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Building Products Digest
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January 2013
Building Products Digest
Special Features
In Every Issue
10 FEATURE STORY
6 TOTALLY RANDOM 18 COMPETITIVE INTELLIGENCE 20 OLSEN ON SALES 24 GREEN RETAILING 34 MOVERS & SHAKERS 36 NEW PRODUCTS 40 FAMILY BUSINESS 42 ASSOCIATION UPDATE 44 IN MEMORIAM 44 CLASSIFIED MARKETPLACE
TABLET COMPUTERS AT THE LUMBERYARD
11 INDUSTRY TRENDS
SOUTHERN PINE BANKS ON RECOVERY
14 MARGIN BUILDERS
SELLING ALTERNATIVE TRIM PRODUCTS
16 PRODUCT SPOTLIGHT
CEDAR SHAKES VS. SHINGLES
17 PRODUCT SPOTLIGHT
FIBERGLASS SIDING LOOKS UP
26 SPECIAL FOCUS: WESTERN WOODS
Volume 31 Number 11
45 DATE BOOK 45 BUSINESS CARD ADS 46 IDEA FILE 46 ADVERTISERS INDEX
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Sparkman, Arkansas
Phone: (870) 226-6850 • (870) 678-2277 • Fax: (870) 678-2522 The White Family – Serving the Lumber Industry for Four Generations
High Quality Arkansas Southern Yellow Pine Boards, Pattern Stock and 5/4 Square Edge, Flooring, Beaded Ceiling, 105, 116, 117, 119, 122, 131, 139, 5/4x12 Nosing. 4
Building Products Digest
January 2013
Building-Products.com
TOTALLY Random By Alan Oakes
BPD
Building Products Digest www.building-products.com
Moving forward and upwards
F
IRST, A BELATED
but Happy New Year. I hope you had a chance to enjoy the holidays, recharge the batteries, and prepare for what could be a good year—provided a deal was struck to solve the “fiscal cliff” crisis. I have no doubt a deal of some type will be reached, but I hope it is one that it is reasonable. I already sense during my calls that small business owners are very wary of the outcome. I can already hear that with the impact of the new health care plan really coming to light, we are still in a fragile space and the recovery we are beginning to sense could go back in the other direction. We have all fought hard to keep our businesses operating, we have all cut costs and seen diminished returns, and we have done our very best to keep our people employed—we do not need any additional hits. I hope by my next column the uncertainty will be over, as uncertainty can cause more harm than the outcome. Once a year, we tend to look back and reflect on the year just passed—the successes and failures, in both our personal and business lives. There is no doubt that in both cases our expectations have been lowered compared to perhaps any time in our lifetimes—especially in this industry. Downturns are normally 18 to 24 months, not six years. After all that has happened these past years, by all accounts 2012 was a steady year. It was relatively quiet, despite the divisive election. In our industry, we started to sense for the first time that the tide is turning. So, perhaps a B-. Not great, but welcome stability after a horrendous 2011. As I reported last month and sensed everywhere I traveled, the mood is changing. You can already see some smiling, and hope is hanging in the air. Most stats show improvement. Employment is modestly better. Banks seem to be giving out mortgages and loans a little easier (although maybe not to this industry). The housing numbers are improving, albeit shadows of their former selves. The stock market is hanging in there, despite worry about the cliff. Manufacturing is slighttly improving. Even Apple announced it will start making some Macs here. While the stats show we still have some way to go, improvement is measured in inches and the transition to a growing economy has begun. We are all mostly more efficient out of necessity, and this is perhaps both good and bad for the market to come. So what can go wrong? External to our industry, bad economies elsewhere could bring a chill. Europe is in duress pretty much everywhere and the Middle East seems under constant stress. The good news is that the U.S. economy has stood tall this year throughout the various crisises abroad. I think the biggest issue in this industry in a growth scenario will be lack of supply. I am already hearing about sold-out positions and with so much less capacity, production cannot be increased at the flip of a switch. Also, with so much human capital experience having been lost in the downturn, it will be difficult to staff up again. Credit limits and lines that have been lowered in recent years might not be able to change fast enough to keep pace with higher volumes of business. Transportation will be a huge issue at some point again, too. Therefore, it will be hard to meet market demand at some point (with all that means), and it takes very brave senior management to recommend to the board to start expansion ahead of the curve, with always a sense of insecurity about what will hit next. But I am getting ahead of current reality—we are not there yet. In some ways, it’s a nice position to be in after what we’ve had to deal with in recent years. I suspect, though, that we have learned the hard way and will not succumb to the excesses of 2004 to 2006. If 2013 shows a steady increase over 2012, I will be happy to take that! Again, have a great year and I look forward to seeing you on my travels. Stop me and say hello.
Alan Oakes, Publisher ajoakes@aol.com
6
Building Products Digest
January 2013
A publication of Cutler Publishing
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Publisher Alan Oakes ajoakes@aol.com Publisher Emeritus David Cutler Director of Editorial & Production David Koenig dkoenig@building-products.com Editor Karen Debats kdebats@building-products.com Contributing Editors Carla Waldemar, James Olsen, Jay Tompt Advertising Sales Manager Chuck Casey ccasey@building-products.com Administration Director/Secretary Marie Oakes mfpoakes@aol.com Circulation Manager Heather Kelly hkelly@building-products.com
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8
Building Products Digest
January 2013
Building-Products.com
IP Sells LBM Division to G-P
To better focus on its packaging business, International Paper, Memphis, Tn., has agreed to sell its Temple-Inland Building Products division to Georgia-Pacific, Atlanta, Ga., for $750 million cash. The unit includes 16 manufacturing plants—five sawmills, four particleboard plants, two MDF facilities, one fiberboard mill, and four gypsum wallboard plants in eight states, primarily in the South and East—that IP acquired last year as part of its $3.7billion takeover of Temple-Inland, Diboll, Tx. “While not core to IP’s strategy, Temple-Inland Building Products is an industry leader,” said John Faraci, IP chairman and c.e.o. “I am pleased to have reached a deal that recognizes the strength of the business and provides excellent value for IP shareowners.” The deal is expected to close in the first quarter.
Harvey Files Chapter 11
Harvey Lumber Co., Columbus, Ga., has filed for Chapter 11 bankruptcy protection, listing $2 million in assets and over $5 million in debt. Founded in 1863, the chain operates yards in Columbus and Phenix City, Al. It had as many as six locations at the height of the housing market. At the time, Harvey employed 165. It was down to 57 at the time of the bankruptcy filing, before temporarily furloughing 17 workers. “The remaining employees, from top management down, have agreed to significant reductions in compensation to aid in the process,” said president and c.e.o. Bailey Gross. “Harvey’s hope is that the furloughed employees can be returned to regular employment, sooner rather than later.”
Maine’s Pleasant River Buys Former Lavalley Mill
Pleasant River Lumber, DoverFoxcroft, Me., has purchased New England Building Materials’ sawmill in Sanford, Me., and will market production under the trade name Pleasant River Pine. The Sanford mill has an annual capacity of 20 million bd. ft. of eastern white pine, joining the 15 million ft. of eastern pine Pleasant River produces annually in Hancock, Me., and 100 million ft. of SPF in Dover-Foxcroft. The sawmill had operated as Building-Products.com
Lavalley Lumber until 2009, when the company changed its name to NEBM after purchasing three former Stock Building Supply yards. One year ago, NEBM filed for Chapter 11 bankruptcy and sold its last retail operation—in Sanford—to Deering Lumber, Biddeford, Me.
New York Dealer Regroups
Martha Rezin is winding down 75year-old Schwalbach Building Supplies, Marspeth, N.Y., and “regrouping” as a new company with new partner Scott Rogener. The facility is being remodeled and
restocked to allow the newly named Village Lumber & Masonry Supplies to offer more masonry products and a wider selection of lumber and panel products.
Sherwood Grows in Florida
Sherwood Lumber is expanding operations at its Tampa, Fl., office as its adds new products and recruits new salespeople. Relocating to Tampa to head the expansion are East Coast regional sales mgr. Bob Kruse, from the Islandia, N.Y., office, and plywood mgr. Dean Harnell, from the Chicago, Il., office.
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January 2013
Building Products Digest
9
FEATURE Story iPads at the Lumberyard
Dealers, distributors latch onto tablet computers
A
LBM DEALERS and distributors retool and recharge, many are bringing tablet computers into their businesses—often starting with the “road warriors” in outside sales. The top choice in the LBM industry appears to be the leading option for consumers, Apple’s iPad, first released in April 2010. The mobile devices are gradually making inroads into the business world—especially among smalland medium-sized companies—because owners and employees want to bring the convenience of a tablet to work. At Boston Cedar, Mansfield, Ma., the first step was to begin replacing aging Blackberrys with iPhones. Then, in April 2012, laptops were gradually replaced with iPads. “One of our owners got an iPad and he was sold,” says Angie Wallert, director of information technology, who oversaw implementation for 12 employees who mostly work outside the office: eight outside salespeople, plus four more in education and training. “They tended to take notes during the day and use their laptops at night, because they were hard to use in the car and took time to boot at customers’ offices,” she notes. “Tablets are lighter, easier to use and carry, no booting, so they are easier and faster to use reactively with customers.” Best of all, the employees have a host of documents and information at their fingertips, on the tablet, instead of reams of paper in their briefcases. In less time than making a phone call to the office—for sales information, deliveries, etc.—they can quickly get all the answers they need and keep customers engaged in the process. At Parr Lumber, Hillsboro, Or., iPads were implemented last summer, at the company’s Cascade Wholesale Hardware division. Ten outside salespeople, mostly older employees with little or no experience with tablets, quickly embraced the ease and efficiency of the devices. The experiment went so well that the company wants to implement tablets throughout the company. “Obviously, we believe there’s a real case to be made for iPads and tablets, which are lighter and more mobile than laptops,” says Ken Munson, who handles IT for Parr’s 23 retail locations, cabinet design center, a structural components plant and installer, and its marketing group. “Price-wise, it’s $600 to $700 for an iPad versus $2,000 for a new laptop.” Outside salespeople at Ridgefield Supply, Ridgefield, Ct., also received iPads this past summer, joining the iPhones they already had. Now, owner Margaret Price Sims wants to bring the devices into other parts of the business. S
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Building Products Digest
January 2013
OUTSIDE SALESMEN in the lumber industry have begun toting iPads in (Photo by Entree) place of overstuffed briefcases.
“The new technology allows our sales team to go out and have instant information,” she says. “It’s important to wrap up business quickly. They can check pricing, create quotes, place orders, and check on delivery status.” Mike Sonderman, an outside salesperson who works with Sims on technology issues, says that Ridgefield’s enterprise software is on a desktop service so it can be accessed with mobile devices. The company’s quoting software doesn’t work on the desktop, but salespeople can access a manufacturer’s quoting software if it is websitebased. He believes that “being able to change and work in any environment” is what’s most important. When queried by other dealers, Sonderman advises them to keep mobile devices and company information secure. “It’s like locking the door to your house at night,” he says. “You have to keep your website safe.” He advises the use of a mobile device management system that allows a remote lock or complete data wipe if a device is lost or stolen. Sims says that the increased efficiencies of new technology help offset lost margins. “Consumers, even those who may have contractors, do research to get the cheapest price,” she says. “Dealers have to fight for the business, and new technology helps.” Building-Products.com
INDUSTRY Trends Southern Pine
Southern pine industry banks on housing recovery
T
HE COUNTRY ’ S RECENT economic recession may be fading into history, but the nation’s roughest downturn for construction markets is keeping many a lumber dealer struggling to record solid sales on a monthly basis. Resourceful yards are finding the means to stay ahead in a lagging building market that’s showing some faint glimmers of recovery. The Southern Forest Products Association delivers the tools and information lumber dealers need to sell more southern pine: • span tables and design values • construction guides • specification guidelines • d-i-y outdoor project plans For nearly 100 years, SFPA has conducted a wide range of promotional programs and weathered every market downturn. The inherent features that made southern pine a preferred material of this country’s founding fathers continue to make it a wise choice today. Southern pine is plentiful, durable and renewable, making it one of the most sensible, environmentally friendly building products available. Customers want what southern pine lumber has to offer: strength, treatability, and beauty—not to mention outstanding value. Some 66 billion bd. ft. of southern pine lumber was produced over the last five years. Nearly half of that volume goes to treated lumber markets for residential applications like decks, fences, gazebos and marine structures. Lumber used in structural applications—framing and trusses—calls for another third of total annual production. What remains is used for flooring, siding, specialty patterns, and industrial applications, including pallets and crates. As residential building markets
Building-Products.com
slowly recover, southern pine manufacturers are reacting, producing framing lumber in a wide range of grades and sizes and offering the latest preservative treatments, plus the most popular items in flooring, siding, ceiling and paneling patterns. With mill operations in close proximity to major markets, special-order items can be processed quickly.
