Staff Writer
PRESQUE ISLE — Congressman Mike Michaud visited several Maine businesses — including stops at Columbia Forest Products and Acme Monoco Corp. in Presque Isle, Smith & Wesson in Houlton and Katahdin Cedar Log Homes in Oakfield — in August during his “Make it in Maine” manufacturing tour, concluding the four-day event with a roundtable discussion with local manufacturers, leaders and economic development experts in Bangor.
CONGRESSMAN MIKE MICHAUD joined Mark Kelly, operations manager, for a tour of Columbia Forest Products in Presque Isle in August. Michaud spent four days visiting locations throughout the state, listening to business leaders’ concerns and gathering information on what needs to be done to improve business.
Michaud visited the Aroostook County locations on Aug. 24, with his first stop at Columbia Forest Products on Missile Street, where he was given a tour of the facility. CFP was founded in 1957 and is North America’s largest manufacturer of hardwood plywood and hardwood veneer. Columbia’s decorative interior veneers and panels are used in cabinetry, furniture, architectural millwork and commercial fixtures.
“The best ideas don’t come from Washington, they come from Main Street,” said Michaud.
Mark Kelly, operations manager at CFP, met with Michaud prior to showing him around the site, giving the congressman an overview of the business and welcoming him on behalf of CEO Brad Thompson, chair of the Hardwood Federation.
“Business has been surprisingly good. The first half of the year is usually our strongest. We produce materials used for such things as kitchen cabinets made from maple/birch veneer. People build houses, then when winter comes they get into the kitchen work — finish the first of the year,” explained Kelly.
Kelly said there were several issues of concern to company officials.
“We’ve determined three key issues: recognition of the environmental benefits of U.S. hardwoods in “green building” legislation, defending a level playing field in international trade and recognizing the importance of wood in biomass definitions,” said Kelly.
Kelly told Michaud CFP uses “U.S. hardwood logs from controlled non-environmental-sensitive areas from certified sustainable forests.”
He said the company was “big into formaldehyde-free products.”
“Our market includes hardwood plywood for furniture, kitchen cabinets, paneling, etc. We deal largely with a domestic market but also have some export customers,” he said.
Michaud asked if foreign imports have affected CFP’s sales.
“Cheap Chinese plywood is hard to compete with,” noted Kelly. “We just want a fair playing field, then we can compete.”
Kelly said sustainability in the forest industry is important and that CFP was “very much on board with the initiative.”
“Through proper use of resources, it shuts down rain forest logs, those from Africa and Russian logs smuggled into China. We work hard with the forest industry (in the U.S.)” to promote encourage and promote sustainability, said Kelly.
Kelly said employees have a vested interest in producing a quality product, since employees own the business.
“Columbia is 100 percent employee owned. We have approximately 2,000 employees working in three veneer mills and seven plywood mills across North America. Here in Presque Isle we have 175 employee owners,” Kelly said.
He said because employees own the business, they “look more closely at how money is spent.”
“They watch things closely and are the toughest critics,” said Kelly.
Michaud asked how the economic downturn has affected the company. Kelly explained that producing a quality product has enabled CFP to remain competitive and keep workers employed.
A FOUR-DAY TOUR of Maine businesses by Congressman Mike Michaud concluded with stops at four locations in Aroostook County, including Columbia Forest Products in Presque Isle. Pictured getting a firsthand look at work being done at the mill are, in forefront, from left: Michaud and Operations Manager Mark Kelly. Working in back are employees: Peter Starr, Jim Sirois and Denise Bonato.
“We used to do flooring — got out of that early in the year. There was a 5 percent pay cut, but eight months later we were able to bring back. There’s job security based on the quality of product we put out,” said Kelly, adding that three years ago the company had three shifts going in Presque Isle but that has been trimmed to two shifts now.
“An increased market in China has made up for the loss of a shift. We also have a niche market for smaller orders — say someone only needs a few pieces to finish a kitchen. It’s a neat success story,” Kelly said.
Michaud asked if there was anything else that could be done to help the manufacturer continue to prosper.
“Truck weights are always an issue. Rail is an issue. Getting cars can be a real problem. If a rail car is late, it can mean missing a deadline for an order. A lot of our product goes to the West Coast. We’re freight sensitive,” said Kelly.
Following the discussion, Kelly showed Michaud around the mill, stopping to explain various aspects of production along the way.
Next, Michaud visited the Acme Monoco Corp. located on Cross Street in the Industrial Park.
Acme Monoco, founded in 1947, is an original equipment manufacturer (OEM) of specialty wire serving the medical, commercial and orthodontic industries. In 2010, the Wellness Councils of America presented its Gold Well Workplace Award to AMC. The award recognizes an organization for its commitment to the health and well-being of its employees. Only a handful of companies each year meet the rigorous standards to achieve this distinction.
ACME MONOCO CORP. was one of several businesses Congressman Mike Michaud visited recently. Pictured are Michaud and Plant Manager Mark Jarrett.
Mark Jarrett, plant manager, served as tour guide for Michaud, explaining the various work stations and what types of products are produced at the facility.
“One of the benefits of our products is that they can be tracked. Imported products often can’t be,” said Jarrett.
Jarrett indicated competition in the world market can be difficult, especially with regard to material costs.
“We can’t buy material in the states for what they’re making it for overseas,” said Jarrett.
Another issue Jarrett said the company is dealing with is high energy costs. He also indicated the constantly changing price for stainless steel affects business as well.
“The price constantly fluctuates. We have to adjust rates constantly,” he said.
Jarrett said in addition to private sector customers, AMC is also certified for military jobs.
“We sell to distributors mostly,” noted Jarrett.
“I’ll have to look into where the V.A. gets medical supplies,” said Michaud, ranking member of the Veterans’ Affairs Subcommittee on Health, as the tour came to an end.
Michaud and staff members joining him for the tours finished their day, visiting the Smith & Wesson factory in Houlton and Katahdin Cedar Log Homes in Oakfield.
MODERN TECHNOLOGY factors heavily into the daily operations of Columbia Forest Products in Presque Isle. Pictured viewing a computerized image of the process of stripping logs at the mill are, from left: Congressman Mike Michaud, Operations Manager Mark Kelly and Al Woodward of Daqota Systems, Inc. — a full-service engineering firm providing engineering services and control systems for several industries, including CFP.
