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A Hatton-Brown Publication Co-Publisher David H. Ramsey Co-Publisher David (DK) Knight Chief Operating Officer Dianne C. Sullivan PUBLISHING OFFICE Street Address: 225 Hanrick Street Montgomery, AL 36104-3317 Mailing Address: P.O. Box 2268 Montgomery, AL 36102-2268 Telephone (334) 834-1170 Fax 334-834-4525
Foremost Authority For Professional Loggers Browse, subscribe or renew: www.timberharvesting.com Vol. 62, No. 5: Issue 646
Executive Editor David (DK) Knight Editor-in-Chief Rich Donnell Western Editor Dan Shell Senior Associate Editor David Abbott Associate Editor Jessica Johnson Associate Editor Jay Donnell
OurCover Experience, enthusiasm, leadership, integrity, perseverance, compassion, relationships and a positive attitude are some of the things that distinguish Ohio’s Caudill Chipping, Inc., Timber Harvesting’s 2014 Logging Business of the Year. To learn how veteran Corbett Caudill, left, and his son, Cory, lead the organization, please turn to PAGE 10. (Photo by David Abbott)
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Timber Harvesting & Wood Fiber Operations (ISSN 21542333) is published 6 times annually (January/February, March/April, May/June, July/August, September/October, November/December issues are combined) by HattonBrown Publishers, Inc., 225 Hanrick St., Montgomery, AL 36104. Subscriptions are free to U.S. logging, pulpwood and chipping contractors and their supervisors; managers and supervisors of corporate-owned harvesting operations; wood suppliers; timber buyers; businesses involved in land grooming and/or land clearing, wood refuse grinding and right-of-way maintenance; wood procurement and land management officials; industrial forestry purchasing agents; wholesale and retail forest equipment representatives and forest/logging association personnel. All non-qualified U.S. subscriptions are $50 annually; $60 in Canada; $95 (airmail) in all other countries (U.S. funds). Single copies, $5 each; special issues, $20 (U.S. funds). Subscription Inquiries— TOLL-FREE 800-669-5613; Fax 888-611-4525. Go to www.timberharvesting.com and click on the subscribe button to subscribe/renew via the web. All advertisements for Timber Harvesting magazine are accepted and published by Hatton-Brown Publishers, Inc. with the understanding that the advertiser and/or advertising agency are authorized to publish the entire contents and subject matter thereof. The advertiser and/or advertising agency will defend, indemnify and hold Hatton-Brown Publishers, Inc. harmless from and against any loss, expenses, or other liability resulting from any claims or lawsuits for libel violations or right of privacy or publicity, plagiarism, copyright or trademark infringement and any other claims or lawsuits that may arise out of publication of such advertisement. Hatton-Brown Publishers, Inc. neither endorses nor makes any representation or guarantee as to the quality of goods and services advertised in Timber Harvesting & Wood Fiber Operations. Copyright ® 2014. All rights reserved. Reproduction in whole or in part without written permission is prohibited. Periodicals postage paid at Montgomery, Ala. and at additional mailing offices. Printed in USA.
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MyTake DK KNIGHT
Want Better Rates? Make Your Case! If you’re a logger and are not content with your pay these days, chances are good that it’s your fault. Have you actually pressed for higher rates in a businesslike manner, citing specific increases in operating costs and other related stress-inducing challenges, or have you merely whined and complained, perhaps most notably to your wife and dog? Have you lobbied for a specific amount, enough to sustain your business going forward, or have you reluctantly settled for a token increase, accepting the first offer extended? Did you ask for money to offset losses when your trucks are held up at the mill for, say, two hours or more? What about additional costs you may incur in closing out a tract? When working out a timber purchase deal some wood brokers have been known to promise a landowner that the logger assigned to the harvest will do extra work, but they don’t bother to inform the logger up front. I heard about one logger who was coerced by his broker to remove some trees near a landowner’s residence. As luck would have it, his feller-buncher ran over and ruined the landowner’s septic tank. His costs to bring in a dozer to free the machine and replace the tank amounted to more than $2,000, which he was forced to eat. It was not a flavorful meal, and it left a bad aftertaste in that the upset landowner subsequently cast the logger and wood broker in a negative light. Those who rely on your services are typically not going to voluntarily offer you more money. They are not wired that way, as it is in their interest to pay no more than they have to, but these days they often will pay more, depending on the prevailing supply-demand situation. For instance, a mid-south businessman who recently decided to shut down his logging operation told me that several brokers offered to hike his cut-skid-load rate by 25% if he would reconsider. He did not. For what it’s worth, I hear that one company, IP, is said to be offering higher than prevailing pay to new logging outfits, at least in some locations. If IP will pay rookies more, it can pay experienced players more, and so can other companies.
Learn To Negotiate Effectively It’s up to you, and you alone, to make your case. Unfortunately, too many loggers fail to make their cases, or fail to make them very effectively. They are weak when it comes to the skill of negotiation. A case in point: A longstanding friend who interfaces with loggers and wood brokers on behalf of a consuming company, and who fully understands the positions of both the logger and the consumer, told me recently he was surprised by how timid many loggers are when it comes to hammering out rates. According to him, some are reluctant to even come up with a figure, let alone are prepared to back it up with cost documentation. Given the falloff in logging capacity and today’s thorny transportation challenges, combined with an improving economy and greater demand for fiber and logs, you are in the best position today you’ve been in for years to gain some long overdue financial traction. Don’t undersell yourself and your organization. Stand up for yourself and use this newfound leverage! In not stepping up you are performing a disservice to yourself, your company, your family, your employees and your fellow loggers. By not acting, you are helping keep rates at an unrealistic level. You may wince at the thought of negotiation, but it’s a skill that can be acquired, developed and refined with practice. Your demeanor could be the most important asset you bring to any negotiation. Be positive, cool and confident in your position to show that you are sincere and trustworthy. At the same time, do not be adversarial or overly aggressive, timid or under confident. Many times getting what you want, or most of what you want, is “all in the asking.” A negotiation that ends well is built around a good understanding of the other party’s interests and priorities—what they wish to accomplish. This makes it easier to find common ground.
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Be prepared and know what you have to offer. Have a clear sense of what you want to achieve, what your top and bottom range is, but be willing to consider other issues, such as consistency in delivery, volume, quality, etc. A successful negotiation is one in which neither party comes away dissatisfied. It is one that builds a relationship for the near and long-term. Look for opportunities to sharpen your negotiation skill through training offered by consultants or through local business groups. It seems to me that this is one area where state or regional logging associations could take the lead. It would be a great service to members and might even help attract new members. Besides, aren’t those same old SFI-oriented classroom sessions getting a little boring and threadbare?
The Power Of Humor Various forms of humor are said to be effective in a negotiation. Here’s an example found on nairaland.com: The Prime Minister of Israel sits down with the prime minister of Palestine at the beginning of negotiations in an effort to resolve the ongoing conflict. The Prime Minister of Israel requests that he be allowed to begin with a story. The Palestinian Prime Minister agrees. “Years before the Israelites came to the Promised Land and settled here, Moses led them for 40 years through the desert. The Israelites began complaining that they were thirsty and, lo and behold, a miracle occurred and a stream appeared before them. They drank their fill and then decided to bathe in the refreshing water that God had provided. Moses himself joined in. “When Moses came out of the water, he found that all his clothing was missing. Moses asked those around him, ‘Who took my clothes?’ The people replied, ‘It was the Palestinians…’” The official from Palestine interrupted, saying, “Wait a minute! There were no Palestinians during the time of Moses!” “All right,” replied the Israeli Prime Minister. “Now that we’ve got that settled, lets begin our negotiations.”
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NewsLines New Pellet Mill Calls On Industry Veterans A company led by a private investor and two veterans of wood pellet production plans to build a $130 million, 500,000 metric ton per year wood pellet facility in Pine Bluff, Ark. Highland Pellets is a privately held company that plans to export its production into the United Kingdom industrial utilities markets. “While this plant is the first built under the Highland brand, our colleagues Mike Ferguson and Scott Jacobs bring decades of industry leading experience in the engineering and operating of industrial wood pellet plants,” Highland Pellets Chairman Tom Reilley says. “Together with Highland’s leadership team who are veterans of Cargill, Black River, JP Morgan and EnerNOC, we are excited to complete our Pine Bluff facility and expand our footprint.” Jacobs, who is director, business development, and Ferguson, director, engineering and operations, previously worked with Ozark Hardwood Products in Seymour, Mo., and also operate a construction company specializing in wood pellets, AgriRecycle, Inc. Jacobs is a former president of Pellet Fuels Institute. The Arkansas Economic Development Commission and Economic Development Alliance for Jefferson County worked closely with Highland Pellets on this project. Highland Pellets states it is working with first class industry partners including a leading forestry company to provide sustainable fiber feedstock and Cooper/Consolidated for the management of the logistics supply chain for export. Groundbreaking is expected to commence in October and deliveries from the plant to begin March 2016. Highland’s web site states: “Starting with our first pellet facility at Pine Bluff, we are establishing a supply chain portfolio of several geographically dispersed wood pellet facilities which provide sustainable, high quality, and consistent pellets, tailored to the specific requirements of our end customers.” The Pine Bluff project is expected to create 35 direct jobs, impact another 482 indirect jobs and generate a direct financial impact of $86 million annually for the area. 6
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Pellets will be taken from the facility to the Port of Pine Bluff, down the Mississippi to the Gulf, and then shipped to Europe. Lou Ann Nisbett, president and CEO of the Economic Development Alliance, says they were first contacted about the project in May 2013, and a site visit was arranged for company executives a few weeks later. They were shown several available buildings, along with a 108 acre greenfield site the Alliance owns in the Jefferson Industrial Park. A second visit a month later was focused on the industrial park site, followed by a due diligence phase and the signing of the lease agreement nearly a year after the first visit.
Bandit Partners With Detroit Firm Huron Capital Partners, Detroit, Mich., and Bandit Industries, Remus, Mich., have entered into a letter of intent to recapitalize Bandit as a private company with Huron providing resources and capital to reinforce Bandit’s continued growth while accelerating the company’s global growth strategy. Jerry Morey will continue to lead the business as President and CEO. Upon closing, a CEO succession plan will be initiated to recruit and train a top caliber executive to lead the business into its next phase of growth. Mike Morey Sr. and Dianne Morey will remain with the company in consulting roles. Bandit will be co-owned by Jerry Morey, Mike Morey, Dianne Morey and Huron Capital. “When we announced last year that we were looking at companies for a potential sale or merger of Bandit, we were adamant that it had to be the right fit for our company, our community, our dealer network and most importantly, our employees,” say Jerry Morey. “We were only interested in partnering with an organization that would respect and be committed to our company culture. Huron Capital has a long history of growing companies while maintaining their independent operations and that was a significant factor in our decision to partner with the firm. It also feels good to be working with another Michigan-based company that understands our challenges and shares our hometown pride.” Bandit Industries will remain at its
current 280,000 sq. ft. headquarters between Remus and Mount Pleasant. All existing operations, including the workforce, management teams, distribution and dealer network will remain in place. “Bandit’s history as an independent, family-run business is an important criteria for us,” says Mike Beauregard, senior partner at Huron Capital. “Our investment in the business will preserve the legacy and culture of this business while continuing to expand globally under the Bandit brand.” Founded in 1983, Bandit Industries is a leader in the design, manufacture, distribution and service of hand-fed and whole tree wood chippers, stump grinders, forestry mowers, Beast recycling machines and other specialty wood and waste processing equipment.
Fulghum Expands Production Capacity Rentech, Inc., Los Angeles, Ca., has a new long-term processing agreement between its subsidiaries, Fulghum Fibres Chile, Forestal Pacifico and Forestal Los Andes and Astillas Exportaciones Limitada (Astex Ltda.), the Chilean subsidiary of Japan’s Mitsubishi Corp. The new processing agreement would expand the volume of eucalyptus wood to be processed and sold under contract to Astex Ltda. The fiveyear contract includes the mutual option to extend for two additional five-year terms. Fulghum will rebuild its current mill in Concepción, Chile near the port of Puchoco to increase production capacity. With the expansion, the annual processing capacity of the mill will increase from 180,000 bone dry metric tons (BDMT) to 400,000 BDMT of logs with bark. In addition, the facility’s capacity to process logs without bark will increase from 40,000 to 100,000 BDMT per year. The mill will become Fulghum Fibres’s largest chip mill in South America. Rentech’s subsidiary, Forestal Pacifico, will process the bark produced from the mill and sell it as biomass fuel to local industrial customers. Rentech’s trading subsidiary, Forestal Los Andes, will utilize uncommitted capacity at the mill to produce chips for sale in South America or abroad. “This agreement cements Fulghum
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NewsLines Fibres’ position as a significant world player in the pulp, paper and packaging industry,” says Sean Ebnet, senior vice president of fibre business development for Rentech. “Our best-in-class proprietary eucalyptus debarking system gives us a unique value proposition in Chile by providing a critical cost competitive solution for the wood processing needs of our customers. Clearly, Astex Ltda. recognizes this value and has expanded its debarking and chipping business with Fulghum Fibres.” The total cost of the new chipping mill and debarker project is expected to be $8.6 million. Construction of the new chip mill is expected to begin immediately with full commissioning scheduled for early 2015.
