WHOLESALE LUMBER PRODUCTS

Arcata Redwood Buys SimonsonLumber Co.

Arcata Redwood Co. has acquired Simonson Lumber Co. for $64.5 million in cash and notes. In addition, timber properties and other assets valued at $16 million will be distributed to Simonson shareowners.

Located in Smith River, Ca., Simonson owns approximately 30,000 acres of redwood and Douglas fir timberland and operates a large and a small log mill, a planing mill, a nusery and a wood-waste electric generating plant which is under construction.

Burnette Henry, president of Arcata Redwood said, "The acquisition is significant because it increases our timberland holdings to approximately 76,0(D acres and adds nearly a quarter of a billion board feet to our timber inventory. Simonson standing timber inventory includes substantial mature redwood and Douglas fir in age classifications that are a good fit with our existing forest lands. As a result of long years of intensive reforestation, the Simonson lands constitute some of the best stocked and most productive timber lands in Califomia."

"The Simonson acquisition emphasizes Arcata's commitment to the people of the North Coast communities and our desire to maintain and grow our operations in the area in spite of Redwood National Park expansion. The Simonson purchase represents a reinvestment of a substantial part of the $90 million we received from the U.S. Government last year for the taking of our lands for Redwood National Park. And the Simonson acquisition coupled with our recent and planned timberland acquisitions, will substantially exceed the total compensation we have received from the government."

In the last five years Arcata has consummated a dozen timberland acquisitions and invested over $35 million to acquire more than 38,000 acres of timberland.

Henry concluded, "Additionally, the acquisition of Simonson puts us into the whitewood lumber business for the first time. Previously we sold our whitewood logs, now we will be able to'mill our own logs and prodrice a complete line of whitewood lumber."

Hardwood Flooring School

The Hardwood Flooring Installation School, sponsored by the National Oak Flooring Manufacturers Association and the American Parquet Association will be held September l7-19, at Cook Convention Center, Memphis, Tn.

Instruction includes demonstrations, slide-illustrated lectures and student practice. Following an introduction to types and styles of wood floors, the course covers proper construction of wood and concrete subfloors, installation techniques, and sanding and finishing operations.

SouthernHardwood Increases

June hardwood lumber production in the South increased 8Vo over May, according to the Southern Hardwood Lumber Manufacturers Association. Orders received were up l%o while shipments during the month were virtually the same as May.

Compared with June 1978, production was ll%o higher while orders received were down lSVo and shipments were down 3Vo.

Unfilled orders at the end of June were 2Vo less than at the end of May and were down l9vo from one year ago. Gross mill inventories were up 2Vo from the preceding month and were 2l%o higher than June 1978.