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ANDY BARTH: NOW WEYERHAEUSER MANAGES MORE THAN 20 MILLION ACRES OF
TIMBERLAND IN THE UNITED STATES AND CANADA, AND PRIDES THEMSELVES IN BEING
CONSERVATIONISTS, SCIENTISTS, AND ENVIRONMENTALISTS.
EARLIER, OUR ROB MCCLENDON SAT DOWN WITH WEYERHAEUSER'S RICHARD
CHAPMAN TO HEAR ABOUT THE LARGEST FORESTRY COMPANY IN THE NATION AND ITS ROLE
HERE IN OKLAHOMA.
ROB MCCLENDON: SO RICHARD, GIVE ME SOME IDEA OF JUST HOW BIG THE IMPACT
OKLAHOMA'S FORESTRY INDUSTRY IS.
RICHARD CHAPMAN: WELL, IT'S UH, ITS ABOUT FIFTH AS FAR AS THE AGRICULTURAL
CROP GOES IN OKLAHOMA.
ITS SOMEWHERE AROUND PROBABLY 20 MILLION DOLLARS, SOMEWHERE AROUND
IN THROUGH THERE, ALL SAID AND DONE.
SO, ITS UH, IT'S A PRETTY BIG INVESTMENT.
ROB: AND I THINK IT'S INTERESTING THAT YOU CALL IT AN AGRICULTURAL CROP;
IT'S NOT SOMETHING THAT WE NORMALLY THINK OF AS AN AGRICULTURE CROP.
RICHARD: NO; IT'S GENERALLY THE SAME AS WE DO, WE GO THROUGH THE SAME
PROCESS AS THEY DO IN WHEAT, AS CORN; WE PLANT IT, WE GROW IT, WE
FERTILIZE IT, WE HARVEST IT, AND THEN WE MAKE MATERIALS OUT OF IT.
ROB: YEAH, SO WHAT IS THE TYPICAL LIFE CYCLE FOR A TREE?
RICHARD: IT DEPENDS ON THE SOIL TYPE.
OUR LOBLOLLY PINES LOVE ACIDIC SOIL, SO PROBABLY DEPENDING ON HOW ACIDIC
THE SOIL IS, SOMEWHERE BETWEEN 25 AND 28 YEARS.
ROB: OKAY, AND.
RICHARD: THAT'S ALONG TIME FOR A CROP.
ROB: AND SO YOU GROW A TREE FOR 28 YEARS, HOW BIG IS THAT TREE GOING TO GET?
RICHARD: IT'LL GO ANYWHERE FROM ABOUT 60 FEET UP TO ABOUT 80, 85 FEET TALL.
ROB: AND THEN, ONCE THAT TREE IS CUT, WHAT HAPPENS TO IT FROM THERE?
RICHARD: WELL, IT'S LOADED ONTO A TRUCK AND THEN TAKEN TO A SAWMILL AND THE
SAWMILL PROCESSES THAT TREE INTO DIMENSIONAL LUMBER.
A LOT OF THE TREES ARE TAKEN TO THE CONTAINER BOARD MILL IN VALIANT AND
DIFFERENT PLACES IN CHIPS, AND MADE INTO CHIPS TO MAKE LINER BOARD.
SO THERE'S DIFFERENT PROCESSES; AND THE REST OF IT IS SAWDUST AND THAT
GOES TO THE OKLAHOMA CITY MARKET AND MARKETS LIKE THAT FOR THE BEDDING FOR
ALL OF THE CATTLE AND THE SHEEP AND THE PIGS AND THE DIFFERENT PEOPLE THAT SHOW
UP AT THE LIVESTOCK SHOWS.
ROB: NOW WHERE DO YOU GET YOUR TREES?
NOW WEYERHAEUSER OWNS LAND ITSELF, DOES IT NOT?
RICHARD: YES; WE OWN 500,000 ACRES IN OKLAHOMA.
WE OWN ABOUT 750,000 ACRES IN ARKANSAS TOTAL, NATIONWIDE, WE OWN ABOUT
SIX POINT ONE MILLION ACRES IN TREE FARMS.
