Keith Brown Gompletes Planned Closures

Keith Brown Building Materials, Salem, Or., says it has completed its planned consolidation, merging some of its close proximity yards into regional contractor service centers and closing other underperforming yards in non-core market areas.

Six months ago, Keith Brown operated l9 lumberyards and two discount building materials outlets. The chain now consists of l3 lumberyards and the two discount outlets. Yet the 30Vo decrease in yard count resulted in only a l57o loss in sales revenue.

The cut-backs began in October, with the consolidation of yards in Porterville and Exeter, Ca., into the company's first regional contractor service center in Lindsay, Ca. In January, a smaller Woodlake, Ca., yard was folded into a regional contractor service center in Dinuba, Ca.

In recent months, the chain has closed stores in Ashland and Grants Pass, Or., areas now served by the larger Medford location, and Newman, Ca., now served by the regional center in Empire, Ca. Keith Brown also shuttered yards in Oregon

City, Or., and Enumclaw, Wa.

"Two years ago when we purchased a large number of the Copeland Lumber operations in Oregon and California, we knew we had big challenges at some of the locations," said c.e.o. Brad Pence. "After extensive efforts to improve performance of these yards with unsuccessful results, we are now focusing on growing our regional contractor service centers in our core market areas. We are confident we will be able to continue to provide the professional service, quality building materials, and on-time deliveries our customers expect from us at our remaining centers."

With the departure in January of president Jim Coon, independent consultant "C.J." Neil Murphy has been implementing the consolidations.

Weyco Sells Wa. Tree Farm

Weyerhaeuser Co. has sold its Snoqualmie Tree Farm to a timberlands investment group, ending what many hoped would be a nationwide model for land preservation.

Boston-based Hancock Timber Re- sources Group acquired the 104,000acre farm March l0 for $185 million.

Last year Weyerhaeuser agreed to sell the tree farm to Evergreen Forest Trust, a group of investors who planned to preserve 20Vo of the land and continue sustainable logging on the remainder.

What had peaked interest in both timber and environmentalist circles, however, was that the deal was to have included a conservation easement against future residential development. The tree farm sits in the Cascade foothills, covering two of the state's most densely populated counties, prompting many to see the deal as a way for loggers and conservationists to unite against suburban sprawl.

Evergreen Forest Trust officials say the deal didn't go through because they failed to get approval from Congress to finance the transaction with tax-exempt bonds.

For now, Hancock will continue logging operations and consider proposals to set some land aside for preservation.

Proceeds of the sale will go toward shrinking Weyerhaeuser's $13 billion of debt.