The
MERCHANT
JANUARY 2016
Magazine
THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922
2016: THE EXPERTS LOOK AT THE YEAR AHEAD • SPOTLIGHT ON WESTERN WOODS
The
January 2016
Volume 94 Number 7
MERCHANT
Magazine
The
MERCHANT
Magazine
www.building-products.com
A publication of 526 Media Group, Inc.
151 Kalmus Dr., Ste. D200, Costa Mesa, CA 92626
President/Publisher Patrick Adams padams@building-products.com Vice President Shelly Smith Adams sadams@building-products.com Publishers Emeritus David Cutler Alan Oakes Editor/Production Manager David Koenig david@building-products.com Associate Editor Stephanie Ornelas sornelas@building-products.com
Special Features
In Every Issue
9 MARGIN BUILDERS
DEALERS TRANSFORM THEIR EXTERIORS INTO SIDING SHOWCASES
10 COMPETITIVE INTELLIGENCE
WHEN LOCAL LUMBERYARD CLOSES, CONTRACTOR FILLS THE VOID
13 FEATURE STORY: THE YEAR AHEAD INDUSTRY EXPERTS SIZE UP WHAT 2016 HOLDS FOR: • NEW HOME CONSTRUCTION • ENGINEERED WOOD PRODUCTS • WINDOWS & DOORS • OUTDOOR LIVING • TECHNOLOGY • BUSINESS PLANNING
26 SPECIAL FOCUS: WESTERN WOODS WWPA SPECIAL SECTION
38 NAWLA–THINKING AHEAD
A NEW PERSPECTIVE ON LUMBER INDUSTRY CONSOLIDATION
48 EVENT RECAP: PWLA PARTY
PORTLAND WHOLESALERS’ ANNUAL
Online BREAKING INDUSTRY NEWS, EVENT PHOTOS, & DIGITAL EDITION OF THE MERCHANT
BUILDING-PRODUCTS.COM
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The Merchant Magazine
6 ACROSS THE BOARD 12 OLSEN ON SALES 36 EVANGELIST MARKETING 40 MOVERS & SHAKERS 41 APP WATCH 44 NEW PRODUCTS 54 ASSOCIATION UPDATE 56 CLASSIFIED MARKETPLACE 56 IN MEMORIAM 57 DATE BOOK 57 ADVERTISERS INDEX 58 FLASHBACK 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. D200, 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 526 Media Group, 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®2016 by 526 Media Group, 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.
January 2016
Contributing Editors Carla Waldemar, James Olsen Advertising Sales Manager Chuck Casey chuck@building-products.com Circulation Manager Heather Kelly hkelly@building-products.com
How to Advertise
PRINT or ONLINE Chuck Casey Phone (714) 486-2735 Fax 714-486-2745 chuck@building-products.com Patrick Adams Phone (714) 486-2735 Fax 714-486-2745 padams@building-products.com CLASSIFIED – David Koenig Phone (714) 486-2735 Fax 714-486-2745 david@building-products.com
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ACROSS the Board By Patrick Adams
Free time is dangerous
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NYONE WHO KNOWS me knows that it’s dangerous for me to have “free time.” I’m jealous of those people who can take relaxing vacations, “unplug,” and recharge. I, on the other hand, just get anxious when I don’t have a huge list of things to do. During a much-too-long free moment over the holidays, I got to thinking about the “new year” and how we plan our lives and businesses based on this calendar. I just wrapped up my first year in this industry. This business, however, is entering its 94th year, and this is where my free time led to “dangerous” deep thought. Ninety-four years! While it’s more common in this industry, it’s become far too rare for a business to stay around this long. What kept my mind busy was this: in business school we had to write business plans. Countless times in my career, I’ve been asked to draft one-, three-, and five-year plans. Strategic Plans and Turn-around Plans. Tactical Plans, Exit Plans, and Acquisition Plans. But consider this—what would a “100-year plan” look like? If you were asked to start a company where the primary objective was to be in business a century from now, where would you start? How would it influence your strategy and how would that be different from any other plan? I’ve been blessed to have a very exciting and broad career where I’ve been exposed to a lot of different companies. Here’s what I think: I think that when you cannot separate between the “personal you” and the “business you,” you’re on the right track to staying in business for a long
time. I’ve been around many decent people who, in their business lives, do questionable things for questionable reasons—to make a goal, to impress the boss, or to just get over that next hurdle. My 100-year business plan would go something like this: Treat your customers as if they were your lifelong friends. Do the very best that you’re capable of and deliver the very best product or service that you can envision. Always under-promise and over-deliver. Help everyone that you can, even before they have to ask for help. Constantly look to remain flexible, to learn something new and to listen more than you speak. Search for ways to reinvent your business and provide new things to your customers before they know they need them. View it as your job to serve your industry and customers. If I included any of these items on a plan in school or with one of my employers, I would have been immediately booted out. These things cannot be measured on a spreadsheet. You can’t tell a board when or how this will boost profits. Doing these things do not guarantee that you will be in business 100 years from now; there are countless other variables. However, I will argue that if you don’t do these things, the chances that you stay in business at all are very slim. It’s not because the calendar says it’s a new year that my first year—or the company’s 94th year—weighs heavy on me; it weighs on me every minute of every day because I’m fortunate enough to be one of those guys who doesn’t do well with free time on my hands. I enjoy working, doing, helping and serving. I care about my customers like they are my friends and my employees like my family. I want this business to be around another 94 years so that my 5-year-old, and her 5-year-old someday all have something special to steward should they want to! Maybe that’s the real secret to the 100-year plan—it has to be measured by things that a spreadsheet just wasn’t built for. I hope everyone had a wonderful holiday season, whether it was spent working, relaxing or pondering the next 100 years! Happy New Year and may 2016 bring you the very best that life has to offer! “Although no one can go back and make a brand new start, anyone can start from now and make a brand new ending.” ~ Carl Bard Patrick S. Adams Publisher/President padams@building-products.com
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January 2016
Building-Products.com
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MARGIN Builders Siding Showcases
Dealers remake exteriors into siding displays
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S AN INCENTIVE and loyalty builder for new stocking dealers, Novik has launched a Dealer Beautification Program that revitalizes dealers’ facilities and storefronts, while creating a living testament to the natural beauty and versatility of its lowmaintenance shake and stone products. The most recent was the first step into entering the siding category for Glassboro Lumber, Glassboro, N.J. “The new look is creating a lot of buzz—it’s a high traffic area and everyone is talking about how great it looks and wants to know more about the product,” said co-owner Jerad Villecco. “We haven’t been in the vinyl siding category before, but this is more of a premium, one-of-a-kind product line that offers the luxury of traditional materials, with very easy installation.” A few months prior, Matthews & Fields Lumber Supply, Rochester, N.Y., transformed the exterior of its the Henrietta, N.Y., showroom of family business since 1896. “Our facility was in need of a facelift and Novik has the beautiful products that transformed our exterior,” said co-owner Doug Fields. “Now we can actually show our customers exactly how the products will look installed—right on our own building!” To participate, Novik stocking dealers simply order 20 squares of shake or stone (a square is a 10x10-ft. section) and the shake/stone products can be mixed and matched. For the initial 20 square order, Novik will donate up to 10 squares of material to update the retailer’s building. Since launching last spring, the
Building-Products.com
IT TOOK ONE DAY for contractors to replace deteriorated fiber cement facade at Matthews & Fields Lumber Supply, Henrietta, N.Y., with NovikShake rough sawn 8-ft. shake and NovikStone dry stack stone, donated by the vendor.
program has allowed 15 dealers so far to renovate their facilities, including Allied, Atlantic, CYR Lumber, East Islip Lumber, Lyon & Billard, MidCape Lumber, Moynihan Lumber, O.D. Greene, Sider Lumber, and United Building Supply in the Northeast, Tart Lumber in Virginia, and Carter Lumber’s branch in Akron, Oh., which invited customers to view the makeover in action during a BBQ event.
The program will continue this year and expand into Canada. “Many of these buildings have been in families for 75 or even 100 years and could use some exterior upgrades,” said Ralph Bruno, president of Novik Sales Corp. “This is a great way to show off the natural, rich looks of NovikShake and NovikStone, while revitalizing the dealer’s facility and giving them a realistic, life-size display.”
January 2016
The Merchant Magazine
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COMPETITIVE Intelligence By Carla Waldemar
Sticks and stones will build your yard
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TEVE DOUGLAS entered the industry back in the Eighties as manager of Copeland Lumber’s Yerington, Nv., lumberyard. Three years ago he bought the yard he used to run. Big deal. Well, it kind of is, when you trace the trajectory of Steve’s career between those points. He left the Yerington outpost to manage the Copeland yard in Carson City until, with changes percolating in the corporation, he decided it wasn’t fun anymore.
“So I jumped to the other side of the counter and became a general contractor,” he relates. After securing his license, he launched Top Notch Construction because he sensed “a good opportunity. Nevada was booming back then, and Copeland was making changes.” Fast forward to 2014 when, as he continues the tale, “I felt burned out as a general contractor—the same old, same old for 25 years.” Meanwhile, the Yerington store, which had served as site of a lumberyard for nearly 100 years (most recently as
LUMBERMAN-TURNED-CONTRACTOR Steve Douglas jumped back behind the contractor counter when he realized the small town of Yerington, Nv., desperately needed another lumberyard.
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Building-Products.com
STICKS & STONES was launched by Douglas with yard foreman Mark Spurlock, at right.
Home Lumber), was clogged with cobwebs; it had stood vacant for three years. That left Valley Building Supply as the only yard left in the mountain town of 3,500—and Valley was calling it a day after a 50-year run in the business. This meant Steve, and contractors like him in Yerington and the neighboring valley (population close to 9,000), would have to make a 100-mile roundtrip journey every time they needed so much as a roofing nail or plank of pine. “The contractor business was just barely hanging on here, in the most economically-depressed county in the country,” he tells a reporter. “The trades were losing people—sheet rockers, roofers, carpenters. But I thought, ‘Well, somebody has to supply material to those who are left. Here’s an opportunity for sales and to support their work.’” Sounded better than Top Notch’s prospects at that point, so Steve stepped up and bought the very yard where he’d first learned to love the industry. And while nostalgia for one’s roots is lovely, it won’t put bacon on the table. Steve is a businessman, not a philanthropist, so he’d done his homework. He saw local home improvements still going on: folks in town and the surrounding farming community were still remodeling, doing additions, adding garages, decks and storage sheds, and sick of driving to the far-off box. Mines and dairies in the region were still calling for rebar, cement blocks, whathave-you. And even the local cadre of DIYers were grateful. “Homeowners are notoriously price-conscious, willing to drive for miles to save a dollar,” he laughs, “but when they realized the boxes couldn’t answer their questions, couldn’t deliver service—they returned to me.” Steve set about to remodel the aging structure (last refurbished following a fire in the Forties), adding new offices and bathrooms, clean coats of paint, and brand-new signage. Calling on his experience as a contractor, he could foresee what items were likely to be in demand. “I knew Building-Products.com
the essentials. I made a priority list to get started, to get a cash flow. We have all the basics—rebar, cement blocks, framing, siding, sheeting, hardwood—but not all the items that would take a $5 million investment. I didn’t take out any bank loans, no big debt load. Instead, I’m adding new SKUs week by week—more trim, doors, hardwood. It can be frustrating at times for customers,” he admits, “but they’re patient and understanding if I have to say, ‘by Wednesday.’ “That way we keep the doors open, we keep growing, keep adding more inventory, and business keeps getting better month after month.” Right now, that brisk business is driven by the area’s contractors because, as Steve acknowledges, “They appreciate my knowledge. I ask questions and let them know if there’s a better way of doing something. You don’t find that at a big box. Plus, if a homeowner wants something installed, I refer the business to those pros. I don’t want to do it myself and step on anyone’s toes; I’d rather sell product.” Marketing guru? That’s Steve. “I know everybody in town, I’ve been here 30 years, and they’re tickled pink to have a local supplier again. Oh, I do some radio ads and improved the signage, plus we have a great location on Main Street with high visibility. But it’s mostly word of mouth: They come to me.” High marks for customer service, too. “They walk in and right away, we greet them, ask what they need. Out in the yard, the yard guy approaches them and loads them up. We’ve added sheds, so now all the lumber is covered, too. And we deliver with a truck and a forklift”—big-ticket items, which required a significant handful of dollars but are paying their way in customer gratitude and loyalty. Competition? Sure—namely Meek’s. “If I’d have left the door open [when the town lost its last lumberyard], they’d probably have come in,” Steve assesses. Instead, he jumped at the chance to switch hats once again and jump back over the counter, with no regrets. “I’ve got the local pro business tied up,” he claims—“everything in two, three valleys.” Plus he hears rumbles of new activity in copper and gold mines on the drawing board—“an opportunity for a boom,” he notes. And, talk about sheer luck (Steve admits he didn’t see this coming): A Tesla factory is slated to be built just down the superhighway—“the biggest factory In. The. World. And other businesses are coming in—distribution centers for Wal-Mart and Amazon—on a new road coming through. This just fell into my lap!” he’s earned his chance to crow. So, count on Sticks & Stones to grow. He’s already got expansion plans “as cash flow, sales, and new construction allows,” its owner states. Oh, yeah: He’s got another driving motive, too: two sons in college. Plus, he downright likes the work. And the town likes him. “I hate to say it, but when the other yards closed, it was a good lesson for the community: Support local businesses rather than lose them and have to drive a hundred miles. Loyalty pays off.”
