Mid-America Lumbermens Association

MLA LINE

Lumber Industry News Express
Mid-America Lumbermens Association

 

MLA LINE

Lumber Industry News Express

Vol. 5, No. 9 – April 24, 2006 

SMALL BUSINESS HEALTH PLANS 

Senators are expected to vote on Small Business Health Plan legislation next week. If you were unable to attend the Legislative Conference, please take a few moments now to contact your legislators on this key issue. Click on www.buildthevote.org to quickly send an email to your senator asking him or her to support health care relief.

 

Members of Congress are returning to Washington today and will be taking up several key issues. This is the best chance we’ve ever had to pass important health plan legislation to relieve the high costs of coverage for you and your employees. Don’t miss this important opportunity to have your voice heard.

 

 

Risk Management Forum Postponed

 

The Risk Management Forum has been rescheduled from May 18 and will instead be held prior to the start of the 2006 Industry Summit in Scottsdale, Az. NLBMDA feels this will provide the opportunity for more dealers to participate in and plan for the two events. The forum will be held on October 25 and details on the new location will be sent out a few months prior to the Industry Summit scheduled for October 26-28. Mark your calendars – we look forward to a great Risk Management Forum in Scottsdale! For more information about the Industry Summit, visit www.industrysummit.org.

 

GOLF! GOLF! GOLF! 

 

At MLA we’re in full swing planning the golf tournaments coming up this spring. Before your calendar fills up, block these dates and plan to participate in the golf event nearest you. Everyone is welcome, regardless of ability. The only requirement is that you come out and have fun. Here are the dates and locations: 

Missouri – Swing-into-Spring Event – May 4-5 at Lake Ozark, Mo. Activities include the annual bass fishing tournament on the 4th and golf on the 5th at Bear Creek Valley Golf Club. 

Kansas – Sunflower Shoot-out – The 17th annual event is being held at a new location, Tex Consolver Golf Course, Wichita, Kan. on June 9. 

These events are open to all dealers and sponsoring associates. For more information, contact Art Brown at MLA, 800-747-6529. We hope to see you at one of these member get-togethers.

LUMBER NEWS – QUICK GLIMPSES

 

Second Homes 40% of Market… Americans snapping up second homes -- as investments or vacation properties -- accounted for four out of every 10 sales of existing homes last year, a record that helped drive the real estate market to new highs, according to a report being released today by the National Association of Realtors.

 

Nearly 28 percent of homes bought last year were for investment purposes, and an additional 12 percent were vacation homes, the figures show. Most of the buyers were baby boomers in their top earning years, looking toward retirement and hoping to build wealth or find a more desirable place to live.

 

Source: Noelle Knox, USA Today, 040506, quoted in Builder On-Line Business Update, April 11, 2006.

 

Canada and U.S. Both See Latest WTO Ruling as Positive… Although the U.S. and Canada see different results from the World Trade Organization’s (WTO) latest ruling, they can both agree that it is a complex one. The WTO struck down an earlier ruling, finding fault with the previous evaluation of the impact of imports. However, the panel did not make a new ruling. The decision means that the U.S. could still wind up paying $4.25 billion on penalties.

Source: LBM Daily, April 14, 2006

 

Wal-Mart Defends Proposed Move Into Banking… The first-ever public hearings by the Federal Deposit Insurance Corp. on a bank application are drawing a wave of opposition to a move made by Wal-Mart. The company insists that consumers and retail banks have nothing to fear and is pledging to stay out of branch banking and consumer lending. Three hundred banking institutions operate branches in 1,150 Wal-Mart stores, but Wal-Mart insists it doesn’t want to compete with them. However, opponents are not convinced; they portray Wal-Mart’s proposed in-house bank, which would handle the payment transactions the company handles each year, as leading eventually to full-scale banking, with retail branches that would destroy local banks.

 

In an atypical alignment, the banking industry, unions and consumer groups have come together to make the case that a Wal-Mart bank would unfairly concentrate power over retail and small-business lending in one company, which is already the biggest business in many small towns and rural communities. Supporters say Wal-Mart moving into banking would benefit consumers by lowering fees and prices in an industry that needs more competition.


Source: The Washington Post, quoted in NACM E-news Weekly Update, April 18, 2006

 

NLBMDA Wins HUD Grant… At the NLBMDA 2006 Legislative Conference, U.S. Housing Secretary Alphonso Jackson was the keynote speaker and announced that NLBMDA has been chosen as one of the recipients of the Partnership for Advancing Technology in Housing (PATH) Cooperative Research grant.