ROB: NOW IS THAT SOLELY WHERE THE WOOD COMES FROM THAT YOU USE?
RICHARD: NO, NOT ALL OF IT; WE USE ABOUT 70% OF OUR OWN TREES AND THE REST
OF THE 30% WE BUY ON THE OPEN MARKET FROM INDIVIDUALS SUCH AS
YOURSELF.
ROB: OKAY.
NOW, WHAT ABOUT JOBS; WHO WOULD YOU BE EMPLOYING IN THIS INDUSTRY?
RICHARD: WE'LL BE EMPLOYING TREE PLANTERS.
WE'LL EMPLOY RIPPERS THAT RIP AFTER HARVEST, THAT COME ALONG AND RIP THE
SOIL READY FOR TREE PLANTING.
WE'LL EMPLOY HARVESTERS THAT COME IN AND CUT THE TREES.
WE'LL EMPLOY LOADERS THAT LOAD THE TRUCKS.
AND, WE'LL EMPLOY THE TRUCK DRIVERS THAT ACTUALLY TAKE THE RAW
MATERIALS TO THEIR FACILITIES TO BE PROCESSED; AND THEN, THE
FINISHED PRODUCTS FROM THE FACILITIES TO THE MARKETPLACE.
ROB: NOW, WHAT OTHER WORRIES WOULD YOUR INDUSTRY HAVE; I MEAN,
WHAT ARE SOME OF THE FACTORS THAT YOU HAVE TO DEAL ABOUT?
WHAT KEEPS YOU UP AT NIGHT, I GUESS IS MY QUESTION?
RICHARD: [LAUGH] PROBABLY JUST KEEPING OUR EMPLOYEES EMPLOYED WITH THE DOWNTURN
IN THE ECONOMY, HARD TO GET FINANCING FROM THE BANKS; IT'S LOOSENING UP A
LITTLE.
THE MAJOR INVENTORY OF HOMES, THE LACK OF NEW HOME CONSTRUCTION, AND/OR
MULTI-FAMILY HOMES, OR REMODELING; ALL THOSE SORT OF KEEP YOU UP AT NIGHT.
AND THEN, YOU WORRY ALSO ABOUT YOUR CROP, YOUR TREES THAT YOU'LL HAVE
GROWING IN THE FOREST, YOU ALWAYS WORRY ABOUT WILDFIRES THAT ARE
HAPPENING.
COLORADO IS A GOOD EXAMPLE, ALL THROUGH THE WEST RIGHT NOW, ALL THOSE
TREES ARE BURNING UP AND WILL HAVE TO BE REPLACED AT SOME POINT IN TIME
THROUGH NATURAL REGENERATION.
WE REPLANT OURS, BUT ONCE YOU GET A WILDFIRE DOWN PERHAPS IN SOUTHEAST
OKLAHOMA, IT COULD BURN A 1,000 ACRES.
AND IF THEY'RE 9 OR 10 YEAR OLD TREES, THEN THAT'S 10 YEARS THAT
YOU'VE LOST ON YOUR INVESTMENT.
AND WE DON'T HAVE CROP INSURANCE, SO WE, THAT INVESTMENT IS A TOTAL
LOSS; SO WE'LL HAVE TO COME IN AND TAKE, CUT THOSE TREES DOWN AND START
THE PROCESS ALL OVER AGAIN, AND START WITH OUR SEEDLINGS.
ROB: SO WITH THE DROUGHT OF 2011 THAT WAS SO *** FARMERS IN THIS PART OF
THE COUNTRY, HOW DID IT AFFECT THE FORESTRY INDUSTRY?
RICHARD: IT HURT IT QUITE A BIT BECAUSE WE HAD ANYWHERE, WE LOST ALL OF
OUR YOUNG SEEDLINGS THAT WE PLANTED LAST YEAR, THEY ALL JUST DIED FROM THE
DROUGHT AND THAT'S IN SOUTHWEST ARKANSAS AND IN SOUTHEAST OKLAHOMA.
