Horizon Insurance True Grit
Connotec Inc. Providing Opportunities
Business & Trade Vol. 4
No. 1
Magazine®
Q1 2010
Jade Transport Ltd.
Publication Mail Agreement #40606022
Liquid bulk carrier grows with the times
CANTERRA SEEDS Seeding Success
Keystone Air Service 25th Anniversary
Cantor’s Retail Landmark
Horizon_MB_BusinessJune2010_Horizon_MB_BusinessJune2010 18/05/10 10:31 AM Page 1
! " " # $ $ %&& ' ( %) * + , - ( ! .
Business & Trade Magazine® Publisher Wilson Wong E-mail: wwong@lesterpublications.com
Features
Managing Editor Gloria Taylor
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Writers Bernard Kruchak Gloria Taylor Design & Layout John Lyttle Myles O’Reilly
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Advertising Production Coordinator Vicki Friesen Published by: Lester Communications Inc. 701 Henry Avenue Winnipeg, Manitoba R3E 1T9 Toll Free: 866-953-2189 Phone: 204-953-2189 Fax: 204-953-2199 www.lesterpublications.com President Jeff Lester
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Vice President Sean Davis E-mail News Releases to: newswire@lesterpublications.com © 2010 Lester Communications Inc. All rights reserved. The contents of this publication may not be reproduced by any means, in whole or in part, without the prior consent of the publisher.
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Unless otherwise credited, stock photography is from www.photos.com.
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Printed in Canada Subscription Rates: $30 for one year $50 for two years $65 for three years plus applicable taxes. On the cover: Jade Transport Ltd, a Winnipegbased family transport company, has been thriving for 40 years, carrying a variety of liquid bulk cargos throughout North America.
Vol. 4 No. 1 Q1 2010
Riding recession Diverse economy and government planning help Manitoba to weather challenges of global recession.
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Innovative Sourcing seed products worldwide, CANTERRA SEEDS brings the best products to shareholders and farmers.
Diversifying Jade Transport Ltd. specializes in carrying liquids for 40 years, but it recently added a truck wash.
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Tradition meets service Horizon Insurance: broker celebrates 100 years of providing wide choice in insurance products, top customer service.
Convenient, flexible Keystone Air Service: 25-year-old air charter service grows as busy commuters opt for personal airline convenience.
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Empowering Connotec Inc. helps First Nations empower their people through its First Nations Apprenticeship Program.
Winning formula Successful family grocer Cantor’s valued its customers, so much so that it rebuilt its store on the same site after 66 years.
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Also in this Issue: 2
From the Editor’s Desk
3
Around Canada
6
Viewpoint
84
Around the World Business & Trade Magazine®
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From the editor’s desk
M
anitoba is a province that is known for an abundance of family businesses, that is, companies that were founded and still being operated by family members years later. In this issue, we have profiles on no fewer than four successful family operations, from a retail grocer with legendary status in Winnipeg to a charter air service. All are well-established business ventures that are in good shape as they look forward to the years ahead. Cantor’s has been located in its working class neighbourhood for 66 years this year. The company’s roots go deep with the several generations of customers that the store services. Loyalty works both ways, as far as the Cantor family is concerned, and when it was time to rebuild the store, the owners didn’t stray far from home: They rebuilt on the same site although they could have moved the successful business to a more upscale area. Horizon Insurance is an insurance broker with 100 years of service. The company is still being run by some members of the Leipsic family, descendants of the founder, Louis Leipsic. It prides itself on the wide choice of insurance products it can offer to its customers, its service and its rich history. Keystone Air Service, 25 years young, is looking forward to accommodating more growth as the need for the family-run charter service increases. And grow it has. It just makes sense that as saving time becomes more and more important to busy people that clients see the personal service that a charter airline can offer as a real important benefit. Jade Transport Ltd. turns 40 amidst plans to expand. The specialized carrier that transports a variety of liquids, including corrosive materials, has just purchased property to build
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Business & Trade Magazine®
a new truck wash. This business is partly owned by secondgeneration members of the Dyck family whose children are now involved in the company. Connotec Inc. meanwhile has moved into the community in a big way by developing a First Nations apprenticeship program for aboriginal people. When the owners of the construction company found they needed more workers, they decided to train candidates right in their home province rather than import seasoned workers from other countries. It’s a longterm strategy that can pay dividends far into the future for Manitoba. Speaking of Manitoba, the Prairie province has managed to weather the crisis of the global downturn relatively well thanks to a diversified economy that doesn’t rely on just one or two key sectors. Of course, there are challenges ahead, and few can claim to be untouched by the recession, but a diversified base and government planning have helped to keep the province afloat. Some of that diversity is reflected here on these pages with a profile of CANTERRA SEEDS. The seed company works with breeders from around the world to bring the best seed products to its farmer-shareholders and the end-use farmers who ultimately buy and grow their seeds. Like the seed company, all the companies on these pages are busy growing success.
GLORIA TAYLOR Editor
Around Canada Queenston and Vault merge Toronto, Ontario – Queenston Mining Inc. (QMI Toronto, Frankfurt, Stuttgart, Berlin) has announced in a news release the completion of the amalgamation of Vault Minerals Inc. with 2236019 Ontario Inc., a wholly owned subsidiary of Queenston. The newly amalgamated company will continue under the name Vault Minerals Inc. as a wholly owned subsidiary of Queenston, according to the company. As a result of the amalgamation, Queenston’s land holdings in the Kirkland Lake gold camp now have expanded to 29 individual properties containing approximately 19,200 hectares. The benefits to Queenston of the amalgamation include the addition of six properties (221 mineral claims) strategically located adjacent to existing Queenston holdings, creating a dominant land position covering approximately 190 square kilometers along the major gold trends in the camp, stated the news release. Charles Page, President and CEO of Queenston, commented, “I welcome to Queenston our new shareholders from the Vault transaction. This is indeed a very exciting period for our Company as the addition of the Vault assets to our core holdings in Kirkland Lake has solidified a powerful land position in one of Canada’s great gold camps,” commented the president. “I extend a warm welcome to Michael Sutton, P. Geo., Daniel McCormack, P. Geo., and the staff of Vault who have guided their company’s success and will be joining our exploration team. I would also like to acknowledge and applaud the contribution of Joseph Horne, Vault’s outgoing president, who has for years been a huge supporter of the Kirkland camp and shared our enthusiasm and vision in combining the two companies.”
A gold mine furnace is shown pouring into pan forms.
The three key Vault properties are Lebel, Gauthier and Kirkland. The Lebel property, located in Lebel Township, comprises 74 claims that cover a consolidated land package including the Bidgood Mine, which produced 165,000 ounces of gold at a grade of 9.2 grams per tonne, from 1934 51. The property hosts both narrow, high grade and wide, low grade gold mineralization in multiple structures including the Blue Vein and Boundary Zones, according to the company release. An additional 12 drill holes have been completed by Vault on the Lebel property and will be announced upon final tabulation of assay results. Also present on the Lebel Property is the new Quartz Stockwork Zone that has been defined to date by three drill holes completed by Vault in 2008.
The zone represents a 1,600 metrelong mineralized corridor hosted in a porphyry stock that contains a quartz stockwork zone averaging 114 metres in core intercepts containing anomalous gold and copper values. The Gauthier Property contains 88 mineral claims located in northern Gauthier Township. The Gauthier property covers the Victoria Creek deformation zone for 5.3 kilometers and contains a series of magnetic anomalies that surround circular magnetic lows analogous to the magnetic signature at Upper Beaver. The Kirkland Property contains eight key mineral claims located in Teck Township immediately south of the Lake Shore and Wright Hargreaves gold mines owned by Kirkland Lake Gold Inc., which collectively produced over 13 million ounces of gold. Business & Trade Magazine®
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Around Canada CAE acquires Datamine Montreal, Canada and Wells, United Kingdom – (NYSE: CAE; TSX: CAE) – CAE and Datamine announced in April the acquisition by CAE of The Datamine Group, a leading supplier of mining optimization software tools and services, to further its entry into the mining sector. This acquisition is part of CAE’s long-term strategy to leverage its modelling, simulation and training capabilities in new markets that have the same imperative to reduce risks and enhance operational efficiency as the civil aviation and defence sectors, where CAE is a world leader, states a company news release. The acquisition follows CAE’s announcement last June to invest, with the participation of the Quebec government, up to C$274 million in research and development, over seven years, in three new growth areas: healthcare, mining and energy. CAE is already providing professional services to the mining industry as well as expertise in human factors, modelling and simulation, and process optimization. With 29 years of experience in the mining industry, Datamine has an extensive product and consulting portfolio ranging from exploration data management and geological (orebody) modelling to mine planning and mine operations management, according to the company’s statement. Datamine is the recognized leader in multi-parametric orebody modelling in open pit optimization where its solutions map not only mineral grade and geological structure but also geotechnical and geometallurgical parameters in order to determine the optimal strategic mine plan. Datamine has customers in over 70 countries across the globe including all of the major mining houses. The company has its research and development centre in the United Kingdom and a workforce of 110 employees in nine sales and support offices in Australia, Canada, Brazil, Chile, Peru, India, South Africa, the United Kingdom and the United States. www.datamine.co.uk “We welcome Datamine’s employees to the CAE team. By combining Datamine’s expertise and credibility in mining
with CAE’s 60-year experience in modelling, simulation and training, we will develop the industry’s most compelling technology and services to increase safety and efficiency of mine operations. We will introduce simulation-based mine planning, scheduling and training in an industry where safety is paramount and costs of training are very high,” said Nick Leontidis, CAE’s Executive Vice President, Strategy and Business Development. “As with our healthcare and energy initiatives, these are early days but we are convinced that we can develop a meaningful position in these areas over the long term.” “I am pleased that Datamine is now a part of a world leader in modelling, simulation and training solutions,” stated Nick Beaton, Chief Executive Officer of Datamine, in the news release. “We immediately recognized CAE’s strengths for large dataset management, scenario simulation and operator training. Mine planners need simulation to validate production schedules, and then, just like in aviation, the operators need to be trained extensively to follow the plan while using the equipment safely and efficiently. CAE’s capabilities will expose equipment operators to a virtual mine environment in order to gain both competence and confidence while reducing the cost of training on real equipment,” said Beaton. CAE is a world leader in providing simulation and modelling technologies and integrated training solutions for the civil aviation industry and defence forces around the globe. With annual revenues exceeding C$1.6 billion, CAE employs more than 7,000 people at more than 90 sites and training locations in more than 20 countries. The company has the largest installed base of civil and military full-flight simulators and training devices. Through its global network of 29 civil aviation and military training centres, the company trains more than 75,000 crew members yearly. It also offers modelling and simulation software to various market segments and, through CAE’s professional services division, assists customers with a wide range of simulation-based needs.
BCE sells interest in SkyTerra Montreal, /CNW Telbec/ – BCE Inc. (TSX, NYSE: BCE) has announced it has completed the sale of its 22.1 million shares in satellite services company SkyTerra Communication Inc. following the acquisition of SkyTerra by private investment firm Harbinger Capital Partners. The sale yielded proceeds of approximately $111 million. “The sale of our interest in SkyTerra is a perfect example of BCE’s commitment to eliminate holdings in businesses that do not enhance the execution of Bell’s strategic imperatives,” stated Siim Vanaselja, Chief Financial Officer for BCE and Bell Canada, in a news release. “The proceeds of such transactions support Bell’s strategy to invest in broadband network and service expansion while achieving a competitive cost structure.” Bell is making significant investments in Canadian broadband, including the recent launch of its world-leading HSPA+ wireless network and the rapid expansion of wireline fibre 4
Business & Trade Magazine®
Bell: investing in broadband network and service expansion.
Around Canada networks for consumer and business customers, including the rollout of fibre-to-the-home (FTTH) in Québec and Ontario this year. Harbinger’s take-private transaction was an all-cash merger in which Harbinger acquired SkyTerra common stock for US$5.00 per share, representing an approximate 56% premium over the average closing price of SkyTerra’s common stock for the 30 days ended Sept. 22, 2009, the last day before the announcement of the merger agreement. SkyTerra is a developer and supplier of mobile satellite communications services (MSS) based in Reston, VA. For more information, please visit www.skyterra.com.
About BCE BCE is Canada’s largest communications company, providing the most comprehensive and innovative suite of communication services to residential and business customers in Canada. Operating under the Bell and Bell Aliant brands, the Company’s services include telephone services, wireless communications, high-speed Internet, digital television, IP-broadband services and information and communications technology (ICT) services. BCE shares are listed in Canada and the United States. For corporate information on BCE, please visit www.bell.ca.
