Anderson Lumber expands in Northwest

Home Channel News, May 3, 1999

Purchases of two more lumberyards bring six-state unit count to 35

OGDEN, UTAH -- Anderson Lumber, based here, continued its recent acquisition binge with the purchases of Try-City Lumber and Rima Building Center.

Anderson Lumber signed deals on April 13 to buy Pullman, Wash.-based Rima Building Center's assets, and on March 22 to buy Kalispell, Mont.-based Try-City Lumber's assets; purchase prices were not disclosed. Planning to acquire several Northwest stores, the company entered the Washington and Montana markets with these agreements.

Anderson Lumber now operates 35 building material centers and eight truss plants in Washington, Utah, Idaho, Oregon, Montana and Wyoming; it generated $334 million in sales in fiscal 1998, representing a 9.5 percent gain over last year's revenue.

The pro dealer acquired Rima Building Center's 10,000-squarefoot store and its 2.5-acre lumber yard. Co-owner Jani Rima said the 55-year-old company had not been looking to sell, but saw the opportunity to join a good company when approached by Anderson Lumber.

Glen Anderson, vp of Anderson Lumber's northern division, said Rima Building Center's current customer mix is about 60 percent DIY and 40 percent contractor. Anderson Lumber plans to add a stronger contractor focus to the building center with credit services for contractors, job-site assistance, two outside salespeople and additional delivery trucks, according to Anderson. The company will retain all 12 of Rima's employees, including David Belles, who will stay on as store manager. Anderson said the company plans to add three to four more employees.

Try-City generates between $10 million and $15 million in annual sales, according to Anderson. Aside from its 9-acre lumberyard, the 23-year-old business includes a 1,000-square-foot design center featuring millwork and roof and floor truss systems.

Try-City's co-owner, Brent Hall, will stay on as manager of this facility, which has changed its name to Anderson Lumber. Try-City entered the deal to be able to expand its business by getting more products and better pricing through Anderson Lumber's buying power, according to Hall. "[Anderson Lumber] is a five-star company that can take us into the 21st century." Hall said.