[Congressional Record Volume 158, Number 27 (Friday, February 17, 2012)]
[Senate]
[Pages S905-S906]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  RECOGNIZING F.S. VANHOOSE & COMPANY

  Mr. McCONNELL. Mr. President, I rise today to pay tribute to one of 
the most vital components of the American economy, the family-owned 
business. For over a century, Kentucky's own F.S. VanHoose & Company 
has persevered throughout the struggles that many small businesses 
face, and they are still on top. The company has a rich history of 
serving the Kentucky communities of Paintsville, Prestonsburg, Louisa, 
and the surrounding area. Although they have evolved and changed 
throughout the years to keep up with their competitors, it is their 
dedication to the customer and to the employee that still lies at the 
heart of the organization. And that is something that has never 
changed--not in the VanHoose family, and not in the VanHoose Company.
  Frew S. VanHoose founded the lumber company in 1910. Frew's son 
Howard VanHoose, who worked briefly for the company after studying at 
the Kentucky Military Institute, would answer the call to serve his 
country in 1943. Howard VanHoose was killed in action in Germany in 
April of 1945, his son Joe Howard VanHoose aged only four at the time.
  Frew VanHoose went on to spend 54 years running the company as 
president and CEO, until he could not manage the business anymore due 
to his failing health. With the founder of the company stepping down, 
the course of the company would dramatically change. After a brief 2-
week interlude, in 1964, Frew S. VanHoose's grandson Joe Howard 
VanHoose, then just 23 years old, became the new president of F.S. 
VanHoose & Company. In over a century of business, F.S. VanHoose & 
Company has had only two presidents in its entirety.
  Joe was perhaps inexperienced and not entirely ready to handle the 
management of his family's company, which under his grandfather, had 
grown to become a large, multi-faceted operation. In his own words, Joe 
described himself as ``23 going on 18.''
  ``I thought to myself, Joe, it's either sink or swim. I swam,'' Joe 
said.
  Today, the company's sales rate is 30 times greater than it was in 
the mid-1960s. Joe has spent 58 years as the company's president and 
CEO. The business is financially stable and annually injects great 
amounts of out-of-county and out-of-state money into the local economy. 
VanHoose & Company has been listed by various national trade magazines 
in the top 400 businesses several times.
  The secret to this small-town lumber company's success is simple. By 
treating employees well and keeping turnover rates low, the employees 
are able and ready to stay at VanHoose & Company for the long haul.
  Next, Joe relies heavily on the leadership of his fellow family 
members throughout the company. He believes it is up to them to carry 
on the business in the future.
  Also, every business needs to be able to change with the times--and 
sometimes even before the times. Joe remembers VanHoose & Company using 
computers long before they were the norm. Now he can hardly imagine 
going a day without them.
  Last, but certainly not least, is pride. Each individual involved 
with the organization cares deeply about the well-being of the company, 
and reveals it in their day-to-day display of upstanding character and 
customer service.
  It is my hope that today, my fellow Senators will join me in 
recognizing the contribution that this company has made and is 
continuing to make in the Commonwealth of Kentucky. Success stories 
like that of F.S. VanHoose & Company resonate as examples of what hard 
work, perseverance, and dedication can lead to in our great country.
  There was an article recently printed in the publication ``Discover 
the Power of Southeast Kentucky,'' published by the Southeast Kentucky 
Chamber of Commerce in the summer of 2011. I ask unanimous consent that 
it appear in the Record.
  There being no objection, the article was ordered to appear in the 
Record, as follows:

      [From Discover the Power of Southeast Kentucky, Summer 2011]


