Willis Walker on Lumber Outlook

By Willb J. Walker President of The Red Rivec Lumber Co.

While the present conditions qf the lumber market are very unsatisfactory and discouraging to everybody connected with it f see no reason why we should-look-at the depression any difierently than we'have many similar ones in the past, where the peaks have been followed by depression and depression by reoccuring peaks as the lumber business never stands still and is always swinging one way or another, but the net result has always beJn i graduaf advance in the value of our product.

Most unusual conditions have prevailed during the last two years, where the tremendous advance in the stock market diverted the attention and funds of the public away from building and other legitimate activities, which in turn was followed by the tremendous crash in values, which would have been a calamity to any other country but was sustained with scarcely a shock here, showing the tremendously rich and strong condition this country was in as a whole.

Since that time the uncertainty as to when conditions would improve and what would occur meanwhile has caused the investers to hold their money and created the great surplus now evident rather than to invest it in building loans and bonds of all kinds that are necessary for the financing of buildings and other industrial activities. A very low price for call money in the face of high rates that could be obtained by purchasing good bonds shows that "Money is cheap, but difficult to get hold of". The lumber

T. B. LAWRENCE RETURNS FROM NORTHWEST TRIP

T. B. Lawrence, Lawrence-Philips Lumber Co., Los Angeles, has returned from a three weeks' business trip to the Northwest where he visited the mills his company represents in Southern California. He visited at Seattle, Aberdeen, and Olympia, Wash., and Victoria and Vancouver,

A. B. HAMMOND VISITS LOS ANGELES

A. B. Hammond, San Francisco, president of the Hammond Lumber Co., spent a few days at the company's Los Angeles yard during the latter part of September.

pri_ces have sagged below actual cost, resulting in a big curtailment of production that I believe has reduced the supply below the demand in sight so that the present conditi6nl show aslight improvement, which I believe is the beginning of another upward swing that will put the industry in good condition during 1931.

- During the periods of heawy demand and high prices it Io-oks as though lumber would never go down. By reason of shortage of stumpage and during depression it ieems as though the substitutes have killed business. I think that history is just repeating itself, and we will now only swing through another cycle similar to what we have had in thE past excepting that improved communications and transportation, and other business facilities, makes the effect felt throughout the country faster than it used to be both ways.

It has always been during depressions of this kind that the old experienced timbermen used to buy stumpage, to be worked off with the following period of prosperity, even though it took considerable courage to buy when the outlook was depressing.

The available timber throughout the country for new development is very scarce, and I do not see how many new mills can start up to replace the old ones that are cutting out, so that the present cut will be materially farther reduced each year so as to keep the production well below the normal demand.

C. W. PINKERTON ON EASTERN TRIP

C. W. Pinkerton, manager, Whittier Lumber Co., Whittier, Calif., left recently to attend the annual convention of the National Retail Lumber Dealers' Association in Chicago October 1-3. Mr. Pinkerton is a director of the association representing the California district.

George Weir Convalescing From Operation

George Weir, San Francisco, well known California lumberman, is at Marshfeld, Oregon, where he is convalescing from a recent operation. He is reported to be doing nicely.