Merchant Magazine - November 2014

Page 8

I(oPPERS

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4 I The Merchant Magazine I November 2014 Building-Products.com

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The Retail Dilemm?... and what will we do to change it?

TTtusne ts No industry that does not transition every decade or so. Preferences change. I D..og.uphics change. Over the last 10 years, a bad economy had its impact, as has the Internet, drawing an ever-increasing volume of sales away from brick-and-mortar stores.

As a country, for years we have benefited from the culture perspective of excess, sroked by deepir and deeper discounting by just about anybody and everybody. Indeed, sometimes shopping is so much easier online, sitting at home and not fighting for parking or a clerk's attention-and still getting a lower price.

Yet, there is a frustration and sadness to see Main Street continue to decline and malls start to empty (some 157o of malls are expected to close in the next l0 years) or become places to hing out rather than buy. One of the joys I have when traveling internationally is io be in counlries where the baker, butcher and candlestick maker are still valued in the town center.

Overall, looking at Wall Street, it is clear the retail sector has not been a reason to invest. Whether back to school or holiday season, results do not seem to improve the meter significantly. Indeed, the holiday season seems to start earlier and earlier, which, coupled-with early discounting to attract buyers, seems like the retail sector putting a knife in iiself. The mentality of "build it and they will come" has certainly hurt many of the major retailers that have been forced to close stores. The "build them big" mentality has also gone by the wayside.ln2Ol4, retail sales are expected to slow to 3.4Vo_ growth-a disappointing rebound following our Great Depression of the last six years. Many stores are seeing year-on-year declines.

Sometimes it takes guts to understand times have changed and that you need to change, too-although a declining bottom line will often do it for you! Considering all the insta6ility of recent years, low inflation, the panic button set to "discount, discount and discount again," e-commerce now accountingfor 6.5Vo of sales, and perhaps understanding that m;ny stores have become too lalge to support themselves (and to really enjoy shopping in), there is a sense that retail has seen its best days.

My orn feeling is that all things are cyclical. What goes around comes.back another day, tirough maybe not looking the same. And this is where innovation continues to make some retailers thrive. Without touting ourselves, I enjoy reading Carla Waldemar's column ("Competitive Intelligence"), where you can see our industry's retailers changing their environment and doing what they need to do to increase their business, as well as their customer interaction. They recognize that to compete and stay in business, they have to change. Consumers have not gone away, they're merely shopping in a different way. You cannot survive today by being in the discount trap. Discounts should be special and a bonus-not for everyday shopping. Otherwise, like me, you wait until something's on sale, because it sure enough will be. Lower average transaction value only aids the spiral down. That being said, as JCPenney discovered, it's not easy to get out of the bunker once you're in it!

Maybe stores are too big-and too plentiful. I read a statistic recently that the U.S. has 52 sq. ft. of retail space per head of population vs. about 16 sq. ft. in Germany-perhaps why revenue per foot is also declining in an economy with only marginal wage growth. Our economy cannot support more, but it can and will support better-whether that means delivering a better sales experience, not a forced one, or providing what your customers want when they want it.

In our industry, I love to read about customer education sessions on decking, laying tile' or...? How do you take advantage of the web? Let customers choose online and then let them come to the store to pick the items up? Use the retail store as the warehouse for the online store?

Alan Oakes, Publisher aioakes@aol.com

www.building-Products.com

A publication of Cutler Publishing 4500 Campus Dr., Ste.480, Newport Beach, CA 92660

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Alan Oakes ajoakes@aol.com

Publisher Emeritus David Cutler

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Gontributing Editors

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Carla Waldemar

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TOTATIY Random
Alan Oakes
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6 r The Merchant Magazine I November 2o14
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Help your treated wood customersr help your business

ACK IN rue '90s, deck contractors and d-i-yers could -fDbasically do no wrong when buying and building with treateil wood. There was only one preservative generally used fbr residential treated products' and retailers in much of the country stocked only treated wood products with oreservative retentions suitable for both above-ground and ground-contact aPPlications.

Now, in most parts of the country, dealers stock many treated wood sru's that are only for above-ground use' Plus, there are a number of products available, each with different retention levels and other characteristics.

The result: today's product marketplace requires users to pay close attention to how treated wood products will be ur.d-i."., the potential hazard of the intended applica-

tion-and to buy wood treated appropriately for the application. Treated wood products are available for aboveground, ground-contact, and heavy-duty ground-contact ir"r, und to get the expected service from treated wood, it is important to use the wood properly. The end tags on the wood should always identify the intended use.

What does this mean for dealers? It means that we as an industry will be well served by making consumer education a priority. We need to educate store employees and custom-ers that wood treated intended for above-ground use should not be used in direct contact with the ground, leaves and other debris or vegetation' It shouldn't be used where it is wet every day by sprinklers or other sources of moisture, or where it is prevented from drying.

Bv Steve Shields, Arch Wood
MANY PROJECTS, such as this fresh water dock, should be built using ground-contact matenals.
B I The Merchant Magazine t November 2014
Building-Products.com

SIDING AND TRIM SPECIFICATIONS AND GOVERAGE

Siding Size Pieces / Unit OLD MILL@ LAP Maximum Exposure in lnches Approx. Approx. Sq. Ft. Approx. Coverage Needed To Cover Weight Pieces / Bundle Ft. / Unit Ft. / Unit* 1000 Sq. Ft. of Wall Area* Lbs. / Unit 7t16" 6" x 16' 8" x 16' 9'1 12" x 16' 12" x 16' 1t2" B" x 16' 12" x 16' 16" x 16' 336 252 210 168 210 140 105 I I I I I ! ! ; 2688 2688 5 7 8-1t2 11 7 11 15 ,11, 2128 2234 2261 2341 1862 1 151 I 995 1 685 1264 1 200 1 173 1 145 4675 4675 4675 4675 2660 2688 2240 nn 2240 1 160 1 200 1 145 1120 4550 4550 4250 SHAKE LAP 1t2t '10-1/2" x 16' 140 DESIGNER SHAKE LAP 1l)n 11-1/2"x4'-13/16"SHINGLE 140 9-1/2" x 8' ROUND 180 I 112" x8'FISHSCALE 180 1162 3900 nla 6 6 537 1 140 1 140 1 140 1 140 1 140 1 140 9-3t4 6 3t4 7-1/2 6-3/4 6-112 4-1t4 8 a 1240 1 480 1 335 1 480 1 535 2350 1 250 985 21 80 2260 2220 9-1/2" x 8' OCTAGON 180 9-1/2" x 8' COVE 180 9-1/2" x 8'D|A|\,4OND 180 I I I 6 855 770 740 480 912 21 00 1 840 2064 9-l/2" x 8' CBAFISI\,IEN 180 -Allows for a 1" overlap and assumes a 5% waste factor. (Does not apply to Designer Shake.)
- Plowed on the Smooth Side. --Limited availability. Follow Truwood@ Siding or Trim Installation Instructions. 3/14 For more information on Truwood Siding and Trim, warranty and installation instructions visit: www.CollinsWood.com calf 800.417.3674 . fax 541.884.7282 Manufactured in Klamath Falls, OR USA Truwo0d Siding and Trim meet the requirements 0f the l0llowing: American National Standard ANSI-CPA 135.6 ICC ESR-2588 International Building Code Standard Building Code 2012 lnternational Residential Code FSC-C002971 DSCScertified" r' RESP(}ilSlBLt t0RISTRY / l8% PBE-C0liSUMEn RECYCTED C0ltlEIlT scs-rc-oil78 TruWood' Panel Size Approx. Approx. Sq. Ft. Approx, Coverage Needed To Cover Weight Sq. Ft / Unif 1m0 Sq. Ft of Wall Area* Lbs. / Unit Pieces / UnitSq. Ft / Unit OLD MILL@ 7i16" x 4'x 8' 112"x4'x8' 45 37 1 440 'I 184 1 296 1 066 1 100 1 100 2400 2400 -Assumes a 1 0% waste factor for cuttino and fittino NominalSize 414" x 2".. Actual Size 3/4"x2"x16' 3/4" x2718" x16' 314" x3-112" x16' 3/4" x5 112" x16' Pieces / Unit* 440 320 240 160 Pieces / Bundle 8 8 6 Approx. Weight Lbs. / Unit 3950 41 00 3800 3950 3950 41 50 3950 4300 414" x3"" 4/4" x 4" 414" x 6" 414" x8" 314" x7-114" x16' 120 100 80 396 216 144 108 90 72 414" x 10" 414" x 12" 3/4"x9-1/4"x16' 3/4" x 11-1/4" x 16' 1" x 2" x 16' 514" x2" 5/4" x 4" 5/4" x 6" 5/4" x 8" 5i4" x 10" 5/4" x 12" 1"x31/2"x16' I I I 9 3 4200 1" x 5- l/2" x '16' 1" x7 114" x16' 1"x9-1/4"x16' 1"x11'1/4"x16' 4450 4300 4600 4500 yn 3720 PTOWED FASCIA 4/4" x 6" (0ld Mill)- 3/4" x 5-112" x 16' 4/4"x B" (Old Mill)- 314" x7-114" x16' 160 120 &,,,n!?,oduc,'trc s IDING lT R lM

We need to talk about construction techniques. Users need to know that decks built close to grade must have adequate ventilation under the deck and spacing between the boards. If there is not air circulation to allow drying, then wood treated for ground contact should be used. Fence pickets and rails should not come into contact with the ground or debris and should have space underneath to ensure airflow and drying. While not widely done in the eastern U.S., we recommend applying a topical preservativex to timbers and boards that are trimmed during constructing a deck; this additional step will help to prevent premature decay of the exposed surfaces.

It also means that-as dealers-you should begin to stock ground-contact material in 2x8 and wider dimensional lumber. These items are most likely to get misapplied and they are also more often used as supporting structural members under a deck or supporting stairs. The additional cost for products that will provide good service for decades-even in more severe environments-will help to ensure that customers are always satisfied with the treated wood you sell. Plus, providing ground-contact materials is necessary to give customers the selection of products they need to do the job.

Recent discussions at the American Wood Protection

Association meeting focused on the issue of misapplication of treated wood. This often does not even mean that wood labeled above ground is put into the ground (such as 2x lumber used for a planter or the bottom ends of a step stringer on the ground), but means that some "aboveground" uses are really "ground-contact" hazards if the wood does not regularly dry out. A task group was formed to evaluate potential changes to standards to help ensure that wood is appropriate for the use, but as dealers you can be proactive in sourcing the needed products for your customers.

The first step in making this happen is to familiarize employees and customers alike with the end tags on treated wood. The tag gives your employees and customers all of the information they need to determine if the wood is treated for the intended use, whether it meets building codes, and the type of preservative it was treated with.

Improved awareness of the potentialhazard of the application will help to make users think twice before putting treated wood into a job where the hazard is greater than its intended use and will likely result in a shorter than expected service life. When you provide customers with a robust ground-contact product that can handle more severe hazards whether installed above ground with regular wetting, under a deck where the joists are against the ground, or in a closed in space that affords little air flow and drying, you are upselling to a product that will instill confidence in the performance of treated wood and will encourage customers to return to your store for their next project.

To learn more about proper use guidelines for copper azole treated wood, as well as BARamine technology for better penetration and added protection against copper-tolerant fungi, visit Wolmanized Wood University at www.wolmanizedwoodu.com.

* s", $* \-ffi
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Building-Products.com
OTHER APPLICATIONS that require ground-contact treated wood include posts used for supporting decks, and for fence posts and stair stringers that sit on the ground or on concrete on the ground. FENCE POSTS should be treated to ground contact, and the factorytreated ends should be olaced in the qround. Cut ends should face upward and be covered with post caps -or cut at angles to shed water and treated with a topical preservative. Fence boards should be approximately 2" from the ground and clear of any vegetation or debris. - Steve Shields is technical director for Arch Wood Protection, Inc., www.wolmaniz.edwood.com.
November 2014 I The Merchant Magazine I 9
* One such product is Outlast Q8 f-og Oil, an EPA-registered wood preservative containing copper 8 quinolinolate. Available through Arch Wood Protection, Inc., Outlast Q6 Log Oil is colorless, odorless and available in various colors.

Extend dec into the fall

II fso sAys DEcK building has to end in the fall? It may Y Y be the weather in some regions or just a mindset in others, that autumn heralds the end of deck building or deck enjoyment. But many pro dealers and their customers are finding ways to stay busy as the weather cools and days get shorter.