‘Black’ Pellet Mill Planned For Monticello Zilkha Biomass Energy announced it is building a facility in Monticello, Ark. to manufacture Zilkha’s “Black” pellet, the first commercially available “advanced pellet” in the biomass industry, according to the company. Zilkha plans to invest $90 million in the facility and create 52 jobs. Zilkha Black pellets can be integrated into coal-fired plants to create cleaner emissions, allowing plants to more easily comply with clean air regulations. The pellets are water resistant, which allows them to be transported and stored outside like coal. Zilkha Biomass Energy LLC is headquartered in Houston. Its web site reports that another Zilkha plant, Zilkha Biomass Selma (ZBS), will be commissioned to produce Zilkha Black pellets in Selma, Ala. this year.
Former OSB Mill Will Make Pellets E-Pellets, LLC reports it has acquired the shuttered Louisiana-Pacific OSB mill in Athens, Ga. and will convert the operation into a wood pellet production facility, producing approximately 450,000 metric tons annually. The wood pellets will be exported to the European Union to be used as an alternative to coal as fuel in power plants. The conversion is expected to cost $150 million. E-Pellets says it has a long-term port agreement with Georgia Kaolin Terminal, Inc. (GKT), which will pro8
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vide sufficient capacity to export up to 1.35 million metric tons per year of pellets through the port facility in Savannah, Ga. E-Pellets previously purchased a wood pellet facility in Nahunta, Ga. and intends to expand its production volume. The company, which is exploring other development opportunities in Georgia and South Carolina, is led by newly appointed CEO Doug Albrecht, who has wood products experience offshore. He is supported on the ground by Chief Operating Officer Ken Ciarletta, who previously managed the Georgia Biomass wood pellet plant in Waycross. Ben Easterlin is in charge of Development.
Black Hills Plan Moves Forward Attorney General Marty Jackley announced that the United States 10th Circuit Court of Appeals has affirmed Colorado and Wyoming Federal District Court decisions denying environmental group challenges to the Black Hills Forest Plan including the portions addressing the mountain pine beetle infestation. The Federal Eighth Circuit Court of Appeals had previously affirmed the South Dakota Federal District Court’s decision denying environmental group challenges to the Black Hills Forestry Plan. “This decision is critical since both the state and federal mountain beetle efforts are intertwined and must be aggressive and consistent to address the destructive infestation,” Jackley says. “While the environmentalist groups have been well intentioned, the pine beetle infestation requires a responsible forestry plan to protect our forest, wildlife, and surrounding private lands and this decision now allows us to continue with this much needed plan.”
Canfor Buys Two More SYP Sawmills Canadian-based Canfor Corp. announced the purchase of the operating assets of Balfour Lumber Co., including a sawmill at Thomasville, Ga., and of Beadles Lumber Co. and its sawmill at Moultrie, Ga. The Balfour and Beadles SYP mills have a combined capacity of 210MMBF. The purchase is structured with 55% being
acquired in January 2015 and the balance after a two-year period. “The Balfour and Beadles sawmills are strong high performing assets in a supply area of sustainable and quality fiber,” says Canfor Corp. President and CEO Don Kayne. “These mills and the management team in Georgia will contribute to the strength of Canfor.” A year ago Canfor purchased Scotch Gulf Lumber and its three sawmills in Alabama. Beadles Lumber has operated at Moultrie since 1951, though the company started sawmilling under Clarence Beadles in Mississippi.
Rebuilding Begins At Plywood Mill Winston Plywood and Veneer is rebuilding the plywood complex in Louisville, Miss. that was smashed by a tornado on April 28. WPV’s parent companies, New Wood Resources and Atlas Holdings, reportedly acquired the idled veneer and plywood mill in the first quarter of this year. Oregon-based Natron Wood Products took over the former GP facility in 2013 and was about to hire production personnel when the tornado hit Winston County, killing 10 in the area. Demonstrating its commitment to rebuild the plant, New Wood Resources presented a check for more than $72,000 to the Community Based Recovery Committee known as “Winston Strong.”
Enviva To Build Two More Pellet Plants Enviva, which already operates five wood pellet plants in the U.S., plans to build two more facilities in Richmond and Samson counties in southeast North Carolina with an investment of more than $214 million, the North Carolina governor’s office announced. In the past three years Enviva has built and started up plants in Ahoskie, NC; Northampton County, NC and Southampton County, Va., while operating purchased plants in Amory, Miss. and Wiggins, Miss. The combined wood pellet production capacity from these five facilities is 1.6 million metric tons. The newer plants Enviva has built each have 500,000 metric tons production capacity and similar evolving technologies.
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All-In Team Ohio’s Caudill Chipping, Inc. is Timber Harvesting’s 2
DavidAbbott
L
ike many gentlemen of a certain age and demeanor, Corbett Caudill is a storyteller at heart, and a man who has seen and done enough to have a few stories to tell. “Later on, let me tell you about the first time I retired,” he says shortly after introducing himself to me. “I was eight years old.” Caudill, a very active 71, is the owner of Caudill Chipping, Inc., based in Dundas, Ohio, but he stresses that the company isn’t about him. “Give my dad the credit and God the glory, but not me,” he insists. “It’s not a big ‘Me’ thing; it’s a ‘We’ thing. We’re
family, and it’s a team effort.” Of the 23 people on the company’s payroll, 10 have the last name Caudill, and in all 14 are direct family members by blood or marriage. That includes Corbett—known as Corb to those closest to him—and one of his brothers, his son, four nephews, three grand-nephews, a nephew-in-law, sister, and sister-in-law. Most of the ones who aren’t technically family, he says, have been around so long they might as well be. “I want all of my guys around me; I don’t mind standing back,” he says with a smile. “They’re going to be
here 10 years from now. At 81 I don’t know if I will or not, though I’m going to try. They’re the team; I’m the coach.” When notified that editors at Timber Harvesting had selected his company as the 17th recipient of the magazine’s prestigious Logging Business of the Year Award, the humble Caudill was adamant that he accepted the award on behalf of his family, not himself. Timber Harvesting began the recognition in 1998, and Caudill is the first from Ohio to receive the honor. The award will be officially bestowed September 27 at the annual meeting of the
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am Effort s 2014 Logging Business of the Year.
This is the typical setup on the Caudill landing, however, in this instance, loader at left was undergoing repairs.
American Loggers Council in Escanaba, Mich. Caudill was also honored as the Ohio Logger of the Year for 1994 by the state’s forestry association. John Dorka, executive director of that group, indicates the Caudill business has made its mark. Calling the company “an outstanding operation,” Dorka says that Corbett’s defining approach is to proactively plan and negotiate with all interested parties, including local elected officials, in advance. “In so doing, he prevents problems from arising, rather than waiting until they occur and then having to deal with
damage control. Because of the size of his operation and its footprint, he recognizes that he has a huge impact. Corbett does the right things, and he does them right.” At the same time, the Caudill family and business have been involved in the Dundas community for years. Corb was among the organizers who helped establish the Vinton County TimberFest and the Southeast Ohio Loggers Chapter. In that capacity he worked to educate the region’s county commissioners on the importance of the timber business to the local economy. He has sponsored local youth
sports teams and purchases 4H Club livestock at the county fair. He is an annual supporter of the Vinton County Junior Fair and sponsors different classes there. He has also supported the high school yearbook and athletic programs as a booster, and the company has been an active participant in the Ohio Forestry Assn.’s Log-A-Load for Kids program.
Kentucky Roots Corb was born in eastern Kentucky in 1942, the seventh in a family of 14 children—nine boys, five girls. It was
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decided to stick with farming when Corb’s older brother Denver spoke up. “No, we can’t make it farming; we’re going to stay with logging,” Denver told them. They were committed to the woods. “Dad was the one who paid the big price to get it going, and the boys just kept adding to it,” Corb recalls.
Band Of Brothers Another load of grade hardwood is made ready for the road. Corbett and Cory Caudill (inset) confer on the job.
there that his parents, Virgil and Delie, first started logging in 1949. It was coal mining country, and Virgil Caudill had no desire to work around coal. He also was a part time farmer. Corb was eight—the age of his ‘first retirement’—when the family headed for greener pastures in Ohio, where the rest of the children were born. “Dad was an old Baptist preacher; never got paid for preaching,” Corb remembers. “Real close to Amish.” Corb has a tendency to make statements by way of the Socratic method: asking a question, then answering it. “Did I ever get a beating? No. I did 12
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get some ‘whoopings’, with a belt; but not a beating. I didn’t get as many as I should have.” The Caudill children always had chores to do around the farm—they worked together as a family—finding free time only occasionally when Virgil’s preaching duties interrupted the work routine. As time went on the kids, including some of the older girls, also became the logging crew. “Dad never did send us to work. He took us.” The family eventually settled on logging as its primary means of making a living. Virgil and the older siblings sat down to discuss it, and had all but
When Virgil’s health started failing in 1973 it was Corbett who took over as owner. By the time they had reached adulthood, five of the nine boys were working in the effort: Coshel, Corbett, Denver, Harold and Bo. Today, only Corb and Bo remain. Harold has retired, Coshel opened a repair shop before his death, and Denver died in 2009. “I worked with him all my life, and I never did feel that he worked for me,” Corb says. “No, he worked with me, because I would never tell Denver what to do. He was my big brother. I would always ask him.” Denver’s son Larry has been full-time on the crew since he graduated high school in
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but it was the vapor lock. So once we got it started, we wouldn’t shut it off again till noon.” He remembers his amazement in 1958 when Virgil bought their first dozer, which could pull as many logs to a drag as a team of horses. “It was the first time they had something that wouldn’t get tired and have to stop and rest,” Corb’s son Cory (Corbett R. Caudill II) relates. From there they added the first skidder sold in southern Ohio, a new Timberjack 225 cable unit, in 1963. Cory tells that Corb initially told Denver that he wouldn’t run it, but by the end of the day, he and that skidder had “become pals.”
Early Chipping Convert
1985. “Of all the brothers, Denver was with dad when times were hardest,” Corb recalls. “By the time Harold and Bo came of age, things had started getting a little easier.”
Hard Work, Progress “See these scars?” the woods veteran asks, pointing to his fingers. “If you know anything about poplar, it has these little pimples. (The mill) would only buy poplar that was peeled, so we would peel the bark by hand,” he explains. “Sometimes they would rip you like a knife.” Back in those early days, the Caudills did it like everyone else: crosscut saws, horses, hand loading five foot pieces of pulpwood. “Oh, my goodness, yes,” Corbett smiles and shakes his head with the recollection. “With the crosscut saws, there would be days we’d just cut maybe a couple of loads.” They financed their first chain saw, a one-man McCulloch, which cost $340. “If we shut it off, we couldn’t get it to start again,” Corb recalls. “We could never figure it out, Foremost Authority For Professional Loggers
A watershed change came in 1973, when Corb first observed a whole tree chipper at work. “I knew that was the way. Why couldn’t everybody see that?” Mead Corp. embraced whole tree chipping, encouraging many loggers based near Chillicothe, Oh. to invest in chippers to help supply its fine papers mill there. However, after Mead built a new wood yard at the plant in the mid ’80s it began trimming back on whole tree chips in favor of roundwood. “They just kept whittling it down,” Corb recalls. “The unions there never did like whole tree chipping.” By 1992, when Timber Harvesting last visited the Caudill family, they were the last chip suppliers (fuel chips) serving the Mead mill. For Caudill, the refocus to roundwood meant adding more sorts, more manpower, more trailers. It also meant a production drop of 5-6 fewer loads daily. Yet the Caudills remained steadfastly committed to chipping. While making market adjustments, the brothers were optimistically determined to stick with chipping over returning completely to roundwood. They began to seek new markets. In the mid 1990s, they hauled chips to American Alloy, a steel mill in New Haven, W. Va. Then in 2000 they found that new market in the form of Globe Metallurgical, Inc., a silicon metals factory in Beverly, Oh. It was this partnership, in conjunction with other markets, that enabled Caudill to rebuild its chip output. “Globe Metallurgical has been there for us when everyone else cut us off or put us on quota,” Cory notes. “Through the years we have grown with Globe;
without them we would be half the size we are now.” According to Globe purchasing agent Tammy Wellspring, Caudill is the Beverly plant’s main chip supplier, and also delivers to the company’s Alloy, W. Va. plant when it gets in a bind. “They are very dependable and always willing to go the extra mile,” she says. On average, Caudill delivers 30 loads of chips a week. “Sometimes we have them bring in as many as 45, depending on our production and inventory,” Wellspring says. Globe uses the carbon from burning clean hardwood chips as part of the process for making silicon metal, a special alloy used in various steel products. There are only a few such facilities in the country.
