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Poor Boys Lunch November 22, 2007 Fantasyland Hotel Phone 780.444.2819 for tickets
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with Muggsy, Marty & Mark
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f today is Thursday, it’s breakfast at
Gasland where Phil Klein holds court with such luminaries as Oilers Chairman Cal Nichols, Bob Bentley of Freedom Ford, All Weather Window’s Bill Scott, and government rep Blaine Yamkovy. Friday is breakfast with Wally Michaels… and Saturday is at the West Harvest Inn with John Cameron of Ducks Unlimited. Phil reserves Sunday for breakfast with his wife, Marvel. In the meantime, you can catch the boulevardier at soireés like the annual Mahatma Gandhi Foundation for World Peace, emceed last month by his good friend Sine Chadi of Imperial Equities. In the keynote, Dr. Lloyd Axworthy outlined his vision of replacing the department of national defense with a department of peace. The crowd liked that idea. Did we mention that Phil is 90 years young? To celebrate his birthday on September 29th, Phil’s friends threw a bash that helped raise $63,000 for prostate research. Lately, his job has been to recruit VIPs for the now sold-out November 7th Canadian Mental Health banquet to hear Margaret Trudeau talk on life with bipolar disorder. If you’re lucky, you’ll sit next to Phil.
was completely new to the world of being a corporate wife. “First thing is the layers of wardrobe—my uniforms, I call them—needed for award ceremonies, banquets, and balls. Then there’s the travel—often weekly throughout Alberta and nationally.” Home entertaining is big, too. “Jim’s especially sociable. He would have people over two or three times a week, even as a single man. “I did not want to leave Fort McMurray,” says Lorraine who had fallen in love with the community. “Those (oil) plants attract a high percentage of educated, ethnically diverse and interesting people…who bring their bright children. Second, the tradesmen—friendly, lonely and helpful—who could be anybody’s father, son, uncle, brother. And the First Nations people—the most heart warming people integrated as friends and colleagues.” Any thoughts on royalties, Lorraine? “I think there is some room for adjustment but the new royalties affect the average business, too—restaurants, clothing, retail. I believe that Ed Stelmach struck the right balance by not adopting all of the recommendations of the Royalty Review Task Force, particularly by not implementing the oil sands severance tax—intended to tax revenue not profit. “What needs to be remembered is that the oil from the oil sands is among the most expensive in the world to produce. It takes a lot of people and equipment to mine it and upgrade it.” Yes, a woman of clarity.
I got over my jitters of doing roasts by
roasting Mayor Stephen Mandel and Premier Ed Stelmach. The driving force behind the from Fort McMurray to benefit Edmonton. Think human charity event for the Canadian Progress Club capital. For starters, former Syncrude boss Eric Newell and was Don Clark, the consummate volunteer. Kathy moved here a few years back. Now, retired The other roasters were very President and COO Jim talented and funny fellows: Carter along with his bride, rraine Bray Graham Hicks from the Sun, Lo . Dr ife w d an er Jim Cart Dr. Lorraine Bray, moved Bob Layton of CHED, Nick south in June to be nearer Lees from the Edmonton their six adult children, eight Journal, Oilers President grandchildren—and Patrick LaForge, and Lloyd Edmonton’s rich cultural life. Snellgrove, MLA, president of On the horn is Lorraine, the Alberta Treasury Board. I amidst her investigation of called Ed “Premier Melmac” because construction methods for their he’s plain and unbreakable. My fellow new home on seven acres, 10 Vox Popper, Mark Scholz emceed the minutes north of Devon… fundraiser and said some things we Jim is in Jasper receiving an can’t repeat in a family paper. award from the Alberta Labour Congress for his efforts in the workplace. He’s on I’ve always considered Ben Kolbuc a diamond the board of EPCOR, Finning, Alberta Research Council, in the rough. Now it’s official: The friendly president and several smaller companies and not-for-profits. of Norden Autohaus has been chosen to receive the “I love doing research,” says Lorraine—a deeply Volkswagen Auto Group’s most prestigious honour, the spiritual, practicing psychologist with a formidable Diamond Pin Award. clarity—who recently added the words “window truss” to Only one dealer from 156 potential candidates across her vocabulary. The couple married 10 years ago after Canada can be chosen for this recognition. You have to meeting on a blind date and Dr. Lorraine moved to Fort exceed Volkswagen sales targets, have a very high McMurray from Edmonton to be with her new husband, a customer satisfaction index, and take an active role in resident of Alberta North for 28 years. “What you do for the community which Ben does in spades. You also love,” explains the therapist who helps people she calls “the have to already have a VW Gold Pin in your lapel— working well” adjust to issues of intimacy. he’s been sporting one since 2001. In fact, it’s his sixth Neither had been married for 13 to 15 years and Lorraine major award for Norden in as many years.
There’s more than oil coming down the pipe
Ben gets pinned at the end of the month in Wolfsburg, Germany, home to VW world headquarters.
A gift, a meal, a visit and a smile are the ingredients for a happier holiday. This is the third year you can drop off unwrapped, new gifts suitable for seniors at Meals on Wheels 11111 - 103 Avenue, from December 1st to 11th… call for hours of operation. There will be a gift wrapping open house with some holiday cheer on Wednesday, December 12, from 1 pm to 3 pm. Goodies will be delivered by volunteers between December 17th and Christmas Day. Contact Jim at 780.429.2020 or jim.draginda@mealsonwheelsedmonton.org
Last month, I wrote about the 30th anniversary of A.D. Williams Engineering and my long-time friendship with its founder. Tragically, that tribute to his success becomes my personal eulogy to Al Williams who died in a plane crash, along with CFO Steven Sutton. The story of the miraculous survival of Katie, Al’s three-year old granddaughter, is being covered worldwide. Here at home, we are both sad and grateful. My very sincere condolences to the families.
Robert Goulet, dapper singer, Camelot star, dead at 73—one of the thousands of headlines and sound bites on October 30th. I got the call late that afternoon from former Edmontonian Bob Rae, who now lives in New York state, as soon as he heard the news of our friend’s passing. Bob—we didn’t call him “Robert”— died from a rare form of pulmonary fibrosis in Los Angeles, waiting for a lung transplant. It didn’t arrive in time. The three of us, along with talents like Senator Tommy Muggsy with the la te Banks, started out in the Robert Goulet in 20 03 1950s performing in The Varieties and Orion Musical Theatre productions. Those were the days when the song and dance crowd owned this city and Bob was king. But his crowning glory was as a knight: Sir Lancelot in Camelot on Broadway in 1962. Bob spent the better part of 50 years as an entertainer. We last saw each other four years ago when he returned to Edmonton for the CKUA 75th anniversary. At the time, I wrote, “Still the same sense of humour, same raucous laugh, same deep voice… you forget he’s a worldrenowned celebrity. He’s just an old friend catching up on the gossip.” One of Bob’s signature songs was If ever I would leave you…√ Call Muggsy Forbes at 780.482.4545 or e-mail mforbes@edmontonians.com With addional reporting by Edmontonians staff
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ind of a potpourri of items related to
media this month. First off, one of my favourite Edmonton media people is Newcap’s Jackie Rae Greening—legendary in the country music field—CFCW and Big Earl—and one of the most awarded people in our industry. Not only is JR great at her job but she’s heavily involved in many great Canadian and international events that our city hosts. In fact, she did a great job as host committee president of the 2007 Ford World’s Men’s Curling Championships last April. If you get a chance to meet this laugh-a-minute lady, don’t miss the opportunity. My wife Kim and I got an invite from the lovely Bonni Clark of Northlands to the Keith Urban concert in September. JR was in top form and had the suite in stitches most of the evening. Hey Bon… is Cowboy Poker coming back for the CFR? Make it happen. Congratulations go out to general manager Randy Lemay for his promotion to “King of All Alberta” radio. He’s now in charge of the many Newcap stations throughout the province. As well, my long time pal and former employee Terry Evans has made his return to KRock mornings after a 15-month hiatus. Gord Robson, ex
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t’s rodeo time… between the 7th and 11th
at Rexall Place, ice is out and the dirt goes down. The Canadian Finals Rodeo features seven prorodeo events including most people’s favourite Bull Riding. The old Stampede in Calgary gets so much exposure, many people think it is the most important rodeo of all. Not true. The CFR is the deal. It is Canada’s premiere championship with a purse of $1.158 million… next stop, Vegas for the Superbowl of Rodeos. When I moved to Alberta in 1997, I had never been near a rodeo. My first CFR was a rush. The talent, toughness, the cold beer, the cool ladies, people from all over this province and beyond. Over the years, marketing efforts have been directed at getting young bums into the seats—including this year’s slogan Where the West Turns Wild. I have always felt the backbone of CFR is our rural brothers and sisters. City slickers of all ages should check out all the activities at www.canadianfinalsrodeo.ca, head over to Rexall and also take in FarmFair International—the livestock showcase at Agricom. But Northlands isn’t the only place stuff is happening. River City Roundup Go Cowboy activities are already underway and run through the 11th. Special events and entertainment at bars/saloons and restaurants all over the city... the Chili Cook Off... the farming display at Churchill Square... the Denim & Diamonds Gala... the pancake breakfast... the United Way luncheon… the list could fill this whole page. Go to www.rivercityroundup.com and take your pick. And, for heaven’s sake: Be seen in jeans. You can bet the RCR Ambassador will. It’s dot com multimillionaire Evan Chrapko, still a country boy at heart. CFR, FFI and RCR should be branding irons ’cause they sure do leave a mark on the city. Together they generate $60 million in direct spending—I suspect that number includes all the trucks the boys come into town to buy.
