The Merchant 9-2016 by 526 Media Group

SEPTEMBER 2016

The

MERCHANT

Magazine

THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922

OSB ON THE RISE • REDWOOD & CEDAR • UMPQUA VALLEY RECAP

September 2016

n Volume 95 n Number 3

The

MERCHANT

Magazine

www.building-products.com

The

MERCHANT

A publication of 526 Media Group, Inc. 151 Kalmus Dr., Ste. D200, Costa Mesa, CA 92626

Magazine President/Publisher Patrick Adams padams@building-products.com Vice President, Marketing & Circulation Shelly Smith Adams sadams@building-products.com Publishers Emeritus David Cutler Alan Oakes Managing Editor David Koenig david@building-products.com Editor Stephanie Ornelas sornelas@building-products.com Contributing Editors Carla Waldemar, James Olsen, Alex Goldfayn, Dwight Curran Director of Sales Chuck Casey chuck@building-products.com

Special Features

In Every Issue

8 ONE ON ONE

AT HOME IN THE FOREST WITH BIG CREEK’S MCCRARY BROTHERS

12 INDUSTRY TRENDS

NORTH AMERICAN OSB INDUSTRY GETS BOOST FROM RISING GLOBAL DEMAND

6 ACROSS THE BOARD 20 COMPETITIVE INTELLIGENCE 22 OLSEN ON SALES 24 EVANGELIST MARKETING

14 PRODUCT SPOTLIGHT

38 MOVERS & SHAKERS

16 FEATURE STORY

40 TALK BACK

EVERYTHING’S POSSIBLE WITH REDWOOD CEDAR BENEFITS FROM RENEWED EPD

18 MARGIN BUILDERS

PRODUCT PLACEMENT PROMOTES CEDAR

44 NEW PRODUCTS 50 ASSOCIATION UPDATE 56 IN MEMORIAM

28 INDUSTRY TRENDS

SOUTHERN CALIFORNIA MULTI-FAMILY PROJECTS GO BIG ON WOOD

32 NAWLA: THINKING AHEAD

56 CLASSIFIED MARKETPLACE 56 ADVERTISERS INDEX

PASSING THE TORCH

57 DATE BOOK

51 EVENT RECAP

UMPQUA VALLEY MILLS SHOW OFF

58 FLASHBACK

Online BREAKING INDUSTRY NEWS, EVENT PHOTOS, & VIDEO

MERCHANT DIGITAL VERSION

BUILDING-PRODUCTS.COM

FOLLOW ON TWITTER

TWITTER.COM/BLDGPRODUCTS

The Merchant Magazine

THIS MONTH’S EDITION AS WELL BACK ISSUES OF THE MERCHANT CAN BE VIEWED DIGITALLY AT BUILDING-PRODUCTS.COM AS

September 2016

How to Advertise PRINT or ONLINE Chuck Casey or Patrick Adams Phone (714) 486-2735 Fax 714-486-2745 chuck@building-products.com padams@building-products.com CLASSIFIED – David Koenig Phone (714) 486-2735 Fax 714-486-2745 david@building-products.com

How to Subscribe SUBSCRIPTIONS Phone (714) 486-2735 Fax 714-486-2745 sadams@building-products.com or send a check to 151 Kalmus Dr., Ste. D200, Costa Mesa, CA 92626 U.S.A.: One year (12 issues), $22 Two years, $36 Three years, $50 SINGLE COPIES $4 + shipping BACK ISSUES $5 + shipping FOREIGN (Contact sadams@building-products.com for surface and air rates, including to Canada) CHANGE OF ADDRESS Send address label from recent issue, new address, and 9-digit zip to address below. POSTMASTER Send address changes to The Merchant Magazine, 151 Kalmus Dr., Ste. D200, Costa Mesa, CA 92626. The Merchant Magazine (ISSN 7399723) (USPS 796560) is published monthly at 151 Kalmus Dr., Ste. D200, Costa Mesa, CA 92626 by 526 Media Group, Inc. Periodicals Postage paid at Newport Beach, CA, and additional post offices. It is an independently-owned publication for the retail, wholesale and distribution levels of the lumber and building products markets in 13 western states. Copyright®2016 by 526 Media Group, Inc. Cover and entire contents are fully protected and must not be reproduced in any manner without written permission. All Rights Reserved. It reserves the right to accept or reject any editorial or advertising matter, and assumes no liability for materials furnished to it.

Building-Products.com

ACROSS the Board By Patrick Adams

I NEED that S

great time! Just about every vision of the American dream paints a picture that involves summer; baseball games, BBQ, driving with the windows down, and spending time with family. During one particular cheery weekend afternoon, my daughter and I were in the backyard. I was watching the Olympics on TV and doing chores while being “interrupted” by occasional dips in the pool, throws of the ball, or mind-bending questions about why a particular bird sounds the way it does. Suddenly, I hear her yelling to come quick. As I battle with my aging body to react as quickly as my mind thinks it should, I see her standing in front of the TV watching a commercial. “Daddy, I NEEEEED that!!!!” With perfect timing, my wife walked outside as I responded to her, “Don’t worry, sweetheart, all of your needs will be met.” A confused look raced across her face with her surely thinking that was too easy, so she clarified, “Does that mean that you will get it for me?” And so our discussion began with, “Well, do you NEED it, or do you WANT it? If you need it, then we will race out and get it. But, if you want it, then you should work hard, save your money, and eventually, you can buy it for yourself.” Thankfully she has developed a playful spirit of discussion and debate that no doubt will haunt me as she grows up. But on this day, it was just a discussion between father and daughter (with a laughing mother in the background) analyzing what exactly was a “need” or a “want.” It seems to me that this contrast has become foggier for society as time has gone on. UMMER IS A

The Merchant Magazine

When I was young, I clearly remember what fell into the need category—water, food, clothing, shelter, in that order. Almost anything else was in the want category and up to us to be resourceful in finding a way to get it. Hours, days, weeks and sometimes months would go by filled with thought, planning, trial and error, and saving. As time went by, many of my wants no longer were wanted and, in other cases, the want became so strong that I might have given up a need to get it! I think now about everything that was learned during that process that serves me today. As an adult, it is now called “patience,” but really it’s the same thing. Imagine if as adults we were as impulsive as we were as kids, only with the means to immediately act on our whims. How would our businesses, our relationships, our lives be different if we had a foggy view of want versus need? I wonder too if the current generation is being taught the stark contrast between the two as I was and, if not, what are the current and future ramifications to their lives? Will every business become a startup with a three-year exit plan? Will every vehicle be leased? Will everyone simply rent a home? Will everything be manufactured as a consumable? I don’t know, but my daughter now knows the difference as she woke up this morning and said, “Daddy, I need breakfast, right?” My response? “Daddy needs a hug first.” Every day in our lives and businesses, we have to make decisions

September 2016

about what we need versus what we want. I would argue that this is one of the most fundamental and important decisions in success versus struggle in all areas of our lives. If you’ve been blessed enough to encounter hard times in life like I have, then it becomes easier to see the difference between the two. As an industry filled with companies that have lasted generations and decades, I know I’m surrounded by good company that knows that the greatest want is to need very little to be fulfilled in life! I hope that this summer, all of your needs—and a few of your wants— have been met! As always, I am grateful for your support and feedback! “Sometimes we are so focused on what we want, we miss the things we need.” ~ G. Batiste

Patrick S. Adams Publisher/President padams@building-products.com Building-Products.com

50 YEAR LIMITED WARRANTY For Wall, Roof and Floor assemblies where ﬁ re retardant construction materials are speciﬁed or required by building codes. D-Blaze is UL® FR-S Classified for a low smoke and flame index. r IRC and IBC Code Compliant r City of Los Angeles Research Report: RR 24502 California Department of Forestry & Fire Protection CSFM BML Listings for D-Blaze Plywood and Lumber r ICC-ESR 2645 r GREENGUARD GOLD Certified

D-BLAZE PRODUCERS SERVING THE WEST SUPERIOR WOOD TREATING www.superiorwoodtreating.com

FONTANA WHOLESALE LUMBER www.fontanawholesalelumber.com

THUNDERBOLT WOOD TREATING CO. INC www.thunderboltwoodtreating.com

ALLWEATHER WOOD www.allweatherwood.com

FRANK McCrary Sr. arrived in Swanton, Ca., in 1920, he had no idea what was ahead for his family. He made a living doing several jobs, including auto mechanic and operating a shingle mill. With two sons to arrive in 1927 and 1928, he hadn’t a clue what kind of legacy would follow in his footsteps. Central California-based Big Creek Lumber owns timberland, harvests it, and manages it for private landowners. Along with a sawmill, remanufacturing facility, wholesale division, and five pro yards, they hold a dynamic story as a unique family business. HEN

ONE On One with Big Creek Lumber’s Lud & Bud McCrary

Home is where the forest is

Two Brothers, One Dream In the 1930s, Frank’s sons, Bud and Lud (Frank Jr.) McCrary, were eager to work alongside their dad. Doing construction projects set a foundation for the boys, not just about the LBM industry, but about hard work. The brothers went straight to work as World War II had just begun. “We never really got to be teens. We went right to work when we were needed,” said Bud. Although they were young, fear was either not an option, or not on their minds. “We wanted to help avenge what happened to our Country. We were excited.” Lud agreed as he recalled going to school on the streetcar in San Francisco, and working in the shipyard.

Building a Name

BUD AND LUD McCrary discovered at a young age that they had a deep passion for forestry, the lumber industry, and a healthy environment. Combine that with solid business practices and you get California-based Big Creek Lumber.

The Merchant Magazine

September 2016

In 1946 after returning from overseas service in World War II, Frank, his brother-in-law Homer Trumbo, and his two sons started Big Creek Lumber. With $7500 and surplus military equipment bought at a very low price, modified to fit the company’s needs, Big Creek started using its portable sawmill. In 1947 they built their first production sawmill. Business was booming and so soon would family life. The brothers’ interest in the industry developed into a passion for forestry, and not just for money. It was a desire to build forests with strong, healthy trees—a love they both shared. They also found their own loves. Bud married in 1948 and had two sons and two daughters; Lud married in 1950 and had three girls. But life still hits you, which was the case when Uncle Homer passed away suddenly in 1949. “It was tough on all of us. We immediately went from four to three. It had an impact on everyone,” Bud recalled. The loss forced a sudden adjustBuilding-Products.com

THE LEADER IN CEDAR. Since 1900, Weyerhaeuser has been your trusted source for building products and solutions. Today, nearly a century

of experience and unequaled customer service are what set Weyerhaeuser Distribution apart. We carry a range of cedar products to fit your needs, complemented by the fullservice sales experience you expect from our name..

888.453.8358 Weyerhaeuser.com/woodproducts

RED, BEAUTIFUL & READY TO BUILD. RED Cedar. No other wood has the same richness, longevity and aromatic nature. Whether adding tranquility to an outdoor oasis or warmth to home interiors, real cedar sets any project apart with its durability, versatility and natural glow.

ment. Nonetheless, the company got the ball rolling with a new sawmill and two Detroit Diesel engines on the headrig. By 1955, they were producing 35,000 bd. ft. per day. Big Creek still had a lot to endure. Natural disasters can bring any company down, and Big Creek was no exception to this. In late 1955, “The ’55 Flood” hit. “Most of our equipment was damaged and we needed to replace it,” said Bud. As the brothers learned more about the industry, a passion for forestry and the environment grew in them. They started to see trees as more than just inventory. It was an eye-opener, Bud Lud, 17, and Bud, 19 recalled, when in 1955 a forestry professor from Berkeley came to visit asking to measure the growth rate “You have to be thick-skinned in by boring a few trees. this industry because things are always “He found they had doubled in volchanging and surprises do happen,” ume in nine years.” It occurred to Bud said Bud. By this time Big Creek had that if they could somehow manage gone through a flood and a fire, and the forest, they’d have trees forever. nothing seemed to be getting in the “We didn’t need to replant. You cut a way of its promising future, despite redwood and it sprouts,” Lud one small issue. At the end of 1964, explained. once the sawmill was rebuilt, they Mother Nature didn’t stop with the learned they would be facing a rent ’55 Flood. A fire ripped through in increase when their lease was up. “The 1960 and their new sawmill burned to timing was so bad, and the landlord the ground. “I remember that phone was asking for too much,” Lud said. call. Through the window I saw an But the McCrary’s did what they orange glow in the sky. It was hard to do best; they pushed forward for a betwatch,” said Lud. “We got there as ter opportunity. They negotiated the fast as we could but by then the mill purchase of a property and moved up was gone.” the road about a quarter of a mile, There was no question as to what where the company resides today. they were going to do next. They Nestled north of Santa Cruz, the locadecided on a temporary operation. tion has a breathtaking ocean view. “We knew we were going to have to Frank Sr. passed away in July 1964 rebuild. We were already both retail and then there were two. and wholesale. We had customers who depended on us,” said Bud. Forestry Innovations They did the best they could to get To improve its forest management by. “We had to find a portable practices, Big Creek hired its first replacement sawmill, so I loaded up forester, Dale Holdermen, in 1965. As my family, and began the search,” he their practices improved, they develadded. On a mission for shutdown oped a forestry management strategy mills, they found an opportunity in that lead to their Selective Harvesting Cazadero, Ca., and purchased a comPractices. “We had to do something to plete sawmill to replace the burnedkeep people coming from up north and out mill. “We leased a portable clearcutting,” Bud explained. sawmill to keep production moving,” Property owners wanted to leave Lud explained. They were soon ready enough trees so they still had a forest, to continue business. “It wasn’t easy yet they still wanted to get the maxithough. We had to run the portable mum amount of money. Others wantone and try to rebuild the sawmill at ed to clear-cut the forest and get rid of the same time. But we didn’t really it right then and there to make the have a choice.” In six months, the maximum amount of dollars they sawmill was rebuilt and everyone kept could. Bud and Dale worked hard to their jobs.