                       VanHoose Lumber Since 1910

       When you meet Joe Howard VanHoose, president and CEO of 
     F.S. VanHoose & Company, you notice first the smile, 
     contagious laughter and friendly demeanor. Under all this 
     congeniality he's a very good businessman who guided the 
     family business from financial straits in the mid-1960s to 
     the celebration of its 101st anniversary, making the company 
     one of the oldest continuing retail businesses in the tri-
     state region. Joe VanHoose has seen the company through the 
     worst of times and the best of times, with more good times 
     than bad.
       F.S. VanHoose & Company was founded in 1910 by Frew S. 
     VanHoose who ran the business until he was into his 80s. 
     ``Technically, we have had only two presidents of the company 
     in the 101 years of operation,'' Joe says with a smile. ``My 
     grandfather's failing health in the 1960s changed our course. 
     In 1964 I was nominated as president of our company. I was 23 
     going on 18. Oh, we had an interim president for two weeks. 
     Frew gave one of his cronies the position with no money 
     changing hands. The man was to get his with what was to come 
     by turning the business around. A `falling out' over 
     something said to him got him to throw down his keys and go 
     home.
       ``At that time we had a longtime secretary/treasurer of the 
     company named McKinley Baldwin, also a stockholder in the 
     business, who nominated me as president. I'm pretty sure he 
     was looking out for his own interest as well as the company's 
     when he did that. He knew I was so green and inexperienced I 
     would do whatever he said. I thought to myself, `Joe, It's 
     either sink or swim.' I swam!'' Then he added with a grin, 
     ``More out of fear than intelligence.''
       Joe came from good stock. His father Howard VanHoose had 
     graduated from Paintsville High School in 1935 and attended 
     Kentucky Military Institute before joining his father in the 
     family lumber business as manager of the Louisa operation. He 
     was very active in civic affairs: a member of the Louisa City 
     Council, vice president of the Rotary Club, secretary/
     treasurer of the Business Men's Club and a member of the 
     I.O.O.F. This was all interrupted in 1943 by a call to 
     service for WWII. Howard VanHoose was killed in action in 
     Germany in April 1945. Joe was but four years old.
       When Joe assumed the leadership role, F.S. VanHoose & 
     Company had a hardware store, lumber yard and wholesale 
     department in Paintsville, a facility in Prestonsburg and a 
     lumber yard in Louisa. To get the company back on solid 
     ground, Joe said he shored up some things and put good 
     practices into place. ``We consolidated our Paintsville 
     operations and the Louisa yard.''
       Joe attributes much of the success of the company to hiring 
     and retaining excellent employees. ``We give employees a good 
     benefits package. This is one reason we have so many long-
     time employees. That, plus we treat them well. Low turnover 
     means a lot to us as well as to our customer base--friendly, 
     familiar faces. Besides our regular career employees, we have 
     family members who have been here a long time. My cousin 
     Scott Craft retired from here about six years ago. He was 
     vice president. His brother Mike retired about two months 
     ago. He was manager of our Prestonsburg operation as well as 
     secretary/treasurer. I have a son, Harry, in the business 
     now, and hopefully the family will carry the business on in 
     the future.''
       Another crucial move on VanHoose's part was changing with 
     and sometimes before the times. His company utilized 
     computers before it became the norm. ``It's so common now,'' 
     he said ``that I wonder how companies ever operated without 
     them.''
       At one point the growing trend of ``chain yards'' started 
     getting close to what was considered F.S. VanHoose & 
     Company's market area, which was a 75-to-100-mile radius 
     reaching into three states. ``They were getting into 
     Huntington, around the Ashland Oil plant near Catlettsburg 
     and in Ironton, Ohio. They were shifting into our market, and 
     I knew we had to do something. I knew it would be just a 
     matter of time before they were in our face.

[[Page S906]]

       ``The older way of doing business was by operating off 
     certain margins. We went through a gradual evolution from 
     margin to volume.''
       Over the years some of the large chains have moved on up 
     the Big Sandy Valley into VanHoose's backdoor. Some stayed 
     around a little while, others longer. ``We have taken some 
     hard shots over the years, but we have managed. We have two 
     large sales each year--spring and fall. We promote these 
     sales in 25 newspapers with full-page ads. We use 10 to 12 
     radio stations and two TV stations, also. We have no outside 
     sales, and this gets our name out there. It brings people in 
     from other markets. We've been doing these sales since the 
     early '70s.''
       Joe said new facilities are planned for the Prestonsburg 
     store. ``Adjacent to where we are now, we are renovating a 
     large former Betsy Ross warehouse and plan a move into it 
     soon. Also in Prestonsburg, we have a new manager since Mike 
     retired. Calhoun Salyer from Paintsville had worked several 
     years for us while going to college . . . probably 25 years 
     ago. After he graduated from UK, he became secretary/
     treasurer for us and stayed around about five years before 
     going elsewhere. He is back. He had been in management and 
     sales and has brought that expertise with him. He is a good 
     addition.
       ``We are financially stable now. Sales are 30 times what 
     they were in the mid-1960s. We bring a lot of out-of-county 
     and out-of-state money into this area.''
       Joe said that higher volume has required expansion of 
     equipment and personnel to handle it. ``Today, we have a 
     fleet of a dozen trucks and a maintenance department to keep 
     them running well, a boom truck to handle drywall, 10 
     forklifts, and half a dozen piggyback trucks with forklifts 
     hanging off the back for special deliveries . . . all to 
     serve our customers. Our total personnel varies between 37 
     and 50, depending on the economy.''
       Another added value that has most certainly contributed to 
     the company's success is also a source of pride. ``The amount 
     of expertise that we have to offer to the customer that is 
     free is phenomenal,'' Joe said. ``If a professional 
     contractor wants to know something, he or she comes to us.''
       ``In the 1980s and early '90s, national trade magazines had 
     our little company listed in the top 400 several years in a 
     row. No little feat considering the large amount of lumber 
     companies in this country and their sizes.''
       Joe grinned, ``Can you imagine continuing 101 years in the 
     retail business and having only two presidents of the company 
     during that time?''
       When asked how much longer he plans to work, he laughs and 
     answers, ``There was a man in Lewisburg, West Virginia, who 
     ran his lumber company and showed up every day until he 
     passed away at 103. I'd like to break his record.''

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