conduct business in North America.

Learn more about how NAWLA can help your business at www.nawla.org.

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and then making sure it is executed effectively.

As with most business functions, the first thing you want to do is set clear goals and objectives. You need to look at every individual sawmill and build a marketing plan for each one. In doing so, you must determine which mills are a good fit for your

January 2015

business, given their geographic location, their product mix, and each mills’ individual marketing strategy.

You need to ask yourself and the mill whether your business model jives with the channels the mill wants its lumber to flow through.

In determining these things you must bear in mind that a friend to

Building-Products.com

A Special Series from North American Wholesale Lumber Association

everyone is a friend to no one. If you can’t buy a certain pre-determined volume of lumber from any given mill, you shouldn’t be talking to them. It’s far better to focus energy on the mills that fit your business model.

Once you have decided which mills to focus on, you need to determine who on your staff is best suited to buy from each particular mill based on experience, personality fit, and the strategic importance of the mill for your business. It is critical for the buyers to receive constant coaching and training, be it in house or from outside trainers, to improve their skills as purchasers in order for the business to effectively grow.

Now it is important to determine the appropriate volume targets for each mill you have decided to allow into your buying funnel. This is done by determining each mill’s production and comparing that to the volume of product your customers buy and how much you can realistically sell given your trading staff.

From those volume targets you need to determine how many times per week and when you want to call the mill. Some mills you will need to call multiple times a day, others you may only need to call once a week.

Now you need to know what to ask when you do call the mills. It is critical you understand the mills’ functioning in depth. You need to know how much they produce in any given shift, what the production schedule is, which dimensions they are running and when, how big each run will be, how much of each run is pre-sold on contract, how much they typically like to pre-sell into order file, how much is committed for export, what percentage of each grade they will get, and how they

Building-Products.com

typically like to price their lumber.

Each mill will use a somewhat different formula.

In addition, it’s critical to under-

Registration Open for NAWLA’s 2015 Leadership Summit

Want to hear more from industry-leading wholesalers and manufacturers about how they buy and sell lumber?

Join them at NAWLA’s Leadership Summit, March 2224 at The Westin Kierland in Scottsdale, Az. The event brings together mid-level managers and executives and industry-leading companies to discuss top-of-mind business topics and solutions for driving revenue growth and streamlining operations.

View the agenda and register at www.nawla.org.

stand the mill’s inventory levels.

What is on the ground ready to ship?

Which items are sold out for weeks in advance?

You also need to have an in-depth understanding of the logistical situation for each individual mill. On which rail line are they? How good has the rail service been? Are they dependent on trucks? Are their primary truck markets areas out of which truckers are struggling to get back hauls? What impact are these factors having on the mills’ cash flow?

You need to understand all of these factors before you can even begin to talk about price with the mill. Once you have all the information, you can effectively market the mill’s lumber to your customers.

Working in conjunction with them, you can effectively determine how much inventory you want to own from each mill and for what kind of delivery times.

– Martin Carter is president of Carter Forest Products Inc., Calgary, Alb., and a member of North American Wholesale Lumber Association’s Communications Committee.

2015 NAWLA Regional Meetings Feb. 3 – Boston Feb. 25 – Birmingham March 3 – Portland April 9 – Vancouver May 6 – Toronto/Mississauga

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SPECIAL Focus Western Woods

Hem-fir testing completed

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RELIMINARY TEST DATA analysis of Hem-Fir lumber samples from western mills indicates no change to published Hem-Fir lumber design values is needed. The Hem-Fir lumber testing was conducted in 2014.

A Hem-Fir testing report by the cooperating agencies is being drafted for submission to the American Lumber Standard Committee board of review. It is anticipated the report will be submitted this month.

Hem-Fir is a species combination of western hemlock and five of the true firs: California red fir, grand fir, Noble fir, Pacific silver fir, and white fir. While species in this group are sometimes marketed separately in products graded for appearance, these species share similar design values

making products graded for structural applications interchangeable. The lumber design values published for Hem-Fir are applicable to the White Fir species group of the five true firs.

The Hem-Fir species combination is one of the most important in the western region, second only to the Douglas Fir-Larch species group in terms of abundance, production volumes, strength and versatility in end use. The growth range of the species included in the group covers both the Inland and Coast lumber producing regions in the West.

Representative lumber test samples were taken from over 35 mills producing 2x4 dimension lumber in western hemlock and the five true firs. The testing for the western lumber sample

WWPA’S Russ Tuvey puts Hem-Fir sample to the test.

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was conducted by Western Wood Products Association in cooperation with the Pacific Lumber Inspection Bureau, Redwood Inspection Service, Timber Products Inspection, and West Coast Lumber Inspection Bureau.

These western agencies have been working together since 2011 on the testing program to monitor western lumber design values.

Current published lumber design values are based on the in-grade lumber testing program. The testing was conducted in accordance the plan approved by the ALSC board of review. The plan calls for the destructive testing of lumber samples in bending of Hem-Fir No. 2 grade 2x4.

The preliminary data comparison to the Hem-Fir properties established in the original in-grade testing program indicates no change is required to the currently published design values. The monitoring program affirms current uses and building code recognition.

The recognized span data for the species group will also remain the same. Had the data indicated a shift in properties, the test findings would have been reviewed by the cooperating agencies’ memberships and appropriate actions taken. The final data analysis will be reviewed by the USDA Forest Products Laboratory for the approval of the ALSC board of review.

