Excess Lumber has Arkansas Sawmills Cutting Back Production

OCTOBER 11, 2006 - Posted at 3:42 p.m. CDT

PRESCOTT, AR - Excess supply is leading some Arkansas sawmills to cut back production.

A Potlatch Corporation mill in Prescott is cutting its third shift, starting Monday.  The mill had run that third shift since 2002 and the cut will mean the loss of 42 positions.  In a news release, the company cited "poor current and projected southern yellow pine market conditions."

Bean Lumber of Glenwood is cutting production from five to three days per week, starting Monday.  Bean Lumber president Kurt Bean says the company will keep all of its 155 employees but they will have reduced hours.

Bearden Lumber Company began a 60-day production halt on August 15, leaving 225 employees temporarily without work.

Arkansas has about 20 major pine sawmills, which provide jobs for around 2,500 people.  An estimated 700 workers have been affected by production cuts since August.

(Copyright 2006 by The Associated Press.  All Rights Reserved.)