Hodgson Custom Rolling increases capacity Niagra Falls, Ontario – In 2010, Hodgson Custom Rolling Inc., one of North America’s largest plate rolling, bending, brake forming, flattening, structural section rolling and fabricating companies, introduced a new range of custom built equipment, increasing Hodgson’s capabilities even further. “We can now roll steel plate in excess of 10 inches thick and form or flatten steel plate up to 18 inches thick,” states President Wayne Hodgson in a company news release. Flattening heavy steel plate up to 18 inches means Hodgson Custom Rolling can improve on mill specifications, allowing customers to meet more exacting tolerances in the end application for their steel plate: cylinder, cone, ring, fabrication, etc. “Our company is a leader among facilities that are capable of meeting the most stringent tolerances, and we also employ some of the most experienced and qualified people in our field,” says Hodgson. “Our band saw, with a capacity of 80 inches by 80 inches, allows precision cutting in one-piece units, or multiples,” adds the president. Servicing a global market, including all energy sectors, Hodgson provides the expertise required to address the heavy plate component of a wide variety of projects. “From hydro electric, petro chemical, atomic, gas, oil, and wind, to gasification of coal, all energy sectors are represented in our customer base,” Chris van Grieken P. Eng., MBA, commented. “Hodgson has assisted in multiple large offshore projects and pipe lines in Dubai, to heavy
equipment manufacturing component parts in Europe, Mexico, and Brazil.” Hodgson Custom Rolling provides the expertise and equipment for processing heavy plate component in numerous heavy industrial applications, besides off-shore projects. These include mining; marine; forestry/pulp and paper; rolling, bending and forming of heavy plate, or structural steel, to exact customer specifications. One of the company’s specialties is the free standing stringers in spiral staircases that have become the centre pieces in commercial enterprises globally. Providing personalized service, whether a one-time single prototype or multiple units over many years, Hodgson will invest the time and expertise to ensure continued support throughout the duration of a project, maintaining ongoing long-term
partnerships with its customers. With ASME and ISO9001:2008 certifications and adherence to other quality programs and certifying bodies, Hodgson can offer the exacting standards that are so important to many projects. “With continuous improvements, ongoing investments in top-of-the-line equipment and personnel, coupled with personalized customer-oriented service from the beginning to completion of your project, Hodgson can help solve your plate rolling, bending and forming problems,” remarked Chris Hodgson, P.Eng., MBA. “With everything under one roof, handling and shipping can be minimized, deliveries kept tight, and costs controlled. Hodgson will continue to work with its customers to provide the best service and end product possible.” Business & Trade Magazine®
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Viewpoint
Back to the future – the growth of short line railways BY ART STACEY
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estern Canada was developed, in part, in conjunction with the growth of the railways. With increasing costs of railway operations and the growth of high through-put grain elevators the number of old wooden elevators serviced by rail across the prairies diminished dramatically through the 1980s and ’90s. Without a functioning elevator there was essentially no reason for rail service to many communities. Systematically the main line railway companies “de-marketed” their branch line networks in Western Canada. As “common carriers,” the railways remain obliged to pick up and move traffic presented to them anywhere upon their rail system. Therefore, to avoid traffic being presented to them in small volumes at uneconomic locations the railways have moved to formally abandon branch lines throughout Western Canada. Under the Canadian Transportation Act, both CP and CN are required to publish lists of those lines which they contemplate abandoning. Once a line has been on the “list” for three years the railway may commence the formal abandonment process by publishing and mailing a notice of their intention to abandon a particular line. Once started, the abandonment process can move within months to a conclusion whereby the railway can abandon the
line. At that point the railway is entitled to physically remove the line. Under the Act, the railways must negotiate in good faith with any party who presents an expression of interest to acquire the line for the purpose of continued rail service. Under this statutory mechanism, many short line railways have been created in Western Canada. This process has been particularly utilized in Saskatchewan, where at least 10 farmer or community owned short lines operate. In Manitoba, in recent years, farmer groups have followed the lead of their Saskatchewan counterparts in seeking to acquire lines for continued railway operations. The development of a short line is often the marriage of mutual self interest on the part of CN or CP and the short line operator. For CN or CP an effective relationship with a short line can mean the delivery of significant volumes, particularly of grain traffic, to a location from which they can economically move the grain to port. For the farmer shareholders of the short line significant savings can be achieved by loading producer cars – cars loaded directly by the producer – rather than through an elevator.
The indication is that in Manitoba producers can save more than $1,400 on every railcar of wheat or barley which they load and ship on a short line. Moreover, evidence suggests that farmers who ship in this fashion achieve better grading and lower dockage when the grain is unloaded. Typically the development of a short line will lead to the development and construction of producer owned loading facilities along the line. Over 30 such facilities have been constructed upon the “Great Western Railway,” a short line serving south-western Saskatchewan. Short lines produce not only direct capital expenditures but also lead to the creation of jobs in communities where new employment is often scarce. The Saskatchewan government has developed a very attractive loan assistance program which has benefited numerous short lines in that Province. Such programs do not yet exist in Manitoba or Alberta. Increasing costs of steel over the last several years makes the purchase of short lines an expensive proposition. Assistance from both levels of government is essential. At a time when the Federal government promotes infrastructure development there can be few better opportunities than the retention of short line railways in western Canada. Once removed, the costs of replacing rail infra-structure are such that it will never be returned.
Art Stacey is a partner with Thompson Dorfman Sweatman LLP (TDS) in Winnipeg. Art’s law practice is focused on insolvency, restructurings and commercial matters, with an emphasis on agri-business and setting up short line railroads. Art can be reached at 204-934-2537 or at www.tdslaw.com/AJS. The views expressed here are those of the author and not necessarily of Business & Trade Magazine. 6
Business & Trade Magazine®
Manitoba economy wins with steady-as-she-goes approach Stimulus investments, support for vital services cornerstones of financial framework
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sk any business person here or abroad what has defined local or national economies over the last year, and you’re likely to get the “recession” response. The “R” word has cast long and lingering shadows over budgets of nearly every public and private organization and recovery is still a work in progress for many sectors. Few can claim immunity from the insidious forces of the recession, but Manitoba is one province that has fared relatively well, thanks to its economic diversity. Greg Dandewich, Vice President and Director, Economic Development for Destination Winnipeg, the capital city’s economic development and tourism services agency, says that Winnipeg and Manitoba have been able to minimize the crippling effects of the recession thanks to a broad-based economy, which provides a stable and predictable economic framework. “There is a level of predictability that makes companies comfortable in Winnipeg,” says Dandewich. That predictability reflects itself in important ways such as favourable operating costs and the ability to retain a strong labour force, he says. “Those are very important metrics that industry and companies will look at when they’re making decisions to expand their opportunities or looking at the marketplace to perhaps open up new opportunities.” Meantime, prudent planning on the part of the Manitoba government has also helped residents to weather economic challenges such as maintaining jobs or accessing needed services. “In the face of a global economic recession, Manitoba has outperformed other Canadian jurisdictions,” Wowchuk stated in a news release this spring. “We are moving forward with a steady and balanced fiscal framework focused on stimulus investments that create and maintain jobs while supporting vital services such as health care, education and training, public safety and child protection.”
ABOVE: The historic corner of Portage and Main on a winter morning. Photo by grajewski fotograph inc
TOP: A prairie sunset overlooking downtown Winnipeg. Photo by Dan Harper Photography.
Manitoba Report
The river plays an integral role in Winnipeg’s everyday life.
Photo by Anthony Fernando
According to Manitoba figures released in April of 2010, Manitoba’s real GDP growth contracted .9 per cent in 2009, which was less than the 2.6 per cent decline for Canada as a whole. Wowchuk stated in the release that surveys of consumer confidence showed that Manitobans’ outlook for their personal finances improved from late 2008 to early 2009 – all at a time when the government aimed to steer a steady ship. The finance minister made clear that the government was not willing to sacrifice some basic services despite the challenges of the times. “Our efforts to confront fiscal challenges cannot come at the expense of investments that create jobs or protect core services that Manitobans rely on in health care, justice, education and training, especially during difficult economic times,” reiterated Wowchuk in the finance department release. “We will continue to support investments that create jobs, improve education and training opportunities, sustain our health-care system and help make our communities safer.” Building on that philosophy in the 2010 budget, stimulus 8
Business & Trade Magazine®
spending in Budget 2010 includes monies toward infrastructure, highways, 1,500 new social housing units and expansion of park services, among other initiatives. At the same time, Wowchuk pledged the government will responsibly limit government spending to ensure the priorities of Manitobans come first. Dandewich says while some Manitoba sectors such as manufacturing are struggling to compete against low-cost production centres such as Asia when it comes to labour costs, Manitoba industries are gearing up to compete globally through a variety of strategies – the use of technology in areas such as manufacturing among them. “Our objective is not to beat Asia; the objective is to take a look at where in the continuum we are as relates to the area of manufacturing and other segments of our economy which will drive our growth,” says Dandewich. “Some of the areas driving Asian growth will be for the most part labour intensive, less technology incorporated, where you take a look at where we’re going in the continuum, it’s less labour intensive and more technology driven.”
Manitoba Report
Highlights of Manitoba’s economy Population
Net Migration
Building Permits
1,228,964 as of January 2010 over the last year, an increase of 1.4 per cent or 16,435 persons. The increase was fourth best among provinces.
In the year ended January 2010, 11,029 more people moved to Manitoba than left.
In the first two months of 2010, the value of Manitoba building permits decreased 3.2 per cent. Permits in Canada were up 34.7 per cent.
Employment In the first three months of 2010, employment increased by 6,900 or 1.1 per cent above the national increase of .4 per cent.
Unemployment Rate In the first three months of 2010, the unemployment rate was 5.3 per cent, or 2nd lowest behind Saskatchewan.
Real GDP Manitoba’s real GDP growth contracted .9 per cent in 2009. That was better than the 2.6 decline for all of Canada. The province’s GDP performance bettered the national performance for four years running from 2006 to 2009.
Bankruptcies In 2009, there were only 65 business bankruptcies in Manitoba, the lowest number for the province since 1977. In January 2010, business bankruptcies increased from 5 to 7 in Manitoba and declined 21 per cent in Canada.
Consumer Price Index In January and February of 2010, the Manitoba CPI increased 1.5 per cent compared to a national increase of 1.7 per cent. In 2009, the Manitoba CPI increased .6 per cent compared with the national increase of .3 per cent.
Average Weekly Earnings In January 2010, average weekly earnings in the province were up by .4 per cent. This was below the national increase of 2.1 per cent. In 2009, average weekly earnings in Manitoba were up 2.8 per cent, higher than the national increase of 1.6 per cent and fourth highest among provinces.
Manufacturing Sales In 2009, the province’s manufacturing sales decreased 11 per cent to $14.6 billion. Across Canada, sales declined 17.3 per cent. Manitoba bettered the national average for the ninth consecutive year. In 2009, there were increased sales in electrical appliances (14.4 per cent) and machinery (1.2 per cent), while 11 industries declined. They included primary metals, printing, wood and paper.
The value of permits in Winnipeg rose 23.1 per cent; outside of Winnipeg they decreased 35.2 per cent. Foreign Merchandise
Exports In the first two months of 2010, Manitoba exports decreased 17.2 per cent, while Canadian exports increased 3.5 per cent.
Retail Sales
In the first two months of 2010, Manitoba’s US exports decreased 18.9 per cent, while non-US exports were down 13.3 per cent.
In January 2010, provincial retail sales increased 4.1 per cent, slightly below the Canadian increase of 4.2 per cent. The following products were instrumental in the increase: gasoline, garden and building supplies and pharmacies.
In 2009, Manitoba exports decreased 19 per cent, while Canadian exports were down 26.6 per cent. Manitoba’s US exports decreased 20.7 per cent, while non-US exports were down 15.2 per cent. Commodity exports were particularly weaker.
In 2009, provincial retail sales declined .9 per cent, which was better than the national decline of 3 per cent. The decline in 2009 retail sales was led by gasoline and motor vehicle sales.
Electricity Sales
Housing Starts In 2009, provincial housing starts declined to 4,174 units, a 24.6 per cent decrease, but better than the 29.4 per cent national decline. In the same year, single starts were down 17.6 per cent and multiples declined 38.7 per cent. In the first three months of 2010, Manitoba urban housing starts increased 61.4 per cent, while national starts were up 48.1 per cent. In Manitoba, single starts rose 27 per cent while multiples increased to 323 from 133 in 2009.
In the first two months of 2010, the value of power sales declined. Mild weather and the rise in the Canadian dollar contributed to the decline in sales. In 2009, the value of Manitoba electricity sales declined. Domestic sales were up while exports were down. About 80 per cent of export sales are to the United States. The balance goes to other Canadian provinces. The decline was influenced by the rising Canadian dollar. Source: Manitoba Finance Aerial photo of the Manitoba Legislative Building by Linda Barringer
Business & Trade Magazine®
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Manitoba Report Key sectors thriving
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anitoba’s burgeoning aerospace industry is a prime example of a great partnership between manufacturing and technology. Winnipeg is home to numerous top international companies such as Boeing Canada Technology, Standard Aero, Bristol Aerospace and support organizations such as The Composites Innovation Centre (CIC) and the Manitoba Aerospace Association (MAA). The CIC does composite research, technology development and commercialization for the aerospace and other industries, supported by the MAA. Areas of expertise run from the manufacture of composite components to repair and overhaul of fixed wing aircraft and the repair and overhaul of aircraft engines. Aerospace finds a natural home in the city, a centralCanadian, north-south, transportation hub for air, rail and truck traffic. The transportation hub is anchored in northern Manitoba by the Port of Churchill. Passengers who like to fly have numerous options from Winnipeg’s international airport and regional airports. These include international carriers and chartered air services. Meanwhile, both Canadian National Railway and Canadian Pacific Railway maintain intermodal terminals in Winnipeg. The city has also become a major stronghold for trucking companies. Three of Canada’s 10 largest employers in the trucking industry are headquartered in Winnipeg. Located at the heart of the Prairies, it is not surprising that agriculture still plays a big role in Manitoba’s economy. However, like manufacturing which has evolved along with technology, agriculture today has moved well beyond simply shipping out grains to other countries. Agri-business is the term coined to describe the all-encompassing agriculture sector, which today includes food processors, research and development, manufacturers of agricultural equipment, transportation and marketing. Other strong Manitoba sectors include mining, electricity and natural gas, retail, tourism, environmental, biotechnology, financial services, housing, building products, customer contact centres, media, transportation equipment manufacturing. Meanwhile, a diverse economy and growing population are good news for construction companies that have been kept busy on numerous large projects.
A spectacular sunset caps an evening of bird watching at FortWhyte Alive, an award winning 600-acre nature centre. Photo by Dan Harper Photography
The Canadian Museum for Human Rights is a $311-million museum in Winnipeg which is set to open in 2012. The museum is expected to draw visitors from around the world for exhibits that feature global human rights issues past and present. Meanwhile, expansion of the Red River Floodway, a $665-million expansion of a dike to curtail flooding in the Red River Valley, is targeted for completion this coming spring. So far, 2,900 people and 150 companies, most from Manitoba, have worked on the project. The residential housing sector is also booming with the ongoing development of Waverley West, a long-term 300-acre subdivision, that when fully developed will be home to about 3,000 people, most in single-family dwellings.
Metropolitan Winnipeg – Fourth Quarter Economic Highlights Population: 742,000 Employment: 396,000 Unemployment rate: 5.1 per cent Retail sales (annual $millions): 9,092 Personal disposable income per capita annually: $28,766 Total building permits value ($millions): $638.8 Average residential detached housing price: $207,152 Housing starts: 1,504 Source: Destination Winnipeg, with information from The Conference Board of Canada, Statistics Canada, Canada Mortgage and Housing Corporation and WinnipegREALTORS.