Markets “We try to keep a steady market,” Cory says. “If one cuts us back we will be knocking on the door somewhere else. You always have to change with the markets. You can’t just say, ‘I am going to be chipping everything.’ If you run short on quotas, you cut heavier to logs.” Cory and the other loader operator, Tim Caudill, typically make at least five sorts around the chippers. “We try to merchandise each load for what part of that tree will pay us the most at which mill.” The ratio of chips to roundwood is typically three to one. Other important chip markets are Domtar Paper in Hawesville, Ky.—a 350 mile one-way jaunt—and RockTenn in Coshocton, Oh. Soft hardwoods and logs go to Weyerhaeuser in Sutton, W. Va. and clean chips and roundwood go to Glatfelter, which owns the former Mead plant in Chillicothe. Lowgrade logs go to SawMiller, LLC in Haydenville, Oh. Most of Caudill’s production is clean chips, but it does haul some fuelwood chips to Rock-Tenn. Grade, veneer and stave logs go to a variety of outlets in Ohio and Indiana. The crew hauls about 100,000 tons of chips annually; its daily goal is 20 loads a day (chips and roundwood combined). “If the markets are good, we work six days a week. When the markets are really good, we work eight days a week,” Cory adds with a grin. In reality, he says, the crew always takes Sundays off. “We always take time for families and God.” In the winter, when the ground is frozen, the crew will get SEPTEMBER/OCTOBER 2014
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comes and tells you point blank, ‘I don’t know what my timber’s worth, just give me a fair price,’ don’t take advantage of that. The landowner is who makes our business possible. They are to be treated fairly and with respect.” The family treats the land with the same respect. They abide by the state’s voluntary BMPs, and take extra care around streams. Corb works closely with the Soil & Water Conservation Districts (S&WCD) in each county where they work. Last year Caudill Chipping received the Conservation Business Award from the Vinton County S&WCD for the “extraordinary care” it took when crossing Raccoon Creek. Corbett worked closely with Cody Hacker of the Vinton County S&WCD to get approval of his plan to protect the creek in that instance and works with him on any environmental issues they encounter. That devotion to fairness is another example of the many lessons the Caudill children learned from their father. “It goes back to when we were young,” Corb explains. “There were so many of us that if we got a candy bar, you’d have to break it up and share. The rule was, you get to break it, but you don’t get to choose which piece you want to keep, the other kid got to pick it. You’d learn to break it right.”
Crack Crew
CSI 4400 slasher facilitates grade preparation at the landing.
to work at 2 a.m. and work till 2 p.m. when the ground thaws out enough that the roads become too muddy. “When it’s zero at night we hit it hard and quit early,” Cory says. Cory estimates that 75% of hauling takes place with company-owned trucks. The balance goes to four contract haulers: Brian Davis, Steve Bake, Larry Bay, and Defiance Trucking. Average haul distance is 120 miles oneway. “We spot trailers when we don’t have trucks so they are ready to go, drop off and hook up,” Cory says. “We try to keep trucks on the road as much as possible.” They occasionally take advantage of backhaul opportunities. In 2010 the Caudills opened a wood yard at their garage facility in Dundas, 14
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and in 2011 added state-certified weigh scales. The yard enables them to buy wood from other local producers in dry weather and stockpile it for muddy winter months when they cannot produce in the woods. It helps them keep production consistent. They sort and separate species and grades for different markets and may even chip on the yard if necessary. Kenyon Stewart, the yard foreman, runs the loader.
Integrity “To pay too little for stumpage will put you out of business just as quick as paying too much, and with a lot less honor,” is one principle Corb taught his son and nephews. “If some older person
On the day Timber Harvesting visited, the father and son were both busy with the interview when both loaders and one of the skidders went down at about the same time. While John Rose and Mike Perry took care of repairs, the crew kept at it. They still made 15 loads that day, and stopped work around 5. “I call that a good day,” Cory says, citing it as evidence of the quality of the team. “I’m so blessed to have people like that,” Corb concurs, noting how the men help each other, none of them whining to leave until everyone can leave, after breakdowns are repaired. While production was interrupted, the guys attended to routine machine maintenance and refueled—getting ahead on things they might normally do the next morning. “I don’t tell them to do that,” Corb notes. “I didn’t ask them to stay. They do it on their own.” Aside from son Cory and brother Bo, the roster includes nephews Larry, Kevin, Coshel and Carl Caudill; grand-nephews Charles Coleman,
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Kenyon Stewart and Tim Caudill; and Steve Bobb, who is married to Corb’s niece. Sisters-in-law Christine (Chris) Caudill and Myrta Caudill are the company’s secretaries, while Cory’s fiancé, Amy Reid, runs the scale house on the log yard. Chris does mainly the computer work for trucking, insurance and fuel while Myrta, the corporate secretary, handles payroll, bills and taxes. Myrta has all the “corporate knowledge” of the company, having been an integral part since the beginning. Non-family employees include Billy Newman, Eric Newman, Gary Vickers, Mike Perry, Mark Saunders, John Rose, John Green and, in the summer, Joe and Zack Swaim. Caudill employees, by all accounts, are happy to be where they are. “I really in my heart pity someone who has to work a job they hate,” Corb says with conviction. “I feel sorry for someone who has to sit and look at the clock and hope time away. Whenever you don’t appreciate your job, it will only get worse.” His advice to such disgruntled people? “Get out of the way; let someone do it that wants to do it. Don’t punish yourself and everyone around you.”
Fortunately, that doesn’t seem to be an issue in the Caudill world. Almost everyone in the company has been on board for at least six years, and some closer to 40 years. In fact, it’s been six years since anyone has quit or been fired. “At the end of the day, we all ride home together,” Corb adds. As well, the group likes to spend some off-time together, hunting and fishing. The company headquarters features a large room used for meetings, barbecues, family dinners, celebrations, and so on. Corb believes in taking care of the people who take care of him, and that’s a big reason for the stability in the work force. Employees receive two weeks of paid time off per year, including holidays, vacations and sick days. The company pays weekly and annual production bonuses. “It helps the guys shoot for a goal,” Cory says. “If you got 90 loads by Friday, it motivates them to come back on Saturday to get the other 10 loads. It brings the morale up on the crew and they push that extra mile.” Everyone is on salary so they don’t have to worry about losing pay if they get rained out. Everybody receives full health insurance benefits. “We had it years
before Obamacare was around,” Cory laughs. “And Obamacare hasn’t done any good for us. It’s put all our insurance companies into a frenzy. It hasn’t hit us directly yet but it’s not in full effect. Everybody fears what is coming but you just have to wait and see.” Cory, Bo, Larry and Kevin are all Ohio Master Logger certified. “That way if somebody has to leave, there is always a master logger on the job,” Cory says. The company is a member of the Ohio Forestry Assn. and the Southern Ohio Loggers chapter. Everyone is cross-trained in other areas, Cory says. For instance, equipment operators also have CDLs so they can drive a truck if need be. At one time Caudill Chipping kept the trucking and logging payrolls separate and under different corporate entities. But as worker’s comp rates for logging went down due to mechanization truck insurance rates went up. “It wasn’t that much of an advantage for us to put it on two payrolls anyway,” Corb reflects. “It was double the paperwork.” Like his father and many of his uncles and cousins, Cory, 27, worked on the crew during summer breaks and afternoons while he was still in school,
The harvesting team, from left, standing: Tim Caudill, Kevin Caudill, John Rose, Larry Caudill, Robert (Bo) Caudill, Corbett Caudill, Cory Caudill, Charles Coleman, Steve Bobb. Tire sitters are Gary Vickers, left, and Joe Swaim. Foremost Authority For Professional Loggers
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Mechanics Mike Perry and John Rose get occasional help from Joe and Zack Swaim.
and came on full time when he graduated high school in 2005. “It’s the only job I’ve ever had,” he muses. He started out working with cable and then grapple skidders, and now runs the Prentice 2384 loader. From his perch in that cab he can help supervise trucking, ensuring that every load goes where it needs to go. When he was a child, Cory wanted to go to the woods with his dad so much that if he misbehaved, that was his punishment, to NOT go to work. “Cory is the only child I have,” Corb notes. “And he came late in life, so since I am one of 14, I was really fortunate. He has not caused me too much trouble, but I wouldn’t want to brag on him too much,” the older man chuckles. “He works hard and he’s never been in jail or on drugs.” “I am very proud of all of them,” Corb says of the younger men in his employ. “I really am.” He points out Tim Caudill, his nephew and the oldest of Virgil’s and Delie’s grandchildren at 36. “He spent his time in Iraq. He won’t talk about it much, but I asked him if what you see on the news is true. All he said was that he doesn’t see why they waited so late to go in. He said, ‘You bet it was worth going.’”
Safety Emphasized Safety concerns have changed over the years. “You just don’t think about not wearing a hard hat now,” Corb says, but it wasn’t always that way. He relates a story from years ago: “Mead paid us an extra 50 cents a ton if we all 16
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Chris and Myrta Caudill shoulder the paperwork.
wore hard hats. If they came out and one guy on the job didn’t have a hard hat on, we did not get that bonus for the whole week. I told the guys if you don’t wear your hard hat and cost us our 50 cents, it comes out of your pay.” Gradually, wearing hard hats became the normal behavior. “You look back and think…how dumb we were!” he says. “We sure have come a long way.” (He notes that workers’ comp insurance is the only expense that has gone down since he’s been in business.) Every morning the men meet at the garage for a safety meeting before leaving for the woods. The company had been covered by the same property/casualty insurance company for 40 years until that company decided to get out of the logging coverage business. In searching for a new carrier, insurance agents were all amazed at the extremely low loss ratio the company had. There have only been four vehicle accidents over the last 10 years, one of them caused by a deer. In steeper ground with larger diameter hardwoods, it is still sometimes necessary to fell with a chain saw. The older employees attended Soren Eriksson’s Game of Logging training. Since that is no longer an option, the younger employees get their training through SEOLC (Southeast Ohio Logging Chapter) chain saw safety meetings.
Relationships The Caudill family cuts primarily on private land, and the company owns roughly 5,000 acres of its own
timberland. To date it has harvested and regrown about half of that, holding the option to cut on the rest if need be in the future. In the meantime they reserve it for recreational purposes. By acting as its own dealer, Cory says, the company has more control of its own destiny. At this point in his career, Corb’s main function is finding and negotiating timber tracts. They do a fair amount of clear-cutting private lands for the AEP, Sands Hill Coal and Austin Powder, a blasting company for coal mining operations. Though father and son agree that proper winter timber is growing increasingly harder to find, the company has kept about two years of timber bought ahead. That includes a lot of lump sum deals and generally an 18-month contract, with down payments and other arrangements made for those landowners who need to get paid more immediately. They always have at least two backup jobs in case weather or other factors prevent moving onto a given tract on schedule. Corb works closely with several foresters from different companies: Matt Malone from F&W Forestry Services in Chillicothe; Glatfelter procurement man Jeff Hoselton, Chuck Beach at Weyerhaeuser, Wes Davison at SawMiller, LLC, Don Ron at RockTenn and Dan Allard at Domtar. Globe Metallurgical has no foresters, but Corb works closely with yard foreman Dan Quimby, material management specialist Tammy Wellspring and corporate purchasing manager Bobby Becker.
