HARDWOOD RECORD 



association, tlJt lieeno 

 members. To be sur. 

 woi-iiing togctlier al^'n 

 by tbe lumbormen !!• i • 

 selling lumber to or h 

 are each, individually, 



hardest, most relentless competition among its 

 I iii.ri I,, re pleasantly — we are friends; we are 

 ii:ih\ i'_iiii]iate lines; we are being entertained 

 ■ I I iv.iiiv, imt they won't tell us whom they are 



Us ^i L uuL- cent more for our hemlock than we 

 le to obtain for ourselves. 



I wish to take this occasion for expressing my appreciation for the bard 

 work done by our secretary during the first six months of my term as 

 president. In addition to his association work, Mr. Kellogg has published 

 a very valuable book entitled, "Lumber and Its Use," which both for 

 reading and as a reference book should be in the library of every lumber- 



AiHi liiKiily, speaking for the association, I wish to thank the reception 

 . <'ii niiiii .■ of Marinette and Menominee lumbermen for the delightful 

 iijH^i.uii I hoy have prepared for our entertainment and for the entertain- 

 uii 111 of (Jiir families. Our appi'eciation is shown by the roll-call. AH an- 

 heie — those who are not are sick In bed. 



The treasurer's report, which shows a splcmlid balance on liaiid, 

 is as follows: 



Balance on baud .\prll -iO. 1!)14 $1,887.14 



K.e3lpts 5,620.65 



Total receipts $7,516.79 



I li-^liursemenls 5,101.35 



liala 



1914. 



.?2.41 



Secretary's Report 

 Kellogg then read his report as follows: 

 bership at this time numbers eighty-three 



Apr 



Mich, 



Her Wi 



Secretary 



Assoclatloi 



iiom ninotceii lur in upper .Michigan and sixty-live in Wisconsin. Sine- 

 ting, one firm has dropped memljership because it did not 

 i upon liiilli liemloik and hardwoods as required by the 

 -a!ii' I V' li' h : II iiD-ce in Michigan and two in 



II I I I -.■ are the Lake Independence 



11 1 I I I ;:iy Lumber Company. Dollar 



ll.vi,.v, ..,ii,,ii,il:,,ii, Mi.Ji.; .1. O. Hollls, Parrish, Wis.. 

 d West I.iiinber Company, I'billips, Wis. Two of ' the 

 1 firms have practically closed out their business, leaving 

 the new association membership for the balance of the year at eighty-one 

 firms, unless some additional members are .secured, which seems very 

 likely. For the past two years, the number of firms on the roll has varied 

 between eighty and eighty-seven, but we now have the largest productive 

 •capacity in our membership of any time since the organization of the 

 association. It is probable that the total cut of hemlock and hardwoods 

 by our members this year will not be less than 850,000,000 feet, which is 

 a very substantial increase in association output over a few years ago. 

 notwithstanding the decrease in the total output of the territory covered 

 by our membership. 



I regret to say that during the past three months the members have 

 been somewhat slacker than usual in sending in the reports asked for by 

 the association. Of course, it has been a period of slack business, as well 

 as tbe summer season which is conducive to negligence in attending to 

 •everything but items of absolutely necessary office routine. However, the 

 only way to have a strong association is to support it through thick and 

 thin, and the member who wants information from the association office 

 has no right to complain at the meagerness of the weekly circular if he 

 does not contribute his share of material. In this connection, I wish 

 -especially to call attention to one clause in tbe recent Missouri decision 

 which ha.s caused so much comment. Although this decision goes much 

 further than is likely to be sustained by a higher court and should be 

 stringent enough to satisfy the most rabid "trust buster," it specifically 

 legalizes participation in the publication and circulation of a price 

 •current which gives "actual and bona fide sales of such products and 

 prices paid therefor, for the honest information of dealers therein." This 

 is exactly what our association has been doing through the publication of 

 sales reports in the weekly circular for nearly four years, and it is 

 gratifying to have approval from such a high source. Our theory all the 

 time has been that the lumber manufacturer has just as good a right as 

 the producer of any other commodity to know what market conditions are. 

 Other producers can turn to the daily papers and learn what their products 

 sold tor yesterday in the great markets of the country. It is because the 

 lumber manufacturer can not do so that the publication of such informa- 

 tion by the associations becomes necessary if we are to have anything like 

 an intelligent marketing of our products. For this reason, members should 

 be much more regular than they have been in reporting sales. To send 

 in reports once a week is not a matter of great labor on the part of any 

 •one firm, but the combined result is greatly worth while. 



St-itistics 

 The statistics presented in detail on the sheet which you have, speak 

 ilargely for themselves. In round numbers, there is probably about twenty 

 per cent more of all kinds of lumber in pile than there was at this time 

 last year. This, however, is far from, meaning an oversupply, because 

 stocks were very light all last year and are only getting back to normal. 

 At this time there is no oversupply in any line and the increased demand 

 •coming this fail, which is already beginning to appear, will quickly develnij 



a shortage in some grades and sizes. Tbe extremely short logging season 

 last winter effectually prevents any overproduction of lumber this summer. 