All Grades, All Sizes
Versatile southern pine materials can be used for everything from building concrete forms to creating beautiful interior floors and ceilings. Lower grades may be the economic choice for certain applications where appearance is not a priority. But when a customer’s home is involved, both the contractor and the homeowner may prefer higher-grade lumber for many uses. The proper grade counts when using southern pine in any application.
The Southern Forest Products Association offers a number of tools to help dealers, architects, specifiers, contractors and other professionals make sure they have the right grade for the job. The place to start is the Southern Pine Use Guide, which includes grade descriptions, standard sizes, seasoning requirements, design values, and span tables. Other publications are available listing maximum spans for joists & rafters, plus size selection and allowable load tables for headers and beams. All titles are provided as free PDF downloads from the publications page of SouthernPine.com.
First Choice: Treated SP
It’s no wonder that some 90% of all pressure-treated lumber produced in the U.S. is southern pine. The unique cellular structure of southern pine permits deep, uniform penetration of preservatives without incising, making
SFPA delivers the tools dealers need—span tables, design values, and construction guides—to successfully sell southern pine lumber. January 2013
Building Products Digest
11
RAISED WOOD floor foundations provide homebuilders with many selling points to offer clients.
it the preferred species for pressure treatment. This material remains popular for decks and gazebos, plus marine applications such as fishing piers, bridges and walkways. And, of course, it’s perfect for framing homes and other structures in areas of the country where decay and termites can create problems. Thanks to progress in wood preservation technology, new earth-friendly formulations are now widely available to address green building concerns. New code-approved preservatives include several micronized (or dispersed) copper formulations, which reduce impact on aquatic or terrestrial environments and are less corrosive to fasteners. For the end-user, paints and stains also look better when applied to these materials. Borates are finding popularity for wall plates and interior applications not exposed to continual moisture. SFPA offers a number of technical guides about choosing and using pressure treated southern pine. Available as a free PDF download at SouthernPine.com, these helpful booklets include a pair of comprehensive specification guides—Pressure-Treated Southern Pine and Aquatic and Wetland Structures. The treated booklet features a table listing the commercial trade name under which each preservative is marketed and a corresponding product website for those wanting additional information. Following an explanation of available southern pine grades and sizes, the aquatic guide provides detailed specifications for treated lumber used in
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Building Products Digest
saltwater and fresh water. Decking specifications, fastener recommendations, and special grades for marine service are also included. These publications are proving to be especially helpful as regions of the country rebuild waterfront and other outdoor structures in the wake of 2012 hurricanes Isaac and Sandy. Dealers wanting to inspire handy do-it-yourselfers with weekend projects can turn to SFPA’s online collection of 10 outdoor project plans. Each plan listed on the D-I-Y Project Plans page of SouthernPine.com is now formatted to standard 8.5x11 sheets, making it quick and easy for dealers or their customers to download and print. Plans include lists of pressure treated southern pine materials and tools required plus detailed construction steps. Illustrations cover every phase of assembly. The collection features three deck plans, backyard storage units, a playhouse, a doghouse and a kiddy picnic table, among others. The projects appeal to all levels of skill, from very basic to more advanced. Year after year, these plans are among the most popular downloads from the site.
Decks & Porches
This year, nearly one million U.S. homeowners will build a deck or add on to the one they already have. The porch remains an icon of American architecture, as well. Both projects are ideal candidates for using more pressure treated southern pine lumber. SFPA offers a helpful construction guide that dealers can use with profesJanuary 2013
sional deck builders and advanced doit-yourselfers. Southern Pine Decks and Porches highlights the beauty, durability, comfort and value that pressure-treated southern pine materials bring to outdoor structures. The 12-page, full-color booklet covers the deck and porch building process from start to finish, compiling the latest information for the proper specification and use of treated southern pine materials for code-accepted decks and porches. Product selection and construction steps for building both freestanding decks and decks attached to a house are illustrated, along with helpful tables listing joist and beam spans. Porch construction details are provided as well, with tips on fasteners, finishes and proper maintenance. Handy tips are included to enhance the building process. Impressive deck and porch projects are pictured throughout the booklet. Dealers and professionals already familiar with treated lumber can use this booklet as a refresher course in building techniques, or to acquaint a customer with the versatility and value of using real wood products for their new deck or porch. A free PDF download is available at SouthernPine.com. Dealers can use another SFPA website—SouthernPineDecks.com— as a ready reference to answer questions about outdoor construction. The site includes much of the information contained in the new construction guide.
Raised Floors Excel
Educating professionals and consumers about the merits of building a home on a raised wood floor foundation rather than a concrete slab has been a long-term focus of SFPA promotions. Over the last dozen years, the campaign has included demonstration homes, training seminars, and research. Focus groups conducted by SFPA have confirmed that homeowners appreciate the enhanced curb appeal and other benefits of a raised floor home. Obviously, a raised wood floor foundation makes sense in flood-prone areas, due to its inherent elevation advantage. A raised floor system may also be the cost-effective approach in areas with poor soils. This type of foundation is easier and less expensive to level than a concrete slab if any shifting or subsidence does occur. Developers are finding that a raised wood floor foundation is also the costBuilding-Products.com
effective solution for sloping lots that would otherwise require expensive fill. Remodeling projects and underfloor repairs are simplified with a raised floor foundation. Lumber dealers are winners, too, as raised floor systems can add up to a third more lumber to the typical framing package for a new home. SFPA provides the resources dealers need to maximize a customer’s satisfaction with a raised wood floor foundation. The basic facts and features are outlined in a sixchapter video series accessed from the home page of RaisedFloorLiving.com. Helpful construction guides and promotional brochures can also be downloaded from the publications page at SouthernPine.com. If a customer is looking for an experienced raised floor builder, chances are good they can find one nearby, within listings of the online building pro locator.
Best for Remodels
While new homebuilding activity attempts to rebound, repair and remodeling projects are keeping dealers’ customers busy. And southern pine products are ideally suited for projects all around the home. Homeowners have discovered that a wood floor adds comfort and value, not to mention being a healthier, allergy-free alternative to carpeting. No matter the décor, southern pine flooring, available in a range of widths, grades and finishes, can enhance the look of any indoor space. Wall paneling and ceilings add a dramatic flair to all rooms of the home while contributing to energy efficiency, another opportunity for a dealer to boost southern pine sales. Using the long lengths available, a customer can reduce splicing. Eye-catching clear or semi-transparent finishes draw attention to southern pine’s distinctive grain. And best of all, wood is a natural insulator, contributing to the energy efficiency of the home. When it comes to proper installation and maintenance tips, SFPA offers comprehensive guides for using both interior flooring and exterior porch flooring. Copies of Southern Pine Flooring and Southern Pine Patterns are available as free PDF downloads from SouthernPine.com. A two-part video program covers installation of both materials from start to finish in a case study format. With a visit to SFPA’s online video gallery inside the media center of SouthernPine.com, dealers and their customers can view both instructional programs on the site, too, right at their desktop.
Services for Dealers
Until construction markets experience a more robust recovery, lumber dealers can invest in their future success by visiting SouthernPine.com to see what’s available to help themselves and their customers learn more about versatile, durable southern pine. Copies of SFPA’s technical and reference publications can also be downloaded at no charge from the site. Today, SouthernPine.com is a dealer’s top resource for answers to customers’ questions, training salespeople, and locating product suppliers. Sourcing hard-to-find items can be just a few mouse clicks away. Complete information about SFPA, its programs, and services to the industry are presented online at SFPA.org. Here, dealers can access SFPA’s family of websites, review the latest updates on industry issues, and explore details of SFPA marketing efforts. The site now has Building-Products.com
numerous links to existing services offered at SouthernPine.com, including product locator and media center. SFPA continues to expand its social media reach, too. Dealers can follow SFPA on Twitter (@Southern_Pine), receiving news updates and immediate access to information. There’s also an RSS feed on SouthernPine.com, delivering the latest content posted to the site to interested subscribers. And dealers are reminded to visit SFPA’s YouTube channel—southernpinelumber—review more product features and updates.
Coming Soon: New SP Design Values Effective June 1, 2012, new design values became effective for visually graded Southern Pine and Mixed Southern Pine 2” to 4” wide and 2” to 4” thick (2x2s through 4x4s) in No.2 Dense and lower grades (No.2, No.3, Stud, Construction, Standard and Utility) only. Since then, the Southern Pine Inspection Bureau completed the full in-grade design value matrix of other visual grades and sizes of dimension lumber. SPIB worked with the USDA Forest Products Laboratory to verify all data to develop proposed design values, for final consideration by the American Lumber Standard Committee board of review, scheduled to take place at their next meeting Jan. 30. SFPA continues to monitor the process and keep all stakeholders informed of the latest developments. SFPA and key customer groups support an orderly transition to new design values and have recommended a six-month transition period following certification of new design values for all grades and sizes of visually graded dimension lumber. As a service to the industry, SFPA has provided SPIB’s proposed design values on SouthernPine.com, under the dedicated section New Design Values. Also from this landing page, dealers can review a collection of news releases with comprehensive background information and the latest updates, plus answers to the most frequently asked questions explaining the process and impacts of the SPIB proposal. Current design values will also remain on this site until the new design values become effective. “As a service to our customers, SFPA is providing this information to all levels of the southern pine lumber manufacturing and supply chain,” said Cathy Kaake, SFPA’s vice president of technical marketing. “These proposed design values from SPIB will help the dialogue progress to a better understanding of the process, the data and the impacts on our industry.” Southern pine’s strength and stiffness remain comparable to other softwood species used in residential and commercial construction. Southern pine users have many available product options including visually graded dimension lumber and an increasing supply of mechanically graded lumber. From framing a house to building a deck, southern pine continues to be a dependable product with superior treatability against decay and termites. The last major change for visually graded dimension lumber occurred in 1991 when design values for southern pine and other North American species were published based on in-grade testing of full-size samples of commercially produced lumber. January 2013
Building Products Digest
13
MARGIN Builders PVC & Urethane Exterior Trim
Growing your business with alternative trim products
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opportunities for your business in 2013? Search no further than your trim product offerings. During the past decade, alternative trim products such as PVC, polyurethane and composite products have become favorites with builders and remodelers, and for good reason. Dollar for dollar, it’s more cost effective to install alternative products on a home than wood. That’s what experts at Market Resource Associates discovered when doing a hands-on comparison field study of professional contractors. “Our research shows that contractors save on time and labor by installing urethane products versus using built-up traditional wood pine pieces,” says John Cashmore, thenpresident of MRA. “Overall, using urethane products saved our research participants up to 19% on labor over a similar project that required wood product. We observed that using urethane products required less skill on the part of the professional installer and ensured a higher, repeatable quality element than when wood was installed.” For the research project, a small group of trade contractor participants were asked to create two entryway surrounds—one from built-up wood pieces and the other from a Fypon urethane door surround kit. MRA findings in the study include: • Built-up wood systems require substantially more time and dedication toward measuring, re-measuring and checking than the urethane system pieces. • The quality of work supplied by different contractors tremendously affects the look of the finished product. Those home exteriors in the study with wood built-up pieces showed dramatic inconsistency. Home exteriors with OOKING FOR GROWTH
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Building Products Digest
January 2013
urethane pieces installed showed consistency of product appearance. • Repetitive use of built-up systems (for example, in town homes) will have more continuity and accuracy when using standardized urethane pieces. • Jobsite waste was significantly less for the urethane products than the wood pieces. • Installation skill level needed for installing urethane products was far less than for piecing together a built-up wood system. Thus, subcontractors may be able to more successfully work with the urethane pieces than the wood products.