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F&W’s Malone says of Caudill: “They are one of the best, if not the best group to work with. These guys are very honest and very hard working, and overall a joy to work with. If something needs to be taken care of with a boundary line, if something is odd or off, they will let you know before they just do it. If everything is discussed up front, they will definitely perform to whatever expectations you have. I couldn’t ask for anything better in professionalism.” One of the first things the Caudills always do when moving onto a new tract is to contact the owners of all adjacent properties, inform them of the activity and ask that they check boundary lines. “We try to keep everybody happy when we move onto a piece of land,” Cory says. Boundary lines are always flagged ahead of the cutting. Another first thing is contacting the trustee on township roads or engineers on county roads where trucks will be moving in and out. “We always try to work a deal with them,” Cory says. “When we come in there with those big trucks, we don’t want to pull the card of ‘that’s everybody’s road, it’s our
Foremost Authority For Professional Loggers
Track-type buncher complements wheel-type counterpart when steep slopes are encountered.
right.’ We don’t want to be like that. We want to work with them.” This is important because, as Jeff Hoselton says, poorer rural counties—the kind where logging operations typically take place, especially where Caudill works
in southeastern Ohio—often have access to less funding for road maintenance funds. As such, these counties sometimes look for ways to make up the difference by tapping loggers. If the trucks cause any damage,
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Caudill buys rock or offers money for repairs. Also, in the winter, they try to avoid hauling on rougher roads if possible, cognizant of the potential for damage. This is in part about doing the right thing—the Caudill integrity at play again—and also in part about combatting the negative public view of loggers. “If you’re more aware of what we do, you’re more apt to be nice and work with us,” Cory notes. “And a lot of the trustees have land and they want their timber cut. If you’re mean to them, it just snowballs.”
Nuts & Bolts
Chains and tracks lend traction assist to JD 843K feller-buncher.
One JD 748H skidder is fitted with a special front attachment for removing chipper debris.
JD 2054 track-type loader is workhorse on the wood yard. 18
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Equipment includes a 2013 John Deere 2054 loader, Prentice 2384 and 2414 loaders, John Deere 544K wheel loader, two CSI 4400 buck saws, three Morbark 22 chippers, 2013 Deere 959 track feller-buncher and 843K wheeltype cutter, and seven John Deere grapple skidders and a cable skidder (ranging from 2002-2014). They also use a 2011 Mettler-Toledo weigh scale at the wood yard, two John Deere dozers (2007 700J and 2009 850J), a road grader and a 2009 Bandit stump grinder. One of the skidders is equipped with a special clam-style rake attachment on the blade for removing debris from around the chippers. The skidder will spread that debris onto skid roads and pack it down to reduce erosion. The idea came from “Ice Loggers”, a TV show on the Discovery Channel, in Alberta, Canada, where a crew uses something similar. “We bought the blueprints from their machine shop, put it on a USB flash drive and sent it to the machine shop to have it built it here,” Cory says. “That was cheaper than getting one through customs.” Nine trucks—a 2014 Peterbilt, two 1996 and two 2006 Internationals, and four Kenworths (two 2011, a 2013 and a 2014)—pull five Pitts log trailers, two lowboys and 13 chip vans (ITI, Fruehauf, Peerless, Dorsey and Pitts). Each machine and truck is equipped with CB radios. Caudill Chipping bought the 2014 Peterbilt and Kenworth as glider kits. The new trucks came with a remanufactured engine, legal to run with older emissions standards. There is not a huge difference on the purchase price between a glider and an all new truck, Cory says, but the kits are cheaper on maintenance, DEF fluid and so on. The typical strategy for Caudill is TIMBER HARVESTING & WO OD FIBER OPERATIONS
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to buy only new equipment, adding a new truck or machine every year. They repair and refurbish older units as long as it is cost effective to do so. Some machines last longer than others, depending on how intensely they are used. Note that they keep, as a novelty, a John Deere 40 dozer from 1960 that still runs, along with a fork lift from 1970, road grader from 1979 and a backhoe from 1995. When a piece is beyond repair, it is parked and scavenged for parts.
Support, Supplies Four machines—the three most recent skidders and the 959 track cutter—utilize John Deere’s JD Link system, which sends up-to-date data on the machine’s productivity and maintenance alerts both to the dealer and to Cory’s smart phone. “It’s worked out well; we like it,” he reports. “If a machine codes out, an email is sent from John Deere to our dealer, Murphy Tractor & Equipment, and they can diagnose it on the spot; so we know what we are looking at— whether we can fix it on site or it needs to go to the shop.” Routine maintenance is performed every 250-500 hours depending on the machine, while trucks are serviced every 15,000 miles. The crew greases and blows out air filters daily. After every 10,000 hours a piece receives new center pins and bushings, while engines, Cory estimates, can typically last 12,000-15,000 hours before a rebuild is in order. Any repairs that will take more than a day go back to the shop, but for simple breakdowns, the team of four fulltime mechanics comes out to the field, using a Ford F650 utility truck with Knapehide service body and a 6,000 lb. capacity hydraulic crane, a generator and hose crimping machine. They also take a mobile shop to each job site, a trailer stocked with nearly everything they could need—spare parts and filters, welding machine, air compressor. They keep a maintenance/repair log on each machine so they can know when and what was done to each piece. The shop and service truck are stocked with extra tires, brakes, filters, hydraulic hoses, fittings, hydraulic oil, lubricants and spare wear parts for all chippers (spouts, chutes, belly liners, face plates, counter knives). They also keep four spare Foremost Authority For Professional Loggers
Corb Recalls His Brief ‘Retirement’ Here is the rest of that story mentioned earlier, of Corb’s first retirement: when he was 8 years old he asked his dad one morning why he had to work. “Well, do you like to eat?” Virgil answered. Corb assured him that he could find food some other way. So his dad made him a deal: “I’ll provide you with a place to live, you don’t have to work, but you have to find your own food.” Corb agreed and went inside for the day. His brothers and sisters, shocked to see him shirking his chores, asked what he thought he was doing. “I’m retired,” he informed them. “Does dad know?” they asked. “He’s the one who sent me here,” the boy replied, and went indoors to enjoy a day of pure lazy relaxation. All was good till suppertime came. Everyone else went in to eat, but not Corb. He had to stay in the other room by himself. It wasn’t so bad, at first, but as time for bed came and his brothers (they all shared a room) fell asleep, the hunger pangs set in. It soon dawned on him that he might actually starve to death. And, he realized, even if by some miracle he survived the night, he’d be too weak to work the next morning and earn any food. He knew he would surely die. Growing desperate, Corb sneaked into the kitchen to check the hot drawer above the coal stove, where he knew any leftovers would be stored. There wasn’t so much as a crumb of cornbread. Finally, he resolved, he had no choice but to go see his father. Timidly, he knocked on his parents’ door. “Dad, are you awake?” he whispered. “Well now I am,” Virgil answered. “I need to talk to you,” Corb said. “Well, make it quick, son, I’m tired; I worked all day.” Corb continued. “I’m about to starve to death.” Virgil wasted no time with his answer. “Well that’s not my problem, son. Now you have a good bed I provided for you, so go to sleep.” Corb made one last-ditch plea: “Dad, I’ll make a deal with you. If you let me eat tonight I’ll do everyone else’s chores in the morning. I’ll feed all the horses by myself, I’ll do everything, just please let me have something to eat tonight before I starve to death.” Virgil looked at Delie and said, “I think he’s learned his lesson. You can give him his plate now.” What Corbett didn’t realize was that they had hid his plate on a high shelf. “And it never occurred to me to ask if they really would have sent me to bed that night without feeding me,” he laughs now. He hasn’t retired again since then, and he has no plans to do so anytime soon. TH
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Caudill uses its well-equipped service truck to advertise its services.
The operation strives for 20 loads a day.
skidder tires in stock at all times. Cory says the company mechanics handle 90% of all breakdowns in the field or in the shop. “Dealers are good, don’t get me wrong,” Corbett says. “But if we didn’t have the ability to fix most things ourselves and had to rely on them for everything, we could not stay in business.” Occasionally they turn to Osborne Equipment in Jackson, Oh. to work on the trucks or on
on the next site later the same day,” Cory explains. The shop crew also sharpens chipper knives, using a five-knife sharpener bought from Glatfelter in 1973. Caudill buys diesel in bulk and stores it at the shop in a 3,000 gallon tank for on-road and a 2,500 gallon tank for off-road. They transport a 5,000 gallon off-road fuel tank to the TH woods.
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the chippers’ Cat engines.They also employ Montgomery Machine Shop, also in Jackson, for some fabricating and welding work. In addition, Caudill occasionally hires Cory’s half-brothers, Rob and Joe Bryant, to do some fabricating work. The Bryants also occasionally help with building landings ahead of the chippers, making moves more efficient. “We can finish up chipping one site and start chipping
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Detailed Manager Texas timberman knows his costs, guides business accordingly.
G
JessicaJohnson
ary Van Dusen, 58, moved to east Texas in 1978 after graduating from Louisiana Tech with a forestry degre. He started his timber buying business a few years later, in 1981. The rest, you could say, is history. In 1991 Van Dusen purchased his first pieces of logging equipment, effectively forming Cypress River Logging, which currently is one of the strongest independent logging companies (three crews) in the Longview area. As Van Dusen says humbly, they just buy timber, log the timber themselves and market it to various mills— nothing very fancy, he insists. Van Dusen found himself consistently rotating machines and keeping excel-
lent records, a practice that enabled him to not only stay in business during the recession but to come out thriving.
Record Keeping Van Dusen isn’t a huge fan of computers, so he prefers to keep his records on paper, although he does use a customized computer program to track all expenses, drawing assistance from his wife, Jackie. “I keep really good books on the logging,” he says proudly. Consequently, he knows how many tons per gallon he can produce on a good tract, bad tract or mediocre tract, whether thinning or clear-cutting. He also knows his machine production per hour, and for every hour his crews
are working, what they should be producing. Van Dusen finds this information very helpful when bidding on timber. The records always show the type of timber the crew harvests, which gives him the ability to bid lower, if necessary, since he knows exactly what the previous costs and profits were. Still, Van Dusen says he will only bid low if his opertion is desperate for timber. Jackie’s main responsibility is entering information into the computer program and assisting with load ticket management, although she does help with all other office paperwork as well. The customized computer program gives a report on each logging job, each truck, each tract and receivables.
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Each logging job has a separate color ticket, labeled with the crew number. (For example, Cypress River Logging Crew #2 might have a green ticket.) When trucks are loaded the loader operator fills out one of the colored tickets, giving it to the driver. The driver then staples the ticket to the scale ticket received at the mill. The stapled tickets are recorded. Van Dusen finds this method, started just two and a half years ago, to be very helpful and keeps tracts separated. If the truck driver accidentally turns in tickets under the wrong tract, Van Dusen can back check it against the colored tickets. “It cut out a lot of confusion. When you’re paying landowners by the ton, they don’t like confusion,” he says.
Typical Tracts, Low Rates Cypress River prefers to clear-cut, but the owner buys whatever he can to keep crews busy. Usually the crews work on bid sales, but he will also go after negotiated sales and, at times, the crews will contract log for others. Average tract size is about 2,000 tons, or about 75 loads. Across all crews, Cypress River puts out about 4,500 tons, or about 165 loads, a week. Each crew is set up exactly the same: four men with a feller-buncher, skidder, backup skidder, loader with a pullthrough delimber and slasher saw, and a loader for loading trucks. Each crew is under the supervision of a foreman. When asked about his daily responsibilities, the all-business Van Dusen says, “Worry. My main job is to worry and try to anticipate what the next problem is going to be and how to work around it.” He continues: “I own all the equipment but I’ve never sat in it. I don’t know how to start it—no clue how to run it. I pay people that are supposed to know how to do that and take care of it. My primary job is to buy the timber.” Most timber is procured by Dane Blount. Most is bought lump sum, but it seems per ton sales are occurring more and more. Blount cruises and negotiates most of the time, Van Dusen will help if it's “cool outside and the tract has no briars.” Van Dusen negotiates with some of the bigger clients. Van Dusen insists that his current rates are not where he’d prefer them to be, like in 2006 and 2007 when everything was good. “We made money logging back then,” he says fondly. “Timber prices were sky high and a lot of good timber was on the market. We Foremost Authority For Professional Loggers
Cypress River front office crew, from left, Graham Van Dusen, Gary Van Dusen and Dane Blount
could pay good money for logging.” But as most loggers know, when the crash happened the good timber disappeared from the market; landowners accustomed to getting $40 per ton pulled back. He says the going rate in his part of east Texas today is closer to $20 per ton.