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of CHED and Newcap fame, is now full time afternoons on Cool 880 and is one of the best mentors in broadcast. James Stuart’s Bounce staff are readying themselves for an ownership change that finds them under the direction of Lloyd Lewis and CTV Edmonton. Tim Weinberger, long time general sales manager of Global Edmonton has left the building and is thinking of new career goals. I met Global’s zany weather lady Nicola Crosbie last month when she dropped by EZ Rock promoting the Dancing for Kids, a charity event which she most handily won. That girl had moves that had the judges in shock mode…especially The Sun’s Graham Hicks. You might note there’s a new local TV channel by now. At this writing, the search was still on for final placement on the dial, but keep your remote control hopping to find Crossroads Television System—CTS—which will bring a large variety of religious programming to Edmonton. I met the national sales and marketing director Glenn Stewart last month and bump into their local contact Marnie Stretch almost daily in the CTV building. Long time radio and TV guy, Chuck Chandler is being ‘rebuilt’ with knee surgery, while another former CHED “Good Guy” Jay Hamilton is filling in for him. Keith James Jr., yet another radio guy (CHED/CISN) just finished rebuilding his 1950’s Classic T-Bird from the ground up, and driving it back and forth to Virginia. It’s a beautiful beast built with love by one of my favourite people. Keith’s lovely lady Donna grew up literally across the alley from me in the Highlands. She was with the famed Three’s a Crowd group that gained international fame well before the CRTC instigated Canadian content regulations. A number of locals made the final cut at the annual Canadian Association of Broadcasters Gold Ribbon Awards. 630 CHED’s Michelle Bowden does a
tremendous job of her “Inside Story” feature and once again is nominated for recognition later this month in Ottawa. Our own Paul Brown’s “Bear‘s Toughest Contest” was also nominated and, as mentioned last month, Edmontonians columnist Bruce Hogle, former CFRN news director, will be inducted into the CAB Hall of Fame at this gala gathering. And a wonderful goodbye and best wishes to long time Standard Radio Edmonton chief engineer Bruce Bedford on his retirement. Having wrapped up his career here, Bruce and Maureen are building a new home on the Left Coast. For those of you who don’t know, “engineers” keep radio and television stations on the air 24/7/365. They are arguably the hardest working people in media and seldom get their fair recognition for making on-air performers look and sound so good. Finally, I wanted to send a big thank you out to the dedicated people at NAIT’s Radio and Television program. Patrick Galenza heads it up, and the instructors are all highly qualified media people who share their radio and television experience with young people trying to enter the broadcast business. My daughter Rayanne and stepson Jeremy have graduated, hoping to make their marks in TV and radio, respectively. If your offspring have similar aspirations, you can be assured that they’ll be taught by some of the best in the business. NAIT, I’d also suggest, has one of the finest placement percentages in the broadcast industry—you watch/hear many of them on Edmonton, Toronto and Vancouver stations. Have a great month. Support the United Way. √ Marty Forbes is VP and general manager of The Bear, EZRock and The TEAM 1260 Sports Radio. Contact marty@edmontonians.com
If you’re going to be in Toronto, go… If you have any He’s gonna go—me oh my oh… I chatted with Eskimo friends who live in Toronto, tell them to go. And see if you kicker Sean Fleming the Sunday after his last game in can snag Spirit breakfast tickets on Saturday, the 24th at Commonwealth: Has your upcoming retirement hit you www.spiritofedmonton.com. I’ll see you there for a Sluice yet? “No, not yet… We have one more game and it Juice or two. probably won’t hit me till next training camp.” Questionable penalty aside, run us through what was one Black Tie as you see it… Get your black and white attire or hell of a final kick in your tutu and tux or whatever black tie means to Commonwealth. “Going out there you ready for Saturday, November 10th and head with a strong wind in my face, it was over to the Westbury Theatre in the TransAlta Arts cold and I felt that 47 yards was as Barns for the annual Fringe gala fundraiser. Dr. far as I could go… I think that it Bob Westbury called me to put the word on the turned out that it was as pure a ball street. And when Dr. Bob tells you to do something, as any I have struck.” Knowing you you do it, dammit—or the Cape Breton mafia may like I do, you are still going to be come a calling. Ha Ha. Lori McConnell from the involved in our community, right? Fringe Theatre Adventures tells me Sheri “Absolutely, I will still be involved Somerville will sing show tunes, Michael Kennard with my golf tournament and the will give a little stage performance, and Annie Alberta Diabetes Foundation and Dugan from Firefly Theatre will do an aerial whatever event on behalf of the performance. The Fringe is a gem in this city’s Esks.” After seeing your last kick Sean Fleming crown… so call Noree @ 780.448.9006 for a table. It in Commonwealth, you’ve still should be a dandy. got lots of game… why retire? “The only reason I decided to retire was to develop CINful in Jasper… I was a mixologist at Christmas in my career with PricewaterhouseCoopers. It was either November a few years ago. Nick Lees and I hosted football or work. The time has come to take care of my seminars on how to make and drink tasty holiday cocktails. future.” You have a pile of records. What is one not many So I know first hand what you people know about? “I attended Vancouver College. would be missing at the I kicked the longest field goal on record. I was Fairmont Jasper Park Lodge in grade 12 and I hit a 58-yarder. That record this month. Hosted by Nik still stands today.” Manojlovich, CIN is a few What do you want to say to everyone reading days of festive food, wine, this? “Please continue to support the Eskimos food, decorating, food, organization. We had great success over the last fashion trends, decorating, 35-36 years. The ship will be righted and we mixology and, of course, need your continued support. I also want to food. It’s billed as “sinful thank the Eskimo fans for all your support on at e Fireplac e indulgences of the holiday and off the field. It was a fun and incredible ride, dg Lo rk Pa er the Jasp season, naughty and nice!” thanks to the fans.” Get your credit cards out and go to Speaking of football … I had lunch with Bruce Keltie and www.christmasinnovember.com. There’s still time to book mid-week three-night or weekend two-night packages. Keith Keating from the Spirit of Edmonton. Their Grey Hoist a ‘moosemilk’ for me in front of JPL’s towering Cup hospitality suite will be in the Grand Ballroom at the fireplace. PS: Yes, men go to this event and they love it. Sheraton Centre Toronto Hotel between Nov. 22nd and 24th, from 4 pm to 1 am. Mark Scholz, owner of MES Communications Inc. offers a The Spirit room is arguably the best event outside the actual game. Thirty years plus of bands, beer, no cover, variety of services including production, creative and CFL players, fans from every team, and the Grey Cup entertainment. For more information or to suggest a story makes an appearance. It is like an Edmonton homecoming. idea, email mscholz@edmontonians.com ne Paszek Photo courtesy of Dia
Edmontonians NOV 07:Grouped Pages NOV 06
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CELEBRATING
Poll
18 STATION YEARS
With Linda Banister
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eing environmentally conscious is becoming a hot topic for politicians and the general public alike. Edmontonians are beginning to think more critically about how and where their food is produced. From organic sections in our grocery stores to the bustling Old Strathcona Farmers’ Market, it is apparent that many shoppers are opting for what they consider healthier alternatives. For this month’s Poll Station, respondents were asked about their food purchasing habits, as well as their participation in Dine Alberta
Percentage
38%
37%
15% 10% Said they always buy organically produced foods.
Said they almost always buy organically produced foods.
Said they sometimes buy organically produced foods.
Said they rarely buy organically produced foods.
To begin, survey participants were asked if they had ever purchased organic or low-input foods when grocery shopping. Interestingly, 60 percent reported they had, while 38 percent had not. Of those respondents that had made purchases, 15 percent made a practice of doing so always, while 10 percent did so almost always. A greater proportion stated that they sometimes purchased organic or low-input foods (38 percent), and 37 percent reported that they rarely did so.
Those who reported that purchasing locally was of high importance frequently commented that supporting local farmers, businesses or the economy was important (66 percent), that the products were more trustworthy or safe (15 percent), and that locally produced foods were fresher (14 percent). Nine percent purchase locally produced foods because they believe it reduces pollution or transportation costs. Those who reported that purchasing local foods was of low importance most frequently suggested that the issue doesn’t cross their minds or that they don’t care (57 percent), that convenience was more important to them (14 percent), that they were unable to acquire the foods they desire locally (14 percent), and that they are cost conscious (10 percent).
ARE YOU AWARE OF DINE ALBERTA AND DID YOU PARTICIPATE?
Percentage
Said they had purchased locally produced foods.
Said they had not purchased locally produced foods.
Said they were unsure as to whether they had purchased locally produced foods or not.
Next, participants were asked about their tendencies to buy foods that were produced locally. Eighty-six percent said they had purchased locally produced foods, whereas nine percent stated that they had never and five percent were unsure. When asked where they shopped to purchase these foods, 71 percent had bought them at the Farmers’ Market; 26 percent had purchased local foods at grocery stores, and a smaller proportion (seven percent) specified that they had shopped at organic food stores. Respondents were then asked whether or not purchasing locally grown and harvested foods was important to them. Sixtyfive percent said it was of high importance to them while 29 percent indicated it is very important. It was of moderate importance to 14 percent, and of low importance to 21 percent.
Telephone: 780.482.7000 Fax: 780.488.9317 e-mail: info@edmontonians.com edmontonians.com
INSIDE VOX POP Muggsy Forbes . . . . . . . . . . . . . . . . . . . . . . . . . . . .2 Marty Forbes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3 Mark Scholz . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3 POLL STATION Buying organic/Banister . . . . . . . . . . . . . . . . . . . . .4 MY E-SPACE Pizza promotions/Rayner . . . . . . . . . . . . . . . . . . . . .5 EDMONTONIAN IN EXILE Park Plus/Edmondson . . . . . . . . . . . . . . . . . . . . . . .5 LEADERSHIP Depressed?/Hill . . . . . . . . . . . . . . . . . . . . . . . . . . . .6 COVER STORY Thermablade evolution/Michaelides . . . . . . . . . . . .7
Editor
editor@edmontonians.com
14%
Said they were aware of the program.