Mel Westerman, v.p. of purchasing for Cape Cod Lumber, North Easton, Ma., says fall's cooler weather is very conducive to deck building. "Homeowners can have a deck built now so it's ready for the spring," he suggests.

Tony Shepley, owner of Shepley Wood Products, Hyannis, Ma., agrees: "We find that our customers are not having to deal with homeowners' vacations and everyone is back to their work and school routines."

And once the deck is built, there are still ways to enjoy a fall outdoor barbecue or deck party. Here are some ideas for extending your deck season right through the crisp days of autumn... and possibly beyond.

Get a cool deal. Homeowners may be more willing to bring it outdoors if they know they can get a good deal. "With falling temperatures come falling deck installation costs," says Mike Corvino, DeckCrafters, Cherry Hill, N.J., who already has deck projects lined up through January. He explains that contractors are not as busy nor timeframes as tight as in May or June, so costs can be much lower.

And with the natural-looking composites, capped composites, and capped PVC deck products on the market, winter's wear and tear is not such a worry. "Some homeowners who choose wood for their decks feel pressured to build in the spring so they can use it before Mother Nature has her way with it," he says.

To eradicate that worry, his crew recently built a TimberTech deck for a couple in Mt. Laurel, N.J., using Legacy, a capped composite board with an added layer of protection surounding each board. The homeowners love entertaining and enjoying outdoor meals on their new deck, and say it actually looks like interior flooring.

Extend your deck season. Because it gets dark much earlier in the fall, strategically placed outdoor accent light-

ing on the deck, stairs and railings help illuminate the deck and backyard. According to Corvino's partner, Luke Stewart, deck lighting can also enhance the mood within your outdoor space. "There are post rail lighting options with dimmers that can be used to change the mood," he says. "Some rail lights provide a downward glow, while others provide safe illumination of stairs-or small lights can be inset within the boards for path lighting. Quality deck lighting can extend your outdoor entertaining throughout the fall season."

Warm it up! On cool nights, Shepley says you can keep guests warm and cozy with a cost-effective outdoor heating system. They average a couple hundred dollars-from high efficiency electric, to liquid propane and natural gas options, and can boost your deck amenity offerings.

Expand living space economically. Shepley points out that it's much less costly to add living space with a deck than a home addition. "It's a great way to manage a large crowd and you don't have to worry about the mess in your house," he says.

By taking the creature comforts of the indoors outside, homeowners can enjoy outdoor entertaining right into Thanksgiving and beyond-they might even be tempted to cook that turkey on the grill this year!

With the right decking materials that stand up to harsh weather, combined with enhanced lighting options and various types of heating units, contractors can extend the deck season and maybe even offer up a new spin for the holidays. It's another way to add margins and take your deck business to a new level.

MANAGEMENT
1 0 t The Merchant Magazine r November 2014
PROLONGING deck building season into the fall helps keep sales steady and salespeople busy.
- Carey Walley is v.p. of marketing for TimberTech and AZEK Building Products. Reach her via www.azek.com. Building-Products.com
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Fasteners are integral to deck integrity, aesthetics

f, cconntuc ro rHE North Amerill.can Deck & Rail Association, deck failures and the resulting injuries nationwide are increasing due to factors such as the faulty work of inexperienced builders, poor maintenance, and the fact that 40 million decks in the U.S. are over 20 years old.

Another problem is that professional builders and do-it-yourselfers commonly skimp on fasteners after spending freely on low-maintenance composite and PVC decking, tropical hardwoods like ip6, pressure treated products, cedar or redwood. The reality is that the selection of fasteners is as important to the structural integrity and long-term durability ofthe deck as the specification of deck boards. If chosen properly, fasteners should outlast the lifespan of a deck. Deck boards that creak or experience play when walked upon are frequently the

result of fasteners that were either poorly matched to the decking material or selected on price alone.

Subsequently, fasteners should be considered according to the type and amount of thread, coating, heat treatment, and depth of recess, which will vary in relation to deck board materials. Face screwing also remains one of the most effective methods for securing a deck of any kind.

Pressure treated d.ecking. To withstand the rigors of intense and changing environments, pressure treated lumber is protected by chemicals to resist challenges ranging from acidic climates and insects to microorganisms and fungal decay. Alkaline copper quaternary (ACQ) and copper azole (CA) are among the most common forms of chemicals used for extending the longevity of lumber to 20 years or more.

But. due to the superior corrosive properties of these chemicals, standard steel fasteners have been shown to corrode up to five times faster when inserted into treated materials. As a result, fasteners that are either AQCcompatible or manufactured with 305 stainless steel should be strongly considered for use with chemically-treated materials. That's because the high nickel content of the 305 stainless steel screws delivers superior corrosion resistance in all wood applications that are exposed to weather, high moisture, and other caustic conditions, while eliminating the discoloration and staining that can occur around the screw heads of other products.

Composite or PVC, Available as AQC-compatible or in stainless steel, composite deck screws are specially designed to eliminate mushrooming and blemishes in applications using composite and plastic materials. They are also an excellent choice for wood decks, where the top threads work to pull down and hold warped lumber and lock the boards together. Many times approved for use with their products by decking manufacturers, these screws are also commonly coated to match the color of leading types of decking boards, fascia, fencing and railings.

In conclusion, never underestimate the importance of proper fasteners and fastening in ensuring the long-term structural integrity and beauty of decks designed at any price point. When in doubt, just reach out to the reliable, leading manufacturers of fastener products for the latest details, insights and information.

- Jim Miller is president and c.e.o. of Screw Products, Inc., Gig Harbor, Wa. Reach him at (877) 844-8880 or via www.sc rew -Droduc s.com.

PRODUCT By f im Miller, Screw Products, lnc.
Exterior Construction Lags for LedgerAttachments and Framing 305 Stainless Steel Countersinking for Redwood, Cedar or Saltwater Exposure Trim Head 305 Stainless Steel for Hardwood, Redwood or Cedar Finish Head Screw for Composite Decking, Fascia and Trim Work Exterior Countersinking Wood Deck Screw and Framing
12 I The Merchant Magazine I November 2014 Building-Products.com
Exterior Composite/Cap/PvC/Carpet Fiber Deck Screw

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Easy case for selling modified softwoods

Elo* DECADES. aluminum, vinyl, concrete and steel have I-' been the building products of choice. And while these materials require less of a time and financial commitment to maintain than wood, they are not as environmentally friendly.

A recent study published in the Journal of Sustainable Forestry found building with wood significantly reduces carbon dioxide emissions, which makes it a better material choice for the environment. That is not to say traditional wood products do not come with their share of problems. Nature can often be cruel to wood, causing need for building repair and high maintenance costs. A building's longevity is directly related to the composition of its parts, so what is the solution?

Builders, developers and architects have grappled with choosing between materials offering long life or sustainability. Previously, it was difficult to find a material that was both long-lasting in the face of harsh weather conditions and responsible for the environment. Now, commercial builders and consumers alike are demanding materials that will perform strongly in both categories. Modified woods have what it takes thanks to the power of technology, and are emerging as a revolutionary building material trend within the construction industry.

Modified wood has long been used in Scandinavian countries because of its aesthetic appeal and durability. In

the U.S., modified woods are now coming to light as a transformative material. Technology permanently strengthens the cell structures, which allows traditional softwood to perform at high levels, comparable to hardwoods. And while modified woods can be used in both indoor and outdoor projects, the high resistance to damage and rot makes modified wood ideal for buildings exposed to harsh environmental factors.

According to a study conducted by insurance company Zuich, water damage is the number one source of property claims for owners of commercial structures, with 627o of these claims stemming from rain and general wear and tear. Because the wood performs like a hardwood, it does not damage as easily when exposed to water, with swelling and shrinkage reduced by 407o to 6OVo.

As an example, residential decks are often constructed with wood, and Westwood Timber Group estimates 20 million decks in the U.S. are currently in need of replacement. While it is generally recommended to weatherproof a deck every two years, wood exposed to excessive dryness or frequent moisture needs treatment more often. Wholesalers who can offer virtually weather-proof materials become the preferred choice for builders.

Yuill McGregor is a Canadian distributor for modified wood company Kebony. He believes distributing modified wood has differentiated his business within the marketplace. To Yuill and his customers, this type of product is the building material of the future. While it may be seen as a niche sector of the market presently, experts predict it will soon become the standard. Warranties can be guaranteed up to 25 years, meaning scientists predict it can last twice that.

This new trend in building materials is setting a modern standard for wood use in outdoor projects. New technologies are removing the issues of maintenance and upkeep, making it an easy, sustainable choice. As more distributors and wholesalers get on board with modified woods, the construction industry will continue to progress into a new era of building, where there will no longer be an either/or when it comes to reduced maintenance or responsible building. Modified wood brings both.

PRODUCT
- Adrian Pye is international sales director for modified wood producer Kebony. Reach him via kenbony .com.
14 r The Merchant Magazine I November 201 4 Building-Products.com
THERMALLY MODIFIED southern yellow pine provides resilient decking for this basecamp in Kenya. (Photos by Kebony)
tliJ 1lfu$,ij*ur* NAWLA Traders Market November L3 & 14 Chicago Hyatt Regency Process Experts Kip Burns Dale Burns llene Young Steve Brandt Iim Moses Custom Products for Your Wood Protection Needs See BPD & Merchant Magazine in December for more information or contact us at: Kop-Coat Protection Products (412) 227-2426 tfo,P-COAT

Lighting today's decks

HE Mosr coMMoN deck lighting mistakes are committed bY those who think more is better.

The truth is outdoor lighting can be intrusive to guests and neighbors if not strategically located with form and function in mind. Too often, d-i-yers and even Pros sPend too much time, energy and moneY on lighting nearly everY outdoor area, ranging from patios and furniture to fences and walks, without consideration of the ultimate goal: creating a comfortable, relaxed atmosphere that facilitates entertaining or quiet, soothing alone time.

Oftentimes, this includes an overabundance of lighting focused in a single area or quite simPlY pointed in one direction, uP or down, resulting in effects that are either flat-out boring or impair the visibility of other spaces. For instance, lighting grouped too intensely together atop railings can cause a nagging glare, while detracting from the beauty of fountains, shrubbery, statues, swings or porches.

Outdoor lighting should alwaYs include a blend of techniques to ensure safety and ambiance. This includes a combination of downlights placed unobtrusively under decks and stairs, uplights used to wash the front of artistic elements, backlights that accent architectural structures, and hardscape lighting built into structures like retaining walls and fire pits to increase both the flair and purpose of outdoor living areas.

Also a consideration is local regulations. Although not stringently enforced as long as light exists from other sources, stair lighting should be a mandatory inclusion of all decking projects due to their ability to increase safety and eliminate the possibility of costly violations.

Now, the hard part. Although most people would agree on the benefits of outdoor lighting, many contractors and homeowners alike are still reluctant to include lighting in their building and renovation packages. Difficult, costly and bulky are just a few of the terms that are regularly used to describe its installation. Fortunately, these phrases represent the memory of systems past, as cutting, splicing and line voltage drops are no longer integral for weaving lighting into decking and the surrounding landscape.

Unlike many exterior lighting solutions that only focus on posts, modern systems have been specially designed to light outdoor rail systems with new connection technologies that simply plug together to ensure easy installations achieved in half the time of tradi tional outdoor lighting products'

Another benefit is that theY work equally well with all forms of material, ranging from vinyl and aluminum to composite and wood railings, to create nearly invisible downlighting effects that can be extended to deck

stairs, posts or other outdoor areas and structures. This is mainly due to the use of sleek 5mm LED light strips available in 4',6', 8' or even customizable sizes that can be neatly tucked under railings, deck boards, and stairs.

Furthermore, the newest forms of LED outdoor lighting offer manY advantages in comParison to their counterparts, with cost savings rising to the top of the list. This is because the latest LEDs use approximately 807o less energy than incandescent bulbs and are rated for 12plus years of oPeration if used 24 hours a day/seven daYs a week. Since they can be oPerated with custom low-voltage DC transformers, line voltage droPs are also no longer an issue, with up to 30 LEDs lit on a single string of lights with the same intensity. Other benefits include:

Photocell technologies that sense ambient light and automatically turn lights on and off for both safety and security. while adding convenience and reliability

. Lighting designs that don't create heat, making them safer for Pets and children, while attracting fewer insects

. Dimmable systems that can be increased or lowered in intensity to accommodate mood and ambiance

Lastly, always work with Proven manufacturers who will back Your sales efforts with credible warranties and sales tools that include kits that builders can demonstrate or homeowners can sample on their own during evening hours. This is a sure way to create confidence in the latest LED outdoor lighting systems and turn customers into rePeat clients.

