PffiMLOMBERSALESARE

Cash In On This Growing Catecory Of Profitable Business

Pressure treated wood is coming on strongl Lumber merchants who have initiated aggressive stocking and merchandising programs report outstanding sales of treated wood for decks, fences, retainina walls. etc.

DO.IT.YOURSELFERS. REMODELERS. LAND. SCAPERS A CONTRACTORS

These active markets know pressure treated wood can safely be used in direct ground contact. Materials such as posts, Iandscape timbers, deck supports, poles and substructures can mean new business for you. Pressure treating permanently locks preservative chemicals deep into the wood fibers. Levels of treatment are identified by the quality control marks of the American Wood heservers Bureau. Wood marked LP-2 is for use above ground and LP.22 is designated for wood in direct ground contact. To be sure, it is recommended that all wood intended for outdoor home .A cnouND use bear the LP-22 mark.\Z"?|-t#t

CONSUIV\ER PROMOTION HITS HIGH GEAR

WWPI's continuing aggressive promotion campaign in magazines, newspapers and direct mailings is telling and selling millions of western home-owners on treated wood and its benefits. t3 LongJasting durability

! Money-saving economy n Ready availability n Ease of Maintenance ! Beautiful appearance. Get ready for sales to go OP when you offer pressure treated wood.

Industry Told "Get With lt"

If companies that supply products to the housing industry are to succeed in the future, they must keep abreast of the changing demographic, sociological and technological patterns occurring in the country today and the implications of those changes.

So stated Gary H. London, vice president of The Goodkin Group, a real estate research firm, at the 2lst annual meeting of the Wood Moulding and Millwork Producers Association (WMMPA) held recently in San Diego.

As a result of movements at work in the nation today, London recommended four courses of action for suppliers to the housing industry:

(1) Increase product and marketing emphasis to the rehabilitation and remodeling market, based on such factors as the return movement to older homes and the tendency of families to remain in the same house longer.

(2) Emphasize high end products. "The taste for quality products will increase in both new and remodeled homes," he stated. "Relatively af- fluent, small families will not want a large house with minimal amenities. Rather, they will want a small house with lots of amenities."

(3) Begin thinking about changing the design emphasis of some products. "With the advent of instant communications and electronic technology, the home of the future will be the office of the future," he said. "And, as people spend more time at home, they will want amenities to enliven the environment in which they will be spending a major portion of their day,"

(4) Emphasize a commitment to improving the distribution and marketing of products. The reason, according to London,is that consumers will be placing more emphasis on the ease and convenience with which they can procure products.

G-P Formaldehyde Standards

Georgia-Pacific Corp. has announced improvements in its standards for formaldehyde emissions for a number of its manufactured wood products, and establishment of emissions standards for other products not previously covered by earlier standards. The new standards apply to products manufactured by the firm containing urea formaldehyde resin binders.

G-P has begun labeling these products or their shipping invoices with a statement warning of Possible human irritation which may result from exposure to formaldehyde emissions.

Involved products include prefinished plywood mobile home paneling, particleboard mobile home decking, medium density fiberboard, panelboard, hardwood plywood wall panel blanks, industrial particleboard, particleboard underlayment and prefinished wall paneling.

Voluntary establishment of the standards and warning labeling has been done as a service to customers and the consuming public, according to Stanley S. Dennison, executive v.p., building products for the company. "These new standards are part of our continuing efforts to ensure that the public receives the best products available," he said.

Tower lntroduces MRA Bill

Legislation introduced b1' Senator John Tower of Texas u'oLrld ntake saling for or bu,v''in-e a honte much earicr lor ta\ na\ing .Anrcricun..

The Nlortgage Retirement Account (MRA) Act ol 1983 (S. 105 l), a new retirement tar-defered vehicle, was introduced in the Senate on April 14. Fernand St. Germain has introduced companion legislation (HR 2567) in the House of Representatives.

An MRA would be open to anyone who qualified for an IRA account and the contribution levels would remain the same according to a review of the legislation prepared by the National Lumber and Building Material Dealers Association. They have been working with Sen. Tower to gain support for the bill. P.B. "Bud" Howe, NLBMDA pres , calls the concept " a modern innovation in housing finance that helps homebuyers, builders, lenders, realtors and material suppiiers without requiring Federal expenditures. "

For additional information on the bill see the Editorial on p. 6 and an arlicle on p.6) in the March issue ofThe Merchanted.