Exterior Door Surrounds
According to the independent research done by MRA, when analyzing an exterior enhancement project, urethane tops wood for savings. Installing a set of urethane plain fluted pilasters flanking an entry door and topping the door off with a crosshead costs an average of just $44 for labor and takes under an hour. To create the same door surround out of built-up wood is estimated to cost an average of $181 in labor and can take up to four hours for the same project. By offering fast “out-of-the-box and onto the house” urethane products, building product dealers can provide their customers with products that speed up installation times and save on jobsite labor. The additional benefits of urethane products—which can include shutters, window surrounds, soffit systems, and mouldings—include resistance to decay, water damage, weather and insect infestations. The high-performing products are available in hundreds of styles from various manufacturers nationwide. Many contractors already understand that urethane products are best for replacing built-up wood assemblies like crossheads, dentil moulding, window and door trim—anything with a three-dimensional profile. With urethane products there is also the ability to get one-of-a-kind custom pieces created that can set projects apart.
PVC on the Rise
For builders and remodelers looking for an alternative to wood, PVC is a strong fit for replacing flat wood stock or Building-Products.com
CONTRACTOR tops off a door surround with urethane millwork pieces that look like wood.
similar profiles. Long-term performance and appearance of PVC trim and board sheets are two of the most important attributes dealers can promote for these products. Since PVC products come with the option of smooth or woodgrain surfaces, these products are widely accepted by contractors needing products that are easy to work with, and won’t warp, split or check. Some PVC manufacturers offer conveniently packaged PVC trim products that make it easy for dealers to offer the product to their customers. Manufacturers offer PVC trim profiles in a variety of popular styles. The smooth profiles—including crown, base cap, brick mould, drip cap, historic sill, quarter round, rake moulding, rams crown, and Scotia cove mouldings—often come ready to use and easy to install. Dealers can also offer millworkgrade PVC board products, including bead board, corners, sheets and boards, that come in easy-to-stock carton packaging. Each piece of PVC is individually shrink-wrapped and placed inside the carton to protect it from dirt and blemishes once the carton is opened. These pieces can be used for corner trim, fascia and soffit system applications, window and door Building-Products.com
All photos courtesy Fypon
casing, wainscoting and flat panel applications. PVC products are impact- and moisture-resistant and do not have the potential to absorb water, making them an ideal long-term product for the interior or exterior of any project. The density and cell structure of the PVC allows the product to cut smoothly without chipping, making it the perfect material for routing and
milling. Dealers looking to stock PVC trim and board products should seek those offered by manufacturers that provide a limited lifetime warranty on the product. A large advantage of PVC products is that they may be placed directly against masonry without fear of decay or water absorption. They have no above-grade distance requirement and they will never rot.
Your Eastern & Midwest Redwood Specialist
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www.chicagosuburbanlumber.com January 2013
Building Products Digest
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PRODUCT Spotlight By Brian Kirkey, Ecoshel Inc.
The difference between cedar shingles and shakes
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between cedar shakes and shingles is less clear now than it was 50 years ago. Initially, cedar shingles were sawn from a block, while cedar shakes were split off using a mallet and froe. Cedar shingles are more precisely milled than shakes, and provide a more refined classic appearance, which is well suited to a wide range of styles. Shingles were the siding of choice for the post-Victorian “shingle style” of the late 19th century, as well as for the many styles of the Arts and Crafts period. Cedar shingles were very prevalent in the hundreds of Craftsman-style bungalows designed by Gustav Stickley, and were frequently specified for both roofing and siding installations. Cedar shake installations provide a more irregular, rustic appearance. They make a less sophisticated, more charming statement that works well for some smaller cottage styles. Most cedar shakes today are made by machines, and are sawn on at least one side. Shakes are sometimes machine-grooved to appear more like HE DIFFERENCE
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Building Products Digest
authentic hand-split shakes. Although cedar shakes today are seldom hand split, they still follow the dimensional rules of their predecessors, which vary by grade. Shakes are thicker than shingles, ranging from 1/2" to 3/4" or greater at the butt end, while shingles range from about 3/8" to 1/2". Functionally, the most important difference between cedar shakes and shingles is that shingles are milled more precisely than shakes. Cedar shakes are more irregular and don’t lay as flat when installed. This creates gaps that can be penetrated by wind blown precipitation. Because shakes can be penetrated by wind-blown rain or snow, a layer of felt paper is required between courses for roofing installations. Interleaving felt paper helps blocks wind-blown precipitation, and also allows shakes to be installed with two layers of shakes and one layer of felt paper—rather than three layers of shakes, which would be quite thick. Unfortunately, when installing cedar shakes, many roofers take January 2013
advantage of this felt interlayer as a license to ignore the code requirements. Joints between cedar shakes must still be offset by at least 1-1/2" from course to course. When joints in adjacent courses are aligned, or nearly so, the only protection from the elements is the felt paper, which has already been riddled with nail holes, and is easily torn. The felt underlayment was designed for temporary protection and as a secondary barrier for sparse and intermittent leaks, not as a primary weather barrier. Cedar shingle installations are more precise, lay flat, and are never installed with felt interleaving. For roofing, shingles are always installed so there are three layers of shingles at any point. Cedar shingles, properly installed as three overlapping layers, provide a highly weatherproof system, even in extreme weather. – Bryan Kirkey is president of Ecoshel Inc., Atlanta, Ga., manufacturer of a patented cedar shingle system for siding and roofing. Reach him via www.ecoshel.com. Building-Products.com
PRODUCT Spotlight Fiberglass Siding
Fiberglass siding looks up
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increased remodeling activity and new-home construction, Marvin is spreading the word about its newest product: fiberglass siding with the look of wood, without the maintenance. Named Apex, the siding is made of Ultrex, a fiberglass material developed and patented 20 years ago for Marvin’s Integrity- and Infinity-brand windows and doors. Produced in Marvin’s 110,000-sq. ft. manufacturing plant in Fargo, N.D., the fiberglass siding represents the company’s first expansion into other building products. “Innovation is the key to growth in today’s business world,” says president Susan Marvin. “Apex represents an innovative use of a proprietary technology that’s already been proved in tens of thousands of homes across the U.S.” Apex’s story began in 1990, when Marvin partnered with John Jambois to form Tecton Products in Fargo. Once Ultrex proved itself in Marvin’s windows and doors, it was time to look toward other product categories. In 2006, Tecton launched its structural siding line. Three years later, Tecton became a wholly-owned subsidiary of Marvin and the new product—now named Apex—was formally introduced. Despite the economic downturn, the product received notice as a good-looking alternative to traditional wood siding or other alternative siding materials. According to Marvin, Apex is the first fiberglass siding OOKING TOWARD
NEW PRODUCT has received notice as a good-looking alternative to traditional wood siding—or siding materials. Photos courtesy Apex Building-Products.com
FIBERGLASS doesn’t expand, so individual pieces can be butted tightly together for a pencil-thin joint.
that can be installed in overlapping boards, like traditional wood siding. The product is available in 10 colors, two widths—4” and 7”—and in either a smooth or woodgrain finish. Other pluses: • fiberglass doesn’t expand, so pieces can be butted tightly together for a pencil-thin joint • the durable, acrylic finish is four times thicker than paint, for increased resistance to fading and chipping • a built-in water management system lessens susceptibility to mold and rot • it is lighter than other siding materials, which makes it easier to work with and install “It truly looks like a mill-finished piece of wood,” says Bruce Peter, owner of Just Exteriors Plus, Wappingers Falls, N.Y. “It captures the appeal of wood, without having the maintenance.” Peter also appreciates that Apex is environmentally friendly. “Fiberglass is made of sand, just like glass is made of sand,” he notes. And unlike vinyl, it’s not petroleumbased so VOC gases aren’t released during manufacture and all leftover materials are ground up and reused. “With fiberglass, there’s nothing but advantages.” Currently, Apex is distributed by United Products Corp., St. Paul, Mn. (in Mn., N.D., western S.D., and Wi.); Parksite, Batavia, Il. (in Me., N.H., Vt., Ma., Ct., R.I., and eastern N.Y.), and Universal Supply, Hammonton, N.J. (N.J., southeastern Pa., and northern De.). January 2013
Building Products Digest
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COMPETITIVE Intelligence By Carla Waldemar
Hunting tons of business down South looned it to 15,000 sq. ft.—five times its former footprint. The year-to-year sales skyrocketed 82%, and margins mushroomed by six and a half points. Oh, and John doesn’t hide from his Do it Best rep anymore. “Now I love him to death.” And customers, needless to say, are thrilled. Contractors now encounter expanded lines of plumbing, electric, hard-
NEWLY BUILT store came just at the right time for Mississippi dealer.
F
OR YEARS ,
John Huntington and his brother, David, third generation in the family business, ran the Huntington Lumber Co. the way their dad—and granddad before him—had. No need to rock the boat in sleepy, little Hazelhurst, pop. 4,500, smack in the land-locked middle of Mississippi. They did a pretty good contractor trade out of the puny, 3,000-sq. ft. space. (Okay, it was cramped beyond belief, but the help could locate most of the SKUs even if their customers couldn’t.) But Roy, their regional services rep from Do it Best, kept up his tirade—“Man, you really need to build!”—until whenever John saw the guy coming, he cringed, then hung his head and tried to look busy. “But he made a strong case,” John had to admit, when cornered. “We had to do it; we’d outgrown our space.” So two years ago, lured in part by attractively low interest rates, and the detailed planning help Do it Best provided, the brothers caved. They set about building a brandnew store which not only doubled the size, oh no, it bal-
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EXPANDED PAINT and other departments has boosted Huntington Lumber’s business to consumers to 70% of sales compared to… Building-Products.com
ware and paint, to name a few. Brand-new departments include tools, lawn & garden, and housewares. And a whole new customer base has darkened the doors—the walk-in warriors of town, reversing the 70/30 pro-to-retail ratio to 30% pro and 70% retail, which, in this age of rigor mortis in home construction, has saved the day. “I wonder what our last year would have been like if we had not done the expansion,” says John with a mix of awe and horror. “Now, anybody who walks in can find anything they want.” The expansion goes beyond mere floor space. It was time to part with the easier, traditional ways of doing business, too (“We were old-school”), so (initially unwillingly, it’s true) they decided to open on Saturdays for the first time ever. Not that the brothers were all that eager to jump out of bed on a weekend, but apparently their customers were. “I was amazed!” John reports. “People kept coming up to me and saying, ‘Thank you!’—the walk-ins, the pros, even other business owners. It was a rewarding and a humbling, experience.” Staff has nearly doubled, to 20, too. “Experienced people would be best, but they’re hard to find,” he allows, so Huntington’s able old-timers trained the new crew, with a bit of help from vendors. “We didn’t know a lot about retailing, so it’s been a learning experience.” Yet the launch went well, indeed. “We did a contractors’ night before we opened, then held a huge grand opening—very successful,” he reports. For several weeks, Huntington held a Saturday sale for which they used 750 five-gallon buckets and invited customers to fill them up and receive a 20% discount on everything those pails could
… PREVIOUS customer mix had been 70% professionals, before the construction slump. Building-Products.com
hold. Did the promotion generate new business? “Very much so!” John is happy to report. “I was surprised at the number of new faces. We’d mailed circulars to towns 20 miles away, and folks drove in for the bargains. Will they come back? Well, we’ll be top-of-mind.” A showroom was on the books for the original, now vacated, store, but times have been just too busy to get to it (a happy problem). Next year! Nor does the outfit retain a dedicated outside salesperson yet. “But we have a real good construction salesman, a 19-year veteran. Still,” John ponders, “we need to look into that….” Meanwhile, Huntington installs the flooring it sells, thanks to a manager who’s a longtime flooring guy. For other projects, the outfit recommends its trusted contractor customers—a win/win that keeps all three parties satisfied. Huntington also operates a construction business of its own, run by both brothers, who each take on projects in turn as they roll in, making it a point to decline those upon which their own contractor customers have bid. “We step away from that,” John makes it clear. “But the construction business takes a lot of our time. With our new investment in the store, we’ll need to balance it more. It helps in overhead—definitely—but we definitely need to focus attention on the store. In the past, the two businesses were split 50/50, but these days it’s a little different. We did the addition at the right time. If we’d stayed where we were…” he shudders at the very thought. “There’s very little construction business going on around here, so without the (new) walk-ins, where would we be? “This year, we’re seeing a few more higher-end houses—around here, that means over $200,000—but in general, it’s repairs and additions. Contractors who, if you asked them to do decks a couple of years ago, would laugh—now they’re eager for the business.” And these days, the Huntington brothers are wellequipped to serve them. The addition has made them virtually the only act in town—a one-stop shopping experience other local stores can’t equal. And John loves every minute of it. Who knew? Not he. Not brother David. Not even their dad. He sent the two boys away to medical school (which, yes, they completed) but just when John was wondering what direction his life would then take, Dad made an offer. “Come home and work here while you figure it out.” That was in 1985, and he’s still figuring. “If I hadn’t come back after finishing college, I wouldn’t have had the relationship I have with my dad. Growing up, he was always busy, so Dad and I weren’t close. Now, we’ve travelled to Europe together and have a really good relationship. I would have missed out on that,” he muses. “I like the quality of life here in Hazelhurst—lots of timber around here, too. I like helping the little old lady looking for an air filter, and I like building a home for somebody. You’re always helping people figure out a problem. Plus, I get to work with family, and it doesn’t get much better than that.” Carla Waldemar cwaldemar@comcast.net January 2013
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OLSEN On Sales By James Olsen
Finding Mr. Right
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USINESS OWNERS, sales managers, and G.M.’s tell me, “James, we are looking to hire a salesperson. What we want is a guy/gal in his mid-thirties, preferably with a family (we like a guy who has responsibilities—married guys and gals with kids and a mortgage are easier to motivate. We all know what single guys are thinking about, and none of us has any idea what single women are thinking about!). “We want him to have a book of business that doesn’t conflict with any of our current account assignments. We want him to be a guy who doesn’t rock the boat. We want him to be able to fit into our culture. And, please, no baggage, drugs, alcohol, family problems, personal emotional issues, etc. “Signing bonus? We don’t want to pay him a signing bonus—I told you no prima donnas—sheesh, are you listening? We’ve got guys that are currently working for us who do his numbers. We didn’t pay them signing bonuses. That’s a big risk for us. What if he doesn’t work out? Besides, what does he need a signing bonus for? If he is that good, he’ll make that money when he comes to work for us. Because we do ________ better than where he is now, when he starts to sell ________, his commissions will pay for his move, right?”