- Scoft Holland is president, c.e.o. and founder of i-lighting LLC, North East, Md. Contact him at (888) 305-4232 or via www.i - I i ght in gonl ne.com.

PRODUCT
Holland, i-lighting
16 t The Merchant Magazine r November 2014 Building-Products.com
Western Woods | 275 Sikorslqy Ave Chieg CA 95973 | (53O) 343-582L I westernwoodsinc.com

The total deck package

Upsell to boost profit, buyer satisfaction

II /Hrr-e rHIS yEAR's outdoor living

Y Y season is drawing to a close, the work of a successful decking salesman never ends. As construction winds down in many places across the country, now's the time to look back at the season and evaluate your success. Did you meet or exceed your goals? What hurdles did you face? Most importantly, what can you do better next season to maximize your time and profit2

If you're not upselling your customers, you're missing out on a critical opportunity to maximize profit,

grow your business, and better serve the full needs of your clients. Here are several strategies I've found to help sell decking more effectively, efficiently and profitably:

Sell the Total Package

A beautiful backyard consists of more than just a deck. The right foundation and accessories are what truly bring a customer's vision to life. I always start a project by reminding homeowners that the key to a durable, high-performance deck is what lies

beneath the surface: the substructure. Among the fastest-growing trends in deck building today is the use of steel framing. Products like Trex Elevations Steel Deck Framing System offer an ideal opportunity to upsell since they increase a deck's longevity and value, while improving overall appearance both above and below. Unlike wood, steel won't warp, twist, split or decay and its stability creates a remarkably flat deck surface. For homeowners looking to get the highest quality and lifetime satisfaction out of their space, steel deck framing is a no-brainer. However, the substructure of a deck typically isn't top-of-mind for most homeowners, so it's up to you, the contractor, to present your clients with all the available products and information so they can make the best choice for their backyard and budget.

Similarly, lighting and railing add safety and enhanced ambiance to any outdoor setting. Given the myriad of options available, this is an area where clients can truly customize their space and let their personality shine. Use images from previous projects as inspiration and to reinforce the important role these components play in creating a dream outdoor living space.

Inspire Gonfidence and Possibilities

With the "total package" approach in mind, have the discussion about add-ons early in the planning process.

MARGIN Builders
Professional
Building Services
Ciaraldi,
By Pete
1 B I The Merchant Magazine I November 2014
STEEL FRAMING is a new trend beneath composite decking.
Building-Products.com
(Photos by Trex)

You will show yourself as a true specialist by demonstrating you are thinking ahead. Ask your customers questions about how they plan to use their new deck, and present ideas that ignite inspiration. Introduce clients to online design software and encourage them to experiment with the diff-erent f.eatures and options to help expose them to new possibilities. Designing an outdoor living space from scratch can be overwhelming, but I've found that resources like visualizer apps for mobile devices provide a user-fiiendly way to experiment with the many decking and railing choices available.

Focus on Value vs. Price

When it comes to decking materials, many consumers limit their options due to preconceived perceptions about the cost of composite decking. A great way to address this concern is by quantifying the longterm value of a composite deck. The cost-and time-required to maintain a traditional wood deck can far exceed the upfront investment in a high-performance composite deck that will last for 25 years and retain a like-new appearance with just an occasional soap-and-water cleanin-e. Make sure your clients understand and consider the cumulative expense of powerwashing, sanding, staining and paint-

ing a wood deck-not to mention the value of all the time they get to spend enjoying the deck rather than working on it. Typically, the cost difference evens out within five to l0 years.

Today's wide range of offerings and price points make it even easier to convert customers to higher-margin wood alternatives. Trex, among other manufacturers, offers multiple decking collections, to accommodate a range of budgets. Its three lines all off'er high durability and wear-resistance, along with ultra-low maintenance and longlasting good looks. Each offering then builds on the last with enhanced performance and design features that make it easy for contractors to upsell based on customer preferences and budgets.

Given the constant array of new products, advancements in technology, and the evolution of backyard design, there's never been a more exciting time to be in the outdoor living business. Be sure you're making the most of every project by promoting yourself as an outdoor living expert and offering your customers complete outdoor living solutions, along with a healthy dose of inspiration and guidance.

USE OF steel framing can provide a cleaner look under elevated composite decks
Building-Products.com
ia prole ss iono lbu i ld i n gse rvit e t.(
November 2014 r The Merchant Magazine f 1 9
- Pete Ciaraldi manages ProJessionul Buildittg Services, Salem, N.H., ntttl is u Tre.rPro Platinum contractor. Reach hinr r (,nt.

Whatts in store for decking in 20 15?

living products your builder and d-i-y customers will be demandins come spring and summer.

Living large outdoors

Outdoor living is really taking off, with more people turning their backyards into vacation spots. They're increasingly using decks for entertaining, not just relaxing. That means more amenities like outdoor kitchens, bars and fireplaces.

The growing popularity of outdoor living also means that in many parts of the U.S., especially the west, decks are getting larger and more complex. Many now feature well-defined areas for cooking, eating and socializing, with handrails, level changes and colors setting offeach space. For dealers, this means opportunities to sell larger quantities of decking and railing, including multiple colors per job, to help accent various functional parts of the space.

LTow rHa,r ArtBnIceNs' spending

I \ power and willingness to invest in home improvements is on the rise, dealers can anticipate greater demand for outdoor living products like deck-

ing in 2015. The winter months are an ideal time to explore the design and product trends that will be popular with homeowners, so you'll be prepared to offer the decking and outdoor

In the Northeast, where many homeowners are still rebuilding from Superstorm Sandy, replacement decks tend to be smaller and more utilitarian to accommodate for smaller yard spaces and over-extended remodeling budgets. The demand for decking and railing is robust given the sheer volume of decks being replaced, so dealers in the Northeast should be prepared for strong decking orders to continue. Both small and high-end decks present an opportunity to sell complementary, functional items such as grills, shade systems, and outdoor seatins.

DECK BUILDERS increasingly offer customers alternatives to traditional square balusters in railing systems. (Photos by MoistureShield)
20 r The Merchant Magazine I
November 2014
Building-Products.com

Deck design trends

In nrany'parts of thc Lj.S.. clcck designs are rlor,ing touarcls a lnorc rnodcrrr look. Custont dccks incrcasingly lcaturc acccssurics likc conrplcnrcntary colorcd handrails (u'hitc ancl black arc urou'ing in popularitl,). alternative railings (such as rope and elass), and captii,atin-u Ii-ehting to illuminate the dcck and create r,isual intcrest. More manufacturers are offeri n_u li-ehts e.rc|-rsivel v des i gned fbr decks, rvith lou' r'oltage outputs. expandin_u design possibrlities.

For deck boards and rails. exotic colors are trcndin-e. although brou'ns and gravs continue to bc far,ored. as well. Dccking ntanufacturcrs havc rcsponded vu ith ncr.'n colors that clcalers can use to fulf ill the se hontcowncr prcf'crcnces.

For cxarnple . in lccent r.nonths

MoisturcShiclcl has adclccl to its color palcttc Blazilian Chcstnut (a \\'arnt. golclcn brown u ith rich bruncttc strcaks) arrcl Britllc (a liclr bnrr.'u,n ri'ith a huc similar to l'inc le athcr).

Desire for durability

C)ne outconte o1' thc Grcat

Rcccssion is rnaltt' I.torncou'ners aLe looking for home intpro\ entents tc) delivcr lastin-r "'alue and be rnore than a short-term anleuit),. For decking. this means a growing interest in prod-

ucts that will holcl Lrp wcll lt() llattcr what ltalufc thror,i,s at thcrn. l'r'ont halsh sunlight ancl hcai'v snowl'ull to soaking rains. ln addition to lirvoling proclucts with long-tcrnr clnrabiIitr'. h()ntc()wn('l\ ttlso utrrtt to t11i|l1',t rthe tinrc rccprirccl to rnaintain thcir homc improvcments.

A rcsult of thcsc two honertr','ncr desires is increasecl demand fbr contposite and plastic clccking. u'hich is torecast to grow nearly l0% pcr ve'11' through 20 18, accordin-e to a recent Frecdonia murkct studl

For many horneowners. the ultimate dcciding factor when choosing decking proclucts is still hou cood the boalcls look. The rcsult is grorving interest in cxotic harclwoocls likc ipi. ancl contpositcs that replicate the look o1'hrgh-cnd woods. A decking's reputation lbr reliability and clLrrabilitv is still vcry important. thoLrgh. so clcalcrs stand thc bcst cltancc for salcs succcss whcn ol'lcr-ing ltroducts that arc both clurablc rLrrcl beautil'r-rl.

Brt'ttl Cjtttttttr'r lr rr'llrrl lir'r /rl, 'i tlcrtt o.l sulc:; c( tnurkatirt,q .frtr Mtti.sttrraSltitII t rtttt1to.siIc dtL kitt,q. urttl Itu.s rrtrtrc tlrun -10 t'aar.s of c.rpcriartct'itt

s I rr. G ty o t ttt't' zr1.r, .s(r'r,t,s ort tltc lxturd o.f North Anrcricun Deck & RaiIing As.sociutiort. Cottttttt ltint at bgv'ulner@ uert .com

! \
DEcKING manufacturers now supply an array of low-voltage lighting to accent deck designs
Building-Products.com
I t a b t r I d i rt g n cl t
iii .*i *r l* &l s, rI I li ${ November 2014 I The Merchant Magazine a 2"1

Driving sales growth with technology

D scExl-v, rHls coLUMN focused on the challenges of -llservins customers who have grown accustomed to an Amazoi.com shopping "^p".i"n.".

The key takeaways for staying competitive and relevant in today's environment included using technology to advance and support your sales organization. In an industry that is slower to adopt technology and traditionally reliant on strong personal relationships to conduct business, this can be a challenge.

However, there are a number of organizations that have embraced and are driving sales growth through the use of proprietary or third-party technology solutions. Those tools include online sales or e-commerce platforms, mobile apps and integrated customer relationship management (CRM) systems.

"A mobile app that is accessible through a tablet computer or smartphone gives a sales team the ability to access real-time inventory pricing and accounts receivable information, enter quotes, open sales orders, and input sales leads on the fly," said Anthony Muck, senior special projects manager of DSMi, a software company specializing in the building products industry. "A lot of our customers appreciate how this tool can replace a binder full of sales sheets that are outdated as soon as they are printed."

We at U.S. Lumber Group, Atlanta, Ga., recently began using Salesforce.com for CRM to be responsive to customer requests, consolidate customer information, and facilitate sales.

We've always struggled with information flying around from 90 different directions. Now our sales reps can have all their customer and product information

available through their tablets when they're meeting with customers.

Like U.S. Lumber, many organizations struggle with consolidating historical customer sales data and contact information in one place. Housing that information in a central CRM system like Salesforce.com, ACT or similar technologies, can streamline and improve a company's sales and marketing efforts and grow revenue. Access to detailed, accurate customer data means a marketing team can send targeted offers and communications to the right people at the right time and increase conversion rates.

U.S. Lumber's roll out of these technologies began in spring 2014, so adoption across the organization is still underwav. However. the sales representatives who can

22 I The Merchant Magazine r November 2014 Bui lding-Products.com
Wholesale Lumber Association

North Arnerican Wholesale Lumtrer Association

now easily locate sales history, pricing, programs and other details in real time have provided positive feedback to me about their experiences.

Recognizing the trend that more and more of our customers want to transact with us online. U.S. Lumber is also developing an online e-commerce site. We will be able to Drovide customers with cu\l()mized Drogram pricing and all product documentation in one spot. The new U.S. Lumber catalog will also allow customers to track the truck deliverins their orders untl provide them wirh i real-time ETA.

The willingness of our president, Jeff Mclendon, and leadership team to invest in technology has put U.S. Lumber at the fbrefl'ont of the industry when it comes to innovation. As a company, we are dedicated and focused on using technology to enhance ()ur customcrs experience with us.

Building Products Inc. (BPI), a supplier of building products headquartered in Watertown, S .D., recently implemented the DMSi PartnerView online portal. Through this tool, its customers can find and print invoices, view open orders. get shipping status, enter quotes, and perfbrm other functions at any time of day.

"Now, our customers don't have to get off of the phone with one of thcir customers to place orders," says Cas Rangel. chief information officer for BPI.

