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Publiihed io die Inlrrcsl oF the AmcrLcan Hardwood ForesU. the Products thereof, and Logging, Saw 

 Mill and >X'oodworLing Machinery, on the lOlh and 25th of each Month, by 



THE HARDWOOD COMPANY 



Edgar H. Defebsugh, President 

 Edwin W. Meeker, Managing Editor 

 Hu Maxwell, Technical Editor' 



Seventh Floor Ellsworth Building 



537 So. Dearborn Street. CHICAGO 



Telephones: Harrison 8086-6087-808S 



Vol. XLV 



CHICAGO, JUNE 10, 1918 No. 4 



Review and Outlook 



msu 



General Market Conditions 



LUMBER NOT ONLY IS being sold readily but is being moved 

 much more rapidly than heretofore. While the car situation is 

 still spotty, the average allotment per shipper is considerably 

 above anything that has prevailed for six months at least. Many 

 big shippers say they really have more cars than they can handle 

 and taking the whole run of the trade, there is very little room 

 Jor anxiety. 



The question of lumber movements is not necessarily synonymous 

 -with orders, but a great deal of stuff is going out now that was be- 

 ing piled up on order for weeks or even months. Nevertheless the 

 influx of orders continues to be in the lead of shipments, even con- 

 aidering the improved conditions as far as cars are concerned. 



The improvement in the car supply, the probability of govern- 

 ment price fixing and the proposed freight advance are the three 

 <juestions of most importance in the vision of the lumber trade as 

 all three of them are conditions of vital interest and capable of 

 having a very definite bearing on the lumberman's business. 



There is not so much diversity of opinion or argument regarding, 

 the question of who is to pay the rate advance as there was vidth 

 the former boost which was a matter of discussion for months after 

 being put intp effect. While there is some discussion of this sub- 

 ject now, the general attitude is that the purchaser must neces- 

 sarily stand for the increase. This seems to be the policy carried 

 -through in all business lines and there is not any logical reason 

 -why it should not prevail in the sale of hardwood lumber as well 

 as in other commodities. 



Price fixing is practically assured although its immediate appli- 

 •cation will come first in the building woods. Hardwood prices, 

 however, cannot escape government action in this direction and it 

 is encouraging to note the increased determination to settle the 

 •question of cost of production so that figures arrived at may be 

 fair to seller as well as to the purchaser. It is a certainty that 

 .-some provision will be made for increased cost of manufacture as 

 it would affect the selling price and there is little likelihood that 

 .government established prices will be materially less than going 

 prices on the usual runs of hardwood. 



It is not good policy for any hardwood buyer to delay making 

 purchases now in the belief that the government will bring about 

 lower values as the fixing of hardwood values will not come for a 

 number of months at least, and in the meantime every condition 

 making for further increases in cost of production is being steadily 

 aggravated. The government has shown a disposition to recognize 

 actual conditions in making prices and this feature will be taken 

 into consideration. 



Tlie embargo situation is still about as it was except that there 

 has been some easing up in some directions. However, continued 

 difficulty can be expected in this direction as territories will be 

 alternately opened up and closed to shipments as conditions war- 

 rant either action. 



Benewed activity in the call for certain lines of boards used 

 exclusively in commercial work indicates the possibility of better 

 business from factories for their every day lines. In the mean- 

 time they are coming in stronger all the time with sub contracts 

 on war products and the amount of lumber going into these lines 

 still continues to increase. 



A feature that has attracted the attention of some people of 

 late is the question of small timbers. This class of stuff is being 

 gotten out by a great many people, some of whom are not thoroughly 

 familiar with its value and should post themselves on manufactur- 

 ing costs and real worth of stock before quoting. This class of 

 material is stable and will undoubtedly continue to be a strong 

 item in hardwoods for some time to come. 



Come to the Convention but Forget Your 

 Order Book 



THE FOLLOWING CONVERSATION is not imaginary but act- 

 ually took place in a factory town near Ciiicago. The par- 

 ticipants were the buyer for a large furniture factory and the 

 manager of a large hardwood manufacturing concern from the 

 South. The date was about three days after the close of the 

 National hardwood meeting in Chicago. While this conversation 

 actually took place on this occasion, it might very well tj-pify 

 similar conversations that have occurred in various factory offices 

 at this same time of the year since the National nardwood meetings 

 have been held in Chicago. 



The lumberman: "I was mighty glad to hear that that last car 

 of common oak worked out so nicely for you. Have had in mind a 

 couple of cars that are identical to it that I would like to see you get. 

 The mill is promised a fair supply of cars the next few days, and 

 if we wire instructions on this stock, we can put it through quickly." 



Buyer: "Yes, that stuff worked out fairly well, but there seems 

 to be a fair amount of it on the market. What is your price!" 



Lumberman: "Well, the market was $ when I left the office 



before the convention, but I think it's gone up a dollar since then. 

 However, will put it in at the price we set when I left the office." 



Buyer: "Thanks for the concession, but you will have to go a 

 whole lot further than that, old man, before we can get together. 

 You know there have been sixteen salesmen in this office today 

 who have stayed over after the convention and are working around 