Bonus Based On Profit While the businessman admits that equipment is better now than ever, which means longer life and less downtime, he asserts that prevailing logging rates have not kept up with logging costs. Cypress River’s crews are paid what Van Dusen considers a good wage, and have the opportunity to make a quarterly bonus based on profit, not production. “I do that because if a bonus is based on production they are going to run the hell out of the equipment and not maintain it,” he says. “If it’s based on profit, if they tear equipment up by not maintaining it, it cuts into profit.” It’s worked out very well since he started the bonus program in 2000. He reports that when the program was implemented, machine repairs dropped dramatically. “They take a lot better care of the equipment because they know a repair bill is coming out of their pocket in the long run,” he explains. Though like with rates and wages, the bonus checks aren’t where they used to be.
Machine Lineup Cypress River crews primarily run Tigercat equipment, purchased from Tejas Equipment in Hillister, Tex. The crew has run John Deere in the past, and Van Dusen says he has no problems with those machines; he just prefers
Tigercat since he made the switch to his first unit about 20 years ago. Van Dusen allows his crew foremen to have a lot of say in the equipment he buys. He rationalizes, “If you buy them something they like they tend to keep up with it better, and they all like Tigercat better.” The company sticks to a fairly tight rotation schedule. Skidders are traded every three years. Loaders with pullthrough delimbers and slasher saws aren’t kept past three years either. Truck loaders run until they quit, as it’s a lower stress application than delimbing, and feller-bunchers are run for up to 10,000 hours. “After two years we’re looking to sell or trade. People know that. So on a fairly new, well-kept machine, I’ll deal with them on it,” he says, noting this helps offset some of the cost of relatively frequent machine rotation. “I’d rather look at a payment book than a worker’s butt crack, bent over fixing something,” Van Dusen says matter-of-factly. Operators are responsible for maintaining their equipment. Tejas Equipment handles major repairs but since most machines remain under warranty Cypress River doesn’t encounter that many problems. The most frequent issue is with sensors going out, which will shut the machine down. “There’s nothing breaking down,” he says, frustrated, “just the sensors going out, but you’ve got to call someone to check it. It’s hard for us to work on them.” Because of the sensor issues, Cypress River does not have a full time mechanic. Van Dusen doesn’t see a way to justify it.
Trucking Side Cypress River owns five trucks and uses seven contract truckers. Like most, Van Dusen finds trucking a necessary SEPTEMBER/OCTOBER 2014
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evil. “If I had it my way, I would own no trucks. They are all the problems and all the losses in one place. Rates aren’t good. The DOT is everywhere and they hate log trucks,” he says. He pays truck drivers a minimum of $7 per ton and 14 cents per loaded mile. According to his records, at that rate his trucks lose about $1 per ton. He firmly believes rates need to go up but with the close margin on timber sales, raising trucking rates will cause the company to start losing bid sales. Without the ability to purchase bid sales, the logging crews wouldn’t have anything to do, which puts the company in a tough situation. Van Dusen says that with a trucking shortage this Cypress River follows a tight rotation schedule. Feller-bunchers are not used past 10,000 hours. summer, rates are up to 16 cents per loaded mile. Van Dusen says many recent sales have been purchased by a quarter a ton margin. “If we’d figured 50 cents more a ton for trucking, we wouldn’t have bought the timber,” he emphasizes, “Without the timber you definitely don’t need the trucking, but you also don’t need the logging jobs. It all starts with buying the timber. The rates need to go up, but if we raised them, we wouldn’t be competitive.” The trucking fleet includes four Western Stars, all either 2012 or 2013 models and one 2012 Mack, all accompanied by four pole trailers and five Pitts frame Van Dusen allows crew foremen to have a say in equipment purchases. trailers. Each truck and trailer is Nacogdoches, Tex. (larger sized butts.) outfitted with a set of Vulcan on-board Markets Occasionally he’ll send sawlogs to electronic scales. Van Dusen tries to run Like most, Cypress River tries to smaller mills in Louisiana. the lighter pole trailers as much as posmarket wood as close to where they are In regards to sorts, Van Dusen simsible, figuring they save him about $1 cutting as possible. “With fuel rates and ply says, “We sort ourselves silly.” per ton. He also cites the problems he trucking shortages, we try says he encounters with frame trailers: to stay as close as we can. There are “Out of five, one of them is always in Succession Plan times we’d like to haul somewhere the shop for something—tires, brakes, because timberwise it would be better, Most Cypress River employees are cracks in the bolsters; it never stops.” but we don’t have the trucks to do it—it over 40. Van Dusen’s son, Graham, a Truck fuel is purchased from variwould hurt the logging job. We’ll take a recent Baylor graduate, has been ous places, namely co-op stations, little less money to get three loads a working with the company in the sumVelvin Oil in Henderson, Tex. and day to keep logging costs down.” mer for a few years and recently came Pete Mc Carty Oil Co. in Marshall, Hardwood pulpwood is taken to IP on full time. “I told him there was a Tex. Trucks are usually always close in Texarkana, Tex.; hardwood sawlogs future for him in the woods because to one of those depots, Van Dusen are taken to Ward Timber Co. in Linthere aren’t a lot of young people,” says, allowing him to give the drivers den, Tex.; pine pulpwood goes to Van Dusen explains. swipe cards to simply cover the fuel. either LP at Carthage, Tex. or IP in He has also made sure that his son “I used to give driver’s credit cards to Valliant, Okla., Domino, Tex. or has learned the things he doesn’t fuel up wherever they wanted but that Mansfield, La.; pine sawlogs go to know, like how to operate machines, didn’t work out very well. Got to West Fraser in Henderson, Tex. in addition to cruising timber and where I was buying too many cigakeeping up with paperwork. TH (smaller sized butts) and Cal-Tex in rettes and lottery tickets,” he explains. 24
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Mark and Sherry Crawford, married 47 years: partners in logging and life.
DanShell
W
ith a summer full of major wildfires that scorched 200,000 acres in his home county in northern California—including a couple hundred acres of his own property—Mark Crawford, founder of Mark Crawford Logging, will spend most of the season working around fire issues and activities. As of early September fires were still burning in Siskiyou County, with one major fire growing to 151 square miles. More than $50 million had been spent fighting it. Meanwhile, two of Mark Crawford 26
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Logging’s three crews were in the thick of it, with one just beginning a large salvage job on a burn site, and another knocked out of the woods temporarily because of fires in the area—needing only a few days to finish up the interrupted green timber job before starting another salvage logging job on burned private land. “We get a little better rate for the salvage work because of the dusty and dangerous conditions,” Crawford says. “Both of the new jobs are salvage jobs. A lot of the fire damage this year has been in young timber stands.”
Crawford’s two sons, John and Cade, each supervise one of the crews, with Vernon Layton overseeing the third. The company specializes in cable logging, primarily with modified American 599 swing yarders running sail guys for road logging in tight conditions on steep slopes. (Three Washington 188 swing machines are kept and used for longer spans and larger timber when needed.) The Americans are modified with larger winches and bigger engines, such as the 599 swing yarder with 871 Detroit engine and six-speed Allison transmission. “This
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John, left, and Cade Crawford each supervise one crew.
gives us higher RPMs and better line speed,” Cade says. Currently, Mark Crawford Logging is hauling to Timber Products Co. in Montague, Sierra-Pacific in Redding, Boise Cascade in Medford, Ore. and Rough & Ready Lumber in Cave Junction, Ore. The logging company doesn’t use any mechanical falling equipment: Most of their work is on steep ground, and despite more smaller timber than in the past, there’s still lots of oversize trees that require chain saws. “We log a lot of remote areas, steep draws with no roads that just aren’t conducive to mechanical felling,” Cade says. Mark Crawford Logging employs two hand fallers, but also uses the services of several contract fallers when needed. “The diameters we’re working with can really change,” Cade says, noting there’s plenty of pockets of larger timber in second-growth stands on the ground they work. The variability in timber diameters is one reason Mark Crawford Logging moved toward Risley Cobra fixed head processors after starting out with a dangle-head version. The
The company runs three crews currently but has spare equipment for more if needed.
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Crawford runs three Risley Cobra fixed head processors for handling wide variety of diameters.
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The company employs 50 at the height of logging season.
machine. A Deere 648G skidder, Cat 528 skidder and Danzco pull-through delimber round out the primary and major spare equipment that allows Crawford Logging to operate four or more crews if needed. The company operates one logging truck that’s also used for cleanup and lowboy work. Much of the log hauling is handled by a longtime local contract hauler, Mark Morgan Trucking, who also performs dispatch duties for Crawford’s log truck needs. Overall, Crawford uses 10-15 log trucks daily.
Background
company now runs three Risley Cobras. “We went with the fixed heads because you can really grab the log, heel it up and get more control over it,” Cade says, adding that the Risleys they’re using can also handle stems up to 29 in. “That works out real well for us,” he adds. Tight operating conditions and roadside logging lend themselves to swing machines for yarding: “Out here we have steep, narrow roads, and not much room to set up a tower,” Crawford says. “We ended up with swing booms and the landings in the road because every turn has to swing into the road.” 28
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A typical crew’s equipment lineup is one of the yarders plus an excavator with processor head and a log loader, along with support equipment that fits the terrain or application. In addition to the Washington and American swing machines, Mark Crawford Logging has three processors mounted on Cat 325, Madill 2800 and Link-Belt 290 machines, respectively. Loaders include a Madill 2800, Deere 2154 with Jewell grapple, Deere 690, Hitachi 200 and a Prentice 410. A lineup of Cat dozers used for road work and tailholds includes a high-track D5, D7G and D7, along with a Deere 850
Operating such a fleet of equipment across multiple crews was just a dream decades ago when Crawford was starting out. Raised by a timber faller, Gene Crawford, who had begun his career in the 1920s with crosscut saws, Mark Crawford was cutting firewood and hauling it himself in his father’s pickup at age 14. After graduating in 1969 from the Oregon Institute of Technology in Klamath Falls while working as a timber faller in the summer, he had a degree in highway engineering and surveying and found himself working with a highway surveying crew. Once they found out Crawford could run a chain saw he was assigned to work in the brush—for less money than he’d made timber falling by himself. Soon realizing that he could make more than twice as much on his own falling timber, Crawford quickly went back to work in the woods as an independent timber faller for much of the next decade. By the late 1970s Crawford had acquired a skidder and was doing small scale Cat logging, buying a few small timber sales. He had also begun operating a small one-man sawmill with a partner. “After I had worked for a bunch of loggers as a timber faller, I said to myself if they can do it so can I,” Crawford says, remembering the days when he was just starting out on his own. A big break came in 1987, following a large fire in the Happy Camp area, which resulted in lots of large timber sales on the market. “I was thinking of getting into cable logging anyway, and here was the chance,” Crawford remembers. He started out with a Washington 188 swing boom yarder, plus an American 599 swing machine with built-up drums allowing 1,500 ft. reach; the Washington
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machine could reach out 3,000 ft. “There were hundreds of millions of board feet to be salvaged, and back then they actually sold the timber; now they just let it rot,” Crawford says, adding, “I was a neophyte in the business and it took some learning but we finally pulled it together.” The logging company worked in the burn area for several years, then watched the industry turn downward in the late ’80s and early ’90s as the spotted owl and old-growth timber controversies hit the U.S. West hard. “They shut down all the national forest timber and the price of stumpage went through the roof with all the mills bidding against each other trying to get logs,” Crawford remembers, adding that the situation was a good one for private landowners as log prices skyrocketed. In fact, Crawford moved into buying and selling timberland at the time, made a few good deals and plowed much of his profit back into the logging business. “We’ve worked 10, 12 and 14 hour days ever since, for the better part of 30 years,” Crawford says.
Mark Crawford Logging tries to do as much service/repair work as possible on its own.
Issues Crawford Logging operates in perhaps the most regulated timber harvesting jurisdiction in the world—California. Working through such conditions is one of the biggest challenges of all. And first among the problems created by regulations is the seasonal nature of the logging season brought on by winter shutdowns due to water quality and other environmental issues. Lack of year-round work makes it almost impossible to maintain, much less grow, a stable and qualified work force. “This company is like a big machine you have to get rolling to pull all the men and equipment together to bang out six or seven loads a day of production on each crew, then you’re told you can’t work again for four months because of water quality or fish habitat or other environmental issue,” Cade says. “That’s one of the hardest parts of the business,” he continues. “Then we have to lay off employees and try to find them again next year.” A small group of employees look forward to the time off and spend the winter hunting, cutting firewood or doing odd jobs. Others work on equipment or in Crawford’s scrap metal Foremost Authority For Professional Loggers
Tight operating conditions roadside logging. Note loading with processor.
operation. But more than a few find work elsewhere. “We’ve lost employees to the government or other jobs with better pay and benefits, including guys who were really good for our business,” Crawford says, adding that seasonality and resulting lack of cash flow precludes the ability to offer health insurance. This year’s logging season is a good example: Crawford says he’d be running four crews if he could find the employees.