5%
SHARON MacLEAN Publisher and Advertising Director
BARB DETERS
6%
9%
NOVEMBER 2007 No. 11
BIZINTEL Media Minute/Hogle . . . . . . . . . . . . . . . . . . . . . . .12 Corporate Ethics/ Somji . . . . . . . . . . . . . . . . . . . . .12 A buzz in the air/Lauber . . . . . . . . . . . . . . . . . . . .13
44%
DO YOU BUY LOCALLY PRODUCED FOODS AND IS IT IMPORTANT TO DO SO? 86%
Vol. XVIII
LIVELY LIFESTYLES Menu Magic/Berry . . . . . . . . . . . . . . . . . . . . . . . .14 Absolute Bodo . . . . . . . . . . . . . . . . . . . . . . . . . . . .15
Percentage
HAVE YOU PURCHASED ORGANICALLY-GROWN FOODS?
FOUNDER DICK MacLEAN
Said they were very aware of the program.
Said they have attended the program before.
Finally, respondents were asked about the Dine Alberta program, which takes place in September, and features more than 120 restaurants that have created menus to showcase local agricultural products. Forty-four percent were aware of the program, with 14 percent being very aware. While only six percent had attended the Dine Alberta program this year, an additional 43 percent stated that they would likely participate in the future. For additional information on the Dine Alberta program, please visit www.dinealberta.ca. The Poll Station surveyed 100 City of Edmonton residents on the topic and, while the results of the research are not statistically reliable, they do provide a qualitative indication of what Edmontonians are thinking.
Want a question included in the Edmontonians Poll? Linda Banister is a certified management consultant and the owner of Banister Research and Consulting Inc., a full service provider of market research and program evaluation services. Contact Linda at 780.451.4444 or e-mail at lbanister@edmontonians.com. Visit www.banister.ab.ca.
COLUMNISTS Linda Banister John Berry Linda Bodo Tom Bradshaw Les Brost Janet Edmondson Marty Forbes Muggsy Forbes Steffany Hanlen Bruce Hogle David Norwood Larry Ohlhauser Erin Rayner Mark Scholz Nizar J. Somji FEATURE WRITERS Barb Deters Don Hill Rick Lauber Maria Michaeledes PHOTOGRAPHERS Terry Bourque Janis Dow R. Johns David Strong GRAPHIC PRODUCTION Rage Studios Inc. INFORMATION TECHNOLOGY Michetti Information Solutions Inc.
THIS MONTH’S COVER
Wayne Gretzky tries Thermablades in Phoenix... Plus TBI president Patrick Francey and Steffany Hanlen with former Oiler Grant Fuhr, now goalie coach with the Phoenix Coyotes Photo courtesy of Therma Blade Inc. Published by 399620 Alberta Ltd. on the first day of each month at 333, 10240 - 124 Street, Edmonton, Alberta, Canada T5N 3W6. ©All rights reserved. No part of this publication may be reprinted or reproduced in any form without written permission from the publisher. Manuscripts: must be accompanied by a stamped, selfaddressed envelope. Edmontonians is not responsible for unsolicited manuscripts. All stories Copyright ©Edmontonians Publications Mail Agreement No. 40023292 Return undeliverable Canadian addresses to: Circulation Department 333, 10240 - 124 Street Edmonton, AB T5N 3W6 Email: info@edmontonians.com
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my space For Young Entreprenuers
Jason Allard, Justin Lussier and Christian Bullock are passionate about their pizza.
From Naples, with love...
W
hat do two young Edmonton entrepreneurs and tomatoes grown in the volcanic soils at the base of Italy’s Mt. Versuvius have in common? They all play a part in the success of the city’s newest, authentic Naples pizzeria—Famoso—and its authentic Neapolitan pizza. Few people know that pizza was invented over 200 years ago in Naples, Italy. But even fewer know that there is a certification program to make authentic Naples pizza. Justin Lussier, 26, and Jason Allard, 27, have deep roots: They met in kindergarten and grew up in Edmonton together. They also worked together managing pubs and nightclubs during their time at the University of Alberta. Jason graduated with a Bachelor of Commerce degree and always knew he wanted to be his own boss. Justin earned a degree in political science but loved brainstorming the next best business idea with Jason. So when Justin returned in 2005 from a trip to Europe raving about the amazing and addictive pizza he had while in Naples, the wheels started turning and a business partnership was born. Their first challenge as partners was researching the pizza and specifically the traditional Naples pizzas. Jason had eaten his fair share of North American pizza but the duo didn’t want to be another mom and pop shop pizzeria. Having spent a week eating Margherita pizzas in Italy, Justin was passionate about its viability in Edmonton. So the search was on to find that kind of pizza for partner Jason and mentor/investor Christian Bullock to try. After spending a week taste-testing pizzas in local Italian restaurants, they hit the road. They started in Vancouver, then headed to Seattle where there are two pizzerias certified to serve Naples pizza.
The three agreed this was the taste they wanted to introduce to Edmontonians. They located premises on Jasper Avenue at 118th Street where The Commissary had been for many years. Walking into Famoso, I didn’t think of fast food. The restaurant is clean and chic with flat screen TVs and an inviting atmosphere. But the food is house: fast: A true pizza—in the Specialty of the Naples’ sense—takes only 60 a Margherita pizz to 90 seconds to bake in the oak-fired oven at a temperature of 485º Celsius. It’s also a healthier alternative to North American pizza because the hand-kneaded, Italian wheat flour crust is less doughy with lower gluten and higher protein. Justin and Jason realized there could be no cutting corners if they wanted to maintain authenticity, so they import many of their consisted only of the menu. Unfortunately, ingredients from Italy. they didn’t add a measuring tool. A simple coupon or “mention this flyer to receive a PROMOTIONAL EFFORTS discount” could have helped them check From a marketing perspective, Famoso’s logo—a mountain shape in red and black— the effectiveness of this initiative. Also, sending out a menu is what restaurants that is actually a tribute to Mt. Vesuvius. Like the restaurant, it is clean and modern… and deliver do. This might not have been the best way to spread the word and get people looks great on the signage above the door. into and talking about their restaurant. But, The legible and imposing sign—incredibly important for a restaurant—is easily seen as as with all young entrepreneurs, we each live and learn. you drive down Jasper Avenue. In fact, Keep an eye on these guys… I bet they’ll when I asked the guys what their best be nominated for Edmontonians Sizzling mistake was, without any hesitation Jason Twenty 20 under 30 in the next couple of said, “We put our sign up way too early.” years. √ That turned out to be a very good move… apparently, people in the area anxiously awaited the restaurant’s opening. Erin Rayner is president of ED Marketing Since their much anticipated opening, and Communications Inc. You can submit they have mostly focused on one of my marketing materials for review; suggest favourite ways of marketing: word of young entrepreneurs to be profiled; mouth, which is reinforced by the large, nominate a Top Three; or ask a business prominent signage. If customers can’t find developement question. you, they can’t tell their friends about you. Contact erayner@edmontonians.com
Edmontonian IN EXILE By Janet Edmondson in Calgary
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The duo has noticed an increasing number of regulars who seem to have found the pizza as addictive as Jason did while in Italy. They began focusing on upscale, young professionals but quickly found that their true market is much more broad. Generally Famoso has a huge audience in people living downtown who are open to a healthy, fast, fresh, reasonably-priced eating experience. One of the challenges Famoso faces is the bitter sweet side of the product. Although the pizza is fast, fresh and healthy, it doesn’t last—and I’m not just talking about on your plate. Delivery is not the best option: Time in the box between the oven and the consumer detracts from the taste of the pizza. Depending on the distance to the consumer, the pizza may need to be reheated. This eliminates delivery from their added services and decreases their market to include only those consumers who want to eat out, or don’t mind reheating their pizza once they get home. In August, Justin and Jason sent out their first direct marketing mail piece to residences in their immediate area. It
arking in downtown Calgary recently became much easier with two innovative ideas. This summer, Calgary Parking installed about 200 solar powered “ParkPlus” meters in the downtown core. A driver parks, finds the closest pay machine, and pays for a specified time period, using a cell phone and an on-line account. With one call,
the driver can input a start and a stop time on a virtual meter. There’s no chilly walk back to the car to put the receipt on the dash—it’s all automated. On the other hand, if you need a receipt, the machine will gladly provide one. If you return to your car early, you can call to receive a credit for your unused time. The system will also call you, when your time is about to expire, or if you are parked in a no-stopping zone. For those of us with ashtrays full of loonies, there is still the option of paying with coin, or by credit card, but with the drawback of having to dash out every hour to plug the meter. Eventually, the city will install 1800 machines in high traffic districts, at a total cost of $6 million, which authorities expect will be recovered in two years. The parking authority also gives a 25-percent discount to motorcycles and other vehicles less than 3.8 metres long. This move should create 10 percent
By Erin Rayner
TOP THREE TIPS FOR DIRECT MAIL MARKETING 1. Measuring makes perfect: The problem many companies have with spending money on marketing is the difficulty in measuring its effectiveness. Offering a clearly defined benefit to those who open your direct mail piece gives you a perfect opportunity to measure the effectiveness of your mail campaign. Whether you offer a limited time bonus, a one-time discount or an exclusive chance to win through on-line registration, it will help you gauge whether the money was wellspent. In Famoso’s case, although it would be more expensive than sending out a menu, if they send out a post card to 100 people offering a BOGO—buy one/get one free or at a discount—there’s a good chance some of the 100 people will come in and bring a friend. The experience and the fab food gets both customers talking. Just don’t forget to give the piece an expiry date. 2. The more the merrier: The more times you appeal to the same market (notice I said the same) and get your message out to them, the more likely they are to recognize your brand. Back to the Famoso example, let’s say they sent out their BOGO promotion, valid for 30 days, to 250 people. What’s the next step? Follow up after the expiry date with another post-card coupon that offers a single serving of gelato free with each pizza purchase. This way, if they didn’t get to cash in on the first offer, the second time they are that much more likely to come into the restaurant. For Famosa and many businesses, the point of every marketing initiative is to get people through the door, give them a great experience or product, and build them into fans to pass the word along. 3. Details in the design: Good design is imperative for a successful mail out. It should be appealing and professional… with well-written content and no typos or spelling errors. It should also be slightly unusual: The illustration, colour, texture, size or a combination of these ingredients should make it stand out from all the other mailers. As well, consider your delivery options and choose whichever suits your requirements and budget best. If you’re mailing them, use stamps rather than automatic postage labels… you can do postal drops to specific neighbourhoods, hire someone reliable to do the deliveries, or hit the streets yourself. Avoid having your promo stuffed into publications that contain several pieces which scream “junk mail” and are destined for the blue bag. You want people to bring in the coupons, cash in on their value… then you can recycle them.
