Under Pressute Pace of change quickens for wood treaten$ faced with new chemicals and a tough market

A FTER more than 15 years of ranking the Top 25 la,Pressure Treaters, this year The Merchant Magazine has decided, with the treating industry changing so quickly, that instead of looking back, we'll look forward-at what's new and what's ahead for wood preservers throughout the West.

In addition to also treating over 1 billion bd. ft. annually, Universal Forest Products operates an industryleading 23 treating plants. Its offerings include decking, balusters, railing, spindles, fencing, sill plates, fascia, lattice, and other treated lumber products. Treatments are ProWood Micro, borates, ACQ and CCA. Overall, UFPI has 90 locations across the U.S. and annual sales of $2.5 billion from four primary markets-d-i-y, industrial packaging and components, site-built construction, and manufactured housing.

UFPI's diversity helped it remain strong in 2007. "Thanks to our balanced business model, we grew sales in three of our four markets (including d-i-y), despite the impact of the housing market crash on our business, on other markets, and on the economy in general," said Chris Fox. "We were very pleased with the success of our new ProWood Micro and look forward to continued market share gains with that product. We also were pleased to add new customers in 2007 by offering an outdoor living program that covers the gamut of tastes, budgets and styles-from treated wood to wood composite to glass and metals."

Looking forward, UFPI expects continued growth for ProWood Micro as well as its MicroShades wood colorant. "We a.re continually growing our overall d-i-y product portfolio by adding new products or new com- panies that make strategic sense for our overall growth," Fox said. "Additionally, we are opening a facility in Puerto Rico to serve the Caribbean and Bahamian d-i-v markets."

McFarland Cascade, Tacoma, Wa., treats at facilities in Tacoma, Eugene, Or.; Electric Mills, Ms., and Galloway, B.C. "The number of plants remains stable, though capacity has been added at existing facilities," noted Phil Schumock. "We continue to see transactional business increase in borate business as builders work to become more price competitive."

He referred to 2OO1 as "a year of holding market share and volume in a declining demand year. We have opened a distribution facility in Sacramento for 2008 and plan intense focus on California retailers. We are also focusing on increasing capacity through improved operating procedures and additional capacity at existing sites."

Pacific Wood Preserving Cos. owns four treating plants in Bakersfield, Ca.; Eloy, Az.; Silver Springs, Nv. and Sheridan, Or., as well as a remanufacturing plant northeast of Houston, Tx. PWP is one of the region's largest producers of third-party inspected treated wood, the West Coast's largest producer of hardwood railroad ties, the area's second largest producer of utility poles, and one of the largest producers of boratetreated wood on the mainland. Other products include agricultural posts, timbers, landscape ties, cross arms, tree stakes, and untreated crane mats. Wood preservatives utilized include Pac-Bor, CCA, ACQ, Dricon, the structural components of a house manufactured using QuanTIM moldresistant wood products will remain resistant to mold growth that can lead to discoloration, odors, deterioration and homeowner concerns," said plant manager Gary Galbraith.

Timber-Saver, copper naphthenate, penta and creosote.

"Pacific had the highest sales and EBITDA performance in its history for its 2007 fiscal year end," noted Elaina Jackson. "We project to exceed this record for the 2008 fiscal year-end. While oil-bome sales continue to grow, waterborne production will likely be significantly below 2007 levels due to the decline in housing starts."

Despite housing starts slowing, changes abound at PWP. It recently automated its Nevada treating plant, significantly upgraded its railroad tie line in Arizona, installed a new dry kiln in Nevada, and added a new remanufacturing line in Texas. It has also recently hired two new salespeople: Sean Coughlin for the Oregon and Hawaii markets and John Davis in Arizona.

Last year, PWP constructed new state-of-the-art laboratories at its California and Arizona plants, began manufacturing crane mats, and went into full production at its year-old pole peeling operation.

Conrad Forest Products operates treating facilities in North Bend and Rainier. Or.. and Arbuckle, Ca., with inland distribution centers in Craigmont, Id., and Butte, Mt. Products include Silbor borate-treated wood, Wolmanized Residential Outdoor Wood, Wolmanized Heavy-Duty Pressure Treated Wood, ACZA Chemonite treated wood, and Dricon fire retardant treated wood. WoodSmart Solutions' BluWood is also applied at all three treating plants and the Craigmont DC.

Conrad has also expanded into distribution of redwood and vinyl fencing, composite decking, iron railing and fencing, redwood and vinyl lattice, and other building products.

