Rare rte eS kt Seg ere Pa? This week: — ~ High grading - at a lower rate Herby Squish pondered several maps laid out on his desk.. He had spent far too much time in the office try- ing to convince Milton Jovial of the follies of bottom line, high grade logging. But his efforts hadn’t been totally lost; he had reached a rea- sonably fair compromise with Jovial. In actual fact, though, this had really only bought a few more years in which to con- vince the New York investor with the Milwaukee plastics plant that the forest industry was much different than most other manufacturing enterprises. The forest industry deals with a natural, renewable resource. Therefore, the entire industry has to work according to nature’s clock. Cut the forest faster than it is renewed, and your resource base is lost. A pret- ty simple concept, mused Squish. Why is it so difficult for some people to under- stand? Still, that part of his job was out of the way for the -mMoment and it was time to concentrate on other impor- tant matters. He had spent several weeks in his office and it was time to get back out into the field. He hadn’t visited a single logging site in weeks. Of particular con- cern to Herby was the phase logging operation. | Since Herby Squish had accepted a job as Milton Jovial’s resident forester, woods manager was his offi- cial title. The phase logging operation had been complet- ed, and he had only Jack | Block’s word that everything had gone as planned. Squish had always had doubts about the company’s ability to maintain a phase contracting operation. But Jovial had wanted to try it as a comparison with the effi- ciency of contracting out entire cut blocks. “{ hear you were a pretty happy sailer the other day.” The spirited voice of Syd Silver startled Squish. “When are you going to learn to knock? Aren’t you supposed to be out selling lumber somewhere? In Lebanon maybe?” 4. “A little touchy aren’t we?” Silver smiled. “Thought --you beat up the boss pretty good the other day and would be feeling pretty good about the future of Oz.” “Enough already. We won a bit of a battle but we're - still fighting the war. We’re not out of the woods yet... So to speak.” Silver laughed. “But your sense of humour lives.” | SO “Sorry Syd. But I do get a little depressed from time to time. Even with a battle won it seems a pointless war.” In spite of Silver's perma- nent state of good cheer, he was a sensitive man, and it was becoming very clear that this was an appropriate time to pocket the smile and open a caring ear. “Okay Letters to the Editor To the Editor; I am writing in opposition to Orenda’s chosen site for their proposed pulp and paper mill. There are thou- sands of square miles in the area to choose from, so why _. choose a site already 10-20 years into forestry regrowth, - that when originally harvest- - ed produced the highest yield per hectare in the whole region? It only stands to reason that with ever- improving forest manage- ment and silviculture tech- . ‘niques, this area will pro- ’ duce an even higher yield next time it is harvested. ” Tt doesn’t take a scientist to réalize that if you con- dense 1,644 cubic metres of Pifer——= continued trom page 6 Or have the corporations ‘already come to terms with living with an apparently moderate NDP administra- tion? Have some of their leaders even acknowledged the need for Social Credit to undergo a cleansing, and to spend some time in the ~ wilderness of the Opposition benches? This crystal-ball gazing correspondent thinks that — Yes is the answer to the last two questions. Parting Thought: it is easy water daily and release it into the air over the Onion Lake Flats in the Kitimat Terrace corridor, an area already prone to long inver- sion air patterns, particular- ly in the fall and spring months when fog is already a problem in this area, it will compound that problem. This is not acceptable at our. airport, considering that many flights are already diverted or cancelled due to fog. Most truckers, or any- one that drives a lot will also realize that black ice goes hand in hand with fog. The - hills in the area of Onion Lake, the closest section of the highway to the proposed ‘mill site, are the stretches of | road that most people, even the very experienced truck- ers, find most difficult in the winter. At.the present time this is a multi-use area, sponsoring a wide variety of uses including hiking, cross country skiing, skidoo-ing, -four-wheeling, dirt biking, hunting and fishing as well as fish spawning, swimming and canoeing. It attracts many tourists from around the world to this area, Let’s leave this area to do what it already does best: grow trees, rejuvenate fish stocks, and entice tourists to return here, year after year. Marg Sullivan . Lakelse Resident to feel some empathy for Rita Johnston as she stead- fastly stumps along