Rangel believes thc convenience, time savings and other features of this new tool have resulted in increased customer satisfaction.

Over the past year and a half, BPI has also locused on other technology investments, such as a new phone system and a custom-built CRM system that will integrate with the customer portal and phone system.

Not only do these enhancements position BPI for greater marketing and sales success by centralizing customer data, they also ensure business continuity. which prevents lost salcs and customcr service issues.

"lf something happens that closes one of the branches, I can have those operations up and running the same day at another branch," said Rangel. "And our staff can work remotely if needed."

To Iearn how other peers arc leveraging technology to enhance their sales efforts and drive revenue growth, I encourage you to attend NAWLA's Leadership Summit, March 22-24,2015, at The Westin Kierland in Scottsdale. Az. Thc event brings together mid-level managers and executives and industry-leading companies to discuss top-of-mind business topics and solutions for driving revenue growth and s{reamlining operations. Additional details are available at www.nawla.org.

- Mark Brertnutr is progrant nonager for U.S. Lumber, Atlanta, Ga., und a member o.f North Amerit:ctrt Wholcsale Lu m hc r A.\.\ot i at i l ) il .\' t'( m tn I t n t .t I (, n s cqmnutt?a.

Building-Products.com November 2014 r The Merchant Masazine a 23

Builders keeps on building

T)uu-osRs, BASED IN KearneY, Ne., LDwith a successful Denver, Co., operation, hasn't always mastered both facets of that "right time, right place" secret to success. Locations were just fine, and what its leaders may have lacked in timing, theY more than made up for with guts.

Back in 1917 , Myron Anderson launched the enterprise (a big word for what actually served as a brave, new start-up) with a small location and a pick-up truck you didn't dare turn off. With a staff of four, a World War II surplus forklift, and a shoestring, Builders was up and running. It staggered into the downturn of the mid'80s, staring down a Year when the town of Kearney had but one single new-home start to its name-"but it

was ours, so we had l00%o of marketshare," laughs president and c.e.o. Chris Borrego, in telling the story. "We gutted out the '80s with a stickto-it-staff."

... and were rewarded in the '90s by continued growth, including launch of a truss plant and lumber operationcum-cabinet shop in Grand Island, Ne. Fast forward to 2008, when Chad Anderson, son of Myron (who's still on hand as chairman of the board), saw an opportunity to open a location in Colorado. With customers and business all set, "we lined uP land and bought equipment, just in time for the bust," Chris laughs again. "So we had to reinvent ourselves in the Colorado market. And," he's haPPY to add, "we've been very successful."

The key to that success-and to the future, the folks at Builders believeis customer mix, "a very diverse scope of service. Back in Nebraska, where we'd started, in order to survive. we strove to serve multiple customer segments-from repair/remodel to singlefamily custom home, to builders with 20 or more homes ayear,to light commercial. Hotels," he testifies, "are a growing portion of our business. All that's a little unique. It raises eyebrows in our industry. But we're now shipping [trusses] as far as North Dakota and New Mexico.

"The breadth of materials we carried needed to increase, too-You have to do that if you want to grow."

Thus, both Nebraska stores boast new design showrooms for kitchen and bath-an outgrowth of the flourishing cabinetry business. The showrooms also carry flooring, lighting, windows, doors and appliances, and stage customer events to drive visibility and traffic. And they're spotlighted as the only act in town that can boast these draws.

Builders' customers are TOVo pro in Kearney, gOVo in Denver. With this strong contractor focus, Builders is quick to realize its prime function. "'We're in the project-management business," Chris attests. "We anticipate the builders' needs." And when it comes to driving new business, "we let our actions speak for themselves. We partner with builders who, like us, are quality-minded, share our values,

COMPETITM In
BUILDERS, store in Kearney, Ne., recently unveiled a remodeled design center, heavy on the kitchen and bath.

have high expectations, and pay close attention to details. Our biggest source is referrals-the happy customers who say great things about us. And from our sales team's relationships. We don't just come to work, we participate in the community, like helping Habitat and local high schools. We put our name out there.

"Why do they like us?" One big reason: Builders listens. "Every year we sit down with our customers and ask for a report card: What are their opinions? Where do we have room for improvement? They told us, for instance, that they wanted a contractor area of their own within the stores, a quick entrance and exit, yet close to the retail shelves-and that's how we remodeled our stores. It's a relationships business. not a transactional one." Chris stresses.

Division managers are rewarded with plenty of autonomy to run the operation as if they owned it. They develop individual business plans to justify added equipment, product lines and sales growth. "Our managers want to demonstrate this! And they make the difference," Chris is convinced.

A prime factor they're accountable for is delivery service. "We're in the transportation business almost more than anything else," Chris insists, noting that Builders will purchase and distribute over 300 cars of lumber this year. "Making deliveries is important. We measure on-time and in-full delivery every day, and the entire company gets a look at it-so if there's a glitch in, say, purchasing or operations, they can get a fix on it.

"We use diverse metrics to deliver on our promise-for instance, customer service: to measure it, to keep ourselves grounded. We're a little tougher on ourselves than our customers are, they tell us," he laughs again-but wouldn't have it any other way.

Case in point: the new truss plant in Denver, a 2O-acre location with little walk-in traffic, by design. "And we've got great plans ahead for Colorado in the cabinetry product line: countertops, millwork. We'll provide a good mix and do a good job at it. We had our Grand Island truss operation launch in the mid-'90s. so we were used to the truss business on a smaller scale, and could anticipate the customer mix in Colorado. Our success would depend on relationships with the multi-family business, and 2008-09 was a challenge. Our sales team had to hustle, because familyoriented construction was where the cutbacks were," he reminds us. "And as the market recovered, we've gone after the single family and hotels.

"We made substantial investments, partnering with our vendors, and designed software in-house to measure profitability. We can implant the building plans into the system and derive estimates, then send the information back to the salesmen. After sales, it works as a means to communicate the status of the job to the multitude of people working on a single project.

Builders works to repay this strong customer loyalty (some contractors have been on the books since that 1977 launch). "It has to be mutually beneficial. That loyalty has been a great resource for us, so we strive to show our appreciation. And each market is different, so maybe a golf outing here, a trap and skeet shoot there, or a contractors' night after remodeling the design centers." Builders' personnel also realize the importance of attending industry roundtables to glean do-and-don't pointers from industry allies who've gone the route before them.

Of course, to maintain strong relationships requires a strong staff. And staff training begins with attitude. "We hire people who share our values, our guiding principles. We screen for quality." (However, he adds, the recent recession has taken its toll: "The availability of qualified labor just isn't there today; lots of people left the industry during the recession.") Builders turns to industry associations for training materials, both in product knowledge and customer service. "We try to source out to industry resources to educate, then test them."

Who do they want working here? If they're anything like Chris, the answer is, "a great company with great people who really enjoy coming to work and working with customers. The senior management boasts 25 to 30 years in the industry and shares common values: you've got to like customers,like people, and handling difficult situations."

"Technology," Chris explains, "makes us much more efficient. We document everything we possibly can, including issues and solutions from past projects (such as, what materials were over-shipped) to save time and money on the next project. It puts us in a whole new league in the industry, especially on big jobs like hotels, with the level of communication needed. It's increasingly critical to be on the same page."

And that factor alone should keep Builders ahead of the pack in the future. "ln the sales process, we'll enter the design to get an estimate and upload it to our system for a seamless transfer of information throughout the process. And it must happen quicker, faster than in the past: There's demand! Maybe a client wants it by next week-or even tomorrow. We've sot to anticipate the future."

And the future looks... like what? "Our company's next logical move is to introduce a design center in Colorado." Right time, right place.

SELECTION CENTER is the olace to choose cabinets and countertoos.
Building-Products.com
November 2014 r The Merchant Magazine r 25
cwaldemar@comcast.net

Glosing relationshipsr closing techniques

f)

elarroNsHlps AND TECHNIeUE affect how much busi-[\n"rt we get from our potential customers. Many sellers are friendly. They are helpful. Other sellers have good technique. They've read all the books and know all the moves. Master sellers do both. Master sellers know how to ask for the business and they know how to build mutually beneficial business relationships.

Make closing part of the relationship

Too many sellers have a "relationship" with the "customer" that is only a one-way or social relationship. Here is a typical conversation with a salesperson in this type of relationship:

Manager: "So, John, how are you doing with ABC Distribution?"

Quotron: "Great! We have a great relationship."

Manager: "Good, so how much are you selling him?"

Quotron: "Oh, he hasn't bought anything from me yet, but we have great conversations."

Manager: "It's not a great relationship unless he is buying from you!"

The customer is using and abusing this salesperson for market information or to "keep his main supplier honest," but has no intention of buying from him even though they have a great "relationship." This salesperson thinks that after many great conversations, eventually the customer will start to buy from him. He's correct in one sense. Relationships take time for all sellers to build. The difference between the master seller and the quotron is the beginning, the middle, and the end of the relationship.

The Beginning.' Quotrons spend all their time and energy trying to please the customer. They confuse agreeability with likeability and deference with respect. They allow the potential customer to dictate the terms of every conversation. They are there to please.

Master sellers spend their time and energy looking for common ground. They give and demand respect. They are likeable and agreeable, but they do not concede and cede on every point. They ask for the order/business earlier and more often. Master sellers are interested in relationships that are mutually beneficial and projects this in everything they say and do.

The Middle.' The quotron serves the customer and accepts a lot of "I'm fine right now," "The market isn't right for me," "I don't know exactly where I am on that," and other excuses at face value and does not ask the follow-

up questions that the master seller does:

Master Seller: "I understand that you are fine right now, but when will you be buying?"

Customer: "In a couple weeks."

Master Seller: "If we can put a deal together for two weeks out, can I have your order today?"

The master seller follows up on all side-steps from the customer with a "what if?" strategy or just by asking more follow-up questions to get to the customer's true need.

The End: At closing time, master sellers ask and ask way more often.This is not a style issue-ask and ask a lot.

3'Yes or nott vs. ffltll let you knowtt

Closers are in in the game. not just commenting on it. Sellers who struggle are in a lot of "I'll let you know" conversations. Closers are in more "yes or no" conversations.

A great way to ensure we will get into "yes or no" conversations is the "opening close." We open the conversation with a closing sentence.

Another way to get into more closing conversations is by holding back the price on our offer. We tell the customer the positives about our offer. We build value and excitement, but we hold back the price. When we hold back the price, customers will ask for it. Questions are buys signs. By holding back the price in the offer we "force" the customer to engage in a sales conversation (yes or no).

Us: "Good morning, John. We just bought a block of Beautiful Wood studs. I've got flexibility on shipment, how many of these do you need?"

Customer: "What's the price?"

Us: "The price is the icing on the cake, John. If we can agree that the price is right, how many can you use?"

From here, we are in a closing conversation. The customer may say yes or no, but he is unlikely to say, "I'll let you know."

When we use more "yes or no" techniques and build mutually respectful relationships from the beginning, we win.

i .:ri .;4"xn I 5
james @realitysalestraining.com
26 I The Merchant Magazine r November 20'14 Building-Products.com

Green Diamond Trying to Sell Remaining CRC Operitions

Green Diamond Resource Co. has placed its California Redwood Co. sawmill in Korbel, Ca., up for sale and closed its Brainard, Ca., drying and remanufacturing plant at the end of October.

Earlier this year, CRC began exiting the redwood manufacturing business, to concentrate on its timberlands, but expected to continue milling Douglas fir. It changed course, according to spokesman Gary Rynearson, upon realizing the operations would be better served by a company steeped in DF manufacturing and marketing.

If no buyer is found, CRC is looking at other options for Korbel, including possibly curtailing operations either permanently or temporarily.

CRC is also looking for a company to purchase or lease all or part of the 76-acre Brainard complex, which also had housed the company's California corporate offices. Two months ago, CRC told The Merchanr it had expected to operate the facility until at least the end of the year.

Another Lumberyard Opens on Historic Nevada Site

A Nevada lumberman-turned-contractor has returned to reopen the yard he used to manage in the 1980s.

Steve Douglas entered the industry with Copeland Lumber, Yerington, Nv., but later transferred to Carson City, Nv. Twenty years ago, he got his contractor's license and launched Top Notch Construction. Now, assisted by his wife. Debbie. and son Kevin. he has

opened Sticks & Stones Building Materials on the Yerington site.

The property actually has housed numerous lumberyards, going back nearly 100 years, the most recent being Home Lumber.