Operations Aiding the weather- and regulation-shortened logging season is Crawford’s scrap yard, which was opened at the logging shop in Yreka just off I-5 interstate six years ago. The operation has grown, benefiting from the metals market, and has boosted off-season business activity and cash flow. “It’s grown and we’ve had to hire two people,” Crawford says, noting SEPTEMBER/OCTOBER 2014
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that the scrap operation also gives the logging company an office presence during regular business hours. “We have people in the office answering the phone, and they can also answer logging questions,” Crawford says. “It’s been a real help and rounded out our business.” Crawford Logging employs 50+ at the height of logging season, including Mark’s wife of 47years, Sherry, and two part-time employees who work at the office.
“She works on our stuff day and night, and she’s really a night owl who works best late in the evening,” Mark says. “After the phone quits ringing is when she really goes to work.” In addition to her duties with the family business, Sherry has for years worked in the community and industry, serving on the Siskiyou County Board of Education, California School Board Association Board of Directors and Fairchild Medical Center Board of Directors. She’s also
The company uses 10-15 contract trucks daily
been President of California Women in Timber. The company has been a member of Associated California Loggers for 30 years, where Sherry serves as a director. The company is also a supporter of the California Forestry Challenge, a competitive forestry event for high school students that introduces students and teachers to sustainable forest management and offers hands-on TH learning experiences.
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Dust&Rust
Mall Felling Tools Around the middle of the 20the century Mall Tool Co. promoted its line of chain and circle saws in the timber trade journals of the day, touting their speed, ease of use and economy over other felling and bucking methods. The company offered four models, including the so-called one-man chain saw and the brutish two-man model. According to the ad, capacities ranged “from 18 inches to 12 feet.” A two-man saw with a 12-foot bar? It’s true. Other chain saw makers of the period, including Titan, offered 12 footers as well.
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DownTime Children Answer Questions The following are actual answers to history and Sunday school quizzes given by children aged 8-10. ● Ancient Egypt was old. It was inhabited by gypsies and mummies, who wrote on hydraulics. They lived in the Sarah Dessert. The climate of the Sarah is such that all the inhabitants have to live elsewhere. ● Moses led the Hebrew slaves to the Red Sea where they made unleavened bread, which is bread made without any ingredients. Moses went up on Mount Cyanide to get the 10 commandos. He died before he ever reached Canada but the commandos made it. ● Solomon had 300 wives and 700 porcupines. He was an actual hysterical figure as well as being in the Bible. It sounds like he was sort of busy too. ● The Greeks were a highly sculptured people, and without them we wouldn’t have history. The Greeks also had myths. A myth is a young female moth. ● Socrates was a famous old Greek teacher who went around giving people advice. They killed him. He later died from an overdose of wedlock, which is apparently poisonous. After his death, his career suffered a dramatic decline. ● In the first Olympic Games, Greeks ran races, jumped, hurled biscuits, and threw the java. The games were messier then than they show on TV now. ● Julius Caesar extinguished himself on the battlefields of Gaul. The Ides of March murdered him because they thought he was going to be made king. Dying, he gasped out, “Same to you, Brutus.” ● Joan of Arc was burnt to a steak and was canonized by Bernard Shaw for reasons I don’t really understand. The English and French still have problems. ● Queen Elizabeth was the “Virgin Queen.” As a queen she was a success. When she exposed herself before her troops they all shouted “hurrah!” and that was the end of the fighting for a long while. ● It was an age of great inventions and discoveries. Gutenberg invented removable type and the Bible. Another important invention was the circulation of blood. ● Sir Walter Raleigh is a historical figure because he invented cigarettes 34
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and started smoking. ● Sir Francis Drake circumcised the world with a 100-foot clipper, which was very dangerous to all his men. ● The greatest writer of the Renaissance was William Shakespeare. He was born in the year 1564, supposedly on his birthday. He never made much money and is famous only because of his plays. He wrote tragedies, comedies, and hysterectomies, all in Islamic pentameter. ● Writing at the same time as Shakespeare was Miguel Cervantes. He wrote Donkey Hote. The next great author was John Milton. Milton wrote Paradise Lost. Since then, no one ever found it. ● Delegates from the original 13 states formed the contented Congress. Thomas Jefferson, a Virgin, and Benjamin Franklin were two signers of the Declaration of Independence. Franklin discovered electricity by rubbing two cats backward and also declared, “A horse divided against itself cannot stand.” He was a naturalist for sure. Franklin died in 1790 and is still dead. ● Abraham Lincoln became America’s greatest precedent. Lincoln’s mother died in infancy, and he was born in a log cabin that he built with his own hands. Abraham Lincoln freed slaves by signing the Emasculation Proclamation. On the night of April 14, 1865, Lincoln went to the theater and got shot in his seat by one of the actors in a moving picture show. They believe the assassinator was John Wilkes Booth, a supposedly insane actor. This ruined Booth’s career. ● Johann Bach wrote a great many musical compositions and had a large number of children. In between he practiced on an old spinster which he kept in his attic. Bach died from 1750 to the present. Bach was the most famous composer in the world and so was Handel. Handel was half German, half Italian and half English. He was very large. ● Beethoven wrote music even though he was deaf. He was so deaf that he wrote loud music and became the father of rock and roll. He took long walks in the forest even when everyone was calling for him. Beethoven expired in 1827 and later died for this. ● The 19th century was a time of great many thoughts and inventions.
People stopped reproducing by hand and started reproducing by machine. The invention of the steamboat caused a network of rivers to spring up.
Arms Race Dogfight At the height of the arms race, the Americans and Russians realized that if they continued they would someday end up destroying the world. So, they sat down and decided to settle the whole dispute with a dogfight. The negotiators agreed that each country would take two years to develop the best fighting dog they could. The dog that won the fight would earn its country the right to rule the world. The losing side would have to lay down its arms. The Russians found the biggest, meanest dobermans and rottweilers in the world. They bred them together and then crossed their offspring with the most vicious Siberian wolves. They selected only the biggest, strongest puppy from each litter, killed the other puppies, and fed the remaining puppy all of the milk. They used steroids and trainers in their quest for the perfect killing machine. When the day of the big fight arrived, the Americans showed up with a strange dog—a nine-foot-long dachshund that had an enormous head. Everyone felt sorry for the Americans; no one thought this weird dog would stand a chance against the growling best in the Russian camp. The bookies predicted the Russians would win in less than a minute. The cages were opened. The dachshund waddled toward the center of the ring. The Russian dog leapt from his cage and charged the giant wiener dog. When he got within inches of the American dog, the dachshund opened its mouth and swallowed the Russian beast in one bite. There was nothing left but a small bit of fur from the dog’s tail. The Russians approached the Americans, shaking their heads in disbelief. “We do not understand. Our top scientists and breeders worked for years with the meanest, biggest dobermans and rottweilers. They developed a killing machine.” “Really?” the Americans replied. “We had our top plastic surgeons working for years to make an alligator look like a dachshund.”
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EquipmentWorld
Ponsse Launches Scorpion Harvester In North America JAY DONNELL
T
he Ponsse Scorpion “world tour” arrived in the U.S. on August 8 as Ponsse hosted a gathering of dealers, customers and media representatives at its North American headquarters at Rhinelander, Wis. Ponsse held a demonstration of several of its machines, but the new Scorpion King cut-to-length harvester was the main attraction for the several hundred in attendance at the 11 acre demo site. Festivities continued following the demo that evening with a dinner and a band at the Holiday Acres Resort. Headquartered in Finland, Ponsse introduced the Scorpion harvester line at the 2013 Elmia Wood fair. Serial production of the harvester commenced at Ponsse’s Vierema factory at the beginning of 2014. The Scorpion harvester received the “Quality Innovation of the Year” prize earlier this year in Stockholm, Sweden. Ponsse Oyj President and CEO Juho Nummela believes the Scorpion is totally different than anything Ponsse has ever manufactured. “The symmetrical structure of the cabin and the crane makes this a totally different piece of equipment,” Nummela says. The Scorpion harvester emphasizes user-friendly operation. For example, since the cabin is located in the middle
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Ponsse’s Scorpion Harvester makes its debut in the U.S.
The Scorpion’s unique cabin structure makes it extremely user-friendly.
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EquipmentWorld of the machine, the driver can easily see to the extremes of even dense thinning routes. The driver is also positioned in the middle of the cabin’s turning circle. This has a significant effect on comfort as the driver doesn’t feel like he’s on a carousel. The frame of the machine consists of three parts linked by rotating joints. The cabin is located in the middle frame, which is kept hydraulically leveled, while the front and rear frames tilt according to the terrain. As a result, the pivoting point is as low as possible, which minimizes tilting and also helps to prevent the driver from swaying sideways. Product development was guided by goals adhering to sustainable development and environmental friendliness in combination with maintenance efficiencies, according to Nummela. Maintenance intervals are longer than usual, meaning less waste oil and overall reduced maintenance waste. The harvester features the new, low emission Euromot 4F level 6-cylinder Mercedes-Benz engine technology. And the machine’s low surface pres-
Foremost Authority For Professional Loggers
A large crowd watched the Scorpion in action.
Ponsse put together a great weekend event.
sure levels are reached as the harvester’s weight is divided evenly onto eight wheels. The stability of the Scorpion comes from its eight wheels and active stabilization system, which is based on detecting the direction and position of the crane, and then pressing the rear frame in the direction of work. Pressing the rear wheels against the ground and the weight of the rear frame improve the machine’s stability significantly when working on one side, including when the machine is moving.
Nummela believes these new features set the Scorpion apart from any harvester on the market. “This is just out of the box and totally different. We wanted to make a machine with no compromises and we wanted to make it the Ponsse style,” Nummela explains. The harvester performs with several Ponsse harvester head models, with three feed rollers or two, and with multiple opening ranges, beginning at nearly 21 inch. Ponsse’s OptiControl systems manages hydraulics, including the crane and harvester head pumps.
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EquipmentWorld
Tigercat Industries Breaks Ground For Manufacturing Facility Tigercat recently broke ground for a $12 million, 127,000 sq. ft. manufacturing facility in Paris, Ontario, Canada. Several hundred employees, community officials, Tigercat partners and supporters attended an official ceremony in early August to mark the start of construction. Tigercat also announced the purchase of an existing 66,000 sq. ft. plant in Kitchener, Ontario. “This is a significant milestone for our company,” states Tigercat is expanding its manufacturing footprint by 20%. President Tony Iarocci. Tigercat has seven southern Ontario locations, a large parts distribution and training center in Georgia, a sales and distribution facility in Sweden and a dealer network that spans the globe, covering the forestry regions of North America, South America, Australasia, southern Africa, Europe and Russia. The new building will be located on the same property as the current Paris facility, on a previously vacant lot at the northwest corner. The plant will initially focus on swing machines and cut-to-length attachments including the 200 series material handlers and the 800 series track feller-bunchers, harvesters and shovel loggers. “These two projects will increase the company’s manufacturing footprint by 20%, “Iarocci says. “The space is urgently needed for existing demand and future growth. We already have over 1,200 employees and 200 or 300 more subcontractors.” Vicano, the construction company hired for the project, will be including numerous crane lanes and flexible assembly lines, along with a large office space for an engineering group, allowing the building to be flexible for future projects.
Peterson Celebrates Special Delivery Peterson Pacific Corp. has delivered its 2,000th machine to come off the production line to Tabeel Trading, based in Australia. The milestone machine is a Peterson 5000H delimber/debarker/chipper, which produces low-bark-content chips for wood pulp and pellets. “Reaching this milestone delivery is a testament to the capabilities of the 5000H, and our commitment to con-
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tinuous innovation,” says Larry Cumming, president of Peterson. “The new 5000H is delivering on its promise to our customers, and we continue to look at ways to make it even more efficient in the future.” Peterson hosted a special delivery ceremony on-site in Eugene for its employees. The 2000th machine was adorned with a special logo and the U.S. and Australian flags. Peterson has a long standing relationship with chipping operations in Australia.
