LONE STAR: SERVING STATES UP AND DOWN THE MISSISSIPPI

Officials of Lone Star Industries Inc. and the Southeast Missouri Stone Co. quarries aren't surprised at the sharp increase in sales over the last year.

The success can be linked directly to the construction boom in the Midwest.

John Burian, plant manager at Lone Star, said his company has enjoyed record earnings in 1994.

"No question that the number of housing starts has become a big factor, and also we've had modest price increases the last few years," Burian said. "I also think we may have seen a surge from all the construction work created by the flood of 1993."

Burian said another reason for the company's success is the amount of states Lone Star Industries serves. "We service a lot of different states up and down the Mississippi," Burian said. "Our sales have been so good that at one point we we're actually not able to supply all of the demand."

Lone Star produces cement for Ready Mix concrete.

Burian said he has not seen this kind of growth since the 1970s. "The last time the industry was in this good of shape was back in 1977 or 1978," he said. "Not only has housing helped the industry, but there has been a lot of highway construction as well."

Chuck Greer, general manager of Southeast Missouri Stone, said the quarries in Cape Girardeau and Southern Illinois have benefited from the surge in construction in the area.

Southeast Missouri Stone produces aggregate for asphalt and ready mix for concrete.

Amid the hectic work schedule, however, Southeast Stone has maintained a commendable safety record. Greer said Southeast Stone went 32,015 hours without an injury that took a worker off the job.

This warranted the Sentinels of Safety Award. "We do a good job preventing injuries," Greer said.

The demand construction projects are placing on both quarries has created more overtime pay and the opportunity to purchase new equipment.

"We really haven't added more workers," Burian said. "We run very lean throughout the year so that when it slows down we don't have to lay anyone off. Right now we're operating 24 hours a day seven days a week." Burian said Lone Star repairs equipment during a three-to-four-week period when the demand for concrete drops off.

Greer said Southeast Missouri Stone has added some equipment for rolling, screening and conveying rock and gravel. "This is a good time to upgrade with newer equipment because of the strong year we're having," Greer said. "We don't see any letup in the near future. It looks like 1995 will be as good or better than 1994."

Burian said the forecast for 1995 and 1996 is for a slight dip in sales. "The gurus are saying there will be a slight lessening in 1995 and 1996, and then in 1997 a slight increase of maybe 3 to 4 percent," he said.

"I feel very good about this year and beyond," Burian said.