lNC.

Specialists in redwood, cedar, pine and Douglas fir products

Redwood and Douglas fir timbers most any size up to 32 teet

Dry air-dried or green patterns

Long length redwood and fir dimension

For your inquiries call: Rick Rosa, Dave Snodgrass, LowellWall

E.J. JOHNSON executive vice president

ALTHOUCH the state's economy r las been generally strong in recent periods, some local business forecasters are projecting a continuing slow down to the record pace it has enjoyed in recent times. Their projections are based upon a weakening, since last March, in the goods-producing sector which will result in much smaller increases in personal income next year. They report that approximately 18,000 jobs have been lost in that sector in that time.

Retail sales growth into next year is expected to be minimal and the number of housing units authorized will also probably be on a decline. Construction contract awards have only increased 390 during the past l2 months with residential building showing a3.SVo drop from previous levels. Considering that the multi-family and office markets are presently overbuilt, continued construction activity in these areas cannot be expected to improve. Recent data indi- cates that multi-family dwelling vacancies in Maricopa County are at a l2Vo level and are at a 13.590 level in Pima County. Office vacancies are also high at about 2090 in both counties, which is well above the national average.

Some of this gloom is negated by excellent promise of growth in some areas of the massive high-tech industry which does a better job of adding to personal income. lncreased employment, however, in high-tech businesses is not always reliable due to the volatile nature of those markets.

Economists, regardless of their training or considered judgements, readily point out that their opinions arejust that! There seems to be some agreement in Arizona, however, that things aren't that bad, influx migration continues, inflation is under control. interest rates and more particularly mortgage rates are not onerous and consumer spending keeps the money flowing. All this adds up to a state economy that will continue to out perform most of the country and one which most other states would gladly trade for. So when thebuzz word ,,recession" starts to surface among some former colleagues, this shirt tail prognosticator thinks that the brilliant Arizona sun may have had a spoiling influence on those who have perhaps been here too long!

NORTHWEST (Continued

from page 25)

(4) Add: decreases in accounts receivable, inventories, prepaid expenses, marketable securities and other current assets.

(5) Add: increases in accounts payable, accrued expenses, income taxes payable and other current liabilities.

(6) Deduct: increases in accounts receivable, inventories, prepaid expenses, marketable securities and other current assets.

(7) Deduct: decreases in accounts payable, accrued expenses, income taxes payable and other current liabilities.

The result is an income statement prepared on a cash basis that reveals the cash flow from operation. When this is combined with other sources and uses of cash during the accounting period, it should equal the change in your cash balance, and more importantly, provide you with a detailed analysis of how your cash was derived and how it was utilized.

WesternSoftwoods, dings & Millwork Agriorltural Wood

ProduGts, PlSnuood, Particleboard

Quick Quotes for 1986

A random sampling of ideas and opinions

"The consumer is overextended, but I still expect a pretty good Christmas. But, the fiscal first quarter may be very dull."

Walter Loeb

Analyst

Morgan Stanley & Co.

New York, N.Y.

"The boom in commercial construction will finally flatten out-but not stop-next year."

Real Estate Research

Chicago, Il.

"We're eternal optimists. But it will be a cliffhanger until late December."

LIIMBER: Robert Glatt, division mgr.; Jim Haas, Bill Hanrahan

MILLWORK: Richard H. Mills

We are also pleased to be a West Coast area distributor for CF&I steel products as well.

BERcER & @MPANY aw (a Conagra company) tAgfa IS AN INTERNAfIONAL AC @MMODITIES TRADING ORGANIZATION WITH OFFICES IN: San Francisco, Ca. (headquarters); Chicago, ll.; Colfax, Wa.; Fargo, N.D.; Filer, Id.; Grand Cayman, British West Indies; Santiago, Chile: London, England; Geneva, Switzerland; Nicosia, Cyprus; Buenos Aires, Argentina; Moose Jaw, Canada; and Taipei, T[iwan.

Robert Brewer

Vice

President, Finance

K mart Corp.

Troy, Mi.

"U.S. companies plan a l9o cut in capital spending next year. The stingier capital spending budgets are a sign that companies are thinking tough times in 1986."

McGraw Hill Economics

McGraw Hill Inc.

New York. N.Y.

"Retail sales will increase at a yearly rate of 3.590 next summer. Inflation will be 4.20/o in 1986, up from 3.690 this year."

The Conference Board

Washington, D.C.

"The prime rate will declin e from9Vzo/o at the end of this quarter to 8/20/o atthe end of March, and then rise from 990 in the second quarter to I I 9o by the end of 1986. Fixed-rate mortgage rates will climb from | | Vz vlo at the outset of I 986 to 120/o by midyear and to 140/o by the start of 1987."

David Jones Senior Vice President

Aubrey G. Lanston & Co.

New York, N.Y.

(Please turn to page 7l)