Vermeer Announces Succession Plan As part of its family succession planning process, Vermeer Corp. announced that third-generation family member, Jason Andringa, will serve as the company’s next President and CEO effective November 1, 2015. Currently he is assuming the role of President and Chief Operating Officer for one year, when he will transition to the role of President and CEO. He currently serves as president of Forage and Environmental Solutions. “Gary Vermeer, my grandfather and Vermeer founder, was very influential for me personally and professionally,” Andringa says. “I am honored to have the opportunity to lead Vermeer as a family-owned and operated, global company into a prosperous future.” Mary Andringa, current President and CEO, will assume the role of CEO and Chair of the Board November 1, 2014. She will transition exclusively to Chair of the Board on November 1, 2015. Bob Vermeer, current Chairman of the Board, will assume the role of Chair Emeritus.
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BuildingBlocks
Telematics: Your Link To Equipment Cost Savings CHRIS ROWAN Product Support Training Manager Cat Dealer Thompson Machinery
Some ways that telematics can help you spend less on your equipment: Reduce idle time: For an average size machine, idle time is the equivalent of throwing a dollar bill on a fire every four minutes. One of my customers allows one hour of idle time a day for warm up and cool down in the morning and at lunch. (They shut down their machines at lunch.) Through VisionLink™, the user interface for Caterpillar’s telematics system, he found an operator had run a mid-size dozer for 40 hours one week, with 22 of those hours running at low idle. At about five gallons an hour and roughly $3 a gallon for off-road diesel, the operator had cost his company $330 that week. The operator was asked to find employment elsewhere. Reduction of catastrophic failures: If the telematics system is capable of “talking” to the machine’s electronics, it can report Level 2 and Level 3 fault codes, emailing them directly to the owner or fleet manager. Recently, a customer had a machine that had three Level 3 fault codes for the transmission overheating. Not only did he receive three emails, he received a phone call from Caterpillar asking him to shut down the machine. The cus-
To remain competitive successful loggers are always trying to find ways to boost production or reduce expense, to either sell more or spend less. The key to finding ways to do either is Chris Rowan more information. Telematics, or remote reporting of equipment information through satellite or cellular service, can generate the information a business needs to sell more and spend less. Many forestry equipment manufacturers are now offering a telematics option on their products and some of them come standard. Telematics installed by the OEM as a standard option will often be less expensive than a retrofit, and it is certainly hard to beat the convenience; however, a quick search of the internet will turn up aftermarket telematics vendors who can provide varying degrees of information on your equipment. At its heart, a telematics system includes hardware For an average size machine, idle time and software that is the equivalent of throwing a dollar provides information ranging from bill on a fire every four minutes...an the location of your operator had run a dozer for 40 hours, equipment all the with 22 of those hours at low idle; he way up to comhad cost his company $330 that week. plete diagnostics of all machine components, including fault codes, event codes, preventive tomer found the operator had delibermaintenance due, and so on. Many of ately overridden the fault codes and these systems include a controller continued to operate the machine. This installed on the machine that commuoperator was also asked to find nicates via a satellite link to the vendor employment elsewhere. The problem or manufacturer’s computers. The was corrected and the transmission did equipment owner is then able to access not suffer a catastrophic failure. the information on a web site from Fleet tracking: Eliminate wasted anywhere in the world, even via smart trips to refuel a machine that isn’t phone. Some telematics systems use there; no more phone calls to five difcellular service rather than satellite. ferent people trying to track down a This can be less expensive depending machine that’s due for service. You on options, but may come at the cost of know where every machine is. less reliable communication due to Uptime: Most telematics systems gaps in cell coverage. can determine the number of hours run Foremost Authority For Professional Loggers
by a machine, and many have a maintenance tracking system. Say farewell to missing a service and running with dirty air filters. Preventive maintenance can more easily be done regularly, on schedule, and at a time that doesn’t interfere with productivity. Cost per hour calculation: Telematics capable of tracking fuel burn and maintenance intervals can help you figure out how much it costs to keep a machine productive. Armed with this information, you can make better decisions about whether to rebuild a machine coming to the end of its life or to purchase a new one. If you decide to go new rather than rebuild, you’ll have good data to decide what size, make or model machine to buy. Like any information you gather about your business, telematics only provides value if you act on it. If your equipment came standard with telematics, you are already a long way toward selling more and spending less. TH
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InnovationWay Prentice 2864C Site Prep Tractor
The new Prentice 2864C site prep tractor is a multi-purpose, heavy-duty machine with the muscle to run powerhungry mulchers and brushcutters. The C Series replaces the A Series and incorporates technical advances from the Prentice C Series wheel feller-buncher, including a new engine and machine design that delivers more horsepower while using less fuel. Applications for the tractor include residential/commercial development, land management, right-of-way construction and maintenance; wetlands and wildlife habitat management; plantation reclamation and management and clearing for flood control and firebreaks. “You can tackle a variety of projects with one machine, lowering your owning and operating costs,” says Matt McDonald, Caterpillar Forest Products product specialist for the site prep tractor. Work tools have been developed to match the capability of the 2864C. The Prentice MR-244 brushcutter and the new Prentice MD-250 mulcher are available from the factory and supported by Prentice dealers. The PowerDirect Plus system optimizes performance by monitoring operator and attachment hydraulic demand and delivering power where and when it is needed. The 350 HP engine and oversized hydraulic system push more flow to the attachment for faster recovery without slowing other functions. The high capacity cooling system and on-demand reversing fan keep the machine running cool. The oversized, hydraulically driven fan spins at a slower speed overall and only turns as fast as needed to maintain proper hydraulic and engine temperatures. The machine is segmented into separate compartments that are pressurized to prevent debris from entering. The pressurized airflow also keeps electronics, sensors and other key components cool during long workdays. The cab is positioned between the axles for a stable, smooth ride. A clean three-piece front windshield, standard back-up camera and skylight provide a 360° view. The standard air suspension seat with neck and back support and high capacity HVAC system add to operator comfort. 1351 Visit prenticeforestry.com.
AFEX Fire Suppression System AFEX Fire Suppression Systems are designed and purpose-built to protect heavy off-road equipment from the threat of fire. At the heart of these critical safety attachments is the AFEX Control Unit, which combines the latest in 40
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microprocessor technology with durability, resulting in the ultimate fire suppression system control and performance. Audible and visual signals alert the operator to any problem or alarm conditions. These alerts are stored on the control unit’s internal log for subsequent troubleshooting and are shown on the LCD display in the local language, meaning they can easily be reviewed directly on the machine itself. The AFEX Control Unit enables asset managers to track a fire suppression system’s status alongside other key operating metrics quickly and conveniently. Using dedicated outputs from the AFEX Control Unit and inputs on the telematics system, end users can monitor for problem, alarm and discharge status. Beyond that, for autonomous vehicle applications, the AFEX system can be configured to discharge when signaled by the vehicle remote control. The AFEX Control Unit now has over two years of fieldproven application in the mining, waste, and forestry industries. Compact enough for console mounting, the box itself is tightly sealed to protect the internal components, and its battery provides a year of stand-alone power. It utilizes a customizable harness with standardized connectors for efficient/affordable installations and watertight connections. 3634 Visit afexsystems.com.
Fecon Log Jaw Wood Splitter Fecon, Inc. offers an excavator-mounted Log Jaw Wood Splitter to its forestry attachment product line. The Log Jaw is a hydraulic-powered wood splitting attachment that is also made for skid steers and loaders. The Log Jaw will rip apart long, large diameter logs and stumps into manageable pieces for chippers, wood grinders or for firewood processing. The Log Jaw is Fecon’s low cost, highreturn solution for handling oversized and difficult to process logs and stumps that would otherwise require expensive disposal fees. Splitting logs into optimally sized pieces improves the efficiency and production of chippers and grinders, while putting less stress on and requiring less horsepower from the processing equipment. The Log Jaw attachment, weighing approximately 995 lbs. mounted on an excavator, has a 40 in. jaw opening (tip to tip) and 360° of rotation, allowing the operator to attack TIMBER HARVESTING & WO OD FIBER OPERATIONS
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InnovationWay oversized wood from any angle. Made for 8 to 16 ton excavators, a mount will be built to your excavator’s specifications for easy installation. Visit fecon.com. 4546
Allison Transmission FuelSense Kenworth offers Allison’s FuelSense packages for new Kenworth Class 8 and medium duty trucks specified with Allison Highway Series and Rugged Duty Series automatic transmissions. Allison’s FuelSense is a package of software and electronic controls that target critical components of a truck’s duty cycle to help enhance fuel savings. FuelSense incorporates features that automatically adapt shift schedules and torque, maximizing transmission efficiency based on load, grade and duty cycle while maintaining performance. FuelSense is available in three packages, each featuring Allison’s new fifth generation electronic controls. The controls are designed to improve fuel economy. The base package includes EcoCal and Dynamic Shift Sensing. EcoCal works to lower engine speed. Dynamic Shift Sensing automatically selects between EcoCal and a higher shift speed schedule based on the truck’s load and grade on which it is operating. In addition to those features, the FuelSense Plus package adds Neutral at Stop, which eliminates load on the engine when the vehicle is stopped to help reduce non-productive fuel consumption. For top fuel efficiency, the FuelSense Max package adds Acceleration Rate Management. That management feature automatically controls the engine torque and is available in base, high and ultra economy 3633 options. Visit allisontransmission.com.
Vermeer Forestry Tractor/Mulcher
sistent-sized chips compared to non-ringed rotors. Four different tip options allow the ringed rotor configuration to be adjusted to match several different applications and environmental conditions. The fully enclosed cab protects the operator from outside dust and wood particles while the FT100 is in operation. The cab is pressurized and circulates filtered air for operator comfort. A rearview camera with in-cab monitor comes standard, providing added visibility to enhance maneuverability. The machine is now available through the Vermeer glob3435 al dealer network. Visit vermeer.com.