THEY'RE ALL DEAD.
SO, YOU HAVE TO REPLANT THAT CROP; PLUS, A NEW CROP THAT YOU HARVESTED IN
2012, YOU ALSO HAVE TO REPLANT.
ROB: SOUNDS LIKE A VERY SUSTAINABLE INDUSTRY; WHAT WOULD YOU SAY TO THOSE
FOLKS THAT SAY, GOSH DARN, WE SHOULDN'T CUT DOWN A TREE?
RICHARD: WE HAVE MORE TREES NOW THAN WE DID IN THE 1930'S OR THE 20'S,
EVER SINCE THEY'VE BEEN COLLECTING DATA ON TREES.
THERE ARE MORE FORESTS OUT THERE; AND, THERE ARE NO MORE ENDANGERED FORESTS
AROUND OTHER THAN, THEY'RE ALREADY DETECTED.
AND YOU KNOW, WE GROW A CROP, IT'S NOT LIKE WE'RE OUT CUTTING DIFFERENT
TYPES OF TREES.
WE HAVE A CROP THAT WE DO A SUSTAINABILITY ON, AND THAT'S THE CROP THAT WE
WANT, WE KNOW HOW TO GROW IT, WE KNOW HOW TO REPLANT IT, WE KNOW HOW TO HARVEST
IT, AND WE KNOW HOW TO GET A GOOD FINISHED PRODUCT TO THE MARKETPLACE.
ROB: SO EVERYTHING YOU CUT, YOU REPLANT?
RICHARD: THAT'S RIGHT; WE ACTUALLY PLANT MORE TREES THAN WE NEED.
BECAUSE WE THIN ABOUT EVERY 10 YEARS AND WE TAKE THOSE THINNINGS AND WE
SEND THEM ALSO, THERE'S A MARKET FOR THIN TREES AND IT LETS THE OTHER LARGER
TREES GROW UP INTO DIMENSIONAL LUMBER TREES.
BUT WE TAKE THE THINNINGS, USE THE THINNINGS THAT WE PLANT TO UH, FOR EXAMPLE,
LINER BOARD MILL OR MAKE CHIPS OUT OF, THINGS OF THAT SUCH.
ROB: WELL CERTAINLY A FASCINATING INDUSTRY HERE IN THE STATE AND ACROSS
THE COUNTRY, AND ONE THAT I THINK A LOT OF PEOPLE JUST DON'T QUITE
APPRECIATE, YOU KNOW?
RICHARD: WELL, WE'RE, OKLAHOMA'S ON THE WESTERN EDGE OF THE SOUTHERN PINE
BELT AND IT GOES FROM OKLAHOMA ALL THE WAY TO NORTH CAROLINA.
AND THE MAIN TREE THAT IS GROWN DOWN IN THE SOUTH IS LOBLOLLY PINE, SOUTHERN
YELLOW PINE.
AND IN THE NORTHWEST IT'S A DIFFERENT TYPE OF TREE, IT'S MAINLY A DOUGLAS FIR.
AND OUR HEADQUARTERS IS BASED OUT OF FEDERAL WAY, WASHINGTON, AND THAT'S THE
TREE THAT THEY GROW OUT THERE IS A DOUGLAS FIR; WHICH IS A HUGE, LARGE
TREE AND THEY GO THROUGH THE SAME PROCESS THAT WE DO.
ROB: WELL, RICHARD, ONCE AGAIN, THANK YOU FOR STOPPING BY AND GOOD LUCK
TO YOU AND THE WEYERHAEUSER COMPANY.
ANDY: NOW ROB CONTINUES HIS CONVERSATION WITH RICHARD CHAPMAN ON OUR
WEBSITE WHERE WE ALSO HAVE A FEATURE ON THE HISTORY OF OKLAHOMA FORESTRY; JUST
GO TO OK HORIZON DOT COM AND CLICK ON THIS WEEK'S VALUE ADDED.