The above expectations are restrictive. I know hundreds of salespeople and 95% of them don’t fit the above description. How we are going to grow their business based on finding an almost perfect candidate? This is as untenable as the salesperson who will only open “perfect” accounts; it just does not work as a sales growth strategy. It is one-sided. Salespeople who have built a following at one company take a big risk when they move. They leave behind a competitor with intimate knowledge of—and an established relationship with—their clients. No matter their talent, they will be in for the fight of their sales lives when they move. Is Mr. Right out there? Yes. In fact, one of the main responsibilities of sales management is to be on the lookout for talented salespeople who want to change companies for any reason. But this cannot be the only part of the strategy. It is too inconsistent.
Your Foibles ≠ Company Values
I have a client who does not like serving the emotional needs of his sales team. Heck, he thinks it’s unprofessional to even bring such things up at work. I tell him that sales has its own brutal natural selection and that if he puts his
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own personal leadership filter (I only want the emotionally stable) on top of this natural selection, it will narrow the field of candidates even more. Growing a sales force will be challenging enough. Your company culture and values are important. But don’t confuse them with your personal preferences. Make sure that your requirements are based on performance and results and less on your personal desires or prejudices. (And give them a hug for crying in the sink!)
Budget for Growth
Companies that are unrealistic in terms of hire date, speed to profitability, and that do not budget accordingly will have inconsistent growth. Companies that are great at sales growth: • Budget statistically. They budget realistically for the success/failure rate for sales hires. • Are realistic in time to profitability forecasting. • Have great training programs. • Hire slowly—multiple interviews with multiple levels in the organization. Potential hires speak with different salespeople and leaders within the organization. • Fire quickly. They have a plan and patience, but if the salesperson just can’t do it, then they cut the cord quickly. • Fire the unproductive. If unproductive salespeople are not fired, there is no budget for new blood.
Look for and Hire Attitude
The two most important ingredients of the successful salesperson are empathy and the will to conquer/win (Mayer and Herbert Harvard Business Journal 2006). Do not confuse empathy with likability or you will end up with a sales force that wants to be liked more than it wants to win. Business experience is helpful, but more important than product knowledge is people knowledge. Knowledgeable information dispensers will be overwhelmingly outsold by empathetic sellers with a killer instinct. James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com Building-Products.com
MANAGEMENT Tips By Dennis Connelly
Recruiting in the new sales environment
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HERE’S A SLOW, SUBTLE shift underway in how building materials companies are recruiting salespeople. In my recent conversations with distributors, I found it interesting to learn just how surprised they were by this major change, since it goes against years of conventional wisdom. After three decades of selling to and for LBM distributors and retailers, and training hundreds of sales staff, I am excited about finally being able to help companies navigate through these trying times. Why are these changes occurring? Selling has undergone a massive shift in the past 10 years. If your salespeople are still selling transactionally—presenting features and benefits—or they selling only on the strength of their great long-term relationships, then they are having difficulty generating business from new accounts, as well as growing their existing accounts. Customers are more educated and in some cases, they know more than the typical salesperson of 10 years ago. Back then, the salesperson educated the customer, who often welcomed the information. Today, customers usually know what they want and are looking for the best value or worse, the best price. Salespeople are learning that the relationship is not enough to overcome resistance and objections. Today, a consultative approach that uncovers problems and opportunities and leads to discussions about issues that your customers hadn’t considered works best to differentiate your company and move your salespeople away from commodities and prices. That approach just won’t work unless they develop the ability to ask a lot of good, tough, timely questions while using an effective sales process. Customers must notice your salespeople. They need to recognize that you are different and your salespeople must get their undivided attention above all the noise of competing people and products. That’s your point of differentiation. When you call, they take the call, not because they like you, but because they rely on you! And that brings us to the shift we are seeing in how sales staffs are recruited today. If you agree that there are vast differences in selling skill requirements today, then where do you find the talent to meet the challenge? One distributor recently hired someone away from a call center in an unrelated industry. He said, “This guy comes in with
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no call reluctance whatsoever. He’s just used to it. He knows how to sell and he’s making inroads where we hadn’t performed well in the past.” None of this implies that there isn’t tremendous value in industry knowledge. The question is can veterans in our industry make the shift to a new way of selling and maximize growth? If not, can you grow your company more effectively by bringing in talented selling superstars, regardless of their industry background? Has your company returned to double-digit annual growth? If not, why? Are your people saying, “We can’t do this, because…?” You can’t use the economy as an excuse. You need to be thinking very hard about two things: • Can my existing salespeople make the required changes in order to return us to double-digit growth? • Can we succeed by hiring the same kinds of salespeople that we have always hired? The shift from traditional industry professionals toward salespeople with consultative selling skills is an important and timely change. Are you ready to make this change? – Dennis Connelly is an experienced lumber industry executive who also served on the Joint Coatings Forest Products Committee. He is now v.p. of business development at international sales consulting firm Kurlan & Associates. Reach him at (508) 320-4900 or dconnelly@kurlanassociates.com.
Building-Products.com
UFPI Rolls Out Pro-Grade Brand
Universal Forest Products, Grand Rapids, Mi., has taken its ProWood brand to a new level, offering pro-grade products to both contractors and serious do-it-yourselfers. “For years, we used the ProWood name to identify a number of high-quality Universal products,” said president and c.e.o. Pat Webster. “Today, ProWood is the exclusive
DEALER Briefs
Bulls Bay Supply , McClellanville, S.C., has been
placed up for sale.
Ace Hardware Corp. acquired 85-unit Westlake Ace Hardware, Lenexa, Ks., for $88 million. Rand Lumber Co., Rye, N.H., closed Dec. 7 after 107
years. Third-generation owners Jim, Ken and Kathy Rand are liquidating all assets, including the 18-acre lumberyard and 65acre tree farm.
SRS Distribution , McKinney, Tx., agreed to buy Gary-Hobart Roofing & Supply , Hobart and
Valparaiso, In. SRS is expected to retain current management, including president Jack Ronneau and v.p. Rod Ruess, who will serve as district mgr. for Indiana.
Mayfair Lumber, Jefferson Park, Il., is closing after more than 80 years due to the poor economy. Crane Johnson Lumber Co., Fargo, N.D., opened yard #5 in Surrey, N.D. (Tony Watterud, v.p. and mgr.).
TV HOST Jason Cameron is now spokesperson for ProWood professional grade lumber products from Universal Forest Products.
brand for our treated lumber and outdoor products that are backed with a lifetime limited warranty, from dimensional lumber and decking to finished products, like fencing. It’s the all-in-one solution for pro-level performance from pressure treated wood.” According to brand manager Chris Fox, another upgrade is the availability of Dura Color infused-color technology for dimensional lumber. “If it comes with a ProWood endtag,” he said, “you can be sure the product will perform.” Jason Cameron, licensed contractor and host of DIY Network’s Desperate Landscape and Man Caves shows, was recruited to introduce the products through a new website, social media, print ads, point-of-purchase programs, videos, a deck contest, and much more. “He’s an engaging and well-known television personality who isn’t just an entertainer, but also an expert,” said Mark Deremo, director of marketing communications.
Pinckney True Value Hardware, Pinckney, Mi., has been acquired by longtime employees Mary Banister and Wendy Robertson. Arrow Ace Hardware lost its lease and closed its 14year-old store in SE Rochester, Mn., Dec. 22. Three of the chain’s other 10 stores are in other parts of Rochester, but owner Dave Neiman is hunting for a new location in the southeast portion of town. Monahan’s Hardware, Elbow Lake, Mn., has been opened by Sue and Bob Kulbeik, their 4th location. Ace Hardware, Barrington, Il., has been opened by
John Brown.
True Value Hardware, Bay Village, Oh., closed at the end of December after 24 years due to big box competition. Ace Hardware next year will open a 10,000-sq. ft. store
in Champaign, Il., owned by Niemann Foods.
Lowe’s opened a 94,000-sq. ft. store with 26,500-sq. ft.
garden center Dec. 21 in Dayton, Tn., and applied to build a 134,815-sq. ft. store with 24,390-sq. ft. garden center on 10 acres in Norwalk, Ct.