The testing of western species lumber is conducted periodically to monitor for changes required to the published lumber design values. The testing allows the lumber agencies for timely actions to be taken if needed to support western lumber products.

Building-Products.com

SPECIAL Focus Western Woods

Lumber markets to continue rebound in 2015

U

.S. LUMBER DEMAND continued to strengthen in 2014 as home construction experienced modest but sustainable gains over 2013, according to estimates by Western Wood Products Association.

While residential construction slowed late in 2014, residential repair and remodeling (R&R), the largest lumber market by volume, picked up the slack. R&R construction is expected to consume approximately 17.41 billion bd. ft. of U.S. production in 2014, and 2015 demand is

CLEAR VG DF

forecast to increase to 17.93 billion bd. ft.

Lumber demand for new residential construction is forecast to increase from an estimated 10.98 billion bd. ft. in 2014 to 13.61 billion bd. ft. in 2015. Stable interest rates, an improving jobs picture, and continued slow economic growth will contribute to modest but sustainable gains in lumber demand for new home construction in 2015.

Responding to increased demand, 2014 U.S. lumber production increased an estimated 4% to 41.34 billion bd. ft., compared to 39.5 billion bd. ft. in 2013, according to WWPA. Lumber production in the West is expected to climb from 13.49 billion bd. ft. in 2013 to 14.1 billion bd. ft. for 2014.

For 2015, WWPA predicts lumber demand will rise 8% to 44.87 billion bd. ft.

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SPECIAL Focus Western Woods

Annual lumber industry conference returns to Portland

T

industry’s largest gathering of leading wood products companies returns to Portland, Or., this spring with the Western Wood Products Association’s 2015 annual meeting.

meeting draws the western lumber industry’s top professionals, ranging from senior-level executives to sales managers and production personnel.

You can review more information about the meeting at and register for

The American Wood Council and North American Wholesale Lumber Association will also hold meetings on March 3 in conjunction with the WWPA event.

The conference will be held March 1-3 at the Portland Marriott Downtown Waterfront Hotel. The

the event online at www.wwpa.org.

The annual meeting will kick off with the industry welcome reception on Sunday March 1. Monday morning sessions get underway with the industry forecast breakfast with the association’s outlook for 2015 lumber markets and beyond, before getting down

HE WESTERN LUMBER

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to business with WWPA standing committee meetings, followed by the industry luncheon. The afternoon features a speaker session with guest speakers covering a range of topics, including a U.S. lumber supply and demand forecast, a price forecast for a key forest products, and an all important Pacific Northwest log supply forecast. The day will close with the chairman’s reception, which offers many opportunities to network with other industry professionals.

Registration fees are $325 for WWPA members, $375 for associate members, and $475 for all others.

Fees for registrations received after Feb. 14 increase by $50. For those who would like to just network with industry folks, WWPA is offering a special registration for the welcome and chairman’s receptions only on Sunday and Monday nights for $125 each.

Registration and hotel reservations for the meeting can now be completed online, using links on wwpa.org.

Last year’s accommodations quickly sold out, and for 2015 the WWPA block of rooms at the Marriott is certain go fast. The reservation deadline to take advantage of the special WWPA rate is Feb. 14.

Those needing overnight accommodations are urged to make hotel reservations early.

Building-Products.com

Western Woods

By Softwood Export Council

· · ·

SPECIAL Focus

International markets buying more western softwood lumber

2

014 WILL PROVE to be another record year for U.S. produced western softwood lumber exported into international markets. Running 2% ahead of last year’s shipments of $1.154 billion into the final weeks, the estimated final should be over $1.2

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billion in export sales for the year.

Over the past five years this shows a 100% increase from a healthy $586 million in 2009.

Western species have led the way.

Douglas fir has climbed from $151 million in 2009 to $274 million in

January 2015

2014. Western hemlock and Hem-fir, starting at $41 million in 2009, climbed to $161 million in 2011, but dropped back to $111 million in 2014, mostly due to the uneven hot and cold buying habits of Chinese importers.

Ponderosa pine has maintained a

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steady market at about $24 million over the past five years.

Europe, Canada, Chile and New Zealand are the major exporting regions or countries for softwood lumber products into international markets. The U.S. is a smaller niche player in most markets but is a dominate supplier in Mexico and Canada.

Considering that most international construction uses stone, steel, or concrete in structural applications, and U.S. lumber is heavily “designed” to be used in structures, it is obvious why U.S. production is in limited demand.

International market requirements are widely varied by specie, sizes, grade requirements and end use of the materials. Traditional U.S. structural species, such as Douglas fir and hemlock are found in many non-structural products. Lower grades of all species, of limited value in structural applications, find a home in crating, pallets and packaging. U.S. species are used in many remanufacturing and gluing facilities, in parts of the world with much lower labor rates, for furniture and millwork components.

Wood frame residential construction is mostly limited to North America, Japan and parts of Oceana.

2014 Softwood Lumber Exports Western Species by Destination Country

Douglas fir Japan China Philippines Canada Mexico Taiwan

Hemlock China Canada Japan Taiwan Mexico Philippines

Hem-fir

Ponderosa

China South Korea Mexico Taiwan Hong Kong Japan

Even in those markets, North American framing systems using 38mm x 89mm (2x4) structural members, is limited to the U.S., Canada and a small but growing segment in Japan.