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Business & Trade Magazine®
Hoop dancer - A Hoop Dancer performs during Canada Day celebrations at The Forks. Photo courtesy The Forks North Portage Development Corp.
PRODUCTS AND PERFORMANCE
CANTERRA SEEDS
Products and Performance
CANTERRA SEEDS: sourcing the best seed varieties for growers
CANTERRA SEEDS Research and Product Development Site. The company tests thousands of lines each year.
BY GLORIA TAYLOR
F
or many years Winnipeg-based seed company CANTERRA SEEDS has provided Western Canadian farmers a diverse range of canola, cereals, pulses and oilseeds, sourcing genetics from public and private breeders in Canada and around the world. CANTERRA SEEDS was founded in 1996 by nine seed growers from across the Prairies. Their ambitious goal was to become a global player in the seed industry. Today, the publicly-held company has a shareholder base of over 200 that includes seed growers, independent crop supply retailers and private investors, including Riverland Ag. Working with a network of skilled partners, CANTERRA SEEDS is able to identify, acquire, produce, market and sell top performing seed to its shareholders and farm customers. “We identify products that are well suited to the marketplace; products that offer increased value, benefit, or opportunity for the farmer and the end-user,” says President and CEO David Hansen. “That could mean agronomic characteristics like yield, maturity or disease resistance, or connecting the farmer with downstream markets, providing new marketing opportunities.”
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Business & Trade Magazine®
CANTERRA SEEDS brings seed to market in two ways. They manage the canola seed business in its entirety, from seed production to processing, from treating to packaging. The finished seed is sold to farmers through their extensive sales distribution network that includes Univar, UFA, independent ag retailers, Cargill and CANTERRA SEEDS’ seed grower shareholders. Sales are supported by a dedicated sales and marketing team, who promote all of CANTERRA SEEDS’ products in the field. Other seed products, such as cereals and pulses, are carefully managed by the company with respect to seed stocks, inventory details and marketing. However, seed production, processing and sales are controlled by the company’s seed grower shareholders. Each member of this group, who form the backbone of the organization, operates his or her own business processing and selling seed to local farmers. The company’s structure and dedication to source new and competitive genetics have yielded many successful products over the past 14 years. CANTERRA SEEDS aspires to and has become a leader in identifying new opportunities and sourcing the best quality seed genetics for the marketplace.
Always read and follow label directions. SeedCare™ and the Syngenta word mark are trademarks of a Syngenta Group Company. © 2010 Syngenta Crop Protection Canada, Inc.
The best relationships are always the strongest ones. As a proud partner
of CANTERRA SEEDS for almost a decade, Syngenta Seedcare is constantly striving to bring new and innovative technology to market for its customers. We’re looking forward to building an even stronger relationship with you in the future.
CANTERRA SEEDS
Tim Timeline
1996 Nine seed growers from Manitoba, Saskatchewan and Alberta form a shareholder-owned seed company called CANTERRA SEEDS. Starts with one variety of certified seed: Laser wheat.
1997 Administrative offices set up in south Winnipeg on Scurfield Boulevard.
1998 CANTERRA SEEDS builds to 135 shareholders and $1.5-million in sales. Launches AC Assiniboia oat and AC Intrepid wheat.
1999 Begins selling its first canola varieties. Staff increased to 5. Research program launched.
2000 CANTERRA SEEDS commits to growth. Launches CDC Bold, CDC Bounty. Sales & Marketing dept. formed.
2002 Head office moves to larger space at 1475 Chevrier Blvd. CANTERRA SEEDS focuses on proprietary products and moves away from public varieties.
Seeding success
“W
e have had many successes over the years,” says Hansen. “The most recent, Glenn wheat, exceeded our forecasts and expectations. This variety has quickly proven itself here in Manitoba, because it yields well in areas where fusarium head blight and rust are prevalent.” Hansen goes on to add, “Glenn is proving to very adaptable, and we have seen sales expand into parts of Saskatchewan and Alberta. The in-field results have been exceedingly positive; it is performing very well.” Another exciting product CANTERRA SEEDS will launch in 2011 is Bentley barley. This two-row malt variety is currently being tested by malting and brewing companies. “Based on its performance and quality characteristics, malting companies have expressed initial interest in Bentley,” says Hansen, who explains the early test results are very encouraging, given the specific quality parameters the industry requires. “The malting and brewing industry does considerable testing prior to accepting any new malt barley variety. New varieties must demonstrate a measurable benefit to the production process or final product.” Once a malt barley variety is commercially accepted, it can remain a viable product for many years, provided that it also has the agronomic characteristics the farmer demands. A prime example is Harrington, which maintained dominance among malt barley varieties for more than ten years. CANTERRA SEEDS is confident that Bentley will have a significant impact on the market. The company will also launch two new canola varieties, as part of the 1900 Series, next year. CANTERRA 1960 is a high yielding hybrid with clubroot resistance, and CANTERRA 1918 is an open-pollinated variety.
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“Our portfolio includes cereals like Glenn wheat, Bentley barley and Triactor oats, pulses like AC™ Thunderbird peas, and oilseeds like AC™ Prairie Thunder flax, just to name a few. We have a variety that will suit every farm in Western Canada.” – Marketing Manager Sheena Pitura Ron Brand, Director, Sales and Marketing, talks about the 1900 Series: “We consider them to be the best performing canola products we’ve brought to market so far,” says Brand. “Within the series we have high-yielding CANTERRA 1950, and high-value CANTERRA 1956. Now we are adding an open-pollinated variety and a clubroot resistant hybrid.” Clubroot is a yield-limiting fungal disease that attacks the roots of the canola plant; it was identified in central Alberta a few years ago. Brand explains that an extensive research effort by one of CANTERRA SEEDS’ key breeding partners
CANTERRA SEEDS
2003 American subsidiary, Meridian Seeds, formed with North Dakota Seed Growers.
2005 CANTERRA SEEDS HOLDINGS LTD becomes venture issuer; stocks traded over the counter at Saskatchewan Securities Commission. Sales exceed $11 million.
2006 Allows retails and private parties to invest. Portfolio expands to more than 75 varieties of canola, oilseeds, cereals and pulses. Happy Birthday! CANTERRA SEEDS turns 10 years old.
2007 Upon numerous strong years of growth, total sales reach $14.5 million.
2008 Ownership grows to over 178 shareholders. An expanded internal Research and Development program is launched.
2010 Total number of shareholders exceeds 200. Promising new products Bentley barley, Glenn wheat, 1900 Series canola will see the company continue to grow.
Senior management at CANTERRA SEEDS: From left to right, President and CEO: David Hansen, Director, Sales & Marketing: Ron Brand, CFO: Gerry Cantin, Director, Research & Product Development: Erin Armstrong, Director, Operations & Business Development: Brent Derkatch Business & Trade Magazine速
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CANTERRA SEEDS
CANTERRA SEEDS research agronomists seeding plots in Southern Manitoba.
has developed new hybrids that are resistant to clubroot. As a result of their relationship, CANTERRA SEEDS was fortunate to gain access to one of the first canola hybrids that will help farmers deal with the disease. CANTERRA SEEDS endeavours to provide seed solutions for all farmers and offers open-pollinated (OP) canola, despite many competitors withdrawing their OP varieties from the market. “Not every farmer is interested in seeding hybrid canola on their farm. We offer a canola product for those farmers who are looking to lower their input costs,” Brand states. The company already has one strong OP variety in CANTERRA 1818RR and is excited to be adding a second to its line-up. “We believe CANTERRA 1918 will be the highest yielding OP on the market,” says Brand. Marketing Manager Sheena Pitura says all of the new products help to demonstrate the breadth of CANTERRA SEEDS’ portfolio and the depth of their pipeline. “Our portfolio includes cereals like Glenn wheat, Bentley barley and Triactor oats, pulses like AC™ Thunderbird peas, and oilseeds like AC™ Prairie Thunder flax, just to name a 16
Business & Trade Magazine®
few. We have a variety that will suit every farm in Western Canada,” she says. Strong relationships with multiple breeding partners from Canada and around the world make this diversity possible. CANTERRA SEEDS has relationships with more than 15 breeding institutions across three continents and works with over 10 end–user companies. “More breeders means more choice and better products for farmers,” sums up Pitura. “The traditional breeding institutions such as Agriculture and Agri-Food Canada and the Crop Development Centre at the University of Saskatchewan provide us with opportunities to access genetics that are suitable for Canada, plus we have relationships that go well beyond these traditional boundaries,” explains Hansen. One example is the company’s valued relationship with DL Seeds Inc. This partnership gives CANTERRA SEEDS access to canola hybrids and varieties developed by the local breeding company. CANTERRA SEEDS also works with top breeders in Europe, New Zealand and the United States on a wide range of different crop types.
CANTERRA SEEDS Research and development A necessary contributor to the success of any seed company is its research and product development team. At CANTERRA SEEDS, this falls to Dr. Erin Armstrong, Director, Research and Product Development, and three research agronomists. Armstrong, who has a doctorate in biochemistry, explains that the department’s main role is to source new varieties from public and private breeding programs. They evaluate experimental lines to see what will work for CANTERRA SEEDS, and for the marketplace. “We work with breeding partners from around the world to screen their products. We also evaluate varieties that are coming out of public breeding programs in Canada,” describes Armstrong. The company currently tests products at nine different sites: two in Alberta, three in Saskatchewan and four in Manitoba, in addition to providing material to public trials. “We look closely at thousands of lines each year to learn about their agronomic and quality characteristics, and how they perform in various geographies. Many of these lines will never reach the market, however we must consider them all,” says Armstrong. Those that display improved agronomic characteristics or a specific quality trait will be advanced to further testing prior to entering the registration process. “Not every variety that we bring from another part of the world will work here,” adds Hansen. “The maturity, disease tolerance or quality parameters might not be right. Only if we physically test a variety in the market where it is expected to
Combining CANTERRA 1841RR HYBRID.
Canola hybrid production in Chile.
seed labs
We are proud to have provided laboratory services to Canterra Seeds for many years. We look forward to a bright future together.
7225 B Roper Road, Edmonton, AB T6B 3J4 Toll Free: 1-800-952-5407 ISO 9001:2008 registered
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CANTERRA SEEDS be sold, can we consider adding it to our portfolio,” points out the CEO. “After accessing and testing new material, if we deem that it is a fit for our customers, we will work to provide the basis for registration.” The rigorous registration process, which is overseen by the Canadian Food Inspection Agency, evaluates products on quality, disease resistance and numerous agronomic factors such as yield potential. “Each variety has to meet specific performance criteria before it can be registered, and before we’re allowed to sell it,” says Hansen. Pedigreed seed is then provided to our seed
“CANTERRA SEEDS is, and will remain, the company that is closest to the farmer. We can commercialize new products and new technology in an efficient and controlled system, ensuring our partners and our farmer customers receive value.” – Ken Nelson, CANTERRA SEEDS’ Founder and Chairman of the Board
The Board of Directors for CANTERRA SEEDS. From left to right, Greg Andrukow, Don Grambsch, Lloyd Affleck, Ken Nelson, Dick Emerson, Joe Dales, missing: Shaun Haney, Jim Wilson.
® The Cargill logo is a registered trade-mark of Cargill, Incorporated, used under licence. © 2010, Cargill Limited. All Rights Reserved.
Committed to Customer Success
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At Cargill, we believe in the strength of Canadian growers and are committed to using our
grower shareholders to multiply, process and sell locally to their customers. CANTERRA SEEDS will participate in the registration process on a number of lines that are accessed through private breeding relationships. Others are managed through this process by the breeder themselves. This is particularly true for canola, where CANTERRA SEEDS works closely with breeding partners to identify desirable lines, prior to the breeder putting them forward for registration.
global resources to deliver the innovative solutions they need to
Strength in numbers
realize their full farming potential.
CANTERRA SEEDS was founded in February of 1996 during a time of change in the Canadian seed industry. “About that time, seed growers recognized there was increased interest by global agriculture companies in canola variety development and in the seed business,” says Ken Nelson of Alberta, CANTERRA SEEDS’ Founder and Chairman of the Board. “Globalization of agriculture was going to occur,” states Nelson. “The CANTERRA SEEDS seed grower shareholders knew that if we did not combine our efforts and resources, learn to collaborate with each other and with private sector developers, we could not remain competitive. Collectively, we would have the ability to partner with breeders from around the world to commercialize genetics in Canada.”
That’s why we would like to salute CANTERRA SEEDS for their dedication to Canadian agriculture and wish them the best for the future ahead.
Business & Trade Magazine®
CANTERRA SEEDS
Congratulations to Canterra Seeds on your continued growth & success
And may your future bloom bright
CANTERRA SEEDS works with breeding partners to identify promising canola varieties.
Fourteen years later, that early vision has become a reality; CANTERRA SEEDS has become a significant industry player, and is competitive within many different crop types. “We have been accessing varieties and technologies on a local and global basis, offering competitive products and production advantages to western Canadian farmers.” Past highlights include AC™ Intrepid wheat, CANTERRA 1841RR HYBRID canola and AC™ Furlong oats. “We’ve had success introducing and marketing these top performing varieties,” the Chairman sums up.
From the staff at DL Seeds
By farmers for farmers In addition to providing strength in numbers, the seed grower shareholders offer a direct connection to the farmer customer and excellent customer service for those who buy CANTERRA SEEDS’ products. Fred Greig is a founding shareholder, past board member and a wholesaler and retailer of CANTERRA SEEDS’ products, who operates Avondale Seeds in Reston, Manitoba. His business includes a seed processing plant as well as over 5,000 acres of farm land. Working within driving range of many of his farmer customers he says gives him a good vantage point
Morden, Winnipeg, Edmonton Research Locations Business & Trade Magazine®
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CANTERRA SEEDS
In-field testing and quality assessments provide accurate product evaluations.
to understand their special needs, an important advantage the company enjoys. “We are the front line,” says Greig, “and we are producers ourselves; what we need is what our customers need.” “Because of CANTERRA SEEDS’ focus on variety evaluation, we have greater knowledge about the products when they hit the market. I am confident in the information I am
Congratulations to Canterra Seeds on your continued success from your friends at Univar Canada
Dedicated to service, committed to excellence
UNIVAR CANADA LTD 99 Lowson Crescent Winnipeg, MB R3P 0T3 Phone: 204-489-0102 Fax: 204-489-0881
www.univarcanada.com 20
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providing my customers, and understand how these varieties will perform for them.”
