18 



HARDWOOD RECORD 



December 25. 1918 



able service. Confusion existod in the minds of members which took much 

 time to correct and likewise it was difl5cult to change the system of sales 

 reports from a monthly to a weekly basis. I am very happy to say that 

 practically all of the moinbors of the two old organizations are active 

 members of the present organization. It is also pleasing to -have had 

 the support of .so many new members who were not members of either 

 of the old organizations. 



At our semi-annual meeting in June, the hope was expressed that our 

 membership would grow until we reached a total annual log scale produc- 

 tion or one billion feet and our records show that figure was reached 

 and passed on November 1. 



' During the past month we have received the application of eighijty-five 

 ■concerns not before affiliated. These come from the membership of the 

 Hardwood Manufacturers' Association in response to the request from 

 the executive committee of that association that their members join the 

 American Hardwood Manufacturers' Association. I sincerely hope that 

 all of our members fully appreciate the unselfishness and the broad atti- 

 tude taken by the officers, directors and guiding men of the Hardwood 

 Manufacturers" Association in giving up an organization which they 

 founded and had supported for twenty years. They stood steadfastly by 

 its standards and were faithful to the principles it stood for and it means 

 no small sacrifice to them to see it disbanded. We hold in our bauds 

 today, at this meeting, the golden opportunity to enlarge this organiza- 

 tion to the point where it is truly representative of the great industry of 

 hardwood lumber manufacturers. 



I lay stress on the fact that it is to be a manufactureis' association. 

 I hold that the wholesaler or dealer has no inter- 

 est or place in the organization and its work. 

 The problems of the manufacturer, whether he is 

 in the hills or the delta, are much the same. He 

 is conducting the same operation of felling trees. 

 sawing them into lumber and marketing their 

 product. Therefore, such an organization as we 

 have here and propose to expand and enlarge, 

 should handle only the problems of common inter- 

 •est to hardwood lumber manufacturers. For fear 

 I may be misunderstood, let me make it clear 

 that I am not one who feels that the wholesaler 

 and dealer of lumber has no proper place in the 

 scheme of lumber merchandising. I hold that the 

 reputable wholesaler and dealer of lumber occupy 

 a very necessary place and perform an essential 

 function and there should be close co-operative 

 effort between the manufacturer and the whole- 

 saler or dealer. Some of my best friends and 

 customers are wholesalers and dealers and I do 

 ■quite a bit of it myself, therefore, I know his 

 problems, and I likewise know the problems of the 

 manufacturer and the wholesaler are totally and 

 entirely different. 



The agreement between the executive commit- 

 tees of the Hardwood Manufacturers' Association 

 of the United States and this association provides 

 that the question as to whether or not this asso- 

 ciation will adopt and administer rules of inspec- 

 tion to be decided at this meeting and this is to 

 be done after a full, frank and impartial discus- 

 sion of the matter and the majority vote of the 

 membership shall decide the question. 



At the first meeting of the membership of this 

 association held last January in Memphis, a resolution was adopted and 

 under the conditions of this resolution the association was to refrain from 

 taking up the question of inspection rules and was to give its best efforts 

 to bringing about uniform and standard inspection of hardwood lumber. 

 The ofl5cers of your association have rigidly adhered to that policy and have 

 lent aid to every plan that had uniform inspection for its purpose. I am 

 sorry to say that all of those efforts have failed. It is. however, quite right 

 and proper for this matter to be brought up again at this meeting, and. 

 this being an annual meeting, the same- power that existed in the annual 

 meeting last January to vote for the adoption of a neutral policy on 

 inspection rules has now the^same right to reserve or reaffirm that policy. 



For the past year we have labored under many difficulties of opera- 

 tion ; serious car shortages ; labor situation ; embargoes and at times 

 governmental restrictions and regulations. It has required the continued 

 efforts of the best brains in the industry to solve these problems. Thank 

 God, and the staying qualities of our allies on the western front, holding 

 out until our boys could come with the necessary reserves, the restric- 

 tions and regulations at Washington are no longer necessary. 



We have heard in the past few weeks much of the word "reconstruc- 

 tion." It is a tremendous word at this time and full of meaning to us 

 all. We have for months been discussing after-war conditions and many 

 of the government departments have gently hinted we should so shape 

 our course and policies that we might be in a position to reap the bene- 

 fits that are sure to be ours if we stand shoulder to shoulder and pursue 

 wise and sound policies. 



