California IN BRIEF : EUREKA : Housing Slump Hits Lumber Companies

The recent housing slump in California has lowered lumber prices and caused Humboldt County timber companies to lay off employees and consider other cost-cutting measures. Pacific Lumber Co. in Scotia announced Friday it was laying off 23 employees because of modernization at the company and the drop in demand for lumber. Other timber companies in the region are also taking steps to trim costs and brace for tough times. Louisiana-Pacific Corp. shut down its Samoa operations over the Christmas holiday. The drop in demand for lumber is one of the worst in many years. Shep Tucker, spokesman for Louisiana-Pacific, said he sees “a couple of tough quarters, maybe three quarters” before demand and prices pick up again.