Carla Waldemar cwaldemar@comcast.net January 2016
The Merchant Magazine
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OLSEN On Sales By James Olsen
Full disclosure selling eighty percent share their information. It helps me help you. Twenty percent are a little more guarded. So…” and start asking your FDS questions again.
When to Use Full Disclosure Selling
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get close to our customers? What do we talk to them about? How do we get more of their business? How do we block out our competition? The answer is Full Disclosure Selling. FDS is a series of questions we ask our customers throughout our interactions with them. We don’t ask these questions ALL AT ONCE; it is not an interrogation. There are many “Y’s in the road” where we use the questions of Full Disclosure Selling to get in sync with our customer’s buying pattern. Once we are in sync with all of our customers we will be in the “yes/no” vs. “maybe so and I’ll let you know” business. Most sellers spend the majority of their time “chasing” business. The Master Seller gets to the yes/no sooner and more often. Many are world class closers, but the majority of big hitters in sales don’t necessarily close at a higher rate; they are simply in more “closing conversations.” Full Disclosure will do the same for us. OW DO WE
The Seven Questions of Full Disclosure
• Where are you in your buy(ing) cycle? • How much do you have on order? • How much do you have in your warehouse/yard? • Of what you have already bought, how much is already sold, not shipped? • What is your monthly usage of that item? • What is your buy back (restock, replenishment) point? (How low do you let your inventory go before buying again?) • What is your average cost on that item?
Overcoming the Major Objection
Some customers become defensive when we ask FDS questions. “What do you need to know that for? Just get me a price.” Our answers: “Tom, a lot of my customers ask me that. I have a mountain of knowledge about the market and about products. We (my company) do some amazing things for our customers. But all that knowledge and capability are wasted if I don’t understand where you are in your buy cycle. It helps me call you with deals that fit your specific needs, when you need them.” “Susan, I work this way with all my customers. I don’t share the information with anyone. On the contrary; I don’t want anyone but you and me to know about it. About
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Customer: “I don’t need any right now.” At this “Y in the road,” 80% of our competition says, “Well, what are you buying?” This sends the message that they are only there for the order. FDS questions send the message that we want to partner with our customer. Us: “Really, where are you on that item?” Customer: “What do you mean?” Us: “How much of that (2x4 – whatever) do you have on order?” Customer: “Two trucks.” Us: “And on the ground?” Customer: “A truck and a half.” Us: “I’ve got in my notes that you use five trucks a month, so we’re about a truck and a half short, right?” Customer: “I guess so.” Us: “So if I can get another truck at $350/MBF for two weeks out, that should dovetail exactly with your inventory turn. Do you have an order number for that?” Customer: “Put it on my ….” Customer: “Your price is too high.” Us: “Huh… we’ve been selling some awfully competitive accounts at this price. What have you been hearing? (NOT “Where do I need to be?” Geez, please no!) Customer: “In the 350’s.” Us: “Wow. Good number. Did you buy any of that?” Customer: “Yes.” Us: “What’d that do to your average cost?” Customer: “Lowered it some.” Us: “What is your average cost on that now?” Customer: “$353.” Us: “So if I could get you a couple trucks for three weeks out at $349, would you buy them?” FDS gets us in sync with our customers. Each FDS sales call sets up the next. FDS puts us in front of our customers “when the fruit is falling” from the tree. FDS helps us anticipate our customer’s needs and sell them as a true partner. James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com Building-Products.com
The
MERCHANT
Magazine
THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922
SPECIAL SECTION: WHAT INDUSTRY EXPERTS FORECAST FOR THE NEW YEAR
2016
THE YEAR AHEAD
David Crowe, NAHB, on
The Year Ahead in
Housing Recovery quickens, but challenges remain
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TEADY EMPLOYMENT, economic growth, pent-up demand, affordable home prices, and attractive mortgage rates will keep the housing market on a gradual upward trend in 2016. However, persistent headwinds related to shortages of available lots and labor are impeding a more robust recovery. Job formation is the key to this housing recovery. Unlike previous recoveries when housing played a key role in the rebound, this recovery needs more jobs to convince consumers that the recession is over, that they will retain their jobs, their incomes will grow and that their friends and relatives feel that way too. So far, the employment news continues to be good. There are more jobs in the U.S. than ever before at 10% above the last peak. The one caveat is that job growth has been concentrated heavily in the service sector, which tends to pay lower wages than goods producing jobs. As a result, incomes have not grown over the recovery period, although that trend is reversing in the latest reports. Within the housing market, most new homes are sold to current home owners. That has always been true but is more striking today because the first time home buyer is less active in the housing market. The good news is that home equity has nearly doubled since 2011 and now stands at $12.5 trillion. Improved equity provides a down payment for existing home owners to buy a new home. While mortgage interest rates should rise over the nearterm, averaging 4.5% in 2016 and 5.5% in 2017, this is not expected to have an impact on the housing recovery. As the economy gets better, job and wage growth should keep pace. So even though mortgage rates will rise, they will still be low by historical standards and very affordable. Two supply chain headwinds will make housing’s recovery more difficult. Builders cannot find enough skilled labor and developed lots are scarce. In successive NAHB member surveys, 13% of builders said the cost and availability of labor was a significant problem in 2011; that concern jumped to 61% in 2014. About a fifth of builders shared the same concerns regarding lots in 2011; that ratio shot up to 58% in 2014. Rising wages for construction workers will help alleviate the labor shortage. Better access to bank loans will help developers buy and prepare lots. NAHB is projecting 713,000 single-family starts in 2015, up 10% from the 647,000 units produced last year.
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Single-family output is projected to rise an additional 23% in 2016 to 875,000 units. In multifamily, production ran at 354,000 units last year, slightly above the 331,000 level considered normal. Multifamily starts are expected to rise 12% to 396,000 units this year and post a modest 3% decline to 382,000 units in 2016. Residential remodeling activity is forecasted to increase 6.8% in 2015 over last year and rise an additional 6.1% in 2016. Housing market conditions are improving in all regions, but the pace of recovery continues to vary by state and region. It now is really a matter of markets reconnecting to the fundamental drivers, and that is employment. Production is rebounding in all regions, prices are moving up, and new foreclosures are back to more normal levels. Using the 2000-2003 period as a healthy benchmark when single-family starts averaged 1.3 million units on an annual basis, NAHB projects that single-family production, which bottomed out at an average 27% of normal production in early 2009, will climb to 74% of normal by fourth quarter 2016 and to 91% of normal by the end of 2017. Single-family output now stands at 53% of normal activity. Among the hardest hit areas during the downturn, the bubble states—California, Arizona, Nevada and Florida— had the most excessive price and production spikes, while the industrial Midwest experienced problems more related to fundamental economic weakness. The most successful recoveries are happening now in the energy states, including North Dakota, Wyoming, Texas, Montana and Louisiana. Others showing strong employment and housing growth include South Carolina, Utah, Tennessee, Idaho, Oregon and North Carolina. As employment gains become broader, as pent-up demand from existing homeowners and first-time buyers return kicks in, and as more labor becomes available, the recovery will continue. David Crowe is chief economist for the National Association of Home Builders. Reach him via www.nahb.com.
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Joe Elling, APA, on
The Year Ahead in
Engineered Wood 10 EWP trends to look for in 2016
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to play a large role in meeting the demand for new housing for two reasons. First, affordability challenges support continued strength in multifamily construction as the number of renter households increases as the homeownership rate declines. In addition, vacancy rates are near their lowest rate since 1980. Overall segment growth will lead to a steady demand for EWPs by apartment and condominium builders.
remain constant in this dynamic industry of ours, a new year is a good time to look ahead. APA—The Engineered Wood Association has identified 10 trends you should look for that could influence your engineered wood sales in 2016. INCE FEW THINGS
Trend #1 Residential construction will continue to improve. U.S. housing starts through August 2015 were up by 11% for both singleand multifamily construction. We expect starts to land just below 1.3 million units for 2016, and trend up to 1.5 million in 2018-20. This will give us an overall 35% increase between now and then, as stronger employment gains, household growth, and improved consumer confidence contribute to new and existing home sales.
Trend #2 Housing affordability will shift the single- and multifamily mix. Demand for housing is expected to increase but we will see the market mix shift over time, as single-family homeownership rates drop. Young people are delaying home purchases as they pay off historically high levels of student debt. Their projected incomes are unlikely to keep pace with an increase in mortgage payments as interest rates and home prices are expected to rise. In addition, first-time homebuyers continue to struggle to meet strict lending standards. All factors point to continued strength in multifamily construction.
Trend #5 ery in this segment will be frustrated by growing affordability challenges.
Trend #4 Multifamily housing will grow in the near-term, but then slow. With a market share of 35 to 40%, multifamily construction will continue
Nonresidential building shows continued growth for EWP. We saw healthy spending in five commercial building segments in 2015; spending should increase another 7% in 2016, but then trend back to just 2 to 3% by 2020. By the end of the decade, combined spending will be up by 21% from 2015, but still 15% below the 2007-2008 peak.
U.S. Housing Starts
Trend #3 Single-family starts will level off. In the next three to five years, single-family starts should level off to just short of the 1 million mark; recov-
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Building-Products.com
Value of Nonresidential Construction Put-in-Place, Selected Sectors (Billions 2009$)
Private sector spending was up by 9 to 10% in 2015, with lodging (occupancy rates are at record highs) and office construction (benefitting from low financing costs) leading the way.
Trend #6 Remodeling will continue to recover, but slowly. Dealers could see a few more orders from homeimprovement contractors in 2016, as the repair and remodeling market continues its recovery. We expect growth will range from 2 to 4% through the remainder of the decade.
Trend #7 Labor shortages will continue to challenge builders. A significant number of contractors are reporting labor shortages. Larger firms, particularly those who build more than 250 houses per year, are most impacted. As a result, builders will look for ways to improve their jobsite efficiency, which should lead more to consider using EWPs.
Trend #8 Demand for EWP is expected to grow. Demand for North American-made wood structural panels is projected to grow by 21%. Glulam’s share of the beam and header market dipped slightly this past year in the single-family market, but that decrease was more than offset by growth in multifamily construction, where glulam share grew to more than 12%. LVL use is also rising, partly because of the increasing number of homes built with three or more garages and strength in the multifamily market. I-joist use declined slightly, partially due to lack of familiarity by designers and contractors. We see potential growth opportunity for dealers who help educate their customers on the design and construction advantages of I-joists and other engineered wood products. Building-Products.com
Trend #9 Increasing production will ensure steady supply. Dealers can remain confident that engineered wood product supply will remain healthy. Overall EWP production is forecast to grow by 25 to 33% by 2020. In the near term, production will rise across all product lines in 2016.
Trend #10 APA efforts to support increased knowledge of product use will continue. APA remains committed to educating designers, contractors and consumers about the benefits of engineered wood products. In addition, our member manufacturers continue to provide information to an increasingly sophisticated consumer market. As a result, we expect to see more homeowners demand more from their builders in terms of speedy construction, quiet floors and spacious interiors. As dealers and builders do a better job explaining the benefits of engineered wood products, we think consumers will do a better job of expecting them. Overall, we see good news for 2016. LBM dealers should see stronger sales next year, with continued recovery in single- and multifamily building and growth in lowrise commercial construction. Those dealers that work to promote the benefits of their engineered wood product lines could find additional growth opportunities.
Joe Elling is market research director for APA–The Engineered Wood Association, Tacoma, Wa. Reach him via www.apawood.com.
January 2016
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Christine Marvin, Marvin Windows & Doors, on
The Year Ahead in
Windows & Doors More glass, contemporary styles
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ACH YEAR , new trends emerge in the window and door industry, driven by the evolving tastes of homeowners and building owners.
