HARDWOOD RECORD 



39 



suggestions in tlie making of tliem. These rules are now being revised 

 and tile committee of manufacturers wtLo have been appointed to draft 

 these rules covering the different industries, want our co-operation so 

 they may as far as possible avoid mistakes that might impose a hardship 

 on us as manufacturers and at the same time carry out the plan of 

 safeguarding the employe. 



Our inspection department has a very important part in our association 

 work. One of the things that the bureau of grades should now have under 

 consideration is a change in the grading of hardwood so that the lumber 

 will be graded from the good side of the piece instead of the poor side, as 

 is now the custom. Another thing is the question of standard sizes and 

 widths of hemlock in the rough and after being worked. There is an 

 effort being made throughout the United States to bring about a uniform 

 standard of working all kinds of lumber and I believe that we should 

 .ioin in this movement. 



I would recommend that the office of chief inspector be moved into the 

 office of the secretary, and while I realize the importance of having a 

 chief inspector and chairman of the bureau of grades being in close 

 touch with each other, I believe that there are many more advantages in 

 having the office of the chief inspector in that of the secretary's. 



About September first of last year it seemed to the board of directors 

 advisable that this association withdraw from the National Lumber 

 Manufacturers' Association and we tendered our resignation which 

 President Griggs refused to accept and asked that the matter be 

 deferred until the next meeting of the board of governors. I am now 

 free to confess that I believe this would have been a serious mistake, as 

 1 And the National association is doing a valuable work In many ways 

 for the lumber industry, and while we may not see some of the direct 

 benefits of the work they are 'worthy of our support and encouragement. 



The National Lumber Manufacturers' Association has had a committee 

 at work for some months on an advertising and publicity campaign. You 

 have had reports from that committee setting forth some of the things 

 that they propose to do if this is started, and I believe it will be. It will 

 require considerable money, which will be kept in a separate fund and 

 used for that specific purpose. This is a very important subject and 

 should receive our careful consideration. 



In conclusion let me impress upon you that this is your association : 

 that the results accomplished by it will depend how much we as indi- 

 viduals will put into it. Your officers can not do it all, they need your 

 hearty co-operation in the future as in the past In all of the demands 

 that will be made upon you. 



E. J. Gillouly then presented the report of the treasurer, 

 George E. Foster, which showed the following condition of the 

 association's finances: 



Balance January 28, 1911 $ 653.70 



Receipts during the year 14,425.27 



Total $15,078.97 



Disbursements 14,909.86 



Balance on hand January 29, 1912 $ 169.11 



On motion the report of the treasurer was accepted and filed. 



Secretary's Report 



Secretary E. S. Kellogg then read the following report of the 

 work of the organization during the past year: 



A few members have not yet sent in their final reports for 1911, but 

 the figures and estimates which I am able to give you, compare most 

 favorably with those presented at the annual meeting here a year ago 

 today. At that time our membership was seventy-five firms — now it is 

 eighty, notwithstanding the fact that four firms finished operations and 

 dropped out at the end of 1911, and that the contracts of three others 

 have been terminated for various reasons. We can say with confidence 

 that both the scope and the effectiveness of association work are greater 

 thaiin\at,(i'thii6 time a year ago. For this we are largely indebted to the 

 con^^eiifioQs^.unselfish attention to the demands of association activities 

 freely "bestowcsji by many members. The member who devotes the most 

 time to the furtherance of association purposes is personally the most 

 benefited by the results. It is the member who does little, and the non- 

 member who does nothing to assist us who are prone to scoff at 

 association efforts, and to say that they are of no avail. The workers 

 know better, and that something for nothing can no more be obtained 

 from the association than from other undertakings. 

 Financial Statements 

 The following comparison of estimated sales in 1911 and actual ship- 

 ments reported at the endi of the year, has proved very satisfactory to 

 the officers of the association, for the additional dues paid upon the 

 over-run enable us to enter the new year with a balance to our credit. 