 

This two-year NLBMDA research project is an essential first step to identify opportunities for PATH to assist the homebuilding industry in getting new ideas and products to market. In addition, it will provide a rich baseline of data and understanding for anticipating further research and enable practical investigation of supply-chain enhancements to assist manufacturers now struggling to introduce new housing product innovations.

 

If you would like to be a participant in the polling process for the project, please email nikki@dealer.org.

Source: News from National, April 2006 

U.S. Housing Starts for March 2006 by Al Schuler… Despite a 15.7 percent increase in multi-family starts, total starts fell 7.8 percent in March to 1.96 million (SAAR). Single-family starts fell 12 percent to 1.59 million (SAAR). Starts pulled back in all regions with the heaviest retreat in the West (-15.5%) and the Midwest (-8.2%). Permits, an indicator of future activity, were down a more modest 5.5 percent

 *Al Schuler works for the Forestry Sciences lab in Princeton, WV.  Please note that the economic information/opinions contained in this report are not necessarily those of the Forest Service.  He can be reached at: 304.431.2727 or aschuler@fs.fed.us.

Thursday a Busy Day for Weyerhaeuser… Thursday was an extremely busy day for Weyerhaeuser Company. In addition to declaring a dividend on common stock, the company announced a joint conservation project with Ducks Unlimited Canada and launched iLevel. Weyerhaeuser also announced that it has entered into an agreement (in principle) to sell two of its composite panels businesses.

 

iLevel is the consolidation of five separate operating units into one single, unified business, which will serve as a business model for the structural frame industry. Said Kurt Liebich, vice president of marketing for iLevel(TM), “The strategy behind iLevel(TM) is simple: help our customers succeed by simplifying the business of home construction. In launching iLevelTM, Weyerhaeuser is taking the lead in the structural frame market by going beyond the traditional role of a wood products manufacturer and supplier to that of a value-adding provider.”

 

Source: LBM Daily, April 21, 2006

 

Data on HSAs from the Treasury Department… The Treasury Department has issued a “Fact Sheet” on health savings accounts (HSAs), showing the growth in the number of accounts from 113,000 (covering 240,000 individuals) in 2004 to a projected growth under current law of 14 million (covering 25 to 30 million people) by 2010. Go to www.treas.gov/

 

Source: Milliman Monthly Benefit News, April 2006

 

Housing Starts Fall 7.8% in March… Builders started work last month on the smallest number of new houses in a year, as rising mortgage rates and record inventories of unsold homes discouraged new projects.

 

Housing starts declined 7.8 percent in March to an annual rate of 1.96 million, from 2.126 million in February, the Commerce Department said April 19 in Washington. Building permits, a sign of future construction, fell 5.5 percent to an annual rate of 2.059 million from 2.179 million.

 

Source: NAWLA Bulletin, April 21, 2006, quoting Bloomberg.com

 

Home Improvement Retail Sales Up 17.9% Over Last Year… Total sales of home improvement products in the U.S. through retail outlets increased 17.9 percent in March 2006 over March 2005, according to the latest Department of Commerce Advance Monthly Retail Sales Report. Sales totaled $31.124 billion for the month, up from $26.402 billion in the year-ago month. Sales increased 1.2 percent in March over February.

 

Total retail sales of all products increased 7.9 percent in March 2006 versus March 2005 to $361.046 billion.

 

Source: NAWLA Bulletin, April 21, 2006, quoting American Hardware Manufacturers Association.

 

They Didn’t Promote Me…Sometimes we have a difficult decision when making a choice between two good people on who gets the promotion. You have two people who want the promotion, and one is going to end up with hurt feelings, be de-motivated, and possibly quit. What do you do? You must sit down face to face with the employee not chosen and given them the reason for not being picked. Assure them that there are chances for advancement in the future. Suggest the types of training that will give them the knowledge and skills to move up the ladder. Create a career plan, setting some goals, so they can get to the next levels. Let them know of other future opportunities that will come up. If you show that you are genuinely interested in their future, the chances of them leaving are greatly diminished.

 

Source: Bob Losyk, MEd., M.B.A., C.S.P. is a Certified Speaking Professional, master trainer, author, and President & CEO of Innovative Training Solutions, a Greensboro, NC consulting firm. For more information on Bob’s keynotes, seminars, best practices facilitation, panel discussion leader, and products, please visit his websites at www.boblosyk.com and www.getagriponstress.com or call 1-800-995-0344.