Looking ahead A long-term challenge, says Nelson, will be to continually evolve the company’s strategy so CANTERRA SEEDS will remain a major player in the Canadian seed industry. “This will mean acquiring top varieties and accessing leading edge technology on a local and a global basis,” says Nelson, noting the goals are to grow the company in western Canada, form new relationships, grow Meridian Seeds in the US and expand operations into eastern Canada. There are always changes on the horizon, and Nelson says one of the latest has been the announcements by multinational life science companies that they will be developing proprietary cereal varieties. Events have yet to play out, but the Chairman views the upcoming changes and the availability of more seed varieties and technology as opportunities for CANTERRA SEEDS. “CANTERRA SEEDS is, and will remain, the company that is closest to the farmer. We can commercialize new products and new technology in an efficient and controlled system, ensuring our partners and our farmer customers receive value,” says the Chairman. Hansen is also optimistic about the future, saying the company has the right resources in place as it moves forward. “The strength of CANTERRA SEEDS really is our shareholders. We work with the top seed producers and retailers in Western Canada,” says the CEO. He plans to continue to build the valuable relationships that have helped the company to grow so successfully over the years, including those with its top breeding partners. Given its strong professional relationships, top products and confidence in the future, CANTERRA SEEDS will be growing the company as much as its quality seed products in the years ahead.
CANTERRA SEEDS
A dedicated sales and marketing team promote products in the field.
Specialized financial advice to help your agribusiness succeed. RBC® has a dedicated team of account managers, specializing in financial services to help your agribusiness grow.
To start a conversation with a commercial agriculture specialist, visit rbcroyalbank.com/agriculture ™
®
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Our Mission To use our extensive knowledge and experience to act as SEED EXPERTS when acquiring, producing, marketing and selling seed and related technologies to our customers. To be a leader in identifying opportunities and source QUALITY products and varieties that meet end user needs. To work with our shareholders, retailers, customers and partners to identify OPPORTUNITIES that allow us all to succeed in the agriculture industry.
201 – 1475 Chevrier Blvd., Winnipeg, MB R3T 1Y7
T: 204.988.9750
F: 204.487.7682
www.canterra.com
BULK SERVICE SPECIALISTS Providing Quality Transportation Solutions for 40 Years
Jade Transport Ltd.
Jade Transport Ltd. Celebrating 40 great years, liquid bulk carrier grows with the times BY GLORIA TAYLOR
P
ass a Jade Transport Ltd. tanker on the road, and it could be carrying cargo as diverse as egg yolks to solvents to hot asphalt. The Winnipeg, Manitoba-based family transport company has fit nicely into a niche market for the last 40 years, carrying a variety of liquid bulk cargos throughout North America. The trucks are often just as unique as their cargo. Shelves of bright trophies line the walls of the outer office at Jade Transport, testifying to the company’s ability to customize their trucks to where they win repeatedly at international truck shows. Ask President Larry Dyck what accounts for the company’s success, and he’s convinced hard work, dedication and even family values – which are faith-based values – form the strong foundation upon which the transport company is built. The president owns the company with his wife Kim Dyck and business partner Greg Arndt. Now into its 41st year of business, expansion is on the horizon, with plans to build a truck wash on recently acquired property five minutes away from the company’s main offices in east Winnipeg. It will be managed by Jonathan Dyck, Kim and Larry’s son. While he is only 30, Jonathan has already logged 10.5 years driving truck for the company. These days though, he says he is more interested in cleaning trucks than driving them, although he has always loved driving, and looks forward to managing the truck wash. Part of that interest stems from learning to clean show trucks exceptionally well in order to win at truck shows. He is proud of his company’s strong service record generally, crediting it with some of Jade Transport’s success.
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Business & Trade Magazine®
Larry Dyck (from left), Kim Dyck and Greg Arndt own Jade Transport.
Jade Transport Ltd.
Family affair Jade Transport has long been a family affair. Jonathan’s brother, David, 25, has worked at Jade Transport since he was a teenager, where he started washing trucks. He is presently putting his Bachelor of Commerce degree from the University of Manitoba to good use where he is responsible for quoting and business development. Both sons are involved in the custom work on the trucks, which are mostly top of the line Peterbilt tractors. Jade Transport owns and operates 42 of its own trucks and has 20 owner-operators under contract.
“We haul in excess of 5 million pounds of sweetener in a month, and we find that we haul more in certain seasons such as coming into Christmas and coming into Easter.” – Larry Dyck
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Jade Transport Ltd.
Jonathan and David also operate Shift Products, an affiliate of Jade Transport, which builds after-market accessories for Peterbilt tractors and other trucks using carbon fibre, a strong lightweight material. The sons, like many others, worked their way up from washing trucks, says Kim. “They didn’t just come in and get office jobs.” Greg Arndt’s wife, Verna-Dawn, also works at Jade Transport part-time, maintaining driver-files, assisting with hours of service compliance, and helping with special projects. The Arndt’s son, Geoffrey, works as a trailer mechanic at the company and helps manage the extensive tire maintenance and replacement program. When Greg joined the company in 1975, it was under the ownership of Jake Dyck, Larry’s father and founder of Jade. Arndt was a great addition to the team, as he was already an industry veteran who owned his own trucking company hauling aggregate materials. In June of 1991, he became part owner of Jade Transport. Safety and compliance, quality management, and training are especially important to him. “Over the last six to seven years, we have been focusing a lot on the training of new hires,” says Arndt, who works exclusively in the administration end of the business these days, taking care of accounting, human resources, insurance claims and related functions. “We’re really unique because we’re a specialized carrier,” he says. More than just steering a truck, the drivers are also 26
Business & Trade Magazine®
Jade Transport Ltd. product handlers that must be trained in the use of their Personal Protective Equipment and how to follow numerous protocols and procedures to ensure the safe delivery of the load. Last year, Jade Transport marked a special anniversary of 40 years. It was also the 25th year that Larry and Kim Dyck owned the liquid bulk carrier, which they bought from Larry’s father, Jake, in 1984. Jake started trucking in 1935 when he began hauling logs with a Model A truck in Mexico. He immigrated to Manitoba in 1952 and held several trucking jobs before starting J & J Trucking with a business partner in 1969. The carrier was renamed Jade Transport Ltd. in 1976. In 1988, the company expanded into the United States, and in the early 1990s, it began to specialize in the transport of chemicals. “Our main business is general chemical service,” says Larry. Common cargos include soaps, oils, acids, industrial cleaners, solvents, additives for fuel, ethanol, methanol, to name a few. The company also transports asphalt and is a registered hazardous waste carrier.
Proud of our Past … Committed to Your Future! Congratulations to Jade Transport on their 40th Anniversary
Espar is proud to be the choice of heater systems behind Jade Transport’s success.
1655 Dugald Rd. Winnipeg, MB R2J 0H3 Phone: 204-654-9646 Toll-free: 877-545-3884 www.tereckdiesel.com Business & Trade Magazine®
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Jade Transport Ltd.
Diversity Not only harsh chemicals but food ingredients such as corn sweeteners, or fructose, are carried by the company. The fructose is moved from a transfer facility Jade Transport operates on Winnipeg’s Taylor Avenue to Coca-Cola and Pepsi bottlers in Winnipeg. US suppliers send the sweetener by train to the Winnipeg facility. “We haul in excess of 5 million pounds of sweetener in a month, and we find that we haul more in certain seasons such as coming into Christmas and coming into Easter,” says Larry.
The company also transports liquid yolks and separate cargos of egg whites to different destinations. “This week, we’re hauling yolks down to Iowa,” said Larry in late March. “We haul products across Canada from coast to coast, we have gone as far north as Prudhoe Bay, Alaska, and as far south as the US/Mexican Border. In the summer, the company hauls asphalt for road construction for government and private clients to Ontario, Manitoba, Saskatchewan, Minnesota, North Dakota and South Dakota.
Fillmore Riley would like to congratulate Jade Transport Ltd. on its 40th anniversary and wish you continued success. Call (204) 956 2970 or visit us at www.fillmoreriley.com FILLMORE RILEY LLLP FIL
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MORE BARRISTERS, RIL SO SOLICITORS AND TRADE-MARK AGENTS
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Manitoba Hydro is another repeat customer for Jade Transport, which hauls transformer oil for the utility. Some other longstanding clients are Univar Canada, Brenntag Canada, Canada Colors and Chemicals and Ashland Canada Corp. The majority of the chemicals are carried in DOT407-model tankers. These stainless steel tankers are built by either Polar or Brenner Tank MFG. Most of the tanks can be heated while in transit, keeping the liquid inside in a manageable fluid state. These specialized tankers are particularly valuable in the winter time, says the president. “Sometimes, we’re hauling from Memphis to Fort McMurray. Fort McMurray (Alberta tar sands), in the winter, is a long way from Memphis, so we heat the product for the customer to keep it fluid so we can unload,” says the president. “As things get cold, the liquids have a tendency to congeal, but if you keep the chemicals warm, they will drain out.” Some of the tanks are multi-compartment units for customers who need to manage different liquids at the same time. LICITO The company also does RS ANDsome TRADE-MARK AG general freight hauling on occasion.
Jade Transport Ltd.
“People who are spending two-thirds of their time away from home in the truck should be driving something that they can take pride in and be comfortable in.” –Larry Dyck
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Jade Transport Ltd.
Art on wheels
Congratulations to Jade Transport on their 40th Anniversary!
GRANT WILSON Chartered Accountant Unit 4-935 McLeod Avenue, Winnipeg, MB R2G 0Y4 Phone (204) 669-0811 Fax (204) 654-4944 E-mail: grantwilson@mts.net
Congratulations to Jade Transport on your 40th Anniversary
www.zep.com
Phone: 204-791-1837
Superior Solutions 30
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Jade Transport does its own truck maintenance at its terminal on Dugald Road. This is also the site of some award-winning customization work by a select group of employees. It’s a dream team that Jonathan calls the Council of Cool. The company has done well at shows throughout North America, bringing home many trophies and accolades. Last year was a highlight when a redesigned 2007 Peterbilt won three Best of Shows. In addition to winning six first-place awards at a competition in Calgary, it also earned a coveted spot on the 2010 Wow Trucks calendar. Last year also provided plenty of opportunity to learn how to better compete at the truck shows, explains Jonathan. Judges in the first show of the year that Jonathan entered were critical of how the truck was cleaned. “They really cut me down,” says Jonathan candidly. He did a better job of cleaning for the next show, and this time captured the Best of Show trophy in competition against the same people. It was a lasting lesson in how not to take criticism personally. This is the first truck to have carbon fibre fenders, as far as the family is aware, and came about as a result of drawings done by David Dyck, who typi-
Jade Transport Ltd.
cally sketches out the group’s ideas and contributes some of his own. He has high hopes for the carbon fibre fenders made by Shift Products and has already begun talking with industry heavyweights in order to market and mass produce the fenders, and perhaps other lightweight products later. Lighter trucks means the carriers will be able to haul more liquid cargo. We have a motto, says David: “If it weighs less it makes more money.”
Corporate values Company leaders always influence their corporate culture, and in the case of Jade Transport, the Dycks are inspired by values passed on by Larry’s father and those of their faith. Larry is guided by a favorite piece of scripture: “Trust in the Lord with all your heart and lean not on your own understanding; in all your ways acknowledge Him and He will direct your paths.” Jake couldn’t speak English when he came to Canada, but he operated his business with a philosophy of hard work and honest dealings. “It was always about
customer service, taking care of people’s needs,” says Larry. “That’s what he basically taught me. Do a good job and you get more jobs. We hope we’ve passed that on to our sons.” As a young man, Larry admits there were times when he wanted to play rather than work, but his dad instilled a work ethic that remains today. The values have always extended to treating customers and employees well. “It’s not our intention to take advantage of anybody,” says Larry. “I think lowest price isn’t necessarily value. We like to provide value. We try to answer our phones, we try to have a voice at the end of the line, we try to be honest with people, pay on time, deliver on time.” Drivers can have lonely jobs, so the company provides the best trucks possible. “People who are spending two-thirds of their time away from home in the truck should be driving something that they can take pride in and be comfortable in,” says Larry. Larry began working with his dad Jake when he was no more than 12, greasing
Congratulations to Jade Transport Ltd. on their 40th Anniversary! Proud to be Jade Transport Ltd’s Insurance Broker
RISK SERVICES
1800 – One Lombard Place Winnipeg, MB R3B 2A3 Phone: 204-956-1070 www.aon.ca
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Jade Transport Ltd. and w washing ttrucks. rucks. He ashing joined tthe com comhe pany full ttime right im out of high school e and has alw always enjoyed driving, par- ays tticularlyicularly tthe ttanker he anker ttrucks tthat rucksrequire hat special skills. “Driving a tanker is a special technique, it’s almost an art form,” says Larry. M Most of tthe ttankers he ankers don’t ost have baffles in tthem, w which hem m means hich eans tthey’ree hey’r not divided, and tthis leaves his room for the liquids to slosh. He is always alw looking for good ays experienced drivers tto add tto o his seao soned w workforce. ce. “Thereorkfor are quit quite a few 20-year veterans,” says Kim. One of the t challenges he over the t years he has been just grow growing tthe business. he At ing tthe ttimehetthat im tthehat Dycks he purchased JJade e ade Transport, ttheree w Transport were here only tthree ee ttrucks erhr rucks and five trailers. Arndt says that t demand dem hat for their t heir services grew over tthe years, heand tthe com comhe pany w was even able tto ttake as account accounts o ake aw away from m moree est established carriers or becauseablished of its ability to provide it sovide abilit ttop-notch service. vice. Church and community com are also important tto tthe ow im owners, o he port and Larry and ners, Greg have donat donated ttheir ttime heirdriving im a bus for ttheir church ch for tthe last 30 years.
