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r How much of an effect has the phase-out of CCA treated products had on plastic/composite decking demand and production, and what do you see happening when the CCA ban hits in 2004?

Goes (Nexwood)

"With the phasing out of CCA, we expect to see a variety of altemative treating methods that may or may not perform as well as CCA. As a result, homeowners are going to be looking tbr decking alternatives that outlast traditional Iumber, and new treating methods. By 2004 we think that dealers and deckbuilders who haven't been exposed to composite decking products are going to find themselves scrambling for an alternative to treated lumber."

Brennan (TimberTec'h)

"The effect it's had is making people investigate other options. A lot of yards are still selling CCA, and it sounds like many will until the last minute. We didn't see much effect in 2002,but expect to in '03 and especially in'04."

Gauthier (UFPI)

"The robust sales growth in composites began long before any perceived safety concerns occured regarding CCA, so we don't see the CCA ban as a significant driver of composite sales. Demand for CCA is still high, and we predict will remain strong for its successor preservatives in 2004. Since the new chemicals will drive up treated lumber costs by anywhere from l5-25%o, however, that may help steer some consumers-for whom price is the primary decision driver-toward composites."

Furtner (W ey er hae us er )

"It is very difficult to quantify the impact of the treated lumber situation on composite decking, especially when ChoiceDek sales growth is as strong as we have seen recently. I feel that the confusion that generally accompanies the phase out of CCA combined with the uncertainty about the cost and reliability of alternative treated products will very likely result in additional growth in the sales of composites. The new treated products are more expensive than those being replaced. The cost differential between treated and composites is lessening."

Long(Kadant)

"Certainly the phase-out from a public awareness point of view will give us some additional opportunity, but, keep in mind that all of the treaters are converting to other chemicals, so they will still be around and will continue to hold market share in the deckine arena."

Shaner (Epoch)

"In part, it depends on who you listen to. There is general agreement that, as the price gap closes, more people will switch to composites. Price is important, but it is too simple an excuse for not converting sales from wood to composites. There is another dynamic involved and it's fundamental. Face it, Americans have never been afraid of paying more for quality. But how America defines quality is a question we, as an industry, need to ask. The stakes are higher than a few years ago. Today, low maintenance and high performance is what gets you into the game not price."

Fred Costello ( Fiber Compositesl F iberon composite )

"Difficult to measure. It can only strengthen the trend toward wood substitutes over time."

Long(LP)

"It will have a significant effect. Consumers and municipalities are already concerned about the potential environmental and health effects of CCA treated lumber and are seeking alternatives. And while there are alternative treated wood products they are more expensive than CCA treated wood. This drives the price of the wood products higher and closer to composite wood."

Grohman (CorrectDeck)

"Pressure treated wood is the 800-pound gorilla. Yet, CCA treatment is rot preventive. It doesn't do anything to warping, cupping or checking. In l0 years-or less-it's time for a CorrectDeck."

Murray (Trer)

"Many lumber distributors and dealers have already begun to offer alternatives to CCA-treated lumber, in anticipation of the ban. We think that the phase-out of CCA has caused many contractors and homeowners to consider alternatives. Anecdotally, we've seen more of our TrexPro contractors doing remediation, also known as 'tear-offs."'

Pruett (CertainTeed)

"The ban of CCA has only accelerated the acceptance and growth of wood plastic composite decking. And, it's helped support our price point because ACQ and other alternatives are l07o to 20Vo more expensive."

Morin (CP1)

"Some of the players are making a big deal out of it, but ours is a premium product that's less likely to compete with pressure treated wood. We're another upsell on composite decking. Certainly, the change will positively affect (plastic deckiag) deman4 but treated wood still has to be used for the understructure."

I :, l$f*mmen (Dayton) this point, we have not seen a dramatic qpqwing

''tolthe CCA ban. [t allows for big poinit,''it:l.'fitt t is stil being used more than we qq!id.p

Wier (Kroy)

"There are a couple of things going on here. CCA has been very good for composites, particularly in marine applications. Surface deck board is on the rise because of this. Everyone is scrambling right now to come up with a load bearing composite piling and substructure for the remainder of the deck system. Most thought the answer was ACQ, however, ACQ may attack galvanized hangers on docks, requiring the use of expensive stainless steel hangers. Nobody has the perfect answer...yet! Kroy is actively on the hunt for the right combination of products. So are others. When the products are identified the market for marine and other EPA effected areas is so big, I'm not sure we can measure the size of the market."

Goode (Mikron)

"Absolutely it has had an effect, but not a striking effect. It's the perception; building material companies are staking their claim to fame by advertising their eco-friendliness. Dunn Lumber in the Seattle area has done a great job spreading the word and creating a captive market. The CCA ban will add to the momentum."

Robinson (Ptastic Lumber Co.)

"We expected the CCA backlash to hit last season, but it had little effect. We expect to feel it strongly this season, as the media begin to track the story more and awareness grows."

Moseby (DuraBord)

"We feel that this will help the sales of plastic lumber and composite lumber. Treated lumber accounts for 85Vo of the decking market, with cedar/redwood 10Vo and plastic/ composite 5Vo. We expect plastic/composite products will grow 50Vo per year. We also feel that plastic products will grow at a faster growth rate than composites as the endusers becomes more educated to the advantages of plastic."