Menards has shelved plans to open a store in O’Fallon, Mo., citing President Obama’s economic policies. Comanche Home Center, Lawton, Ok., became the first dealer to utilize BlueTarp’s new eMarketing services. Building-Products.com
Fulton, Mississippi • www.homanindustries.com (662) 862-2125 • Fax 662-862-4900
Your Southern Pine Specialty Remanufacturer What Do You Need? Superior Service at Competitive Rates Made the Way You Want It Specializing in 6x6, 6x8, 8x8, 10x10
True 2&Btr. with # 1 Stamped ___________________ Lumber Protected
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Treatments • Wolmanized CA-C Good Housekeeping Seal SCS Certified Environmentally Preferable NAHB Research Center Green Approved
• CCA ___________________ Sourced from
SFI Certified Forests January 2013
Building Products Digest
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GREEN Retailing By Jay Tompt
Green retailing and the lesson of resilience
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HIS IS THE TIME of year when we get to take a step back from the day-to day grind of running the business and reflect on the year that was. Why? To learn, so we can do what’s necessary to improve in the coming year and into the future. The first step is looking at the business metrics, comparing performance against plan, and so forth. Diving into the numbers is necessary, informative, and boring as hell. You’ve got to do it and in times of certainty and little change, it’s sufficient. But that’s not the world we live in. More enlightening is taking the time for deep reflection on strategy. If you’re a lone wolf who does best keeping your own counsel, head off by yourself to some place that inspires you. Take the time to consider what you know, and don’t know, about the changing world you live and do business in. If you lead a management team, take them on a “visioning” retreat that will afford the space and time to adequately consider the new context within which your business operates. What lessons have you learned? This past year—with shifting climatic patterns, extreme weather events, unstable macro and regional economic conditions, and rising energy prices—gave a taste of what’s in store in coming years. Against this background, construction activity is trending up, especially green building, so that’s a somewhat predictable constant, but being prepared for an uptick in green building isn’t the same as being prepared for Hurricane Sandy. If there’s one lesson I’ve learned from this past year, it’s that we need to think hard about how we can build resilience into our communities and businesses, and into the built environment, generally. Resilience is loosely defined as the ability of a system to absorb a disturbance and continue functioning without collapsing—in other words, “bounce-back-ability.” This is critically important as we enter a new era of super storms, volatile energy prices, and shifting economic priorities. How can we continue to function even when lights go out for days, supply
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chains are cut, or fuel prices suddenly skyrocket? In practical terms, we can begin to outline what this might mean for the home and shelter supply chain, generally, and for individual dealers. More green building products and materials, yes, but what else? Robustness, redundancy, and diversity are three key attributes of resilient systems and are concepts that might inform new product development, categories, and services. Can we retrofit homes to withstand 150-mph winds? Can we build backup energy systems that don’t rely on gas or diesel? Can we develop multiple sources of supply for essential goods, multiple sources of income, and multiple sources of finance? These kinds of questions will undoubtedly gain in importance over the next few years. Obviously, last year was crazy, but we can learn some good lessons from it. More importantly, this industry is already in a good position to begin developing resilience within, as well as helping our customers, stakeholders, and wider communities do the same. What that looks like will differ depending on local conditions. Maybe one day, home centers will include a “resilience department” wedged in between plumbing and electrical. Whatever the future holds, we’ll be better prepared by thinking deeply about the lessons we learned this past year. Jay Tompt Managing Partner Wm. Verde & Associates (415) 321-0848 info@williamverde.com www.williamverde.com Building-Products.com
Wood Products Attend Inauguration
When President Obama takes the oath of office on Jan. 21, he will be standing on a platform made of Douglas fir supplied by Grasmick Lumber, Baltimore, Md., distributed by Sherwood Lumber, Islandia, N.Y., and manufactured by Sierra Pacific Industries’ sawmills in Aberdeen and Burlington, Wa. “SPI is the largest producer of these types of long/wide
SUPPLIER Briefs Warren Trask Co. relocated its operations and office headquarters Jan. 1 from Stoughton, Ma., to a larger, recently acquired complex in Lakeville, Ma. Located just south of I-495, the facility has roughly 75,000 sq. ft. of protected storage and office space over 9+ acres. “The layout and location of the facility will enable us to continue on our current growth path,” said v.p. Bernie Nugent. Jordan Lumber & Supply, Mt. Gilead, N.C., is considering investing $1.5 million and adding 50 jobs to expand to solid wood production at its fencing plant in Biscoe, N.C. Operations could begin as early as this year. Kleer Lumber, Westfield, Ma., agreed to sell its assets to Tapco parent Headwaters Inc., South Jordan, Ut. Jerith Mfg. , Philadelphia, Pa., acquired Delgard Premier Aluminum Fencing from Delair, Delair, N.J.
Delgard’s 300,000-sq. ft. plant will be consolidated into Jerith’s 444,000-sq. ft. facility.
Masonite next month is shuttering its door plant in
DOUGLAS FIR produced by two of Sierra Pacific’s mills—distributed by Sherwood Lumber and sold by Grasmick Lumber—was used to build the inauguration platform in Washington, D.C.
boards in the U.S., which explains why the supplier back East continues to make purchases of our Washington lumber—quality counts,” said Sheri Nelson, SPI spokesperson. Sherwood is one of SPI’s largest distributors. This is the fourth consecutive presidential inauguration in which the platform was built using Sierra Pacific lumber. About 200,000 bd. ft. was used, enough to build about 13 average-size homes. Much of it was 2x4s, but wider 2x12 and 2x16 planks—up to 26 ft. long—were also used. On the big day, the more than 10,000-sq. ft. platform will hold more than 1,600 guests.
Kirkwood, N.Y.
Wurth Wood Group, Charlotte, N.C., is now distributing Flakeboard particleboard, MDF and TFL products at its 12 branches in the Southeast. PPG Industries, Pittsburgh, Pa., agreed to pay $1.05 billion for AkzoNobel’s North American architectural coatings business. The deal includes its North American architectural coatings production and distribution facilities, paint stores, and product lines, including Glidden, Flood, Liquid Nails, SICO, and CIL. Weyerhaeuser has added Versatex products at its DCs in Minneapolis, Mn., and Chicago, Il. In addition, Weyco’s DCs in Baltimore, Md.; Pittsburgh, and Easton, Pa., have added TAMKO decking and railings, extending its TAMKO distribution to 21 of its 22 markets. Guaranteed Supply Co. is now distributing Sto EIFS and stucco products at its 12 branches in the Carolinas and Norfolk, Va. Horizon Forest Products added a 25,000-sq. ft. branch in Charlotte, N.C. (J.D. Ziegelhofer, mgr.). NyloBoard, Covington, Ga., received Code Compliance Research Report 0183 from Architectural Testing Inc. for its NyloDeck products. Boral Composites, Roswell, Ga., won LEED silver certification for its Boral TruExterior Trim plant in East Spencer, N.C., which was completed in 2011. Building-Products.com
January 2013
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SPECIAL Focus Western Woods
Douglas Fir-Larch design values confirmed
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WOOD Products Association has completed testing of Douglas Fir-Larch lumber in cooperation with other western lumber agencies. Analysis of the 2012 test data indicates higher (+5.5%) bending strength, (+5.0%) tensile strength, and (+8.1%) stiffness properties than those established in the 1980s’ North American in-grade lumber testing program. The data has been submitted to the USDA Forest Products Laboratory for review. The analysis will be completed prior to consideration of the test report by the board of review of the American Lumber Standard Committee for confirmation at its January meeting. The comparison to the properties established in the original in-grade testing program indicates no needed change to the published design values for Douglas FirLarch lumber. The monitoring program affirms current uses, building code recognition, and recognized span data for the species group will remain the same. Had the data indicated a shift in properties, the test findings would have to be reviewed by the cooperating agencies’ memberships and appropriate actions taken. The coordinating western lumber agencies—including Pacific Lumber Inspection Bureau (PLIB), Redwood Inspection Service (RIS), Timber Products Inspection ESTERN
(TP), West Coast Lumber Inspection Bureau (WCLIB), and Western Wood Products Association (WWPA)—have been working together since early 2011 on the testing program to monitor western lumber design values. This has resulted in the joint effort of these agencies on the sampling and testing of western lumber. The published lumber design values are based on the ingrade lumber testing program. The testing plan was approved by the board of review of the American Lumber Standard Committee in 2011. The plan required destructive testing of 360 pieces in bending and 360 pieces in tension of Douglas Fir-Larch No. 2 2x4 lumber. Professor Robert Fountain of Portland State University provided statistical support for the testing program. A total of 36 representative mills were selected for lumber sample collection from the Douglas fir and western larch production region. The test lumber samples were representative of the lumber volume destined for the marketplace. Following Douglas Fir-Larch, other western species including Spruce-Pine-Fir (South) and Hem-Fir will be sampled and tested. The testing of western species lumber is conducted periodically to monitor for changes, to allow for timely actions to be taken, if needed, to support western lumber products.
DOUGLAS FIR 2x4 lumber underwent bending tests at WWPA’s testing facility to ensure no changes were required to published design values.
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January 2013
Building-Products.com
SPECIAL Focus Western Woods By Hakan Ekstrom, Wood Resources International
Sawlog prices rise as western mills up output to meet higher demand L
owners in the Pacific Northwest have good reasons to be more optimistic about the new year since there are signs that demand for timber will increase in 2013. Housing starts in the U.S. jumped to 894,000 units in October. This was 19% higher than in August, and as much as 42 percent more than in October of last year. For the year, housing starts were at their highest levels since 2008, and market analysts expect the next 12 months to be bumpy but still upward-trending. The improved housing market has been good news for many sawmills in North America, including the U.S. Northwest. Lumber production in 2012 was higher throughout the continent as compared to 2011, with an increase of 5.9% in the first nine months year-over-year in the U.S., and of 4.6 % in Canada over the same time period, according to WWPA. The U.S. Northwest is the region that has experienced the biggest increase in the production of lumber this year, with a 9.7% jump yearover-year. It is also interesting to note that for the first time in two years, sawmills in the western U.S. produced as much lumber as the mills in the U.S. South in September. Typically production levels are higher in the U.S. South than in the West. Sawmills in West benefited not only from improved domestic sales, but also from a continued healthy overseas market in Asia to which the western sawmills export between 10% OGGERS AND TIMBERLAND
LOG EXPORTS and imports to the U.S. Northwest.
SAWLOG PRICES in Western U.S.
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(Sources: Customs data and WRI LLC)
(Source: North American Wood Fiber Review) ď Ž
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(Continued on page 30) Building-Products.com
Prices, Production Rise (Continued from page 28)
to 15% of their production. Although lumber exports were down about 30% in 2012 compared to 2011, the year’s shipments to Asia were still expected to reach the second highest level in 15 years. The log market in western U.S. has seen quite a shift in the log flow during 2012, with logs going to the local sawmills rather than to the export docks. Log export volumes to Asia, with China being the major destina-
tion, fell about 22% in 2012. The reduced log demand from China has been good news for lumber producers in both Washington and Oregon, since it has taken off some upward price pressure that otherwise would likely have occurred had the log export market continued to stay at the 15-year record highs that were experienced in 2011. The log consumption at the local sawmills was up by almost 10% this year, and this higher demand for logs has been met by a combination of higher timber harvests, increased log
imports from Canada and a diversion of logs from Asian to domestic consumers. The net exports of logs have fallen from 8.7 million cubic meters in 2011 to an estimated 6.4 million cubic meters in 2012. (The approximate average conversion factor for West Coast logs is 1,000 bd. ft. for every 6 cubic meters.) Log imports from coastal British Columbia to sawmills in western Washington this year are predicted to reach their highest levels in four years. Timber harvests have also gone up in the Northwest and 2012 is likely to be the third straight year when harvest volumes have increased year-overyear, reaching the highest level seen since 2007. Sawlog prices have not yet gone up as a result of the improved lumber market. Prices in the U.S. Northwest, have been surprisingly flat for more than a year, with Douglas fir prices averaging close to $90 per cubic meter and hemlock log prices hovering around the mid-$80s, according to the North American Wood Fiber Review. However, in early November, there was increased upward pressure on sawlog prices in the West from Chinese log buyers that were more active in the market than earlier in the year. Although sawlog prices are currently at their highest levels in over five years, they are still way below the record highs during the 1990s. The Douglas fir log prices in November were just below the 15year average of $93 per cubic meter, while hemlock prices are well above the 15-year average of $68 per cubic meter. With the expected continued improvement in the U.S. lumber market and Chinese log buyers continuing their presence in the Northwest, it is likely that sawlog prices in the region will move upward in 2013 and that hemlock log prices may reach their highest levels in at least 15 years. – Hakan Ekstrom is president of Wood Resources International LLC, Bothell, Wa., and editor of the Wood Resource Quarterly. WRI publishes two quarterly market reports tracking market developments, as well as sawlog, pulpwood, lumber and pellet prices in most key regions of the world. Reach him at info@wriltd.com.
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Building-Products.com
SPECIAL Focus Western Woods By Craig Larsen, Softwood Export Council
International markets continue calling on western softwoods
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marketplace for U.S.-produced softwood lumber continues to be a small but steady destination for western softwood species, especially in the Pacific Rim countries. The market took a huge jump in 2010 and 2011 with the addition of China as a major buyer of U.S. softwoods. Exports for 2010 finished 51% ahead of 2009, at more than $843 million and 1.3 billion bd. ft. Softwood shipments for 2011 took another huge jump with a $1.32 billion export value with more than 1.63 billion bd. ft. shipped overseas. China entered the market in a big way, pushing it to the #1 spot with $245 million in value and 414 million bd. ft. Japan continued to improve, with $154 million in value and 173 million bd. ft. received in 2011. Two other $100 million markets were Mexico and HE INTERNATIONAL
Building-Products.com
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Canada, including re-exports overseas. International markets cooled in fourth quarter 2011 and were slow to start up again in 2012. Exports have picked up during this second half of 2012 and are only down 10% from 2011 and above 2010. Estimated value for 2012 should be just under $1.0 billion in value and 1.25 billion in board footage. This year, China dropped way back from its import levels of 2011, and may end up back into the #4 position, behind the steadily growing markets of Canada, Mexico and Japan. Regional markets estimates in 2012 for U.S. softwoods include the Caribbean at $124 million, Southeast Asia at $45 million, and the European Union at $25 million. South Asia,
including India and Pakistan, and the South Pacific, including Australia and the French Pacific Islands, combine for another $36 million in exports. Central and South America combine for over $5 million in shipments. Western species continue to have the major share of the international markets. Douglas fir has climbed from $58 million in 2005 to $283 million (30% of all softwood export) in 2011 and should drop only a little to $265 million in 2012. Hemlock has climbed from $11 million to $161 million in 2011, but dropped in 2012 to $79 million, mostly from China. Ponderosa pine maintained a steady market at about $32 million in 2011, but jumped to $40 million in 2012.