Japan is the second largest wood frame building in the world, but of the almost 550,000 wood frame units in Japan last year, only 120,000 were 2x4 based. The vast majority were traditional Japanese metric post and beam timber construction using metric sizes. Structural framing sizes in New Zealand and Australia use 35mm and 45mm by 90mm and 100mm sizes.

However, some U.S. softwood producers are successful in these markets

Mexico China Canada Taiwan Korea Pakistan

Cedars

Canada Indonesia China Belgium Japan Caribbean

and are providing metric-sized lumber to compete with other imported products mainly from Europe and Canada.

Much of the U.S. softwood exported is for non-structural uses. Interior applications, such as doors, windows, frames, mouldings, flooring, paneling and other millwork, is a prime destination for both pine and fir species.

Furniture parts and glued panels are also a destination for softwood lumber. Western species, such as Douglas fir and hemlock, in clear and other upper grades, are prized in Europe for wooden window and door parts and (Please turn to page 46)

Quality Lumber Sustainable Forests

At Bennett Lumber, we take pride in producing quality lumber products and managing sustainable forests for the next generation.

208-875-1321 www.blpi.com

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Jim Jim Vandegrift Vandegrift Sales Sales Manager Manager

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SPECIAL Focus Western Woods

By Jennifer Cover, PE

Helping designers build with wood

T

good reasons to use wood for non-residential and multi-family building projects. Wood typically costs less—economically and environmentally—while delivering more in terms of its beauty, versaHERE ARE MANY

tility and performance. It meets code requirements for a wide range of lowand mid-rise building types, and can be used as a low-carbon alternative to steel, masonry and concrete in many applications.

And yet wood-use studies show time and time again that, based on what’s allowed in the building code, wood is significantly underutilized in U.S. non-residential and multi-family construction.

AS PART of its free project support, WoodWorks helps building designers increase the value of their projects by maximizing height and area, such as this University of Washington student housing project in Seattle, Wa.

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Building-Products.com

The U.S. WoodWorks program aims to change that.

By supporting architects, engineers and others who are in a position to specify wood in buildings, WoodWorks connects the broader wood industry with the design process. We aren’t a sales organization and we don’t promote individual products or brands. Rather, we offer a comprehensive package of project assistance and education with the goal of making it easier to use wood.

Free One-on-One Project Assistance

Lumber and building material dealers often hear about projects. You may run into contractors or building designers who want to use wood, or want to consider wood alongside other options, but could use some technical assistance. When that happens, WoodWorks is available to help.

WoodWorks provides free project assistance related to the code-compliant design, engineering and construction of non-residential and multi-family wood buildings. Our staff have expertise in a wide range of subjects, including but not limited to: • Allowable heights and areas and construction types • Structural design and detailing of wood-frame and hybrid material systems • Fire resistance and acousticalrated assemblies • Efficient and code-compliant lateral system design • Alternate means of code compliance • Energy-efficient detailing • Application of advanced building systems and technologies In the western U.S., the WoodWorks field team includes three technical experts who work with specifiers to identify wood solutions for individual projects (see map on next page, WoodWorks Regions). Two are professional engineers and all possess in-depth knowledge of the wood products industry and the building code variations specific to their region. They also understand both the building design process and the many individuals involved in the decision to use wood, which is particularly important given the diversity of approaches to non-residential design.

The field team is supported by the Architectural & Engineering Solutions group, who help to resolve techBuilding-Products.com

nical issues, create educational content, and oversee the project assistance help desk. Project support is also available by emailing help@ woodworks.org.

Tailored Education

Education is a vital part of the program, necessary, not only for communicating wood design knowledge, but to demonstrate WoodWorks’ expertise and connect with building designers who could use some assistance with their projects. Analysis shows that WoodWorks educational events are the top generator of qualified

leads that result in building conversions. For example, a review of projects supported in 2014 shows that, on average, the lead contact had attended three WoodWorks events, with an emphasis on webinars and Wood Solutions Fairs.

A cornerstone of the program, fairs are high-profile events that include a full day of seminars tailored to the region, wood industry booths and a lunchtime presentation of the Wood Design Awards. A recent Wood Solutions Fair in Portland, Or., attracted 438 design professionals (54% architects and 34% engineers),

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WoodWorks Regions

creative with its offerings. One recent example was the Symposium, Toward Taller Wood Buildings, which garnered national media attention.

Another was a filled-to-capacity ‘case study’ tour of the Cathedral of Christ the Light in Oakland, led by the project architect, engineer and builder.

Technical and Promotional Materials

WOODWORKS REGIONS: Available at woodworks.org, this interactive map allows users to download a v-card for the technical expert in each region.

and 83% of survey respondents said it gave them ideas that would allow them to use wood when they would otherwise have used another material.

Up next, the Bay Area Wood Solutions Fair will be held on Jan. 27 at the Oakland Marriott City Center in

Oakland, Ca. For information on exhibit and sponsorship opportunities, visit www.woodworks.org/educationevent/2015-bay-area-wood-solutionsfair.

To stand out in a busy education marketplace, WoodWorks has to be

Created and led by the Wood Products Council and funded in part by the Softwood Lumber Board, WoodWorks is closely linked with a number of partner organizations, such as the American Wood Council, reThink Wood and the USDA Forest Service. Where relevant, we utilize their design knowledge, research, code information and communication materials to address technical issues, and we develop our own materials with an eye to filling gaps in the broader library of available information.