Big Glass for Unobstructed Views For the past few years, there has been a trend toward larger windows and doors with bigger expanses of glass—and we’re expecting an even greater demand for larger products in 2016, largely fueled by a desire for unobstructed views. When it comes to windows, many are opting for larger casement and awning windows. However, this trend is not only about views to the exterior: People are also seeking ways to integrate their internal spaces, such as with pass-through windows that open up spaces between rooms. The need for privacy doesn’t go away at larger sizes, though. There are numerous options for when windows need to be covered. For example, Marvin offers integrated interior shades. They are designed to be part of the window or door, with no visible cords or pulleys. The exact fit means virtually no light bleed, and when not in use, they appear part of the window or door with no protrusion. Contemporary Design The trend toward larger glass reflects a growing interest in contemporary design—and so does the popularity of contemporary colors, accessories and other touches. When it comes to clad colors, we’re seeing people drawn toward colors that complement the simple, clean lines indicative of modern architecture. To meet that need, you may want to consider contemporary clad colors in 2016, such as suede, gunmetal, clay or bronze. More people are also seeking out corner units—such as 90˚ corner windows—for panoramic views and a distinctly contemporary look. Other contemporary design elements to watch for in 2016 are pearlescent exterior finishes, ebony and dark gray exteriors, satin nickel hardware, oil-rubbed bronze, brass hardware, and dark interior stains. In addition to dark stains like these, we also find customers are having the interior of their windows painted a dark custom color to complement their cabinetry, flooring and fixtures. Energy Efficiency It comes as no surprise that we continue seeing a grow-
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ing focus on energy efficiency. Choosing energy-efficient windows can help reduce your utility bills, and it provides the peace of mind that comes with knowing you’re helping the planet by minimizing environmental impact. It also makes homes more comfortable. More and more people are looking to increase the efficiency of their homes and other buildings, by using products with improved performance ratings. In 2016, we also expect an uptick in demand for very efficient homes and other buildings, including growth in “passive” building practices, whose requirements are designed to maintain temperatures with incredibly minimal heating and cooling systems. There’s also a growing trend toward Net Zero homes, which, through thoughtful design, alternative energy sources, and high-quality, energy-efficient products, create just as much energy as they produce and have minimal impact on the environment. Other Features, Colors & Accessories This year will also bring increased focus on unique options that set a home of other building’s windows and doors apart. Many people will be drawn to bold accessories, including copper and gold. People are also seeing windows and doors as integral aspects of home and building design, affecting nearly every room in the house. Putting a personal stamp on the architecture, and being able to choose exactly what is needed for design, performance and energy efficiency is paramount. Homeowners and trade professionals don’t want a cookie cutter fenestration solution. People will also be drawn to innovative features that aren’t necessarily visible to the naked eye but add value to their experience with their windows and homes. We expect continued focus on more innovative and integrated features in the year—and years—to come. Christine Marvin is director of marketing for Marvin Windows & Doors, Warroad, Mn. Reach her via www.marvin.com.
Building-Products.com
Introducing A Distributor that Specializes in DECKS! Become a Deck Supply Warehouse authorized dealer to gain access to the industry’s highest quality decking materials and hardware, including Iron Woods™ FSC Premium Decking
Iron Woods™ is the original, Architectural Select grade of premium hardwood decking. Iron Woods™ FSC certified Ipé, Cumaru and Garapa are the perfect combination of consistent quality and environmental sustainability.
NyloDeck Composite Decking & NyloPorch Porch Boards
NyloBoard manufactures the strongest, toughest and most thermally stable composite decking on the market today. Using recycled carpet fiber as a base, NyloDeck is impervious to moisture and temperature extremes. The planks are so light and strong that even 24’ lengths are easy to handle. Customers love the beautiful woodgrain finish.
ThermalWood Thermally Modified Decking
ThermalWood Canada’s thermally treated white ash decking is the gold standard for ultra-low maintenance wood decking. Each plank has a slight crown to prevent cupping and water pooling, and it comes with the easiest hidden fastening system on the market. It also has the best rot warranty in the industry—25 years for decking and 50 years for siding.
Grabber Construction Fasteners
GRABBER® is a leading manufacturer of quality products built for construction pros. For this market, quality is everything. Products must be 100% reliable and durable to meet the demands of an increasingly fast-paced and productivity-minded profession.
ZuriDeck
Zuri® Premium Decking by Royal® is by far the most natural looking composite deck on the market today and it is built to stay beautiful. The surface of ZuriDeck is more than 5 times more durable than capped composites or PVC.
Titan Building Products
With the Titan family of building products and tools, it’s easy to build beautiful high performance outdoor structures – like decks, footings, pergolas and more. You’ll love the elegance in design which reduces clutter, visible fasteners, and labor.
Regal Aluminum Railing
Regal ideas is the number one rated aluminum railing system for safety and durability! The system meets and exceeds all building code requirements and the same system works for both commercial and residential projects.
Deck Supply Warehouse Windsor, CA
707-687-5677 weston@decksupplywarehouse.com
www.decksupplywarehouse.com
Sheryl Isenhour, IBD Outdoor Rooms, on
The Year Ahead in
Outdoor Living The sky’s the limit
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T IS LOOKING like 2016 is going to show a huge growth in the construction industry and the outdoor living areas are growing with it. From what I see, outdoor living areas will soon be a standard for new and remodeled homes. People are becoming more family conscious, which is also contributing to the growth in this arena. The kitchen has always been the heart of the home while the outdoors areas have been mostly for entertaining and relaxation. But now, the best place for families to gather, talk and share a meal are becoming one. More people want outdoor living areas with fully functional kitchens as opposed to just the rolling barbecue cart. What does that mean? It means things like outdoor refrigerators, more attractive and comfortable furniture, and dining options are being utilized. It also means cabinets designed especially for patio/deck use. Lighting for outdoor areas has also evolved, along with a wider range of storage options. Space heating, and music systems will increasingly be incorporated in outdoor rooms, contributing to a more flexible, attractive space for families to entertain. And all of these options at increasingly affordable prices. I think the hottest outdoor appliance this year will be the gas- or wood-fired oven. These are proving to be very useful and somewhat chic additions to the outdoor mix of meal preparation. Again, it’s all about expanding options in ways that not only create lovely and comfortable spaces but also provide expanded options for all kinds of meals. As far as style, while the modern look is always available, the stone finishes are taking more of the lead for the choices in veneer. We are also seeing tendencies toward using bark or wood exteriors for grilling islands, although these will require insulation sleeves around the grills. Nevertheless, they may become one of the more popular new trends in decor we’ve seen in a long time. Also becoming popular in the market is the use of lightweight concrete tops for grill islands. These are much lighter in weight than previous concrete or granite but are still easy to maintain, very attractive, and easier on the budget. Lighting in the outdoor units and on the surrounding deck rails is becoming standard. The emphasis here is on a softer lighting effect that provides useful illumination with-
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out glare. The effect creates a relaxing ambiance for all kinds of casual and formal dining occasions. Fire pits and fireplaces are also showing up more and more in outdoor areas. These have immense appeal for those cool fall days and summer nights when people might ordinarily have chosen to remain inside. Now the warmth and glow of outdoor fire provides an ideal setting for easy conversation long into the evening. In this area it appears that more people are choosing gas over wood for the convenience and safety features. Biofuel burners are also enjoying an upsurge. We continue to see composite decks and railings showing up. These add their own visual appeal while also increasing longevity and diminishing the need for annual maintenance… the best of all worlds. We’re even seeing outdoor bedrooms, baths, and offices enjoying a steady increase in popularity. If you didn’t see that coming, you’re not alone. Pergolas and pavilions are very popular additions to make the outdoor living spaces more stylish, attractive, useful and just plain comfortable. People are doing more timber frame units than the conventional lumber units due to the longevity and more massive look of the structure. So, as you can see, the world of outdoor living is growing in leaps and bounds and in directions that would have been hard to predict even a few years ago. This all means increasing opportunities for everyone in the outdoor living industry. Basically, we seem to be in a time where the options are only limited by one’s imagination. And that is very exciting. You could say, the sky’s the limit. And you would be right.
Sheryl Isenhour is president and master designer at IBD Outdoor Rooms. Reach her at sheryl@ibdodr.com.
Building-Products.com
Matthew Courtney, ECi, on
The Year Ahead in
Technology Trends in the LBMH space
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NUMBER OF trends have developed over the last few years and these are some that have risen to the top for us. There has been a noticeable shift in the way companies handle their software operations. Everyone has heard of the “cloud” and knows that is where business management solutions are headed. As technology becomes more advanced, users are finding it easier to maintain and manage their IT via a hosted solution. ECi, for example, has been working with Softlayer, an IBM company that pro-
ACTIVITIES WORKFLOW
vides secure, high-availability hardware and facilities along with high-performance network bandwidth that we can then offer to our customers. This environment is a big change from on-site servers and equipment, but the payoff is fantastic. If a business owner is looking for a cost-effective system that is always up to date and allows faster deployment, a cloud solution may be something to consider. Utilizing Activities Workflow has been another ongoing trend that improves dealer efficiency. This provides a way for individuals to look at the business data that really matters, all in one place, with the ability to drill down to learn more. For example, a purchasing manager might want to have separate lists— POs that have been created but not placed with the vendors, un-received POs past their due date, new special orders, etc.—to save time and money. Applying a workflow can really get the important things in front of that manager and allow drill down for detail if it’s needed. Across all industries, efficiency is certainly an important trend that is not going away! Another software feature that is being used more widely is the ability to find non-barcoded items by using item list images. Typically items have barcodes but if it does not scan or the barcode is damaged it can be exasperating. Having layers of category images within the system is a huge bonus because it allows for drilling down (for example, Hardware/Power Tools/Cordless/Drills/Makita) to pick the correct item from the images on the screen. These trends all point to streamlining the workflow. Streamlining processes not only helps save time and money but provides a better experience for the end user— the shopper. The ability to get them into the store, find the products they need and then provide a quick, easy, enjoyable experience during shopping is the main goal. Anything that can improve that process will be noticed. Matthew Courtney is marketing program mgr.-LBMH Division for ECi Software Solutions. Reach him at mcourtney@ecisolutions.com.
IMAGE LISTS
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Building-Products.com
Scott Simpson, BlueTarp, on
The Year Ahead in
Business Planning Steps to get your house in order
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FTER MORE THAN five years of steady recovery, there are some macro-economic signs that suggest the next recession may arrive in 2017. Whether it comes sooner or later, it’s no secret that we work in a cyclical industry. Just as you would prepare for hurricane season long before a storm hits, it is time for LBM dealers to prepare for an eventual downturn. The main objective is simple: Take prudent steps now to take the downside of a market contraction “off the table.” The reason? Businesses that thrived through the last downturn took protective steps in these following categories: Receivables. Clean up your accounts receivable. The delinquent or late accounts that ultimately end up paying in a strong economy are likely to quickly turn into significant bad debt losses in a downturn. Make sure you are thoughtfully controlling how exposed you are. This means holding the line on giving more credit to your customers with delinquent balances:
Manage Your Bank Relationship Early
By the time you recognize you have a risk problem, it’s probably too late to address it in the eyes of a lender. Just as you can’t buy hurricane insurance the day before the storm hits, you can’t turn to bankers as the downturn hits, expecting them to take on a risky client. Here are some steps to take now: • Secure access to the cash you will need in the downturn by taking a larger credit line with your bank. In fact, take all that is offered, or can be arranged. • Develop a long-term relationship with your banker. • Because friendship can only go so far, be prepared to present your collateral so the bank sees there is back-up. • Make banks compete for you as a client. Demonstrate you are a business that is stable, well-run, and profitable. • Know how your bank’s lending approach will change in the event of an economic downturn. • Outline programs you might put in place if you’re cash constricted. Do you really need that new hire, rack system, or truck? Instead, try to preserve cash and protect liquidity. • Review the various covenants that are in place with your line of credit. Be aware when you may “trip” one.
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• Require that all customers pay down or entirely clean up delinquencies. If this is a change in your practices and the customer looks at you askance, point out that clear balances preserve your own ability to serve customers with good inventories and adequate staffing for customer service. • Appraise which customers should have restricted credit, and initiate a conversation with them to explain why you’re changing the account status. It’s only fair that they should pay their bills, so that you can pay yours; there is no reason for you to assume the risk of your worst customers. • Appraise which customers should be put on COD now and initiate a similar conversation about the status change. But make no mistake, you must move to COD for customers who are at risk for going belly-up and sticking you with the bill. Credit management. Bring in a credit management company that will fund you upfront for your sales and protect you from credit risk. In a downturn you’ll highly value not “being the bank,” especially having the increased cash flow and not selling scared in a recession. Credit insurance. Consider obtaining credit insurance for those customer accounts that represent a disproportionate percent of your business. If you have a small subset of customers whose failure to pay their bills would do a meaningful harm to your business, the price of credit insurance is a small price to pay to hedge that downside risk. Credit monitoring. Sign up for credit monitoring services. Pull credit reports three times a year on customers, with a special focus on those that are the most risky. The cost is minimal, and a business credit report can alert you to leading indicators of potential business failures. This gives you enough lead time to address any delinquent balances before a customer bankruptcy locks up his accounts, and you end up getting pennies on the dollar for what you are owed.
Scott Simpson is president and CEO of BlueTarp Financial. Reach him via www.bluetarp.com.