Although the site has sat vacant for several years, Douglas first became interested in reviving it this spring when he heard Valley Building Supply, Yerington, closed after 50 years.

He arranged a lease-buy deal with the property owners and, following an extensive remodel, soft-opened the business in September.

Mark Spurlock is yard manager, assisted in the yard by Zenaido Leyva.

Arauco/SierraPine Kill Deal

Arauco subsidiary Flakeboard America Ltd. has dropped its proposed acquisition of SierraPine's three panel mills in California and Oregon, due to objections by the U.S. Department of Justice.

Arauco and SienaPine jointly and voluntarily agreed to terminate the deal, which was struck in January.

Roseburg Begins Gradual Restart at Weed

Roseburg Forest Products, Roseburg, Or., began a phased rampup of production Oct. 13 at its firedamaged veneer facility in Weed, Ca. Repairs to the entire mill should take until early next year.

The mill was damaged Sept. 15 when the Boles Fire tore across nearly 500 acres of the city. A 24-year-old Northern California man, Ronald Marshall, was arrested and charged

Weslern Cedor Products

with starting the fire, which began at an apartment complex that had recently evicted him. He pleaded not guilty and is being held on $2.5-million bail.

After the fire, the company was able to keep nearly 100 of the mill's 135 workers active, with about half temporarily relocating to Roseburg.

Central Ca. Dealer Coming

Golden Valley Ace Hardware will be opened in Reedley, Ca., by Paul and Connie Khasigian, operators of Ace Hardware. Fowler. Ca.

The owners have struck a deal with existing Ace Hardware dealer Reedley Lumber to complement each other rather than compete, such as the new business agreeing not to sell lumber.

Do lt Centers of California, Chatsworth, Ca., closed its decade-old Moorpark, Ca., store Oct. 3.

Grandview Lumber Co., Grandview, Wa., will relocate to a larger property, with the assistance of nearly $1 million in Supporting Investment in Economic Development funding-half a loan, half a grant.

Blakelv & Hout True Value

Home Genter, chehatis, wa., has closed after 61 years, with the retirement of owner Dick Beckman and several key employees.

Hayward Lumber held a Nov. 5 grand opening at its new location in Redwood City, Ca, (see Sept., p.24).

South Central Windows, Doors & Hardware, Kenai, Ak., has been opened by Jim and Rita Babcock.

Ace Hardware at Reunion, Commerce City, Co., has been opened by the owners of Ace Hardware at Westwoods, Arvada, Co.

The new 9,000-sq. ft. store features a Paint Studio, hearty Craftsman tool selection. and central info desk,

A.D. Martin Lumber, Riverton, Wy., held a week-long celebration last month to celebrate its 60th anniversary.

Habitat for Humanity is relocating its ReStore discountlBM outlet in Payson, Az,, to a larger facility.

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Land Sale to Fund John Day Mill Upgrade

Ochoco Lumber Co.. Prineville. Or., will devote some of the funds from an $l8.5-million timberland sale to upgrading its Malheur Lumber Co. sawmill and biomass plant in John Day, Or.

Stafford Ranches, Fields, Or., purchased the 32,000 acres-called the Foley Butte Block-in Central Oregon, which Ochco had amassed over the last 35 years and had previously drawn logs from to feed its

sawmill in Prineville. The company shut down the mill more than a decade ago, so is now focused on lands closer to its John Day operations.

It still owns about 15O00 acres in the John Day Valley and inked a 10year, $69-million deal with the U.S. Forest Service to harvest timber in the Malheur National Forest.

Two years ago, Ochoco announced plans to shut down the John Day mill

wood products

due to a lack of local timber supply (see Sept. 2012, p.33), but now expects supply to exceed current capacity, necessitating addition of new equipment.

Stafford Ranches will use its new lands for logging and cattle grazing.

HD Supply Expands in No. Ca.

HD Supply Home Improvement Solutions, Roseville, Ca., opened its 12th branch Oct. 15 in Citrus Heights, Ca.

The new 46,000-sq. ft. location offers over 400,000 SKU's, with every item tagged with a QR code so shoppers can access additional product information using their smartphones.

Manke Lumber's smallJog mill in Tacoma, Wa., will be down most of November, to upgrade equipment. The planer mill will be idled for a briefer period, while its large-log mill in Tacoma continues to operate.

Galifornia Gascade Industries, Sacramento, Ca., is now distributing Henry Go.'s Blueskin VP100 housewrap.

Interfor is now marketing llim Timber's European lumber products in North America.

lnternational Wood Products added Havana Gold to the Trex Transcend Tropical decking colors stocked at its DCs in Clackamas and Medford, Or,, and Tumwater, Wa.

Potlatch Corp., spokane, wa., has aoreed to oav Resource Mana{ement Seniice LLC $384 million for 201.000 acres of timberland in Alabama and Mississippi.

The deal, expected to close late this year, will nearly double Potlatch's southern timberland holdings.

DMS| was named Partner of the Year for Software Innovation bv software developer Progress,

Anniversaries: Dorris Lumber & Mouldinq Co., Sacramento, Ca., goth ... Kayu International, Tigard, Or., 20th Screw Products Inc., cig Harbor, wa., 1sth

rr R.
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CLT Producer Ready to Expand

After two years of producing cross-laminated timber, Smartlam is outgrowing its 40,000-sq. ft. plant in Columbia Falls, Mt., and is looking to build a significantly larger facility.

General manager Casey Malmquist said the plant is at full production, with no room for expansion. At the same time, neighboring Western Building Center would also like to expand-ideally on to Smartlam's current site.

Smartlam's plan is to build a new, rail-served facility ranging from

120,000 to 160,000 sq. ft., where it would set up a new, larger CLT manufacturing line. Once that's operational. the current line would also be moved to the new location.

The new facility would also feature an architectural center, allowing it to begin production of custom-cut panels for commercial applications.

Malmquist estimated the larger operation would allow the company to double its current 35-person workforce.

With any move expected to take up

to a year-and-a-half, Smartlam in the meantime will construct a 400-sq. ft. addition at its current facilitly using its cross-laminated panels, "to showcase what we can do."

Smartlam said it is the only CLT manufacturer in the U.S.

D.R. Johnson Gets Grant to Develop CLT Plant

D.R. Johnson Lumber Co.. Riddle. Or., was awarded a $150,000 grant from Oregon BEST to construct a pilot manufacturing line for crosslaminated timbers at its Riddle Laminators plant in Riddle.

The company is collaborating with an Oregon State University research team in Corvallis, Or., to test the products, which are used extensively in Europe for buildings up to 40 stories high.

Western Forest Products to Consolidate B.C. Mills

D.BIIAZE

Western Forest Products, Vancouver, B.C., is winding down operations at its Nanaimo sawmill, as it nears completion of a $l0-million modernization of its Duke Point sawmill.

The closure will take place before the end of the year, and coincide with an increase of lumber production at its mills in Duke Point and Saltair.

For interior applications where fire retardant construction materials are specified or required by building codes. D-Blazeo treated lumber and plywood is highly effective at controlling the spread of flame and reducing smoke development as a result of fire.

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"The investments being made at Duke Point and the consolidation of our Nanaimo sawmill operations are expected to reduce costs. improve our flexibility to produce different grades of lumber, and increase our recovery factors from log to lumber," said Don Demens, president and c.e.o.

Studies to Evaluate Juniper's Commercial Potential

Sustainable Northwest, Portland, Or., has been awarded a $64,990 grant by the U.S. Department of Agriculture to explore the commercial prospects of western juniper.

The species is plentiful in eastern Oregon, but considered a nuisance. Research will be conducted at Oregon State University, Corvallis, Or., with the West Coast Lumber Inspection Bureau to determine juniper's structural characteristics and engineering design values.

The subsequent report can then be used by architects, engineers, builders and other agencies to size up its value to their projects.

r so-Year Llmlted
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Top 10 Green Products for 2015 Named

Healthier insulation and better-performing air barriers are among the winners of BuildingGreen's Top-10 Green Building Products awards fbr 20 r5.

The l3th annual awards rccognize green building prodr-rcts that make fundarnental transformations to "business as usual" in the dcsign and construction industry.

Several of the top products. including Johns Manvillc's ENRGY 3.E polyiso insulation. elirninated halo-gcnatccl flame retardants, a longstand-

ing hcalth and environmental issue.

Prosoco's fluid-applied Cat 5 air barricr system contains no solvents, isocyanates or phthalate plasticizers, and it can bc applied to damp surfaces.

Cascadia Clip fiberglass thermal spacers help install cladding over insulation. significantly reducing the thelrnal bridging through thc insulation as comparcd with conventional attachment methods.

Marvin was honored as the first company to offer Passive House

Institute U.S.-certified windovu's.

Other Top l0 picks included metered solar panels lrorn thc Clean Energy Collective that cln be installed rernotely. refblmulatecl liram cushions frorn Ekla Home. petroleumficc plastic chairs from Kl. Multistack Maglev centrifugal chillers, USAI's Color Selcct tunable lighting. and FocalPoint's hi-ch-l-low-ratc biofiltration system. which is designcd to treat stormwater in densc urban areas.

& railing season your decisions now ar€ key. The right product, the right program, and the right partner.

The right product is Tlex'. The industr,v leader in composite decking & railing and ongoing innoyator in the outdoor living category.

The right prosram is fbund in the Tiex f'amily of products - everything from the luxury of Tlex Transcend Thopicals" to the value-priced quality of Tlex Select^ -cornbined with the right distribution partncr.

The right distributor is IWR committed to your success through service, support, education and a full inventory position.

Askyour IWP representative about our commitment todav!

WApp: Lnruoscape LronrrHc Toolrrr

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Price: $5.99

Platforms: iOS, Android

A new mobile app helps d-i-yers and professionals design efficient, safe LED landscape lighting systems and correct improper installations.

The Landscape Lighting Toolkit is a collection of electrical calculators and tutorials that helo create more efficient designs, lower installation costs, increase long{erm safety, and troubleshoot issues in existing installations.

It can maximize the effectiveness of each transformer and each run, thereby lowering total costs. The only necessary information is wire gauge. length of run, voltage tap, and VA or W.

"Low voltage-and LED technology specifically-have introduced some complexities into landscape lighting that unfortunately aren't widely understood, such as the difference between apparent power and true power, whrch throws off wattage calculations," says programmer Daniel Hall. "Many problems encountered by firsttime LED rnstallers aren't problems with the luminaires at all."

- Download from iTunes App Store or Google Play

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34 r The Merchant Magazine r November 2014 Building-Products.com
n$.aer taa, qg@rt&, &?efe,r sr&{cess,,., To have a successful decking

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Alternative Decking to Jump 1Oo/" Per Year

U.S. demand for wood-plastic composite and plastic lumber is expected to increase more than l07o annually to $8.4 billion in 2018, consuming nearly 4 billion lbs. of plastic, according to a new Freedonia Group report.

Demand will be boosted by a rebound in new housing completions from the low 2013 level, gains in residential repairs and remodeling, and increased market penetration in decking applications.

Decking will account for more

CEDAR

than two-fifths of composite and plastic lumber demand by 2018. Among other uses, moulding and trim applications are also expected to advance at a strong pace through 2018.

Composite demand should rise at a quicker pace than plastic lumber, since composite lumber includes cellulosic fibers and is better able to resemble the look and texture of traditional wood, an appealing trait to consumers looking for attractive but low maintenance decks.

Furthermore, because composite

lumber frequently is manufactured using recycled materials- including consumable plastic, such as grocery bags and stretch film, and wood scraps from mills and other lumber operations-it is often marketed as an environmentally friendly building material.

A separate Freedonia forecast predicted overall U.S. demand for decking should rise 2.4V0 per year through 2018 to 3.5 billion lineal ft., valued at $6.5 billion.

Plum Creek Selling NW Land to Nature Conservancy

Plum Creek Timber Co.. Seattle. Wa., agreed to sell approximately 165,000 acres of Montana and Washington forestland to The Nature Conservancy for $134 million.

The sale is part of an effort to unite the checkerboard land ownership patterns of these lands. The agreement includes timberlands located at relatively high elevations with slower growing trees. While less productive for timber operations, the lands are desired for forest conservation, recreation, public access, and ecological protection.

According to Plum Creek, they are among the most ecologically diverse and intact biological systems remaining in the U.S., including lands in the lower Blackfoot Valley near Missoula, Mt., located in the Crown of the Continent, and also lands on both sides of Interstate 90 between Snoqualmie Pass and Ellensburg in Kittitas County, Wa., located in the Heart of the Cascades.

