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Deqlers brcrcinglhemselves for CCA decrdline

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IIIITH less than two months

V Y remainins for wood treaters to use CCA for iesidential products, lumber dealers are gearing up for a transition to alternative products. Although new generation preservatives such as ACQ Preserve, NatureWood and Wolmanized Natural Select (CBA) are increasingly popular west of the Rockies, the vast majority of dealers contacted by Building Products Digest arc waiting patiently before making a switch.

They say the demand for the new products is not there yet-at least in their region. A majority of dealers that only stock CCA treated wood have not received any inquiries by customers about the new generation preservatives.

One retailer has had customers "ask, but so far no concern." A second has had only a single request for ACQ, and other inquiries were "only for our opinion on what was going to happen after January 1." A third has customers inquire "occasionally, usually after a flurry of media coverage on the topic." Another receives occasional requests and fills them on a special-order basis.

Causeway Lumber Co., Fort Lauderdale, Fl., sells 99Vo CCA, with a single ACQ item. "We started selling a high-end, 2x6 radius edge product in ACQ last spring," said Mike

Coleman. "The sales have slowed, we think because ofthe higher price."

Attnougtr already-treated material can continue to be sold as long as inventories last, most dealers have no plans to stockpile large quantities of CCA treated wood.

One planned to order "only a couple of extra truckloads."

Michigan Lumber Co., Flint, Mi., will preorder "only enough inventory to handle the low volume needed in a Michigan winter, to get us to the first of April," said Chuck Olson.

TW Perry, Chevy Chase, Md., "will possibly cany a decent inventory of CCA-6x6 and 4x4s. These items carry about a 20Vo upcharge over CCA in the new chemical."

Most dealers in the South, Midwest and East will begin carrying the new generation treated wood at the very end of 2003 or early 2004, as CCA inventories run out. All expect a slight overlap, carrying dual inventories during the changeover.

"We offer (ACQ) now on special order basis only, grudgingly," said Dale P. Bernard, v.p., George Kellett & Sons. Metairie. La. "Otherwise we will place it in stock when we deplete CCA stock."

While many wood treaters are also delaying converting their operations until the last minute, none of the dealers contacted by BPD anticipated any difficulty in finding material after the deadline.

AUout half of dealers expected the higher price of the alternatives to have little to no effect on sales, despite the typical resistance to any change.

Roger Holman, National Home Centers, Springdale, Ar., forecast no impact, "only a few complaints. There isn't anything anybody can do about it."

Chuck Olson, Michigan Lumber Co., Flint, Mi., agreed that "once CCA has worked itself out of the market, price should have little or no effect."

However, the other half of dealers predicted the higher price will interest customers in suddenly more competitive synthetic or non-treated substitutes.

According to TW Perry, "The price of the lumber exceeds the cost of the chemical. When treated lumber prices rise, people will increase their use of composite decking and hardwood decking."

Kellett's Bernard explained, "The price difference is not great enough to cause a wholesale switch to composites, but I do expect those sales to increase. I personally believe it will be a consumer education nightmare !"

Indeed, dealers point to customer education as the top challenge anticipated from the switch.

None of the dealers expected any difficulty in finding material after the deadline.

Montalbano Lumber. Houston. Tx.. predicted "the first year will probably be very confusing to the public since inventories will be mixed. but sold as CCA.''

Michigan Lumber's Olson said, "Learning the advantages and/or disadvantages of a new product, in the real world of on-the-job use, will be the largest foreseeable challenge."

Pratt-Dudley Builders Supply, Augusta, Ga., said, "Learning to offer proper fasteners will be a chore for salespeople, and stocking those fasteners not already in inventory will increase SKU's and, at least temporarily, create a dual inventory."

Similarly, Ken Lawson, Thriftway, Inc., Owensboro, Ky., echoed, "We also fbresee a challenge in having the correct fasteners and hinges. Since we expect to change again soon, there will [continue to] be a problem with fasteners and having the proper products."

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