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Ask the owners how the future is shaping up, and they agree they will continue to focus on great service. Chances are with third-generation family members already playing key roles in the business, Jade Transport is looking more and more like it will continue as a family company, adds Larry. 32
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CONGRATULATIONS TO JADE TRANSPORT ON YOUR TH
A N N I V E R S A R Y
t NEW TRUCKS t USED TRUCKS t LEASING t SERVICE t PARTS & ACCESSORIES t BODY SHOP t FINANCING
PETERBILT M ANITOBA LTD. www.peterbilt-truck.com
1895 Brookside Blvd. Winnipeg MB R3C 2E6 Phone: 204-633-0071 Fax: 204-633-6476 Toll-free: 800-563-7383
1809 18th St. N. Brandon, MB R7C 1A6 Phone: 204-725-1991 Fax: 204-728-1001 Toll-free: 800-263-7383
“Serving Manitoba’s Trucking Industry for More Than 29 Years”
A FOUNDATION FOR THE NEXT CENTURY Business & Trade Magazine® —— Special Supplement ——
Horizon Insurance
Michael and Peter Leipsic
Horizon Insurance A story of true grit behind leading Manitoba insurance brokerage
L
ouis Leipsic began his career selling insurance 100 years ago this year, likely never realizing that his new career would sow the seeds for an insurance brokerage that has become one of the largest, most diverse, and distinguished in Manitoba. Born in Russia, and later an immigrant to Grand Forks, North Dakota, Louis travelled north in 1910 to join his brotherin-law Herman Aronovitch in a fledging real estate enterprise that would trade under the name Aronovitch & Leipsic Ltd. By the late ’70s, considerable growth and the diverging interests of the two founding families had led to an amicable separation between the real estate and insurance operations. Under Louis’ grandsons Michael and Peter, Leipsic Insurance commenced operating with a staff of only 20 people, and the past thirty years has seen the firm reach a staff complement nearing 200. Today, trading under the name Horizon Insurance, the company has 17 offices throughout Manitoba, two in Nunavut, and is poised to move ahead with aggressive expansion and unique product and service offerings across the Manitoba and Canadian insurance landscape. For Peter Leipsic, Executive Vice-President of Horizon Insurance, this special anniversary is also a time to reflect upon a family business rooted in the same Prairie soil his grandfather knew, as well as the evolution of the family’s involvement with
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the private company. An intriguing collection of black and white images and dated documents spread out over a boardroom table testifies to the company’s memorable achievements and milestones. Peter’s cousin, Michael, is Horizon’s Chairman, and together they recount a story of pure grit in the insurance industry – not to mention a family-business classic. It was 1920, the flapper era had not yet begun, and no one could have envisioned the Great Depression that would
Horizon Insurance
“Our commitment to training goes beyond our dedicated training facility and full time training personnel – it’s cultural.” – Horizon President and CEO Keith Jordan
Aronovitch & Leipsic employees circa 1918 in the old CPR Building at the southwest corner of Portage and Main.
Horizon staff at a regularly scheduled training & update session. PHOTO BY DAVID LIPNOWSKI Business & Trade Magazine®
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Horizon Insurance
The current Executive Operating Committee: Greg Leipsic, Kevin Solomon, Keith Jordan, Brent Gilbert, Wendy Harrison and Tony Taronno (left to right). A&L New Year’s Announcement circa 1945 – Greetings from staff in the armed service.
“If there are advances in technology or operating systems, in coverage or policy for any product, or new thinking or approaches that benefit customers – we don’t wait for the local association to offer a course to train our team. It’s all in-house.” – Horizon Chairman, Michael Leipsic C4
Business & Trade Magazine®
envelop North America only a decade later. These were high days for theatre, and the famed Orpheum Theatre chain had some 70 theatres throughout the United States. One was located in Winnipeg, and through this local connection Louis made an ambitious bid to write insurance for all of Orpheum’s North American operations. “At that time, it was unheard of for a local insurance broker to attempt something on that scale.…” comments Jordan. “That would be the equivalent of writing General Motors today.” Nevertheless, Louis made the deal. “It was simply about building a relationship, and providing the level of attention to the customer’s needs that have been a hallmark of our success over the years,” explain the Leipsics. According to company history, Louis led many subsequent coups, including becoming the general agent in Winnipeg for Great West Life from 1914 to 1921. “It meant that every piece of business that was written at that time came through our hands,” says Jordan. Listening to the Leipsics describe their history, it is apparent that the same proactive, entrepreneurial spirit has kept the company going over the decades. Unlike many other firms, they survived near bankruptcy during the Great Depression. When recovery and renewed economic growth were interrupted by the Second World War, most of the firm’s senior executives left to serve in Canada’s armed forces, and many did not return. The innovative and driven company simply forged on. The strategic leadership of Michael and Peter Leipsic, along with the addition of many insurance specialists to their team has brought about significant growth, new ventures, and an ongoing evolution of the company’s product and service offerings. Its diverse customer base now includes 3,000 businesses; 750 farms; 20,000 homeowners, and more than 70,000 Autopac clients.
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Congratulations Horizon Insurance 100 Years of Success! on 105
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Quality Service Experience Integrity
At Intact Insurance, we believe that insurance is not about things, it’s about people. It’s about building relationships and providing peace of mind to know that if the unforeseen happens, you will be protected. We’re proud to work with Horizon Insurance to provide that kind of comfort and security.
Congratulations to Horizon Insurance on celebrating 105 100 years and for proving exactly what it means to always be there for your customers.
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Horizon Insurance
1904 to 1905
Both Ryan Agency and Aronovitch Agency are established
1911
1914 to 1921
Louis Leipsic joins his brother-in-law to create Aronovitch & Leipsic
A&L becomes the Winnipeg general agent for Great West Life Assurance
1931
Louis secures a $100,000 loan from Sam Bronfman allowing A & L to continue operating
1939 to 1945
The 2nd generation Sylvan & Barry leave to join the war effort
1960s
The 3rd generation Michael and Peter Leipsic join A&L
With the right team by your side, no goal is unattainable. STRENGTH AND SUPPORT TO KEEP YOU IN THE GAME. CNA is one of the world’s leading insurers with over 100 years of experience. Our reputation for quality, stability and financial strength has built a foundation of trust that is second to none. In partnering with Horizon Insurance for over 15 years, we are delighted to congratulate th them on their 100 anniversary and their recent merger with Ryan Gateway Insurance Broker. These achievements reflect Horizon Insurance’s shared philosophy with us in delivering superior products and exceptional customer service. Thank you Horizon Insurance for a solid partnership. We look forward to continued success in the future. www.cnacanada.ca CNA is a registered trademark of CNA Financial Corporation. Copyright © 2010 CNA. All rights reserved.
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Horizon Insurance
2008-2009 2003
The company rebrands under the name Horizon Insurance and continues to acquire new branches
1997-2001 1980
A&L separates, Michael & Peter form Leipsic Insurance
Acquisitions begin with Kildonan Place,Corydon,Tuxedo, Southdale & Wall St. locations
2002
Nunavut Insurance opens for business in Rankin Inlet
2005
Launch of Leipsic Private Risk Management
Stewart-Greenslade and Ryan Gateway merge with Horizon
2010
Management restructures for continued growth, begins ISO certification process
Business & Trade Magazine速
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Horizon Insurance Broader base of partners “Beyond our many locations in Winnipeg neighborhoods and Manitoba communities, the real benefits of our growth and size are not readily apparent from a customer’s perspective,” says Jordan. What this long history, reputation and significant presence does bring to Horizon, however, is a blue chip list of insurance company providers that rivals any broker in Canada. The Horizon management team is united in their belief that product choice is as important to insurance customers as it is in the electronics, agriculture, and housing industries. Although insurance is widely regarded as Canadian families’ fifth largest expenditure, according to the Insurance Bureau of Canada, few families understand what they are really insured for or even how to make a claim. The advantage of Horizon’s comprehensive ‘A’ list of insurance providers, is that it allows them to provide broader product choices for clients; “We’re able to provide solutions from distinct products, companies and business lines, and we then take the time to educate our customers about their choices,” says Jordan.
Choice of broker critical Peter Leipsic, with his 40+ years of client-servicing experience, has come to understand that the most critical choice for insurance buyers and decision-makers is the selection of their broker, yet he has seen that few realize the importance of this decision until it’s too late. “You’re putting into your broker’s hands the responsibility of protecting your most valuable assets – be it your home, business, farm, or family.… Beyond considering the price, you
Horizon’s collaborative approach to Integrated Risk Management 1. Risk Identification: Client and advisor embark on a rigorous process to identify potential property, liability, and crime risks faced by clients. 2. Risk Management & Transfer: Once critical risks have been identified, Horizon works with the client to determine which risks they can afford to manage on their own, and which risks should be transferred to an insurer.
4. Client Proposal: Once the best possible combination of coverage, price, and service have been garnered from the various insurers’ responses, Horizon prepares a proposal for the client outlining the optimal coverage recommendations. 5. Implementation & Management of Insurance Portfolio: Upon client approval, the Horizon Service Team implements and manages the client’s insurance portfolio on an on-going basis. C8
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PHOTO BY DAVID LIPNOWSKI
3. Insurer Selection & Coverage Design: Upon finalizing the client’s Risk Transfer Requirements, Horizon prepares a submission for specific insurers that are experienced in the types of risks that the client presents and specifies the terms and conditions the insurer must provide in order to meet the type and level of insurance protection required.
Horizon Insurance need to know without a doubt that they’re recommending the right insurance protection for you.” Horizon’s team accredits their expanding customer base and year-over-year rise in profits to their ability to evolve to meet client needs and demand. An example of one such innovation was in the creation of their Product Development department. Explains Jordan, “At Horizon, we have a dedicated insurance placement team whose sole focus is to bring together the ideal combination of insurance products to create a customized insurance portfolio for each client’s specific situation.” “Uncovering and addressing critical and often unnoticed gaps in insurance protection is also why we’ve developed a proprietary process that we apply to each new client prospect we meet with,” says Leipsic. Horizon’s is an integrated approach to uncovering an individual’s, family’s, business’, or organization’s real risk sit organizat situation.
ion’
uat
Best practices “There are more than 300 brokers in Manitoba, and I know most of them are nice, friendly people. But how many are really equipped tto provide o tthe he broad range of product choices, tthe deep he know knowledge and understanding of each anding st policy’s coverage, and tthe levelheof, and com commitment tto service o tthat w wehat can?” President e Keith Jordan asks.
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it
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Congratulations to Horizon Insurance on 100 years of exemplary service to your clients. Wawanesa is proud to be a part of this history.
www.wawanesa.com Home
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Horizon Insurance “And that’s even before we touch on the level of expertise that we believe should be inherent in assisting a client when they have a claim. That’s when the really competent Broker shines,� answers Leipsic. This is why even though all insurance providers for the products that Horizon carries have their own claims departments and adjusters, the company has also established its own in-house Claims Care Centre. The centre’s pivotal goal is to advocate for Horizon’s clients to insurers, ensuring that client claims are settled quickly and fairly. Jordan continues, “For years our Chairman Michael Leipsic has lamented the fact that insurance isn’t a very sexy product: he always says you can’t taste it; smell it, touch it, and what the heck does it look like? Even after you’ve bought it – you hope you’ll never have to use it!� Our product only becomes tangible when a client has a problem – a claim that has threatened their financial well-being – so our best business edge is our innovative Claims Care operation.�
Client-centric growth strategy In the mid ’90s Horizon’s newly-appointed President Keith Jordan joined the company and, along with the Leipsics, initiated an aggressive era of expansion. Acquisitions were made in key areas and firms throughout the city and in the Whiteshell where there are now four offices. Operations were begun in Nunavut, and today there are offices in Iqaluit and Rankin Inlet, along with an expansion into Yellowknife planned for late 2010.
Nunavut Insurance, a division of Horizon, has a growing presence in communities across Canada’s Arctic.
100th
Congratulations Congratulations
to toHorizon HorizonInsurance: Insurance:
105 105years yearsofofserving servingManitobans Manitobansproudly proudly
More More than than aa century century ago, ago, when when Horizon Horizon Insurance Insurance opened opened itsits doors, doors, the the world world was was very very different. different. Yet, Yet, many many challenges challenges we we faced faced then then are are strikingly strikingly similar similar today. today. We We look look forward forward toto many many more more years years working working with with you. you.
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Horizon Insurance
In 1920, Louis Leipsic made a deal to write insurance for all of Orpheum’s North American operations. That success led many subsequent coups, including becoming the general agent in Winnipeg for Great West Life from 1914 to 1921. Business & Trade MagazineŽ
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Horizon Insurance
“And like those who came before us, we continue to demonstrate our values through doing more for our customers whenever we can, and by giving back to the communities we do business in.” – Michael Leipsic
The A&L Building at 460 Main St. in 1955.
Two mergers have highlighted the Horizon landscape in the past three years. In 2008 the company joined with Brent Gilbert and George Miller, then principals of Stewart-Greenslade Ltd. in Portage la Prairie. Stewart-Greenslade
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was a well-respected insurance brokerage firm focused on efficiency, productivity and professional standards, being among the first Manitoba brokerages to operate in a completely paperless environment.