The use of WoodWorks materials is encouraged, whether you have a customer interested in wood’s carbon attributes or acoustic considerations for the design of mid-rise wood buildings. We also publish several case

We’re growing Colville, WA – Usk, WA – Midway, BC – Eagar, AZ

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Building-Products.com

CASE STUDY on Stella, a 5-over-1 luxury development in Marina del Rey, Ca., can be downloaded at woodworks.org.

(Photo by Lawrence Anderson, www.lawrenceanderson.net)

• Educate specifiers about what is allowed in building codes and make it easier to address code issues • Address technical concerns and assist in the development of cost-effective wood solutions • Address issues such as safety, durability, sustainability and cost • Provide all of the above from design through construction and help to ensure that the experience of using wood is positive According to the American Institute of Architects’ Construction Consensus Forecast, non-residential construction is expected to grow by 8% between 2014 and 2015.

The opportunity is significant, and WoodWorks intends to ensure that as many new buildings as possible are constructed in wood.

– Jennifer Cover, PE, is executive director of the U.S. WoodWorks program. She is based in California and can be reached at jennifer.cover@woodworks.org.

studies each year, on projects such the Stella development in Marina del Rey, which includes five stories of woodframe construction over one story of concrete (5-over-1) and the five-building, 5-over-2 student housing development at the University of Washington in Seattle.

Strategy for Success

WoodWorks makes a point of analyzing the results of its activities and making adjustments to its long-term plan based on the greatest potential for success. However, its core strategy has remained constant over the past eight years as the initiative grew from pilot to mature national program:

Respecting the forest, honoring the past, building the future.

A nation’s pride you can build on.

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Circle Sawn • Wire Brushed Split Rail • Timbers • Clear VG Pyroteck • Aged Wood Process Standard & Custom Match Patterns In-House Factory Priming & Staining FSC Chain of Custody SCS-COC-000178

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Yakama Forest Products

3191 Wesley Rd., White Swan, WA 98952 Fax 509-874-1162

www.yakama-forest.com

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NEW Products

Ready-To-Go Railing

Transitional Siding

AGS Stainless’ ReadyRail prefabricated railing system is the industry’s first order today, ship today 100% stainless steel railing system.

The product’s precut-to-size posts make it ideal for those wanting the sleek, minimalistic look of an allstainless steel system—but whose projects do not require a completely custom-designed railing system.

Novistone Premium Ledge from Novik offers an easy transition between two types of siding and acts as a decorative ledge under a window.

Offering a complete range of accessories for shakes and stone profiles, the product has three opening options for fitting different siding thicknesses.

 AGSSTAINLESS.COM

 NOVIK.COM/NOVISTONE-LEDGE (706) 568-9504

(888) 842-9492

Fire-Rated Pavers

AZEK Pavers has added a Class A fire-rated paver to its lineup that will broadly increase its acceptance for flat roof applications, including green roofs, schools and hospitals.

The new pavers offer certified fire resistant properties in a thin, 4”x8” resurface paver profile, in various colors.

They contain high levels of recycled content, but no halogenated flame retardants.

Weighing only 6.5 lbs. per sq. ft., the pavers are 50% to 80% lighter than most concrete rooftop pavers and install three times faster, with no special tools.

 AZEK.COM TREATERS

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ACQ ACQPreserve • Borates D-Blaze® Interior Fire Retardant Heat Treating ISPM 15 Compliant • Custom Drying Rail Served BNSF • TPI Third Party Inspected

909-350-1214 15500 Valencia Ave. (Box 1070), Fontana, CA 92335 Fax 909-350-9623 • email – fwl-fwp@pacbell.net

www.fontanawholesalelumber.com

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Building-Products.com

Inspiring Roofing

Nifty Fasteners

Manufactured from solid stainless steel, DeckWise Hidden Siding Fasteners are designed to significantly reduce twisting, cupping and mold growth from water penetration.

The system is versatile, allowing for both horizontal and vertical board installations. With the addition of a new affixing screw hole, now hanging siding vertically, angular and overhead can also be easier, with no concerns of loose boards.

Inspire Aledora Slate V-Series roofing is lighter in weight for easy installation and low maintenance.

Available in four widths (6”, 8”, 10”, and 12”), the 1/2”-thick, varied width tiles can be installed in natural, non-repeating straight, or staggered patterns for authentic slate roofing appearance.

 INSPIREROOFING.COM (800) 971-4148

 DECKWISE.COM (941) 896-9851

Sliding French Doors

The 4-Panel Sliding French Door by Marvin Doors & Windows brings together the beauty of wood and the strength of Ultrex in the largest Integrity door yet.

The bi-parting four-panel configuration is available in sizes up to 16’ wide by 8’ tall.

 MARVIN.COM (888) 537-7828

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Vibrant-Colored Railing

The new Express Yourself line of DesignRail aluminum railings by Feeney, Inc., combines the durability and structural integrity of aluminum with innovative design details.

The pre-engineered, component-based railings feature bold and lively colors for all kinds of tastes, to satisfy the most creative imagination.

 FEENEYINC.COM

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Quiet Qurl FT is a new variation to Keene Building Products’ current Quiet Qurl noise control products for multi-family construction. The product is equipped with Keene’s Fast Tracking fabric liner.

