Volume 47, Issue 4 - May 2008

In the News

Dealer and Distributor Scoop
84 Lumber Shuts Down 30 Stores, Consolidates Nine 

84 Lumber, headquartered in Eighty Four, Pa., is closing another 30 stores across the country, citing the slumping housing market. This announcement comes on the heels of its announcement that it is consolidating nine stores in six markets. Frank Cicero, the privately held company’s executive vice president of store operations, said in an Associated Press report that the move will help 84 Lumber weather the housing market decline.

The store closings will affect about 230 employees, according to spokesman Jeff Nobers.“

These moves allow us to deploy our assets into core markets that are presently maintaining a reasonable level of housing activity and we view as solid growth areas when the building market recovers,” Cicero said.

The nine stores that have been closed as a result of consolidating operations are: Frederick, Md., will be consolidated into the Mount Airy, Md., operation; Seabrook, Md., will be consolidated into the Upper Marlboro, Md., store; Omaha, Neb., will be consolidated into the Lincoln, Neb., store; Covington, Ga., on the southeast side of Atlanta, Ga., is being consolidated into the larger McDonough, Ga., store; Loveland, Colo., and Colorado Springs, Colo., are being consolidated into the Henderson, Colo., yard; Tampa, Fla., a smaller, older store, is being consolidated into the newly renovated Plant City, Fla., location; and Sarasota, Fla., will be consolidated into the larger Bradenton, Fla., store.

Additionally, the Sacramento, Calif., store and truss plant closed on March 17. The Sacramento market will continue to be serviced out of the Auburn, Calif., 84 Lumber store, which was expanded by three acres in 2007. In addition, 84 Components, the component manufacturing division of 84 Lumber, will work to find a preferred fabricator of trusses for the company’s customers. The Santa Rosa, Calif., store will close as a result of insufficient single-family home starts within the last six months. The older, smaller size of the facility is no longer viable in the company’s present business model, according to a press release from the company.

“These consolidations give us a stronger and more efficient presence in markets that have exhibited strong growth in the past, and that we believe will post high growth again when the housing market turns around,” says Frank Cicero, executive vice president of store operations. www.84lumber.com 

Codes and Standards
Formaldehyde Emissions Standard Enacted in California
Following six years of cooperative work between agency staff and industry, the California Air Resources Board (CARB) has finalized a tough production standard in the world for formaldehyde emissions from composite wood products. (See related article in the April 2007 issue of Shelter magazine.) “This is a sound regulation, and this is an appropriate time to do it,” says the Composite Panel Association (CPA) chairman Darrell Keeling of Roseburg Forest Products. “I am proud of how our industry has embraced this rule, and it is gratifying to hear the CARB staff publicly recognize the cooperative spirit we brought to the rulemaking process. Our products are made almost entirely from recycled wood waste, making them one of the greenest building materials available to consumers. In addition, our industry has voluntarily reduced the formaldehyde emission levels in our products by 80 percent over the last 30 years. While tough, this new regulation is simply the natural continuation of the great work our industry has been doing to produce high-quality, environmentally responsible products.”

The CARB regulation applies to all panels made for sale or use in California, whether as raw panels or as a component of a downstream consumer product such as a kitchen or bath cabinet, a door or a piece of furniture. Any manufacturer, foreign or domestic, producing products for sale or use in California will be governed by the new rule.

“This new rule balances the technological capabilities of industry with the health requirements of the people of California,” says Tom Julia, CPA president. “Now we need to continue to work with the CARB staff to ensure that it is enforced equally across all manufacturers around the world. By virtue of its rigorous certification and enforcement provisions combined with low emissions requirements, this rule creates the toughest production standard in the world for formaldehyde emissions from composite wood products. Our North American manufacturers are prepared to meet the requirements in the rule, and we look forward to working with CARB to ensure that offshore manufacturers are held to the same standard.”

The rule is now subject to a 45-day legal review by California’s Office of Administration Law. The first stage of its implementation is January 1, 2009.

Mergers and Acquisitions
CDS Buys PPW Door Facility
Consolidated Distribution Services (CDS), a division of The Consolidated Companies, has purchased the assets of the Parksite-Plunkett Webster (PPW) door operation located in Philadelphia. This division of PPW formally was Eastern Distributors at the same location.

In addition to a myriad of other products, CDS has been a Masonite entry door distributor in its Dayton, N.J., location for many years. CDS will be moving its current Masonite door operation to the facility in Philadelphia, and integrating equipment and personnel, both in the shop and customer service. All other products will continue to be distributed out of the Dayton site.

The Consolidated Companies, headquartered in Clifton, N.J., operates two other divisions. Consolidated Lumber Corp. distributes moulding and millwork to retail lumberyards and home centers in the New York, New Jersey, Connecticut and Pennsylvania markets. Consolidated Pine manufactures solid, finger-joint and primed pine mouldings in Prineville, Ore. www.consolco.com 

Green Building
RDI and ASI Building Products Go for Gold
Railing Dynamics Inc. (RDI) and ASI Building Products (ASIBP) have announced that their participation in the building of Florida’s only green home in Florida to date has been certified as “Gold” by the U.S. Green Building Coalition under its LEED program. Among the many products featured on the exterior of the model home is Novaline® railing, a paintable, stainable railing system manufactured by RDI, and supplied by ASIBP, an exterior building product distributor supplying Florida and the coastal regions of Alabama and Mississippi.

The designers of the home, located in St. Petersburg, Fla., specified every material used on the project “to showcase the best ‘green’ products, materials and systems available today,” according to a statement issued by R.E.A.L. building, a company that specializes in green building development and consulting. www.rdirail.com 


Shelter
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