The Merchant Magazine

September 2016

keep the peace, while still building the business. So in 1968 they developed new selective harvest rules for the local area. “Things like maintaining a thriving forest, reducing erosion, reducing fire hazards, maintaining wildlife habitat, and cleaning up slash after we cut pleases the neighbors. We’re strategic about how much we cut and where. This is done by creating Timber Harvest Plans and executing selective harvesting,” Bud added. As the bulk of their timber comes from private land ownerships and land holdings, many of those properties they’ve been back through and have harvested three or four times in the last 60 years. Although owners have changed, they still ask them to come back, favoring Big Creek’s management practices. The logs they harvest are also bigger than ever. Another task the company had to face were ongoing issues with environmentalists. Sandwiched between San Francisco and Santa Cruz, the company was in a sensitive location. If they were going to exist as a timber company, they had to keep the peace. “If we didn’t keep things under control, we would have been put out of business,” said Lud, an issue that carried into the ‘90s. “We’d just go and talk to them,” said Lud. “We would explain what our business and our passion was.” The truth was Lud and Bud cared about the forest as much as the environmentalists did. Still, they had to reason with them, and a brand new Greenpeace office in Santa Cruz didn’t help the situation either. Yet, persistence and patience allowed them to work through those issues. Janet, who went to school specifically to study forestry, explained how some protesters changed their tune when they were confronted. Some people who tried to bring down Big Creek were genuinely concerned about the company’s practices. They would soon find out that Big Creek is not exactly what they thought. Lud and Bud provided logical answers to the protestors in hopes they would see where they were coming from. They shared things like how it’s important to cut down trees, as many of them grow too close together and are forced to compete for resources, reducing room for growth and making Building-Products.com

the trees less healthy. “The ones who were not being aggressive were the ones willing to listen to us when we tried to explain our purpose,” Janet said. “We could get them thinking and turn their minds around a little bit. It was an interesting experience. Going out and facing them was one of the bigger risks we took.” In an area that is not known to be logistically best, the company has not only continued to thrive, they’ve also expanded. Today, Big Creek has its mill plus five retail yards in the Bay Area and Central California.

Looking to the Future Bud and Lud built Big Creek into a successful company that still carries their values and is celebrating its 70th year in business this year. Their children are still very much involved. Lud’s middle daughter, Ellen, who showed great concern for the employees, manages employment and insurance as vice president of human resources and risk management. Bud’s son Ken is VP of information technology. Even Lud’s grandson Dennis Webb, who graduated from Cal Poly with a degree in forestry and natural resources, is a forestry technician for the company. Frank McCrary Sr. planted values in both Bud and Lud, which they’ve carried down to their children. “We learned everything from our parents,” said Lud. “My love for forestry comes from my mom and dad.” A policy they’ve also established is to not get too deep into debt. They still have some of the same equipment from 50 years ago, and they always try to be frugal. “Many sawmills try to

never thought a lot of how it would be financially, I was just concerned about the forest. It’s important to me that we’ve gone through this time period producing good wood today, and bigger trees than we’ve ever had. Providing jobs for people is also one of the most important things to us.”

A Love for Their Employees

The brothers take pride in the culture they’ve created where employees stop, smile, and wave, when they see Lud, Bud or Janet walk by and vice versa. Walking through one of their current facilities, Merchant Magazine Carrying on the Legacy publisher Patrick Adams takes note It’s easy to let challenges get in the that they appear to be very happy. way of growth. Lud and Bud had two Listening to Bud and Lud explain choices. They could have given up the value of their employees, it’s obviafter all they’d been through, or they ous how close they are with many of could choose to carry on. “We had a them, one being Chico Castillo. Big responsibility. We had employees who Creek employed 16 members of the needed us and families who we wantCastillo family. Remarkably, Chico’s ed to raise up, hopefully in the busison is a doctor at the same hospital ness,” Lud said. Lud was staying at when he had triple And that they did. In 2009 although bypass surgery. “He was one of the still involved, Bud and Lud stepped doctors there and he looked after down as president and VP, Lud,” said Janet, a moment handing over the day-to-day that brought a tearful silence operations to Lud’s daughters to the room. Janet McCrary Webb and Some of the most successEllen McCrary Rinde, and ful stories you hear are by Bud’s son, Ken McCrary. people who were never in it Janet, Lud’s youngest, is for the money. “Am I proud? Big Creek president and chief Looking at pictures of places forester. “I was really interwhere we’ve logged, I think, ested in the whole thing. boy, how beautiful. The trees Going to work on Saturdays are thinned out, healthy, and was a big deal for me,” she growing like crazy. Most of said. Lud drafted her to log the trees brought to the scaling and her sister Ellen sawmill today are younger did lumber inventory, doublethan Lud and I. I’m very checking scaling tickets and pleased,” said Bud. crunching numbers. “My two So where does this desire older sisters always hung 3 GENERATIONS: Lud McCrary, Janet McCrary Webb, Dennis Webb. for healthy forests come (Photo by Anthony Cruz) together, so I hung out with from? “An appreciation for my dad.” nice country, locally and far That wasn’t all Janet had to lean away,” said Janet. have top-of-the-line equipment, but on. In high school she had a chance to When asked what advice they had when we hit hard economic times, take some alternative education and for the next generation, they agreed they’re sometimes the first ones to go got credit for working at the mill. “I it’s a tough question, as conditions under,” Janet said. “Bud and Lud worked with the foresters and got very have changed so much; One thing Lud never wanted to endanger what they interested. They were great people to would say is to “think of what you had and that’s how we feel today.” be around,” said Janet, who spent her want to leave behind. What can you Big Creek is recognized not only summers learning as much as she leave that’ll be around for 200 years?” for their business practices, but their could. “I was born just a few weeks What Bud, Lud and Janet all agreed commitments to the community. A after the big fire. So obviously I don’t upon was integrity. “Do the right thing unique bunch, they’re always working remember much, but my mom always and be fair; if the right thing isn’t on a new project that goes beyond a told me the story of how she was starbeing done, challenge it,” said Janet. helping hand, like Bud’s alternative ing at the orange glow when a bat flew Smiling at his daughter who clearly transportation plan, and Big Creek’s in the room. Everyone was panicking shares his values, Lud added, “It can’t free contractor college . to get it out!” Janet chuckled alongjust be about money. It’s about inge“We just sort of jumped in head side her uncle and father, the laughter nuity and hard work.” first and have been lucky to survive a testament to their endurance. the ups and downs,” Lud explained. “I Building-Products.com

September 2016

The Merchant Magazine

OSB North America

INDUSTRY Trends OSB Forecast

2016 Last year, nine companies combined to produce over 20 billion sq. ft. of OSB in North America, led for the first time by a post-merger Norbord. With increases up a little over 2% from 2014, manufacturers are eyeing even larger gains this year.

Norbord, Toronto, Ont., operated its active OSB mills at 84% of capacity in 2014. Last year, it added Ainsworth’s four OSB mills—and still was able to increase production to 88% of capacity. Counting idled plants Huguley, Al., and Val-d’Or, P.Q., Norbord has 15 OSB plants in North America capable of producing nearly 8 billion sq. ft. of OSB a year. Buoyed by higher OSB prices, production remains strong this year, although its High Level, Alb., was down for two weeks in the spring due to a fire and its two shuttered facilities appear no closer to restart. Earlier this year, Norbord let its wood license for Val-d’Or lapse and is still holding on to the majority of $45 million it had earmarked for upgrading Huguley. Louisiana-Pacific, Nashville, Tn., has 11 OSB plants in the U.S. and Canada (10 operating), with combined annual capacity exceeding 5 billion sq. ft. In 2015, LP produced 4.17 billion sq. ft. of OSB in North America, down 2.9% from the year prior. But LP has high hopes for this year, with OSB prices higher than in 2015, sales surging of its SmartSide siding, and installation now underway on a new FlameBlock OSB sheathing line at its Clarke County, Al., mill.

OSB’s climb in U.S. gets bump from growing demand abroad O

STRAND BOARD is expected to continue its steady growth over at least the next seven years, in no small measure due to greater hunger for the product around the world, according to a recent forecast by Grand View Research. OSB will benefit primarily from increasingly being used as a substitute for plywood in new residential construction, repair/remodeling, and industrial/light commercial. Rising consumption in subflooring, single-layer flooring, wall and roof sheathing, sheathing ceiling/deck, structural insulated panels, webs for RIENTED

wood I-joists, industrial containers, and mezzanine decks should continue to drive product demand in this sector over at least the next seven years, due to the product’s high strength and durability. High product consumption for other both structural and non-structural applications—namely, furniture, frames, decorative wall paneling, shelving, packaging and crating, pallet manufacture, dry storage pallets, and industrial tabletops—is expected to also have a positive impact on the market. Growing demand for use in home

U.S. OSB Market by Application, 2012-2022 (million square meters)

Georgia-Pacific, Atlanta, Ga., has for years operated just six of its 10 OSB mills, providing up to 3.7 billion sq. ft. of annual capacity (with about 1.3 billion sq. ft. on the sidelines). Its strategy has been to maximize production of value-added OSB products and, earlier this year, introduced its seventh OSB line, the ForceField air and water barrier system. 12

The Merchant Magazine

September 2016

Building-Products.com

Weyerhaeuser, Federal Way, Wa., continues inching even closer to full-capacity production at its six North American OSB mills—and even buys several hundred million sq. ft. of panels from competitors to fill all orders. Last year, Weyerhaeuser produced nearly 2.9 billion sq. ft. of OSB, up 3.% over 2014 and just shy of its 3 billion sq. ft. limit.

WITH GROWTH jumping throughout a variety of sectors, construction will remain the top consumer of oriented strand board. (Photo by Weyerhaeuser)

and office furniture will arise due to certain of OSB’s properties, including its superior strength, fastener holding capacity, consistency, stability and workability. The study also detected growing interest in organic home furnishings. More and more panels will also be used in leisure furniture, particularly in Germany, the U.K., France, U.S., Russia, Canada, Vietnam, Saudi Arabia, UAE, Bahrain, Egypt, Singapore, Australia, China, India and Japan. The product has also deeply penetrated the industrial packaging sector, because it imparts greater rigidity, strength, lightness, moisture resistance grade, durability, and lack of knot holes and core-voids. Ongoing development to produce new packaging material should open new market opportunities for OSB over the forecast period. Likewise, gains will come from increasing awareness regarding environmental sustainability, coupled with the adoption of new regulatory requirements on packaging recycling in China, India and the Middle East. Packaging is expected to grow at a compound annual growth rate of over 29.0% in terms of revenue from 2015 to 2022. The increasing product demand for packaging will be due to OSB’s impressive level of strength and its cost advantage over pure wood-based materials. OSB is predicted to most aggressively expand in the packaging industries of the U.S., Building-Products.com

Canada, India, China, Singapore, Hong Kong, Thailand, Australia, Taiwan and the U.K North America was the largest market accounting for over 55.0% of global volume share, owing to strong environmental regulations and abundant raw material availability. However, Asia Pacific is expected to be the fastest growing market from 2015 to 2022, because of its increasing need for packaged food and significant expansion of the construction industry. Globally, technological advancements in India, Russia, China and Brazil to develop new products and more efficient production methods are expected to create opportunities for OSB growth. Top international uses should include crating, pallets, bins, furniture frames, display racks, and store fixtures. In addition, residential and commercial construction will post big international gains for OSB in emerging economies currently experiencing rapid urbanization. One key challenge for the OSB industry is volatility in raw material prices. Factors affecting their price include the fluctuations in the availability and price of raw materials and the growing product demand in other applications. The study evaluated the multilocation producers in the U.S., as well as larger manufacturers in Europe and Asia.

September 2016

Huber Engineered Wood, Charlotte, N.C., owns five OSB mills, with a combined annual capacity of 2.1 billion sq. ft., but since 2011—when it idled Spring City, Tn.—it has been running just four mills, reducing its current operating capacity to 1.75 billion. To instead supplement its production, earlier this year it contracted with Arbec Forest Products to produce Huber’s ZIP System OSB sheathing at Arbec’s mill in Quebec. Tolko, Vernon B.C., officially has 2 billion sq. ft. of OSB capacity among its four OSB facilities, but until late 2014 was only running Meadow Lake, Sask. Last year it was joined by a new Athabasca Mill in Slave Lake, Alb., which together could put out 1.5 billion sq. ft. of OSB per year. Planned restart of its High Prairie, Alb., mill hinges on securing a longterm fiber source, reportedly dependent on renewal of the province’s forest management agreement. RoyOMartin, Alexandria, La., is operating its 850-million-sq.-ft.-a-year OSB facility in Oakdale, La., and is continuing development of another 800-million-sq.-ft.-capacity plant in Corrigan, Tx., targeting a fall 2017 startup. Arbec Forest Products, St. Leonard, P.Q., has two OSB mills—a former Tembec facility in Québec and a former Weyerhaeuser facility in New Brunswick—with a combined annual capacity of 700 million sq. ft. Arbec is currently devoting part of its production in Québec to Huber Engineered Wood-stamped ZIP System sheathing. Langboard can produce up to 440 million sq. ft. of OSB per year at its Quitman, Ga., mill.

The Merchant Magazine

PRODUCT Spotlight By Charlie Jourdain, California Redwood Association

Sustainable, beautiful, durable...

Everything’s possible with redwood T

HERE’S A BUSINESS axiom about how most customers want their vendors to deliver a product quickly, inexpensively, and to the level of quality expected—but can only reasonably expect two out of the three criteria be met. The same assumptions could be made about landscaping

BUYERS OF California redwood don’t have to choose among desirable features—the wood provides them all.