Suspending the concrete mixture while expediting the drying time, Quiet Qurl FT can cut down drying times under the right environmental conditions.

 KEENEBUILDING.COM

(800) 888-2418

42

Noise-Control Insulation Mats

(877) 514-5336

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January 2015

Building-Products.com

Hidden-Fastener Siding

TRAP-LOC’s technology offers the only patented wood siding system that’s exclusively designed with a profile that hides the fasteners as it’s installed from the top down. The result is a reliable, durable, low-maintenance siding with a clean look.

The system stands up to the harshest conditions and makes installation fast and easy.

 ALJOMA.COM/TRAP-LOC (713) 774-1775

Mobile Connections

With Spruce Computer Systems’ ProLink, system owners have a customizable dealerbranded app, providing mobile account access.

The system allows the ability to connect with customers or account holders 24/7, 365 days a year. Owners can view track purchase history, submit orders, request quotes, view account activity and balances, and make payments on their account.

 SPRUCECOMPUTER.COM (800) 777-8231

SOUTHERN STRONG At your service in Peachtree City Over the past fifty years, Interfor has earned a global reputation for meeting customers’ needs with choice and quality, offering one of the broadest range of products in the industry. Today, with 880 million board feet of quality southern yellow pine, Interfor is also Georgia’s largest lumber producer.

We are proud to call Peachtree City, Georgia home for our new regional US Southeast Sales & Marketing team and we are pleased to serve you. It's just another way we are building value for our customers every day.

Find out more at Interfor.com or call our SYP sales team at (770) 282-3250.

Salty Screws

The Strong-Drive SDWH Timber Hex-HDG screw by Simpson Strong-Tie requires no pre-drilling and replaces bolt, washer and nut assemblies.

The screw is designed to resist severe corrosion levels in heavyduty marine and coastal applications, such as piers, boardwalks, structural pilings, and docks.

 STRONGTIE.COM (925) 560-9068

Building-Products.com

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2ND GROWTH HOLIDAY Photos by The Merchant

HOLIDAY CHEER was in the air at the West Coast Lumber & Building Material Association’s 2nd Growth holiday meeting at the Embassy Suites in Brea, Ca. [1] Ali Uniack, Patrick Adams, Kristen & Steve Schroeder. [2] Endy Flores, Philip Ho, Jose Jimenez. [3] Sean & Roslyn Fogarty. [4]

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Denise Bough, Will Lowe, Sandy Touw. [5] Jason Womack, Jean Henning, Chris McDonough. [6] Bill Sullivan, Daniel Hines, Rex Klopfer, Al Reed. [7] Mike Garrity, Marc Spitz. [8] Joe Lozano. [9] Stephanie Huntington, Alan Oakes, Holly McArthur. [10] Mike Garrity, Bill Young. [11] Brenden January 2015

Hexberg, Jeff Donahoo. [12] Jay McArthur, Brian Bunt, Steve Schroeder, Natalie Allen,Chris Huntington, Alex Uniack. [13] Doug Willis, Tim Hummel. [14] Trip Malopsy, John Allen, Joe Allotta. [15] Chris McDonough, Jeff Bloch. [16] Hector Barrera, Natalie Franco.

(More photos on next page) Building-Products.com

2ND GROWTH HOLIDAY Photos by The Merchant

WCLBMA Christmas (continued): [17] Mark Gahnal, Sean Osborne, Alan Oakes, Melinda Ganahl. [18] Rick Deen, John Assman.

[19] Bob Golding. [20] Nancy Shaw, Shawn Knight. [21] Alan Oakes, Craig Larson. [22] Alex Uniack, David Abbott. [23] Mark Huff, Betsy Bendix. [24] Pete Meichtry, Ian Murphy. [25] Mo Shearer. [26] Pete Gahnal.

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International Markets (Continued from page 35)

frames. Ponderosa and other western pines are used in rustic pine furniture, and for upholstery frames in Mexico, China and Vietnam. U.S. producers are selling both metric and imperial sizes into these markets because much of the stock is ripped and resawn to provide “finished” metric sizes for the local markets.

A large portion of exported lower grades in softwoods are used in concrete supports for forming, wailers and posts. Since much of the worldwide structural construction is based on the use of concrete, there is a large

demand for formwork materials at all levels. Some world markets require structurally graded materials, some cultures use the material repeatedly, but some see wood as a single use material and aim for a cost competitive disposable supply, and use the remains for fuel or local d-i-y projects.

Western softwood species have found distinct foreign markets based on species and size. For strength, long lengths, and large sections of solid lumber, the Pacific Northwest is the place to go.

The Pacific Rim is the leading market for western species, with Japan the leading destination. Japan is the major export market for U.S.-produced

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Douglas fir, importing $113 million, which was 58% of all Douglas fir exported in 2014. However, with the rise in the consumption tax in 2014, the Japanese market for softwood lumber is down over 30% from a nearrecord year in 2013. The vast majority of the U.S. product is in metric sizes and lengths for post and beam construction. Western hemlock and Hemfir are a distant second at $4.5 million.

Other notable species include redwood, western red and yellow cedar, and ponderosa pine.

China has become the number one market for U.S. softwoods, with rapid growth over the past five years. In 2009, the exports to China were $35 million. By 2011, softwood exports were at an all-time high of $246 million, sliding back in 2014 to $182 million. This was due in part to Chinese buying patterns, more production in Canada moving to markets in China, and entry from other exporting regions such as Europe and New Zealand.