more parking spaces in the downtown area, because vehicles won’t have to park in defined meter spaces. To receive the discount, a driver must indicate on the on-line account that the vehicle is small. The “parking police” will still be employed— tagging the poor saps who used cash or cards and then let their meters expire. They’ll also take digital photos of parked cars to ensure that everyone has paid, and to catch anyone switching a small car’s licence plate onto a bigger vehicle to take advantage of the 25-percent discount. Suddenly, a Smart Car and a cell phone make parking downtown almost fun and very high tech. Has Edmonton’s city council considered following suit? √ jedmondson@edmontonians.com
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By Don Hill
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ou have to budget for feeling blue this time of the year. Winter is close at hand, and the days are growing shorter. If you like natural light, this is a bleak season. Mexicans call it the month of the dead—November. SAD or seasonal affected disorder—a diagnosis attributed to a lack of sunshine—is a common complaint, particularly on the ‘wet’ coast with its dreary backdrop of cloud, a shaft of light occasionally poking through the blanket of grey. This creates the conditions for a mild depression, which can be chronic in some people. A generation ago, conventional medical wisdom considered the SAD state of mind, ‘all in your head’. Contemporary neuroscience now knows that environmental factors can play heavy on a sensitive person. And that location can mess with your mood (more on this in a moment).
DEPRESSION KILLS Medical statistics are just beginning to tweak to what has gone unreported in the neighbourhood. A government study in the United States recently found that seven percent of the full-time workforce suffers from some sort of depression. And if you are unemployed, the number heads into double digits. Women, more so than men, tend to get severely depressed. More bad news: North Americans lead the world in the consumption of antidepressants. We gobble up billions of dollars of prescription drugs every year to make us happy but, instead of improving, the mental health of our communities just seems to get worse. Why? In a 1952 study that is still debated to this day, psychologist Hans Eysenck discovered that expectancy has a big hand in determining overall mental health. While it is certainly true that people suffer with melancholy, Dr. Eysenck’s research found that just as many patients improved their mood without psychotherapy as those that did with it. Fully one-third got better by simply visiting their doctor’s office, even though the attending psychologist did little more than show up and greet them. This suggests there is something specific about place—unique qualities, an aesthetic perhaps, that may well create the conditions for making people feel better about themselves. One thing is for certain: If you are perpetually in a funk, your body will bear the brunt of a bad mood. For instance, medical science long ago declared the perils of having a so-called Type A personality; a hard-driving demeanor will takes its toll on the heart. Depression is now linked to a whole gamut of physical ailments—from digestive problems to muscle
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Depressed? pain—there is an intimate connection between how you are feeling and what you have been made to feel. A publicly supported health care system can ill afford to not pay attention to the mental environment. I have been persuaded that the very nature of the places we live—the design of our urban environments, inside and out, be it the workplace, our homes included—has a hand in shaping our moods just like seasonal weather does. I am not alone in this view. For 10 years, I have been working with a group of neuroscientists who are investigating what I call the architecture of well-being.
ARCHITECTURE OF WELL-BEING It is cliché, but it is true that cities tend to make strangers of us. And loneliness is a leading cause of depression. There is also the loneliness associated with an unbearable sense that this—this meaning so-called reality—is all that there is. Churches once served as a welcoming place to seek out greater truths, but they are rarely open during the day let alone the night. So what I have constructed is an electronic sanctuary, a respite from the debilitating affects and effects of 21st Century living… a small enclosure to shake off the blues, the experimental device is a replica of what is already occurring in nature.
work, see the specially-designed technology for yourself (there will be a public exhibition toward the end of the month) follow the link to my website, which is tagged at the end of the column. Rock art locations are increasingly under threat of development or neglect as a consequence of our present-day ignorance of what these magnificent spots are for: They are the ‘teaching rocks’… they are a communication system—stone-age technology. They tell the story of who and what and when we are.
tone rt at Writing-On-S Early human rock-a River on Alberta’s Milk
the crash and roar of urban living... will become the preferred aesthetic. Human beings have long known about the power of some places to heal, and have marked these special spots with engravings or painted designs on stone. Universally known as ‘rock art’, these ancient petroglyphs, pictographs and petroforms are also found around the world. Some of the finest rock art is located in Canada, along waterways such as Writing-On-Stone on Alberta’s Milk River, the magnificent Hickson Lake pictographs on the Churchill River system in northern Saskatchewan, Agawa’s inscription rock on the north shore of Lake Superior, as well as multiple pictograph spots on Lake of the Woods, and along the Stein River valley in British Columbia where “they write their dreams upon the rock forever.” My scientific colleagues and I have simulated the sense of well-being that is sometimes associated with rock art locations. If you want to know more about this
“The world can tell us everything we want to know,” Quitsak Tarkiasuk, an Inuit elder says in Voices from the Bay. “The only problem for the world is that it doesn’t have a voice. But, the world’s indicators are there. They are always talking to us.” It is all about paying attention. Other realms of reality are available to human beings when our eyes and ears and feelings are not distracted by the consensus trance, the illusory modern world immersing us all. However, as more and more people are pushed into urban environments, the capacity to be sensitive to the subtle signals of place is muted. In fact, the very ability of the natural environment to speak to us is confounded by the crash and roar of urban living; it is possible that within a generation or two, this distortion will become the preferred aesthetic. No wonder so many people are depressed. √ Don Hill is a ‘thought leader’ at the Leadership Lab and Leadership Development at the Banff Centre. He is also an award-winning writer and broadcaster with a large footprint on the Internet. Listen to his radio series Inspiring Leadership, a 20-part documentary on contemporary leadership and the challenge of leading in the 21st Century every Saturday morning at 8 AM on the CKUA Radio Network. For more details visit: www.ckua.com and www.appropriate-entertainment.com
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The Hottest Thing
COVER
ON ICE By Marina Michaelides
Tory weber with Thermablade and 1980 Bauer skate, the last blade innovation Photos courtesy of Therma Blade Inc. and R. Johns
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y now, most hockey buffs will have heard of Tory Weber’s Thermablade. It’s a heated blade, touted as the first major design innovation in hockey blade technology for three decades. Fans of this new created-in-Alberta product say it could revolutionize the game. But purists are asking what next? Welding a rocket to the blade? While younger technophiles cheer for any equipment innovation to give them the edge, a heated blade might be a step too far for the older generation. Although banned in speed skating, most commentators believe the time is right for hockey. Wayne Gretzky sums it up, “Ten or 15 years ago traditionalists would have put up road blocks and said no. But I believe it’s a natural evolution and technology that’s time has come.” Thermablade uses a battery and microprocessor encased within the plastic holder to warm the blade to 5º Celsius, creating a lubricating layer of water between the blade and the ice. Friction is reduced and less effort is required to skate quicker. Championships are won in fractions of seconds so the promise of a speed advantage by turning on an electrical blade is turning on a lot of people. There are three million possible customers in Canada and the U.S. alone, according to Monitor Group Inc. Considering Thermablade is patented up to the hilt all over the globe (13 patents on 35 design aspects), potential rewards are as huge as the market share captured by the new composite hockey stick released in the 1990s—80 percent market saturation within two years.
