As the year draws to a close, it is always good to take a retrospective view. 2009 will be remembered as a year the forest products industry would rather forget.
The year will be remembered by history for the inauguration of Barack Obama, financial bailouts, car manufacturer bailouts, cash-for-clunkers, a deep recession, tea-parties, town hall meetings and some great Pallet Profile Weekly and Recycle Record quotes. Every issue the Pallet Profile Weekly and Recycle Record carry a quote from our market research. Many of these are funny. Most are insightful, and some are downright unforgettable. Well, history may not remember these quotes, but we will as we review some of the best quotes from our readers from 2009.
Everything Stops for Tea
Bill Clinton kicked off his presidency with his 100 days program. The media studied, watched, waited and reported. The media latched on to the 100 days idea, and it has now become a common coverage of new presidencies.
Therefore, Obama was watched and studied, and the media reported. His 100 days were a flurry of activity that seemed to create more of an activity whirlwind than the public had seen in previous administrations. There was a problem though. The government was spending at a record pace. Obama didn’t make it through his 100 days before the backlash. Tea parties were organized all across the country.
The forest products industry is mostly a conservative lot. The election of a president as far left politically as Barack Obama was sure to bring some colorful observations. Our readers didn’t disappoint.
“Obama is helping to correct the deficit by nominating all of these crooked Democrats for cabinet positions. That forces them to pay their taxes.” (California 2/13)
“President Obama called last week and said the “cash for clunkers” program was a success. He wanted to know if I would support a “pennies for pallets” program. I declined the offer and said, ‘we have been on that program for years!’ ” (Michigan 9/4)
“I found out this week after the media’s coverage of the tea parties that I am a right wing extremist.” (Alabama April RR)
“It’s a shame for Obama to fly over to Copenhagen to pitch the Olympics and get flushed in the first round. I’m sure that it is somehow Bush’s fault.” (Texas 10/9)
“The economy is discouraging. Survival is the key today. It’s been 30 years since we had a layoff…Jimmy Carter all over again.” (6/19)
“This should be a much better year! Our new president is going to fix it all. Of course, he will have to rest on the seventh day.” (California 1/9)
That’s Another Way of Looking at It
Some of the best quotes are those that find humor in a situation by looking at it from a different angle. Here are a few quotes from a somewhat convoluted point of view.
“It’s so dry that the loggers are locked out of the woods. You could fart and start a fire.” (Pacific Northwest 8/21)
“It helps to be green when green is rollling in. When time is tight, green goes out the window.” (Virginia February RR)
“You should always borrow money from a pessimist. They don’t expect to get it back.” (Florida 3/20)
“We don’t stripe our parking lot. If you do, you’re required to have handicapped spaces. Say I’m from California – everyone expects laws like that in California.” (Withheld to protect someone not in California 3/27)
“I am a tree hugger. I just like to hug them after they’ve been felled and they’re on the log truck, headed for the mill.” (California 7/24)
The Wild World of Pallet Leasing
Pallet leasing companies have found themselves at various levels of contention with the whitewood pallet industry since the arrival of CHEP in the early 90’s. Now that iGPS is on the scene with a plastic pool similar to CHEP’s model and many familiar faces from CHEP’s management team of the 90’s, there is no shortage of opinions from our contact base.
“iGPS is quickly becoming a pain in the neck. It’s like the old days with CHEP all over again. It’s the same management, and now they act like they haven’t been here before. They act as if they are doing you a favor if they pay anything for the return of their pallets. Their attitude is that they don’t have to pay anything, and the little bit that they are paying is purely out of the goodness of their heart. If they don’t want to pay for their pallets, they should keep control of them. I’m ready to go to war.” (Withheld, June RR)
“With iGPS running ads with Pallet Enterprise, it’s a sign that they’re sure not getting the pallets back. That’s the beginning of the end with a $70 pallet.” (Georgia September RR)
“iGPS might have 3 million pallets, but every Sam’s Club has 200 to 300 of them used as tables for display. Now that is a profitable way to use a $60-plus pallet. What does Sam’s pay to rent them?” (Pennsylvania 5/8)
Life in the Lumber Business
The recessionary economy wasn’t good for anyone, but the lack of a housing market left those selling lumber with little to smile about, but that didn’t stop them or their customers from seeing the humorous side of the situation.
“If you have a buyer who wants wood in this market and asks if you can fill it, the answer is yes, whether you’re lying or sincerely lying.” (Oregon 2/20)
“I sent out a letter to all of my mills, telling them that I was cutting the price of what I’m already not paying them for.” (Withheld to protect the honest businessman 5/22)
“A quote sheet with $45 for green doug fir? I wonder if anyone has countered them on that number?” (Withheld to protect someone who still wants to buy wood one day 4/3)
“In the sawmill business, if you haven’t heard a rumor by 10 a.m., it is your duty to start one.” (Michigan 8/14)
“It can be Hatfield and McCoy-ish in the market at times. I was trying to negotiate with a sawmill, and nothing about it seemed right. I finally asked the guy, ‘Who screwed you over?’ It turned out that he was holding a grudge from 30 years ago.” (Pennsylvania 7/3)
“We don’t buy any of the utility stuff any more. We’re running nothing but standard and better. Our nailing machine operators are spoiled. If they see wane on a board now, they want to know what’s going on.” (Oregon 1/16)
“I talked with a sawmill the other day that is about to turn its cherry log inventory into railway ties. What does that tell you about the shape of the sawmill industry?” (West Virginia 1/30)
“We are in a race to see which falls faster — log supply or lumber demand. When we reach the bottom, the pallet industry will find it has grabbed a tiger’s tail.” (Indiana 7/17)
Who Can Sell Pallets at a Time Like This?
As tough as the lumber market was on the sawmill industry, the people selling pallets didn’t have it any easier.
“We’re quoting our competitors’ customers low to screw up prices — like they’re doing to us.” (withheld, 4/24)
“I wear loafers to work. I don’t wear a belt or shoes with laces. I don’t want the temptation.” (California 3/13)
“We got our teeth kicked in during the 4th quarter of 2008 like everyone else. Now we’re getting healthier and we feel like we may be able to eat corn again.” (Alabama 8/28)
“Things are three times better than they were six months ago. We are up three weeks and down one week per month now. We were up none, down four weeks each month.” (Tennessee 9/25)
“The ‘cash for pallets’ program is getting very little government support.” (Michigan 8/7)
“We need to have a town-hall meeting to see what pallet company is the dumbest and most desperate in regards to pallet pricing. My vote is IFCO.” (Withheld by request, August RR)
“I had one customer who asked for three price decreases in the same week. It’s a good account, and he gets a load every other day. Each order, he asked me to match a price.” (Withheld, May RR)