"Plum Creek has a strong history of conservation and is pleased to partner in the sale of these lands to accommodate the public interest in securing permanent conservation that protects ecological and recreational values," said Plum Creek c.e.o. Rick Holley. "This is an important conservation project that recognizes the highest benefit these lands offerprotecting ecological values and helping to maintain public access. We are pleased that we were able to work with TNC to conserve some of the nation's most important forest areas."

The property will be acquired by The Nature Conservancy in two phases, the first closing in the fourth quarter of 2014 and the second closing by end of the first quarter of 20 I 5

Plum Creek owns 6.7 million acres of timberlands in the Northwest and Southeast.

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Miguel Gutierrez has been promoted to sales mgr. of Thunderbolt Wood Treating, Riverbank, Ca.

Aimee Murray, ex-Meeks, is new to sales at California Cascade Industries, Sacramento, Ca., charged with growing specialty products and providing outside sales support. Natalie Allen, exOrePac, is a new outside sales mgr. in Southern California.

Mark Spargo, Snavely Forest Products, Denver, Co., has been promoted to v.p.-national accounts for the Pittsburgh, Pa.-based business.

Bill Leonard, ex-Weyerhaeuser, has joined RFP Lumber Co., Oroville, Ca., as sales account mgr.

Rick Audsley has been promoted to senior director of engineering for Sierra Pacific Industries' window division. Anderson. Ca.

John Taylor, ex-LP Building Products, is new to sales at Taiga Building Products, Rocklin, Ca.

Susan Gundlach, ex-Sunset Forest Products, has been named transportation mgr. at Sherwood Lumber, Lake Oswego, Or.

Keith Keegan, sales mgr., Weyerhaeuser, Denver, Co., is now area general mgr. for north Texas, based in Carrollton. Tx.

Steve Mulholland, sales mgr. for SierraPine's Medford. Or.. MDF plant, is now also sales mgr. of its Ampine particleboard mill in Martell. Ca. Karla Schaffer and Sergio Jimenez are now regional mgrs. for the Southwest. Stewart Laney's territory has expanded to include New Mexico and Texas. Chuck Jessup is now also covering the Southeast and Northeast. Jamie Kramer-Shull has taken on new responsibilties in the Southeast and western Canada, and will manage big box accounts.

Nicole Galloway has been promoted to store mgr. of Orchard Supply Hardware, Stockton, Ca. Gary Anderson. ex-Masonite. is new to residential outside sales with American Building Supply, Sacramento, Ca.

Max Bajorek has been promoted to store mgr. at Home Depot, Lakewood, Co.

Chris Laustrup, ex-Fortress Railing Products, is now mgr. of builder sales-wholesale channel for Masonite Corp., Denver, Co.

George McConnell has transferred from window/door sales at Hudson Street Design, Marin, Ca., to lumber sales at sister company Healdsburg Lumber Co., Healdsburg, Ca.

Aisha Azatto, ex-PrimeSource Building Products, is new to outside sales at Peak Fasteners. Salt Lake City, Ut.

Andrew Elsbree has been promoted to v.p. and general mgr. of Oregon operations for Green Diamond Resource Co., Klamath Falls, Or.

James Chilcoff, ex-James Hardie, has joined Parex USA, Anaheim, Ca., as managing director. Rodrigo Lacerda has been promoted to president of ParexGroup Americas.

Amy Little is a new marketing specialist at Woodtone Building Products, Chilliwack, B.C.

Kevin O'Connor, ex-DMSi, joined DQ Technologies, San Antonio, Tx., as senior account mgr.

David Tyree joined American Wood Council, as Central region mgr. based in Colorado Springs, Co.

MStephen Williams has been promoted to senior v.p., c.f.o., and corporate secretary for Western Forest Products, Vancouver, B.C. Former c.f.o. Brian Cairo is leaving Nov. 30 after eight years with the company. Rick Forgaard, ex-Interfor, has been appointed v.p. of manufacturing.

Robert Hrubes, executive v.p., SCS Global Services, Emeryville, Ca., and Richard Donovan, Rainforest Alliance, were presented the firstever Uncommon Partnership for FSC Leadership Awards by the Forest Stewardship Council.

David Hampton, Hampton Lumber, Portland, Or., has been appointed board chair of the World Forestry Center, Portland.

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Dan Bohannon, Bohannon Lumber Co., Orange, Ca., and partner Brian Cheney recently won the U.S. Tennis Association National Doubles Grasscourt Championship in Rumson, N.J. The team is currently ranked #l in the nation in the 65-and-over division.

Eaton Wright and Liv Good are implementing a new wellness program at Mungus-Fungus Forest Products, Climax, Nv., according to co-owners Hugh Mungus and Freddy Fungus.

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Successful negotiation

l,Tr,cortl.uoN IS A fact of life in I\familv business. When the word negotiation comes up, most PeoPle tend to think of external negotiations, like working out a better interest rate with your bank or securing a better price from a vendor.

There are also internal negotiations, such as working out a buy-sell agreement with a sibling partner, negotiating compensation for family members and employees, and deciding what deals to move forward on and which ones deserve a pass. Even small things must often be negotiated in family firms, like who gets dad's office when he retires, what your new logo should look like, or what color the new carpet should be.

Most family members recoil from the word negotiation. They prefer "conversation" or "reaching consensus," but the reality is that interfamily negotiation is among the most difficult and challenging types, and we have the scars to prove itl If closely held business negotiation is indeed a fact of life, it makes sense that you should work to improve your negotiating skills. Here are some of the techniques we have observed family members use to achieve negotiating success:

yelling and bullying

pouting

. making sweeping, unilateral decisions

withdrawing and subjecting other family members to the silent treatment undermining and backbiting lobbying behind the scenes appealing to Mom, Dad or outsiders to intervene

. stalling or delaying meetings or discussions about important issues deciding not to decide

Okay, by this time you figured out

that these negotiating techniques aren't legitimate at all, but, remember, we said "we have observed..." In all seriousness, since negotiating inside and outside the family business is so important, shouldn't you work to improve your "high road" negotiating skills? Wouldn't life be more harmonious if you had adult. positive, reasoned and fair conversations with siblings, parents and potential next-generation family business members?

A client related an insightful story about his own experience with negotiating and interpersonal conflict resolution. When he first came to work in the family firm as a young man, his father had a strong non-family executive who we'll call Mr. Collins. Our client struggled with the fact that Mr. Collins had so much authority in the company and served as a sort ofbuffer between him and his father. The relationship between our client and Mr. Collins was strained for years. The young executive, in a flash of maturity and sound decision-making, decided it was up to him to change and to work on improving and restoring their working relationship. He said it was a revelation to him that "it was up to me." Once he acknowledged his ownership of at least some of the issues and began to negotiate a path towards establishing better relations, things

Here are a few high road techniques for assuring your interfamily business negotiations serve to both preserve family harmony and produce outstanding business results.

L. Wia"n the Circle

The modern iteration of familY business planning says that all stakeholders' views are valuable and should be solicited. That means moms, dads, daughters, sons, in-laws, and key family business managers are all involved collectively in situation analysis, negotiation and conflict resolution.

2. S"t Up Ground Rules

A few simple ground rules can make a big difference in creating successful negotiating sessions. A couple of simple ones might be "discussions of the past are irrelevant; we're here to address the present and future only." Or "We won't use aggressive sPeech or body language with each other. If things become heated, we'll call timeout." Once the family has agreed on ground rules, they should be posted and placed around the meeting room so everyone can refer to them frequently as discussions take place.

3. B" s"lf-A*u."

Knowing what you want in a negotiation allows you to see that what other people want isn't necessarily mutually exclusive. It also lets you set up parameters, like behavioral changes, dollar amounts, terms and other potentially satisfying outcomes so you leave the negotiation feeling you've represented yourself adequately and not conceded unnecessarily.

4. Devote Advanced Planning to Your Meeting

Plan your own constructive behavior for how you'll act in the meeting. Ask yourself how you can satisfy the other party's interests. Find out if there's another way to get what it is that you want. Plan for delivering your message in a way that can helP the other side empathize with you and your wishes. Develop alternative plans A, B and C. Determine what's acceptmagically turned around, and Collins became a valuable resource and mentor. Successful negotiation in your family business-as is the case with most other change and improvement initiativesstarts with yoal

40 r The Merchant Magazine I
November 2014 Building-Products.com

able to you and what's not, and try to puzzle out what might be acceptable to others. Find the win-win and the common ground, and you're well on your way to a successful negotiation.

5. Gi"" in on Some Things

Use your willingness to give in as a negotiating tool: "If I give on this, would you give on that?" Giving in can be a wise strategy, and there is no shame in giving in order to get. There is a caution here; don't give in in an area where you may be rewarding intimidation or aggressiveness.

6. withdrut

In some conflict resolution or negotiating situations, it's okay to withdraw. The advantages of withdrawal are that you can do it unilaterally, and it may save time and nerves. The negative of withdrawal is that it generally happens as a result of frustration, and there may not be a win-win benefit. If withdrawal becomes a pattern, it's easy for negotiations to break down and foster resentment. While withdrawing can be an effective deal-making technique, it should not be done cynically or repetitively. Walking away is often a show of strength in your bargaining position and signals to the other side you not only don't need them, but also that you're quite confident in your position.

7 . Have Well-defined Parameters for Your Meeting

Undertake negotiating sessions in quiet, private places. Set well-defined beginning and ending times. If you can't make headway on your negotiation or your conflict resolution in the allotted time, agree on a date and time for continued discussion. If your negotiation becomes heated or you appear to be at an impasse, you may need an objective, third-party outsider to mediate the session. Ultimately, you'll want the main points of the negotiation to be reduced to writing for all parties to sign.

Interfamily business negotiation is a delicate art. You probably won't get it exactly right the first time. Be patient and continue to work on your negotiating skills and processes.

- Wayne Rivers is the co-founder and president of the Family Business Institute, Raleigh, N.C ., and author of such books as The Top Nine Reasons Family Businesses Fall. Reach him at wayne.rivers@familybusinessinstitute.com or (877) 326-2493.

Reprinted with permission of the Family Business Institute. No portion of this article may be reproduced without its oermission.

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48 r The Merchant Magazine I November 2014
DECK EXPO touched down in Baltimore, Md., Oct. 22-24. l1l Phil Lail' Bo Brvant, Patrick Adams, Brian Orchard. [2] Ben lvey, Andrew Broofsnire, Wavne Hilton. [3] John Burkhart, Adam Mengle' Canie Stallwitz, Dave Peterson. I4l-Mike McFarland, Neil Hurwitz, John Lane' Steve Shennum. [5] David-Jirstice, Rachelle Shendow, Michael Gori, Pat Maher, Jessica Pe-arson. [6] Jacek Romanski, Tom Jaroszek. [7] Kirk
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Hammond, Phil Fortson. [8] Eric Gee, Phil Herman, Alexis Sivcovich, Carter Welch, Steve From. [0] Terry Brady. [10] Eric Swanson, Chfsltql Skanino. f11l Dan Morabitri, lim Groff, Brad Kostelich, Joe Facini. [12] Todd Gietir. [t11 Renee Havrilla, J.P. Braaten, Jocelyn Durant. [14] Doug Brooks, Flo Sarichez, Craig Matter, Faye Rook. [15] David Nanos, Jim Stephenson, Troy Sinks, Miie Barry. (More phofos on next 2 pages)

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ANNUAL Deck Expo was held in conjunc- tion with the Remodeling Show (continued from prevlous pages,). [1] Lauren

o I X EJ Y I EJ o
Doug Morse, Nicole Hill. [3] Joseph Horniacek, Rick Kapres, Patrick McCullough, Matt Cullen. [4] Jeff Osborne, Jim Pouiin, Mike Descoteaux. [5] Bill Ross, Bob Otterson, John Scarborough, James Gunning, Matl Pasquarello, Dustin Feniso Shannon Huneycutt, Rob Long. [6] Roderick
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Zecher, Alan Oakes, Frankie Emerson. [2] Stuart Dimery, Craig Jacks, Jennifer Faines, Kabel, Adam Gangemi. [7] Danell Hungerford, Brian Spencer. [8] Russell Hill, David Odum, Tom Zimmerman. [9 John Ardolina, Jesse Kahn, Mike Nolan. [10] Scott Nowatzki, Larry Crossley, Michael Barnett. [11] Lee Robinson Jr., Chuck Klopp. [12] Ralph Bruno, Rob Blakley.