The Merchant Magazine

September 2016

designs: most customers want something that’s beautiful to look at, will last a long time, and is environmentally friendly, but often believe they can’t have it all. With redwood, it’s more than possible. It’s been proven, time and again, for generations. This has been on my mind recently as I prepare to speak with landscape professionals at the Sacramento Landscape Expo about how redwood is a sustainable building product. With our organization’s long history of environmental stewardship and a reputation for some of the more progressive and voluntary forest and wildlife management programs in the world, we’ve got a lot of background experiences to draw from. What we’ve learned is that redwood makes it easy to build sustainably without sacrificing quality or elegance. This building product is renewable, recyclable, and much cleaner to produce than composites or plastics. Redwood is also much more than a decking product. For landscaping plans, you couldn’t find a better fit for bringing beauty, color and presence into an outdoor space than a redwood timber. Redwood timbers are some of the most structurally strong softwoods found in North America, making redwood ideal for a wide range of projects where large structural components are required. It has excellent strength to weight ratio and durability, shrinks and swells less than other woods, and is less likely to warp or split. It is also naturally resistant to decay, termites and even fire. Stronger than cedar and more durable than Douglas fir, what more could your customers ask for in a timber. In addition, if fences make the best neighbors, then redwood fences must make the greenest neighbors. A fence may be one of the hardest working elements in a landscape design. This single structure defines space, creates privacy, provides shelter and shade. Only redwood can give both the elegance and durability many homeowners seek when researching the best building materials for the project. With its natural insect and decay resistance, redwood fences also keep unwanted guests out of your yard. We produced a “Fences-For-All-Reasons” PDF booklet that provides plenty of inspiration for fence designs. Building-Products.com

When your customers are looking for that perfect material to transition from one landscaping space to another, suggest they consider redwood. Natural products such as stone and wood create an effortless transition outdoors from the ground to the planned space. For its beauty, longevity, and environmental qualities, redwood should be at the top of every landscaping building materials list. Redwood is not just a material for contractors. DIYers love redwood for its ease and workability. CRA’s website offers a number of free plans for all skill levels. From benches to shade structures and tool sheds, each plan offers the perfect starting point for homegrown design inspiration. No matter the season, California redwood stands out in a landscape design. Your customers can choose redwood with the confidence that their vision will be brought to life like no other wood can promise. That’s the real beauty of redwood. – Charlie Jourdain is president of the California Redwood Association. Reach him at charlie@calredwood.org or (888) 225-7339. WHATEVER the outdoor living challenge, redwood can provide the solution. (All photos by California Redwood Association)

Building-Products.com

September 2016

The Merchant Magazine

FEATURE Story By Western Red Cedar Lumber Association

Cedar continues flying with renewed EPD

GREEN BUILDERS now have access to a wider range of cedar products.

HERE’S NO denying it—the North American design community is becoming increasingly more aware of Environmental Product Declarations and the value they bring to the environmental equation. This standardized way of quantifying the impact certain products have on the natural world is already heavily relied upon by eco-minded architects in Europe. But on this side of the pond, EPDs are just starting to take off. Leading the charge is the Western Red Cedar Lumber Association. WRCLA funded an EPD Life Cycle Assessment for its Real Cedar siding and decking products in 2011. Then, the association commissioned another study for its lumber in 2015. Not surprisingly, all three reports supported what everyone in the lumber industry already knows: Wood species such as western red cedar have the smallest carbon footprint when com-

The Merchant Magazine

pared to other building materials. Since these EPDs need to be updated every five years, WRCLA ordered another round of EPD studies earlier this year. Again, the results prove that from an environmental standpoint, you can’t beat natural materials. These findings should be of particular interest to lumber industry reps right now because they coincide with the U.S. Green Building Council’s latest push to promote products that are externally verified as sustainable. “The USGBC now encourages the use of construction products carrying environmental performance information calculated using life cycle assessment through its LEED point system,” explains Paul Mackie, WRCLA cedar specialist. “The main driver of EPDs in North America is LEED, and the new cedar EPDs are eligible for LEED points. With the new EPDs, WRCLA can either maintain or increase market

September 2016

(Photo by Shai Gil Fotography, courtesy of Superkül)

access for cedar lumber, decking and siding products.” What’s more, in the past, only wood from forests certified by the Forest Stewardship Council were eligible for LEED points. That meant only a fraction of cedar products qualified. Not any more. USGBC recently expanded its evaluations to include two other certification schemes: Sustainable Forestry Initiative and Canadian Standards Association. “This bodes very well for Real Cedar manufacturers and retailers because 95% of our wood is certified by one of those three third-party agencies,” says Mackie. “It’s also my understanding there is a growing trend among governments requiring that government-funded projects use materials that are scientifically backed by EPDs. So moving forward, WRCLA’s stellar EPD record is going to be an even bigger selling point.” Building-Products.com

MARGIN Builders By Western Red Cedar Lumber Association

Product placement promotes real cedar T

HE CONCEPT OF product placement is not new per se. After all, companies have been paying to plant their brand names in radio show banter since the 1930s, and then of course in the ’80s, Ray-Ban and Reese’s Pieces famously hit pay dirt in Risky Business and E.T. So what is new? The growing opportunities that building product manufacturers and distributors have on television. That’s all thanks to the rise of home improvement entertainment. Where so many other types of products are limited to either a subliminal cameo in the background or a blatant shoutout as the official sponsor, building materials have a distinct advantage: They are an integral part of the show’s “how-to” narrative. It’s perfectly natural for an HGTV host, for example, to list the superior characteristics of wood decking, compared to composite decking. In turn, viewers accept and interpret this information as expert advice—as opposed to intrusive advertising. “Having a trusted influencer seamlessly promote your product’s value proposition really allows you to flesh out your messaging to a captive audience,” says Jack Draper, Western Red Cedar Lumber Association managing director. “And depending on what kind of deal you have in place, the benefits of embedded marketing can go way beyond the TV show. Quite often, these DIY celebs reiterate their on-air ‘pro tips’ via print publications, personal websites, tradeshow appearances as well as various social media channels.” That’s something Draper knows firsthand. WRCLA’s arrangement with the dynamic design duo, Colin and

CEDAR PLUGS: WRCLA’S Paul Mackie (center) on the set of Colin and Justin’s Cabin Pressure.

The Merchant Magazine

September 2016

Justin, has proven very successful over the last few years. The stars of the Cottage Life TV show Cabin Pressure go way beyond the call of duty when it comes brand integration. Not only do they espouse the virtues of Real Cedar at length on their program, they provide additional video content to WRCLA to upload on its YouTube library and screen at tradeshows. Additionally, the two home improvement stars spread the word about the benefits of real cedar through their syndicated newspaper columns as well as their social media community, which is expanding at a rate of about 20% per month. All that said, Colin and Justin would be the first to point out that not all product placement arrangements are created equally. So companies beware. In their recent “Product Placement” presentation at the 2016 Cedar Summit, the sharp-witted showmen entertained a packed room full of cedar students, WRCLA members and forest industry reps before opening up the floor to a Q&A. Paul Mackie, WRCLA cedar specialist, recalls one of their key points. “When it comes to negotiating product placement deals with potential spokespeople, I think the big takeaway for us is make sure you ask the right questions— namely, ‘Do you have brand integration control or does your TV station?’” says Mackie. “The latter may override arrangements if featuring your product is in direct competition with a major advertiser.” Another important question is “how much coverage will my product actually get?” Companies can get burned if they hand over thousands of dollars worth of product without knowing exactly what kind of exposure they’re getting in exchange. “There’s a big difference in value between an arrangement that includes an on-camera interview with a field rep, for example, and one that only includes a meager mention in tiny font during closing credits,” adds Mackie, who ensured the that real cedar was front and center every time it appeared on Cabin Pressure. But at the end of the day, most companies don’t have control over how the show will be cut in the editing room. So as a back-up plan, lumber producers and retailers are advised to secure the rights to use the segment their rep appears in—regardless if it makes it to air or not. “You can still get a lot of marketing mileage out of that bonus footage,” says Mackie. “We maximize our extra interviews by promoting them through our various social media channels and building our online presence and that plays a key role in our overall marketing mandate, which is to increase demand for Real Cedar.” Building-Products.com

COMPETITIVE Intelligence By Carla Waldemar

Now, change!

L OVE Y OU , You’re Perfect, Now Change. The musical of that “whatthe-heck?” title must have hit home: It ran off-Broadway for over 12 years. And it might serve as the theme song for Hingham Lumber Co., Inc., launched in Cohasset, Ma., in 1947— esteemed early on by its long list of customers and still treasured today because, despite being “perfect” back whenever, it continues to change (and thus remain, if not perfectly perfect, at the very least a most robust player in our industry). The biggest change came back in 2003, when the company reestablished itself in a new location with a larger showroom and a drive-thru yard. It’s staffed by 90-some employees, many of whom have not changed jobs in 20, 30, 40 years, but keep up (via mandatory training, scheduled annually) with the ever-changing landscape of new products, new customer demands, new building codes, what-have-you. “We hire for permanence,” says the king of change (you’ll see why later), president Tom McNulty, third-generation head of Hingham, stating that

The Merchant Magazine

what he looks for in the hiring process is “someone who’s faithful and who wants to learn something. People who respect themselves and respect our customers. (Product knowledge,” he notes, “we can teach.”)

These long-timers like it here, Tom figures, because “we’re careful to treat them with respect and dignity. We offer an environment that’s a clean, effective workplace which promotes efficiency, and equipment that makes sense—like, no broken trucks. We offer a rate of pay consistent with this industry and benefits as good or better. They each have their own areas of expertise, rather than have everybody learn everything. If you specialize in, say, windows and doors, or paint, that’s where you work.” And that in turn creates what customers—the pro and retail trade alike—have come to count on. “The fact that they’ve got access to 20, 30, 40 years’ experience in that particular area means these employees don’t just ‘know’ their niche, they’re experts.” Sure, Tom is well aware, these same customers value “what any lumberyard promises it’ll provide: products, pricing, on-time delivery.

YOUNG warehouse workers supplement a large crew of seasoned long-timers at Massachusetts’ Hingham Lumber.

September 2016

Building-Products.com

HINGHAM LEADERSHIP president Tom McNulty and VP-operations John McNulty.

These,” he underscores, “are commonplace today. It’s service that can make a big difference—training on new products, their installation, taking advantage of what our vendors can provide. You’ve got to have all three knit together—customers, employees, vendors. And it’s a moving target.” How do you manage, then, to hit the segment of that moving target representing customers—both those already on the books and, even more important, all those other bodies out there with a project and a pocketbook? Best way, Tom figures, is with moving targets of his own. The “perfect” marketing system of the past—circulars, radio announcements—are just that: past. “Now change” means, to Hingham, immerse your message in social media. “It used to be, you’d update your website every two or three years. Now, we update it on a daily basis—even hourly. People want to know what’s going on, so we offer new information in very quick turnaround time. You’ve got to be on top of the importance of social media”—Hingham uses Facebook, Twitter, Pinterest, blogs, etc.—“and the quickness with which messaging can occur. Customers are getting younger, and that’s why it’s so important to get their attention where they are, and that’s on social media— to get them involved. We have a permanent employee media specialist, same as we do in, say, Windows & Doors. We get feedback on our posts on a monthly basis, because, while you’ve got to take the initiative in posting, you’ve also got to learn how people are reacting to your message— if there’s ROI. It’s vital!” he insists. “Without it, you’re like the yard carrying the same products it did 20 years ago, but they’re no longer selling. Your customer base is declining and you’re left wondering why. Use of social media is really important to remain viable in our industry. You’ve got to be involved.” Because the competition isn’t standing still. “The boxes,” Tom notes, “are constantly trying to upgrade the level of communication with customers—mailings, electronic messaging—but we can do it better. The boxes are a little slower on the punch than we independents. We, in our locations, know what to buy and how to sell it without checking with the home office.” Tom is aware his typical retail customer has changed over the many decades Hingham’s been in business—“lots more women in the store, where it’s become important to show what a product looks like, and have employees who can speak knowledgeably about different options: what makes sense for their budgets, longevity, aesthetics.” Building-Products.com

Rather than host a specific Ladies’ Night, he welcomes anyone and everyone to attend general store seminars in facets like painting, kitchens and tools (admittedly that one draws more guys). He invites building inspectors to attend to keep them in the loop about changing products. Hingham also offers credit-bearing seminars for architects “because it’s so important that they have information for what to specify. It makes sense if we can offer our suggestions of a product, and the inventory to assure a quick turnaround.” But, true to Hingham’s emphasis on social media, many projects are featured on the website in how-to videos, too. “It’s show and tell; viewers get the information when they want it—after hours, on a Sunday. And access to this kind of information is so important, to explain how to do something properly. It gets people involved. And if customers do it right, they’re likely to come back for more.” That’s if the price is right. Right? Better: “Offer value for money. The lowest price isn’t always the best price,” he believes. “You’ve got to create value with a product. It’s our job to show the value of a certain product, and that goes into our own buying decisions. It’s not a random decision to carry something; it’s got to make sense to our customers. “And that’s why your sales staff is so important today,” Tom continues. “The information available to the consumer is often very confusing, so an independent dealer must be prepared to talk to customers and answer their questions. That’s why we here try to build a culture—to consider who we sell to, and why. Every employee is expected to have a certain skill set and re-train on a regular basis.” Today in Cohasset, a bedroom community close to Boston, “people are beginning to spend again. Compared with the national average, we in this region are the last to go into a recession and the first to emerge, so we don’t see downturns lasting as long.” Still, there were hard lessons to learn during those leaner years. Change, again. “Two important things to remember about a downturn,” he instructs: “One, recognize it at the outset, not two or three years into it; and two, look at where you are and project what it may take to create future opportunities. Make cuts so you remain viable in the future.” In those lean years, “We held regular meetings and made painful cuts. Your two biggest expenses are inventory and payroll, so you’ve got to reduce those two—to look hard at them— or you may lose the whole operation. Formerly, we paid little attention to daily details, so we had to develop economies in areas we hadn’t looked at before. But they made us more efficient today. “Today, business is good. Of course, that always raises other issues,” he laughs: “How to find good help, how to deal with health [insurance] costs. It’s important to increase the size of our business, so we’re always looking for new ideas—ways to create value-added.” A couple of added-values just signed on, however: the sons of Tom and his brother, making a fourth generation committed to the family business. And, chances are, they’ll institute a few changes of their own as time goes by.

