DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-38,534

HEDSTROM LUMBER COMPANY, INC.
TWO HARBORS DIVISION
TWO HARBORS, MINNESOTA

TA-W-38,534A

HEDSTROM LUMBER COMPANY, INC.
GRAND MARAIS DIVISION
GRAND MARAIS, MICHIGAN


Certification Regarding Eligibility
To Apply for Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974
(19 USC 2273) as amended by the Omnibus Trade and Competitiveness
Act of 1988 (P.L. 100-418), the Department of Labor herein
presents the results of an investigation regarding certification
of eligibility to apply for worker adjustment assistance.
In order to make an affirmative determination and issue a
certification of eligibility to apply for adjustment assistance
each of the group eligibility requirements of Section 222 of the
Act must be met. It is determined in this case that all of the
requirements have been met.
The investigation was initiated ON January 16, 2001 in
response to a petition filed on behalf of workers at Hedstrom
Lumber Company, Inc., Two Harbors Division, Two Harbors,
Minnesota. The company requested that the investigation be
expanded to include workers of the Grand Marais Division, Grand
Marias, Minnesota. The workers were engaged in activity related
to the production of softwood dimensional lumber. The workers
are not separately identifiable by product line.
The investigation revealed sales, production, and employment
declined at both subject company locations during the relevant
time periods.
The investigation also revealed the continuing customer
reliance upon import purchases of softwood dimensional lumber.
The Department of Labor conducted a survey of the subject
company's major customers regarding their purchases of softwood
dimensional lumber. The survey revealed that customers increased
import purchases of softwood dimensional lumber like or directly
competitive with those produced by the subject company during the
same period that sales and production declined at the subject
company locations.
Currently, there is a NAFTA-TAA petition investigation in
progress for workers at Hedstrom Lumber Company, Inc., Grand
Marais Division, Grand Marais, and Two Harbors Division, Two
Harbors, Minnesota, NAFTA-4404.







Conclusion
After careful review of the facts obtained in the investi-
gation, I conclude that increases of imports of articles like or
directly competitive with softwood dimensional lumber contributed
importantly to the decline in sales or production and to the
total or partial separation of workers of the subject firm. In
accordance with the provisions of the Act, I make the following
certifications:
"All workers of Hedstrom Lumber Company, Inc., Grand Marais
and Two Harbors Divisions, Minnesota who became totally or
partially separated from employment on or after December 26,
1999 through two years from the date of certification are
eligible to apply for adjustment assistance under Section
233 of the Trade Act of 1974."

Signed in Washington, D.C. this 13th day of April 2001.
/s/ Linda G. Poole
_______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance