The Hordwood Plywood lndustry Looks ot 1960

A majority of the producers of hardwood plywood look to business volume in 1960 ranging from "the same" to "as much as a 25/a increase," according to a year-end statement made January 14 by Clark E. NlcDonald, managing director of tl-re Hardrvood Plywood Institr.rte.

The industry spokesmarr based his statement upon a lumber-industry outlook srtrvey conducted by the National Lumber Manufacturers Association in late 1959 and oarticipated in by 25 hardwood plywood producers. "It shoulcl be a good year," said McDonald, "when we analyze that 13 companies expect an averag'e increase in gross sales of 11.8% for 1960 over 1959, while eigl-rt companies expect business to remain the same, and four expect a decrease irr sales."

Profits (after taxes) and costs were other subjects involved in the survey. Eleven companies reporteil profits

DOUGLAS FIR REDWOOD q nd FIR PTYWOOD

Studs, Boords

Dimension Lumber

Plqnks, Timbers

Roilrood Ties

Industriql Curfings

Young Deqler Hql Anowqlt Cires Some Prime Principles Of R.erqil Yord Conduct

The California Lumber Merchant regrets that in its brief reporting of the highlights of each of the many talks at the recent Palm Springs Conference of the Southern California Retail Lumber Assn., it may have done an injustice to one of the best of them in reporting it too briefly. A few of the most pungent paragraphs were not reported from the excellent talk, "Low Man on the Totem Pole?" by Hal Anawalt of the Anawalt Lumber & Materials Co., Pacoima, Calif., and so the words didn't come out in print just the way the young dealer delivered them so entertainingly at the meeting.

What this modern lumberman had to say makes good sense yesterday, today and tomorrow-in telling how the retail yard likes its salesmen to approach the customer. So, here, for the record, are the prime principles of good retail yard behavior followed by the Anawalt employes: sl-rould be up, eigl-rt expected them to be the same. and five looked at the profit picture as trendirrg dou'nward. On costs, 20 companies expect an increase, four tl-re same and one down.

"Too n.rany lumber salesmen terrcl to rely on price 1o ge! the job. They believe the only .n,ay to larrd a job is to be the low man on the totern pole in price.

"Anarvalt Lumber & Materials Co. feels its salesnran should concentrate on selling himself, his company, and its method of operation . and the quality of materials. Then take the buyer on a tour of the yarcl and point out these sales points.

"If this is dor.re courteously ancl properll-, the price difference more than likely can be overcome and the job sold at a fair profit to the dealer."

Further data gathered in the survey of 1960's prospects comparecl with 1959 included : average nunber of en-rployes on the payroll; supplies of stumpage and/or logs ; expenditures on new plant ancl eqrripn.rer.rt; total lumber consumption ; nonfarm l-rousing starts ; the supply of mortgage molley and other pertinent industry data.

LONG BEACH o Suite 604 Ocecn Center Bldg. SPruce 5-2251 r HEmlock 5-8948

SAN RAFAEI, CAllF. . P. O. Box 569 Glenwood 4-2310, TWX SR 64

EUREKA, CAtlF. o (Generol Oftce) 630 J. Sr. Hlllside 3-7OOl, TWX EK 84

As a part of the survey the companies n'ere asked to list those factors rvitl-rin the inclustry that rvill affect the outlook for their business during 1960. A great majority listed "competing imports," as their greatest problem. This reflects a situation prevalent in the hardu'ood plylvood in<lustry in recent years.

In his year-end report to the Institute's members, IIcDonald stated progress is going foru'arcl with two of the HPI programs-contirruation of the Quality Control Program and pushing an extensive Quality-Verification Program for products made from HPI harchvood plywood.