Building-Products.com
Building-Products.com
January 2016
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SPECIAL Focus on Western Woods By Stephanie Ornelas
Industry mum on stalled softwood trade pact
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APRIL OF 2006, the governments of Canada and the U.S. reached a tentative agreement in the softwood lumber dispute – a dispute that some may argue is one of the largest and enduring trade disputes between both nations. The conflict was given rise in the early 1980s and its effects are still seen today. After being extended for another two years, the agreement expired October 13, and professionals in the lumber industry are remaining unexpectedly quiet about their thoughts regarding any future arrangement. The heart of the dispute was the claim that the Canadian lumber industry is unfairly subsidized, as most timber in Canada is owned by the provincial governments. The prices charged to harvest the timber were set administratively, rather than through the competitive marketplace, the norm in the U.S. The United States claimed this constituted an unfair subsidy, and is thus subject to U.S. trade remedy laws, where foreign goods benefiting from subsidies can be subject to a countervailing duty tariff, to offset the subsidy and bring the price of the commodity back up to market rates. After years of contentious negotiations, the two sides finally came to an agreement in 2006, putting to rest the long dispute. Since then, the waters had been calm between the two sides. With the SLA hitting its expiration date this past October, some may wonder what could happen next. The Merchant Magazine reached
who wished to stay annonymous did agree to voice his opinion on the subject, stating, “It’s in the best interest of both sides to establish a floor in the market. The agreement needs an update and the market is in a good position to do so.” He went on to explain the importance of lobbying for more punitive penalties and higher trigger points. “These are all things that need to be
N
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out to a number of lumber industry professionals from both the U.S. and Canada to get their opinion on the matter. For now, the industry remains cautious, but hopeful. Zoltan Van Heyningen, executive director of the U.S. Lumber Coalition, spoke on behalf of many lumber professionals: “The two governments are working hard to come to an agreement that will benefit the industry as a whole.” While Van Heyningen stated the U.S. side chooses to remain hush regarding the details of what they hope to see come out of a new agreement, he has affirmed the agreement is outdated, and a fresh approach is something that is necessary. “There is definitely an interest in a new agreement. There was a huge reaction when the agreement expired and it was a reaction that was a testament to the fact that the old agreement was outdated. This needs to be addressed,” he said. One U.S. lumber manufacturer
January 2016
weighed out.” Despite the scarce amount of dialogue between industry professionals, both agreed that the process of coming to an agreement will take sometime and neither expect to see an agreement in less than a year. According to Van Heyningen, both Canada and the U.S. could not reach an agreement leading up to the expiration date thus leading to no negations toward a new agreement so far. Canadian companies contacted by The Merchant similarily declined public comment. Building-Products.com
SPECIAL Focus on Western Woods
By Western Wood Products Association
New Safety Data Sheets introduced for wood products
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HE H AZARD Communication Standard (HCS) (29 CFR 1910. 1200(g)), revised in 2012, requires that the wood product or chemical manufacturer, distributor, or importer provide Safety Data Sheets (SDSs) (formerly MSDSs or Material Safety Data Sheets) for each hazardous chemical (wood dust) to downstream users to communicate information on these hazards.
The information contained in the SDS is largely the same as the MSDS, except now SDSs are required to be presented in a consistent user-friendly, 16-section format. The SDS includes information such as the properties of each chemical; the physical, health and environmental health hazards; protective measures; and safety precautions for handling, storing and transporting the
We’re growing Colville, WA – Usk, WA – Midway, BC – Eagar, AZ
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Building-Products.com
chemical. The information contained in the SDS must be in English (although it can be in other languages as well). In addition, OSHA requires that SDS preparers provide specific minimum information as detailed in Appendix D of 29 CFR 1910.1200. SDS preparers may also include additional information in various section(s). Sections 1 through 8 contain general information about the chemical, identification, hazards, composition, safe handling practices, and emer-
Effective Completion Date
gency control measures (e.g., fire fighting). This information should be helpful to those that need to get the information quickly. Sections 9 through 11 and 16 contain other technical and scientific information, such as physical and chemical properties, stability and reactivity information, toxicological information, exposure control information, and other information including the date of preparation or last revision. The SDS must also state that no applicable information was found when the preparer
does not find relevant information for any required element. The SDS must also contain Sections 12 through 15, to be consistent with the U.N. Globally Harmonized System of Classification and Labeling of Chemicals (GHS), but OSHA will not enforce the content of these sections because they concern matters handled by other agencies. The OSHA schedule for SDS is shown below.
Requirements
Who
Dec. 1, 2013
Train employees on the new label elements and safety data sheet (SDS) format.
Employers
June 1, 2015
Compliance with all modified provisions of this final rule. Distributor must not ship containers labeled by the chemical manufacturer or importer unless it is a GHS label.
Chemical manufacturers, importers, distributors, and employers
Dec. 1, 2015
Must not ship containers without a GHS label.
Distributors
June 1, 2016
Update alternative workplace labeling and hazard communication program as necessary and provide additional employee training for newly identified physical or health hazards.
Employers
Quality Lumber Sustainable Forests At Bennett Lumber, we take pride in producing quality lumber products and managing sustainable forests for the next generation.
Princeton, ID Clarkston, WA 208-875-1321 www.blpi.com
Jim Vandegrift Sales Manager
Building-Products.com
January 2016
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SPECIAL Focus on Western Woods By Softwood Export Council
Western softwood exports slip after record gains
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FTER RECORD EXPORT years in 2013 and 2014, softwood lumber exports in 2015 will see a decrease of nearly 17% from $1.1 billion to $890
2015 Softwood Lumber Exports
2015 Value of Western Species by Destination
Douglas Fir Japan Canada China Mexico Philippines Rest of World
$97,968,745 $30,083,304 $22,448,729 $20,343,970 $10,227,272 $18,856,307
Ponderosa Pine Mexico Canada Pakistan China Japan Rest of World
$36,153,016 $5,894,340 $1,175,642 $1,069,000 $579,946 $1,681,891
Hemlock Canada China Japan Mexico Taiwan Rest of World
$15,137,040 $3,173,694 $3,145,117 $1,819,874 $1,128,007 $1,651,828
Hem-Fir Mix China Korea, South Taiwan Mexico Japan Rest of World
$9,938,722 $3,840,874 $3,333,559 $969,428 $708,228 $1,212,110
Western Red Cedar Canada $16,339,214 China $1,084,450 Netherlands $311,437 India $205,337 Spain $172,800 Rest of World $298,091
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million. Forest product industry representatives are not relenting too much as exports in previous years well exceeded expectations. However, the Softwood Export Council and its members remain adamant to servicing its existing markets as well as promoting in new sectors and new markets. Leading the way for western softwood species is Douglas fir with $200 million in exports with Japan accounting for nearly 50% of the market. Ponderosa pine held up very well with its export levels only seeing a slight decrease of $47 million to $46 million thanks to Mexico imports accounting for $36 million dollars, up 26% from 2014. Western hemlock and hem-fir saw drastic decreases of nearly 50% from $100 million in 2015 to 46% million in 2014 due to the downturn of its largest export market of China. Europe, Canada, Chile and New Zealand are the major exporting regions or countries for softwood lumber products into international markets. The U.S. is the seventh largest exporter 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 species, 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
January 2016
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. Even in those markets, North American framing systems using 38mm x 89mm (2x4) structural members are 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. In 2014, there were 490,000 wood frame housing starts in Japan, down 12% from 2013. Only 31% of those were 2x4 construction and the remaining post and beam. The 2x4 market is predominately 90% Canadian SPF as Douglas fir make up the majority of post and beam. The vast majority were traditional Japanese metric post and beam timber construction using metric sizes. Structural framing sizes in Australia and New Zealand use 35mm and 45mm by 90mm and 100mm sizes. However, some U.S. softwood producers are successful in these markets by providing metric-sized lumber to compete with other imported products mainly from Europe and Canada. Moving forward, the U.S. softwood exporting industry is committed to promoting in sectors other than new housing starts such as structural wood applications in public buildings, value added markets in finished goods for the burgeoning DIY and remodeling market as well as components for Japan’s small but returning furniture market. 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 destinaBuilding-Products.com
tion 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 the clear and other upper grades, are prized in Europe for wooden window and door parts and 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 relies on 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 DIY 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 and is the leading destination. Japan is now the third largest export market for U.S. softwood lumber, but still the largest market for U.S.-produced Douglas fir. However, with the rise in the consumption tax in 2014, the Japanese market for softwood lumber is down over 30% from a near record year in 2013. On the horizon is another increase in the consumption tax in 2016 but hopefully, that increase will not apply to housing starts. With the majority of tax revenue in Japan geared toward the growing number of retirees, it may be a few more years before major tax reform is applied to the construction sector. China became the number one market for U.S. softwoods with rapid growth over the past five years. Still the largest market for U.S. softwood exports not including Canada, exports to China dropped nearly 35% in 2015 from $190 million to $135 million. With the constant government initiatives to curb the economy and reevaluation of the RMB, China’s economy has taken a dramatic downturn. Building-Products.com
However, SEC is monitoring the flow of the wood processing industry in Asia and have already begun researching and promoting in markets that have taken some of this market share such as SE Asia and Mexico. Mexico is now the second largest market for U.S. softwoods, surpassing Japan. Mexico is one of the export markets that have actually seen growth with exports increasing 4% from $160 million to $166 million. 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.
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SPECIAL Focus on Western Woods
By Western Wood Products Association
Improving housing markets drive lumber demand higher
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INGLE-FAMILY HOME
construction totaled an estimated 589,000 units started through October 2015, up 8.6% year-to-date, based on U.S. Census reports. Meanwhile, multi-family construction (apartments and condos) increased more than 17%. Together, home construction in 2015 will require an additional 1.1 billion bd. ft. (13 BBF in total) compared to 2014. The largest single factor in U.S. lumber consumption, residential repair and remodeling (R&R), is tied directly to
existing home sales. Many people begin major remodeling projects within a year after purchasing an existing home. The National Association of Realtors reported year-todate home sales to be an estimated 4.47 million homes, on pace to finish the year about 7% higher than 2014. That
Respecting the forest, honoring the past, building the future. A nation’s pride you can build on.
Manufacturers of 6 million bd. ft. monthly of • 5/4 & 6/4 Ponderosa Pine Shop • 4/4 Premium Pine Board Programs State-of-the-Art Hewmill & Headrig Mill Contact Sheldon Howell
(509) 874-1163
Yakama Forest Products
3191 Wesley Rd., White Swan, WA 98952 Fax 509-874-1162
www.yakama-forest.com
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increase bodes well for lumber consumption increases due to improvement projects in 2016 and beyond. Lumber consumption in 2015 for home repair and remodeling will be an estimated 18 billion bd. ft. Because the U.S. economic outlook for 2015-2016 is strong, non-housing lumber markets (commercial and industrial construction, pallets/ packaging, furniture manufacture, etc.) are expected to improve as well. Total lumber consumption is expected to exceed 45 billion bd. ft. in 2015 and increase an additional 6% or more in 2016. Western lumber production was expected to reach 13.9 billion bd. ft. for 2015, according to the Western Wood Products Association. The 2016 forecast for western lumber production is on par with 2015 volumes with a slight increase anticipated as new home construction continues to improve. WWPA represents lumber manufacturers in the 13 western states including Alaska. Based in Portland, Or., it compiles lumber industry statistics and provides business information services to mills. WWPA also delivers quality standards, technical and product support services to the industry. Building-Products.com
SPECIAL Focus on Western Woods
WWPA returning to So. Cal.
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WOOD Products Association’s annual meeting is headed to Palm Springs for 2016. Not only is the meeting returning to Southern California for the first time in over a decade, the Westin Mission Hills Golf Resort & Spa, Rancho Mirage, Ca., will also host the North American Wholesale Lumber Association’s Leadership Summit. WWPA and NAWLA have worked together to host two of the industry’s premier events at a single venue. WWPA’s annual meeting March 12-14 draws the western lumber industry’s top professionals, ranging from senior-level executives to sales managers and production personnel. NAWLA’s Leadership Summit March 13-15 is a three-day educational and networking event where attendees learn to grow their business, their knowledge and their network. The annual meeting will get underway with an industry luncheon on Saturday, followed by WWPA Market Services/Export and Quality Standards/Technical committee business sessions in the afternoon. Saturday concludes with the first of two joint NAWLA/WWPA evening receptions. Sunday morning starts off with an industry breakfast that doubles as the WWPA member meeting. In the afternoon, NAWLA and WWPA members can take to the links on the Pete Dye Golf Course featuring both 18- and ESTERN
nine-hole events. The day concludes with the last of the NAWLA/WWPA receptions. Discounted registration fees are available for members who book by
Feb. 19 and for those who would like to attend both the WWPA and NAWLA events. A limited number of hotel rooms are available, with a special WWPA group until Feb. 22.