SIERRA PACIFIC INDUSTRIES trrsted ts 35tir annual open house Sept 11 n Redd nq. Ca [1] Red Enrl'ersl'r Tolr ,"'or lrloos Stewart leath [2] Ron Stewart Brett Jonirson [3] Rork Be Ce:' Rl.cl,,' L burn [4] Rcr Andersorr $/ ll Galbraith Scotl Galbra th [5] Rlss Tir;r.i-. T r:t

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N cho s Terry Kuehl [7] Chr st na Roggenkamp. Connev Kennedy [8] John Parsons. Anthont; Escobedo [9] James Dan elson, Lara St nger

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Frank E scecker [17] Ellen Stack, Sue Herms

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Hardwood distributor shows its stuff

Celebrating the company's 35th anniversary, Peterman Lumber, Fontana, Ca., hosted an open house at its Las Vegas, Nv., facility during last month's National Hardwood Lumber Association convention.

The plant tour and barbecue, sponsored by the Hardwood Distributors Association, drew more than 70 conventioneers.

The 40,000-sq. ft. facility gener-

ates more than $1.3 million in sales per month, with support from the home base in Fontana. Peterman initially expanded to Las Vegas in 2006, when the economy and housing industry were booming.

"Little did we know that we were just about to enter the worst economic downturn since the Great Depression," says Peterman's Diane Johnston. "We were up against six major dis-

tributors that had been positioned there for many years. After the smoke cleared, meaning the recession, there are only three left in Vegas-and we are all in the same industrial complex, which makes it easy for lumber supplers to make a one-stop visit."

In Las Vegas, Peterman continues to grow, employing about 25 and operating five trucks that make about 40 to 50 deliveries daily within a 60mile radius.

The company was formed in 1979 when Pete Peterman purchased five acres in Fontana-then the middle of nowhere. Most other Los Angeles suppliers questioned why he would start a yard "out there in Fontana" and truck product to L.A., but the city quickly evolved as part of the bustling Inland Empire into the region's nucleus of hardwood distribution.

How did Peterman have the foresight to start his company there? He jokes that it wasn't foresight; at the time, the propeny was the only one he could afford.

PLANT

Johnston,

Williamson,

Gray.

Becky Peterman, Jon Syre, Sam Stenerson. [4] Lan Mcllvain, Mark lmhoff, Monica Flores, Norman Roberts, Jordan Mcllvain. [5] Jeff Linden, Bob Smith, Jeremy Peterman, Ken Stevenson, Doug Wirkkala. [6] John Beard, Jeff Wirkkala, Dennis Johnston, Greg Bauer. [7] Deonn DeFord, Dan Peterman, Jennifer Buttice, Terry Griffith. [8] Brian Potter,Manuel Lavrador, Ed Garcia, Larry Evans, Jack Matson. [9] Kurt Landwehr, Randy Giere, Wendell Cramer, Ron Jones, Craig Forester.

Tim

He has since more than doubled the size of the operation and added a rail spur and two panel product unloading docks. The facility has 80,000 sq. ft. of enclosed warehouse space, 40,000 sq. ft. of covered sheds, a 40,000-sq. ft. customer service center, and $8 million in inventory. Its 1 1 trucks make 80 to 100 deliveries daily within a 120-mile radius.

Two years ago, the company added a location in Phoenix, Az. The 40,000-sq. ft. facility carries a $1 million inventory.

TOUR: [1] Jon Pappas, Dan Caldwell, Jennifer Buttice, Pete Peterman, Charlie Craig. [2] Terry Coby Short, Steve McEwen, Diane Mark [3] Peterman, John Mortati,
Building-Products.com 54 r The Merchant Magazine r November 2014

@update

Mountain States Lumber & Building Material Dealers Association's Colorado WOOD Council will host its year-end party Dec. 4 at Mile High Stadium Club at Invesco Field, Denver, Co.

West Coast Lumber & Building Material Association's 40-and-under 2nd Growth group is holding its holiday meeting at its regular spot, Embassy Suites, Brea, Ca.

Portland Wholesale Lumber Associationts signature annual event, its holiday lunch, will be held Dec. 5 at the Embassy Suites Airport, Portland, Or.

Los Angeles Hardwood Lumberman's Club has selected Five Crowns, Corona del Mar, Ca., as the site of its Dec. 13 holiday party.

National Lumber & Building Material Dealers Association

installed J.D. Saunders, president of Economy Lumber, Campbell, Ca., as its new chair during the group's recent industry summit in San Diego, Ca.

He succeeds Chris Yenrick, president of Smith Phillips Building Supply, Winston-Salem, N.C.

Other new officers are lst vice chair Davis Boland, Boland Maloney Lumber, Louisville, Ky.; 2nd vice chair Michael Cassidy, TW Perry, Gaithersburg, Md.; treasurer Scott Engquist, Engquist Lumber, Harcourt,

New Appointees to Softwood Lumber Board

U.S. Agriculture Secretary

Tom Vilsack has appointed

Adrian Blocker, Weyerhaeuser Co., Federal Way, Wa., and Fritz R. Mason, Georgia-Pacific, Atlanta, Ga., to three-year terms on the Softwood Lumber Board.

Re-appointed were Andrew Miller, Stimson Lumber, Portland. Or., and George Emmerson, Sierra Pacific, Anderson, Ca.

New importers include Ted Seraphim, West Fraser Timber Co., Vancouver, B.C.; Don Demens, Western Forest Products, Vancouver; and Charles Tardif, Maibec, St.-Romuald, P.Q.

Ia.; Manufacturers & Services

Council chair Gary Nackers, Do it Best, Fort Wayne, In.; and Federated Association Executives chair David Garrett, Eastern Building Material Dealers Association, Lancaster, Pa.

During the event, Roger Dankel, president of Simpson Strong-Tie, Pleasanton, Ca., was honored for his service as chair for the past two years of the Manufacturers & Services Council.

OSH Testing Robot Clerks

Lowe's will test four customer-service robots at an Orchard Supply Hardware store in San Jose, Ca.

Schedule to literally roll out late this month or early next, the "OSHbots" are tall white columns with wheels to move around the store, large black screens in the front and back, and 3D cameras, so they can scan and identify items. They allow customers to research products they want to buy on the screens, then the robot can escort them to the appropriate aisle.

They can also alert customers if something is in or out of stock-in English or Spanish.

Worldwide Insulation Demand Booming

Global demand for insulation is expected to rise 5Vo annually through 2018 to nearly 25 billion sq. meters of R-l value, according to a new

Freedonia Group report.

In developing countries, rising building construction and industrial activity will lead to increased demand for insulation. In high-income countries, demand should rebound from declines in home construction during the prior five years. In addition, government efforts to reduce energy consumption will lead to the adoption of new building codes that require increased insulation usage.

Strong growth in residential building construction activity will be the primary driver of demand worldwide. In North America alone, demand for insulation in residential construction applications will grow over 5Ea per year.

The Asia/Pacific region is forecast to post the fastest growth in insulation demand, accounting for more than one-half of new worldwide insulation demand. Biggest gainers will include China, India and lndonesia.

In terms of value, insulation demand will advance more than 67o yearly through 2018 to nearly $50 billion. Foamed plastic insulation will post the fastest gains, as it captures market share from fiberglass and mineral wool products used in construction applications.

Demand for fiberglass insulation will benefit from a residential construction recovery in North America. Mineral wool products are forecast to exhibit the slowest growth, but advances will still be strong, in part due to high favorability in China, where fire safety is a large concern.

Building-Products.com UWP:Hfr:'L""J' @ tr PnESSITnE TREATED LUMBEn n#L,ur"ofi il""l*'ffiffi il["#"" Call the experts: r Robert Moore r Jim Winward @ T.TIAII WOOD PRESERYING CO. 1959 SOUTH I t00 WEST WOODS CROSS, LJ-IAH MAILINCADDRESS: P.O. BOX57247 SALTLAKE CITY. LJ"f 84157-0247 PHONE - WOODS CROSS: (801) 295-9449 FAX (801) 295-9440 PHONE - SALT LAKE (80 t) 262-&28 FAX (80 I ) 262-9822 WATS (8C0) 666-2467 November 2014 I The Merchant Magazine I 55

Rawlin Gilbert "Mac" MclnellY, 71, owner of RFP Manufacturing, Spanaway, Wa., died SePt. 5 in Tacoma, Wa.

He entered the lumber business in the early 1960s, working the green chain at Manke Lumber, Tacoma, and eventually rising to sales manager. After 20 years, he joined an international lumber brokerage, then opened his own, before purchasing a mill in 1995 and renaming it RFP (for "Real Fine People"). He acquired a Tacoma dry kiln in2012.

He was a past president of the Puget Sound Lumber Association and the Tacoma Lumberman's Club.

Edward E. Wilson, 88, former sales manager for Ochoco Lumber Co., Prineville, Or., died Sept. 26.

He served in the ArmY Air Force during World War II and graduated from Oregon State College in 1949. He spent 42 years with Ochoco, retiring\n 1992.

Harry Harrison Deuber Jr., 83, former advertising manager for Ziegler Lumber Co., Spokane, Wa., and creator of the chain's Ziggy car' toon logo, died Oct.4.

He served in the U.S. Air Force during the Korean War. He joined Ziegler Lumber in the late 1960s, heading the ad department for 39

years. After creating theZiggy mascot in 1969, the entire chain began going by theZiggy's name.

Donald D. Cherovsky,75, retired salesman with Wisconsin California Forest Products, Redding, Ca., died Oct. 5 after a brief illness.

After a serving in the U.S. ArmY, he joined Kimberly Clark, Neenah, Wi., and transferred to Redding in 197 3 He joined Wisconsin California in 1975.

Nita Jean Fittro, 82, longtime salesperson with Weyerhaeuser, Longview, Wa., died Oct. ll in Portland, Or.

She joined the company in 1950 and retired from the lumber sales department in 1985.

John D. Spruiell, 62, longtime employee with Alpine Lumber, Frederick, Co., died Oct. 6 in Longmont, Co.

He worked briefly with Wickes Lumber in the early 1970s, before starting his career at AlPine. He retired in 2009.

Dick L. Rozema, 65, former owner of Standard Door SuPPlY, Provo, Ut., died from an aortic aneurysm Oct.2.

He spent many years with Standard

Builders Supply, Salt Lake CitY and Provo, before owning his own business. For the last ten years, he worked for Century Equipment, SPanish Fork, Ut.

Betty M. Fisher, 82, former coowner of Michel's Feed & Building Supply, Glendale, Or., died Oct. 9 in Azalea. Or.

She operated the business with her husband, Robert, for over 30 Years, until 1995.

Ross Gorman, 93, co-founder of Gorman Bros. Lumber, West Kelowna, B.C., died Oct. 19 after a battle with Parkinson's disease.

Harold J. "Hal" Salwasser, 69, former dean of the College of Forestry at Oregon State University, Corvallis, Or., died Oct. 15 in Corvallis.

He served as regional forester for the northern region of the U.S. Forest Service, which included Idaho, Montana, and the Dakotas, before becoming c.e.o. of the Forest Service's Pacific Southwest Research Station. He then spent l2 Years as dean of forestry at OSU and also directed its Forest Research Laboratory, before stepping down in 2012.He remained active on the faculty, but had planned to retire from OSU at the end of the year.

SMALL WHOLESALE distributor in Portland, Or., area is seeking salesperson to sell westem red cedar and other softwood products to retail/specialty trade in southern Oregon, California and Nevada. Send inquiries to dkoenig@building-products.com or to Box '724,cloThe Merchant,4500 Campus Dr. #480, Newport Beach, Ca. 92660;Fax 949-852-0231

Rates: $1.20 per word (25 word min.). Phone number counts as '1 word, address as 6. Centered copy/headline, $9 per line. Border, $9. Private box, $15. Column inch rate: $55 if art furnished "camera+eady" (advertiser sets type), $65 if we set type. Questions? call (949) 852-1990. Deadline: 1 8th of previous month. Slnd ad to Fax 949-852-0231 or david@building-products.com. Checks payable to Cutler Publishing. LUMBER CARRIERS from Berkot Several models available Balanced for ease of handling . May be modified to your specifications See our full product line at www.BerkoftMfg.** BERKOT MFG. GO., lNC. I1285 Goss St., Sun Valley, CA9l352 ' Phone (818)767'5555 Manafactured in the U.S. since 1954 Gotyour oTuncoplP *TITRGIIIJIT.* Just $22 o yeor. Slorl your own suhcriPtlon with our very nerl bsue by contoding Heilrer ol (949) 852-1990 or Hl(elly@ huilding-produds.con 56 I The Merchant Magazine I November 2014 Building-Products.com

DATE Book

flsflngs are often submitted months in advance. Alwavs verifv dates and locations with sponsor before making plans to attend,

Specialty Tools & Fasteners Distributors Association - Nov. g. 11, annual convention & show, Charlotte Convention Center, charlotte, N.c. ; (800) 352-2991 ; www.stafda. org.