SLIP SLIDIN’ ALONG It all started by accident on a cold winter’s day 22 years ago. Weber laced up his running shoes, warming on the register, and went outside to get the paper. But he slipped on the icy steps and landed hard on his butt. In the two weeks it took him to recover, Weber—who had just taken a course in thermodynamics—wondered what would happen if he heated a skate blade… Back then, the technology wasn’t even available to heat or encase a blade, so his first attempt consisted of wire wrapped round a blade, plugged it into a socket, which he slid across a cookie sheet of frozen water. Crude, yes, but it proved the physics: more lubrication, less friction. It was enough to encourage Weber to dedicate two decades and half-a-million dollars of love money from family and friends cutting, wiring, and heating up the skates in hundreds of ways. “That’s what inventing is,” he muses, “…just trying to find a different way to do it.” But the idea was so different, some skeptics “laughed so hard they couldn’t get up off the ground,” Weber chuckles. He knew he’d get no further without scientific data. To get it, he strapped blades to a computer and pulled them down the ice with a pulley in a series of double-blind studies. The results were impressive: a 70-percent reduction in starting friction and 50 percent reduction in gliding friction. Subsequent physiological tests on four players in Sherwood Park also showed a reduction in lactic acid, reduced heart rate and less required effort which, according to Weber,
means “you get a 10-percent physiological advantage over using cold blades.” Weber was buying the skates he was testing from Patrick Francey’s Pro Skate store in Edmonton and, by 1999, was spending a small fortune. Recalling that time, Francey smirks, “He was buying the same model and the same size which was quite odd. I knew he was up to something so I said ‘If you’re heating the blade up, I’ve already had that idea.’” The two men struck up a friendship and joined forces. Francey’s entrepreneurial and technical expertise from decades retailing skates made him a perfect advisor. “What made me believe in Tory and this whole thing is that he is just your classic inventor.” Weber had already successfully commercialized a variety of products: a stabilizing mechanism on a wheelbarrow that reduces back strain… a cover for access panels in drywall that fits in seconds… a plastic template for cutting out stair strings, normally a complicated mathematical procedure that, with his template, could be drawn in a fraction of the time. But to take Thermablade to the next level, Weber and Francey needed development cash and friends in high places. Harley Hotchkiss, NHL board chairman, was an early investor, and Bob Nicholson, president of Hockey Canada, joined the advisory board. Believing the blade would “change hockey for the better,” Nicholson introduced them to Wayne Gretzky, the Great One. They took the risk of their lives when Weber suggested, Continued on page 8
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taken the ailing public utility company British Gas to profitability in the UK, and had since moved to Canmore, Alberta. Weber and Francey describe the man with reverence: “He is a brilliant, brilliant business mastermind,” pitches Francey—‘brilliant” being a British-ism Master uses a lot. “A best in class strategist,” pipes up Weber. Well-aware an idea is only as good as management’s ability to commercialize and Master is one of the best brains around, they made him CEO and chairman of the board of a new company, Therma Blade Inc. Weber became founding president and inventor; Francey the president, and Francois Whittom, a leading specialist in sports testing, chief development officer. These experts in their respective fields formed the board of directors—a quartet investors could trust. “We were four guys, fully committed, we were all in and we just went hard,” enthuses Francey. Weber gave up his day job as northern Alberta district manager of Totem Building Supplies. With lots of help from George Bears, they raised $4 million by selling a million ordinary voting shares to family, friends and angel investors.
The Therma Blade Board: Francois Whittom, Tory Weber, Dhiren Master and Patrick Francey Continued from page 8 “Let’s take our last $60,000 and throw it into designing a pair for Wayne. “We flew down to the [2004] All Star Game in Minnesota… we got him on a pair of skates,” beams Weber. The news from Gretzky was great: “I could feel a difference in my skating straight away.” Number 99 scrutinized Weber’s scientific data, including a 2003 report Ice Friction with a Heated Skate Blade by Alain Haché, PhD, an associate professor of physics and author of The Physics of Hockey. It was enough to convince Gretzky to endorse Thermablade in exchange for 11 percent of Tory’s company. “We were all doing a bit of a happy dance that day, but reality set in five minutes later,” says Weber. “When you have a really cool idea sitting on your tailgate, you think you’re a long ways down the road but I can tell you, you are about five percent of the way there”. To go all the way, Weber wanted to license his invention to major manufacturers. Francey was dubious. During one presentation, an executive slammed Weber’s lap-top shut. “Wayne Gretzky or not, they didn’t understand the technology.” Undeterred, he knocked on more doors and eventually came very, very close to signing a deal. But, a
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month later, the company was taken over and the deal scrapped. “It was probably one of the darkest days of my business career. It really kicked me hard that day,” Weber sighs. But looking back, he realizes that every knock-back, if taken with the right attitude, is a godsend. Francey, armed with his winning smile and cool exterior, puts it this way, “When they said no, I said we need to develop the product ourselves, raise the cash ourselves and move forward ourselves because the idea is brilliant. This is Alberta—there’s money all over the place”.
Master lex with Dhiren af rt A d an d ca ci rs from IPL, Pre Agency partne
MASTER STROKES Somebody up there must have been listening. In 2005, a chance meeting at church led Weber to Dhiren Master, an Anglo-Indian INSEAD-trained business guru who had
The money was spent conducting a second round of tests that confirmed the previous double-blind studies, and designing prototypes players could skate on. They had to be as light as comparable blades, able to withstand impacts of up to 170 km/hour and be waterproof.
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Walter Gretzky and Phil Pritchard of the Hockey Hall of Fame with the original prototype
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While the design engineers at Quebec-based Precicad got to work, Master built the company’s foundation. His strategy: Hire only the best. Law firm, Heenan Blaikie Aubut, is on board for its stellar reputation, and as insurance against the possibility of any other company hiring them to act against Therma Blade in future. One of the world’s biggest PR firms Porter Novelli, headquartered in New York with offices in Toronto and Montreal, offered in-kind services for a share of the company’s assets. Likewise, Toronto-based marketing firm Henderson Bas, which represents companies as big as Coca-Cola, landed the dream job of selling a product Gretzky was endorsing. But, without a green light from the NHL and hockey’s governing bodies, Thermablade sales could freeze before they’ve even had a chance to heat up. “We’ve been upfront with the NHL every step of the way,” says Francey. Since the NHL isn’t in the business of endorsing products, allowing Thermablade use would require answers to two big questions: Is it safe for the players and what does it do to the ice? Ex-Edmontonians and NHL ‘ice-man’ Dan Craig initially thought there was no way. According to Francey, after his first overview of the blade’s effect, Craig warmed to the idea. Weber believes this analogy explains the turnaround, “The blade heats up to only 5º centigrade, your hand is 30º. If you put your hand on the ice for an hour, the only thing that’s going to happen is it will freeze.” Craig has yet to do his final analysis and report back to the NHL. His decision will be critical. Still busy trying to get official sanction, Therma Blade raised a second round of $4 million from $20
ordinary shares in order to design and engineer a final prototype. This summer, 120 players tested the blades at all levels from beer league to WHL. Steffany Hanlen— Patrick’s wife, NHL skating coach and performance specialist to Olympic figure skaters—designed tests and drills to compare the benefits of hot blades over cold. The drills were filmed and players shown the results. “The player testing was a significant factor in understanding just how important these blades will be to skating performance at all levels. The protocol developed was also used at Toronto’s York University in September… a great way to expose Dan Craig to the fact that there is no damage to the ice,” explains Hanlen. Therma Blade claims the independent market research from these tests showed 65 percent of players felt an increase in speed and 85 percent an improvement in turning ability and controlling the edges of their skates—translating into a 70 percent desire to purchase the skate right away. Such a high level of market testing for a start-up company is unusual, but it’s a large part of Master’s unusual business strategy. It seems to have paid off. A sales force of 20 reps used these statistics to entice retailers all over North America to sign up. In turn, preproduction orders helped Therma Blade secure a $10million bank loan—the debt financing needed to tool-up the factory and manufacture the final product. Despite cheaper manufacturing in China, the principles wanted made-inCanada status and signed a deal with hi-tech injectionmolding manufacturer IPL in Quebec instead. So far, Master’s business plan was bang-on schedule.
SO NEAR, AND YET… But, disaster struck three weeks before the launch, set for mid October at the Hockey Hall of Fame. Media invites had already been sent… and accepted. Squeezed by the sub-prime credit collapse in the U.S., Therma Blade Inc.’s bank withdrew its loan offer. For 10 days, Weber survived on Pepto-
Continued on page 10
Wayne Gretzky and Steffany Hanlen in Phoenix to shoot a promotional video for the launch Bob Nicholson of Hockey Canada, Patrick Francey, Marcel Aubut— former owner Quebec Nordique and legal counsel from Heenan Blaikie Aubut— and Francois Whittom
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Terry O’Flynn of Prism Flow, an oilfield valve company in Edmonton, with Aaron Moser and Walter Gretzky. Terry bid $16,000 for a one-of-a-kind Thermablade/ Wayne Gretzky-signed jersey to benefit the Aaron Moser Foundation for spinal research. At 19, Aaron was hit from behind while playing junior hockey in BC. The fundraiser was a surprise part of the champagne launch, attended by 200 Continued from page 9 Bismol and snatched hours of sleep. Francey paced up and down—philosophical but stressed—strategizing with Master, both working flat out trying to pull together a new deal. Meanwhile, tooling-up at the factory was stalled, and delivery-ready batteries and microprocessors couldn’t be paid for. Two more major banks turned them down. After years of hard work, there was one last chance to finance production in time for the launch. Master met with the Royal Bank. Francey and Weber waited. “We are 99 percent of the way there and it would be a disaster if we couldn’t pull this off at the last minute,” lamented Francey. “This is hockey,” replied Weber, “If there was ever a time to throw the gloves down, it looks like today’s the day. So let’s get out there and raise some dough.” They raised some, but not enough. After two more nail-biting days, the big ‘yes’ finally came from the bank when Francey was in Phoenix shooting a promotional video for the launch with Gretzky. The Great One glided around on his Thermablades, joking how he hoped they’d be available soon, because the Coyotes needed all the help they could get. “I wish they were out 10 years ago,” he laughed. “Then I might have lasted another two years.” More good news: The day before the launch, Stu Grimson, NHL senior manager of hockey operations, and Kris King, NHLPA associate counsel, gave the green light for 10 players to test Thermablade at NHL game level. Francey says they have received “a list as long as my arm” of players who want to participate. Selection will include various teams, a range of player sizes and positions. The International Olympic Committee will review the blade in Spring ’08. Too busy coaching his Coyotes, Gretzky didn’t make it to the media launch in Toronto on October 16th… but his dad Walter did. So did over 40 different news organizations—every major Canadian daily and news network ran a story. Tory donated his very first prototype— with the extension cord that had to be plugged into an outlet—to the Hall of Fame, as well as the final version to take their place among the milestones of the hockey skate. Accepting the prototypes, Phil Pritchard stated, “We are thrilled to add this to the evolution of the skate blade series and it will become part of hockey history.” Francey concurred, “The launch was as exciting as it was fitting. The Hall of Fame served as a perfect backdrop to illustrate the part that Thermablade may soon play in the evolution of the game of hockey... as we go forward into an era of technological advancement… setting the bar of design and performance excellence for the skate blade that players will soon be wearing at virtually every level of play.” Gretzky or no, the future of this created-in-Alberta invention now lies in the hands of the NHL’s ice man, players’ association, International Olympic committee and consumers. And if all goes well, first North America, then Europe and the rest of the world. √ Marina Michaelides, producer at Citytv Edmonton, has been following the story for Your City newscasts and is also making a full length documentary to be aired next summer.