WWPA returns to Southern California this spring for its annual meeting at the Westin Mission Hills, Rancho Mirage, Ca. Building-Products.com
January 2016
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SPECIAL Focus on Western Woods By Jay Lemke
Industry lends a hand to restoration projects
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agencies, non-profit groups, and lumber industry employees are working together on salmon habitat restoration projects in two North Coast California watersheds. Elk River is an important Humboldt Bay tributary for steelhead, Coho and Chinook salmon. Impacted in the 1990s by a series of storms culminating in the late 1990s’ record setting El Niño event, the Elk River, located just south of Eureka, is the largest tributary to Humboldt Bay. The North Fork Elk River project involved the strategic placement of large redwood logs at two locations near Camp Riggs Johnston Boy Scout Camp on the North Fork Elk River. The purpose of the project is to increase pool habitat through natural scour in and around the wood placements and to capture and sort gravels and sediment which increases spawning opportunities. The structures will also provide for salmon and steelhead refuge during peak winter flows and shelter through summer and fall months. This particular project was completed using then State Assembly Member Jared Huffman’s Coho HELP Act, a streamlined restoration permitting process passed into law in 2012. The Coho HELP Act expedites restoration activities beneficial to endangered Coho salmon. Bob Pagliuco, marine habitat resource specialist with the NOAA Office of Habitat Conservation Restoration, notes, “The North Fork EVERAL GOVERNMENT
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LUMBER INDUSTRY is helping to restore salmon habitats in Northern California watersheds.
Elk River Project enhances 1,000 feet of critical habitat for multiple listed salmonids in the Elk River Watershed consistent with recommended actions in NOAA Recovery Plans. We look forward to continuing to partner with Humboldt Redwood Co. (HRC), Scotia, Ca., on projects that will lead to the recovery of these public trust resources.” Recovery has been ongoing and in recent years Elk River has returned as
January 2016
a productive salmon spawning and nursery stream. The recently completed restoration project is anticipated to further enhance salmon habitat. To the southeast of Elk River, critical off-channel winter habitat was constructed in Lawrence Creek, a tributary to Yager Creek which flows into the Van Duzen River. In addition to providing escape and holding opportunity for adult and juvenile fish during peak flows, the construction of a Building-Products.com
NOAA Fisheries, the California Department of Fish and Wildlife (CDFW), and the North Coast Regional Water Quality Control Board. Implementation of the projects relied upon the combined field work of HRC heavy equipment operators and the CCC. Cost sharing by HRC and NOAA Fisheries contributed to these projects. Nick Simpson, a senior environmental scientist with the CDFW, commented on all three private forestland projects: “Instream restoration projects such as these, in conjunction with environmentally sound upslope management, can play a significant role in accelerating recovery of Coho salmon population in our local watersheds. We applaud these voluntary instream efforts and look forward to continuing in partnership with private landowners engaged in these types of enhancement and restoration activities.” HRC owns and manages approximately 209,000 acres of coastal redwood and Douglas fir forest in Humboldt County for sustainable timber production and habitat conservation pursuant selective harvest forestry policies and a multi-species Habitat Conservation Plan.
RECENT restoration projects have helped return Elk River to a productive salmon spawning and nursery stream.
deep off- channel pool, enhanced with large wood, is also designed to provide cold water habitat during warm summer months for the benefit of juvenile steelhead and salmon. Further south, nine large wood structures were placed in Bear Creek, a tributary to the lower Eel River near the town of Scotia. Like the North Fork Elk River project, Bear Creek also utilized the Coho HELP Act to coordinate project permitting requirements. Andrea Poteet, fish habitat specialist with the California Conservation Corps (CCC), had this to say about the Bear Creek project: “The California Conservation Corps appreciates the opportunity to partner with Humboldt Redwood Company in their efforts to restore habitat in this important Coho and steelhead stream. Habitat complexity and cover for salmonids was improved in Bear Creek by the installation of nine large wood structures. CCC hand crews were able to place and anchor large wood in areas beyond the reach of heavy equipment in seven of these structures. Additional support to this project was provided by NOAA partnership funds. In partnership with the landowners, the CCC has been working to restore watershed health on these streams for over 20 years and we look forward to continuing this relationship that benefits both the environment and CCC members.” All three projects were conducted in consultation with Building-Products.com
Specializing in Softwood Species with an Emphasis in Western Cedars 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
January 2016
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EVANGELIST Marketing By Alex Goldfayn
Selling to executive buyers
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HERE ARE DIFFERENT kinds of buyers, from purchasing people to general managers. But one kind of customer can buy more than any other: executive buyers. I’m talking about the CEOs, presidents and principals. These folks are different than all the rest, and so is selling to them. First, how are they different? They don’t have a lot of time, because they’re babysitting—er, managing—large teams. So we have to make our case and demonstrate our value quickly, impressively, and memorably. Although they are in high-level positions, they hate risk. This is ironic, but most executives spend their days trying to not rock the boat. The less attention they bring to themselves, the better. As such, we must demonstrate to them definitively that we are a safe option. They’re being sold to constantly. And because of their position, they are surrounded by “yes people” who tell them what they want to hear all day. Because of this, we must enter the conversation with them as peers. We must walk into the room as equals. With these kinds of problems, why should we sell to executives, then? It’s quite simple really: these kinds of buyers can buy more than anyone else by a wide margin. You’ll generate a lot more revenue focusing your efforts on executive buyers. That’s them. Let’s talk about you. How do you react to these characteristics? How do you sell to executive buyers? Above all else, demonstrate safety: In the sales process, we must show the executive buyer that many people just like them have done business with us, and were much improved in the process. That is, show your executive buyers testimonials and case studies from people in similar positions. “We’ve found that we bring a huge amount of value to CFOs, just look at these testimonials from our customers in your position.” “Here are three testimonials from people like you who have benefited a great deal from working with us.” Remember, they didn’t get to their current position by screwing up or taking unnecessary risks. Show them how safe it is to work with you by showing them all those who came before them. Be a peer, be an equal. If you walk into the executive buyer’s office thinking about the sale, you’ve already lost the business. It’s gone. Why? Because the executives can sense that. You know how you can tell when somebody really needs the business when they sell to us? It’s not an
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January 2016
advantageous position to sell from ever, and especially not when you’re dealing with somebody in this position. Instead, your main goal for your meeting with the executive buyer should be to help him or her as hard and as impressively as you can. As soon as you can get them to say “I’ve never thought of it that way before,” there’s a great chance this business will be yours. What can help like this? War stories. Examples. Compelling case studies you recount. Interesting customers of yours. Quick thinking that offers a powerful solution to the buyer which you come up with on the spot. Be in the moment. Listen to what they’re saying. Then react with value. Forget that you’re in a sales situation. Think of it as if you’re having a drink with a friend. The approach for selling to executive buyers, now let’s look at finding them. How do you get to executive buyers in the first place? Build a good list. These people are not kept secret. Their names and titles are on websites, LinkedIn and other online databases. Hire somebody to build good lists for you. Send executive value to the list. Periodically, send an article they’ll find helpful. Or a video. Include testimonials from their peers. Feature a case study. Executive value is immediately practical and helpful content wrapped in the safety of examples and endorsements. Aggressively gather referrals from existing executive buyers. Nothing will get you in through the executive’s door faster than a referral from a fellow executive. Ask executives who else they know in a similar position. In general, be bold, be confident, be helpful, be memorable. And have fun, because that’s contagious. These executives need you. – Alex Goldfayn is CEO of revenue growth consulting firm Evangelist Marketing Institute and author of the The Revenue Growth Habit: The Simple Art of Growing Your Business by 15% in 15 Minutes a Day. Visit www.evangelistmktg.com. Alex Goldfayn CEO, Evangelist Marketing Institute www.evangelistmktg.com Building-Products.com
Omak Again Slated to Close
Omak Wood Products, Omak, Wa., will close early this year unless Colville Confederated Tribes can find a buyer to operate the veneer and plywood operations. The facility had been closed since 2009 when, in late 2013, Colville struck a 25-year deal with Wood Resources to operate the plant, in large part to supply Wood Resources-
SUPPLIER Briefs
operated Olympic Panel Products, Shelton, Wa. But Olympic was recently sold to Swanson Group, nullifying Wood Resources’ need for Omak’s output.
Boise Buying G-P’s EWP Unit
Georgia-Pacific, Atlanta, Ga., has agreed to sell its engineered lumber business to Boise Cascade, Boise, Id., for $215 million, including working capital. “Georgia-Pacific is firmly committed to the building products industry. Although the engineered lumber busi-
ness has been profitable and employees have done a great job running safe, productive assets and meeting our customers’ needs, it is not a large part of our overall building products division,” said Mark Luetters, G-P’s executive vice president-building products. “We believe this potential sale to an established player in the industry is in the best interest of our engineered lumber employees, customers and stakeholders.” The sale includes the engineered lumber operations at Thorsby, Al., and Roxboro, N.C.
Dan’s Ace Hardware, Rexburg, Id., is adding a branch in Idaho Falls, Id. Owners Daniel and Michael Moldenhauer also hold Aces in St. Anthony and Lava Hot Springs, Id., and Garden City, Ut.
Murdoch’s Ranch & Home Supply opened a new location in Columbia Falls, Mt. (Jason Prewitt, store mgr.).
Habitat for Humanity broke ground Dec. 13 on a new 10,000-sq. ft. location for its ReStore discount LBM store in Newberg, Or. Beacon Roofing Supply has acquired distributor RCI Roofing Supply Co., with five branches—in Nebraska, Iowa and Pueblo, Co. California Cascade Building Materials is now the distributing CPG’s TimberTech and AZEK
products from its DCs in Sacramento and Fontana, Ca.
Wild Hog Railing, Healdsburg, Ca., has engaged Weekes Forest Products to distribute and act as sales agents for all Wild Hog products in the Midwest. Do it Best Corp . named CertainTeed Gypsum, Malvern, Pa., its 2015 Building Materials Vendor of the Year. CertainTeed has also become the first gypsum manufacturer to offer Environmental Product Declarations (EPDs) and Health Product Declarations (HPDs) for drywall products.
IPS Corp., Compton, Ca., has launched a new online portal for customers and sales reps of its roofing/ plumbing adhesives. Building-Products.com
January 2016
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THINKING Ahead By Warren Reeves, Wholesale Wood Products
The name on the door
A little perspective on consolidation in the lumber industry A NOTHER ARTICLE on consolidation?! We all know consolidation has been a hot topic over the past few years, so how is this article different from all the thousands of others that have circulated through industry publications? Because it’s written from the perception of all of us. Four years ago, the company I worked with for 17 years was being bought out. What did this mean? Where would I end up? Would I have to relocate? What would hap-
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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pen to all of my peers? The questions came faster than I could ask them. I was assured nothing would change and that all of my co-workers—whom I also considered my friends—would still keep their jobs, and it would be business as usual. (By the way, this will always be the textbook answer during any acquisi-
January 2016
tion.) I’m not really sure what other answer I was expecting. Perhaps something like: “Well, half of you are going to be fired, but don’t worry, it might not be you.” Needless to say, this was an extremely stressful time. I understood the reasoning behind the buyout: Business had been historically low, and the light at the end of the
Building-Products.com
A Special Series from North American Wholesale Lumber Association
Why the Increased Consolidation?
Many industries today are dealing with the realities of consolidation for a number of reasons: changing economy, evolving marketplace, advancing technologies. The forest products industry is no different. Here are some of the most common reasons for the consolidation of this industry:
• Access to standing timber • Reduced profit margins • Stricter government regulations • Decreased housing construction
– Source: Great Falls Tribune, State Impact
tunnel looked more like that of a freight train than that of a brighter day. Still, there was something within that said don’t give up. The owners of my company must have felt it too, because at the 11th hour, the deal was nixed. This was my first experience with consolidation. Many of my peers in this industry have coined 2015 as “the year of consolidation,” so I’m not alone in thinking that this might just be the beginning. In the southeastern region of the world (where I reside), I’ve seen pine mills being absorbed on a regular basis. I’ve seen momand-pop lumberyards gobbled up by big chains, and then those big chains gobbled up by even bigger chains! Almost every time I read an industry publication, there’s a news brief about someone I’ve done business with being bought out. From my perspective, not much
Building-Products.com
has changed after the transaction. Most of the time, I’m still cutting and receiving POs to and from the same people. So, what does change? Just the name on the door? I don’t think so. For obvious reasons, I can’t divulge names or companies, but I can share what I’ve been told. What changes is internal pride—the pride that employees had working with a “local” company that had employed their parents and their grandparents and so on. That name on the door was the same name on their kids’ baseball jersey. The same name that helped build many communities over the years. My findings are simple: It’s really hard to let go. Does this mean that the new name won’t be better? Of course not; it’s just new. Most people don’t like change; some even fear it. My advice? Embrace the newness and try starting your own traditions. Who knows, they might be better than the past generations who instilled the internal pride to start with. “The one with the most sticks wins the game.” Maybe. Maybe not. It’s probably an obsolete way of thinking, but I still feel that people do business with people. You would be hard pressed to find another industry that still does million-dollar deals based off of a handshake. This is the world we live in. I haven’t stopped doing business with anyone because the name on the door has changed. As long as they still do what they are supposed to do, then they will continue to have my loyalties. I’ve lost countless hours of sleep due to the concern of consolidation. “If the mill I’m buying from gets bought out, I won’t be able to get my material.” Guess what? It has and I still do. “If my biggest customer gets bought by someone that I’m not ‘in
with,’ then we are going to go out of business.” You got it; they have and we’re still here. I can throw out many clichés on why this is, but it’s simple; We’ve proven to be a viable entity to our vendors, as well as our customers, and no matter the circumstance, we’ve put ourselves in a position of need. This is the secret to success, and I’ve given it to you free of charge! The bottom line is this: Consolidation within our industry is going to continue. I can’t give you the answers to when, where or why, but what I can tell you is that you have to make the most out of your situation—no matter what name is on the door. – Warren Reeves is vice president of sales & marketing for Wholesale Wood Products, Dothan, Al. Reach him at (800) 633-0906.