China will continue to look to the outward for increased supply for raw materials and low cost remanufacturing stock. Hemlock was the leading U.S. species imported in 2014 at $116 million, representing 82% of all hemlock exported. Douglas fir, cedar and ponderosa pine were the other major western species.

Mexico is the fourth largest market for western species. Its imports have followed the U.S. economy upward, from $94 million in 2009 to $169 million in 2014. Mexico is a low-grade pine market, with ponderosa pine the leading known species imported, behind “other softwoods.” Uses include furniture components, pallets, crating and millwork. Douglas fir is also imported for some structural applications along the border. The major competition to U.S. species is radiata pine from Chile.

Canada is a perennial top destination for U.S. softwood species, but there is limited data as to how much is transshipped to the Pacific Rim via Vancouver and to Europe via the St. Lawrence, although anecdotal data points to a large percentage. It should be noted that western species such as Douglas fir are used in construction and remanufacturing and components throughout Canada.

Looking at all U.S. softwood exports by region and leading country, China, Canada, Japan and Mexico are by far the leading markets for softwoods, with eastern Asia following.

Building-Products.com

LA HARDWOOD CHRISTMAS Photos by Cliff Robbins

LOS ANGELES Hardwood Lumberman’s Club held its annual holiday party Dec. 13 at the historic Five Crowns Restaurant in Corona del Mar, Ca. Longtime member Keith Swaner, Swaner Hardwood, Burbank, Ca., was presented with the 2014 Lumberman of the Year Award. [1] Beverly & Keith Swaner. [2] Dan Bohannon, Kit Rohm, Heidi & Stephen Ondich.

[3] Mark Michie, Lisa Rains. [4] Joyce & Walter Ralston. [5] Steve & Jan Arnold, Dana & Alan Arbiso. [6] Dale Bohannon, Walt & Dian Maas, Charlie Bohnhoff. [7] Kathy & Bill Fitzgerald, Deonn Deford, Drea Deford. [8] John Mortati, Tina Valencia, Marty & Randy Porter. [9] Mindy Ward, Richard & Sheree Phillips. [10] Lynn & Nathan Osborne.

Building-Products.com

LP® SmartSide® Trim & Siding products offer the beauty of cedar with the advantages of engineered wood. That means consistent boards with no knots or voids. An industry-leading warranty that provides a 5-year, 100% labor and replacement feature and a 50-Year Prorated Limited Warranty on the substrate. And our proprietary SmartGuard® process that ensures LP SmartSide products resist fungal decay and termite damage. LP SmartSide Trim & Siding. All the advantages you need.

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IN Memoriam Richard “Dick” Caffall, 84, former operator of Caffall Brothers Forest Products, Newberg, Or., died from a stroke Nov. 4 in Tualatin, Or. In 1948, he joined the business founded by his father and uncle. He and his brother, Chuck, later ran the company, until he left in 1984. In 1986, he started a remodeling business with his son, Curt, and then worked in new home construction with his son, Rick, until retiring in 2004.

Wayne J. Felder, 93, former owner of Montavilla Lumber, Portland, Or., died Dec. 10.

A U.S. Army veteran of World War II, he owned and operated Montavilla Lumber from 1946 until selling it in 1996.

William Grady “Bill” Martin, 72, longtime Denver area lumberman, died Dec. 6 in Longmont, Co. After serving in the U.S. Navy, he entered the lumber industry in 1963, with Aurora Lumber Co., Aurora, Co. He later joined Sterling Lumber Co., Denver, Co., as warehouse foreman and in 1967 became a salesman and later assistant manager with Chapin Lumber Co., Aurora, until 1975.

He then worked as a minister until 1983, when he went into sales at United Building Centers, Longmont.

In 1988, he became assistant manager of Diamond Lumber, Longmont, and moved to its Boulder, Co., branch two years later. He stayed on after Diamond was acquired by BMC West in 1991, working in purchasing until his retirement in 2009.

Josie Mae Friesen, 92, retired secretary, bookkeeper and co-owner of Livingston True Value Hardware, Livingston, Ca., died Nov. 22.

She and her late husband, Dave Friesen, opened the store in 1965 and operated it until retiring in 1981.

Book Marks Patrick’s 100th

When the management team at Patrick Lumber, Portland, Or., started discussing what the company should do to mark its 100th year in business, Patrick’s Dave Halsey suggested publishing a book filled with anecdotes about life in the lumber trading business. Agreeing that this was an imaginative way to celebrate the centennial, the rest of the board members appointed Halsey to lead the effort and thus began a two-year project resulting in last month’s release of Business is Good: Stories of Patrick Lumber Company’s First Century.

“It’s not every day a company in the lumber business turns 100 years old,” Halsey said. “We thought the occasion called for something unique and different.”

Business is Good, by Timm Locke,

CLASSIFIED Marketplace Rates: $1.20 per word (25 word min.). Phone number counts as 1 word, address as 6. Centered copy/headline, $9 per line. Border, $9. Private box, $15. Column inch rate: $55 if art furnished “camera-ready” (advertiser sets type), $65 if we set type. Questions? Call (949) 852-1990. Deadline: 18th of previous month.

Send ad to Fax 949-852-0231 or david@building-products.com. Checks payable to Cutler Publishing.

