ItrEI - newsandviews

by BOB McBRIEN execuiive vice president of the Lumber Merchqnts Associotion of Northern Colifornio

45,{6 El Cqnino Reol, Suile 0 Lor Afior, Calit.91022 (1151 911-1617

HEY SAY YOU shouldn't take satisfaction in another's misfor. tune, but on occasion the facts present themselves in such a way that to ignore them would be more incorrect. Just such a situation has come to my attention recently and I'd like to present the facts to you for obvious comparison.

W'ould you believe the average supermarket operator earned 10 cents on every dollar during 1966? You might think so, but the statistics show he earned less than a penny on the dollar! According to the Super Market Institute, net operating profit before taxes was 1.8 percent in 1966, the same as for tle previous year. This figure

PR0FfI PUGHI ofthe -r!---- r . .,', . -' -' ----- --o--srnamrrlcrr ie .ontr*r. adjusted for federal income tax€s results supermarkets is contrast- .uJuoruu rur rcust@r utuuruq L4^cD ed' with the improving in a net of less than one percent. ed improving state ol the building **tt materials dealer' to more ond more Colifornio deolers ond distributors. For yeor oround supplies of dimension lumber ond precision-trimmed studs, depend on D & R.

What's the problem when savings and loans will guarantee you a minimum of five percent return on your investrnent ? SMI says it's simply a matter of rising operating expenses, including labor. More than half the stores studied showed higher expenses during the past year.

The price of commodities helped to increase costs, too. [n fact, retail food prices were up five percent during 1966, and coupled with the increased cost of doing business the two items wiped out an industry sales gain of ten percent.

Another interesting fact to come from SMI is that each time your wife visited the local market she spent $5.31. Yeq this transaction netted the market operator but a small five cents! Her average dollar expenditure included 67 cents for groceries, 25 cents for meats and almost*eight cents for produce.

Our industry has long been criticized for not making a greater return on the dollar investment-but I offer the above to show that we have made more progress than is realized. Look at your own books and see. I'm sure..you will agree. I'm also sure you will agree that more progress can and must be made and, of course, that's the pu{pose of LMA and its many activities.

Old Growth Fir Dimension from F.S.P. Lumber Co., Port Orford, Oregon

Hemlock Studs from Wqrrenton Lumber Co., Worrenton, Oregon

Hemlock Dimension from Westport Lumber Co., Westport, Oregon

Now, over 5,0(X),000 feet of dimension lumber and studs monthly manufactured especially for Southern California construction needs.

Art Neth would appreciate an opportunlty to tell you how you and your customers will benefit from using dependable D & R dimension and studs. You can reach him by calling 872-1290 or Z8il-0544,