Alberta born...product du Canada At full production, Therma Blade anticipates blades will be available in about 400 stores. Select retailers—more than 30 in Canada and 50 in the U.S. at the time of the launch—will begin selling the $399-Thermablades, which need to be mounted to hockey boots, before Christmas. In Alberta, adult-sized Thermablades will be available at Pro Skate, north and southside locations, United Cycle and Skate Tech Ltd. in Edmonton; Pro Skate in Calgary; and Ernie’s Sports in Grande Prairie. Sizes under 5.5 available in the New Year Visit www.thermablade.com for updates. EDMONTONIANS NOVEMBER 2007
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Champions know there is more… Develop your soft skills to achieve better business results
ENTER TO WIN
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Steffany Hanlen Steffany spent 16 years as an NHL skating coach under contract for the Edmonton Oilers and St. Louis Blues. She was the first female skating coach authorized in the NHL dressing rooms. Over the years, she has worked with players on every team in the NHL. At the 2006 Winter Olympics in Torino, Steffany became the first ever Performance Coach accredited by the COC, coaching ice dance champions Marie-France Dubreuil and Patrice Lauzon. For Steffany, it’s all about training from the inside out—identifying core values, setting new goals and breaking down barriers to success. Her talents are in demand with a diverse client list: business executives, self-employed entrepreneurs, politicians, real estate investors, superstar parents, media personalities and professional athletes.
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Les Brost developed a practical approach to problem solving as the third generation owner/operator of a large successful family ranch in southeastern Alberta. He spent 15 years as an elected public school trustee, received an honorary life membership of the Alberta School Boards Association, and is a current member of the University of Alberta Senate. His experience in the public arena gives him great insight into the demands, challenges and importance of building strong relationships. He has first-hand knowledge of organizational dynamics and the necessity for developing strategies to address and avoid conflict.
Tom Bradshaw
After receiving his Masters of Fine Arts in Acting from York University in Toronto, Bradshaw appeared in many plays, movies, commercials and training videos. His focus shifted to coaching and training of the voice to perfect clients’ speech and presentation delivery. His desire to teach the art and techniques of how to speak properly led him to become the official Canadian representative of London, England’s Trinity Guild Hall, the International Certification Board for Voice and Speech. Tom is certified to teach individuals the programs needed to obtain the Professional Speakers Certificate. He is also a member of the Voice and Speech Teachers Association based in the USA, and the Society of Teachers of Speech and Drama based in Great Britain.
Dr. Larry Ohlhauser Larry Ohlhauser is a medical doctor and past registrar and CEO of the Alberta College of Physicians and Surgeons. He is an international speaker, member of TEC Canada, and president and CEO of a consulting firm that focuses on health and wellness; most recently, he authored The Healthy CEO. Larry received the Alberta Centennial Medal for outstanding service to the people and province of Alberta, and was named “one of the Top 100 Physicians of the Century” by the College of Physicians and Surgeons and the Alberta Medical Association. Larry applies his philosophies on goal setting and outcome measurement to enhancing his own life. Whether piloting jet planes, speaking publicly to hundreds of leaders, or smacking the golf ball out of the sand, he infuses life with contagious energy, spirit and purpose.
ENTER NOW! Contest closes: December 31, 2007 E-mail info@edmontonians.com or submit your entry to Edmontonians, Suite 333, 10240 - 124 St., Edmonton, AB T5N 3W6 * Winners must agree to having the story of their progress published in Edmontonians
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BizINTEL
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edia Minute with Bruce Hogle
With two sons who are lawyers, and after a lifetime in journalism, it’s only natural I’d have more than a passing interest in the law. That’s why I was so interested in an excellent CBC Radio interview by reporter Janice Johnston. It involved Court of Queen’s Bench Chief Justice Alan Wachowich, Mr. Justice Sterling Sanderman and Madame Justice Darlene Acton who all expressed their views and actions on creative sentencing. The highly-respected Chief Justice pointed out that 100 years ago when judges said ‘guilty’, the culprit automatically got 10 years or whatever. He felt judges today are creative in a positive and constructive fashion, mindful of their conscience yet cognizant of society’s values. However, he did admit that, on the odd occasion, judges “may try to be too creative.” There’s no question that the public, and
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orporate Ethics with Nizar J. Somji
After 124 years in operation in Edmonton, Molson shut its doors due to labour unrest. The announcement reminded me of the late 1970s in England, while I was at university in Birmingham. During this time, debilitating strikes crippled major industries across Great Britain and eventually led to the closure of many plants. With their roots in the industrial revolution, these plants had a long history of providing livelihood to thousands of families. I specifically recall the shutdown of one of the largest and best known truck assembly facilities in Birmingham: British Leyland-Albion. These trucks were the mainstay of major roads all over the developed and developing world. The devastation to the many families in the Midlands area was heartbreaking—many families have not recovered some 30 years later. Looking back, the plant shut down was unnecessary. Ultimately, it was brought about by the very people who were supposedly fighting for employee rights and privileges. This industrial heartland of England is today mired in unemployment and violence, especially among the youth. It is sad to see what has become of the area that was, at one time, a driving force for global economies. I have never been a proponent of strikes as a negotiating tool, it simply does not make financial sense. A one-week strike is the equivalent to a two-percent loss of annual income, never to be recovered. No matter what deal the strike may eventually
even politicians like federal cabinet minister Stockwell Day, understandably, can get upset with some of this creativity. When Kyle Werner appeared before Justice Sanderman regarding the manslaughter death of teenager Shane Rolston of Sherwood Park, the Justice determined Werner should be sentenced as an adult and gave him two years less a day. But he also added a three-year probation, telling Werner that “I will become your jailer…and will take control of your life for the three years after you’re released.” That’s an approach I, as well as most members of the public, can relate to. The same also for Mr. Justice Sanderman telling the CBC’s Johnston that, at any one time, he has 15 to 20 cases on the go involving conditional sentencing, keeping a separate file on each to ensure they don’t mess up. Sentencing—creative and otherwise— becomes tricky in higher profile cases like that of 26-year-old pervert Darcy Don Bannert. He got his jollies by torturing his girlfriend’s four-year old daughter: sexually abusing her at bath time, handcuffing and
shackling the tot to furniture, and locking her in a dark basement. With all due respect, I do question Madame Justice Acton giving this sad specimen of mankind only eight years in prison rather than the 15 the crown sought. And, with double the time served in remand, he’ll be out in about five years. Creative sentencing came into play when Justice Acton provided a conditional sentence of two years less a day to be served in the community, for the child’s 22year old, so-called mother who obviously couldn’t have cared less about the welfare of her daughter, or the permanent emotional scars inflicted. Granted, the mother must report back regularly to Justice Acton over the next two years. But I would have advocated for additional provisions in the creative sentencing of this couldn’t-care-lessfemale: Order her tubes tied so society can be assured that she doesn’t start producing more babies whose fate we’ll never know about. Barring that, issue a condition whereby any future offspring from this
bring about, the mathematical analysis favours no one. The right to strike is one of the sacred rights that defines organized labour. However, there is no responsibility for the consequences a strike brings to the very people it is supposed to protect. Various employee rights issues have been passionately discussed and debated over the years; however, you have probably never considered or debated the rights of the employer. An employee, involved in a major project that has significant financial
expectations and underperformance and, after all that, the chances of success are remote. As a result, many organizations end up settling, unwilling to put up with underperformance while it is documented or to incur extensive legal costs and unnecessary distractions. Imagine the emotional pain of such a settlement: You are required to pay more to someone who has already been a drain on your resources so that the employee will stop being a drain.
