1. Introduction Introduce the Los Angeles Hardwood Introduce the Los Angeles Hardwood Lumberman’s Club. Lumberman’s Club. Break down some of the various Southern Break down some of the various Southern California Markets. California Markets. Share the results of a survey taken by members Share the results of a survey taken by members of the L.A.H.L.C. of the L.A.H.L.C.

2. Los Angeles Hardwood Lumberman’s Club Started- Started- Members Members Objective Objective

3. Present Total Number of Members over the years Total Number of Members over the years Current Regular members Current Regular members Women Members Women Members Represent # of Companies Represent # of Companies Six Southern California Counties Six Southern California Counties CountyPopulation (2002 est.) CountyPopulation (2002 est.) Los Angeles9,806,577 Los Angeles9,806,577 Orange2,938,507 Orange2,938,507 Riverside1,699,112 Riverside1,699,112 San Bernardino1,816,072 San Bernardino1,816,072 San Diego2,906,660 San Diego2,906,660 Ventura 783,920 Ventura 783,920 Total 19,950,848 Total 19,950,848 Nevada, Arizona and Mexico Nevada, Arizona and Mexico

4. Organizational Objectives Social Social Meetings, Spouses Night, Xmas Party Meetings, Spouses Night, Xmas Party Educational Educational Guest Speakers Guest Speakers Fund Raising Fund Raising Yearly Golf Tournament Yearly Golf Tournament Participants= Participants= $10,000 + to the Hardwood Forest Foundation $10,000 + to the Hardwood Forest Foundation Any one wishing to participate as a sponsor can contact me later. Any one wishing to participate as a sponsor can contact me later.

5. Markets Furniture Furniture Home Furnishings : Are being beaten up by the Imports in the mid level and lower priced furniture especially. Upholstered furniture seems to be weathering the import barrage, for now. Home Furnishings : Are being beaten up by the Imports in the mid level and lower priced furniture especially. Upholstered furniture seems to be weathering the import barrage, for now. Hospitality Furniture: Making improvements since 9/11 put a damper on the travel industry. Showing good signs. Hospitality Furniture: Making improvements since 9/11 put a damper on the travel industry. Showing good signs. Office Furniture: Have faced a few bad years but are showing signs of doing better. Office Furniture: Have faced a few bad years but are showing signs of doing better. Kitchen Cabinets Kitchen Cabinets Very Good! Where are all these people supposed to live. Very Good! Where are all these people supposed to live. Architectural Millwork Architectural Millwork Follows construction Trends Follows construction Trends Doors and Shutters Doors and Shutters Doing well Doing well Wood Flooring Wood Flooring Hot !!! Hot !!!

6. Survey Results Sales of West Coast species average approximately 20% of the total sales volume to the individual companies. Sales of West Coast species average approximately 20% of the total sales volume to the individual companies. A trend shows increases in these sales over the last 3 years. A trend shows increases in these sales over the last 3 years. Demand has been extremely strong for Alder, P.C. Maple and P.C. Birch. Demand has been extremely strong for Alder, P.C. Maple and P.C. Birch. But 80% report that they and the end users were unable to secure the lumber needed to satisfy demand. But 80% report that they and the end users were unable to secure the lumber needed to satisfy demand. They are either substituting species or grades to try and satisfy this void. They are either substituting species or grades to try and satisfy this void. There is a growing frustration at both the Distribution and End User levels due to : There is a growing frustration at both the Distribution and End User levels due to : Inconsistencies in supply Inconsistencies in supply Inconsistencies in grading from one mill to the next Inconsistencies in grading from one mill to the next Rapidly rising prices Rapidly rising prices * Not knowing what to expect in the future puts doubts into committing to these species in the future. * Not knowing what to expect in the future puts doubts into committing to these species in the future. 90% of the responding members feel this is going to have long term ramifications 90% of the responding members feel this is going to have long term ramifications 100% of those responding would welcome a speaker from the WHA or individual companies to attend one of our educational meetings and discuss other West Coast species or discuss the problems we are currently facing. 100% of those responding would welcome a speaker from the WHA or individual companies to attend one of our educational meetings and discuss other West Coast species or discuss the problems we are currently facing. Outlook to the future amongst the majority is positive. Outlook to the future amongst the majority is positive. Questions Questions