',].

worked with pressure tr€aters?

Long(Kadant) o'We cufrently distribute Geodeck through four different treating companies in nine different locations, throughout the U.S. Their sales are growing at the $q&e pace as our forest product and building material whole$dg,8t:?,,'.,,,;.,,,,',',';,,,,:,,1.,,,:,,

Gauthier (UFPI) and have chosen to embrace, rather than fight, the evolution in both alternatives technology and consumer tastes. UFPI treats lumber, distributes several brands of composite decking and manufactures its own brand."

"Many pressure treaters see m@t,, ',. l oS u*ut ., ,,,,'1t,,t,.,:l,:l:,,,11,::,,::,:llllli:,lll:llllll:ll,llill,llllllll,l..

Moseby (DuraBord)

"I have had numerous talks with treaters, and they have shown interest in our products. There is a lot of confusion as more composite manufacturers come on line so it will be a learning process for some of them to understand the differences between the various composite lumber products and plastic lumber products."

Brennan (TimberTechl

"Yes, we have been working with treaters for several years. I think they saw composites eroding into their business and also a way to make more margin than with wood."

Furtner (Weyerhaeuser )

"We supply a lot of lumber products to treaters. It makes complete sense that treaters may want to supply composite decking with their treated lumber products. Remember, composite decking products still use treated or other decay resistant framing forjoists, girders, and posts."

Goes (Nexwood)

"Nexwood has not worked with pressure treating com: panies. We try to focus on a clean distribution channel to dealers/lumberyards through wholesalers/distributors."

Shaner (Epoch)

"No we haven't, though we have had conversations with several over the past few

Murray (fr-exi

"As more and more consumers recognize the benefits of alternatives to wood for their decking needs, it is natural that more businesses will take notice and try to supply that need. Since tlte combination of a pressure treated framing system and alternative decking surface and railing makes an ideal deck, it is not surprising that wood treaters are distributing the complete package. Trex is not currently distributed through any fteaters.

Wier (Kroy)

"Yes, many wood treaters are beginning to stock alternative products to wood. More for their own long-term preservation as wood becomes less desirable over the next l0 years. It will be a huge conversion. Kroy has not worked with pressure treaters, however we have been approached by very IXge deck and dock builders who are the treaters' direct customers."

Long(LP)

"We have not."

lCosteilo (Fiber Composites) ,,:.,,:;,.1:;.,,,1;;. 't' do so much business with Home Depot, they like that we are distributed through sonre of the largest pressurg treaters::Sreat Southern, Rocky Top, MacFadand Cascade-because they're at the stores all the time."

"New, late entry manufacturers find that traditional lumber and building materials distributors are already carrying at least one composite and are not available to them. Treaters, who are losing market share to composites, are the only viable distribution channel remainiig to these smaller manufacturers beeause of theii ability to topJoad regular deliveries to the retail yards."

Stammen (Dayton) at your company?

"We have not worked with pressure treaters; however, we have seen the same with the larger lumber dis,tfibdtors opening their doors to plastic/composites."

Robinson (Plastic Lumber Co.)

"We are a regional decking manufacturer and focusrolt small distributors that can sell the added value of plastic as well as educate homeownerq, and gont S on pioper installation. We have not devel$pd a relationShip with any pressure treaters."

Murray (Trey' ,:,,r,:1,,,,,,r, ':rri::t:i:'. r' :r'rl

"Last ye.qr, Trex ,changed its product nar_ae to Trer.'.:,, Decking and Railing, to emphasize its ful Lng,of,railin$,1,;, components. This railing component line continues to expand in20F'3, with sc*er€l new idi g producti:rdr6o*t at the International Buikl$$'Show. A thinner balus-ter pro- ' file will be inroduced in all five Trex colors. And, a beauti: fully crafted. new style of chamfered handrail, along with a pyramid-style post cap and. arFost ski$to:1fitish:O$ttg,'bace,' of the railpost will be o&iM.,,in Zml;,,In'eOOZ, , a deep lan color that lightms only slightly, was added.'ll LoiESraaantl ...,,,,rll;trr::t,rt:'.'.,,

"We are adding several r-q lfup docg{1to the,Geti line, including a decorative pstrlliap and,$,@, as well as a fascia,board and st$ter frim pieee for our T&G deckirr$il , ,'., Grohrnan (CorrectDeck)

"\Me have introduced the CorreglQech.&i!*ure Series, a 'groove-and-groovei,deck badid that f*rfires a hidtlert fastener:gyetenr and a,]guick, easyiastallation method.'l,,,,,:;;:;,,.:

Brennan (TimberTech)

"We just introducqd a deeoraiive rail,lgtsiem, ihe; Ornamental Railing S , in '$ l',and 8-ft. kits, in fow colors-qq{d, gray, ieil.wood and natural."

,Fu*ner (Wiyerhaeuser)

..;.111.1;,.... ,, ',' ll,l.,.

o'We just introduced the new ChoiceDek,lrtrlxorative. Handrail line,,of products Our handrail has been'fully test-

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