Carla Waldemar cwaldemar@comcast.net September 2016

The Merchant Magazine

OLSEN On Sales By James Olsen

Catch more bees with honey I

train diligently but incorrectly, they are “grooving a mistake” (my golf swing comes to mind). Most sellers underestimate the importance of human warmth when working with customers. The number one factor in sales success is our ability to relate to our fellow man. Many sellers work hard making lots of calls, learning their markets and products but spend little time figuring out how to get close to their customers, as humans. I was working with a sales group on how to sell different personality types. One of the “salesmen” (quotes intentional) said, “Why do we have to study all this psychology stuff? I just want to sell wood.” I said, “The problem is we aren’t selling wood, we’re selling humans.” I am shocked how few sellers ask their customer how they are. Many tell me they don’t want to seem insincere or overly “saleszy.” These prejudices are in our minds. People want us to be polite to them. They want us to try to be nice to them. The fear of being perceived as too pushy or insincere makes many sellers bend backwards to seem “businesslike,” but instead end up coming across as standoffish and cold, both of which are extremely easy to say no to. While being standoffish and cold are easy to say no to, warmth and friendliness are easy to say yes to and difficult to say no to. Here are some things we can do to build rapport with our clients—quickly: Use their name and ask them how they are. It seems so obvious but many (most) sellers don’t use their customers’ names or greet them enough. Customer: “Hello, this is John.” Us: “Good morning, John. My name is James from ABC Distribution. How are you today? Customer: “Fine, how can I help you?” Us: “John, I wanted to talk to you today about…” (Use the customer’s name on the re-start; don’t just go into what we are going to say without first addressing them by their name.) Show some excitement and happiness in our tone when a customer calls in or when we get them on the phone on our call in. We act as if we are glad to hear their voice: Customer: “Hello, James, this is John.” Us: “Hey, John how are you doing?” We say this with some—not too much—excitement, as if we were hearing from an old friend. Another good place to use our customer’s name is at closing: Us: “You know you need this, Susan. That’s why you gave me the inquiry. Let’s put this one together.” Susan: “Okay, I’ll take two.” F ATHLETES

The Merchant Magazine

September 2016

The Follow-Up Question When the customer is speaking most sellers are thinking about what they are going to say when the customer is done. We are going to think of an interested and interesting follow-up question about what the customer is talking about. Us: “So, Pete. How was the trip to the mountains?” Pete: “Great. Played some cards with them family and did some fishing.” Us: “Did you catch any?” Pete: “Sure did.” Us: “Tell me about the one that fought the most.” The opposite of the interested Follow-Up Question is Hijacking the Conversation, confused by many as “conversation,” but more accurately a way to put the spotlight back on the seller—wrong place. Us: “So, Pete. How was the trip to the mountains?” Pete: “Great. Played some cards with them family and did some fishing.” Hijacker: “Man, I love to fish. The last time we went fishing I caught…” Pete: “Great.”

Smile, Laugh & Relax Laugh with our customers. When they laugh, laugh with them. Customers tell corny jokes. Laugh at them. If you have a sense of humor, use it. Caution: Humor is a powerful tool; as with all power tools, use with care. A mistake made by many sellers is losing the charm when they get to the business part of the call. They are congenial and friendly in the greeting and small talk, but they clam up and lose their humanity when they get to closing. Because emotions are contagious, the customer gets uptight also… which leads to more no’s than yes’s. Master sellers stay relaxed and smiling all the way through the sales process. Life is a mirror. When we smile and relax while we speak, our customers will do the same; they can’t help it. Emotions are contagious.

James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com Building-Products.com

EVANGELIST Marketing By Alex Goldfayn

3 powerful questions to grow your business W

ANT TO GROW business? Communicate more. Because the more that people hear from us, the more they buy from us. The less that people hear from us, the less they buy. So, regularly and systematically, we must communicate more with customers and prospects. Tell them more about what they can buy from you, and what you can do for them. Ask them questions. Here are three simple questions you should be asking regularly.

It’s an easy yes for the customer. You’re asking to help him more, help him better. And they only need to move 5% of their business from a couple of other suppliers over to you. It’s a small increase for the customer, but it’s 50% growth in business with this customer for you. Further, these things add up quickly. Imagine this kind of increase with 10 customers. Or 50. That’s a lot of revenue in a hurry. All we have to do is ask for it.

The Did You Know Question

Pivot to the Sale

Tom, did you know we also do x or y or z? Most customers only know about 20% of what you can sell them. Think about the tragedy of this. They need other things you can do for them. In fact, they probably buy these things somewhere else right now. And, of course, you would like to sell them these things, or services. But none of that is possible, because they simply don’t know. Let’s do some math: Let’s say you have five salespeople who each speak with five people per day. That’s 25 conversations per day (and I’m not even considering all the emails they send here). This is 125 conversations per week, which is 6,500 conversations per year. Over the years, I’ve learned the Did You Know question results in a sale about 20% of the times you ask it. With the math above, 1,300 new sales. What’s the dollar value of your average sale? Whatever it is, the math is interesting, the sales technique is simple, and it costs nothing.

With every one of these questions, we need to pivot to the business. That is, ask for the sale. Close the deal. I was teaching a workshop recently, and one participant—a business owner—shared that the vast majority of the salespeople who call on him never ask. He said, “Some of them have me sold, I’m reaching for my wallet, but they leave without asking for the sale!” We must ask. Here are some pivot questions that ask for the sale: Would you like me to add it to this order, or write it up separately? I’d love to help you with that—should I write it up? Or, gentler: Should we talk about that now, or schedule a call for Tuesday?

The Reverse Did You Know Question Tom, what else are you buying elsewhere that I might be able to help you with? Instead of you suggesting the product or service, this question involves you asking the customer what, specifically, they’d like to buy from you. You might add: We’re just as good at that as what we do for you now. Or: We both know that one P.O. is better than two P.O.s. Ask the question. You’ll be surprised that customers will answer it and then enter a conversation with you about buying that product or service from you.

Getting Over the Discomfort Why don’t we ask these questions? Why don’t we pivot to the sale? Because we don’t want to offend the customer. We don’t want to lose the customer. We don’t want to be rejected. We don’t want to appear rude. Or demanding. We don’t want to take their time. All of these are self-limiting beliefs. You’re not taking their time, you’re offering to help them more. You’re not going to lose the customer, there’s a reason they’ve been with you for 10 years, or 20 years. They love working with you. They’re not going anywhere. With these questions, you are simply offering to help your customers more. They want to be helped more by you. And the beautiful thing is, they’ll pay you for it!

The Percent of Your Business Question Tom, what percent of your business would you say we get? Tom may answer 20%. Let’s talk about moving that up to 30%. I’d like to help you more. What would that look like?

The Merchant Magazine

September 2016

Alex Goldfayn The Revenue Growth Consultancy alex@evangelistmktg.com Building-Products.com

Orgill Expands Distribution Facilities

DEALER Briefs Chase Ace Hardware, San Rafael, Ca., has opened in the former Yardbirds facility in San Rafael, Ca. (David Harrison, store mgr.). Ziggy's, Billings, Mt., is liquidating and will close, with the retirement of owner Jack Ziegler. Tum-A-Lum Lumber remodeled its Hood River, Or., lumberyard.

Orchard Supply Hardware opened a new store with 3,000-sq. ft. garden center last month in Monrovia, Ca. (Steve Rados, mgr.; Luis Castenallos, assistant mgr.) Later this year, OSH will unveil a 40,000-sq. ft. location with 5,620-sq. ft. nursery in Pleasanton, Ca. Ace Hardware, Paulden, Az., is set to open Sept. 15, two months later than originally hoped for, according to coowner Dave Sheets.

Habitat for Humanity opened a new ReStore discount LBM outlet last month in White City, Or. It will serve as a satellite facility for the larger Medford, Or., location. The group reopened its Teton ReStore in Jackson, Wy., which suffered a fire in April. It is also nearing completion of construction on an 8,300sq. ft. branch in Fresno, Ca. Hood River Supply, Hood River, Or., was honored by co-op Ace Hardware for Pinnacle Performance Retailing for the third consecutive year. Its Odell, Or., branch earned its second consecutive Platinum award. Healdsburg Lumber Co. , Healdsburg, Ca., was voted among the “Best Places to Work in the North Bay” by the North Bay Business Journal.

The Merchant Magazine

September 2016

Orgill is expanding its network of distribution facilities with the addition of an approximately half-million sq. ft. distribution center in Post Falls, Id. The company has signed an agreement to acquire the facility and is expecting to close on the purchase the first week of September. The new facility will be Orgill’s seventh full-service distribution center, in addition to locations currently operating in Tifton, Ga.; Inwood, W.V.; Sikeston, Mi.; Hurricane, Ut.; Kilgore, Tx.; and London, Ontario. The primary reason for the addition of the new facility was to provide faster and more efficient service to Orgill’s growing customer base. The new facility will service customers in Montana, Idaho, Oregon, Washington and Alaska as well as Canadian customers in B.C. and Alberta.

NM Home Center Closes Doors Terry’s Home Center, Artesia, N.M., is closing its doors after 30 years in business. Owner Terry Maupin blamed big-box and online competition, coupled with the effects of low oil prices on the local economy. The store began liquidating Aug. 24 and will officially close Nov. 1.

San Diego Store Makes Lateral Move Hillcrest Ace Hardware, San Diego, Ca., has relocated after 22 years—to the storefront next door. Recognized as “The Coolest Hardware Store on the Planet,” due to its large and diverse inventory, owner Bruce Reeves is banking on that notoreity to move into the larger space formerly occupied by a furniture store.

USG Selling L&W to ABC Supply USG Corp. has agreed to sell its 140-branch distribution division, L&W Supply Corp., to ABC Supply Co., Beloit, Wi., for $670 million. ABC Supply currently operates nearly 600 locations in every state except Alaska. L&W Supply will operate as a separate division. The all-cash deal should close before the end of the year.

Building-Products.com

September 2016

The Merchant Magazine

INDUSTRY Trends By Stephanie Ornelas

SoCal multi-family projects BIG on wood S

EVERAL MULTI-FAMILY projects in and around Orange County, Ca., are in the works as construction in the area is showing no sign of slowing down. While this uptick in multi-family living is only growing faster, what’s really worth taking note of is the amount of lumber being used in these projects.

Why Wood? So what’s with this upswing and why are we seeing a lot more of it? There are a few reasons as to why this could be. Thanks to advances in wood construction, architects are designing buildings out of wood, instead of concrete and steel, in favor of a more

IRVINE INTEREST: One obvious reason why we are seeing a rise in lumber construction projects is because Orange County is experiencing a huge rise in multi-family living. Irvine specifically has taken up more than half of all Orange County permits.

MULTI-FAMILY living is on the rise in Orange County. Projects like Centerpointe Apartments in Irvine, Ca., are being built to accommodate the high demand. With 766 units, the structure is built primarily of lumber, something that is becoming more frequent in the area.

The Merchant Magazine

environmentally friendly material, and that’s just one of many reasons. More lumber producers are now using powerful adhesives to assemble massive wood panels with the strength and sturdiness of concrete and steel. Since cross-laminated timber is made of small planks bound together by a polyurethane adhesive, the revolutionary technology has freed architects to design buildings that were once out of their reach. This is going even beyond multi-family projects, as there has been a lot of talk about the next generation’s skyscrapers being made of wood. September 2016

According to heavy timber specialist Kris Spickler of Structurlam, not only is wood attractive and warms up the building, “architects really enjoy being able to use a product that they’ve used for interior spaces, and actually use it for the structure itself.” Four-story multi-family complex Oceano at Warner Center, Woodland Hills, Ca., and three-story complex Galt Place, Galt, Ca., are luxury multi-family complexes and another example of all-wood, mid-rise construction. Michael Malinowski, president of the American Institute of Architects, Building-Products.com

has been an architect for many projects in California including Galt place, and explained that sometimes using wood podium is a no-brainer, especially with projects like these. “When designing a three-story mixeduse structure and wanting to create the most sustainable and economical building, why would you consider anything but wood?” said Malinowski.

Why Southern California? Southern California living is booming, especially in the Orange County area. According to Sacramento-based Construction Industry Research Board, developers pulled permits for 10,664 new housing units in Orange County from January through October of this year, the highest year-to-date total since 2000. Since architects and engineers have begun to rethink the possibilities of wood as a structural building material over the last two decades, it makes sense that we are seeing many construction projects in the works. Orange County-based Architects Orange finished the third phase of AvalonBay in Irvine, Ca., a 156-unit wrap building. The company found

Building-Products.com

MORE WOOD: As urban areas continue to be more popular and desired, and as wood continues to prove more sustainable, we will be seeing more projects like 70-unit Citronica Two in San Diego County.

wood to be a valuable solution for the project’s “large composite windows, frame elements, height articulation and contemporary materials to enliven the view,” said studio principal Jeff Rabbitt. According to a study by APA–The Engineered Wood Association, for high seismic zones like California,

September 2016

wood podiums result in a less massive structure, which is vital because building mass impacts lateral design loads in seismically active areas.

