Tough times addressed at LASC convention

f|lrselre

a conference theme of I/ "Crisis Oppornrnities," reflecting a dismal local economy, most members of the Lumber Association of Southern California were good humored in their ircceptance of conditions as they went about the business of their armual convention.

Despite the smiles, some observers said a layer of pessimism regarding poor conditions through 1993 and into 1994 was not far below the surface.

Kick off speaker Bob Hunt, president of the Western Wood Products Association, assured LASC's dealer and wholesaler members that log supply will be adequate until the winter of 1994 and that current western lumber ouFut is more than enough to supply a slow local markeL

He said environmentalists will continue to vex the industry, but surveys are already being completed as part of a program of industry response. Hunt forecast that by 1995, or sooner, western lumber products will carry not only a grade stamp, but a "green stamp" defining the environmental value for each piece

WWPA forecasos an improving 1993, with housing starts increasing to an annual rate of 1.25 million, repair and remodeling up 3Vo and continued improvement in 1994-5. Product mix will change, with more knotty type

Story at a Glance

Attendance ott 30o/o as r,gcession-wracked Southern California grinds along solid program addressed'concerns, industry problems millwork and finger-jointed dimension lumber, even for the shoulder trade.

Bill Sullivan elected association prcsident.

The California economy was described by the next speaker, Jeff Snyder, Bank of America, who said conditions were bonoming out, though real estate may take two to five years to recover. He foresees no economic improvement until 1994, though "the long tenn economic outlook is very bright."

Snyder said B of A is making very few real estate loans and especially avoiding environmentally sensitive industries. Lumber yards don't fall into that category, he said, unless there are gas tanks on the propeny.

An excellent credit panel led off by Sandy McElveen, Lumbermen's, followed. She told how they have tied in with TRW on credit, put a preliminary lien notice on all deliveries and use the telephone effectively for collections.

Frank Collard, Ganahl Lumber,

said they always compare the contmctor's capability with the size of the project. He suggested using the Building Industry Credit Association for infomration and other services.

Andrew Ersek, South BaY Forest Products, presented a long list of common sense ideas to avoid credit losses as well as good ideas on collecting from bad accounts. Ersek often visits accounts, eyeballing yard and store to better evaluate the many factors that affect credit worthiness.

Vince Malley, All-Coast Forest Products, urged listeners to monitor payments and keeP uP to date files. "Dun and Bradstreet contains too many inaccuracies," Malley said. If you use threats to collect moneY, be sure to follow uP on them, he said.

The Friday morning session included a California Highway Patrol presentation on state rules and regulations regarding inspections and record keeping. Many in the audience felt the regulatory burdens far exceed the benefits derived.

Bill Morrison, head of securitY for a local hotel, next related his experiences trying to cope with provisions of the new Americans With Disabilities

Act. As of July all firms with 25 or more employees must be in comPliance; by July 1994 all companies with 15 or more workers are covered by the act.

Fines can be up to $50,000 for the first offense and maY be levied whether the discrimination is intentional, unintentional or if the company is "over protective." He said to ask the disabled what they want you to do, get it in writing, and keep records. For job s@kers, find out if they are qualified and can do the job.

Some good news was Provided at lunch that day by contrarian economist Harry S. Dent, author of the soon to be released "The Great Boom Ahead." Housing will begin to flourish within two years, he said, and will be good for years thereafter because of demographic factors of age and income. Due to the BabY Boomers, Dent foresees unequalled good economic times during the second half of this decade. Next year, though, he sees as "difficult."

Honored at the luncheon for his years of contributions to LASC and the industry was Pete Speek, president of Fremont Forest Products, Whittier.

TWO PRESIDENTS: (1) Bob Hunl, WWPA, Bill Sullivan. LASC. (2) Maik & Sandi Lofhnd' (3) Chamaine Robinson, Bill Jones. (4) Roben Marriott, Dave Barrv. (5) Andv Ersek, Bill Hoolund. (6) Martiri Temple, Jdck Berutich, Ooi StoUadqh. (7) Al Newkirk, Stanlev Brown. (8) PetEr Gandhl, Erik Jorgensborg. (9) Crbiqhton Anfinson, Phil Buterfield. (10) Steve & Kihv Thumood, Patti& Kevin Lindsay. (11) Barbarh & Dlck Haunhrone. (12) Bob Slettedahl, Frank Purcell. (13) Pete & Phyllis Soeek. Pat Hawthorne. (14) Jack Green, Siephdnie Jones, Rod Jon*. (i5) Bob Bushmair. Henry Voorhees. (16) Roger Lovesee, Terrl Wes'seln. (17) Mibhdel Leamed, John Jenkins, Roben Maniott.

New officers elected include Bill Sullivan, Golding Sullivan Lumber, president; Jerry Higman, Reliable Lumber, lst v.p.; Blaine Smith, Fremont, 2nd v.p.; Eric Jorgensborg, Fisher Lumber. treasurer; Mark Lofland, Capital Lumber, secretary; Wayne Gardner, LASC, executive v.P.

The 42nd annual Management Conference was held November l2J4 at Stouffers' Esmeralda Hotel, Indian Wells, C-a. The tine and place for next year's meeting has yet to be finalized.

FIFTY North American Wholesale Lumber Association memben and guests atended a Los Angeles, Ca., regional-meetinq. {1) Dennb Downer, Ted Cowan, Rich Bilbv. i2)'Nick Kent. Qave Bufi, Ted Gilbert. (3) Jon Wotfe, perd Speek. (4) Jefi Gould, Robeh coldinq. ('5) Hal Smilh, Doug Willis. (6)Wayne Gadnei,'Don

Derbes, George Badenoch, Rod Kautz, {71 Andy_Ersek, Frank Quattrocchi, Ted Gilbin; Neal DeWrtt. (8)John Fuellinq, Balph Cardwell. (9) Mike Mackiir, Bob Le-qs.- (l0lJack prics. Tom Summers. (11) Dennis Ricnlrdson, Mikd Herbert, Jeff Lyhn, Bill Jones. fi2)-John Newquist, Dennis Downer, Waynb Earley,

Gheryl Bahneman. (13) Frank Velez, Jack Finnegan. (14) John Hodge, Christine & Brad Fee. The Oct. 22 meetlng covered wholesaler/producer competition, finance and banking conoems and pressure on relailes lo buy. direcl, with NAWLA pres. Downer moderating lhe discussions.