January 2016
Network & Learn
To learn how other leading industry firms are dealing with the challenges that come with industry consolidation, you are encouraged to attend NAWLA’s 2016 Leadership Summit: Where Industry Decision Makers Grow, March 13-15 at the Westin Mission Hills in Palm Springs, Ca. You will build knowledge on relevant management topics and key trends in education sessions and connect with peers through multiple networking events. You will leave with proven best practices, cost-saving measures and new or renewed relationships with customers, prospects and suppliers. Learn more or register at www.nawla.org.
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MOVERS & Shakers Mark Avery has been promoted to VP of the composite panel business & logistics and Steve Killgore to VP of the solid wood business & marketing for Roseburg Forest Products, Roseburg, Or. The changes create two new business lines—solid wood and composites—by combining the previously independent sales and manufacturing functions for each. Thomas Gennarelli is now director of logistics & planning. Scott Folk, VP of resources, assumes responsibility for Roseburg’s wood chip business and North Bend, Or., terminal facility. Dave Johnson, ex-Boise Cascade, has joined California Cascade Building Materials, Sacramento, Ca., as a product mgr. and lumber buyer. Terry Kuehl, specialty & industrial sales mgr., Sierra Pacific Industries, Redding, Ca., has retired after 36 years with the company. Dan Wolter is now structural lumber sales mgr., and James Danielsen is specialty lumber & millwork sales mgr.
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Dan Saxton has retired after 20 years as mgr. of Metzger’s Do it Best Hardware, White Rock, N.M. Jeff Graham, ex-Plum Creek Plywood, has been appointed sales mgr. for Natron Wood Products, Jasper, Or. Jenifer Johnson, Boise Cascade, Woodinville, Wa., has been promoted to outside sales to Alaska. Nate Bond has been promoted to president of Pacific Crest Building Supply, Ridgefield, Wa. Garret Ippolito is now chief marketing officer with Central Valley Builders Supply, St. Helena, Ca. Brian Miller, president, ProVia, Sugarcreek, Oh., has added the title of CEO, with the retirement of Bill Mullet, who founded the company 39 years ago. Mullet will stay on part-time as chairman of the board. Becky Mancuso has been named VPmarketing & public relations for 84 Lumber, Eighty Four, Pa. Carlos Furtado, Sawarne Lumber, Vancouver, B.C., has retired after 45 years in the industry, the last 30 with Sawarne.
January 2016
Dan Indoe, ex-Continental Building Products, U.S. regional sales mgr. for Maibec. Marci P. Grebstein was promoted to chief marketing officer for Lowe’s Cos., Mooresville, N.C., succeeding Thomas J. Lamb, who has left the company. Erin K. Sellman is now senior vice president of strategy, insights & planning. Marc Brinkmeyer, Idaho Forest Group, Coeur d’Alene, Id., and Steve Zika, Hampton Affiliates, Portland, Or., were newly appointed to three-year terms on the Softwood Lumber Board, along with Michael Case, Westervelt Co.; Hank Scott, Collum’s Lumber; Duncan Davies, Interfor; and James Lopez, Tembec. Bobby Thomas, T&L Distributing, Houston, Tx., and Buddy Faircloth, Cain & Bultman, Jacksonville, Fl., were presented North American Association of Floor Covering Distributors Lifetime Achievement Awards. Heidi Cronin-Mandell, The Cronin Co., Portland, Or., won this year’s NAFCD Growth Award. Paul Lafrance, celebrity TV host and professional builder, is teaming up
Building-Products.com
with Regal Ideas Inc., Delta, B.C., to launch a series of new products this year. The partnership also includes a series of installation videos, event appearances, social media and website collaborations, national promotions, and the launch of the Regal ideas University and Contractor Certification Programs. Phillip D. Bagg has been arrested following an attempted hold-up of Mungus-Fungus Forest Products, Climax, Nv., report Hugh Mungus and Freddy Fungus.
APP Watch
App: One-Key Produced by: MILWAUKEE TOOL Price: Free Platforms: iOS, Google Play One-Key is the first digital platform for tools and equipment. By integrating industry-leading tool electronics with a custom-built cloud based program, the app provides a new level of control and access to information to help get the job done more efficiently. Users can enter, organize and catalog their tools and equipment, keeping critical information at their fingertips. A tool control feature allows users to track tool performance in real time and sync to the cloud to view tool usage and generate professional reports, while a tool reporting feature programs tools around each project, customizing settings for consistent performance. – Download from iTunes App Store or Google Play
Building-Products.com
January 2016
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US L M
uys arker s
US LBM has purchased Parker’s Building Supply, which operates 18 stores in Texas and four Parker’s Builders Supply locations in Southern California. The chain anticipates continuing the Parker’s name and its longtime relationship with Do it Best. Owner Scott Parker will serve in an advisory role, while Chris Miller becomes president.
Sodra Takes Over L Co
XL Co., Lake Oswego, Or., has been acquired by Swedish company Sodra Wood. In its place, Sodra formed a new company, Sodra USA, with Bob Jank as president and Christian Chambers managing the Miami, Fl., office.
Montana
ase for New Ace
A new Ace Hardware store will be opening in Lockwood, Mt., next spring. Owner Skip King hopes construction can begin this fall, but weather will dictate that, as well as the exact opening date, which is projected to be this May. The store will be the fifth Ace Hardware owned by King, who has
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been adding to his family’s legacy of stores since he took over the business from his parents in 1987. The new location will be very similar to its sister store in Zimmerman, Mt. With 17,000 sq. ft. of space, it will accommodate all aspects of an Ace Hardware store, including lawn & garden equipment, greenhouse, plumbing, electrical, tools, household goods, and appliances, plus maintenance and service. The store will also include a post office—another long-awaited amenity for the small town.
MC Finali es Stock Merger
Stock Building Supply, Raleigh, N.C., and Building Materials Holding Corp., Atlanta, Ga., have completed their merger, creating Atlanta-based BMC Stock Holdings. For now, the new company will maintain both BMC and Stock brands, serving 42 metropolitan areas in 17 states, principally in the West and South. The combined company’s common stock will trade on the NASDAQ Exchange under the symbol “STCK.” BMC’s Peter Alexander will serve as president and CEO of BMC Stock, with Stock’s Jim Major as executive VP, chief financial officer, and trea-
January 2016
surer. The board will include five former BMC directors and three continuing Stock directors, and be led by BMC’s David Bullock as chairman.
MS Ac uires
athaway
Gypsum Management & Supply, Tucker, Ga., has expanded its presence in Southern California with the acquisition of drywall and specialty products distributor Hathaway & Sons, Palm Desert, Ca. Operating as Hathaway Building Materials, the firm was founded in 1944 by Fred Hathaway. His youngest son, Allen, has been in charge since 1981 and will stay on as branch manager. Wendy Hathaway will also stay on board to lead administrative. GMS entered California last March when it acquired four-unit J&B Materials, San Diego, Ca.
Sonora ard Undergoes oliday Transformation
Sonora Lumber Co., Sonora, Ca., is once again settling back to normal operations following its annual transformation into a special Christmas Store. While the lumberyard and Ace Hardware store remained open, every
Building-Products.com
December much of the space and energy went into stocking up on wreaths, garlands themed tableware, ornaments, decorations and an artificial tree farm. Situated in somewhat remote Tuolumne County, in the rugged Sierra Nevada, Sonora is the only incorporated town in the county and also its county seat, serving as the central hub for people living throughout the surrounding area. Consequently, the annual Christmas store is an important and eagerly anticipated event. “Christmas is one of our favorite times of the year here at the Sonora Lumber Co.,” said representative Mike Fullaway. Sonora is sister company to Calaveras Lumber, Angels Camp, Ca.
DMSi Integrates M
DMSi Software’s Agility ERP system is now compatible with EMV payment processing. Accurately processing EMV cards will reduce DMSi customers’ liability risk. Under new regulations, businesses that can’t read EMV “smart chips” may be held financially liable for fraudulent purchases. DMSi is among the first in the building materials industry to offer an EMV-compatible POS solution, and brought its first customer live in early November. This success was a joint effort between DMSi and Element Payment Services. “EMV-compatibility is critical for businesses,” said Shelly Price, senior product specialist. “By working diligently with Element, we can now help our customers meet this new standard far ahead of their competitors.”
Annual
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
eferences Updated
Random Lengths is nearing publication of its updated Big Book forest products directory and Year Book market price reference. At more than 808 pages, the 2016 Big Book includes 3,990 comprehensive company listings, a personnel index with more than 15,600 names and company affiliations, and a handy geographic cross reference location index. More than 85% of the listings have changed since the prior year. The 2016 Yearbook provides 11year price histories, composite prices, economic data, production statistics, market activity timelines, and an international section. Both books are available from www.rlpi.com. Building-Products.com
January 2016
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NEW Products
Time-Tracking Software
Wrapping Hardy Products
The TAB Wrapper Tornado line of orbital stretchwrapping machines from TAB Industries allows products to be fed through its wrapping machinery from a chain, belt, roller or other type of conveyor. The wrap line excels in packaging long products such as doors, beams, bars, pipes, rods and channels and can wrap continuously up to an infinite length, theoretically.
NCheck Bio Attendance 3.0 enables easy time and attendance tracking using fingerprint or face biometrics on Android mobile devices or Windows PCs. Because of its easy mobile and offline/online capabilities, the software provides a way for companies and organizations in the building and construction industries to easily track and manage time and attendance for their remote and on-site workers. The software includes support for remote and traveling workers, shift support/logging, user group reporting, and GPS logging.
NEUROTECHNOLOGY.COM (503) 805-7540
TABINDUSTIRES.COM (610) 921-0012
Warmer Windows
EcoLite vinyl windows from ProVia offer innovative performance features for new construction or multifamily builders. The windows come with an Intercept Blackline glazing system, which improves thermal performance and provides less heat loss, warmer glass temperatures, and reduced interior condensation. The windows feature a multi-chambered frame and sash system, and are available in double hung, single hung, slider, picture and architectural shapes. The Sunshield Vinyl frame and sash resist discoloration, warping, rotting, corrosion, denting and rust. PROVIA.COM (877) 389-0835
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January 2016
Full-Size Premium Saws
Dewalt’s first cordless full-size band saw, the 20V MAX* XR Brushless Deep Cut Band saw is designed for mechanical, electrical, HVAC, sprinkler, and general contractor applications. The saw features premium ergonomics, an efficient brushless motor, and the versatility to cut a wide variety of materials. With its magnesium housing and adjustable bail handle and hook, the tool provides users with their choice of orientation for comfortable use. Its brushless motor delivers extreme run-time and cutting speed performance.
DEWALT.COM (800) 433-9258
Building-Products.com
Tie Straps for Tough Jobs Alpine’s LMS Light-Medium Tie Strap Series includes nine new tie straps that resist tension loads when attached to solid sawn or structural composite lumber metal plate-connected trusses, framing members, and wall members.
Straps are made from 18-gauge, mill-certified steel coil, and measure 1-1/4” wide and ranges in length from 9-5/8” to 36-5/8”.
ALPINE.COM
(310) 326-8000
Open in Style
Weather Shield has enhanced its Contemporary Collection of windows and doors with a new flush frame design that puts sash and frame on the same plain, minimizing the exterior profile. The shadow-line frame projects about an inch further than the sash and home exterior, adding depth and dimension. It comes in bi-fold, hinged and sliding doors, and crank-out and push-out casement, awning, direct set, and corner windows. WEATHERSHEILD.COM (877) 493-3199
Corner Bead Aid
Sto Mesh Corner Bead Standard helps create true, straight corners that are resistant to chipping and cracking in StoTherm ci and StoQuik Silver wall systems. Made of a 90˚-angled strip of mesh reinforced with a plastic rail, it provides a cost-effective, easy-to-apply alternative to the process of wrapping corners with mesh reinforcement layers. STOCORP.COM (800) 221-2397 Building-Products.com
January 2016
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LVF Underlayment
Construction Matters
Organized into chapters on the major methods of construction— wood, masonry, concrete and steel, Construction Matters examines specific technologies that experienced major transformations in the last century, or were newly invented. Architectural applications are then analyzed with building case studies that are selected based on an obvious formal relationship between the building’s form and the new type of construction that it incorporates, ranging from prewar designs in the U.S. and Europe to recent projects in Asia. The book by Georg Windeck is set for an April 2016 release.