"Conrad Forest Products has most likely fared the same as most everyone else in the business," said Don Bratcher. "2007 was a tough year, but the diversity of products helped to minimize the impact of a weakening housing industry."

And what's next? "Conrad Forest Products has always recognized economic slowdowns as an opportunity to expand our customer base and product lines," Bratcher responded. "Arch Chemical has a couple of new products that we will introduce to our customers about mid-year in an effort to remain the pressure treater with the most diverse selection wood protection options available."

Allweather Wood Treaters, Washougal, Wa., currently has treating plants in Washougal, Wa.; Loveland and Fort Collins, Co., and White City, Or., and a distribution center in Ferndale, Wa. Treatments include CCA, copper-based preservatives, carbon-based preservative, borates, and fire retardants. Species include Douglas fir, hem-fir, and southern yellow pine.

"We are pleased with our performance in 2OO7 , and it was consistent with our expectations," Rick Danielson said. "We expect our strategies for 2008 to be consistent with those that have brought success to our customers and, in tum, to us."

Formed in 1911, Thunderbolt Wood Treating Co. has a treating plant in Riverbank, Ca., plus sales offices in Portland, Or., and Sacramento, Ca. Its six retorts specialize in industrial, commercial and agricultural products, with waterborne treatments including ACQ Preserve, ACZA Chemonite, CCA, borates and D-Blaze interior fire retardant. Services include staining for ACQ and ACZA dimensional lumber, two kilns for drying before and after treatment, drying only, and heat treating service.

Early this year, its pole kiln was remodeled to handle poles and pilings up to 80 ft. in length. Last year, Thunderbolt added a new boiler and a 45,000-bd. ft. capacity American Wood Dryers dry kiln. The company is also drawing up plans for additional covered storage to accommodate anticipated growth.

"Although the slump in residential business has greatly affected some of our customers, we have chosen to focus on segments of the industry that show strong, sustainable and profitable growth," explained Jerry Farley.

Thunderbolt has pinpointed that growth to industrials and beginning May I will offer additional levels of wood treatment suitable for marine, aquatic and other heavy industrial applications.

"We have geared our future business towards expanding treatment offerings such as heavy retention Chemonite ACZA for marine and industrial applications," Farley said.

J.H. Baxter, San Mateo, Ca., operates a treating plant in Eugene, Or., specializing in industriallcommercial products such as piling, timbers, lumber, glue-laminated beams, railroad and mine ties, utility crossarms, and ACZA-treated poles. Its five pressure retorts range in length from 50 to 156 ft. and utilize clean creosote, 50/50 creosote-petroleum solution, pentachlorophenol-type A, Chemonite ACZA, and ACe. Services include heat sterilization, kiln drying, storage, incising, and rail.

Last year, Baxter sold Chemonite to Arch, allowing it to concenffate on its Eugene facility.

"New services have included heat sterilization of products required by export regulations," said Sande Lavino. "Treating trials are also underway with new non-metallic wood preservative systems. The company is also focused on expanding the end-use of its timberlands."

"Thunderbolt is the only treating facility in the state of California licensed by Arch Wood Protection to treat with Chemonite ACZA. We have recently added a sales specialist to specifically target marine, industrial and fire retardant business."

Its TSO treating and drying facility will be able to process Chemonite marine piles, foundation piles and utility poles up to 80' in length with retention levels ranging from 0.40 to 2.5 lbs. per cu. ft.

Based in Coos Bay, Or., with sales offices in Eugene, Or.; Lewiston, Id., and Prunedale, Ca., Coos Bay Lumber Co. operates three cylinders on its 30plus-acre site, offering ACQ, borates and CCA. The company treats lumber, plywood, round posts and poles, shakes, shingles, laminated beams, and guardrail products.

Coos Bay remains positive. "Our 200'l sales were up over 2006 and our 2008 sales are expected to be higher than 2007, due to our diversified markets and the addition of personnel to maintain company accountability for a higher level of customer service," said Ron McCormick.

Founded in 1978, Western Wood Treating, Inc.'s treating service only facility in Woodland, Ca., encompasses 15 acres of treatment, drying and storage areas. WWT has just become the first pressure treater in the West to introduce QuanTim mold-resistant wood, offering the new product to dealers and wholesalers in California and Nevada.

"This protection provides long-term peace of mind that

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Easy to install

No splinters, hamnrer marks

Safbr more durable deck

No unsightly screws

Splices and joints can be made without splitting

'Galvanized, Stainless Steel and Powder Coated track

Prevents rotting at screws or nails

. Eliminate nail/screw 'pop-ups' creating a longer lasting deck

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