 The proportion of sold to unsold hardwood stocks is a little greater than 

 at this time last year, but this is chiefly due to the fact that some of the 

 larger producers are now marketing their stocks themselves instead of 

 contracting at the beginning of the season. 



At'tcr reviewing the results of the association's participation 

 in the Forest Products Exposition the secretary continued: 



INVESTIGATION OP LUilBER INDUSTRY 



Last week an announcement was made by the Department of Commerce 

 regarding a study of the forest resources and industries of the United 

 Slates by that department and the Department of Agriculture. Since 

 then there has been received a statement by the Forest Service on the 

 same subject which explains the proposed Investigation still further. The 

 following paragraph is taken from the Forest Service statement : 



Lumbermen complain that the carrying charges created by interest on 

 long-term investments, taxes, and cost of fitc protection, where such pro- 

 tection is given, compel them to operate even where lumber prices will 

 not repay them the costs involved. The neiessitv of .■neraiinL' under 



these conditions is advanced as the princiiui ■ni- «:i.i' since 



the market is most easily glutted with lumber . . i ,, iiich 



must then be left unmanufactured. On the i.i: i i ..i ii. i iiih . om 



plains that the co&t of lumber is so high. n.. i- n i , m suH 



in destruction of timber resources with no conn i i , iii:.^,j lu ilie 



consumer, but with the certainty of unnecess:ii . i i - later. Yet 



restriction of competition on the part of In' n n i h a view to 

 greater profits for themselves through higliei i i . .mtrary to 



law and highly objectionable from the standpoi i ii ["iluv. Thus a 



highly complex situation exists. Any attempt u. adju.si il..> present con- 

 flict of Interests on a basis fair both to the pubHe and to the lumber 

 industry demands full knowledge of all the facts. 



Exactly how the Investigation will be handled has not yet been an- 

 nounced. Apparently it will be undertaken with a different object, and 

 from a different viewpoint than the investigation made a few years ago by 

 the Bureau of Corporations. If the investigation is made ably and impar- 

 tially, the lumber manufacturer has nothing to fear from the results, 

 while it may bring him some helpful suggestions about the marketing of 

 his products. 



The Outlook 

 Aitliough there are some dissenters from this view, your secretary is 

 firmly of the opinion that we are at the beginning of a distinct and 

 healthy general trade revival. Almost every week brings increasing support 

 for this position, and by the time Congress adjourns, I think there will be 

 no doubt on the part of everyone that better times are ahead. Lumber 

 already shows considerable increase in demand and some in price. Without 

 any excess supply, and with one of the best home markets in the country. 

 the lumber manufacturer in Wisconsin and upper Michigan stands to 

 receive the full benefit of improved industrial conditions. 



Report of Advertising Committee 



In the absence of M. P. McCullough, chairman of the advertis- 

 ing committee, this report was read by Secretary Kellogg. A dis- 

 cussion followed the reading of the report which was accepted 

 excepting that portion referring to advertising hemlock more in 

 local territory. A recommendation that more attention be paid 

 to competitive territory was unanimously referred to the com- 

 mittee for consideration. The report follows in part: 



The advertising campaign is being conducted along the lines decided 

 upon by the committee at the beginning of the year, with satisfactory 

 results. Less space is used in the magazines during the summer months, 

 but this will be compensated for by larger space during the fall and 

 winter when the matter will receive better attention. Inquiries of good 

 volume and quality continue to come in, and there is increasing evidence 

 of the substantial benefits secured from our publicity. 



In order to make sure that our efforts are bringing results, we recently 

 sent out a list of ten questions regarding birch to some of the leading 

 architects who received our birch book and samples last year. The archi- 

 tects answeird til.-. .|i]. -tious more promptly and better than was 



expected, an.l n i . irly pleasing to note that two-thirds of them 



say that asscnii i.n ...n. i i i h.is been of assistance to them in using birch. 

 It is generally ....i-i.l i. I ih.it the architect is a difficult man to reach with 

 advertising matter. Oui- experience with architects has been most gratify- 

 ing, especiailj in the line of direct correspondence, and we expect to 

 Increase our efforts in this direction. We have demonstrated that we can 

 get exceedingly good returns for a small expenditure. 



Since veneered doors and panels of birch naturally go with birch trim, 

 we are now in a position to advertise l)irch in every form and to refer 

 inquiries to the most reliable sources of supply, whether lumber or veneer 

 be desired. We have also rounded out the campaign still further by adver- 

 tising birch in furniture magazines, since every argument for the use of 

 birch for interior finish applies equally well to furniture. 



We have come to the conclusion that we must do more than we have 

 heretofore to show designs of interiors finished in birch. Therefore, we 

 now have in preparation a larger and much more complete birch l)0ok 

 entitled "Birch Interiors" which will be fully illustrated with a large 

 number of engravings made from photogi-aphs of modern halls, stairways, 

 living-rooms, dining-rooms, etc., in which birch is especially appropriate. 