FOR SALE

FOR SALE

LUMBER CARRIERS from Berkot

• Several models available • Balanced for ease of handling • May be modified to your specifications See our full product line at www.BerkoftMfg.com

BERKOT MFG. CO., INC.

11285 Goss St., Sun Valley, CA 91352 • Phone (818)767-5555 Manufactured in the U.S. since 1954

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WHOLESALER is celebrating its centennial with the release of a new book on its history.

offers an entertaining glimpse into the people and events that have shaped the first 100 years of Patrick Lumber.

Founded January 1, 1915, by Charles C. Patrick and his colleague, William A. Brushoff, the company was one of the first lumber trading firms, helping to pioneer the art of matching producers and products with customers and end users in a fashion that is commonplace in the industry today.

Chock-full of memorabilia, historic ephemera, and first-person anecdotes from throughout the company’s history, the book takes the reader on a chronological journey of a company that has survived two World Wars, a Great Depression, a Great Recession, and a near-crippling Department of Justice investigation. Perhaps most remarkable, though, is the fact that Patrick Lumber had only five presidents during its first 99 years. (Halsey became the sixth when he succeeded Jim Rodway earlier this year.)

“This book is a tremendous tribute to the people, the customers, and the suppliers who have helped Patrick Lumber Company thrive over the years,” Halsey said. “It’s a fitting way to mark the accomplishments of our first hundred years, just as we embark on what we hope will be an equally successful second century.”

Patrick Lumber’s traders are busy distributing copies of the book to the customers and suppliers with whom they work. Others who are interested in purchasing a copy can contact Patrick Lumber directly at (503) 2229671 or sales@patlbr.com. It is also available at amazon.com.

Building-Products.com

DATE Book Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend.

Los Angeles Hardwood Lumberman’s Club – Jan. 8, meeting, Heroes, Fullerton, Ca.; (626) 445-8556; lahlc.net.

Building & Remodeling Shows – Jan. 9-11, Norris-Penrose Event Center, Colorado Springs, Co., and Oregon Convention Center, Portland, Or.; (800) 374-6463; www.homecentershow.com.

San Diego Home Show – Jan. 9-11, San Diego Convention Center, San Diego, Ca.; www.homeshowsandiego.com.

Use it anywhere.

Use it everywhere.

Black Bart Hoo-Hoo Club – Jan. 14, industry night, Broiler Steakhouse, Ukiah, Ca.; (707) 621-0485; blackbarthoohoo181.org.

The warmth and feel of wood, the durability and sustainability of TruGrain.

Humboldt Hoo-Hoo Club – Jan. 15, annual crab feed, Elks Lodge, Eureka, Ca.; (707) 621-9128.

Guardian Building Products – Jan. 16-19, show, Indiana Convention Center, Indianapolis, In.; (800) 569-4262; guardianbp.com.

Western Pallet Association – Jan. 16-20, annual meeting, Rancho Las Palmas Resort, Rancho Mirage, Ca.; (360) 335-0208; www. westernpallet.org.

TruGrain™ made with Resysta® provides easy installation and design versatility similar to wood. It is easy to stain and seal in a wide palette of colors.

Western Building Material Association – Jan. 20, introduction to building materials sales; Jan. 21-22, estimating workshop, DoubleTree, Salem, Or.; (360) 943- 3054; www.wbma.org International Builders Show – Jan. 20-22, sponsored by National Association of Home Builders, Las Vegas Convention Center, Las Vegas, Nv.; (202) 266-8610; buildersshow.com.

National Kitchen & Bath Assn. – Jan. 20-22, show, Las Vegas Convention Center, Las Vegas, Nv.; (800) 843-6522; nkba.org.

Surfaces – Jan. 20-23, Mandalay Bay Convention Center, Las Vegas, Nv.; (972) 536-6358; www.surfaces.com.

Visit us at the IBS (International Builders Show)

Learn more at Tru-Grain.com or call (800) 464-8614.

Jan. 20 - 22 Las Vegas, NV Booth #C7137

Tacoma-Olympia Hoo-Hoo Club– Jan. 21, board meeting, Tacoma, Wa.; (253) 531-1834; tbilski614@aol.com.

Do It Best Corp. – Jan. 22-24, winter conference, Walt Disney World Swan, Orlando, Fl.; (260) 748-5300; doitbestcorp.com.

Wood Solutions Fair – Jan. 27, Oakland Marriott City Center, Oakland, Ca.; (253) 565-6600; www.woodworks.org.

National Assn. of Wholesaler-Distributors – Jan. 27-29, executive summit, Fairmont, Washington, D.C.; (202) 872-0885; naw.org.

Western Forestry Industry Conference – Jan. 27-29, Heathman Lodge, Vancouver, Wa.; (202) 872-0885; westernforestry.org.

American Fence Assn. – Feb. 3-6, FenceTech/DeckTech, Orlando, Fl.; (800) 764-2488; www.americanfenceassociation.com.

Northern Utah Home Show – Feb. 6-7, Davis Convention Center, Layton, Ut.; (888) 433-3976; www.acshomeshow.com.

Colorado Springs Home & Landscape Expo – Feb. 6-8, NorrisPenrose Event Center, Colorado Springs, Co.; (800) 374-6463; www.homeshowcenter.com.

Tacoma-Olympia Hoo-Hoo Club – Feb. 10, crab feed, High Cedars Golf Course, Orting, Wa.; (253) 531-1834; tbilski614@aol.com.