Why Now? Another driving force behind the turn toward wood is a growing awareness among architects and developers

The Merchant Magazine

about their field’s contribution to climate change. Since our industry takes the lead over others in terms of its impact on the planet and human health, as the demand for more environmentally-sound buildings continues to rise, so will the use of environmentally-friendly building materials. Concrete and steel require enormous amounts of energy to produce and transport, generating more than a ton of carbon dioxide per ton of steel or concrete. The uptick in multi-family residents, especially in Southern California, is leading to more of a realization that lumber is a viable NOT JUST THE OC: The Irvine Company is not tied to its name completely. The company constructed a third Mediterranean-style apartment building in Playa Vista, Ca, it’s core containing primarily lumber. The five-story complex, partially topped out, is the largest of its three developments in the area, containing a total of 703 rental units.

building material. Lyon Communities, a Newport Beach, Ca.-based multi-family developer that is currently building its second luxury apartment complex in Santa Ana, Ca., took note that more building permits have been issued this year in Orange County than any other year since 1990. While this increase in multi-family construction and the use of lumber is becoming more noticeable in places like Orange County, it’s important to keep in mind that projects like these are popping up all over the country, in places where multi-family living and urbanization are becoming more desirable. Atlantic Station, a 138-acre urban renewal, is an award-winning development in Atlanta, Ga., that includes condominiums, apartments, townhomes, and single-family residences. Challenged by the developer to build an affordable, high-density project with 75 to 80 units per acre, architect Ron Harwick, of James, Harwick + Partners said, “We knew we could not achieve the economics or reach the targeted density without wood.”

COMING NEXT MONTH in the October issue of The Merchant Magazine

NAWLA TRADERS MARKET PREVIEW 30

The Merchant Magazine

September 2016

Building-Products.com

THINKING Ahead By Warren Reeves, Wholesale Wood Products

Passing the torch E

VERY BOY SCOUT knows to be prepared. But every company, regardless of size, should heed this motto when considering its future leaders. If the CEO of your company suddenly resigned or became unable to fulfill their role, what would you do? Wing it? Service continuity is imperative for a company’s success. You might get away with flying by the seat of your pants in some circumstances, but when it comes to succession planning, if you’re unprepared, you’re putting your company at risk. So, what are your options? Essentially, there are two: hire from within the company or hire externally. Regardless of which you choose, the key is that the successor be the

How to Approach Succession Planning & Management • Identify future service needs • Identify key positions & competencies

• Select high-potential candidates • Select training & development activities • Implement training & development activities • Monitor & evaluate Source: The Mejorando Group

The Merchant Magazine

right person. For family-owned companies, this choice can be tricky. You might want someone within your family to succeed you, but what if they aren’t ready? Your stakeholders won’t be impressed if they sense nepotism, especially if that person is ill-prepared for their new role. Manufacturers Reserve Supply, Irvington, N.J., is in the process of grooming a leader to replace Steve Boyd, the company’s current president and CEO. Boyd’s father led the company before him and, before that, his father held the role. Boyd’s been the president and CEO for 30 years now, but he didn’t originally envision himself working for the family business. He’d been working at Packaging Corporation of America for five years when his dad

September 2016

gave him a call. “My father called me one day and said ‘My general manager is retiring, would you like to come to work?’ I said ‘No, I don’t think so,’” Boyd says. He was just starting to settle down; he’d met his future wife, built a house and felt comfortable in his career. Despite his initial disinterest, Boyd decided to give it a shot. “You just never know with family how it’s going to work out,” he says. Six years later, his father handed him the reins of president. Boyd hasn’t looked back since. Now, Boyd is in the position of having to consider his own successor. Brian Boyd, Steve’s son, came back to the company five years ago after working at a different wholesaler for five years. Brian, who is

Building-Products.com

A Special Series from North American Wholesale Lumber Association

currently the company’s general manager, had always been interested in the family business, but he wasn’t sure he’d make his career at Manufacturers Reserve Supply. “My dad was really good about saying ‘We would like you to come into the family business if that’s what you would like to do,’” Brian says. “He said that both my sister and me. And he said, ‘If you don’t want to, that’s okay, just let me know so I can plan for the future and what that looks like from a leadership perspective.” “I wanted to make sure that I was ready and that it was my choice to come into the business,” Brian says. Being ready to come into the family business is one thing; being ready to take on a leadership position is another thing entirely, and Manufacturers Reserve Supply isn’t rushing the process. The company has an eight-year succession plan in place for Brian. “[The plan was] that he would come in and run through various

6 Tips for Successful Succession Planning • Start thinking about succession planning as early as possible • Involve many people in the decision to ensure full support • Be honest about the situation and who the right person is; don’t let emotion get in the way • Explore all options, including restructuring the company • Understand that flexibility is key, as succession planning can be an evolving conversation based on changing circumstances • Learn to let go; your successor can’t succeed if the former leader is clinging on

Building-Products.com

Another Perspective “I always knew I wanted to work at DMSi, but my dad wanted us to get other experiences first. It was good to understand how the world works and what it’s like to not be the boss’s kid. Learning how to succeed on your own in a different business is something I think every child in a family business environment should be forced to do. I think every child of owners in a family business needs to learn one crucial lesson: Just because you were born into this family does not mean that you are special by default.” – Henry German, Project Manager, DMSi

departments,” Steve says. “He spent a couple years in inside sales, operations, finance and special projects. When the management team decides he’s ready, then we’ll put him in as president.” Brian is grateful for this slow transition; it’s allowed him to learn the different roles that make up the company and given him a greater understanding of how Manufacturers Reserve Supply runs. “Later in life, I’m sure “I’ll be able to look back on the first hand experiences I’ve had that will help me make decisions and lead the company in the future.” Making sure a successor is fully prepared is crucial in the succession planning process, but it’s equally important to ensure the rest of the company, whether family or not, is on board with the decision. “All employees should understand your strategy, and you need to communicate with them so they feel comfortable that you are all heading down the right path,” Steve says. Once a successor is in place, it’s

also important to remember that it takes more than one person to operate a business. “We’ve got a really good team,” Brian says. “It’s just my dad and I family wise in the business, but it takes so many people to run a successful business, and most of them are not family members. We’ve built a great team of managers and employees.” “It’s not my dad’s way. It’s not my way. It’s our management team’s way and how we want to grow the company. Even if I felt unprepared, there are many other people I can rely on to help me lead the company.” Even the best-laid plans of mice and men often go awry, but with proper planning and involvement of all appropriate parties in your company’s succession plan, you’ll be as prepared as you can be to keep the future of your business bright. – Warren Reeves is vice president of sales & marketing at Wholesale Wood Products, Dothan, Al., and a member of NAWLA’s board of directors.

September 2016

About NAWLA NAWLA (North American Wholesale Lumber Association) is the association that delivers unparalleled access to relationships and resources that improve business strategy and performance through sales growth, cost savings, and operational efficiencies for wholesalers and manufacturers of forest products and other building materials that conduct business in North America. Learn more about how NAWLA can help your business at www.nawla.org.

The Merchant Magazine

DR Johnsonâ&#x20AC;&#x2122;s CLTs Pass Fire Tests D.R. Johnson Wood Innovations, Riddle, Or., has become the first North American cross-laminated timber manufacturer to achieve significant fire safety requirements under tests designed to gauge flame spread and fire resistance. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re proud of our team and the quality of the CLT panels theyâ&#x20AC;&#x2122;re manufacturing,â&#x20AC;? said Valerie Johnson, president of D.R. Johnson Wood Innovations. â&#x20AC;&#x153;Our panels are manufactured to the highest possible standards and perform safely under tough conditions. These tests prove you donâ&#x20AC;&#x2122;t sacrifice safety when you build with CLT.â&#x20AC;? The flame spread test was performed by QAI Laboratories in California using the standard flame spread and smoke density classification tests in accordance with ASTM Designation E84-15b, Standard Method of Test for Surface Burning Characteristics of Building Materials. The test identifies the rate of the spread of fire across the building material, and it places the results into three classifications: A, B, and C, with A being the highest rating and C being the lowest. D.R. Johnsonâ&#x20AC;&#x2122;s CLT panel achieved an A rating, meaning there was minimal spread of fire across the building material over the testâ&#x20AC;&#x2122;s standard time period. The fire resistance test was performed by Southwest Research Institute in Texas using ASTM E119-16, Standard Test Methods for Fire Tests of Building Construction & Materials. This test evaluates the duration for which a building material will contain a fire, or retain its structural integrity, during a predetermined fire exposure time. For D.R. Johnsonâ&#x20AC;&#x2122;s CLT panels it was determined that the underside of the panel would be exposedâ&#x20AC;&#x201D; other CLT tests encased the panel in drywallâ&#x20AC;&#x201D;and that the

NEW TESTING should continue to fuel cross-laminated timberâ&#x20AC;&#x2122;s increasing acceptance in high-rise construction.

test would last for two hours. Despite being fully exposed, the panels passed the test, meaning it contained the fire and held its structural integrity for the full two hours. â&#x20AC;&#x153;This is the first time in North America that a CLT panel has achieved both of these fire safety requirements, which is excellent,â&#x20AC;? said David Barber, principal at Arup and one of the nationâ&#x20AC;&#x2122;s leading fire protection engineers. â&#x20AC;&#x153;Itâ&#x20AC;&#x2122;s a sign that advanced wood products, when engineered to the highest standards, are a safe alternative to other traditional building materials.â&#x20AC;? â&#x20AC;&#x153;Any new building material is bound to face questions about its safety and reliability,â&#x20AC;? said Johnson. â&#x20AC;&#x153;We are committed to meeting those questions head on and producing the highest-quality CLT panel available.â&#x20AC;?

Stack the S t Deck in You our Favor

To Reques st Trrial Samples for a FREE Test e Drive, Viisit us at:

WWW.GRKFASTENERS.COM

The Merchant Magazine

September 2016

Building-Products.com

Columbia Falls Mills Go Silent Weyerhaeuser Co.’s plywood and lumber mills in Columbia Falls, Mt., processed their final logs Aug. 18, ending nearly 70 years of milling at the complex. Its MDF plant in Columbia Falls continues operating. The shuttered facilities employed 230 workers; 146 of them were transferred to the Evergreen lumber and plywood operations. The plants had been operated by Plum Creek Timber, which Weyerhaeuser acquired earlier this year.

Fire Claims Tualatin Lumberyard Authorities are investigating the cause of an early Sunday morning fire July 31 that destroyed 51-year-old Clark Lumber & True Value Hardware, Tualatin, Or. Although firefighters arrived on the scene within minutes of receiving the call, the steel frame and concrete building with metal roof had become a vertable oven, generating intense heat as the building products inside burned. It also lacked a fire alarm or sprinkler system.

Montana Hardware Store Pulls Plug Cardinal Building Center, Libby, Mt., has closed after 70 years. By the time the store locked its doors for the final time at the end of July following a month-long liquidation sale, it was down to a single employee, longtime store manager Sheri Brookshire. “I just decided to go down with the ship,” she said. She said the entire downtown area has suffered over the last three to four years, with the pullout of several large, longtime employers. The property remains up for sale by the Hanson family, one-time owner of a chain of four Cardinal Hardware stores in northwestern Montana. The other three locations— Kalispell, Evergreen and Columbia Falls—continue operating under different names and separate ownership, two of them operated by different Hanson heirs.

NM Do it Best Transitions to Ace Do it Best RTD Hardware, Las Cruces, N.M., has been acquired by a new owner, who is switching the store’s affiliation to Ace Hardware. Brennen Jeffers, a 10-year hardware industry veteran and former site manager for five Sun Valley Do it Best stores in New Mexico, took over June 1 and has renamed the business Big Star Ace Hardware. His silent partners are his father, Louie Salopek, and brother, Brycen Salopek.

Exchange-A-Blade Marks Milestone To mark its milestone birthday, Exchange-A-Blade has introduced a limited edition 40th Anniversary Blade. EAB Tool Co., Delta, B.C., was launched in 1976, and it remains unchanged today: remanufacture whenever possible, recycle everything else, and deliver superior products and service to the customer. Its 40,000-sq. ft. facility remanufactures over 35,000 blades every year. That keeps 60 tons of steel out of landfills. Its green exchange program, which allows customers to buy a product and return it after use for an exchange credit towards their next purchase, also saves 93 tons of iron ore, 53 tons of coal, 20 tons of limestone, and 4.5 million gallons of water yearly. The power tool accessory maker offers a range of blades, bits, hole saws, abrasives and more, under the Exchange-A-Blade, Stay Sharp, and RazorBack brands.

The Merchant Magazine

September 2016

Building-Products.com

MOVERS & Shakers Allyn Ford is retiring as chief executive officer of Roseburg, Dillard, Or., effective Sept. 1, but will continue as chairman of the board. President Grady Mulbery will add the title of CEO. Larry Petree, former sales manager at Mary’s River, is new to sales and marketing with West Bay Forest Products, Sedro Woolley, Wa. Derek Hildebrand, ex-California Dept. of Fish & Wildlife, has been named mgr. of Berco Redwood, Sacramento, Ca. Maria Bautista-Hamson, ex-BlueLinx, is a new composite panel buyer with Royal Plywood, Cerritos, Ca. Rick Sprague, Collins Pine, Chester, Ca., has retired after 43 years in the business. Erin Nuxoll has been appointed VP of human resources with Boise Cascade, Boise, Id. Joel Swanton is new to Forest2Market as Kennewick, Wa.-based mgr. of Western region market sales, serving Oregon, Washington, Montana, Idaho, No. California, and B.C.

Darrel Hanson, Interfor, Bellingham, Wa., has retired after 45 years in the industry. Matt Hamilton, ex-BMC, is new to inside sales at NorCal Lumber, Marysville, Ca. Cameron Krauss has been hired as senior vice president of legal affairs by Seneca Sawmill Co., Eugene, Or. He succeeds Dale Riddle, who will focus on special projects through the end of the year as he transitions into retirement. Deborah Volckaert is now financial operations mgr. with Golden State Lumber, Newark, Ca. Scott Holman is now with LouisianaPacific, as market development mgr. for Orange County, Ca. Nancy Byun is new to Pacific American Lumber, Honolulu, Hi., as inside sales/social media director. Michael Mordell was promoted to executive VP of international operations for Universal Forest Products, Grand Rapids, Mi., leading its new U.K.-based international division, UFP Global Holdings.