Employer Rights... implications to an organization, can hand in his two-week’s notice and, with holidays left owing, can be gone in a few days with considerable impact to the company and his peers. In such situations, employers have no recourse and the professional organizations (APEGGA, CA and others) can do very little for such conduct, even though it is against many of their ethical principles. On the one hand, it can be difficult to keep the people you want to keep, but it can also be extremely difficult to terminate employees with “cause”, especially at the senior level. In discussions with various human resource professionals as well as legal counsel, making a case that will stick (unless there are legal violations) for underperformance is almost impossible. To have any success in the courts, one has to have reams of documentation, a recorded history of
Over the years, companies have used different tools to “handcuff” critical employees. Unfortunately, such tools also encourage underperformers who have lost the desire and the heart to contribute, to stay on until they are rewarded. Concepts such as stock options and other share ownership plans have been extensively used. The analysis of their impact is, at best, mixed. One of the most effective ways of dealing with this is to ensure that real succession planning is in place, and that backups are identified for individuals in key positions or on key projects. An annual risk assessment for senior positions makes sense, as does including resources into the risk assessment during the planning stages of key initiatives or client projects. Unfortunately for smaller organizations, this is not always possible.
scatter brain will automatically be made wards of the Alberta government. And please don’t start lecturing me on the Alberta Human Rights legislation as it might apply to this woman—especially when she and the degenerate didn’t consider such rights for the sweet, darling, trusting and unsuspecting four-year-old whose life they likely have ruined. While she wasn’t interviewed in the CBC story, I like the “creativity” shown by Provincial Court Judge Janet Franklin when she sentenced Michael Williams as an adult for the first degree murder of 13year-old Nina Courtepatte. Williams was 17 when Nina was raped and murdered by a group of punks two years ago. Judge Franklin’s life-in-prison sentence means Williams won’t be eligible for parole for at least 10 years. It will also ensure, she added, that he accepts the responsibility and accountability for his role in the murder. By comparison—and most unfortunately—the two-year-conditional-sentence for Bannert’s girlfriend doesn’t assure us that she’ll ever admit her complicity in the dreadful acts committed against her daughter. But tieing her tubes now would ensure that she won’t be able to bring another child into this world who could suffer the same fate. √ Bruce Hogle is the former news director at CFRN TV and recently retired head of the Alberta Press Council. Contact bhogle@edmontonians.com Even for larger organizations, the cost structure in a competitive labour market sometimes makes this back-up plan impossible. The focus on employee rights over the past 150 to 200 years made sense given the environment that existed as the industrial evolution began and progressed. In the developed world, it is now time that we took a serious look at employer rights. How can we create a level playing field where employees have rights, but not the right to hold the employer hostage? Creating this equality must first start with registered professionals and eventually cover all employees. Professional organizations exist to protect the public interest by ensuring that individuals who carry their designations have the qualifications and experience necessary to execute within their professions. They often carry a code of ethics or a code of conduct. Such codes need to be expanded to include commitment to place of work, a policy of adequate notice, and an obligation to transition with professionalism and to protect the ability of the employer to continue to do business. Considering that dues are generally paid by employers, these professional organizations should recognize that companies need this kind of protection. √
Nizar J. Somji is president and CEO of Jaffer Inc., a management/ investment consulting firm; and chairman of the board of Matrikon Inc., a company he founded in 1988.
Donʼt miss next monthʼs 2008 Annual Social Calander!
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A Buzz in the Air By Rick Lauber
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he early morning fly-in, boldly titled Opening Alberta's Skies, welcomed three new scheduled commuter air carriers to Edmonton in midSeptember. Northern Air, NorAlta Flights Inc., and Swanberg Air Inc. joined Air Mikisew in providing service between Peace River, High Level and Grande Prairie and the City Centre Airport. The trio of transporters, willing to take on the delivery of regional air service, drew nods of encouragement from those lobbying for the overhaul. The charge for change was led by CAANA—the Commuter Air Access Network of Alberta, a group of municipalities, corporations, economic development authorities, Chambers of Commerce and assorted individuals. The decision by the Edmonton Regional Airports Authority to allow more scheduled northern flights is believed to have been based, in part, on the May demise of Peace Air, which flew between Peace River and many provincial destinations for 45 years. Wayne Ayling, CAANA chair and former Grande Prairie mayor, declared, “It’s a happy day for Northern Alberta. We have been working a long time to get additional scheduled air services at the Edmonton City Centre Airport… the new flights are a move in the right direction. Swanberg Air has done well… I’ve flown with them myself and am very happy to have the increased business efficiency.” According to Ayling, some 350,000 passengers fly out of Grande Prairie annually with approximately 150,000 coming to Edmonton. The community is also served by Air Canada and WestJet daily flights out of the Edmonton International Airport. Not surprisingly, any discussion of the City Centre Airport is open to a certain level of debate. In welcoming guests, Paul Gervais—Kingsway Business Association president and general manager of Skyharbour 95 Aviation Ltd. which provides aircraft maintenance and avionics—set the tone for what was to become a bittersweet kick-off: “Today is an historic event; personally, I see it as a renewal of opportunities to Open Alberta’s Skies that had been misspent and discarded by others over the last decade.” Also in attendance was Councillor Ron Hayter who has a vested interest in the City Centre Airport and increased airport usage. “I’m City Council’s representative on the Kingsway Business Association and it’s a natural fit… My uncle was a pioneer bush pilot flying out of Edmonton so I’ve always had a fairly close attachment to the downtown airport.” Reflecting on this facility, Hayter shakes his head, “We have an aviation jewel in our city which many other cities would give their eyeteeth for, particularly when it provides that very effective linkage with the north. This is an underutilized facility, the passenger limit should be raised to 19 passengers and, with today’s modern aircraft, 19passenger planes would cause no detrimental impact on the city at all from a noise standpoint or from a usage standpoint.” Currently, the maximum passenger count is 10. Hayter points out that following the city’s 1995 plebiscite, the Airports Authority agreed to continue to manage the downtown airport with limited flights… that bulldozing and developing condos on the land is
Lorne Mann of Peace River
do not exceed 19 passengers. This impossible: City Centre must remain an argument that allowing 19 passengers is airport for 50 years but “…what the gonna have some kind of detrimental International Airport people have done impact on the International Airport is so though is try to destroy it by attrition. I fallacious. With the International know these are pretty harsh words, but ayter bursting at its seams, they’ve got all H on R that has been the whole approach”. or ill nc Ward 2 Cou they can handle right now.” Although the Lethbridge contingent Subsequent media reports indicate that the Authority is was there to congratulate the dignitaries not prepared to reconsider the issue of scheduled flights representing this victory for the North, they used the between Lethbridge, Medicine Hat and City Centre Airport, occasion to express their angst. Mayor Robert D. Tarleck and Edmonton Mayor Stephen Mandel doesn’t want to get isn’t happy: “As we predicted, the cancellation of direct into the fray. The downtown door to the south remains southern Alberta passenger service into the Edmonton City closed. Centre Airport in 2005 has resulted in a great deal of added But back to the good news: With increased northern expense and time for every commuter traveling to and from service just underway, it’s too soon to fully gauge response; our region. The particular issue we face is the unfair however, airline operators are pleased. New schedules are disadvantage regarding easy access to the political and being tweaked to offer the most appropriate passenger service. Grande Prairie’s Swanberg Air flies weekdays– once in the morning and again in the evening. Nor-Alta Aviation began with five weekly flights to serve High Level, but will likely adjust that to four this month. Northern Air, operating from Peace River, offers seven flights weekly. Air Mikisew has provided scheduled flights between Fort Chipewyan, Fort McMurray and Edmonton for more than a decade, and views the additional flights as complementary rather than competitive. √
Photos by David Strong
On the tarmack to “open Alberta’s skies” were Lorne Mann of Peace River, Mayor Brian Allen of Grimshaw, Lethbridge County Reeve Lorne Hickey, Edmonton Councillor Ron Hayter, Don Good of Peace River, Lethbridge Mayor Robert Tarleck, CAANA Chair Wayne Ayling, Grande Prairie Reeve Everett McDonald, and John Szumlas, CAANA board member. economic decision-makers in Edmonton and vice versa.” Lethbridge County Reeve Lorne Hickey admits that “after three years of polite dialogue that has not led to resolution, I’m beyond politeness. I’m baffled. I’m frustrated. I’m deeply troubled.” He refers to the Airports Authority as a “powerful economic development kingmaker” that “wields immense power over the competitiveness of communities throughout Alberta.” Hickey calls on the Authority “to end its hurtful geographic discrimination of southern Alberta. But, if that fails, I would urge the government of Alberta to develop a comprehensive, strategic plan for commuter air traffic in Alberta. Fairness and the economic health of southern Alberta demand nothing less.” Hayter understands why people from southern Alberta “would like to have the convenience the downtown airport offers, and I support their opinion, too, as long as the planes
City Centre Airport Economic Impacts InterVISTAS Consulting Inc. prepared a report for Edmonton Airports on the economic impact of the Edmonton City Centre Airport (ECCA). Released in November 2005, the study found that: • On-going operations of ECCA support over 950 direct jobs in the Edmonton region, representing over 900 direct person years of employment. • In round numbers, the direct economic impact of this employment on the provincial economy is: • $69 million in gross domestic product (GDP); • $170 million in economic output; and • $41 million in wages. Including indirect and induced effects, and in round numbers, the total provincial impacts of ongoing operations at ECCA are: • 2,300 jobs (nearly 2,200 person years of employment); • $164 million in GDP; • $388 million in economic output; and • $99 million in wages. The employment survey administered to employees at ECCA indicated that over 80 percent of jobs are full-time positions and 97 percent are permanent. On-going economic activity at ECCA contributes an estimated $18 million annually to all levels of government.
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lifestyles LIVELY
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Magic with Chef John Berry
Culinary Christmas Treats Chop and dice all veggies Put all ingredients in large pot Bring to boil, stirring often. Reduce heat to simmer for 2 hours or until it thickens Ladle into jam jars. Follow regular preserving methods: hot bath and all. Store in cool place.
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hristmas gift-giving, for some, can be really stressful. What to buy for that someone who has everything? The answer, my friends, can be found as close as your own pantry. The gifts I enjoy giving and receiving the most come from the heart. Typically, that means a basket filled with homemade culinary treats. When someone has used their talents and skills and time to prepare it adds a personal touch. It can be as simple as a gift tin filled with homemade short bread cookies, mincemeat tarts, butter tarts, or an assortment of all three. And, adding the recipes means you trust the recipient with the family secrets. I also like to put together a little gift basket featuring my homemade Cajun spice. Sometimes I focus on a trio of jars: my homemade fruit relish (recipe follows), a jam and a jelly. I find et that three jars of anything are more Gift bask than enough. You can add a refreshing bottle of Reisling, a decorative candle, or a box of fancy little spoons or knives.