Southern pine shipments reached $175 million in 2011, but dropped to $144 million in 2012.
Markets
In the worldwide lumber market, U.S. softwood producers are still small suppliers in international softwood markets. Europe, Canada, Chile, New Zealand, and Russia are the major exporting regions or countries for softwood lumber products. International markets’ requirements and product uses vary widely by species, size, grade requirements, and end use of the materials. Traditional U.S. structural species, such as Douglas fir and hemlock, are found in many non-structural products. Lower grades of all species, of limited value in structural applications, find a home in crating, pallets and packaging. They are used in many remanufacturing and gluing facilities, in parts of the world with much lower labor rates, for furniture and millwork components. Wood frame residential construction is mostly limited to North America, Japan, and parts of Oceana. Even in those markets, North American framing system using 38mm x 89mm (2x4) structural members is limited to the U.S., Canada, and a small segment of Japan. Japan is the second largest wood frame construction market in the world. But of Japan’s nearly 450,000 wood frame units in 2012, only 98,000 were 2x4 based. The vast majority were traditional Japanese metric post and beam timber construction using metric sizes. Structural framing sizes in Australia and New Zealand use 35mm and 45mm by 90mm and 100mm sizes. U.S. softwood producers successful in these markets are providing metric sized lumber to compete with other imported products mainly from Europe and Canada.
International Uses
Most of the U.S. softwood exported is for non-structural uses. Interior applications, such a doors, windows, frames, mouldings, flooring, paneling, and other millwork is a prime destination for both pine and fir species. Furniture parts and glued panels are also a destination for softwood lumber. Western species, such as Douglas fir and hemlock in the clear and other upper grades, are prized in Europe for wooden window and door parts and frames. Ponderosa and other western
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January 2013
Building-Products.com
pines are used in rustic pine furniture and for upholstery frames in Mexico, China and Vietnam. U.S. producers are selling both metric and imperial sizes into these markets because much of the stock is ripped and resawn to provide “finished” metric sizes for the local markets. A large portion of exported lower grades in softwoods are used in concrete forming for forms, wailers and support posts. Much of the worldwide structural construction is based on the use of concrete, so there are a large demand for formwork materials at all levels. Some world markets require structurally graded materials, some cultures use the material repeatedly, but some see wood as a single-use material and aim for a cost-competitive disposable supply, and use the remains for fuel or local d-i-y projects.
should top out at $144 million. Mexico is a low-grade pine market, with ponderosa pine the leading known species imported, behind “other softwoods.” Uses include furniture components, concrete forming, pallets, crating and millwork. Douglas fir is also imported for some structural applications along the border. The major competition is radiata pine from Chile. The Softwood Export Council is the U.S. western softwood link to international markets and marketing activities. The SEC and its member organizations, grading agencies, trade associations, and state agencies pro-
vide marketing programs, including trade shows, trade missions, market sourcing, design and usage information in native languages. A special SEC program helps put U.S. companies in direct contact with foreign buyers by helping with travel expenses to shows and on trade missions. Whether you’re a producer, wholesaler or retailer, you probably have a link to the SEC and its activities through an SEC member. – Craig Larsen is president of the Softwood Export Council, Portland, Or. Reach him at (503) 620-5946 or clarsen@softwood.org.
Markets for western species
Western softwood species have found distinct foreign markets based on species and size. For strength, long lengths, and large sections of solid lumber, or for tight close grain materials, the U.S. West is the place to go. The Pacific Rim is the leading market for western species. China was the top destination in 2011, but dropped behind Japan in 2012. China has grown by a factor of 10. In 2005, exports to China were $23 million (33 million bd. ft.), rising to $245 million in 2011. In 2012, however, China decreased 50% to $125 million. Hemlock was the leading U.S. species imported in 2011, at $105 million and took the biggest hit in 2012, down to $29 million. Douglas fir was $37 million in 2011, but fell to $24 million in 2012. Japan is the major export market for U.S.-produced Douglas fir, importing $137 million,which represented 50% of all Doug fir exported in 2011. The vast majority of the product is in metric sizes and lengths for post and beam construction. Western hemlock and hem-fir were second at $4 million. Other notable species include redwood, western red and yellow cedars, and ponderosa pine. For 2012, exports were on track to increase by more than 8% over 2011. Mexico was the third largest market for western species in 2012. A market value of $126 million was exported to Mexico in 2011, and 2012 Building-Products.com
January 2013
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MOVERS & Shakers Brandt Mitchell, ex-Fortress Wood Products, has been named general mgr.-residential group at Cox Industries, Orangeburg, S.C. Frank Renner has retired from TriState Forest Products, Perrysburg, Oh., after 41 years in the industry. Michael Zins, ex-Gillman Home Center, is back in contractor sales at Carter Lumber, Shelbyville, In. Brian Rasich rejoined Weyerhaeuser, Bethlehem, Pa., as a dealer sales rep for eastern Pennsylvania. Joshua Foster, ex-K3 Lumber & Supply, has joined West Orange Lumber, Groveland, Fl., as outside sales account mgr. Dan Klobedans, ex-Builders FirstSource, is new to sales at Stock Building Supply, Schertz, Tx. Brad Hembree, ex-Marvin’s, has been named general mgr. of NFL Home Center, Daphne, Al. Mike Smith, ex-Sherwood Lumber, joined Kleer Lumber, Westfield, Ma., as regional sales mgr. for the Southeast, overseeing Fl., Ga., Al., and Ms. He is based in Jacksonville, Fl.
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Building Products Digest
Ron Neary has been named general mgr.-exteriors business at Home Acres Building Supply, Grand Rapids, Mi. Earl Stephens, distribution center mgr., Boise Cascade, Memphis, Tn., has retired after 40 years in the industry. John Maley, ex-F.P. Supply, has joined BC, Marion, In., as EWP department mgr. Joe Ryglicki is now in sales at the Specialty Windows & Doors division of Wehrung’s Lumber, Ottsville, Pa. Alan Bettis, ex-Bettis Hardware, has been named general mgr. of Whit Davis Lumber Plus, Greenbrier, Ar. He succeeds Bob Robinson, now a corporate buyer in Jacksonville, Ar. Larry Marrs, ex-ProBuild, is now general mgr.-millwork & windows for Mill Creek Lumber, Broken Arrow, Ok. Skylar Anderson, ex-Kruse Enterprises, is a new structural product specialist at BlueLinx, Fort Worth, Tx. Lucas Reiners is new to sales at Timber Wholesalers, Burnsville, Mn.
January 2013
Phil Lauer, ex-Precision Framing Systems, is the new product mgr.EWP for ProBuild Holdings, Raleigh-Durham, N.C. John Diehl, ex-Marjam Supply, is now a technical sales rep for RedBuilt, N. Salem, N.Y. Matt Holloway, ex-Georgia Pacific, is a new supervisor at Weyerhaeuser, Dodson, La. Marcie Quian, ex-RSG, has joined the sales team at Allied Building Products, Largo, Fl. Karen M. Gravelin has been promoted to v.p.-corporate administration at Rocky’s Ace Hardware, Springfield, Ma. Marise Kumar has been appointed senior v.p.-strategy & modeling for Lowe’s, Mooresville, N.C. Rick Wheeler, ex-Midwest Hardwood, has been named sales director for Turn Bull Lumber Co., Elizabethtown, N.C. Tim Norum is now paint & hardware buyer for Blain Supply, Janesville, Wi. Frank Foster, ex-Symmons, has been named director of marketing for Arrow Fastener, Saddle Brook, N.J. Valerie Misa is new to marketing at NyloBoard, Covington, Ga.
Building-Products.com
Ron Beal, president, Orgill, Memphis, Tn., added the title of chairman, with the retirement of Bill Fondren, who remains a director. Brett Hammers succeeds retiring Ken Post as chief merchandise officer, and Jeff Curler replaces retiring Steve East as v.p.-advertising. Jamie Kutzer has been named chief administrative officer for Allied Building Products Corp., East Rutherford, N.J. Mike Kauchak is new to US LBM Holdings, Batavia, Il., as marketing mgr. Mike Finn has joined Uniboard, as regional sales mgr. for the Indianapolis, In., area. Christopher Salvador, ex-Max USA, is new to Fasco America, Muscle Shoals, Al., as Boca Raton, Fl.based Southeast regional sales mgr.
Building-Products.com
Kevin Mount is now with Kobrin Builders Supply, Orlando, Fl., as regional sales mgr. for Palm Coast to Melbourne, Fl. Danielle Bentley is new to Magbee Contractors Supply, Winder, Ga., in inside sales-EWP/trusses and installed sales. Angela Nelson joined the marketing team at Versatex, Aliquippa, Pa. Greg Ciampa, ex-Coastal Forest Products, is new to outside sales at ABC Supply, Manchester, N.H. Marise Kumar has joined Lowe’s Cos., Mooresville, N.C., as senior v.p. of strategy & modeling. Brent Nichols, ex-McElroy Metal, is new to sales at Building Products Inc., Waterloo, Ia. Kristy Rivera has joined CalStar Products, Racine, Wi., as Chicago area-based Midwest market mgr.
January 2013
Brion Gallop, ex-Square Deal Building Supply, has jonied GAF, as Steep Slope territory mgr. for the Detroit/Saginaw, Mi., market. Don Randolph has been promoted to retail performance mgr. for Do it Best Corp., Fort Wayne, In. Cindy Kloskin, ex-Donlin Co., has joined the customer service team at Ferche Millwork, Rice, Mn. Michelle Kam-Biron, ex-WoodWorks, is now director of education for the American Wood Council. Lori Koch is now project engineer; Bryan Knight, web development coordinator, and Marcie Weeber, part-time program assistant. Ella Vader has a new second-story office at Mungus-Fungus Forest Products, Climax, Nv., according to co-owners Hugh Mungus and Freddy Fungus.
Building Products Digest
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NEW Products
Pro Wall Texture
Homax Pro Grade Wall Texture combines the control of a hopper gun with the convenience of an aerosol. The self-priming, low odor spray can be controlled with a pressure-adjustment toggle and pattern control dial, to match orange-peel wall patterns. Each can covers up to 125 sq. ft., while a slight tint improves visibility during application.
High-Speed Grinding
HOMAXGROUP.COM
The GE950G-Plus grinder by Metabo has a spindle lock and wide-speed range, to handle a wide variety of construction applications. The tool has a LongLife motor, 950 watts of power, a rated load of 7,200 rpm, and 27” lbs. of torque. Other features are thermal overload protection, electronic speed stabilization, and an electronic soft start to extend tool life.
(800) 729-9029
METABOUSA.COM (800) 638-2264
Start Those Shingles
ShingleStarter waterproofing membrane by MFM Building Products is now available in tri-lingual packing: English, Spanish, and French. The product eliminates the need to cut shingle tabs, bonds to the roofing substrate, and has a sealing strip to prevent wind uplift at the roof edge. It also selfseals around nails, fasteners, and punctures, to prevent water penetration. Packaged eight to a carton, each roll measures 7.2” wide by 33.5” long.
ProVia Heritage entry doors are constructed of fiberglass with hardwood stiles and square-edge construction. High-definition embossed panels look like real wood, but resist denting, splitting, cracking, and warping.
MFMBP.COM
PROVIAPRODUCTS.COM (877) 389-0835
(800) 882-7663
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Building Products Digest
Doors With Heritage
January 2013
Building-Products.com
Window Geometry
Always on Patrol
The Patrol GFCI receptacle from Cooper Wiring Devices also provides an LED nightlight. A lockout feature renders the receptacle inoperable if improperly wired or tripped. A sensor automatically controls the nightlight, which has a warm, incandescent-like glow.