The sudden ending of the war has produced an unprecedented condi- 

 tion in the general lumber markets and undoubtedly, as the building pro- 



R. M. CARRIER, SARDIS, WHO HEADS NEW 

 HARDWOOD MERGER 



gram will occupy first place, it will be true that the so-called soft woods 

 will be the first to feel the benefits and increased demands. Naturally, 

 however, the hardwoods will follow closely. It is unquestionably true 

 that the stocks of hardwoods in the hands of mills today are low and 

 that the supplies of hardwood lumber in the hands of the consuming 

 trade are much below normal. Facing as we are the winter season and 

 with perhaps the lowest production of hardwood by the mills ever known, 

 there is no reason why hardwood values should decline. There are cer- 

 tain special items in hardwoods which, due to war demands, have sky- 

 rocketed in prici- and these prices on such special items must come to 

 normal levels of value, but the majority of standard grades and thick- 

 nesses and kinds "of hardwood lumber can be expected to hold the present 

 values. 



The hardwood nuiuufacturer is not in a position to reduce the price 

 of his lumber and there is no commodity of anything like such importance 

 as hardwood lumber that has advanced in price so little, and yet the 

 increased cost of manufacturing hardwoods has been proportionate with 

 the increased cost of manufacturing other important commodities. The 

 consumer of hardwood lumber, naturally pessimistic on hardwood values, 

 will refrain from buying as long as possible but when he has found the 

 mills cannot make reduction in their lumber, buying will commence and 

 there will be good business for the hardwood industry for some time to 

 come. 



The labor situation is better but far from being normal. We are un- 

 doubtedly even now getting greater efficiency from our labor than we 

 have for the past twelve or eighteen months and while wages continue 

 high, they will undoubtedly remain high, and, In 

 my opinion, it will be unwise to attempt to, mate- 

 rially reduce wages until the high costs of living 

 are materially reduced. The problem, therefore, 

 must solve itself and it must be a gradual solu- 

 tion. 



There are a few matters which I wish to call 

 to the attention of this meeting and which I sug- 

 gest should be very fully discussed and acted 

 upon : 



First : That the meeting give very serious con- 

 sideration to the question of this association's 

 affiliating with the National Lumber Manufac- 

 turers' Association. 



Second : That careful consideration be given 

 to the question of affiliation of this association 

 with the Chamber of Commerce of the United 

 States, and likewise affiliation with the American 

 Chamber of <'ommerce in London : 



Third : That the meeting also give considera- 

 liou to the retention of and the expansion of the 

 legal department, and work out a plan having in 

 view a permanent legal department. 



Fourth : There has been, in the past, two dis- 

 tinct plans of gathering and disseminating sales 

 and stock information by the two associations. 

 The American Hardwood Manufacturers' Associa- 

 tion has followed the plan of reporting each actual 

 sale, without name of customer or destination, 

 and it has been compiled into a weekly report 

 showing the actual transaction as regards feet- 

 age, grade and price; the Hardwood Manufactur- 

 ers' Association has been using the "open com- 

 petition" plan wherelty the fcetage, grade and 

 price of past sales are shown. In connection with that, they have operated 

 an inspection service to test the grades of the shippers and to make com- 

 parisons of the grades furnished by each shipper. 



Both plans have for their object the purpose of assisting the manu- 

 facturer to market his lumber. There can be no question but what 

 either one or both of the plans have immense value, but every plan has 

 value only so far as it has the united support of every manufacturer in 

 the industry, and it is only by each member sending In promptly the 

 information that he may be called upon to furnish that the information 

 has value and if it were possible to get 100 per cent report from each 

 member, the information so, compiled would be of tremendous value to 

 every hardwood manufacturer. 



In closing, please do not forget that you have here in this great or- 

 ganization a vehicle, tremendous in its possibilities, to help you and your 

 business. I urge you to use it and use it freely, 

 your suggestions and your constructive criticisms, 

 it and I speak knowingly. 



Remember that the only and sole limitation 

 organization to you depends entirely and wholly upon the use you wish 

 to make of it. 



Offer to your officers 

 They will appreciate 



»n the value of this 



Address of the Secretary 



John M. Pritchard, secretary-manager of the association, deliv- 

 ered an informative and interesting account of the association work 

 during the past year. He referred to the work of the Southern 