Gilbert and Miller have since brought their talents to Horizon’s management team, helping to establish a ‘Best Practices’ Officer, bringing about the launch of the company’s ISO certification process in 2009, and most recently, driving a new customer service initiative that goes far beyond the industry standards. Recently, Bryan Alsop, the principal of Ryan Gateway Insurance, also joined forces with Horizon. An esteemed brokerage with its own longstanding history in the Manitoba marketplace, the Ryan Gateway merger brings the company’s total sales and service centres in Winnipeg and southern Manitoba to 17. Today Horizon operates out of an 11,000-square-foot Head Office in Winnipeg, which houses their Executive and Administrative staff, extensive training facilities along with Commercial Operations, Leipsic Private Risk Management, Life Operations, and Nunavut Insurance. Chairman Michael Leipsic and the Horizon Executive are strongly committed to identifying markets and areas where clients are typically underserviced, or there is an opportunity to create a new type or level of service, and this is evident across each area of the company. “Unlike so many brokerage head offices that are largely accounting driven, we see our role as providing resources, in-house training, product development, integrated IT and HR support, and ongoing thought leadership to empower our most important assets – our excellent people,” says Leipsic. “And like those who came before us, we continue to demonstrate our values through doing more for our customers whenever we can, and by giving back to the communities we do business in.” Leipsic smiles confidently, and it’s no wonder; in a time of fast change and uncertainty, it is this attitude and unique approach to insurance that has served the firm well for more than 100 years. ®
Horizon Insurance
“You’re putting into your broker’s hands the responsibility of protecting your most valuable assets – be it your home, business, farm, or family.… Beyond considering the price, you need to know without a doubt that they’re recommending the right insurance protection for you.” – Peter Leipsic
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Lazer Grant Inc. Lazer Results Lazer Grant Consulting Lazer Grant First Nation Advisors Inc. Lazer Grant Corporate Finance Inc.
stimulate
Horizon Insurance on reaching the milestone of 100 years. Portage Mutual offers a wide range of insurance products that have helped set the industry standards for personal/residential, automobile, retail/ commercial, and agricultural business coverage.
your
business
Congratulations to Horizon Insurance on 100 years of service excellence
300 – 309 McDermot Avenue Winnipeg, Manitoba R3A 1T3 Phone: 204–942–0300 Toll–free: 1–800–220–0005 www.lazergrant.ca
The Portage la Prairie Mutual Insurance Company Head Office 749 Saskatchewan Ave. E. P.O. Box 340, Portage la Prairie, MB R1N 3B8 Phone: 1-800-567-7721 www.portagemutual.com Business & Trade Magazine®
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Horizon Insurance
Overview of current day operations Leipsic Private Risk Management
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PHOTO BY DAVID LIPNOWSKI
wholly owned subsidiary of Horizon Insurance LPRM is one of Canada’s leading insurance advisory firms to high net worth Canadians. LPRM designs, implements, and manages personal property and personal liability insurance portfolios to address the unique needs of affluent families and individuals, protecting the assets on their personal balance sheet. Drawing upon the firm’s strengths and collective legacy in property and casualty insurance, LPRM has fast become one of a few trusted names in Canadian insurance solutions for high net worth individuals and families.
Commercial Insurance Division The Commercial Insurance Department of Horizon Insurance is in the business of providing insurance advice and solutions. Positioned as trusted advisors to their clients, they help identify and manage all aspects of the risk commonly and uniquely associated with running a wide range of business enterprises. The commercial division team each brings years of insurance experience and knowledge to bear, including the satisfactory settling of client claims. Along with an unrivaled slate of quality suppliers (Horizon’s Insurance company partners) they craft insurance and risk management programs that are suited to each distinct business client.
Retail Insurance Division The Retail Insurance Operations of Horizon Insurance provides personal property and liability insurance solutions
(home, auto, and life) to Manitobans out of 17 sales and service centres in Winnipeg, Anola, Portage la Prairie, Whitemouth, Lac Du Bonnet and Pinawa. Six of the Winnipeg offices continue to be branded as Ryan Gateway, due to the unique home insurance product they designed and deliver. Each centre offers a wide range of products and services, with a staff that prides themselves on exceeding client expectations, a focus that truly differentiates Horizon and Ryan Gateway from their competition. Because of the nature of Manitoba’s public auto insurance system, Horizon’s exceptional product knowledge and customer
Congratulations to HORIZON INSURANCE
on 100 105 years of professional service to your insurance clients!
www.axa.ca C14
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service have driven them to become Manitoba’s largest Autopac dealer and fleet insurance provider.
Life Insurance Division While brokerages have typically shied away from Life Insurance, in 2008 Horizon expanded it’s offering into this seemingly saturated area of the insurance industry to address their client’s demonstrated gaps in coverage. Horizon’s specialists focus on three areas: Retail Life Insurance, which involves providing families with term coverage for liability and income protection as well as Disability and Critical Illness insurance; Employee Benefits with the expertise and capacity to handle any size of employee benefit group – large or small, as well as health spending accounts and executive benefits (enhanced life, critical illness, disability, travel and other voluntary benefits coverage options), and finally, Corporate Insurance where experts create unique solutions for Shareholder Agreements, Estate Taxes, Family Succession Strategies – all with a strategic focus on the applied use and role of life insurance. Technical support – through legal and accounting professionals – ensures viable and sustainable solutions.
Congrats on your 100th anniversary Horizon,
be careful with all those candles.
Further congratulations on your latest merger with Ryan Gateway Insurance. Keep your eyes on the Horizon, there are great things to come in the future. From your friends at Red River Mutual.
Horizon_MB_BusinessJune2010_Horizon_MB_BusinessJune2010 18/05/10 10:31 AM Page 1
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2 Years
Photos by 2ePerspectives
Keystone Air Service Ltd.
Flying high Keystone Air Service fills niche market for users, celebrates 25 successful years in air charter service BY GLORIA TAYLOR
S
aving clients time and money has been a winning strategy for Manitoba-based Keystone Air Service Ltd. as it celebrates its 25th anniversary. In today’s world where politicians and business people need to save on travel time, tourists want to fly to remote camps and lodges and major utility companies need to move quickly in order to address emergencies, Keystone Air Service’s charter flights have responded to a niche market need, building a thriving service business that has soared well beyond what President and Founder Cliff Arlt could have envisioned when he started the company 25 years ago. The last few years in particular have seen a number of significant changes for the private airline. “It has been a very busy few years for us,” says Arlt, from his company’s offices and hangars at St. Andrews Airport, six kilometers north of Winnipeg, one of two airports that the air service uses. Keystone also flies out of the Winnipeg James
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Armstrong Richardson International Airport. A growing fleet of planes, new headquarters in St. Andrews, the formation of sister company Keystone Aircraft Maintenance Ltd. and a brisk business made up of new and repeat customers are just a few developments that mark the company’s success after a quarter century of service. Recognition has been forthcoming. Keystone Air Service was awarded the Consumers’ Choice Award for Business Excellence for both 2009 and 2010 in the category of aircraft charter in the Winnipeg area. He admits there have been challenges along the way, but given today’s busy lifestyles, Arlt expects no end to the call for the flexible air charter service that offers clients the ultimate travel convenience. Think of Keystone as Your Personal Airline is not only a tag line in a brochure for Keystone; it is also the company’s winning service philosophy.
Keystone Air Service Ltd.
Northern roots Arlt, who is a pilot, was flying for Gabrielle Air Service in Swan River in northern Manitoba when the company encountered some financial turbulence and went into receivership. Arlt purchased the assets in 1985 and began turning it around. There were only four employees and two planes at the time, and the company was operating a regular scheduled daily passenger flight between Swan River and Winnipeg. “We lived in Swan River, and we kept going back and forth to Winnipeg,” says Arlt. “Then, as business improved, we added more planes and we used Winnipeg as a sub-base and began to do charters out of Winnipeg.” Eventually, in 2002, Arlt moved the company to Winnipeg. Business improved steadily to where the company, now named Keystone Air Service, owns and operates nine aircraft today, but the president is still open to more growth as business warrants. The company employs from 30 to 35, and more in the summer. He is also happy to report that his son, Andrew Arlt, has joined him in the business. The younger Arlt is Chief Pilot and Vice-President, and Cliff is pleased at the prospect that his son will take over as president when he retires.
Expansion In order to accommodate growth, Arlt built a brand new building in St. Andrews, more than doubling the size of the facilities. “One hangar is 16,800 square feet, while the office is 3,000 square feet,” says Arlt. One of the hangars is used for Keystone’s sister company, Keystone Aircraft Maintenance, which is owned and operated by the president’s wife, Anna Arlt. The maintenance company offers a variety of services to Keystone’s own aircraft and those of other owners. They include fixing and repairing piston and turboprop planes including avionics and structural repairs. Since 2006, the company has added three airplanes to build its current fleet of nine.
“We have flown with Keystone Air Service for years, sometimes 8 to 10 charters a month, and many of our clients use the service too. We find the company dependable and very competitive cost wise.” – Ben Van Hoek, President, Aboriginal Strategies, consulting firm active in northern Ontario and northern Manitoba. Business & Trade Magazine®
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Keystone Air Service Ltd. “I deal with Sandra at Keystone Air Service at least once a month for the past 3 years. Our clients are mainly First Nation communities and we have to fly to these communities for meetings on a regular basis. Keystone has been very accommodating and professional in all aspects. We appreciate all of the effort that is made to accommodate us, as there have been times where we would need a plane for a specific meeting last minute and Sandra would do her best to ensure we got what we needed.” – Lisa Marsch, Office Manager, Ayshkum Engineering. Faster, flexible, convenient Keystone Air Service flies clients anywhere in North America, but typical flights are chartered to destinations in Manitoba, Northwest Ontario, Alberta, Saskatchewan and Nunavut and Greenland in the north. On a recent spring day, Keystone was carrying passengers to Berens River, Manitoba, Kingfisher Lake in northern Ontario, and The Pas and Thompson in Manitoba. There are many benefits to booking a charter flight, says Arlt. “Half the places we go to, commercial airlines don’t go,” says the president. Many small airports can’t accommodate
the larger aircraft flown by commercial airlines. Another is just the sheer convenience for passengers. Busy executives or professional consultants are just two user groups that can benefit from the very flexible arrangements that can be made with Keystone Air. “The departure-return the same day is a big thing,” says Arlt. “Today, Manitoba Telecom Services (Manitoba telecommunications company) had some kind of emergency up at Berens River in northern Manitoba, so they had to send guys and equipment and tools to get it fixed up,” says Arlt.
“I guess people had no phone service, but it could sometimes be (Manitoba) Hydro that has the emergency. Sometimes it could be 10 houses that have no power in the winter, and we have to get up there quickly. At 40-below, it’s going to get cold pretty fast,” remarks Arlt. When the emergency call does come, Keystone is ready with a 24-hour dispatch service. “It may be 2 in the morning, and someone is saying, ‘How quickly can we get a plane?’ We could get going in less than one hour weather permitting.” “If suddenly crews are working, and they need some equipment, they can just call down here to have it delivered to them. And that plane will sit there until their work is done,” he says. “They are not going to say, ‘Oh, it’s 5 o’clock and quitting time, it’s time to go home.’ The plane is sitting there, and if the pilots need to go to a hotel and rest, whenever the work is done we’ll be there. We can fly even if it’s midnight.” Through the years, Keystone has flown some well known people to their destinations. They include former US
“Supporting the entrepreneurial spirit”
Canada’s Aircraft Propeller Specialists
It’s been our pleasure to share in your success throughout the years. 913 Main Street East Swan River, MB 204-734-7828
Congratulations Keystone Air Service on your 25th Anniversary!
www.svcu.mb.ca
www.canadianpropeller.com Congratulations & Continued Success to Keystone Toll-free: 1-800-773-6853
24/7 & AOG 54
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to Keystone Air Service Ltd. on your 25th anniversary! 714 South Gate Rd. St. Andrews, MB R1A 3P8 Phone: 204-339-3852 www.wingcovers.ca
Keystone Air Service Ltd. President Jimmy Carter, Manitoba Premier Greg Selinger and former premier, Gary Doer. Maintaining a presence at St. Andrews Airport is another benefit for clients who want to travel to northern Manitoba, says Arlt. That’s because the company charges by the mile for flights, and because the St. Andrews Airport is 12 miles further north than the Winnipeg international airport, it costs less to fly a charter out of St. Andrews than the Winnipeg airport. “When people call us, we give them the option of whether they want to fly out of St. Andrews or Winnipeg,� he says. Boarding the planes is also a joy to anyone who has been part of a bottleneck at an airport due to heavy traffic. Arlt understands that growing security precautions are necessary in the face of international terrorist threats and why governments have to tighten up on procedures, but says security precautions are less onerous for his charter flights. “Security is becoming a bigger thing. It will become a bigger and bigger thing in Winnipeg. Here, there’s less hassle
because we don’t have the same security measures as Winnipeg, which maybe would make you nervous, but if you’re travelling on a plane with people that you work with, you’re not going on an airplane with strangers. It’s quicker; there’s less air traffic control, less hassle here.�
Safety first The safety of clients and employees is of prime importance to the air charter service, and Keystone has taken voluntary steps to ensure continuous improvement to all systems, involving all employees from pilots to the front desk receptionist, in the interest of safety.
PACAK KOWAL HARDIE & COMPANY CHARTERED ACCOUNTANTS Bev Leadbeater, CMA (Associate)
Congratulations to Keystone Air Service Ltd. on their 25th anniversary Financial Reporting r "VEJUJOH r "DDPVOUJOH r *ODPNF 5BY
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Keystone Air Service Ltd. It has implemented an airline safety system called a safety management system. SMS is a system that has already been fully phased in at Canada’s large commercial carriers and requires carriers to develop and administer an in-house system of safety checks. The system allows the airlines to respond to their own particular needs and issues as they arise. Briefly, all employees are trained to report possible risks in any facet of the operation. “That can include how we load the airplane, how we fuel the airplane, to pulling the plane, everything,” says Arlt.
“P. M. Associates Ltd. has enjoyed flying with Keystone Air Service all over northern Manitoba and northwestern Ontario. Keystone always has a plane available for us and is able to accommodate virtually any request.
Congratulations to Keystone Air Service Ltd. on your 25th Anniversary! Portage la Prairie, MB Phone: 204-252-2599 www.qualityaircraftinteriors.com 56
Business & Trade Magazine®
Their staff, especially Ms. Baron who books the charters for us, is always very pleasant and extremely helpful. The pilots are very professional and give you a sense of confidence in how they undertake their jobs. We look forward to continue flying with Keystone Air Service in the future.” – Philip Cesario, P.Eng., MBA, CMC, Project Manager, P. M. Associates Ltd.
Keystone Air Service Ltd. Keystone Air Service’s fleet consists of: 1 Navajo that can seat seven passengers 4 Chieftains that can seat nine passengers 1 Beech 99 that can seat 14 passengers 2 King Air 200s that can seat 10 to 12 passengers 1 King Air 200 that can seat 6 to 9 passengers. This aircraft is customized for executive travel and is equipped with work tables.
“It could be something simple like a cord across the floor that somebody could trip over and bang their head or a 400-pound package that some guys are loading by hand. Maybe some guys could hurt themselves and drop it and wreck the door on the plane or something. A fix for that could be just to rent a forklift or buy a forklift or something like that to make it safer for everybody.”