Geometrics Windows from Precise Plastics come in four different shapes that can be installed as stand-alone picture windows or mulled together to create a variety of window shapes and styles. An interlocking nailing flange locates each window in the correct position when mulling. Both interior and exterior trim frames have locating ribs for a professional mitered look.
GEOMETRICSWINDOWS.COM (855) 809-7179
Cottage Windows
Marvin’s Integrity Windows & Doors division produces cottage-style windows in all styles. Made of pultruded fiberglass, the windows have a 40/60 sash split and a 60/40 reverse split. Equal sash configurations also are offered in a range of designs.
INTEGRITYWINDOWS.COM (888) 419-0076
COOPERINDUSTRIES.COM (713) 209-8400
Flooring Adhesive
Deck Rail-to-Framing Connector
Devilish Blade
DriTac 5000 is a hard-set, pressure-sensitive adhesive for installing vinyl tile and vinyl plank flooring. Available in 1- and 4-gallon plastic pails, the product can be used over moisture-free concrete, plywood, hardboard, terrazzo, steel, and well-bonded, wax-free floor coverings.
Simpson Strong-Tie’s DTT2Z connector attaches deck-railing posts to deck framing. Protected by a Zmax coating, the fastener ties posts into deck joists—rather than the rim joist alone—for a stronger connector. It is also load-rated as a holddown for light-duty shearwalls and braced wall-panel uses.
Diablo’s Demo Demon blade delivers durability in the most extreme construction situations: demolition, renovation, and remodeling. Each 7-1/4” x 24 tooth blade is laser-cut of high-strength steel, then protected with a permanent non-stick coating to resist heat, rust, gumming, and corrosion.
DRITAC.COM
STRONGTIE.COM
DIABLOTOOLS.COM
(800) 394-9310
Building-Products.com
(800) 999-5099
(800) 334-4107
January 2013
Building Products Digest
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Majestic Flooring
South Mountain’s Palazzo hardwood flooring offers the strength and durability of Asian teak. Four colors are available in solid hardwood, three in an engineered, wire-cut option. Both are protected with six coats of UV-cured Treffert aluminum oxide.
SOUTHMOUNTAINFLOORING.COM (516) 487-3510
Ultra-Smooth Rolling
Purdy’s Ultra Finish roller cover deliver an ultrasmooth finish for all interior painting projects. Its microfiber covers resist paint buildup to provide an even release of paint, whether satin, semi-gloss, or gloss. It comes 9” long in varying nap thicknesses.
PURDY.COM
(800) 547-0780
Look of River Rock
Mediterranea’s River Rock tile collection offer the look of stone in four natural colors. Sizes include 12”x24”, 18x18, 12x12, and 6x6, along with 2x2 mosaic pieces and 3x12 bullnose.
MEDITERRANEA-USA.COM (305) 718-5091
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January 2013
Building-Products.com
Handy Ladders
Hidden Deck Fastener
Werner’s three-piece, fiberglass extension ladders work in tight spaces. In the closed position, the three-piece design makes them 20-25% shorter than standard two-piece extension ladders. Their compact design also makes them easier to transport, especially for urban contractors who need to secure equipment and materials inside their vehicles.
Through a partnership with EBTY, Deceuninck North America has developed a hidden fastener biscuit for its Clubhouse PVC decking. With two packaging options and a longer screw for enhanced installation, the biscuit spaces the deck boards and holds them down. It will not rust, shrink, crack, or soften in high temperatures, and drainage problems are eliminated because boards are evenly spaced.
WERNERCO.COM
DECEUNINCK-AMERICAS.COM
(888) 523-3371
Building-Products.com
(877) 563-4251
January 2013
Building Products Digest
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FAMILY Business By Wayne Rivers
New year’s resolutions for family business owners
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one year and entering another always creates a flood of thoughts in the minds of family business owners. We regret the things we didn’t accomplish in the year just past, and resolve to bring a steely determination to achieving our goals in the coming year. In our years of dealing with family businesses, we’ve heard all the common resolutions. Here are some of the best for charting your personal guide to success in 2013: LOSING OUT
Resolution #1
“This year I’m really going to work ON my business rather than just IN it.” Business owners intuitively grasp the payoff that comes from working
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Building Products Digest
on their businesses rather than just working in them. They know they should be working on big picture, high payoff tasks, courting new customers and nurturing old ones, building morale and creating a larger sense of family in their businesses, and grooming and mentoring leaders who will take over for them one day. The reality is that most get caught up in the day-to-day operations of their companies and devote precious little time to the big picture items that are important. Resolve to devote eight hours per week to working on your business instead of working in your business, block off the time well in advance, advise your staff that this is sacred planning time, close your door, put your head down, and make it hap-
January 2013
pen.
Resolution #2
“This year I’m going to delegate more to other employees.” There are two primary barriers that prevent family business owners from effective delegation. One is quite practical: If you’re like most employers, you’ve reduced head count in your organization and there are fewer people to whom to delegate. The second barrier to effective delegation is ego. There are some things that business owners think only they can do. We are not saying this is not entirely untrue. Sometimes, it is true that certain projects need the owner’s attention. However, at least half—if not more—of their time is devoted to activities that could or should be done by someone else in the organization. One of the challenges to effective delegation is the perception that if we’re not busily engaged in some activity 24/7/365, then we’re somehow not contributing to the overall success of our companies. Marcus Buckingham, in The One Thing You Need to Know, has a startling recommendation for how to build on the philosophy of effective delegation: “The one thing we all need to know to sustain our success is: Discover what you don’t like doing and stop doing it.” Most family business leaders have horribly undisciplined daily lives. Their daily to-do lists grow and grow; they attempt to do more and more. Building-Products.com
The results are unsatisfying, so they feel their lives are out of control. In Good to Great, Jim Collins says, “Those who built the good to great companies made as much use of ‘stop doing’ lists as to do lists. They displayed a remarkable discipline to unplug all sorts of extraneous junk.” Stop doing the things you dislike or which frustrate you, and if they truly must be done, pass them along to someone else. If nothing else, you’ll be happier during the workday knowing that you don’t have to do tasks that you’ve always dreaded doing.
Resolution #2
“I’m going to get out and see more prospects this year and work harder on business development.” Business development in a small business often slips to the bottom of the to-do list due to the press of other urgent tasks. However, it simply has to be a priority for executives in family and closely held companies. If business development is one of the tasks that you dread the most, you must delegate or hire talent to fulfill that function. Every business, whether large or small, depends on business development, the functions of marketing and promotion. We once met with a group of owners who were considering retirement and possibly selling their businesses. One of them asked, “If I were to put my business on the market, what is the one thing that a prospective buyer would most want to see?” Surely, a prospective buyer would want to see high quality products or services, a solid management team, strong financial performance and a sound balance sheet, adequate facilities, etc. These are all givens; no buyer would want to purchase a decrepit, run down, wheezing business. However, the thing that struck us as being most desirable in the eyes of a prospective buyer is a well-developed and robust marketing and selling system. Think about it: Nothing is more common than the under-developed business that has outstanding product or service quality, but lacks an adequate number of customers. If a company has a well-developed marketing and selling system, it can put the right kind of suspects into the pipeline, convert them to prospects and eventually customers, keep prodBuilding-Products.com
uct prices high by careful customer qualification and selection, and keep the production side of the business busy and engaged in virtually any economic climate. A marketing framework should be built around what we refer to as “The Six P’s of Sales and Marketing.”
1 . Purpose: The anticipated results that guide actions, goals, and objectives. 2. Value Proposition: A business or marketing statement summarizing why a consumer should buy a product or service. 3. Plan: Strategies and action plans for products or services. Price, promotion, place, and physical evidence 4 . Process: The processes involved in customer acquisition and customer relationship management. 5. People: Any person having contact with customers and how they behave. 6. Persistence: The act of persevering, continuing, or repeating behavior; doggedness, tenacity, tena-
January 2013
ciousness. Build your marketing and promotion capabilities using the Six P’s, block off time for business development, and push through the marketing and sales challenges of 2013. How will you know if you’ve been successful in sticking to your New Year’s resolutions? Look at your calendar for the last week or month and analyze how you spent your time. Things that you assign a high priority to will appear on your calendar and will consume the minutes and hours of your day. Things you’re not making a priority will simply not appear. If you’re not seeing your top three New Year’s resolutions reflected in your schedule and activities during the week, you know you’re not being true to yourself and your goals. As Stephen Covey says, “The main thing is to keep the main thing the main thing!” – Wayne Rivers is the president of The Family Business Institute Inc., Raleigh, N.C. Reach him at wayne. rivers@familybusinessinstitute.com or (877) 326-2493. Reprinted with permission of Key Resources LLC. No portion of this article may be reproduced without its permission.
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ASSOCIATION Update Southern Building Material Association will lead into its building products buying show Feb. 6-7 at the Showplace Convention Center, High Point, N.C., with an estimating clinic Feb. 5-6 conducted by Casey Voorhees, Western Building Material Association. Speakers during the show, themed “Made in America,” include baseball legend Bobby Richardson, Lloyd Eichorn on “Handling Credit in Today’s Market of Scams & Tight Money;” Edsel Charles, “American Demographics & Generational Issues,” and Ivy Zelman, “America’s Economic Future.” In addition, Jim Enter will lead a panel of dealers and suppliers discussing “Supply Change Challenges During the Recovery,” while Chris Rader moderates a panel on “PostCrash: The New Technology Dealers Are Using & How It’s Working.” Northeastern Retail Lumber Association returns its annual expo to Boston, Ma., Feb. 6-8 at the John B. Hynes Memorial Convention Center.
Seminars will cover such topics as non-toxic wood preservation, merchandising for sales, engineered lumber, and the economic outlook. Illinois Lumber & Material Dealers Association has scheduled its annual convention and expo for Feb. 26-27 at the Prairie Capital Convention Center, Springfield, Il. Seminars will cover OSHA compliance, sustainable home design, and thermal control in building envelopes. Activities include Texas hold’em and blackjack tournaments. Northwestern Lumber Association will host project-estimating seminars led by Gary Thompson, Jan. 2223 at the Quality Inn & Conference Center, Grand Island, Ne., and Jan. 29-20 at Manion Wholesale Building Supplies, Saint Cloud, Mn. Feb. 5-6 is the Wisconsin lumber dealers convention at the Chula Vista Resort, Wisconsin Dells, Wi. Speakers will address DOT and pre-trip inspections, OSHA inspections, uniform dwelling code basics, and business
success and estate planning. The Iowa lumber convention follows Feb. 20-21 at the Meadows Events & Conference Center, Altoona, Ia. Coach Paul Rhoads will deliver the keynote, while attorney Angela Davis will speak on the lien process. North American Wholesale Lumber Association will host a Feb. 6 regional meeting at Greystone Golf & Country Club, Birmingham, Al. March 10-13 is the annual University of Industrial Distribution at J.W. Marriott, Indianapolis, In. NAWLA’s yearly Education Foundation career exploration workshop is set for March 10-15 at Mississippi State University, Starkville, Ms. National Wooden Pallet & Container Association has hired Brent J. McClendon as its new president and c.e.o. McClendon, executive v.p. of the International Wood Products Association since 2003, replaces Bruce N. Scholnick, who died from complications of cancer in July. Indiana Hardwood Lumbermen’s Association will host its annual convention and expo Feb. 5-7 at the Marriott Downtown, Indianapolis, In. North American Building Material Distribution Association elected Michael Darby, Capital Lumber, as its new president, succeeding Paul Vella, Atlantic Plywood. New v.p. is Rick Turk, Metro Hardwoods; treasurer Robyn Pollina, Palmer-Donavin Manufacturing, and president-elect Don Schalk, C.H. Briggs Co.
VERSA-LAM LVL from Boise Cascade is helping build the 72,000-sq. ft. Pensmore Estate— located in southwestern Missouri, halfway between Springfield and Branson—reputed to be the 4th largest residence in the U.S.
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Top 10 Remodeling Trends for 2013 Remodeling in 2013 will trend toward simpler living and low-maintenance design, but with accent marks of color and splash that don’t overpower, according to design-build firm Neil Kelly Co., Portland, Or. The experts say the mantra extends from clean and simple kitchen cabinetry to “bulletproof” countertops, pre-finished wood flooring, and solid “pops” of glass, color and sparkling textures. The trend toward simplicity is also manifested in a growing demand for safer, healthier and more sustainable homes.