How about items that a single person or senior would really appreciate? You could include soups and stews in sealed containers… fresh fruits and vegetables… cheese and crackers. Don’t forget to include a tin of smoked oysters. My late father-in-law always said it wasn’t Christmas without a tin of smoked oysters. So we all got one in our stockings. If you don’t want to go to the bother of making homemade items, many local delis, supermarkets and wine stores sell great gift baskets in a range of prices. My favourite comes from Saccammano’s on 127th Avenue and 96th Street. You get pastas, olive oil, sauces— everything you’d want in an Italian gift basket. Take along a bottle of complementary wine, and I’m sure Frank Saccammano would be pleased to put it in your basket.
Cook’s Books And who doesn’t appreciate a good cookbook? New or used, both mean so much more when signed with a
Chef John with Yardley Jones and his latest cookbook Photo by Ian Percival
BERRY FAMILY FRUIT RELISH 8 peaches 8 pears 20 ripe tomatoes (your choice) 2 red hot peppers 5 cups white sugar 2 cups diced celery
2 Tbs salt 1 tsp cloves 1 tsp cinnamon 6 onions chopped 1 qt cider vinegar
personal message from you. While rummaging through a box of books the other day I came across one of my father’s BBQ cookbooks circa 1957. The inscription read, “To Chef Ernie. Thanks for the fine meal. Sorry you burnt the roast!” Now if you have any of your parents or grandparents’ old
cookbooks and are thinking of pitching them, don’t. We have a generation of youngsters who have no idea what a Waldorf salad or soufflé is. Not only do these old books have some long-forgotten, treasured recipes in them, but reading grandma’s notes in the margin is fun and informative. These keepsakes should be handed down from generation to generation. My old buddy Yardley Jones and a somewhat nefarious dude by the name of Clarence “Big Daddy” Culpepper have just released a new cookbook: A Father’s Guide to Surviving with Kids. Yardley’s son Spyder also helped with illustrations. It’s pure comedic genius wrapped around easy how-to recipes—a must for any young person entering the kitchen. This is their third book in a best-selling series that has seen more than 250-thousand copies sold. They can’t keep enough on the bookstore shelves in the U.S. A Bachelor’s Guide to Ward off Starvation and A Bachelor’s Guide to Libations are the first two, and can be ordered by calling 1-780-990-9777.
Must-haves For the budding chef or chefette, the most important item in the kitchen is a good knife. Actually, a paring knife and chef’s knife are all you really need. I’d recommend Call the Kettle Black at High Street and Victorianox on Whyte Avenue as the best locations for good knives. And, of course, kitchen gadgets always make good Christmas gifts. Checkout Ikea for some truly wonderful and intriguing ideas: The Swedes have some great gizmos for your kitchen. In fact, just keep an eye out for gadgets in malls, department stores, supermarkets and anywhere that sells culinary items—you’ll be amazed at how many are out there.
From the heart… I think the one Christmas gift that gave me the greatest satisfaction in giving was a turkey. Yup. Frozen solid, wrapped in plastic, all ready to go. I dropped it off with one of the chaplains at CFB Edmonton. You know, there are a lot of soldiers who are having a tough time making ends meet, and it’s sad to hear that some young military families are relying on the food bank. Why not help one of these families? Drop off a turkey and all the fixings at the base. It’s the least we can do for the sacrifices made by our brave young men and women. Frankly, the spirit of gifts from and for the kitchen should be with us year-round. It’s just seems more meaningful at Christmas. Give from the heart. Contact Chef John Berry at jberry@edmontonians.com
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All I want for Christmas is...
othing. And, it seems that I am not alone. Eight in 10 Canadians say they don’t need anything for Christmas; six in 10 admit there is nothing they really want.* If you and yours fall into this category, take a departure from traditional gift giving and maxed out credit cards this holiday season and consider creative alternatives. Over the years some of the finest gifts I have bestowed on family and friends were not purchased from a retail outlet. They were, quite simply, products of my imagination realized with the help of a sewing machine, a glue gun or a well buttered cookie sheet. And some of my most treasured gifts were those that we crafted especially for me. With a little time and patience anyone can place something priceless under the tree: the gift of love.
VIPs—Vouchers for Important People Print up a booklet of coupons that can be redeemed for time and services. Be creative and include whimsical promises: four hours of peace and quiet... control of the TV remote for a day… three foot massages… breakfast in bed. And significant commitments: mow the lawn and/or shovel the walks all year… clean doggy-doo in the yard for a month... donate blood every month… build and stock a raised vegetable/flower bed for your aging mother.
Ho-Ho-Homemade Arrange an afternoon or weekend with friends, family, or the kids to craft a handmade Christmas. If sewing, woodworking or painting is your thing, use your talents to present presents with panache. From home décor elements to Christmas ornaments to scrap-booking memories, personalizing a handcrafted gift is giving art from the heart.
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Assemble a gift bag filled with energy savers: strings of festive LED lights that use at least 80 percent less electricity and last almost forever… CFLs (compact fluorescent lights), including chandelier bulbs that are more attractive than the corkscrew style… dimmer switches, motion sensor units, or electronic timers to encourage energy conservation. Package a hand knit afghan with a programmable thermostat. Purchase carbon credits in the name of a recipient and Tree Canada will plant away greenhouse emissions with carbon dioxide absorbing seedlings. Stitch up monogrammed bags for trips to the grocery store or shopping excursions. Design self-adhesive ‘No Junk Mail Please’ signs, and provide details on how they can take themselves off lists by contacting the Mail Preference Service at Direct Marketing Association of Canada.
Peace and Goodwill How many times have you heard “it is far better to give than to receive”? This is the perfect time to put the adage into practice by donating to a local or global cause, shelter or foundation on behalf of a friend or family member. It doesn’t cost much to make a difference. As little as $55 will buy two hens and a rooster that could produce up to 150 eggs yearly for a family in Africa through World Vision. Go to www2.worldvision.ca/gifts/app to find out how easy it is to purchase a dairy cow ($600), a goat ($100), food to feed 30 hungry children ($45), harvest packs for farmers ($35) or school supplies for two classrooms ($50). Or get family/friends/workmates to combine resources and fill a stable for $1200: You can provide: a milk-producing goat and cow, hens and a rooster for eggs, piglets for protein and additional income, and a donkey to haul heavy loads. These precious animals produce protein, nutrition, income, labour, fertilizer and fuel. How incredible is that.
Hosting a holiday party? Ask guests to bring nonperishable goods for the Food Bank or unwrapped gifts for Santa’a Anonymous that you can deliver on their behalf.
Time is not money Give loved ones what they really want: more time together to bond and re-establish relationships. Organize a drive in the country with a well stocked picnic basket in tow. Set up a monthly lunch date or phone call with an elderly friend or relative. Gather the crew periodically to check out the local art gallery or museum, with a leisurely stop for tea, espresso or fizzy drinks on route home. A working parent can set aside one night each week to date one of their children and get that elusive quality time together. Call the Volunteer Information and Referral Centre at 482.4636 and find out which organizations need help. Recruit family and friends and go as a group to deliver hampers and gifts, or serve dinners to the less fortunate.
Thrift Gift Re-gifting gives new lives to gently used objects. Repurpose a book you have read and gift it to someone who shares your taste in literature. Revamp that old chair in the basement with a coat of paint and fresh upholstery for the niece that has just moved into her first apartment.
Culinary Criteria Cookies and chocolates, jams and jellies, nuts and nibblies all add up to happy, smiley faces. Jazz up your gourmet goodies with creative packaging, kitchen accoutrements or favourite recipes. Assemble seed and feed jars for bird enthusiasts… or bake up a batch of yappetizers for pet owners. Stir up some spicy mulled wine parceled in personalized crates … or whip up a cluster of honey lollipops for tea drinkers So, get creative now and you’ll be ready for the festive season. √ Contact Linda Bodo at lbodo@edmontonians.com or visit www.absolutebodo.com * World Vision survey
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ACQUISITIONS, DIVESTITURES & CORPORATE FINANCE
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A man’s word is his bond—or is it? Verbal agreements, although legally enforceable, often lead to problems down the road. Sometimes there is a genuine misunderstanding between the parties as to exactly what was said and agreed to. Frequently there is ambiguity surrounding the agreement due to a convenient, selective or occasionally real loss of memory. Verbal agreements usually occur when newly established companies are struggling just to survive and have not yet established a lot of value. At the time the promise is made there is little value to worry about. Fast forward 10 years when the company is being sold; those words have very different meaning to the person who said them and the person who heard them. In construction and manufacturing industries change orders often create problems when the job is completed and
the final bill is submitted. Even though the changes may be documented there is still room for a huge area of discrepancy as to exactly what was supposed to be changed and at what cost. In the service industry verbal change orders are quite common as staff is busy and doesn’t have time to draft an agreement at the time a problem arises or circumstances change. The goal becomes to extinguish the fire. Once extinguished and the bill is submitted a new fire starts burning! In companies where there is a proprietary product being developed, ownership of the product or compensation for developing the product can become quite a contentious issue. Take the example of Nikola Tesla, who worked for Thomas Edison. During his employment, Edison offered Tesla $50,000 (about $1 million today) to redesign Edison's inefficient motor and generators. Tesla worked night and day on the redesign and gave Edison’s company several profitable new patents
in the process. In 1885, when Tesla inquired about his payment on the work, Edison replied, "Tesla, you don't understand our American humor," and reneged on his promise. Despite numerous inventions Tesla died a pauper. Agreements should be documented and signed by all parties to the agreement. Ensure that everyone is clear about what services will be performed or products delivered and what you will receive in exchange. Remember something that seems inconsequential today can result in costly litigation, wasted time and money, increased costs, frustration, relationship damage and client dissatisfaction. Take the time up front to avoid a huge problem later. If you need professional advice, please email me at stephen.w.kent@ca.pwc.com or call 780.441.6793.
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