 

 

Calendar of Events

May 4-5 – Swing into Spring, Lake of the Ozarks

May 11 – Board of Directors Meeting, Tulsa, Okla.

May 15 - Deadline to advertise in the MLA Buyer’s Guide

June 9 – Sunflower Shoot-Out, Wichita, Kan.

 

 

 

NLBMDA Cost of Doing Business Study

Participation in the 2006 NLBMDA Cost of Doing Business Survey is now OPEN and ready for your company’s data.  This year we are excited to offer the survey in an Excel worksheet format with easy, step-by-step instructions.  You will find the survey on the NLBMDA website, www.dealer.org.  Simply return the file by May 4 to Steve Davis at sdavis@mgtstrategies.com or by mail  to:

MGT Strategies

P.O. Box 4008

Greenville, SC 29608

 

In addition to the benchmark of your performance vs. other CODB participants, you will be provided with a personalized forecasting tool. The tool will be an interactive Excel spreadsheet that will allow you to run forecasted financial statements and cash flow analysis, based on your past year’s performance, and projections for some key variables such as projected sales change, gross margin, inventory turns, salary, and other expense changes. You will also receive a complimentary copy of the industry report for participating. 

As an added benefit, a complimentary regional report will be provided for states in our region if we have at least 15 members participating in the survey.  We think this will be a great tool, so please plan to participate in this important study.

As always, all information is completely confidential and will be used strictly for the purpose of compiling this report.  If you need additional information after reviewing the survey, please contact:

Steve Davis, our consultant at MGT Strategies at 864.322.8874 or info@mgtstrategies.com or

Anna Gilbert, NLBMDA Program Assistant at 800.634.8645 or Anna@dealer.org. 

Please make your check for $150 payable to NLBMDA and return to MGT Strategies at the address above.

TIPS FOR REMEMBERING NAMES

By Bill Lee

Is remembering names a challenge for you? It sure is for me. Sometimes I feel incredible embarrassment when I have forgotten the name of a person who was introduced to me 30 seconds ago. If you suffer from “can’t remember names syndrome,” consider the following tips from Marilyn Nyman, founder of a business communications firm.
1. Give your full attention to the introduction. Don’t get caught shaking the hand of a new acquaintance with one eye on the waiter walking away with the last of the hors d’oeuvres! Make the person feel important by making the introduction important to you.

2. Listen carefully and repeat the name immediately. Verbal repetition helps reinforce a new name in your memory, and gives you the valuable opportunity to rehearse or double-check difficult pronunciations.

3. Think of someone with the same name: A favorite relative, your best friend or a high school sweetheart.

 4. Form an immediate association with the name and the person’s outstanding feature or trait. Whether it’s flattering or not, the first association you make with a person is the best tool you can use for remembering this name. Hair color, tone of voice, style of clothing or even height are all effective associations.

5. Use the name frequently during the conversation. This will test your memory and establish closer ties with an individual. “I couldn’t agree with you more, Joe,” or “You know, Sue, I heard a funny story about that” are both examples of individualized conversation that sounds friendly and not forced.

6. If you forget a name or didn’t hear it the first time, don’t fake it…ask! Most people would prefer to repeat their names rather than correct a wrong guess. Politely asking for a reminder may be awkward, but it will be appreciated. If the name is particularly difficult to retain or pronounce, ask for a spelling.

7. Don’t make excuses. No wants to hear “I’m terrible with names” or “I meet so many people in a day.” Excuses like these can make even the most important person feel insignificant in your eyes.

Full attention during new introductions is the key to keeping names from slipping your mind. Take the time to fully focus on anyone you’re about to meet. The time to recognize an important contact is before you forget the name, not afterwards!

For more sales and gross margin tips, go to www.BillLeeOnLine.com.

 

New plans, new choices

 

Most health insurance programs today fall into one of three categories: health savings accounts, defined reimbursement accounts, or health reimbursement accounts. Each has advantages that can help meet your health benefit goals.

 

Health Savings Account (HSA)

Federated recently introduced four new High Deductible Health Plans that allow employers and/or their employees to contribute to an HSA. The HSA offers several advantages, including tax-favored treatment to both the employee and employer.

 

The employee owns the account and funds can be invested various ways. Medical, dental and vision expenses are all eligible. HSA funds accumulate from year to year and stay with the employee upon termination.

 

Defined Reimbursement Plan (DRP)

For this plan, the employer agrees to reimburse the employee for a predetermined amount, but only if the employee incurs medical expenses. There are no restrictions on the type of health insurance plan, and plan changes are easy to make at any time with less paperwork and record keeping