 Instead of a deficit, as was feared at the beginning : 

 Estimates and Shipments, 1911 

 Hemlock 



Estimated 414,450,000 feet 



Shipped 452,914,000 feet 



Over-run — 9 per cent 

 Hardwoods 



Estimated 213,942,000 feet 



Shipped 243,808,000 feet 



Over-run — 14 per cent 



Total estimates 628,392,000 feet 



lotal shipments 696,722,000 feet 



Over-run — 11 per cent 



Gain on over-run .$1,694.92 



Making conservative estimates tor the few reports that' are lacking, 

 the statement of association income in 1911 is as follows : 



Fri'liilil rate books $ 65 00 



liisjir, tinns 829^60 



Assessniints 13,903.96 



Sundries 3 69 



'lotal $14,802.25 



There was an unexpected call for the association freight rate books 

 during 1911, so that the total receipts from sales since the publication 

 in August, 1910, has slightly exceeded the cost of compilation, printing 

 and distribution. The supply of eastern books is exhausted, and only 

 forty-five copies of the western books remain to be sold. Frequent calls 

 still como in for the eastern books which cannot be filled, since the 

 demand will not be sufficient to cover the expense of a new edition until 

 there is some general change in freight rates. 

 Association expenses in 1911 were as follows : 



Stationery and printing $ 176 86 



Postage, telegraph and telephone 466!72 



Ofliice expenses and equipment 563 42 



Sales reports 1,425!75 



Traveling expenses 3 704 30 



Salaries 7!895!91 



National Lbr. Mtrs.' Ass'n 500 00 



(Paid up to Sept. 1, 19111. 



Charged off on rate books 38 80 



Sundries soioo 



Total .14,801.78 



The auditor has checked the monthly expense books of the Inspectors 

 and secretary and found them correct. The secretary's records of re- 

 ceipts and expenditures agree with those of the treasurer, and the books 

 were in balance last week, so it appears safe to say that the financial 

 transactions of the association during the year were properly recorded. 



Making conservative estimates for the few final reports not yet re- 

 ceived, the resources and liabilities of the association at the beginning 

 of 1912 were approximately as follows : 



Resources 



Cash J 974.09 



Expense money held by inspectors 116 65 



Unpaid dues 380.69 



Total $1,471.43 



Liabilities 



Credits for overpayments on dues $ 632 56 



Approximate balance 838.87 



Total $1,471.43 



This is approximately the same balance as at the beginning of 1911. 

 The estimated expenses lor 1912 are : 



Postage, telegraph and telephone $500.00 



Office expenses and equipment 700.00 



Stationery, printing and sales reports 1,600.00 



Traveling expenses 4,000 00 



Salaries 8,100.00 



Total $14,900.00 



This does not include membership in the National Lumber Manufac- 

 turers* Association. If affiliation with the National association is con- 

 tinuea. the sum of $1,600 must be added to the above estimate in order 

 to cover dues from September 1, 1911. to January 1, 1913. The esti- 

 mated sales upon which to base the assessment in 1912 are 370,000,000 

 feet of hemlock and 205,000,000 feet of hardwoods. 



Hemlock and Hardwood Statistics 

 The statistics upon hemlock and hardwoods available at this time are 

 complete enough to throw a good light upon conditions, but to avoid 

 a tiresome repetition of figures, only certain features of the reprints of 

 compilations of cut and shipments in 1911 and stocks on hand, January 

 1, 1912, which you have, will be touched upon. 



Shipments by the same sixty flAns compare as follo^fejor 1910 and 

 1911 : 



Hemlock, Hardwoods, 



Feet. Feet. 



1910 :W9,937,782 163.247,832 



1911 359,621,933 189,396,879 



Decrease, 3% Increase, 16% 



These figures indicate a most satisfactory volume of hardwood trade 

 last year and fully as large a hemlock trade as could be expected owing 

 to the depleted condition of stocks early in 1911, and the small amount 

 of dry lumber In the fall. 



Reports of hemlock stocks held by sixty firms on the first of January 

 this year show an increase of 11 per . cent over the first of January 

 last year. However, it is pretty certain that the actual increase in 

 hemlock stocks has been slight, if any, for the summary of monthly cut 

 and shipment statements for 1911, based upon an average of 73 reports, 

 shows shipments equal to production during the year. The stock reports 

 show that out of 265,000,000 feet of hemlock on hand unsold on 

 January 1, 1912, only 20 per cent is No. 3, v^•hich is less than the normal 

 ratio of No. 3 to the entire production. Moreover, we know that stocks 

 of dry No. 3 hemlock are 40 to 50 per cent less than at. this time last year. 



Notwithstanding a decidedly heavier hardwood production in 1911, the 

 stock reports show a strong condition on the first of January, 1912. 



