The Proposed Western Merger

By Jack Dionne

All lumbermen are interested directly in the result of the effort to organize a huge sawmill and timber merger in the Pacific Northwest.

Regardless of where located, the Fir and Hemlock markets affect all others. and all species.

It is now reported on best authority that the original plan for the merger has been entirely changed. Instead of the original list of seventy mills that pro,posed to sell the control of their p,roperties to a great central oo,mpany financed by the big ban'kers of the country, there is now proposed an actual merging of properties and interests o,n the part of about forty big mills, which merger has the promise of a cash loan from eastern banks sufficient to supply the financial needs of the big company. It is said that the assets of the merger would be about $,+00,000,000, and the debts less than $50,000,000. Economical production and distribution would be the result aimed at.

Printer's Ink, national publication and authority on merchandising matters, in referring to, the proposed merger, recently said:

"The West Coast Fir and Hemlock mills have been hard hit as a result of overproduc- tion. Many balance sheets have been alarmingly in the red- For the good of the entire lumber industry, therefore, since a large part of the prosperity of the entire country rests upon it as a basic industry, let us hope the pending merger is successfully effected. IT IS NOT WELL TO BE DECEIVED. HOWEVER, INTO BELIEVING THAT MERGERS AND SHEER MONEY POWER ARE A CURE.ALL FOR ANY IN. DUSTRY'S ILLS. ONE OF THE VERY IMPORTANT THINGS THE LUMBER MILLS ARE SUFFERING FROM IS ANTIQUATED, UNINTELLIGENT MERCHANDISING, AND POOR .OR INCONSISTENT MANUFACTURE.''

Too true. Of course, slower and more careful production and preparation o,f their lumber for market, and better and more cohesive merchandising effort, are the particular things that the lumbermen are trying to bring about in working for a great northwestern merger.

The lumbermen of the Northwest need to make less lumber, make and dry and dress and handle and prepare and ship it more slowly and thoughtfully and intelligently than they have done in the past, and they need to advertise and merchandise it much better than they have ever done before. The industry in the Northwest IS badly disorganized, and the mental effect alone of a merger of many great mills, would help a lot.

Whenever they stop trying to see how fastly and furiously they can make lumber, and how quickly they can distribute it, a great and needed change will come in the Northwest.