Simpson Door has expanded its WaterBarrier technology for more than 100 additional door and sidelight designs. With this water-resistive technology, if a homeowner has an opening that will be exposed to the elements, they can still have a long-lasting, warrantied, beautiful wood door, no matter the design or size.
POWERHOUSEBOOKS.COM (212) 604-9074
SIMPSONDOOR.COM (800) 952-4057
Weatherproof Your Openings
ROUGH TIMBERS UTILITY POLES PRESSURE TREATED LUMBER RETARDANT TREATED FIRE LUMBER AND PLYWOOD
MP Global Products is incorporating fibers from discarded plastic bottles in its new acoustic and insulating underlayment engineered especially for use under new luxury vinyl flooring. LEED-compliant and containing 31% post-consumer materials, LuxWalk streamlines the installation of floating and gluedown LVF by smoothing out minor sub-floor imperfections. It also helps retard movement of the finished flooring. It also has a 2.5-mil film barrier to act as a moisture barrier. MPGLOBALPRODUCTS.COM (888) 379-9695
Thermal Imaging
The new M12 7.8KP Thermal Imager by Milwaukee Tool features the highest pixel density in its class and new Dual Sense pixel technology for superior definition of hot and cold details within the same image. The imager provides an affordable solution for predictive maintenance or for troubleshooting applications, taking highquality images that rival more expensive imagers on the market, in a more compact and easy-touse designs. MILWAUKEE.COM (888) 842-9492
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January 2016
Building-Products.com
Updated Decking Collection
WOLF Home Products’ new Captiva Plus Collection is a high-quality, natural fiber-polymer composite made with stranded core technology to create deck boards with superior strength and moisture protection, to prevent warping, cracking and swelling. Designed with natural-looking colors and a woodgrain finish, Captiva is capped with a tough durable resin capstock technology to make it stain and fade resistant. The 1x5-1/2” deck boards come in 12’, 16’ and 20’ lengths.
WOLFHOMEPRODUCTS.COM (800) 388-9653
Free Standing Vanities
Strasser Woodenworks’ new Alki Collection of freestanding wood cabinetry boasts a clean look and diverse design choices to, depending on accompanying fixtures and hardware, add a sophisticated touch to both contemporary and traditional bathrooms. Alki vanities come in three configurations: Essence offers ample storage, combining doors and drawers in 60”, 48”, 42”, 36”, 30”, and 24” widths; Café features an open look, with doors and drawers alongside two to four cubbies in 60”, 48”, and 42” options; and Spa combines door and drawer storage with a full-width open shelf along the bottom in 60”, 48”, 42”, 36”, 30”, and 24” sizes.
STRASSERWOOD.COM (800) 445-0494
888-807-2580 Bend, OR
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re, on lgo m e s l i r h h t La wit e K .co ar he Lars iew Stev ucts o r d T ete erv ea pro l t mp io in the Y ingo c rad of ild n .bu a w erm ww mb isit u v L
Portland wholesalers meet for the holidays Portland Wholesale Lumber Association named Steve Killgore, Roseburg Forest Products, Roseburg, Or., its 2015 Lumberman of the Year at its annual Christmas luncheon. Killgore was honored for his 39 years of achievements in the Pacific Northwest lumber industry, including the length of time and quality of service he’s given to the industry, his contributions to the community, state and country, his support of the PWLA, and his leadership qualities. Held Dec. 1 at the World Forestry Center’s Miller Hall in Portland, Or., the luncheon included a live radio remote broadcast with Lars Larson, regional and national radio talk show host, and gave some members a chance to share their thoughts on various issues affecting today’s industry.
LIVE RADIO remote broadcast with [1] national talk show host Lars Larson (far right), interviewing Lumberman of the Year Steve Killgore
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(far left). [2] Paul Cheatham, Killgore. [3] Kyle McWhirter, Jeff Hoggard. [4] Mike Herrema, Tyler Freres. (More photos on next page) January 2016
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PORTLAND WHOLESALERS Photos by Merchant
PORTLAND lunch (continued from previous page): [5] Wayne Giesy, Mike Foster. [6] Grant Phillips. [7] Tom Gennarelli, Pat Lynch. [8] Bill Childress, Tyson Sands. [9] Susan Falley. [10] Dustin O’Sullivan, Cara
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Blasen. [11] Gordon King, Mike Holm. [12] Mike McCollum, Howard Raff. [13] Joe Griffith. [14] John Murphy, Rodger Seid, Jerry Farley. [15] Gina Parosa, Dave Blasen, Matt Blasen. (More photos on next page)
January 2016
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PORTLAND WHOLESALERS Photos by MEerchant
NORTHWEST CHRISTMAS (continued): [16] Don Lucas, Kim Hill. [17] Mark Mitchell, John Wagenhofer. [18] Matt Vaughan, Jeff Morris, Mark Townsend. [19] Kevin Dodds. [20] Perry Schlitt, Bill Bone. [21] John Bottini. [22] Davy
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Logue. [23] Dan Ettelstein, David McNabb. [24] Jim Adams, Mike Johnston. [25] JT Taylor, Tod Kintz. [26] Sean Coughlin, Annie Montey, Bob Jauk. [27] Troy Mackenzie. [28] Ron Hanson, Gary Pittman. [29] Jeff Tant. [30] David Stallcop,
January 2016
Juliana Ruble, Kendall Conroy. [31] Gunnar Brinck, Ryan Williams. [32] Dave Rainey, David McNabb, Matt Rainey, Ryan Holwege. [33] Allan Hurd, Hector Perez, Rod Lucas. [34] Cam Stevens, Chris Knowles, Brad Mehl. Building-Products.com
WCLBMA GOLF Photos by The Merchant
WEST COAST Lumber & Building Material Dealers Association hosted a golf tournament Dec. 4 at Coyote Hills Golf Course, Fullerton, Ca. Proceeds supported the Wounded Warriors Project. [1] Tyrone Smith, Alisha Simpson, Jeff Miller. [2] Ken Dunham, Jean Building-Products.com
Henning, Charleen Valine. [3] Tommy Hays, Ernie Rodriguez, Raul Soto, Hector Barrera. [4] Damien Simpson, Matt Hayes. [5] Larry Christensen, Chris Johnson. [6] Jason Rutledge, Dave Temple. [7] Ryan Mitchell, Dan Croker, Tom Angel, Daniel Hines. [8] Alex
Uniack, Andrew Kelly. [9] Rex Klopfer, Mike Carey, Luis Rojas, Rick Deen. [10] Mo Shearer, Matt Satterlee. [11] Heath Stai, Paul Corso, Moses Saenz, Kevin Ulibarri. [12] Mike Tompkins, Tiffany Mendoza, Ryan Lauterborn, Dan May.
January 2016
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WCLBMA XMAS PARTY Photos by The Merchant
Thanks to our customers and vendors as we begin our 31st year • Redwood & Plastic Lattice • Dupont Tyvek • Roseburg DuraTemp • TruWood Siding & Trim • FRP • Fir, SYP & Radiata Pine Plywood
• Particleboard, MDF & Hardboard • OSB • Dry Dimension Lumber • Pine Boards • Industrial Lumber • Import Plywood • Salvage & Surplus
4685 BROOKHOLLOW CIRCLE, RIVERSIDE CA 92509
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January 2016
CHRISTMAS CHEER was in the air at West Coast Building Material Dealers Association’s ugly sweater Christmas party Dec. 3 in Brea, Ca. [1] Karen Lewis, Diane Mercer, Barry Schneider. [2] Rick Deen, Mark Huff, Todd Beaman. [3] Bill Sullivan, Mike Carey. [4] Ryan Lauterborn, Melanie Hindi. [5] Gerry Perez, Bill Gaita. [6] Karin Angel. [7] Rick Porter, Tommy Stangl. [8] Steve Mitchell, Louie Mendez. [9] Zoey Staperhorst, Jeff Miller. [10] Lizzie Goldowski, Matt Satterlee. [11] Betsy Bendix, Matt Hays, Jacob Smith, Stephanie Barrios, Endy Flores, Larry Christensen. [12] Paul Corso, Dan Lucero, Don Kavert. [13] Larry Bollinger. [14] Jose Jimenez. [15] Jeff Donahoo.
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WCLBMA XMAS PARTYPhotos by The Merchant
WINTER WARDROBE (continued): [16] Troy Huff. [17] Danny Sosa. [18] Jay McArthur, Natalie Allen. [19] Jason Croy. [20] Hector Barrera, Ernie Rodriguez, Tiffany Mendoza. [21] Ali & Alex Uniack. [22] Ray Magallanes, Mo Shearer. [23] Luis & Caroline Rojas, Alicia Simpson. [24]
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Joe McGuire. [25] Karen McKay, Jason Womack. [26] Steve Schroeder, Jean Henning. [27] Dan Hines, Steve Brown. [28] Esteban Sampayo, Maria Ochoa. [29] Doug Willis, Joey Thompson. [30] Jacqueline Palazzolo. [31] Al Reed. [32] Dan Croker, Tony Campbell, Tom Angel.
January 2016
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ASSOCIATION Update Western Building Material Association will be holding Session 1 of a three-part Leadership Series with Customer Service & Sales Management class. The two-day workshop will be at WBMA’s Kincaid Learning Center, Olympia, Wa., Jan. 26-27. Instructor Bill Sharp will lead the workshop and in addition to classroom content, attendees will tour Simpson Door as well as opportunities to network with industry professionals during roundtable discussions and social activities. There will be a strong focus on providing exceptional customer service. The goal of the session will be to establish a baseline for customer expectations and provide attendees with the right tools to work with others in thier company to increase customer satisfaction.
American Wood Council elected Boise Cascade CEO Tom Corrick as its new chairman, succeeding George Emmerson, Sierra-Pacific Industries. Andrew Miller, Stimson Lumber, is now 1st vice-chairman and Allyn Ford, Roseburg Forest Products, 2nd vice-chairman. New directors are Neil Sherman, LP Corp., and Eric Cremers, Potlatch Corp. National Association of Wholesaler Distributors’ executive summit Jan. 26-28 in Washington, D.C., aims to answer the most crucial business questions that wholesale distributors of all sizes are struggling with. Along with an economic forecast, U.S. election discussion, and other seminars, the summit will help attendees develop leadership ideas and goals to take back to their teams.
Western Forestry & Conservation Association is hosting its 3rd annual conference at Heathman Lodge, Vancouver, Wa., Jan. 28. Themed “Mapping the Course,” the event’s main focus will be timberlands, forest products processing, biomass, and bioenergy issues for 2016. It will include in-depth discussions and analyses on forest products market challenges, opportunities, threats, and issues for 2016 and beyond in the North American West Coast timberland region. Western Pallet Association will hold its annual meeting Jan. 15-19 in Rancho Mirage, Ca. The meeting will feature exhibitor displays, a golf tournament, auction, and addresses from Leanne Seeger on the effects of technology, Ralph Rupert on pallet quality in the 21st century, and NWPCA’s Patrick Atagi with an association update. Builders Hardware Manufacturers Association installed Dan Picard, ASSA ABLOY Americas, as its new president, succeeding Scott James, CompX International. Other new officers elected to BHMA include 1st VP Patricia Yulkowski, Total Door Systems; 2nd VP John Cringole, Overhead Door Corp.; and 3rd VP Mark Bloom, Spectrum Brands. National Association of Homebuilders has amassed 1,300 exhibitors to show their wares at its annual International Builders Show Jan. 1921 in Las Vegas, Nv. This year IBS is being held in tandem with the Surfaces flooring show, Kitchen & Bath Show, International Window Coverings Expo, and Design & Construction Week.
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January 2016
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AT LOS ANGELES Hardwood Lumberman’s Club’s dinner meeting Nov. 12 at the Rib Trader, Orange, Ca., [1] club historian Walter Ralston (left) presented Charlie James (center) with a book documenting his long association with LAHLC. Longtime member Charlie Bohnhoff at right. [2] Walter Maas, Tom Escherich, Dennis Johnston, Stephen Ondich. [3] Bill Fitzgerald, John Mortati, Mark Michie, Marty Fox. [4] Alan Arbiso, Byron Grabinger, Kevin Tranter, Jim Gaither. [5] Steve Arnold, Dan Bohannon, Randy Porter, Deonn Deford. [6] The following week, on Nov. 22, LAHLC held its tennis round robin event at the Anaheim Tennis Center, Anaheim, Ca. Showing up to court: David & Katie Church, Bill Fitzgerald, Leon Richman, Mike Walters, Ellie Mendiaz, John Bateman, Kit Rohm, Stephen Ondich, Dan Bohannon, Paul Edwards.
