LMA Convention

I AKE TAHOE, Nevada, provided ba picturesque setting for the recently concluded 38th annual convention of the Lumber Merchants Association of Northem Califomia.

Forecasts of increased prices and tight supply across a wide variety of lumber and building material items were advanced by a manufacturer/ distributor panel. Discussion moderator Bob Mullen of Armstrong Cork Co. predicted a commercial construction level at its highest point in four years for 1978 and a momentum that should carry through strongly the rest of the yeu. 1979 was seen as a slower year for housing, but still healthy.

Steel shortages and an urging to buy now to avoid higher prices later was voiced by panelist Ron O'Connor of Pacific Steel & Supply. Bob Babicky of Lumber Dealers Materials Co., now a Palmer G. Lewis Co. subsidiary, forecast a short supply situation, accompanied by rising prices, for roofing, inzulation, drywall and gypsum products. He saw no chance of completely catching up on supply problems during 1978.

A 2Vo increase in some lumber prices was put forward as a possi-

C0FFEE bility by Gordon Saunders of Lamon Lumber Co., caused in part by a shrinking supply base, strong demand and increased transportation costs. He noted that 16 Westem sawmills had closed through April of this year.

Bennett, Bob Butcher. (21 Harry Mendenhall, Oick Snyder, Joe Mayfield. (3) Homer Hayward, Jerry De0ou. (4) Bruce Pohle. (5) Bob Babicky, Don Ward. (6) Larry Keller, ''Curley" Rowley. (7) Ted Schoen, Herb Eaton. (8) Bill Hughes, Jim Heick. (9) Jim Webber, Joe Delappe. (10) Tom Lampe, Gary Johnson. (ll) Vince Fischer, Bob Creasy, John C. Stansfield. (12) Phil Torres, Paul Ward, Paul Herrfeldt. (13) Barbara and Oave Hicks.

"Definitely higher lumber prices until Labor Day," was the prediction of panelist Craig Gaffney, Bonnington Lumber Co. Fewer mixed cars will be available, he suggested, as well as counseling, "Be friendly to your banker and buy some lumber soon."

Simpson Timber Co. executive Len Viale wrapped up the forecasting by prognosticating increased building in 1978, more raw material shortages with strong market demand and prices for the balance of the year. As did the other panelists, he urged caution by September as a fall off in demand may occur. "A very good year," he concluded.

A report was given at the convention on LMA's new credit union by Gordon Knott of Yosemite Lumber Co. LMA received its federal charter for it in January of this year. Believed to be unique, due to the wide geographic area it covers (most credit unions function in a single town)., it makes participation available to all

Story at a Glance

Lumber and building material dealers from Northern California and Western Nevada hear predictions on supply and prices LMA's new credit union Herb Eaton elected new president.

LMA members' employees in LMA's California and Westem Nevada area who voluntarily purchase $5 shares.

A non-profit organization, it is strictly controlled by federal guidelines regarding loan limits, guarantees and operation. Knott praised LMA's hardworking exec. v.p. Harry Mendenhall for his pioneering efforts in wading through the federal paper work needed to establish the credit union.

Member companies can use the existence of the credit union as a management tool that can be made available to employees to aid them in establishing a savings program. It was noted that it was also one more benefit that could be advanced by management to counter labor appeals to join a union.

The credit union currently has 74 members, approximately $52,000 in assets and has begun to make a few selected loans. It is owned by everyone with shares in it. Employees must be employed by the LMAmember company for at least six months before becoming eligible to purchase shares.

A run-down on the activities of the national-the National Lumber and Building Material Dealers Asso- ciation-was given by Dick Snyder, the exec. v.p. of the 15,000 member, Washington, D.C.-based organization.

NEW & 0LD, presidents, that is (1) Herb Eaton, Bill 0berholser. (2) Jim Romeri, 0ave Ponts. (3) Paul Ward, Tom Hogan, Bill Johnson, Howard Graulich. (4) Art and Bonnie Bond. (5) Judy and Bob Shannon, Bob and Kathie Patterson. (6) 0rv Eastman. Elmer Lewis. (7) Dick Cross and his golf shirt prize; Chal Cross. (8) Gordon and Jean Saunders, Breezie Cross. (9) Milton and Pearl Miller, Chris and Bob Close. (10) Bud Robey, Bob Schlotthauer, Steve Hedstrom, Bernie Barber. (11) Stuart Mendenhall, Don Watkinds, Robin Driver. (12) Merle Mensinger, Bud Spencer. (13) lva Strouss, Helen and Larry Hansen, Clyde Strouss.

Noting current conditions, Snyder said there "has never been more need for committment to and participation in an industry association than ever before." He reprised the activities of the Government Affairs Division of national as well as the other half of the association, the In-

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