the elec- tion trail. . After all, she inherited a bitter, fractured party, and less than two months after squeaking out victory in a leadership campaign, was forced to put it on the line in an election It was ill-pre- pared for. With the wheols falling off her campaign wagon, Mrs. Johnston gamely presses on to the next engagement, aven if it is ane which makes no sense, politically... such as meeting school children too young to vote. She and too many others in Social Credit propped up the whacko style of Bill Van- der Zalm for far too long. They sat by and watched him trample traditions, ignore propriety, and lead the lurch to the far right, with little opposition and some oncouragement. . It looks as though the chickens are packing their bags to come home to roost. é Terrace Review — Wednesday, October 9, 1991 7 Forestry Insights by Tod Strachan, in consultation with Rod Amold and Doug Davies Herb,” he said with an understanding tone. “You paint the picture... I'll listen to what you have to say.” ~ Herby Squish leaned way back in his chair. Planted his feet squarely on his desk. Pondered the ceiling for a minute or more. And then the words began to roll off his tongue... Like the trees once did off High Tower’s cliff. Sometimes grinding, scraping, digging up dirt. Sometimes silent in the plunge to an obvious end. . Sometimes breaking in a ' thunderous roar as a pre- dictable conclusion was reached. Listening to Herby’s story, Silver learned there were things to he done, and per- haps he might help. Squish described the saga of the tables and charts. _ “IL saved the most telling scenario till the very end,” Squish spoke into the air. “It was painfully obvious to the boss. He squirmed. I lec- tured... And then we com- promised on something that was really less than this industry needs. . “He’s still going to high grade. But over eight years rather than five. Says he's still not convinced, but he’s willing to move slower to see if I'm right.” Silver interrupted: “Can you explain this ‘scenario’ in a little more detail?” “Well... In a nutshell, high grading will break this place. You cut all your best trees during your first five year harvesting plan... Good lum- ber. Big profits. And you pay off your debt. Then, with your debt retired, you har- vest the poorer quality trees ‘for the next fifteen years at a much smaller profit. Might sound great... In theory. But it won't work.” “Why not?” Silver asked. “There are three very simple reasons,” Squish con- tinued. “First, the timber quality will decline at a rate of about 11 percent per year. Second, because of declining timber quality, your manufacturing costs will climb at about four per- cent a year. And third, because your timber is more difficult to aceess cach year, your harvesting costs will rise at about seven percent each year. “The hottom line? According to my best guess estimates, Jovial would - make only about $450,000 profit in the sixth year. Begin losing money in the seventh. In the ninth year his annual losses would reach the one million mark. And by the twentieth year, if he is still in business, which is pretty much impossible, he loses about $5.5 million.” “I'm convinced,” Silver consoled Squish. “The boss isn’t,” sighed Squish. “Says he has a better plan. High grade over eight years instead of five. Start buying high quality fibre from other licensees and pri- vate landowners in the fifth year, in other words get them to high grade, in order to keep profits high and ensure the debt is retired. And then sell the operation in the eighth year while it still looks like a going con- cern. “But it's sheer folly. It’s a lie. The buyer, if one is found, wili inherit a planned financial! disaster. Syd, I’ve managed to buy us a few more years. A few more years in which to convince the boss he’s wrong. And if you can find a way to help, I can use all the help.I can | get.” | “No problem,” Silver agreed. “Just tell me what to do, And in the meantime... - Cheer up. If Jovial messes up, you'll always have a job... Somewhere.” “You've only heard one half of my problem,” Squish replied. “I’ve spent so much time trying to sell a respon-. sible harvesting plan to Jovial that I've been ignoring - my. work in the field. And I have this sick feeling there are a few surprises waiting out there that I would be beiter off not knowing.” “Like?” “Like ‘Snatch’ Block's phase contracting operation. The job is complete. Snatch claims all's well. But f don't believe him. I’ve got to go out and evaluate the site and I'm not really sure that ! want to. If you're not doing anything In the next few days, perhaps you would like to come along. | ean guaran- tee you an education... But | can't tell you what the lessons might be.” @ ee ee nee ce ar ' " wT ee a. gg ; Se nee ee ee ame 4 ee ee te ee Sn ge pe oe | 4 ee - ae ee ee a eS = elle cham me