Although Transport Canada has indicated it will make the system a requirement for all carriers including smaller airlines, it has yet to do so, says Arlt, who has voluntarily adopted the reporting system at Keystone. As for the future, Arlt is happy with the forward momentum the company has achieved and plans to continue to offer superior and reliable service and take growth as it comes. The company was affected by the economic downturn that affected so many throughout the world, he says candidly, but things are definitely looking up at this time. He will also add to his fleet of aircraft as the need presents itself.
Dulude, Taylor Inc. AVIATION INSURANCE BROKERS
Dulude, Taylor Inc. is the largest, independent Aviation Insurance Specialty Brokerage in Canada. We provide risk management and consulting services for a broad range of aviation, aerospace and manufacturing enterprises across Canada. Our source of pride is the relationships developed with both our clients and insurers alike.
Congratulations to Keystone Air on Your 25 th Anniversary!
16 – 20 Hangar Line Rd. Winnipeg, MB R3J 3Y7 Phone: 204-889-2424 Fax: 888-603-0034 Business & Trade Magazine®
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Your ‘Key’ to Reliable Air Transportation Keystone Air is your reliable partner for air charter service anywhere in North America. Keystone has been flying passengers for 25 years. 706 Southgate Rd., St. Andrews, MB R1A 3P8 Phone: 204-338-6131 Toll Free: 1-800-665-3975 Fax: 204-338-0011
www.keystoneair.mb.ca
Connotec
Connotec Inc.
Helping First Nations empower their people
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s successful contractors doing business in the northern reaches of Manitoba, Saskatchewan and Ontario, Jamie Saulnier and Kliff Lengwenus certainly recognize the enormous potential there for resource-based growth. Their company, Winnipeg-based Connotec Inc., supplies a wide range of construction services to industries such as mining, hydroelectric, pulp and paper and oil and gas. And, like other firms working in more remote regions of Canada, the challenge of attracting tradespeople or finding qualified individuals in northern communities is a persistent struggle. Faced with this shortage of well-trained, safety-conscious workers, Saulnier and Lengwenus were counselled to seek trades help overseas, but instead, Connotec’s enterprising partners settled on developing their own made-in-Canada solution. To Saulnier, the firm’s president, the blueprint for
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generating a northern-focused, trades-based workforce to combat the inadequate supply was drawn from conversations the company had with First Nations leaders. “We could have gone offshore to hire qualified journeymen, but working in the North we could see there was an abundance of manpower just waiting to be developed,” Saulnier says. “Our talks with First Nations leaders confirmed that there was a desire for people to work but that current training programs were strong on theory but weak in the practical applications needed to start or complete an apprenticeship.” Connotec’s vision is to build an infrastructure for training that will not only develop tradespeople but will help Canada’s First Nations empower their people and create economic and social development opportunities for Northern communities. Called the First Nations Apprenticeship Program (FNAP), the
Above: Photo of the Crowflight Minerals project south of Thompson, Manitoba. All photos courtesy of Connotec.
BY BERNARD KRUCHAK
Connotec
Kliff Lengwenus and Jamie Saulnier.
“We recognize that once they’ve completed their apprenticeship with us, they’ll either continue to work with Connotec or they’ll move to another company. In the end, the program will benefit our industry and the people of the North.” – President Jamie Saulnier Connotec-run and First Nations and government-supported initiative is providing the tools and training necessary to fill a current gap in the workforce. “The goal of FNAP is to see our apprentices enter the workforce having been fully trained in theory, on-the-job training, and all the safety aspects necessary to be successful,” explains Saulnier. “We recognize that once they’ve completed their apprenticeship with us, they’ll either continue to work with Connotec or they’ll move to another company. In the end, the program will benefit our industry and the people of the North.”
Comprehensive training Selected applicants to FNAP are pre-screened for their learning ability, work ethic, a positive attitude and the desire to continuously improve. Once selected, apprenticeship trainees undertake a broad-ranging health and safety program instructed by Connotec’s own construction safety officer. “The call for workers in industrial and commercial construction has been so great in the last few years that the training of young people is sometimes rushed,” Saulnier states. “Safety is absolutely essential at Connotec and both Kliff and I believe that a successful project is a safe project.”
Connotec’s safety policy is essential to the firm’s day-to-day operations, Lengwenus says. The firm’s goal is to work with employees to elevate awareness of safety on its worksites and to ensure that every employee is provided with the information and tools to function as safely as possible. “Safety is everybody’s responsibility and a safe workplace can only be achieved with the cooperation of all our staff,” he explains. “Our safety record is impeccable and that’s due to the effort of all our employees.” Trainees are exposed to a variety of trades – welding, industrial mechanics, electrical, power engineering, carpentry and others – in a job shadowing program intended to help them choose the trade that best suits their abilities and personal preferences. Once the trainees select trades, FNAP’s theory component is activated. To ensure that all initial trade theory and hands-on practical training is covered under one roof, Connotec will be constructing a rebuild and maintenance facility in Thompson, Business & Trade Magazine®
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Connotec
FNAP participants.
Manitoba. Apprentices will work in the Thompson facility to complete their number of apportioned hours before attending a certified trade school to undergo instruction and testing to gain their level one apprenticeship. When they complete their training, apprentices will be entered into what Saulnier calls the First Nations Employment Database. The initiative will ensure that Northern workers are front and centre when contracts are awarded and tradespeople required. “We’ll be in constant contact with our mining, hydro and construction partners to ascertain their human resource needs,” Saulnier says. “When a new project arises, we’ll be able to contact our apprentices and arrange for the hiring of tradespersons from the database.”
First Nations commitment
FNAP Safety training. 62
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Connotec’s innovative approach to filling its ongoing need for tradespeople arose around 2005 when an industry-wide shortage of qualified workers made it difficult for every Canadian construction firm involved in large-scale industrial
Connotec
Crowflight project.
projects. As well, because Connotec does much of its business in northern Manitoba, Saskatchewan and Ontario, where the pool of journeymen is less deep, the shortage was even more acute. The firm hired an employee in 2007 to look into the idea of developing a company-run apprenticeship program. FNAP is the result of several years of research and discussion with industry representatives, tradespeople and First Nations leaders. The apprenticeship program, by virtue of its focus on helping First Nations people develop skills and discover
“Our team is our most important asset and the reason that we’re so successful. We’ll only grow if we not only meet the needs of our clients but if we have the best interests of our people in mind.” – President Jamie Saulnier
Neu-Cor Mechanical Ltd.
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Connotec
FNAP participants.
FNAP aerial lift training.
“Safety is everybody’s responsibility and a safe workplace can only be achieved with the cooperation of all our staff,” he explains. “Our safety record is impeccable and that’s due to the effort of all our employees.” – Kliff Lengwenus
Connotec handled material procurement and installation of electrical equipment throughout the surface operation of the Crowflight Minerals project north of Thompson, Manitoba. 64
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opportunities, is just one initiative by which Connotec demonstrates its commitment to Aboriginal industry, culture and communities. The firm employs a full-time First Nations Liaison Officer and is a member of CANDO, the Council for the Advancement of Native Development Officers. Connotec also supports the Canadian Aboriginal Minerals Association (CAMA), the Aboriginal Youth Achievement Awards and the Abel Hall Memorial Sled Dog Race, held every year in Wabowden, Manitoba.
Connotec
Connotec is involved in a major piping project for Richardson Nutrition in Yorkton, Saskatchewan.
Connotec’s efforts to reach out to Aboriginal workers caught the interest of several First Nations, including the Nisichawayasihk Cree Nation (NCN). Based in Nelson House, Manitoba, a community of 2,100 people located 800 kilometres north of Winnipeg and 80 kilometres west of Thompson, NCN has approximately 4,000 members living in Nelson House, South Indian Lake, Leaf Rapids, Thompson, Brandon and Winnipeg. As a forerunner to FNAP, Connotec provided construction support and training to NCN through the Atoskiwin Training and Employment Centre (ATEC). The firm developed a safety-oriented
training course that Economic Development Officer and NCN councillor Marcel Moody says was instrumental in preparing participants for placement in some of the region’s high profile projects, including Manitoba Hydro’s Wuskwatim generating station. “The ATEC course met the needs of our community and we’re certainly excited about the prospects of the First Nations Apprenticeship Program,” Moody remarks. “Jamie and Kliff are demonstrating an intent to train and hire Aboriginal apprentices at their own company’s expense. It’s the first time that I’ve seen such commitment. They’re definitely walking the walk and talking the talk.”
Congratulations
to Connotec Inc. on their 10th anniversary from: John C. Stewart (204) 925-5368 jstewart@darcydeacon.com
Paul W. Barsy (204) 925-5366 pbarsy@darcydeacon.com
1200 – 330 St. Mary Avenue Winnipeg, Manitoba R3C 4E1 www.darcydeacon.com Business & Trade Magazine®
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Connotec
The Richardson Nutrition project in Yorkton, Saskatchewan.
Passion for people Jamie Saulnier and Kliff Lengwenus grew up as childhood friends in Ignace, Ontario, a small, resourceful community in northwestern Ontario. The work ethic of the steadfast mining town, situated nearly half way between Winnipeg and Thunder Bay, had a profound effect on the two boys. They both entered trades after high school, with Saulnier training to be a welder and Lengwenus a millwright. While their work paths would take them in different directions and bring them back together decades later at Connotec, there was something about their roots that set the stage for their role as developers of a company-run apprenticeship program for First Nations people. “We grew up with First Nations people and we saw the hardships they went through,” explains Saulnier. “We also saw that there’s two sides to every story and that Aboriginal people are proud people with a great work ethic. What’s lacking in so many communities is the opportunity to work.” While their background and understanding of the challenges faced by Aboriginal people provided Saulnier and Lengwenus
Construction excellence Jamie Saulnier launched Connotec Inc. in 2001, after 20 years of success as a journeyman welder. His skills took him from job to job across northern Manitoba until he decided to set up his own company. Connotec worked out of an office in Thunder Bay but a majority of its work was in Manitoba. The firm specialized 66
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with the impetus to develop FNAP, it’s their passion for the people they work with that drives them to continue seeking ways to make Connotec a success. At peak times, Connotec employs between 200 and 300 workers on its projects and the two partners understand the economic and social impact that employment has on the northern communities it works in. “We know that our core strength is our people,” contends Lengwenus. “They’re what gives Connotec its experience and its expertise. We want to be the type of company that not only works in the North but that is part of the northern solution. By tapping into the communities there and creating opportunities for workers to apprentice and to develop highpaying careers, we believe we can help make a difference both socially and economically in the North.” To Saulnier and Lengwenus, FNAP will have benefits for its apprentices long after graduation. “We both foresee that the graduates of our program will have successful careers at Connotec or with other organizations,” says Saulnier. “We also hope that by using the skills they’ve learned through FNAP, they’ll be able to open their own businesses in the North.” ®
in providing shutdown, reopening and maintenance services for the mining industry until 2007, when Saulnier decided a partner could help him take Connotec to a higher level. Saulnier called on Kliff Lengwenus, a childhood friend and someone he trusted implicitly. Lengwenus, a tradesman himself, who was working for a large real
estate investment company in Toronto as an operations manager, jumped at the opportunity to join his friend. Together, the partners have steered Connotec through the current recession toward even more success. “When the recession hit, a number of construction companies evaporated but because of our commitment to
Connotec
The Vale Inco project.
providing a quality workforce, our clients had a high level of confidence in our ability to get the job done,” remarks Saulnier. “Mining companies in the North could pick and choose who they hired and we stayed busy. We doubled our sales in the first year, tripled it the next and we’re on track to triple sales again this year.” Out of its Winnipeg office (Connotec closed its Thunder Bay office to consolidate operations in one location) the firm offers a broad range of industrial and commercial construction services. Commercially, Connotec is a versatile builder, capable of constructing office complexes, schools, and community centres. “Whether it’s a renovation or new construction project, our resources allow us to engineer, survey, excavate and construct buildings, from the foundation through the steel work to the final phases,” declares Saulnier. Since its inception, Connotec has specialized in offering industrial construction services to the mining industry. Lengwenus says the firm’s specialized management teams and skilled tradespeople are key to its ongoing success in mining. “We provide everything, from design build construction to shutdown maintenance,” he states. “Our experienced workforce allows us to service both underground and surface operations, from crushers, mills, smelters and refineries.”
The Crowflight project.
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Connotec
Major projects speak to expertise
A
The Vale Inco project.
The Crowflight project.
Congratulations to Connotec Inc. on your 10th Anniversary
102 Lonsdale Dr., Winnipeg, MB R2Y 0N2 Phone: 204-832-4369 68
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Fax: 204-888-6055
t Vale Inco’s mining complex in Thompson, Manitoba, Connotec is involved in a number of ongoing projects. The firm operates a full-time office at Vale Inco with safety, administration and project management working on-site. “A major project for us at Vale Inco was replacement of the scavenger circuit, which was a multimillion dollar upgrade to the milling process,” notes Saulnier. “We had a 90-man team working for 10 months, from demolition through to final commissioning. The project had a footprint of 4,800-square-feet in the middle of the operating plant and involved the complete demolition of Denver cells, sumps and steel work as well as the relocation of live process piping and electrical cabling.” In 2007, Connotec was awarded a contract to fulfill the electrical component for the Crowflight Minerals project north of Thompson, Manitoba. The firm handled material procurement and installation of electrical equipment throughout the entire surface operation, including mill and crusher buildings, conveyors, sub-station and warehouse. A team of electrical superintendents, quality control specialists, journeymen electricians and apprentices completed the project on time with zero lost-time accidents. Fast forward to 2010 and Connotec is now involved in the commissioning of the mine. “We’ve installed a backfill plant in the mill as well and a team of tradesmen is performing a full mechanical review of the mill, crushers and conveyor galleries,” Saulnier states. In Yorkton, Saskatchewan, Connotec is involved in a major piping project for Richardson Nutrition. Initially awarded a contract to install and hydro-test prefabricated piping spools and equipment in the seed preparation building, Connotec’s performance and professional approach to the job resulted in the firm joining forces with the owner and the engineering and design teams to ensure a commissioning deadline.
Connotec “To accomplish the task, we’ve taken on increased responsibilities for procurement and warehousing,” remarks Lengwenus. “As well, we’re assisting the owner with start-up planning, which will help ensure a smooth transition from construction through to completion.”
