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governmentaffairs @hpba.org

www.hpba.org 

# Market Information Questions & HPBA Responses
(As of December 2009)

**1. A. What percentage of households in the U.S. heat with hearth appliances?**  HPBA cannot forecast the number of households in the United States that heat with hearth appliances. There are approximately 110 million households in the U.S. and roughly 53% own a fireplace/stove. 17% of those households own only a stove. Households that own only a stove are broken down into the following categories.

Wo od stove: 47% Gas stove: 31% Pell et stove: 11% Other: 11% Attachment #1 provides more detail. **1. B. What is the breakdown for the number of units used in the U.S.?** There is no tracking system in place to estimate the number of units in use in the U.S., but we can offer the num ber of un its shipped by our manufacturers

. Wetrack the following categories (2008 shipment data): Wo od Stove s : 127,124 Pellet Stove s : 118,401 Fireplace Inserts : 76, 539 (wood & pellet) **1.C. What is the breakdown for the number of units used per region in t he U.S.?**  HPBA does not know how many units were used in each region. Regional information regarding shipped units is not tracked due to a fiduciary obligation of confidentiality to our
me mb ers and a ffiliates.

**2. A. How many units of each appliance were sol**  **d last year , 5 years, 10 years?**  HPBA does not track number of units sold. W e collect shipments, not sales numbers. **2008 shipments**  **:** Wo od Stoves: 127,124 Pellet Stoves: 118,401 Fireplace Inserts: 76,539 Factory Built Wo od Fireplaces: 164,802 **200 4**  **- 2008**  **shipments :**  Wo od Stoves: 480,648

### 2 of 3 Pellet Stoves: 422,538 Fireplace Inserts: 273,145 Factory Built Wo od Fireplaces: 1,624,893 **1999 -** **2008 shipments**  **:** Wo od Stoves: 987,554 Pellet Stoves: 573,322 Fireplace Inserts: 420,751 Factory Built Wo od Fireplaces: 4,086,107
**2.B. What is the breakdown for the number of units sold per region in the U.S.?** Due to our obliga tions to member confidentiality we can only offer pellet shipments per region. 1999

- 2008 Pellet Stoves: We st: 124,332 (AK, CA, HI, OR, W A, AZ, CO, ID, MT, NM, NV, UT, W Y) Central: 156,542 (AR, IA, KS, LA, MN, MO, NE, ND, OK, SD, TX, IL, IN, MI, OH, W I) East: 246,624 (CT, DE, MA, ME, NH, NJ, NY, PA, RI, VT, AL, DC, FL, GA, KY, MD, MS, NC, SC, TN, VA, W V)

**3. A. What is the expected market growth rate for each wood heating device (1,5,10 years)?**  Wedo not produce forecasts or projections. **3.B. What has been the market growth rate for each wood heating device over the past 20 years?**  Wedo not produce forec asts or projections.

**4. A. How many manufacturers are in the HPBA** **? Who are the manufacturers? How many manufacturers are in each product category? Who are the manufacturers in each product**  **category?** HPBA manufacturers: 314 Wh o are the manufacturers: Pl ease see Attachment #2

BBQ: 52 Hearth: 242 Patio: 20

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**4.B. Of the wood heating devices sold in the U.S., what percentage is**  **manufactured in Canada? In other countries?**  HPBA does not have statistical in formation on where products were ma nufactured. **4.C . Of HPBA** 

**members, how many are small businesses according to SBA size**  **standards?** HPBA has no statistical data on business size. **4.D. What percentage manufacture products that are not wood heating appliances and of these, what percentage of**  **their business results from these other products?** HPBA does not have the data to produce an answer. **4.E. How many companies have less than 5 employees?** HPBA does not have the data to produce an answer.

**5. A. What type of wood fuel is sold/ used the most b**  **y region? What is the expected market**  **growth rate for types of wood fuel?** HPBA does not forecast or predict industry and does not track the purchase percentage of wood fuel.

**6. A. What is the average price of each appliance? Do you expect prices to decre**  **ase/ increase/ remain for each product category?**  H PBA only has the average prices a retailer pays a manufacturer for a product (2007

- 2008). These costs do not include labor or installation costs. Factory Built Fireplaces: $324.12 Freestanding Stove s (W ood): $866.42 Freestanding Stoves (Pellet): $1 348.30 Fire place Inserts (Exempt

-Wo od): $1 427.66 Fireplace Inserts (Pellet): $1 692.35 **6.B. How do you think a tighter emissions number will affect the prices of each product category?**  HPBA does not know. **6.C. What percentage of total price can be directly attributed to meeting an emissions standard?**  HPBA does not know. **6.D. What are the average R&D costs of developing units that meet tighter emission limits?** HPBA does not know.