10. Kitchen Cabinets
A clean, simple, contemporary look will be popular with homeowners looking to economize and eliminate unnecessary clutter and fussy details that equate to high maintenance and complicated living. For those who don’t want to spring for new cabinetry, re-facing or refinishing cabinets offers more bang for the buck.
9. Countertops
Granite has been dethroned. While granite isn’t going away and still has many die-hard fans, the new king of countertops will be quartz composite—the closest thing to no maintenance, bullet-proof countertop materials available today.
8. Hardwood Floors
Pre-finished and engineered wood flooring will become more popular than the once gold standard of site-
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finished flooring. Pre-finished woods provide a hard, durable finish, are an installation time saver, and eliminate the sanding dust dilemma. Engineered wood floors are also compatible with under-floor heating systems—a big plus in cold climates.
7. Glass Backsplashes
Glass mosaic tile is on the way out. Taking its place are glass/stone/tile mosaic composites that can add more texture and visual interest and that tie in more readily with stone or quartz countertops. Be on the lookout for back-painted, solid glass panel backsplashes in contemporary settings, which provide an ultra-clean, almost ethereal look to a polished, modern kitchen setting.
6. Stylishly Simple Sinks
Goodbye, double-sinks. Hello, deep single-bowl sinks. With accessories such as fitted colanders and dish drains, deep single-bowl sinks have all the benefits of a divided sink, plus the large size to actually fit that roasting pan or those baking sheets into the sink all at once. Stainless is still popular, but the quartz composites are a great value and durable option.
5. Color Palette
Charcoal is the new black. This year will find this silky color everywhere as it blends the right amount of chocolate, gray and a touch of green.
4. Bathroom Stone
January 2013
Synonymous with luxury, Calacatta marble will find its way into both traditional and contemporary bathrooms. Calacatta is a rarer stone than Carrara marble, but is quarried in the same region. It is valued for a whiter background and bolder gray veins.
3. Texture & Sparkle
Bedazzled may find its way into home décor and design as homeowners seek a blend of classic textures and colors with pops of bold color and elements of sparkle. Glossy glass tile backsplashes and sparkle on polished nickel fixtures trend in 2013.
2. Living in Your Home Longer/
Multi-Generational Living With many certified aging-in-place specialists (CAPS), Neil Kelly designers predict a growing trend to help aging baby boomers safely “grow old” in their homes, for as long as possible. Watch for easy kitchen and bath upgrades to enhance functionality, comfort and safety.
1. Healthy Home, Healthy Living
Green and sustainable design is here to stay. The number one trend for 2013 will be to create a healthy living environment, free of toxins and harsh chemicals. More and more homeowners are taking advantage of federal and state incentives to evaluate their home’s energy efficiency and overall performance. Upgrade trends include the use of low VOC materials to improve indoor air quality, testing combustion safety, and radon mitigation.
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IN Memoriam Lemuel Lavoyd Hudson, 73, manager of specialty products at Scotch Gulf Lumber, Mobile, Al., died Dec. 1 in Mobile. He joined Gulf Lumber in 1961 and spent his entire 51-year career with the company. A pioneer in Machine Stress Rated lumber, he served on Southern Pine Inspection Bureau’s MSR and technical committees. Frank W. John, 98, former owner of East Brady Lumber Co., East Brady, Pa., died Dec. 9. He began his lumber career in the early 1930s as a clerk with Burdette Lumber Co., later managing yards in Ford City, Rural Valley, and W. Kittanning, Pa. He also worked for Meadville Hardware, Meadville, Pa., until leaving to serve in the Navy during World War II. In 1959, he purchased the former Graham & Cook Lumber yard, where
he continued well into his 90s, serving as treasurer after he had passed ownership on to his children.
He also served as treasurer and a director of the Mid-America Lumbermens Association.
Kenneth A. Gee, 79, former executive vice president of Grossman’s Braintree, Ma., died of complications from Parkinson’s disease Nov. 14 in Sandwich, Ma. After graduating from Northwestern University and serving in the Army, he joined the family’s Gee Lumber chain in Chicago, quickly rising to corporate president in 1967. In 1971, he joined Grossman’s, to supervise its 250 stores in New England, California, and the Mid-Atlantic, exiting after about 20 years to become a consultant.
Mary Evelyn Hamlett, 77, retired co-owner of Pulaski Lumber Co., Pulaski, Tn., died Dec. 12 in Pulaski. She owned and operated the yard with her late husband, Fred Carter Hamlett.
Jerrold Myles “Jerry” Alyea, 74, former owner of Complete Building Center, Blue Springs, Mo., and fourunit Community Building Centers, died Oct. 30 in Lee’s Summit, Mo. He operated Community locations in Butler, Nevada, El Dorado, and Lamar, Mo.
Gary Hallock Rose, 63, longtime New York lumber salesman, died Nov. 7 in Calverton, N.Y., after a long battle against brain cancer. He spent most of his career in retail lumber sales, at Reeves Lumber, Southhampton Lumber, Triangle Building Supply, and Penny Marjam Lumber. John I. Scarbrough, 85, former owner of Grover Hill Lumber, Grover Hill, Oh., died Nov. 1 in Lima, Oh. Michael S. Starr Sr., 61, salesman for the former Somerville Lumber, Somerville, Ma., died Nov. 27.
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Building Products Digest
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DATE Book
Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend. Mid-America Lumbermens Assn. – Jan. 10-11, Missouri winter meeting, Columbia, Mo.; (800) 747-6529; www.themla.com. Northwestern Lumber Assn. – Jan. 14-15, LBM expo, Rivers Edge Convention Center, St. Cloud, Mi.; (763) 544-6822; nlassn.org. Lake States Lumber Assn. – Jan. 17-18, annual winter meeting, Radisson, Green Bay, Wi.; (888) 213-2398; www.lsla.com. House-Hasson Hardware Co. – Jan. 17-19, market, Opryland Resort, Nashville, Tn.; (800) 333-0520; www.househasson.com. Buttery Co. – Jan. 19-20, dealer market, Bell County Exposition Center, Belton, Tx.; (800) 880-1515; www.butterycompany.com. Guardian Building Products – Jan. 20-22, market, Paris Hotel, Las Vegas, Nv.; (800) 569-4262; www.guardianbp.com. Do It Best Corp. – Jan. 23-24, winter conference, Arizona Biltmore, Phoenix, Az.; (260) 748-5300; www.doitbestcorp. International Builders Show – Jan. 22-24, Las Vegas Convention Center, Las Vegas, Nv.; (800) 368-5242; buildersshow.com. Mid-America Lumbermens Association – Jan. 24-25, Kansas winter meeting, Atchison, Ks.; (800) 747-6529; www.themla.org. Northeast Window & Door Assn. – Jan. 28-29, winter education meeting, Doubletree, Mt. Laurel, N.J.; (609) 799-4900; nwda.net. National Assn. of Wholesaler-Distributors – Jan. 29-31, executive summit, Fairmont, Washington, D.C.; (202) 872-0885; naw.org.
Surfaces – Jan. 29-31, Mandalay Bay Convention Center, Las Vegas, Nv.; (972) 536-6358; www.surfaces.com. Budma 2013 – Jan. 29, Feb. 1, international construction fair, Poznan, Poland; (317) 293-0406. Handy Hardware Wholesale – Jan. 30-Feb. 2, dealer market, George R. Brown Convention Center, Houston, Tx.; (713) 6441495; www.handyhardware.com. Monroe Hardware Co. – Feb. 2-3, market, Cabarrus Events Center, Concord, N.C.; (704) 289-3121; www.monroehardware.com. Indiana Hardwood Lumbermen’s Assn. – Feb. 5-7, annual expo, Marriott Downtown, Indianapolis, In.; (800) 640-4452; ihla.org. National Roofing Contractors Assn. – Feb. 5-7, annual expo, San Antonio, Tx.; (847) 299-9070; www.nrca.com. Southern Building Material Assn. – Feb. 6-7, LBM show, Showplace Convention Center, High Point, N.C.; (704) 376-1503; www.southernbuilder.org. Northeastern Retail Lumber Association – Feb. 6-8, annual expo, John B. Hynes Memorial Convention Center, Boston, Ma.; (800) 292-6752; www.nrla.org. Mid-America Lumbermens Assn. – Feb. 7-8, Arkansas spring meeting, Hot Springs, Ar.; (800) 747-6529; www.themla.org. Northwestern Lumber Association – Feb. 8, Future Lumber Leaders meetings, St. Cloud, Mn.; Feb. 15, Lincoln, Ne.; (763) 544-6822; www.nlassn.org. South Dakota Retail Lumberman’s Assn. – Feb. 12-13, annual convention & show, Best Western Ramkota Hotel & Conference Center, Sioux Falls, S.D.; (605) 660-9742; www.sawbucks.com.
These business card ads in BPD and The Merchant Magazine raised $1,900 for the Freedom Writers Foundation, which aids the education of at-risk children.
Happy New Year from…
BPD
Building Products Digest
Building-Products.com
January 2013
Building Products Digest
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ADVERTISERS Index
IDEA File Awash in Quirky Diversity
Although Wal-Mart has announced plans to move in across the street, Intown Ace Hardware, Decatur, Ga., has already fought off Home Depot, Builders Square, and other big boxes competition by stressing eclectic products and promotions that appeal to the funky tastes of its hometown. There are Adirondack chairs in sherbet colors, Decatur-logoed license plates and apparel, art supplies, toys, kitchen gadgets, eco-friendly products, and fun events like a staff Pirate Day. An old-fashioned cart near the front register serves up fresh popcorn. “I never thought I would have a hardware store with two lines of perfume and seven lines of organic candles,” noted co-owner Tony Powers. “Costume jewelry is also hot. I never thought this would be who we are.” The store is a big sponsor of local youth teams, school auctions, and community fundraisers—stocking a year-round supply of Girl Scout cookies. The key is adapting. Quickly. Since Home Depot arrived, Intown has stopped selling lawn mowers and standard barbecue grills. Instead, the move opened up floor space for building materials for use in chicken coops and school gardens. “We’re going after unique,” Powers said. “Topiaries and specimen plants—we just sold a couple of $400 trees. More organic and more local products. Wal-Mart can’t adapt to that quickly or at all.” Its co-op, Ace Hardware, is also taking notice, recently recognizing Intown as one of six “Coolest Hardware Stores” in the U.S., describing it as “smalltown America meets modern in the heart of Atlanta.”
For more information on advertisers, call them directly or visit their websites [in brackets].
Advantage Trim & Lumber [www.advantagelumber.com]..........41 Anthony Forest Products [www.anthonyforest.com].......Cover IV Boral [www.boraltruexterior.com] .......................................Cover II Cabot [www.cabotfactoryfinish.com].................................Cover III Chicago Suburban Lumber Sales .................................................15 Columbia Vista Corp. [www.columbiavista.com] ........................32 Crumpler Plastic Pipe [www.cpp-pipe.com] ................................25 DeckWise [www.deckwise.com] ...................................................34 Distribution Management Systems Inc. [www.dmsi.com]..........35 Everwood Treatment Co. [www.everwood treatment.com]........21 Idaho Forest Group [www.idahoforestgroup.com] .....................27 Intefor [www.interfor.com].............................................................33 Lumbermens Association of Texas [www.lat.org] ......................39 Maxitile [www.maxitile.com]............................................................7 Nordic Engineered Wood Products [www.nordicewp.com].........3 Pacific Coast Cedar [www.pacific-coast.ca] ................................31 Potlatch [www.potlatchcorpcom] ................................................30 Ray White Lumber ............................................................................4 Simpson Strong-Tie [www.strongtie.com]...........................Cover I Skyreach L&S Extrusions Corp. [www.skyreachls.com] .............5 Smith Millwork [www.smithmillwork.com]...................................38 Snider Industries [www.sniderindustries.com] ...........................43 Southern Forest Products Association [www.sfpa.org].............42 Swanson Group Sales Co. [www.swansongroupinc.com].........29
EMPLOYEES festooned in buccaneer garb line up to dance at Intown Ace Hardware’s Pirate Day.
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Building Products Digest
January 2013
TriState Lumber [www.homanindustries.com]............................23 Universal Forest Products [www.prowoodlumber.com] ...........8-9
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