Step On Toes GentlY

Promoted to a new supervising position? Be careful not to initiate resentment from your crew by criticizing your predecessor for his faults and poor performance of the department. The crew may have worked hard to reach eoals that were not achieved.

Housing Market Coming to Life

A strOng housing reco\ e r) \\'aS projccted for the nert lE ntontirs br' panclists at the semi-arnnual economic 1'ctrecast conf'ercnce ot thc National Association of Hontc Buildcrs although rhe! sec a danger of the indusrrl talling back inro recession at'tcr l9U4 if thc projccrcd $200 billion l'ederal del'icit is nor reduced.

Timothl' Ho*ard, r.p. and chic't' economist, Fcdcral National I\lortgagc Association. prcdicted thar intcrcst rates on 30 1'ear, lixed ratc lllortgages u'oulcl iil,cra-ee l2r.,: ttt l2 r r 0,'o in 1983 and pc-rhaps a hall' point lou,er in'8'1. He foresecs housing starts ot' 1.-55 rnillion thi: 1'car and I .6 to I .7 nrillion in 198,1.

Lconard Santori, p.trtner, Griggs ancl Santo*, Inc., prcdictcd a real GNP grorith of about 4trlrr this vear s itlrtr po':ibilill ol' inle ru\t raie\ bottonring out at Il-lIr':oir Hc predicted housing starts clt' abour 1.6 million rising to 1.8 tcl 1.9 ntillion in 198;1.

KCttnctlr Kcrtrr. \.p.. c\'()n()illie: and rescarch dir ., National Association ot Rcaltors, leels thiit hornc bul ers have become incre asinulv valrrc conscious. llc expccts many lir.t tirrrc htrrerr tL) lt)u\c irrto new lonnhotrscs, condoniiniunts and unrts that ha.'e been scale d do$n for atlordability rather than buv rcsale propcrtics. Thomas Harter, senior stal'f' r .p., \lortgage Bankcrs Association, disagreed *ith this philosopirr, prcdicting a ro,,ir.,ed mo\ c-Ltp housing ntarkct.

Housewares Top $20 Billion

Sales of Arnerica's houscw arcs nranutacturers in 1982 increased 59/o o\cr the prevloLls lear's record $l9 billion and exceedcd $20 billion f'or thc vcr)' first timc.

"Last year's 5ob artnual gro\\th," Ronald A. Fippingcr, rnanaging director o1 the National Houseuares \lanulacturers Association, said, "althoLrch Ihe lori est in scl'en years, since the ltrb reportcd l'or 1975 clr.'er 197.1, clcrnonstrates thc steadl and consistent gro'"vth of the nouse* ares indust ry during the longcst and deepest recession of thc past 50 ) ears. "

Housc*ares outperforrncd tno ol' llte rtatit,rr'. lcadirrg erolr1r1l1ia 1"- dicators in 1982, including the Gross National Product, ri hich rose 4nlo last ycar, and the Personal lncome Inder, which \\'ent Llp 3010 ovcr 1981.

Sourcc for the industry's 1982 scorecard is the NHMA's l6rh annual markcting rescarch studl of houscwares manufacturers. Results of the studl rrere based on responses of' a 35 mo return b1 605 houreriarc: tnanulalturcr\ lrl 111 i11depth quesrionnaire mailed to 1,750 erhibitor. in rlre Januarv l98l NHMA International Housewares Exposition.

Electric house rr ares accounlecl lor 35 ro ot' the indusrrl''s sales in 1982, according to thc surr,ey; n,hile cook and bakeware accountcd l'or I lllb of industr,"- volume.

Thc most signif icant color trend in 1982 was rhc all-tinte high mention ol almond, nanred most popular lor kitchen appliances and acccssories b1'600'0 of rnanufacturers, and bi' 25 o'6 f'or serving and but t'et products ancr acccssones. Hor''oer, only 540/o cxpect it to be the top color choice rn 1983 in the fornrer categor), and onll 2l0b in the latrer. \\'hite reporrcdll is the best bct for I983 in most carcgories.