Chris Watson is a new outside sales rep with Premium Panels, Arvada, Co. Jonathan MacBeath has been appointed CEO of MacBeath Hardwood, Edinburgh, In., succeeding the late Carter Rothrock (see obituary, page 56). Brian Wynk replaces MacBeath as chief financial officer. Brian Lowry is now senior directordecking and Matt Shaner general sales mgr.-decking with T AMKO Building Products, Joplin, Mo. Chad Giese was promoted to national sales & product mgr. for FASCO America, Muscle Shoals, Al. Carey Phelps has been appointed director-investor relations for BMC Stock Holdings, Atlanta, Ga. Jay Brown, VP of sales & business development, Do it Best Corp., Fort Wayne, In., is retiring Dec. 31 after more than 30 years in the industry. Mark Barford, ex-NHLA, is now senior director-business partnerships for the National Wooden Pallet & Container Association. Doug Graves is providing end-of-life planning services to workers at Mungus-Fungus Forest Products, Climax, Nv., report co-owners Hugh Mungus and Freddy Fungus.

Santa Fe Springs, Ca • www.hufflumber.net

(800) 347-4833 EWP • Big Timbers/Long Lengths •

DISTRESSED WOOD

• D-Blaze® FRTW

Wholesale distributor of a wide range of Distressed Timbers, including

WCLIB Graded Distressed and Hand Hewn Beams Custom Distressed & Hand Hewn work on any size, length or species of lumber.

We are willing to work with customers to achieve their desired custom look

Samples are available upon requests.

The Merchant Magazine

September 2016

the finest timbers available, delivered to customers accurately, honestly & on time.

Building-Products.com

Make a Splash

. o

o .

Photograph is for dramatization purposes only and screws should not be submerged in water. ÂŠ 2016 Simpson S Strong-Tie Company Inc. DCUSS16-D

SUPPLIER Briefs Northwest Hardwoods, which in July temporarily cut the 40-person second shift at its Longview, Wa., mill due to log shortages, has made those layoffs permanent.

Blue Mountain Lumber Products , Pendleton, Or., lost its second log loader to fire in a month on Aug. 10. The equipment was leaking large quantities of fuel that also caught fire. The cause of the blaze remains under investigation.

SmartLam Technologies Group, Columbia Falls, Mt., had its cross laminated timber products certified under the American National Standards Institute-approved ANSI/ APA PRG 320-2012 Standard for Performance-Rated CLT.

Beck Fastener Group’s SubLoc Pro Scrail fasteners have been approved for use with Norbord OSB subflooring and Huber Engineered Woods’ AdvanTech flooring panels.

The Merchant Magazine

TALK Back We welcome your letters to the editor. Send to letters@building-products.com, Fax 714-486-2745, or c/o The Merchant, 151 Kalmus Dr., Ste. D200, Costa Mesa, Ca. 92626.

LOST & FOUND Patrick, I just read your “Across the Board” (“I’ve Lost Something,” August BPD, page 6) and am glad you found something. I found that a number of years ago and even now seem to lose sight of the important things from time to time. I guess it is just easy to get caught up in all the “stuff.” Your writing was a nice reminder. You look to have a beautiful family. That, along with health and faith, make up what is truly important. Thanks for your letter and have a blessed day! Pat Bischel, president Rocky Mountain Wood Protection Denver, Co. This was a well written article from the heart—one that I will share with co-workers, family and friends. You are doing a good job with The

September 2016

Merchant and Building Products Digest. Keep up the good work! Tom Williams, president Yuba River Moulding & Millwork Olivehurst, Ca. Grand slam and way out of the park with “Across the Board” this month. There are a pile of us in the same boat… just manning different paddles. Great to hear it so well defined. Ted Whitehouse, owner Century Aluminum Railings Summerland, B.C.

Newark Lumberyard Unionizes Golden State Lumber, Newark, Ca., had its 26 laborers vote to unionize under Teamsters Local 853 by a threeto-one margin. Initial negotiations are expected to start early this month, with the Teamsters acting as bargaining representatives for tall drivers, load builders, yard men, saw operators, forklift operators, lumber handlers, lumber shippers, and receivers. Golden State operates both unionized and non-organized facilities.

Building-Products.com

Image courtesy of KTGY, Inc.

Compliance Shouldn’t Limit Creativity. Introducing a single fire-rated panel that will allow you to do more with less.

2-SIDED LP® FLAMEBLOCK® IN EXTERIOR ASSEMBLY UL DESIGN NO. U349

LP® FlameBlock® Fire-Rated OSB Sheathing gives you the freedom to design a more efficient wall. • ICC-certified (ESR 1365) fire-rated OSB sheathing • Code-compliant for a variety of different 1-hour and 2-hour fire-rated assemblies • Reduces labor costs and construction time • Carries design values for load/span and shear that are superior to fire-retardant treated wood structural panels of the same thickness • Classified as an Exposure 1 weather-resistant material Another benefit is that you eliminate the need for an extra layer of gypsum, speeding construction time and reducing material and labor costs. Choose LP FlameBlock sheathing on your next design and start doing more with less.

See how LP FlameBlock sheathing can help you do more at LPCorp.com/FlameBlock

At Royal Pacific youâ&#x20AC;&#x2122;ll pay no more, but get extra. We guarantee it.

Hi-borÂŽ brand treated wood is a borate treated wood product designed for interior house framing in Hawaii. Hi-bor treated wood resists attack by Formosan and subterranean termites and numerous household insects and pests, as well as fungal decay. Hi-bor borate treated wood is also backed by a 20 year limited warranty*.

FireProÂŽ brand fire retardant treated wood is treated with a patented formulation that contains no phosphates and has been shown to exhibit exceptional fire performance properties without compromising other critical engineering properties such as strength, durability, corrosivity, and hygroscopicity. FirePro treated wood is also backed by a 50 year limited warranty*.

NEW ECO-LABEL comforts Washington state shoppers that products will not harm orcas if they make their way into their nearby waters. (Photo by Pacific Whale Watch Association)

Puget Sound Ace Hardwares Promote â&#x20AC;&#x153;Orca-Friendlyâ&#x20AC;? Products Ace Hardware stores in Anacortes and Friday Harbor, Wa., have begun placing â&#x20AC;&#x153;Orca-friendlyâ&#x20AC;? labels on cleaning and gardening products that wonâ&#x20AC;&#x2122;t harm the marine environment of the Puget Sound, where killer whales frequent the waters every spring and summer. â&#x20AC;&#x153;We werenâ&#x20AC;&#x2122;t really calling attention to the fact that products are going down the drain or running off from gardens and into the water, so what better way to make a statement than labeling certain products as orca safe?â&#x20AC;? said the two storesâ&#x20AC;&#x2122; owner, Randy Burgess. With input from the Pacific Whale Watch Association, Burgess has tagged about 100 items such as cleaners, insecticides and fertilizers he is confident are toxin-free. And, Burgessâ&#x20AC;&#x201D;recently returned from Aceâ&#x20AC;&#x2122;s summer marketâ&#x20AC;&#x201D;is urging other store owners in the region to do the same.

Study Expects Windows to Pick Up, But Patio Doors to Slow Down

Advance GuardÂŽ borate pressure treated lumber is recommended for sill plate, furring strips, joists, studs, roof trusses, blocking, rafters, beams, and other framing applications. Advance Guard is also recommended for fascia, trim, wall sheathing, roof sheathing, and sub-floors. Advance Guard borate pressure treated lumber is also backed by a lifetime limited warranty*.

Providing Customer Satisfaction in All We Do

1 0 #PY t .D.JOOWJMMF 03 t '"9 540 800%

%JLF 3PBE t 3BJOJFS 03 t 'BY * See product warranty for details. Hi-borÂŽ, FireProÂŽ and Advance GuardÂŽ treated wood products are produced by independently owned and operated wood treating facilities. Hi-borÂŽ, FireProÂŽ and Advance GuardÂŽ are registered trademarks of Koppers, Inc. ÂŠ10/2014

The Merchant Magazine

September 2016

Residential window shipments increased 0.2% in 2015 with 57.36 million units shipped across the nation, according to a new market study by the Window & Door Manufacturers Association. Looking forward, national growth is expected to increase through 2017 to 4.8% before trailing off in 2018 to 1.9%. In 2015, shipments of sliding patio doors grew by 8% over 2014 on the national level. Annual growth nationally is forecasted to moderate to 0.5% in 2016, 0.4% in 2017, and then experience a decrease of 2.2% in 2018. Hinged patio door shipments saw a rather flat annual growth rate of 0.9% in 2015. The forecast calls for steady declines through 2018, with annual decreases expected across the board in every division. Nationally, annual decreases of 9% are expected in both 2016 and 2017, and an 11% decrease is expected in 2018. Vision area of commercial windows increased 9% to 106.62 million sq. ft. in 2015. In the near term forecast, growth nationally is expected to strengthen in 2016 by 14%, followed by a 17% increase in 2017. The forecast for 2018 calls for still positive growth, but at a slightly slower rate of 13%.

Building-Products.com

NEW Products

Safety on the Jobsite

Squeak-Free Flooring

Safety is a key aspect when it comes to Bosch’s Reaxx Portable Jobsite Table Saw—the first saw with the company’s proprietary flesh-detecting Active Response Technology. The system can be reset in under 60 seconds, and a single two-shot cartridge enables activation for two incidents before needing replacement. All necessary parts, instructions and wrenches are located on board the saw, including storage for extra cartridges.

The new AdvanTech subfloor adhesive by Huber Engineered Woods for subfloor assemblies is strong, with a heavy-duty, polyurethane bond. The gun-applied foam quickly settles into a highstrength gel adhesive to create a bond that exceeds industry performance standards. AdvanTech subfloor panels used with floors get a strong, stable base, and a squeak-free panel-to-joist connection.

n BOSCHTOOLS.COM

n HUBERWOOD.COM (800) 933-9220

(877) 267-2499

Thank you for 70 years of business! The co mpany ’s first Comp truck a White surplus any M3 Sco Mo ut b from th e Vete ought for $5 tor ran’s P refere 00 nce Ac t

nding

u r to fo t prio s ju d ber d Bu ft) an Creek Lum Lud (le Big

Lud (left) and

Bud today

Our newest

Proven History

Flexibility

70 years of milling superior redwood products

Selection

Wide range of grades, dimensions, timbers, fencing, patterns

The Merchant Magazine

company tru

Full, mixed or partial truckloads

3564 Hwy. 1, Davenport, CA 95017 • jimb@big-creek.com

Call (831) n

September 2016

457-5039

Peace of Mind

Quality, consistency & personal service

Building-Products.com

Work-Savvy Wrench Crescent has added the latest addition to its line of wrenches. With the versatility of an adjustable wrench and gripping power of a locking plier, the new 10â&#x20AC;? Locking Adjustable Wrench provides greater access for a wide variety of fasteners. The wrench provides the increased adjustability necessary to squeeze different shapes and sizes. It has an anti-slip adjustable jaw with a 1-5/16â&#x20AC;? maximum opening.

n CRESCENTTOOL.COM

Pro-Level Wood Care Flood Wood Care, a brand of PPG Architectural Coatings, has introduced the comprehensive new Flood Pro Series line of professional stains, finishes and preparation products. Developed to meet the staining needs of the professional, the line combines popular existing formulas with several new and improved formulas to provide highly durable products with easy application.

n PPGAC.COM

(800) 648-8160

Building-Products.com

September 2016

The Merchant Magazine

Lightweight Underlayment Typar Weather Protection System recently launched Surround VR Underlayment, the next generation of high-performance, cost-effective synthetic roofing underlayments. Surround VR Underlayment reduces the amount and weight of material needed for roofing jobs, and is designed with the installer in mind. The highly versatile product is waterproof and was developed to work in nearly any roofing application, including with shingles, shakes, tile, slate or metal roofs.

n TYPAR.COM

Impressive Polymer Shingles CertainTeed’s Cedar Impressions individual 5-inch Sawmill Shingle features proprietary CedarLife color technology with TrueTexture molded textures and patterns, which simulate the look of natural cedar shingles sawn in a lumber mill. The shingles are available in four CedarLife blended color families in varying widths, capturing cedar’s rustic charm while offering the design flexibility, easy installation and minimal maintenance of individual polymer shingles.

n CERTAINTEED.COM (800) 233-8990

REAL. STRONG. REDWOOD. Meeting the latest standards for green building practices is nothing new around here. Working with a renewable building material grown in some of the world’s most well-managed and productive forests, it’s like any other workday. Founded a century ago, the California Redwood Association and our members have continually promoted the use of beautiful, durable and sustainable redwood, and the future of redwood has never been brighter.

realstrongredwood.com - info@calredwood.org - (925) 935-1499

The Merchant Magazine

September 2016

Building-Products.com

Best Fitting Bits Milwaukee Tool has expanded its Shockwave line of accessories engineered and tested to be durable and good fitting. The Double-Ended Power Bits enable the use of two unique tips from one bit for increased productivity. A bitsâ&#x20AC;&#x2122; optimized Shockzone geometry helps to absorb peak torque and prevent breakage, which can provide up to 30 times longer life compared to other power bits. Each precise-fit custom tip prevents stripping and reduces wobble for the best fit.