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January 2016
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IN Memoriam George Kovich, 91, longtime executive with Weyerhaeuser Co., Tacoma, Wa., passed away early last month. In 1937, he emigrated as a teen from Serbia to live with family in Idaho. He was awarded a Purple Heart for his service during World War II. After the war, he attended the University of Idaho and, following graduation in 1950, joined Potlatch Forest. He joined Weyerhaeuser, Klamath Falls, Or., in 1955, as assistant plant superintendent, progressing to plant superintendent; production manager; Springfield, Or., production manager; Klamath Falls branch manager; area manager; manufacturing manager; and by the early 1970s vice president-lumber manufacturing.
He retired in the mid-1980s as regional VP and general manager of the Eastern Oregon Region. In his honor, Weyerhaeuser created Kovich Park on a remote, then-companyowned parcel on the south shore of Shoalwater Bay. James Biggs “Jim” Kurtz, 88, cofounder of Alpine Lumber Co., Denver, Co., died Dec. 3 after a heart attack. As a boy, he’d help out at his father’s company, Independent Lumber, Grand Junction, Co. After graduating in 1950 from Yale University, he spent three years in the U.S. Navy. He then was put in charge of Independent’s Montrose, Co., taking over the main yard in Grand Junction in 1956. He served as president and a director until the company was sold to Boise Cascade in 1978.
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. Deadline: 18th of previous month. Send ad to david@building-products.com or Fax 714486-2745. Make checks payable to 526 Media Group. Questions? Call (714) 486-2735.
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January 2016
In 1983, after his five-year noncompete agreement expired, Kurtz, his sister Francy Lundberg, and brother Bill Kurtz launched Alpine. In 1989, they became one of the first businesses in the state to convert to an Employee Stock Ownership Plan, which helped expand the chain to 13 yards in Colorado and northern New Mexico, three truss shops, three millwork factories, a pre-built stair shop, an engineered wood center, and Rocky Mountain Reload. Kurtz remained on the Alpine board until last year. Joseph Richard “Dick” Jahraus II, 90, former head of Laguna Beach Lumber Co., Laguna Beach, Ca., died Nov. 30. After serving in the Army Air Corp during World War II, he joined his father’s lumberyard full time. He took over management when his father died in 1969. He retired in 1984, and his children sold the yard to Ganahl Lumber in 2001. Mike Joy, 61, account manager at Truckee-Tahoe Lumber Co., Truckee, Ca., died Dec. 2 in Reno, Nv. After earning a degree in forestry, he joined Truckee-Tahoe Lumber in 1986 as a yard customer service representative, working his way up to account manager by 1994. Merrill Gene Lash, 87, longtime Pacific Northwest lumberman, died Nov. 27 in Hayden, Id. After serving in the U.S. Navy and the Navy Reserves, he earned a degree in forestry at Iowa State College, Ames, in 1953. He then began a lengthy career in the lumber industry that culminated with sales manager for Anaconda Forest Products & Sawmill, Bonner, Mt. Harold “PeeWee” Allbright, 75, former owner of Coast to Coast Hardware, Lusk, Wy., died Nov. 20 in Lusk. He and his wife, Marilyn, purchased the store in 1974. They retired in 2001 and sold the business to their son, Terry. Robert K. Hauser, 89, former owner of The Hauser Hardware Store, Penn Valley, Ca., died of stomach cancer Nov. 28 in Sutherlin, Or. He opened the store in 1963, shutting it down when he retired in 2006. Building-Products.com
ADVERTISERS Index Allweather Wood [www.allweatherwood.com] ...................Cover II AZEK [www.azek.com].....................................................................7
DATE Book Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend. American Fence Assn. – Jan. 12-15, FenceTech/DeckTech, Music City Center, Nashville, Tn.; www.americanfenceassociation.com.
Bear Forest Products [www.bearfp.com].....................................52
Los Angeles Hardwood Lumberman’s Club – Jan. 14, meeting, Heroes, Fullerton, Ca.; www.lahlc.net.
Bennett Lumber Products [www.blpi.com]..................................29
Do it Best Corp. – Jan. 15-16, winter conference, Hotel del Coronado, San Diego, Ca.; www.doitbestcorp.com.
Capital Lumber [www.capital-lumber.com]..................................43 Columbia Vista Corp. [www.columbiavistacorp.com] ................27
Western Pallet Assn. – Jan. 15-19, annual meeting, Rancho Las Palmas Resort, Rancho Mirage, Ca.; www.westernpallet.org.
CT Darnell [www.ct-darnell.com] ..................................................37
Guardian Building Products– Jan. 16-17, dealer show, Paris Hotel, Las Vegas, Nv.; (800) 569-4262; www.guardianbp.com.
Deck Supply Warehouse [www.decksupplywarehouse.com]....19 Fiberon [www.fiberondecking.com] ...............................................5 Fontana Wholesale Lumber [fontanawholesalelumber.com].....54 Grabber Construction Products [www.grabberman.com]..........40 Huff Lumber Co. [www.hufflumber.net] .......................................45 Humboldt Redwood [www.getredwood.com].....................Cover II J&L Heat Treating Service .............................................................47 Jones Wholesale Lumber [www.joneswholesale.com] ..............49 Keller Lumber [www.kellerlumbercompany.com] .......................54 Kop-Coat [www.kop-coat.com] ...........................................Cover III Maze Nails [www.mazenails.com].................................................21 Mendocino Forest Products [www.mfp.com] .....................Cover II Mid-Coulmbia Lumber [www.mid-columbialumber.com] ...........42 Norman Distribution Inc. [www.normandist.com].......................55 North American Wholesale Lumber Assn. [www.nawla.org] .......8 Parr Lumber [www.parrlumberchino.com] ..................................43 Pelican Bay Forest Products [www.pelicanbayfp.com]..............47 Potlatch Corp. [www.potlatchcorp.com] ......................................31 PPG Architectural Coatings [www.ppgac.com]...........................15
International Builders Show – Jan. 19-21, sponsored by National Association of Home Builders, Las Vegas Convention Center, Las Vegas, Nv.; (202) 266-8610; www.buildersshow.com. National Kitchen & Bath Association – Jan. 19-21, annual show, Las Vegas Convention Center, Las Vegas, Nv.; www.nkba.org. Surfaces – Jan. 19-22, Las Vegas, Nv.; www.surfaces.com. Black Bart Hoo-Hoo Club – Jan. 20, industry night, Broiler Steakhouse, Ukiah, Ca.; www.blackbarthoohoo181.org. Humboldt Hoo-Hoo Club – Jan. 21, annual crab feed, Eureka Inn, Eureka, Ca.; (707) 601-9128. BC Wood – Jan. 22-24, BIA Hawaii, Honolulu, Hi.; (877) 422-9663; www.bcwood.com. Western Building Material Assn. – Jan. 26-27, Emerging Leaders Workshop, Portland, Or.; (360) 943- 3054; www.wbma.org National Association of Wholesaler-Distributors – Jan. 26-28, executive summit, Fairmont, Washington, D.C.; (202) 872-0885; www.naw.org. Western Forestry & Conservation Association – Jan. 28, Western Forest Industry Conference, Heathman Lodge, Vancouver, Wa.; (202) 872-0885; www.westernforestry.org. Budma 2016 – Feb. 2-5, Poznan, Poland; www.budma.com. Northern Utah Home Show – Feb. 5-6, Davis Convention Center, Layton, Ut.; (888) 433-3976; www.acshomeshow.com. Los Angeles Hardwood Lumberman’s Club – Feb. 11, pool tournament, Danny K’s, Orange, Ca.; www.lahlc.net. Colorado Springs Home & Landscape Expo – Feb. 12-14 Colorado Springs, Co.; www.homeshowcenter.com.
Roseburg Forest Products [www.roseburg.com].............Cover IV
American Architectural Manufacturers Assn. – Feb. 14-17, annual conference, Huntington Beach, Ca.; www.aamanet.org.
Simpson Strong-Tie [www.strongtie.com]...........................Cover I
North American Wholesale Lumber Association– Feb. 18, regional meeting, Portland, Or.; (800) 527-8258; www.nawla.org.
Siskiyou Forest Products [www.siskiyouforestproducts.com] .41 Snider Industries [www.sniderindustries.com] ...........................53 Sunbelt Racks [www.sunbelt-rack.com] ......................................37 Swanson Group Sales Co. [www.swansongroupinc.com].........25
International Roofing Expo – Feb. 17-19, Orange County Convention Center, Orlando, Fl.; www.theroofingexpo.com. Mountain States Lumber & Building Material Dealers Assn. – Feb. 18, products expo, Denver Mart, Denver, Co.; (303) 7930859; www.mslbmda.org.
Unity Forest Products [www.unityforest.com] ............................35
True Value Spring Reunion Market – Feb. 19-21, Houston, Tx.; (800) 654-1480; www.texashomeandgarden.com.
Universal Forest Products [www.ufpedge.com]..........................23
San Jose Home Show – Feb. 20-21, San Jose McEnery Convention Center, San Jose, Ca.; www.acshomeshow.com.
Utah Wood Preserving Co. [www.utahtreatedwood.com] ..........46 Vaagen Bros. Lumber Inc. [www.vaagenbros.com]....................28 Versatex [www.versatex.com].........................................................3 Western Forest Products [www.westernforest.com] .................33 Yakama Forest Products [www.yakama-forest.com]..................32 Building-Products.com
Oregon Logging Conference – Feb. 25-27, Hilton, Eugene, Or.; (541) 342-2000; www.oregonloggingconference.com. Orgill Inc. – Feb. 25-27, dealer market, Orange County Convention Center, Orlando, Fl.; (800) 347-2860; www.orgill.com. North American Wholesale Lumber Association- Feb. 29- March 3, Wood Basics Course, Mississippi State Univeristy, Starkville, Ms.; (312) 321-5133 www.nawla.org. January 2016
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FLASHBack 65 Years Ago This Month
J ust
as the U.S. led United Nations forces in the Korean War, The Merchant Magazine in January 1951 alerted the lumber industry on how it could do its part. In fact, the nation’s 26,000 retail dealers boasted they had enough yard capacity to store more than a full year’s production of lumber “in case stockpiling becomes desiable for defense purposes.” At the time, retail dealers could accommodate a total of 70 billion bd. ft. in their yards, had sufficient trackage to permit 103,000 freight cars containing 2.5 billion bd. ft. to be unloaded at one time, and operated more than 88,000 trucks, tractors and other mechanized handling equipment; 9,552 planing mills; and 1,148 dry kilns. In other news: • Five prominent lumbermen were appointed as “special consultants on lumber” to U.S. defense agencies. Harry T. Kendall, chairman of the board, Weyerhaeuser Sales Co., St. Paul, Mn., was named a special consultant to the Munitions Board, the Defense Department policy group that coordinated the procurement, production and distribution plans of the military services. Four others—C.A. Bruce, executive VP, E.L. Bruce Lumber Co., Memphis, Tn.; Swift Berry, former-
ly manager, Michigan-California Lumber Co., Placerville, Ca.; John Camp Sr., Camp Mfg. Co., Franklin, Va.; and Charles W. Ingham, Fischer Lumber Co., Marcola, Or.—were tapped as advisors to the Forest Products Division of the Commerce Department’s National Production Authority. • The Celco Corp., Santa Monica, Ca., introduced a new washable lumber crayon. “Crayoff Lumber Crayons” were made with a patented soap base that could be wiped off with a damp cloth without marring the appearance or surface of the wood. Previously companies had to use sanding equipment to remove the grease marks, which could then melt into the wood. The crayons were offered in eight different colors. • Paul Euphrat, the younger son of wholesaler M.L. “Duke” Euphrat, joined his father’s firm, San Francisco-based WendlingNathan Co., initially working out of the Portland, Or., office to buy lumber from the Northwest mills. Previously Paul had been with San Joaquin Lumber Co., Stockton, Ca., after serving as a Navy Air Corps gunner during World War II. Under the Euphrats, Wendling-
LAUNDRY ROOMS—some evidently the size of show kitchens—were a new sales opportunity in the early 1950s.
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JANUARY 1951 issue of The California Lumber Merchant spotlighted Southern California wholesale distributor Western Hardwood Lumber Co. Its old L.A. warehouse is now a Guess factory outlet store.
Nathan became The Merchant’s most reliable original advertiser, advertising with us at least once every year from 1922 until 2000. Paul died in 2013 at age 86. • E.S. Brush, San Francisco, Ca., added a retail yard at Pier 92. • Long-Bell Lumber Co. began producing modular kitchen units at its mill in Longview, Wa. The units featured clear Douglas fir panels with shelves of plywood electronically welded to sturdy fir frames. Dealers were provided with newspaper ad slicks, radio spots, news stories for the “homemaker’s page” of their local newspaper, catalogues, envelope stuffers, and detail drawings to use as sales aids. The kitchens were distributed in either assembled or knocked-down packages and could be shipped in mixed cars of lumber. • To help retailers sell more wood to home builders, readers were briefed on the growing trend of home laundries. “Laundry specialists” offered tips on planning the perfect home laundry, such as properly arranging appliances, counters and cabinets for efficient “assembly line washday operations.”
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