Building Industry Assn. – Feb. 10-11, winter governance meetings, Citizen Hotel, Sacramento, Ca.; (949) 553-9500; www.cbia.com.

Western Building Material Association – Feb. 11-12, blueprint reading & material take-off, DoubleTree by Hilton, Salem, Or.; (360) 943-3054; www.wbma.org.

Los Angeles Hardwood Lumberman’s Club – Feb. 12, pool tournament, Danny K’s, Orange, Ca.; (626) 445-8556; www.lahlc.net.

National Frame Building Expo – Feb. 18-20, Louisville, Ky.; (800) 726-9966; www.nfba.org.

Oregon Logging Conference – Feb. 19-21, Lane County Fairgrounds, Eugene, Or.; www.oregonloggingconference.com.

Western Wood Preservers Institute – Feb. 19-20, Embassy Suites, Portland, Or.; (360) 693-9958; www.wwpinstitute.org.

Building-Products.com

January 2015

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The Merchant Magazine

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49

ADVERTISERS Index

IDEA File First Class Opportunity A Michigan hardware store has discovered

that adding an in-store post office has been good for the community and also good for business. Located in Glenn, Mi., Gerstner Hardware is home to the city’s Village Post Office, a vital part of the community.

When U.S. Postal Service officials announced they had lost the lease on the building that was the Glenn post office in 2011, they told residents that with the closure of the office, the community would lose its ZIP code. In a small town like Glenn, that was a big deal.

It was also a concern to Gernster Hardware owners Robert and Vicki Amberg, who lived in town for 15 years. The Ambergs had an idea that the post office be housed under their hardware store, as it would be a win-win situation for both Gernster’s foot traffic and the community’s desire to save the post office. The Ambergs thought the idea was only appropriate, as the hardware store has served the town for almost 100 years.

“It’s a win-win situation. It helps our financial situation, and it increases foot traffic for the business’ owners. In this case, people coming in to pick up mail and buy stamps can also buy things at the store,” said Sabrina Todd, customer and media relations for U.S. Postal Service.

Both Robert and Vicki Amberg expressed excitement for the merge and feel it has helped the business grow now as it will in the future. The enthusiasm pouring out from the community is only helping the hardware store get more popular, as more locals are visiting the store after they use the post office.

“Local residents were elated to see this happen in our community. Being a part of this ‘non-brick and mortar’ network is a win-win for both the United States Postal Service and Gerstner Hardware,” said Vicki. “Our daily foot traffic has dramatically increased, bringing new customers to our store.”

For more on advertisers, call them directly or visit their websites [in brackets].

AGS Stainless Inc. [www.agsstainless.com/mmag] ...................11 Allura [www.allurausa.com] ..........................................................15 Bear Forest Products [www.bearfp.com].....................................46 Bennett Lumber [www.blpi.com] ..................................................35 Capital [www.capital-lumber.com]................................................24 Columbia Vista Corp. [www.columbiavistacorp.com] ................29 Collins [www.collinswood.com]....................................................13 CT Darnell [www.sunbelt-rack.com] .............................................27 Fontana Wholesale Lumber [fontanawholesalelumber.com].....40 Huff Lumber Co. .............................................................................41 Idaho Forest Group [www.idahoforestgroup.com] .....................33 Interfor [www.interfor.com] ...........................................................43 Jones Wholesale Lumber [www.joneswholesale.com] ..............42 Keller Lumber .................................................................................45 Kop-Coat [www.kop-coat.com] .......................................................5 Norman Distribution Inc. [www.normandist.com].......................25 Neiman Enterprises [www.neimanenterprises.com]...................30 North American Wholesale Lumber Assn. [www.nawla.org] .....17 Parr Lumber [www.parrlumberchino.com] ..................................24 Potlatch [www.potlatchcorp.com] ................................................37 PPG Machine Applied Coatings [www.ppgpro.com].....................7 PrimeSource Building Products [www.primesourcebp.com] ....49 Rosboro [www.rosboro.com] ........................................................34 Roseburg Forest Products [www.roseburg.com].............Cover IV RoyOMartin [www.royomartin.com] ...................................Cover III Simpson Strong-Tie [www.strongtie.com]...........................Cover I Siskiyou Forest Products [www.siskiyouforestproducts.com] .23 Snavely Forest Products [www.snavelyforest.com]..........Cover II Snider Industries [www.sniderindustries.com] ...........................45 Swanson Group Sales Co. [www.swansongroupinc.com].........31 Taiga Building Products [www.taigabuilding.com].....................47 Unity Forest Products [www.unityforest.com] ............................39 Universal Forest Products [www.ufpedge.com]............................3

POST MASTER: Housing the only post office in town has increased foot traffic at one Michigan hardware store.

(Photo courtesy of Gerstner Hardware)

Utah Wood Preserving Co. ............................................................46 Vaagen Bros. Lumber Inc. [www.vaagenbros.com]....................38 Versatex [www.versatex.com].........................................................8

Coming Next Month in THE MERCHANT ◊ Decking, Fencing & Lattice ◊ OSB & Panels ◊ Moulding & Millwork

50

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The Merchant Magazine

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January 2015

Westech [www.tru-grain.com].......................................................49 Western Forest Products [www.westernforest.com] ..................21 Yakama Forest Products [www.yakama-forest.com]..................39

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