The 4-inch Flexvolt wood cutting carbide hole saw from DeWalt has a 500 max RPM and features carbide teeth for extra long life as well as a thin kerf design for high efficiency. The system brings the future of power with cordless tools to the industry with a highly innovative voltage-changing battery and a line-up of groundbreaking tools to change the way work gets done.

n MILWAUKEETOOL.COM

n DEWALT.COM

(800) 729-3878

Building-Products.com

Cutting Made Easy

(800) 433-9258

September 2016

The Merchant Magazine

Supremely Green Flooring Adhesive

Designed for both new construction and replacement window applications, the 3-inchdeep Breeze-Lite vinyl window frame has been introduced by Hy-Lite for operable acrylic block windows and decorative glass windows. The frame has a nail fin offset of 1 inch (with the ability to rip fins for replacement applications). Anti-corrosion hardware and screens are included with each frame. The frame offers a more aesthetically-pleasing option with cleaner visual lines.

Supreme Green 7800 from DriTac Flooring Products is a five-in-one adhesive offering subfloor moisture control with a lifetime warranty. Containing zero VOCs or solvents, the single-component adhesive offers sound and moisture control, isolates old cutback adhesive residue, acts as a crack suppressant, and has a bond-only option. It also offers the ability to install multi-ply engineered plank, solid wood plank, and bamboo and other flooring materials with no restrictions on width, length or thickness. It is also easy to clean off the surface of hardwood flooring wet or dry.

n HY-LITE.COM

n DRITAC.COM

Durable Frame Options

(888) 256-2599

(800) 394-9310

Stronger Drywall Options CertainTeed Gypsum’s new line-up of high-performance drywall corner solutions benefits industry professionals and endusers, with superior aesthetics, durability and installation efficiency ideal for both residential and commercial building applications. The company has taken the best

The Merchant Magazine

September 2016

of its innovative, high-performance drywall corner solutions—No-Coat Structural Laminate (SLAM) and Levelline—and wrapped them under the CertainTeed brand name.

n CERTAINTEED.COM (800) 233-8990

Building-Products.com

Boise Golf Event a Blast Boise Cascade’s Northern California Distribution Branch celebrated its 10th anniversary Aug. 26 with a golf tournament at The Reserve at Spanos in North Stockton, Ca. More than 120 LBM leaders from Northern California met at the course early that morning for a day packed with fun, prizes, and unique events planned to thank the many customers for their business. The day began with the most unique closest-to-the-pin contest anyone had taken part in, with customers firing golf balls from a real AR-15 firearm under the instruction of Boise Cascade associate Micah Lloyd. With a special attachment and buffered with a foam golf ball, participants launched a golf ball 175 yards down range, aiming for a “Boise Green” flag and pin. Winner of the contest was Casey Jones, ABC Supply, coming within 6 feet from the pin. Competition sponsor Trex’s Seth Porter set up the logistics. The course’s staff had its opportunity to “test” the range the day before, and loved the idea. All day long, customers were treated to a plethora of refreshment carts, all sporting Boise Cascade flags. At the end of the day, more than $20,000 in vendor-supplied prizes were raffled off, including 10 smart TV’s, 10 iPads, and a trip to Hawaii, won by Randy Olson, Golden State Lumber.

BIG SHOTS: For Boise Cascade’s closest-to-the-pin contest, [1] Micah Lloyd instructed competitors on the finer points of shooting an AR-15. [2] Johnny Gudino. [3] Jeff Waltz. [4] Golden State Lumber’s Randy Olson (front) won the grand prize in the evening’s raffle, celebrating with Rob Both, Tracy Ocampo, Patti Blosser, Robert Casale, and Sean Doble.

VIEW VIDEO AT

BUILDINGPRODUCTS.COM

Distributed by

PO Box 1802, Medford, OR 97501 • (541) 535-3465 • Fax 541-535-3288

www.normandist.com

Superior Service, Products & Support

J&L HEAT TREATING SERVICE Fast & Courteous Service

— Centrally located between I-5 & 99 in Stockton, CA — Call John at (209) Building-Products.com

595-2141 — j.fauria@sbcglobal.net September 2016

The Merchant Magazine

ASSOCIATION Update West Coast Lumber & Building Material Dealers Association chose â&#x20AC;&#x153;Leading the Wayâ&#x20AC;? as the theme for its annual convention Oct. 5-6 at Portola Hotel & Spa, Monterey, Ca. The meeting will kick off the first day with a golf tournament at Quail Lodge & Golf Club, Carmel, Ca., and will then carry on into the exhibitors expo, followed by an opening night reception. A group breakfast will kick off day with an association update, as well as an update on government affairs, and a Federated Insurance â&#x20AC;&#x153;Distracted Drivingâ&#x20AC;? presentation. Ken Wilbanks will speak on â&#x20AC;&#x153;Creating a Culture of Excellence,â&#x20AC;?

and Scott Simpson, president, Blue Tarp Financial, will deliver a keynote on â&#x20AC;&#x153;The Right Level of Cashâ&#x20AC;&#x201D;And How to Get It.â&#x20AC;? Breakout sessions will cover succession planning, industry legal & regulatory update, crisis/media management, industry innovations, and challenges & good ideas. Sessions will rotate every 40 minutes. Mountain States Lumber & Building Material Dealers Association will be celebrating its 125th year at its fall meeting at El Monte Sagrado Spa & Resort, Taos, N.M., Oct. 6-8.

The show will include education sessions such as â&#x20AC;&#x153;Building a Power Credit Department;â&#x20AC;? Dena CordovaJack and Thea Dudley; â&#x20AC;&#x153;Hire the Best Performersâ&#x20AC;&#x201D;Get the Best Results,â&#x20AC;? by Tony Misura, Misura Group LLC; â&#x20AC;&#x153;Flaws in the Crystal Ball,â&#x20AC;? by Dr. Jerry Brown, former professor of Aerospace U.S. Space Foundation; and â&#x20AC;&#x153;The Health of Americaâ&#x20AC;&#x2122;s Forests,â&#x20AC;? by Joseph A. Duda, deputy state forester for Colorado. Optional tours will include a walk to the Earthship Project and a yard tour of Randall Lumber & Hardware. Special guests are U.S. Congressman Steve Pearce and former U.S. Congressman Bob Beauprez. Southern California Hoo-Hoo Club is looking forward to its initiation meeting Oct. 19 in Anaheim Hills, Ca. Tacoma-Olympia Hoo-Hoo Club will be hosting a club meeting in Tacoma, Wa., Sept. 23, followed by an installation of officers meeting in Tacoma on Oct. 6. North American Wholesale Lumber Association is gearing up for its annual Traders Market Oct. 2628 in Las Vegas, Nv. NAWLA is also preparing for some upcoming training courses this month. Wood Basics will be Sept. 1922 at Oregon State University, Corvallis, Or. The four-day immersion class includes both classroom training and field operations. The curriculum includes the entire spectrum of the forest products industry.

â&#x20AC;˘ â&#x20AC;˘ â&#x20AC;˘

Visit Our Projects Library!

! for Wood Projects

Proudly Distributed By California Cascade Building Materials 800.339.6480

www.californiacascade.com

The Merchant Magazine

September 2016

Building-Products.com

UTILIZING Douglas fir logs up to 200 years old, Herbert Lumber Co. uses traditional, time-tested methods, from its log pond through the cutting process.

Event gives Southern Oregon mills their close-up D

URING ITS RECENT annual event, the Umpqua Valley Lumber Association enjoyed another successful week of displaying new products and new facilities, while treating old friends to the finest southern Oregon has to offer. The Aug. 3-5 confab, open to all buyers of lumber products including plywood, engineered wood, and specialty panels, featured a thrilling Hellgate jetboat river ride, golf tournament, and “Great Outdoors” dinner banquet at Abacela Vineyard in Roseburg. The group’s seven sponsors also offered mill tours throughout the first two days. This year, attendees got the chance to see several operations for the first time. Twelve months ago, C&D Lumber Co.’s dimension mill in Riddle was in the middle of a complete reconstruction. In just six weeks, the entire old mill was disassembled, new foundations and structures were assembled, new utilities run, and new equipment installed. With ultra-state-of-the-art equipment to process both large and small logs, the expansive new facility features one of the largest, most modern dimensional sorting mechanisms in North America. It can process 150

Building-Products.com

trucks worth of logs per day. In contrast, Herbert Lumber Co. took guests back to the past. Its venerable mill in Riddle uses traditional, time-tested methods to process large diameter, old growth Douglas fir— with some of the larger logs up to 200 years old. The plant is still fed by a log pond, and grading and cut optimization performed by eye, based on

handwritten order sheets. D.R. Johnson’s cross-laminated timber plant in Riddle was perhaps the most eye-opening stop—the mill is an actual showcase of the product’s applications, featuring tables, staircases, railings, walls, ceiling supports, and trusses all made out of CLT. The products are essentially lowergrade dimensional lumber, fingerjoint-

C&D Lumber Co. allowed guests to tour its eye-catching dimension mill in Riddle. The facility features state-of-the-art equipment after a major refurbishment just last year. September 2016

The Merchant Magazine

ed together and cross-laminated into three, five or seven layers, creating panels up to 40 ft. long and 19 ft. wide. Size is limited only by the capacity of the trucks used to ship them out. The panels’ composition provides the rigidity of concrete and steel without the cost or weight, and allows builders to construct “all wood” building of multiple stories and size. The mill has no “standard” inventory; every CLT panel is built to custom specifications. Doorways, windows and electrical/plumbing conduits are all cut using an in-house CNC machine. Yet, while the techniques are modern, the manufacturing process is labor intensive, from assembly to gluing, pressing, cutting and finishing. The plant recently became the first operation in North America to receive APA certification and fire ratings for CLT. Nearby, D.R. Johnson sister company Riddle Laminators, manufactures Douglas fir and Alaskan yellow cedar glulam beams up to 96 feet long. Roseburg took attendees through its hardwood plywood mill in Dillard. It also operates with largely manual processes, because it deals with so many rare, highly expensive hardwood veneers and will accept production orders for as few as five sheets. Unlike with normal plywood, these high-end products have even their edges filled and sanded—no holes, gaps or imperfections are permitted. To make sure the products remain

MODERN TECHNIQUES aside, labor at D.R. Johnson is still fast-paced and demanding, from assembly to gluing, pressing, cutting and finishing.

perfect, custom 1/8” sheets of MDF are placed in between each panel of hardwood plywood, as well as on the sides of every stack. Douglas County Forest Products’ sawmill in Rosebug prides itself on being a model of efficiency and productivity. It illustrated how it fully uti-

lized every log it processed, ensuring every speck was turned into high-quality studs, chips, sawdust, hog fuel or shavings. Swanson Group used this year’s event to show off its veneer and log peeling plant in Glendale. Tour attendees saw the facility could accommo-

ROSEBURG’S hardwood plywood mill accepts production orders for as few as five sheets, as they deal with many rare hardwood veneers.

D.R. JOHNSON showed guests during its tour how products are finger jointed and cross-laminated into three, five or seven layers, creating panels up to 40 ft. long and 19 ft. wide.

The Merchant Magazine

HANDLE WITH CARE: Guests at Roseburg’s Dillard mill could see custom 1/8” sheets of MDF placed in between each panel of hardwood plywood, as well as on the sides of every stack.

September 2016

Building-Products.com

UVLA MILL WEEK

SWANSON invited guests to its veneer and log peeling plant in Glendale, Or.

UVLA association members [1] enjoyed a opening night buffet dinner on the river, followed by [2] a closing dinner at Abacela Vineyard, Roseburg, Or., where the raffle was officiated by Kris Lewis, J.T. Taylor, and Leslie Southwick. [3] Debby Thomas, Joelle McGrorty. [4] Kathy Lindsay, Misty Ross. [5] Steve & Debra Swanson. [6] Andrea Stratton, Aaron Thomas. [7] Charity Taylor, Building-Products.com

Photos by The Merchant

date both large and small logs. The larger logs took more time to steam before peeling, but only seconds more to process and yielded larger runs of veneer. In between touring mills, guests enjoyed the company of their friends and colleagues of the industry during special networking events, including a BBQ, food & wine tasting events and live music and accompanied by breathtaking views. Sponsors are already looking forward to making next summerâ&#x20AC;&#x2122;s event even better.

Nancy Daniels. [8] Leslie Southwick, Beth Hager, Marisa Knutson. [9] Reagan Stratton, Chris Rice. [10] Blake & Norissa Keitzman. [11] Ted Holland. [12] Terri Collin, Brian Johnson. [13] Catherine & John Eshleman, Grant Schuberg, Sydney Souza. [14] A.J. Labranche, Robert Spaulding.