Intelligent Boom Control On JD Forwarder Intelligent Boom Control (IBC) is now offered as an option on all of John Deere’s 1110E forwarders. It increases forwarder productivity and efficiency while providing best possible fuel economy and boom lifetime. IBC operates the boom with more precision, making it easier for the operator,and easier on the equipment as well. The operator controls the boom tip directly instead of controlling each of the independent boom joint movements manually. This makes boom operation accurate, fast and easy. By eliminating extra movements, this system also increases the durability of boom structures and hydraulic cylinders. These features significantly improve an operator’s working speed, resulting in higher overall productivity and lower costs. The IBC system can also accelerate the learning curve for operators. Intuitive and easy to learn to use, the technology reduces the amount of time it takes to become a skilled operator, resulting in less training time. In addition to the John Deere’s 1110E forwarder, IBC is offered as an option on John Deere’s 1210E and 1510E forwarders. Visit johndeere.com. 495
GEM 404 Harvester Bars
Vermeer offers the FT100 forestry tractor equipped with an above-ground mulcher. The FT100 is designed for tree care and land-clearing contractors who work mostly in residential and municipal clearing applications. The FT100 is a 111 HP (82 kW) Tier 4 Interim (Stage IIIB) skid steer loader with a forestry mulcher attachment. The hydraulic system on the FT100 optimizes the horsepower delivered to the mulching head and provides improved hydraulic component life by utilizing a higher flow with less pressure. The mulcher attachment features a ringed rotor design for controlled depth of cut. The ringed rotor has 18 disks with 17 interchangeable tips to help achieve smaller, conForemost Authority For Professional Loggers
GEM has introduced its own line of 404 harvester bars, which are made from the premium grade raw materials and through the same exacting CNC manufacturing processes that distinguish its 3⁄4" bars. All GEM 404 bars have a replaceable external tip and are powder coated a bright white to provide maximum visibility. They are available in 59cm, 64cm, 75cm and 90cm, with more lengths and mounts coming soon. GEM Chain Bar, original manufacturer of the raised tooth 3⁄4" pitch rim sprocket, is now offering a 404 rim sprocket with the same raised tooth and tapered cleanout design. These sprockets are available in 11, 12, 13, 14, 15 and 16-tooth design with a 25mm bore. More bore sizes are coming soon. GEM also repairs all makes of both 3⁄4" pitch and 404 harvester bars. Visit gemchainbar.com or phone 800-4558153 8471. SEPTEMBER/OCTOBER 2014
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Call or visit our website: www.tidewaterequip.com SKIDDERS
2001 Deere 648GIII .........................$40,625 2008 Deere 648H ............................$85,500 2008 Deere 748H ............................$82,500 2010 Deere 648H ..........................$100,000 2005 Deere 748GIII .........................$57,000 2012 Deere 748H ..........................$165,500 2007 Tigercat 610C.........................$68,750 2011 Tigercat 610C.......................$133,500 2004 Tigercat 620C.........................$67,500 2005 Tigercat 620C.........................$66,000 2003 Tigercat 630C.........................$40,000 2004 Tigercat 630C.........................$65,625 2005 Tigercat 630C.........................$60,000 2010 Tigercat 630D.......................$140,000 2005 Timberjack 460D....................$50,000
FELLER BUNCHERS
2011 CAT 563 ................................$119,900 2009 Deere 643J .............................$85,000 2007 Prentice 2470 .........................$54,000 2008 Prentice 2470 .........................$81,250
2008 Prentice 2570 .........................$95,000 2006 Tigercat 718 ...........................$65,000 2012 Tigercat 718E .......................$192,000 2012 Tigercat 718E .......................$179,500 1998 Tigercat 720B.........................$30,900 2006 Tigercat 720D.........................$78,500 2005 Tigercat 724D.........................$85,200 2005 Timberking TK340 .................$15,000 2004 Timberking TK360 .................$58,000
LOG LOADERS
2008 Barko 495ML..........................$70,000 2005 Deere 335C ............................$27,500 2010 Prentice 2384B ......................$88,900 2005 Prentice 280 ...........................$45,000 2006 Prentice 280 ...........................$45,000 2004 Tigercat 230B.........................$37,500 2006 Tigercat 230B.........................$45,000 2004 Tigercat 240B.........................$45,000 2005 Tigercat 240B.........................$55,000 2006 Tigercat 250 ...........................$85,000 2007 Tigercat 244 ...........................$79,900
INDUSTRIAL EQUIPMENT
2010 CSI FDT6000 ..........................$51,875 1997 MORBARK 22 ........................$60,000 2009 MORBARK 40/36 NCL DRUM CHIPPER...................................$212,500 2009 MORBARK 40/36 NCL DRUM CHIPPER...................................$250,000 2010 MORBARK 4600XL ..............$413,000
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• 1998 721EX5 Hydro-Ax, 220HP, recent new engine, high flow pumps for shredder, 30.5x32, 9490 hours • 1996 Rayco 275 stump grinder, new undercarriage, 4500 hours and working • 1985 John Deere 4450 tractor, clean, 9100 hours
1990 CAT 926E; sn 4NB03035; 16,842 Hours; Quick Coupler; Bucket & Forks; 20.5 x 25 Tires; MACHINE REBUILT @ Approximately 13000 Hours ..............................................$39,900
2000 PETERBILT 379EXHD; N14 Cummins Engine 525 hp; 13 Spd; Air Ride Suspension; Fuller Transmission; Unibilt Sleeper; Train Horns ..............................................$36,900
2003 CAT 517; sn 5WW0231; 2,369 Hours; Track Drive; ESCO Grapple and Winch; 75% U/C; Open Cab; 24" Pads; With Stump Rail on Outer Track ............................................$159,500
2003 TIGERCAT 822; sn 8220176; 7,163 Hours; Track Drive; New Engine with Only Approx. 400 Hours; 0% Tail Swing; 5401 Tigercat Felling Saw with Side Bunching Pocket; Internal Tilt Saw Head; 95% U/C ......$144,500
2004 TIGERCAT 718; sn 7180549; 2005 TIGERCAT 620C; sn 6200610; 12,590 Hours; Tigercat 5000 Saw- 9,744 Hours; 30.5 x 32 Tires head; 0 Hours on Rebuilt Engine; 30.5 ..............................................$84,500 x 32 Tires...............................$49,900
Call Carl Kopocs 216-244-4413 or Jared Kopocs 216-244-4450 2005 TIGERCAT 724D; sn 7240772; 2007 TIGERCAT 724E; sn 7241219; Tigercat 5600 Sawhead; 30.5 x 32 6,251 Hours; Center Post Sawhead; Tires ......................................$79,500 New Saw Teeth; 28L x 26 Tires ............................................$104,900
2010 PRENTICE 2384B; sn PR63925; 7,520 Hours; with 426 CSI Delimber Mounted on Kodiak Trailer with Hydraulic Legs ............$114,900
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SelectCuts As We (ALC) See It
The Importance Of Consistent Leadership BRIAN NELSON The success of any organization or business is directly related to the quality of its leadership. No matter how good of a product you produce, service you provide, or vision you have, you still need the leadership of quality individuals to pull it all together. Looking back at the leaderNelson ship that the American Loggers Council (ALC) has enjoyed over the years and the strides that have been made, I can’t help but feel proud to have been a part of the vision that our founders had for the ALC—a “National Voice for Professional Loggers” in this country. The ALC has accomplished many things over the past 20 years through the hard work and dedication of some of the finest loggers (and individuals) this country has to offer. I’ve always believed it was far more productive to build upon successes as opposed to trying to “reinvent the wheel” and that has been a constant through the years with the ALC leadership—building on what those before them had started. Few things, especially in the legislative arena, can be resolved in the short span of one’s term as ALC president, making it all the more important to build upon those successes. It’s hard to believe that my term as president is nearly over but as that time nears I look back at what we all accomplished and question if we could have done more for our nation’s loggers. We all strive to do more, but unfortunately that is not always possible for one reason or another. We have had a very productive year nonetheless, primarily on the legislative front. After 17 years we were finally successful in getting our truck weight language of “state-legal tolerances on interstate highways” introduced into legislation, while it may not go anywhere this legislative session, we do have a bill now and will continue to work on this issue. Also we were able to get a bill drafted and introduced in both the U.S. House and the Senate to allow children of logging company owners to begin careers in Foremost Authority For Professional Loggers
the industry at the age of 16. Neither of these issues are “done deals” and both are going to take a concerted effort by all in the industry to get signed into law but I’m confident we can get it done. These are just a couple of the many issues that the ALC has been working on this past year. The ALC has been fortunate to have had the leadership it has had over the years and I count myself lucky to have been able to work with many of those leaders. I am proud to have been a small part in what ALC has been able to accomplish over the years and am completely confident in its future because of the leadership we have coming up in the next few years. This year’s annual meeting at the Island Resort and Casino in Harris, Mich. will be a special homecoming, as the very first ALC annual meeting in 1994 was held in Upper Michigan. My wife, Maureen, and I are excited to showcase the beauty of the Great Lakes and the fall colors of the UP and look forward to seeing you all in our neck of the woods. It has been an honor and a privilege to represent Michigan and all the professional loggers of this country as the ALC president. Thanks to all for the support and encouragement this past year, it was and is truly appreciated. Nelson is the current ALC president and he and his brother David own and operate Marvin Nelson Forest Products, Inc. based in Cornell, Mich. The American Loggers Council is a non-profit 501(c) (6) corporation representing professional timber harvesters in 30 states. Visit americanloggers.org or phone 409-625-0206.
ReEnergy Will Open Ashland Facility ReEnergy Holdings plans to resume operations at its biomass-to-electricity facility in Ashland, Me. The 39 MW facility, which opened in 1993, was acquired by ReEnergy Holdings in December 2011 as part of a multi-facility portfolio purchase from Boralex Industries Inc. It has
been idle since March 2011. It is anticipated that the facility will be fully operational by December. The resumption of operations will restore 25 direct jobs and an estimated 150 indirect jobs associated with the facility, many of them related to the supply of the forest residue fuel supply to the facility and additional jobs tied to local goods and services related to the facility. At full production levels, the facility purchases more than $16 million annually in fuel from local loggers. ReEnergy has achieved certification to the Sustainable Forestry Initiative Standard for its facilities currently operating in Maine and New York. ReEnergy will seek similar certification for the Ashland facility. The restart has been made possible due to a confluence of factors, including an increased need for electric grid stability in northern Maine, availability of transmission capacity, a growing need for a local outlet for mill and forest residues, and energy market changes. The facility has been maintained in a manner that will allow for a prompt return to its previous high standard of reliability, but several months of preparation will be necessary to hire and re-hire employees, build fuel supply, and assess and re-tune equipment.
Minnesota Logging Couple Die In Ontario Plane Crash Nik and Teresa Rajala, principals of Pohl Creek Logging, Cohasset, Minn., died on August 8, the result of a plane crash near Kenora, Ontario. They were on a fishing trip with a friend, Lynn Bohanon, who also died in the crash. The Rajalas founded their logNik Rajala ging business in 1998, some 90 years after Nik’s great-grandfather, Ivar, began logging in the area. His grandfather, Art, later founded Rajala CompaTeresa Rajala nies, a wood products business today guided by Nik’s SEPTEMBER/OCTOBER 2014
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SelectCuts father, Jack, and two uncles. A member of the Timber Producers Assn.’s board of directors, Nik, 41, was a devoted believer in cut-to-length harvesting, at times operating alone or with only one other machine operator. Teresa, 40, kept the paperwork side of Pohl Logging in order. Featured in the July-August 2010 issue of Timber Harvesting & Wood Fiber Operations, the business served multiple markets. Nik was a graduate of Montana State University. He joined the family business after completing college, helping manage the family’s timberland and looking after contract logging operations.
Oregon Harvested 4.2 Billion BF In 2013 Oregon’s timber harvest rose to 4.2 billion BF in 2013, marking four consecutive years of increase from the recession low of 2.72 billion BF in 2009, according to Oregon Dept. of Forestry. It represents a 12% increase over the 2012 harvest of 3.75 billion BF. Timber harvest increases can be attributed to a strong export market for Oregon logs in 2013, coupled with a domestic market recovery.
Exhibitor Manuals Out For 2015 InWoodsExpo Exhibitor manuals for the 2015 InWoodsExpo were mailed to potential exhibitors in late August. The live event, fourth in a series which began in 2004, is set for June 18-20 near Hot Springs, Ark. Theme for the show is ‘Tech Up.’ Larry Boccarossa, Executive Director of the Arkansas
September Date Set For Mid-Atlantic Expo Sponsors of the 2015 Mid-Atlantic Logging & Biomass Expo have selected the date and location for the event: September 18-19, Selma-Smithfield, NC. Preliminary plans are to stage the show near the same location used for the 2013 and 2011 shows. The event is a joint effort of the NC Forestry Assn., the NC Assn. of Professional Loggers, and Hatton-Brown Publishers. Monitor unfolding developments at midatlantic-loggingbiomass-expo.com.
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EventsMemo Listings are submitted months in advance. Always verify dates and locations with contacts prior to making plans to attend.
September 23-25—Arkansas Forestry Assn. annual meeting, Arlington Hotel, Hot Springs, Ark. Call 501-374-2441; visit arkforests.org. September 25-27— American Loggers Council annual meeting, Island Resort Casino, Escanaba, Mich. Call 409625-0206; visit americanloggers.org. September 25-27— Pacific Logging Congress annual meeting, Port Blakely Tree Farm, Molalla, Ore. Call 425413-2808; visit pacificloggingcongress.org. October 1-3—North Carolina Forestry Assn. annual meeting, Grandover Resort, Greensboro, NC. Call 800-2317723; visit ncforestry.org. October 3-5—Ohio Forestry Assn. Paul Bunyan Show, Guernsey Co. Fairgrounds, Cambridge, Ohio. Call 614497-9580; visit ohioforest.org. October 15-17—Tennessee Forestry Assn. annual meeting, DoubleTree Hotel, Oak Ridge, Tenn. Call 615-883-3832; visit tnforestry.com. 46
Timber Producers Assn. (ATPA), which has been a cosponsor of the show since the beginning, says he expects next year’s InWoodsExpo to trump the strong performances of 2004, 2007 and 2011. He cites the show’s successful history, improved demand for fiber and logs, pellet plant construction and startups, and the introduction of higher tech harvesting equipment as stimulants. Another plus, Boccarossa says, is that for the first time InWoodsExpo will incorporate on-site parking. Previously, attendees were bused in from nearby Hot Springs. “Onsite parking will be much more convenient for everybody and we’re happy that we will be able to do this in 2015,” he says. The site is the same one used for the 2011 show: a 300acre loblolly pine plantation owned and sustainably managed by Weyerhaeuser and located about 18 miles east of historic Hot Springs. For more information, visit arkloggers.com or phone 501-224-2232.
SEPTEMBER/OCTOBER 2014
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