Lumbermens Merchandising 9orp. - Nov. 11-12, forest products & bu.ildin^gmaterials expo, Maniott Downtown, philadelphia, pa.; (61 0) 293-7 I 21 ; www. I mc. net.

Mountain States Lumber & Building Material Dealers Associa. tion -. Nov. 11, fundraising breMest, Mile High Station, Denver, Co.; Nov. 12, intro to building material sales_: Nov. 13-il, estimating_workshop, Ramada Plaza Denver Central, Denver; (303) 793-0859; www.mslbmda.org.

Black Bart Hoo.Hoo Club - Nov.J2r new member meeting, La Hacienda, Cloverdale, Ca.; (707) 252-6j42; www.biackbarthoohool 8 1 .org.

NAWLA Traders Market - Nov. 12.14, sponsored by North American Wholesale-Lumber Association, Hyatt Regency, Chicago, ll.; (800) 527 -8258: www.nawla.org.

Los Angeles Hardwood Lumberman's Club - Nov, 13, meeting, Rib Trader, Orange, Ca.; (626) 445-8556; tahtc.net.

North American Building Material Distribution AssociationNov. 18.20, joint annual convention with National Association of Floor Covering Distributors, Sheraton, Dallas, Tx.; (S8S) 7477862; www.nbmda.org.

Tacoma-Olympia Hoo.Hoo Club - Dec. 2, holiday pafi, Oakbrook Golf Course, Lakewood, Wa.;(253)531-1834. '

JLC^Live - D_ec. 3.5, show, Oregon Convention Center, portland, 0r.; (800) 261-7769;www.jlclive.com.

Mountain States Lumber & Building Material Dealers Associatign -- Dec, 4, Colorado WOOD Council year-end party, Mile High Stadium Ctub at Invesco Field, Denler, Co.; iSOii ZeS0859, www.mslbmda.org.

West Coast Lumber & Building Material Association - Dec. 4, 2nd Growth holiday meeting, Brea, Ca.; (S00) 266-4344; www.tumDerass0ctatt0n.0rg.

Portland Wholesale Lumber Association - Dec. 5. holidav lunch. Embassy Suites Airport, Portland, Or.; (503) 203-6463; www.portlandwholesalelumberassociation.org.

Oregon Wood lnnovation Cenler - Dec. 8-i0, how to dry lumber for quality and profit workshop, Oregon State University, Corvallis, 0r.; oregonstate.edu/conferences.

Los Angeles Hardwood Lumberman's Club - Dec. 13. holidav party, Five Crowns, Corona del Mar, Ca.; (626) +4S-8SSO; lahlc.net.

Oregon Wood Innovation Center - Dec. 16.18, quality control in wo.od prod ucts...manufacturi ng workshop,'Ore!on State University, Corvallis, Or.; oregonstbte.edu/conferences.

Southern California Hoo-Hoo Club - Dec. 17, meetino, San Dimas Golf Course, San Dimas, Ca.; (323)- 559-195g; www.hoohool 'l7.org.

Seattle Remodeling^ Shgq - Jan. 2.4, Washington State Convention Center, Seattle, Wa.; www.homecentershbw.com.

Los Angele_s Hardwood Lumberman's Club - Jan. 8, meeting, Heroes, Fullerton, Ca.; (626) 445-8556; lahlc.net.

Colorado Springs Home Building & Remodelinq Show - Jan. 9. 11, Norris-Penrose Event Center, Colorado S[rings, Co.; (g00) 374-6463; www.homecentershow.com.

Portland Build, Remodel & Landscape Show - Jan, 9.1 1, Oregon Convention Center, Portland, Or.; (800) 374-6463; www.nomecentershow.com.

San_Diego Home Show - Jan. 9.11, San Diego Convention Center, San Diego, Ca.; www.homeshowsandiego.dom. Building-Products.com

Pocific S-toles Treoling

PST is locoted in Weed, CA, the historical heort of the West's timber c^untry, ideally sifuoted on lnlerstote 5 ta service all of Colifomio ond the Western U.S.

Nof^r^eW.r.rcI pREsERVEo wooo pRoDUcrs lo",Tf.l,?1,,,",,,,,,.

Nolurewood" brond ACQ treoted producls .IS0 (Treoling Service Only) ovoiloble. 4}

PST is AISC quotity ossured by Timber W Producls Inspection Agency (TP) .:tff'ltt1y;ll,ilH'flilll*:'-

TRUST NOT RU5T

PrimeGuard MAX@ 1000/o stainless steel fasteners ale backed by a lifetime guarantee against rust. They're a must for all outdoor applications.

To learn more or to become a stocking dealer, caf f 800-676-7777 or visit grip-rite.com.

trml'
Pnnrfiumr 8U'rD'ilGffiOd./CIs twC November 2014 I The Merchant Magazine I 57

ADVERTISERS Index

For more on advertisers, call them directly or

Adding Local Flavors

Great food, artistic creativity, and lots of fun are highlights of New Orleans, La.-so a dealer there does its best to encourage all three.

Mary's Hardware has been a fixture in the city's historic French Quarter since 1982. In 2011, the store relocated several streets away and changed its affiliation from True Value to Ace Hardware. The new location, built in the 1840s as a family home, has two stories and about 8900 sq. ft.-double the old store. To fiil the space, owner John Wood and store manager David Blaszak listened to customer requests and brought in merchandise not usually found in hardware stores.

"We brought in items local customers want to buy," says Blaszak. "We like to be known as the friendly neighborhood store that really listens to customers."

For example, Mary's fills its second story with a wide variety of high-quality cookware and knivesperfect for local chefs and serious cooks. Also upstairs are cooking supplies such as gourmet condiments, olive oils, jams and jellies, and other nonperishable delicacies. A once-a-month knife-sharpening event helps keep those knifes-and other tools-in top shape.

Another section of the second floor is devoted to the well-known New Orleans passion for Mardi Gras parades-specifically, the Barkus Parade for dogs and their owners, both in festive costumes. Now in its 35th year, the parade always kicks off across the street from the store.

"Our Barkus Room was created as a meeting place for the group that plans each year's event," Blaszak says. "It's also available as a meeting room for other community groups." The room also has a big collection of parade memorabilia, so it's open to all store visitors.

Downstairs, in addition to the usual hardware merchandise, local artists can stock up on art supplies from various manufacturers. Another section carries shutters, latches, and other hardware needed for restoration of the French Quarter's many historic homes. Although the most popular items are in-stock, customers can also special-order items from catalogs.

Since many French Quarter residents don't own cars, the store has phone numbers for another area specialty: pedicabs. Once customers and purchases are loaded inside, both get a ride home in real New Orleans style.

Henry [www.henry.com/mm'1114].'...'.'.'."....'."'.'....""'.'.............11

Huff Lumber Co .....,........30

Humboldt Redwood [www.getredwood.com] "',.'."'.".'..'......'.....39

J.H. Baxter [wwwjhbaxter.com]'.'....'.'.'.'...

Jones Wholesale Lumber [wwwjoneswholesale'com]....Cover lV

Keller Lumber Go.....................'. ...'..'...'.'.".'.."""..28

Kop-Coat [www.kop-coat.com] .'..'........'. .'....'.....15

Koppers [www.koppersperformancechemicals.coml "."'..Gover I

Norman Distribution Inc, [www.normandist.com]......'.'..'.'..'.'..'.45

North American Wholesale Lumber Assn. [www.nawla,orgl ..'..,|3

NyloBoard [www.nyloboard.com],.'.........' .....'.".'37

Pacifi c States Treating ..'.'.'.'. .....53

PrimeSource Building Products [www.primesourcebp.com] ..'.53

Quali$ Borate Co, [www.qualityborate,com] ...'.'.'.,'.'.'.'.........'..'42

Roseburg Forest Products [www.rfpco.com]'.."..."'...'..'.,Cover lll

Royal Pacific Industries... ............46

Screw Products [www.screw-products.com] .........."...'..."'.'.'.'.'49

Simpson Strong-Tie [www.strongtie.com]..""..'..."" ".."'19, 21, 23

Siskiyou Forest Products [www'siskiyouforestproducts'com]'41

Snavely Forest Products [www.snavelyforest.com]'...".........'.....5

Superior Wood Treating [www.superiorwoodtreating.com]'..'...38

Swanson Group Sales Co. [www'swansongroupinc.com].'.".'.'35

Taiga Building Products [www.building'com]..,'..'.'.',.,."'.'.'.27, 32

Thunderbolt Wood Treating [thunderboltwoodtreating.com] ..'.49

TruWood-Collins [www.truwoodsiding.com] ."'.....'..'...""....'.8A-B

Universal Forest Products [www'prowoodlumber.com]."..'...'."31

Utah Wood Preserving Co.,.....,.'.."....'. ........"'..'.55

Western Forest Products [www.westernforest'com] ...'.'..'........'36

Western Woods lnc. [www.westernwoodsinc'com]....'...'......'....17

Weyerhaeuser [www.weyerhaeuser'com]..'.,"'....."""...'.............29

I
r IDEA FiIe
visit their websites lin brackets]. Allura [www.allurausa.com] .....'.'.'.......,'....Cover ll Allweather Wood [www.allweathenrood'com] '......'.'.'....'.'.'.'...'.39 ,...33 DeckWise [www.deckwise.com] '.'.'......'..' ..."'.'.'47 Empire Lumber Co. [www.empirelumber.com] ....'.'...".'..............'7 Fasco America [www,fascoamerica'com],,'..'.............'.".'....'."...43 Fiberon [www.fiberondecking.com] ".".'.'3,17,27 Fontana Wholesale Lumber [fontanawholesalelumber.com].....50 Gemini Forest Products [www.geminiforest.com] .'.'....'.'.'.....'.'...4
'..""...45
58 I The Merchant Magazine r November 2014 Building-Products.com
Engineerecl Wood Products I Softu,ood Plwv6sd Real Wood Siding I Lumber www, Roseburg.com 800,245.11'15 -R, Roseburg A Frrrcst Prrxlucts Conrparrr -

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Co|orshorninphotonaydifferfronactuatp|oduct."DesignwoodC0IorantnayvarysIghtlydependingontoca!ion,specieso|wo0d,aqe.q|ainpatternand AWPA Standardized ForPmven hrformance Lookfor AUUPAU1 and fre CheckMark of Qualtty urunr.aulpa.com OEC(IEBE FOfil}[MI8K OFAN ALSC ACCSED[t0 hSPECT]ON AGINCY A Producedby:W West Coast Wood Preserving, LLC Jones Wholesale Lumber ComPanY In 10751 S. Alameda St., Lynwood, CA90262 323-557-1301 FAX 323'555'4825 sales@joneswholesale.net JONES

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Adding Local Flavors

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DATE Book

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@update

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pages 57-58

Hardwood distributor shows its stuff

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page 56

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DEGKIIYNASW

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pages 46-54

Successful negotiation

7min
pages 42-46

This beauty is more than skin deep.

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CEDAR

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page 38

Top 10 Green Products for 2015 Named

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page 36

D.BIIAZE

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pages 34-35

CLT Producer Ready to Expand

1min
page 34

Land Sale to Fund John Day Mill Upgrade

1min
pages 32-33

Glosing relationshipsr closing techniques

5min
pages 28-31

Builders keeps on building

5min
pages 26-28

North Arnerican Wholesale Lumtrer Association

1min
pages 25-26

Driving sales growth with technology

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page 24

Whatts in store for decking in 20 15?

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pages 22-24

Upsell to boost profit, buyer satisfaction

3min
pages 20-22

Lighting today's decks

2min
pages 18-19

Easy case for selling modified softwoods

2min
pages 16-18

Fasteners are integral to deck integrity, aesthetics

2min
pages 14-16

Extend dec into the fall

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Help your treated wood customersr help your business

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The Retail Dilemm?... and what will we do to change it?

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