September 2016

The Merchant Magazine

UVLA MILL WEEK Photos by The Merchant

UMPQUA VALLEY Lumber Association (continued from previous page): [15] Art Reid, Reid Schooler, Kevin Dodds. [16] Grant Phillips. [17] Carolyn & Bob Crews. [18] Brett & Karen Slaughter. [19] Frank Forward, Debi Hayes. [20] Scott McCormick, Ron McCormick, Garrett McCormick, Gary Pittman. [21] Tammy & Joe Griffith, J.T. Taylor. [22] Wade Lindsay. [23] Dee & Jim Thorp. [24] Anthony Escobedo, John Parsons, Matt Engler, Steve Culbertson. [25] Todd Kintz, Carter Stinton. [26] Matt Kolar,

The Merchant Magazine

September 2016

Peggy Lund. [27] Grady Mulbery, Mike McCollum, Jeff Thompson. [28] Matt Campbell, Reid Schooler, David Penny. [29] Michael Swiger, John Stembridge. [30] Tim Hunt. [31] Dana Kintz, Leslie Munyon. [32] Brandon Rogers. [33] Jimmy Swanson, Ken Munyon. [34] Mark Kelly, Mike & Kelly Herrema. [35] Brad Myers, Mary & Dave Rainey. [36] Ed Langley, Keri & Kevin Smith. [37] Larry Mussallem, Frank Peterson. (More photos on next page) Building-Products.com

UVLA MILL WEEK Photos by The Merchant

UVLA (continued from previous two pages): [38] Julie Brown, Kimberly Thompson. [39] Mark Swinth, Shelly Gilliam. [40] Jeff Squires, Ross Stock. [41] Gloria Eiletson, Dave & Pat Wright. [42] Rich Giacone, Chris Rice, Rex Klopfer. [43] Kris Lewis. [44] John Murphy, Dan Dethlefs. [45] Ed Langley, John Grove. [46] Tim Bull, Jeff Bull. [47] Kelly White, Gail & Mark Kelly. [48] Chuck Danskey. [49] Lisa Rappe, Kurt Batey. [50] Bill Building-Products.com

Livingston, Joe Robinson. [51] Amanda Cline. [52] Kelly White. [53] Kevin Lang, Nancy Daniels, Bonna & Lee Greene. [54] Dixie Tibbets. [55] Scott Nelson, Brian John, Dustin Heusser. [56] Pat Lynch, Allyn Ford. [57] Ron Tiller, Kurt Batey. [58] Ryan Barron. [59] Linda Shaw, Todd Lund. [60] Matt Engler, Rick Shoemaker. [61] Dustin & Melissa Lewis. [62] Joni & Ron Hanson. [63] Patrick Adams, Eric Ford. September 2016

The Merchant Magazine

IN Memoriam Edward Barlow “Ed” Valpy, 88, former Portland, Or., area lumber sales executive, passed away July 21 in Beaverton, Or., after a brief illness. A graduate of Middlebury College and a veteran of the U.S. Air Force, his 31-year forest products marketing career included stints with Allen Stolz Lumber Co., Vancouver, B.C., and as a founding member of Furman Lumber Co.’s Portland office. James Knaut Munnis, 80, retired Northwest lumber broker, died Aug. 6 after a battle with leukemia. A 1961 forestry graduate of the University of British Columbia, he first worked for MacMillan Bloedel before spending 35 years as a lumber broker, starting with Balfour Guthrie and Pacific Overland Timber. In 1972, he, Ted Hansen, and Francine Moore launched Olympic Industries and in

CLASSIFIED Marketplace

1978 he struck out on his own with Sitka Forest Products. He retired as a broker with Welco Lumber in 2001. Carter Rothrock, 65, president of MacBeath Hardwood Co., Edinburgh, In., died Aug. 20 after a lengthy battle with cancer. He had been with MacBeath for 37 years, the last 18 as a director and CEO. He served as Indiana Hardwood Lumbermen Association president in 1998 and four years later was named an Honorary Life Director. Raold G. “Jack” Stroup, 85, longtime salesman to loggers at Flurry Supply Co., Roseburg, Or., died Aug. 1 in Roseburg. After serving in the U.S. Navy from 1941 to 1954, he worked at Roseburg Forest Products before joining Flurry Supply and later McWhite Wire Rope Co.

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-ready” (advertiser sets type), $65 if we set type. Questions? Call (714) 486-2735. Deadline: The 18th of previous month. Send ad to david@building-products.com. or Fax 714-486-2745. Make checks payable to 526 Media Group.

FOR SALE

Is this your copy? Subscribe to

The

MERCHANT Magazine

Call (714) 486-2735 SAdams@building-products.com

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

ADVERTISERS Index

Cover III

Louisiana-Pacific [www.lpcorp.org]

41 26

AGS Stainless Steel [www.agsstainless.com]

Matthews Marking Products [www.matthewsmarking.com]

Allweather Wood [www.allweatherwood.com]

Norbord [www.norbord.com]

Big Creek Lumber Co. [www.big-creek.com]

Norman Distribution Inc. [www.normandist.com]

Boise Cascade [www.bcewp.com]

North American Wholesale Lumber Assn. [www.nawla.org]

Cover II

California Cascade Industries [www.californiacascade.com] 50

Nu Forest Products [www.nuforestproducts.com]

California Redwood Association [www.calredwood.org]

Pelican Bay Forest Products [www.pelicanbayfp.com]

Capital [www.capital-lumber.com]

Redwood Empire [www.redwoodemp.com]

Deckorators [www. deckorators.com]

Roseburg Forest Products [www.roseburg.com]

Fiberon [www.fiberondecking.com]

Royal Pacific Industries

Fontana Wholesale Lumber [fontanawholesalelumber.com]

RoyOMartin [www.royomartin.com]

Grabber Construction Products [www.grabberman.com]

Simpson Strong-Tie [www.strongtie.com]

GRK Fasteners [www.grkfasteners.com]

Siskiyou Forest Products [www.siskiyouforestproducts.com] 45

Huff Lumber Co. [www.hufflumber.net]

Swanson Group Sales Co. [www.swansongroupinc.com]

Humboldt Redwood [www.getredwood.com]

Terminal Forest Products [www.terminalforest.com]

International Wood Products [www.iwpllc.com]

TruWood-Collins [www.truwoodsiding.com]

Inteplast Group [www.inteplast.com]

Universal Forest Products [www.ufpedge.com]

J&L Heat Treating Service

Viance [www.treatedwood.com]

Jones Wholesale Lumber [www.joneswholesale.com]

Western Forest Products [www.westernforest.com]

Keller Lumber Co. [www.kellerlumbercompany.com]

Weyerhaeuser [www.weyerhaeuser.com]

The Merchant Magazine

September 2016

Cover I

Cover IV

Building-Products.com

DATE Book Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend. Los Angeles Hardwood Lumberman’s Club – Sept. 9, Alan Bohnhoff Memorial Golf Tournament, Black Gold Golf Course, Yorba Linda, Ca.; www.lahlc.net. Hoo-Hoo International – Sept. 9-13, annual convention, Pullman Cairns International, Queensland, Australia; www.hoo-hoo.org. San Diego Home Show – Sept. 11-13, Del Mar Fairgrounds, San Diego, Ca.; (888) 433-3976; www.acshomeshow.com. Moulding & Millwork Producers Association – Sept. 11-14, fall plant tours and education program, Madras to Corvallis, Or.; www.wmmpa.com.

Mountain States Lumber & Building Material Dealers Association – Oct. 6-8, annual conference, El Monte Sagrado, Taos, N.M.; (707) 621-0485; www.mslbmda.org. Do it Best Corp. – Oct. 7-10, fall market, Indianapolis Convention Center, Indianapolis, In.; (260) 748-5300; www.doitbestcorp.com. Los Angeles Hardwood Lumberman’s Club – Oct. 13, meeting, Filling Station, Orange, Ca.; www.lahlc.net. Black Bart Hoo-Hoo Club – Oct. 14, golf tournament, Ukiah Municipal Golf Course, Ukiah, Ca.; www.blackbarthoohoo181.org. Southern California Hoo-Hoo Club– Oct. 19, concat, Anaheim Hills Golf Course, Anaheim Hills, Ca.; www.hoohoo117.org. North American Wholesale Lumber Association – Oct. 26-28, Traders Market, The Mirage Resort & Casino, Las Vegas, Nv.; (800) 527-8258; www.dealer.org.

Pacific Northwest Assn. of Rail Shippers – Sept. 13-14, fall seminar, Cedarbrook Lodge, SeaTac, Wa.; www.pnrailshippers.com. Portland Wholesale Lumber Assn. – Sept. 15, Logs to Lumber Tour, Hull-Oakes Lumber Co., Monroe, Or.; info@portlandwholesalelumberassociation.org. Sierra Pacific Industries – Sept. 15, 37th annual open house & golf tournament, Riverview Country Club, Redding, Ca., and SPI, Anderson, Ca.; www.spi-ind.com. Mount Storm Forest Products – Sept. 15-16, customer appreciation event, Windsor, Ca.; rick@mountstorm.com. True Value Co. – Sept. 16-18, fall reunion, Denver, Tx.; (773) 6955000; www.truevaluecompany.com. Forest Economic Advisors – Sept. 20, 6th annual forest products forum, World Forestry Center, Portland, Or.; www.getfea.com. Tacoma-Olympia Hoo-Hoo Club – Sept. 23, meeting, La Quinta Inn, Tacoma, Wa.; (253) 531-1834. Composite Panel Assn. – Oct. 2-4, fall meeting, Marriott World Center, Orlando, Fl.; (703) 724-1588; www.compositepanel.org.

888-807-2580

Deck Expo – Oct. 5-7, Baltimore Convention Center, Baltimore, Md.; (866) 860-1964; www.remodelingdeck.org.

Bend, OR

www.pelicanbayfp.com

Western Building Material Association – Oct. 4-5, estimating workshop; Oct. 6, financials for non-financial managers class, Olympia, Wa.; www.wbma.org.

DISTRIBUTION LOCATIONS Colton / Fontana / Modesto / Salinas / Stockton, CA

West Coast Lumber & Building Material Association – Oct. 4-6, annual convention, Portola Hotel & Spa, Monterey, Ca.; (800) 2664344; www.lumberassociation.org.

PRODUCTS & SERVICES Framing Lumber / Pallet Stock / Industrial Lumber / Softwoods Hardwoods / Cedar / Fencing / Decking / Redwood Custom Cut Stock / Treated Lumber / Tile Battens 3-Hole & Slotted Vents / Custom Cutting / Remanufacturing Heat Treating / Fire & CCA Treating

National Hardwood Lumber Association – Oct. 5-7, annual convention, Omni Hotel, Fort Worth, Tx.; (800) 933-0318; www.nhla.org. Tacoma-Olympia Hoo-Hoo Club – Oct. 6, installation of officers meeting, La Quinta Inn, Tacoma, Wa.; (253) 531-1834. Remodeling Show – Oct. 6-7, Lakeside Center at McCormick Place, Chicago, Il.; (866) 475-6495; www.remodelingshow.com.

“Focused on the future with respect for tradition”

TREATERS

WITH INTEGRITY, TAKING CARE OF TOMORROW’S NEEDS TODAY

ACQ ACQPreserve • Borates D-Blaze® Interior Fire Retardant Heat Treating ISPM 15 Compliant • Custom Drying Rail Served BNSF • TPI Third Party Inspected

909-350-1214 15500 Valencia Ave. (Box 1070), Fontana, CA 92335 Fax 909-350-9623 • email – fwl-fwp@pacbell.net

www.fontanawholesalelumber.com

Building-Products.com

September 2016

The Merchant Magazine

FLASHBack 80 Years Ago This Month

Eighty years ago, The California Lumber Merchant devoted a lengthy editorial by editor Jack Dionne to encouraging lumber dealers to stock pressure treated lumber. Dionne, in fact, had been hyping treated wood for more than 20 years—back to his Gulf Coast Lumberman days—but back then, he admitted, the only option was creosote-treated products. That meant heavy timbers, piling, poles and other oversized, expensive, difficult-tostock, and (in the 1920s) difficult-to-ship items. But the mid-1930s saw the introduction of Wolman Salts and Chromated Zinc Chloride, “which leave the lumber clean, odorless, paintable, with no objectionable conditions or features, yet which protect against the ravages of decay and insects.” The new treatments made it feasible for dealers to inventory treated wood for residential applications. Dionne estimated that using pressure treated wood for a home’s foundation would increase the project’s lumber bill by just 1% to 1.5% over competing materials. But they would also lead to better homes and help protect dealers from potential legal action. As Dionne recounted, “All too frequently Mr. Dealer, wanting to satisfy the customer and play his own hand at the same

CHICAGO-based American Lumber & Treating Co. supplied pressure treated wood to dealers across the country. ALT, including its treating plants in Wilmington, Ca.; Wauna, Or.; Everett, Wa.; Crossett and Fordyce, Ar.; Shreveport, La.; Port Newark, N.J.; Baltimore, Md.; Florence, S.C; and Gainesville, Fl., was purchased by Koppers in 1954.

time, suggests that wood preservatives for the under part of the house can be applied with a brush. So plenty of buildings have been erected with the underneath lumber so ‘treated,’ but with a minimum of protection.” He predicted “the use of pressure treated lumber in homes and other small building construction will grow so fast that it will be a stalwart aid of the lumber industry in its effort to regain lost ground in the building field.” He was right.

RADIANT REDWOOD BARRIERS: In the 1930s and 1940s, The Pacific Lumber Co. shredded bark from the redwood logs processed at its Scotia, Ca., mill and packaged the fluffy fibers for use as residential and commercial insulation.

The Merchant Magazine

September 2016

In other September 1936 news: • The Federal Trade Commission filed charges against six lumber dealer associations and clubs, accusing them of restraining competition and enhancing prices. The Central and Northern California yards were accused of compelling manufacturers to refuse to sell to so-called “illegitimate” dealers (translated as those who weren’t members of the organizations), forcing those dealers to buy two-step through legitimate members. The groups also allegedly denied membership to dealers who objected to its arrangements, conspired to fix prices so everyone charged the same, and threatened to boycott producers and dealers who wouldn’t play along. The defendants denied all charges. They said that since the FTC would not reveal the name of person or business who lodged the original complaint, it must have been a disgruntled competitor. It was, they claimed, “another case where some individual or concern has succeeded in inducing the government to take up and bear the expense of fighting his personal quarrels with these repondents.”

Building-Products.com

Siding : CRAFTSMEN STAGGERED , Reversible Trim : 4" SMOOTH

Go ahead. Judge a book by its cover. Get Tru. The truth is, sometimes it’s what’s on the outside that counts. Take siding, for instance. It can make a difference between a house that blends in and one that stands out. A house that’s for sale and a house that actually sells. With distinctive character and unparalleled real-wood appeal, TruWood offers an unforgettable ﬁrst impression that lasts. And lasts. Visit truwoodsiding.com and discover what’s Tru to you.

800.417.3674 | The TruWood Collection, manufactured by Collins Products

LLC | Ask us about our FSC® products | FSC-C007425 TruWood’s material content is backed by third-party certifier SCS Global Services. SCS-MC-01178 | SCSGlobalServices.com