Environmental stewardship Providing construction services in the North requires a special commitment to the environment, an issue that is close to the hearts of First Nations people and to the partners of Connotec. “We’re committed to the health and safety of our employees, contractors and members of the communities where we operate, and we’ve integrated protecting the natural environment into all stages of our operations,” explains Saulnier. Beyond complying with jurisdictional regulations, Connotec takes care to prevent pollution and reduce the environmental impact of its workplace activities. It also monitors and assesses the management of its operations in an effort to continually improve overall health and safety performance and environmental protection. “Our environmental policy is as important as our safety policy,” adds Saulnier. “The two policies work together to ensure that our people, our communities and our environment are protected.” At Connotec, striving for excellence means training and retaining the best possible people. To accomplish that, the firm hires tradespeople and apprentices who are dedicated to doing their best – on the job and in their community. It’s a formula that has proven successful for Connotec and one which remains at the heart of its First Nations Apprenticeship Program. To Jamie Saulnier and Kliff Lengwenus, so much of Connotec’s success is tied to its teamwork that the company’s vision for the future is staked to the idea that there can be no compromise when it comes to the company’s people. “We aim to provide our clients with the most qualified, safety-conscious employees in the industry,” declares Saulnier. “Our team is our most important asset and the reason that we’re so successful. We’ll only grow if we not only meet the needs of our clients but if we have the best interests of our people in mind.”
The Richardson project.
The Crowflight project.
Congratulations to Connotec on your 10th anniversary! 1228 AMBER DRIVE THUNDER BAY ON P7B 6M5
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Connotec strives to provide the most qualified, safety conscious employees in the industry and will not compromise this at any cost. We are committed to enhancing our solid reputation in our industry sectors and are actively pursuing new relationships where we can deliver superior service through our competitive advantages. Being a multicultural company we are proud of our ability to operate and adapt to the culture of the communities we work in.
Connotec is proud to announce the creation of the First Nations Apprenticeship Program.
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As an industrial contractor, Connotec also provides services to a variety of industries across the country including: Pulp and Paper, Sawmill, Oil and Gas, Pipeline.
39 Scurfield Blvd., Winnipeg, MB R3Y 1G4
Our experience in the Commercial industry ranges from office and retail to institutional and factory, whether it’s a renovation or new construction project. Our resources allow us to engineer, survey and excavate the sites we construct from foundation and steel work through to the final construction phase.
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Quality Meats & Groceries
Cantor’s
Cantor’s
Winnipeg grocer 66 years young and still serving the community
S
top in at Cantor’s in Winnipeg, Manitoba, and Joe Cantor is likely to greet you. Greeting customers at a grocery store is not all that uncommon, except for the fact that Cantor recently turned 85 and could legitimately retire – to just about anywhere with warm sunlight and easy living. What warms his heart these days is coming in to work at the well-known Manitoba grocery store he founded with his twin brother Oscar decades ago. “I enjoy coming here, it makes me happy,” says Joe candidly. It is apparent that the customers also enjoy talking to the personable owner as he meets and greets the people, many longtime shoppers. A few customers may not recognize Cantor to see him in person, but they likely will have heard about the Winnipeg grocery store.
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That could be because of the meats – Cantor’s prides themselves on their meats, or it could be because of their strong loyalty to their customers and the area where they have worked for the last 66 years. Or it could be because of the very public battles the owners have fought over the years to bring favourable pricing to their customers. In the last analysis, it is just simply fun to stop in and visit with Joe or Oscar, or Joe’s son Edward, who has taken over the day to day management of the store. While the company’s slogan reads: The home of quality meats, it could also read: The store that treats customers like friends. Celebrating 66 years of serving Winnipeggers in 2010, Cantor’s has a new 13,500-square-foot store these days built on the site of the former parking lot. While the store has
Cantor’s
V O T V L E Z MA This handy device packages hamburger into one-pound packages.
survived the intense competition of the mega grocery chains over the years and could legitimately go larger and head for more upscale neighbourhoods, the owners chose to rebuild on the same general site they have occupied for decades. “We wanted to give something back to the community,” Joe sums up. The neighbourhood would rank in the realm of working class more than upscale, but these are the customers that have helped to build the family business. In turn, the residents get a larger store with a variety of food choices and one that is accessible within their own neighbourhood. How have the Cantors managed to weather the competition from large grocery chains over the years? By finding their own niche, says Joe. The owners learned long ago that it pays to offer services that the large grocery chains often don’t supply, such as delivery. Cantor’s still delivers to city customers, but it has also expanded northward and packages orders for customers as far away as Nunavut, Canada’s newest territory. Customers can phone or fax their orders, place them through a form on the company’s website or send them by email. “We deliver. We ship up north, and we also give fresh meat and its’ not wrapped,” says Joe. “It’s all bulk meat. It’s fresh. You see the cow hanging, and then it’s broken down. The product is fresh and healthy.” Fresh meat sales are a point of pride for the company. If you want to find Oscar Cantor at the new store, try the meat counter, where he has worked for decades. Oscar is also enthusiastic about the company’s ability to offer fresh meat and poultry. “It is not days old when the customers get it,” he says simply. As one example, Cantor’s buys its chickens – chicken is a big seller at the store – from a Manitoba Mennonite colony that brings the product fresh to the store. They also happen to be “free-range chickens,” a method of raising the poultry that is considered to be more humane than raising the chickens in small confined spaces. Oscar opens up a box of the store’s own bacon and shows off a few slices. The slices are thicker, meatier and have less fat than many of the commercially-packaged bacons that can also be bought at the store. All knowledgeable shoppers have
“Bavarian Meat & Sausage has worked with Cantor’s for about 20 years making mostly bacon and corned beef. They are good customers who want quality. We give them locally sourced and produced meats, which are good for their customers.” – Owner Chris Mayer, Bavarian Meat & Sausage
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Cantor’s
The Cantor family in 1928.
to do is ask for Cantor’s own bacon at the meat counter to purchase the store’s variety. The bacon, in addition to some other meats, comes from longtime Winnipeg supplier Bavarian Meat & Sausage before it is sold as Cantor’s own brand. “They make it for us,” Oscar explains. Shipping food to northern Canada provided a great opportunity for the store as well as residents. It was made possible because of a federal government deal through Canada Post that offers northerners a much-needed break on their food purchases. “In the north, a jar of Cheese Whiz can cost more than $20,” says Edward. Groceries in the Territories routinely cost double or triple what they cost in southern towns and cities even for necessities like milk.
“Some people came in here and said, ‘We’d like to get our groceries from you, but can you ship it to us up north,’ ” says Joe. “Then the post office came out with a deal. They would pay half the price for shipping, so it was a good deal for people who can’t afford to shop at the northern stores,” adds Joe. Cantor’s began shipping up north in 1993 and has continued throughout the years. All the meats are frozen and Canada Post checks all the items before sending them on. Another important practice that has added to the store’s success is simply the friendly service that customers have come to expect. The store is small enough that staff can greet many customers by name, and managers and staff enjoy meeting new people. In addition, Cantor’s has always advocated for their customers to get the best deal on basic necessary staples such as milk and bread. Joe and Oscar once took issue with the large bakeries for what they were charging for bread and threatened to start importing bread from the United States. The bakeries relented and customers got a break on their bread prices. Loyalty, friendly service, an understanding of their customers’ needs, quality products from some of North America’s best providers, and support for top local suppliers, that’s what customers have come to expect from Cantor’s. The Cantors in turn have achieved an MBA’s worth of business acumen by building the business over the years and gained a loyal customer base.
Timeline: Cantor’s through the Decades 1928: The first store
was founded on Magnus Avenue in Winnipeg by Edward Cantor Sr.
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1946:
The store was moved to 2202 Gallagher Ave.
1987: Cantor’s was cited for
selling milk below the price mandated by the Milk Prices Review Commission but won a court case against the store. It was important for the store to obtain the best prices for customers on staples such as milk and bread.
Cantor’s Family business
C
antor’s was started by Edward Cantor Sr. 66 years ago after he immigrated to Canada from Europe. The first store was located on Magnus Avenue in Winnipeg’s North End, a vibrant multicultural melting pot of ready customers. Edward Cantor Sr. died in 1944, and sons Joe and Oscar and their mother, Sarah, took over. They moved the store to the same general site they occupy today. Business was brisk, and Joe began working 16-hour days, seven days a week, hours they eventually cut back for another one of their priorities: their families. The store began to close Sundays and holidays so the brothers could spend time with their families. In fall of 2009, the family opened their brand new store, giving customers 3.5 times the amount of shopping space. “We thought we had to give something back to the neighbourhood, and what would be better than to put up a new store?” comments Joe. “We have been here 66 years, and we
1993:
Cantor’s began to deliver groceries via commercial airline to northern Canada.
thought we owed it to the community. So many people have come in to say, ‘What a beautiful store and what a beautiful job you did.’ There is now more room and more choices.” After a slight hesitation, Joe does pass on a bit of inside information: Cantor’s attempted to buy an abandoned former Safeway building nearby before it began to rebuild on the parking lot of the store where it has remained for generations. In the end, rebuilding on the current real estate turned out to be a great option. “We get people from all over the city coming here so it is nice to give them a new store,” says Edward. Not only the store but all the fixtures, freezers and furniture are new. He appreciates how easy it is to keep the store clean now. Cantor’s has truly been a family business. Edward worked there beginning when he was a young teenager, while his sisters Merle and Rhonda, daughter Alexa, son Ryan, nephew Daniel, and Joe’s granddaughter Sari have all worked there.
1995: Edward Cantor
Jr., Joe’s son, became Chief Executive Officer of Cantor’s.
What a difference 38 years makes! Some prices from 1972: Fryers . . . . . . . . . . . . 31 cents/pound Sirloin Steak . . . . . . . . . $1.19/pound Bacon . . . . . . . . . . . . 79 cents/pound Sugar . . . . . . . . . . .$1.09/10 pounds Margarine . . . $1.00/three packages Instant coffee . . . . . $1.89/10 ounces Tomato Soup . . . . 95 cents /for eight Cat Food . . . . . . . . . . . $1.00/for six
2003: Officials seized
frozen pickerel from Cantor’s to investigate whether the fish was being legally sold. Cantor’s proved they had an agreement to act as agent for some Gimili fishers, and the frozen fish was returned to Cantor’s.
2009:
Cantor’s opens a brand new store on its 65th anniversary, the same year that Joe and Oscar Cantor celebrate their 85th birthday and 65 years of working in the store. The new store opens on the site of the store’s former parking lot at Logan Avenue and Quelch Street in Winnipeg.
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Cantor’s
“We get people from all over the city coming here so it is nice to give them a new store.” – Edward Cantor
Cantor’s busy meat counter.
Fresh meats
W
hile Cantor’s has upgraded its premises, the tried and true philosophies that have built the business remain. One of the main requirements has always been the need to provide fresh meat to customers. Because of that, the Cantors buy their beef from two different Manitoba packers. “In travelling, it takes three days for beef to come from Calgary. What can happen to meat in three days that is being carried by a truck with drivers having to stop in places?” wonders Joe, who is not willing to take any chances with the potentially deadly consequences of meat that is not completely fresh. They can
now get their beef within hours and slice it up beginning at 6 a.m. each day. Edward learned first hand how serious eating contaminated meat can be. “I got E.coli three years ago from eating hamburger at a restaurant,” says the CEO. “I nearly died. I spent 31 days in the hospital and had 22 blood transfusions. My blood was poisoned,” he recounts. “The bacteria tries to shut down all your organs.” The doctors struggled to save his life, and the lives of another 30 who were unwitting victims of the same contaminated meat. As Edward was struggling to live, the doctors were rushing to find out what was causing the trauma and to figure out what to do about it.
66th
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“Being a party to an episode like that wakes you up; it changes your life,” he says. It’s not just local meat suppliers the company supports. Cantor’s will always buy Manitoba products first whenever they can and will advocate for the best prices for their customers, say the Cantors. It’s a longtime policy they’ve been forced to defend in the past – on more than one occasion. As a result, the company’s suppliers include a healthy list of Manitoba manufacturers and providers along with major international companies and food chains. Some of the local family-operated suppliers are well known Manitoba institutions in their own right. Cantor’s meat counter keeps more than a dozen employees busy on a typical day, serving up Grade AA beef, sausages, chicken, pork and lamb to individual customers in Winnipeg and up north, in addition to a variety of restaurants, schools and daycares. Cantor’s will also make up food platters for gatherings that typically feature a variety of cold cuts and cheeses. Customers can also buy $50, $75, $115, $100 and $150 meat packages with everything from roasts to ground beef or purchase a side of beef, a hind of beef, front of beef or a side of pork.
Cantor’s
Cantor’s prides itself on its fresh meats.
All in a month’s work Cantor’s sells a lot of food in a month. Some of the more common items (estimates) include: t 9,600 loaves of bread t 140 sides of beef t 40,000 litres of milk t 800 boxes of Cantor’s own bacon t 32,000 potatoes t 16,000 Cantor’s own garlic sausage t 800 chickens
Congratulations to Cantor’s on 66 successful years!
Makers of fine European style smoked meat and sausage ~ Wholesale ~ Longtime customers gave Cantor’s a framed message of thanks on their 65th.
650 Golspie St., Winnipeg, MB R2K 2V1 Phone: 204-667-6860 Fax: 204-669-0193 Business & Trade Magazine®
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Cantor’s
Top: Aisles of food in the new store on Logan Avenue. Left: Cantor’s takes pride in its quality meats. Above: Joe Cantor in the former store.
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Cantor’s Pickerel-gate
I
n 2003, Joe got unwanted governmentagency visitors who set off one of the most memorable and defining incidents in the store’s history. Agents representing the Freshwater Fish Marketing Board greeted him in the store, guns on hips, demanding to see the store’s pickerel that Cantor’s had for sale. “I was buying directly from fishermen in Gimli at the time,” says Joe. “I said, ‘Sure, but you’ll have to get a search warrant.’ Three or four hours later they came back with the search warrant. I didn’t hide anything, and they confiscated over 400 pounds of fish and they took it away and put it in a freezer.” The issue was whether the fish was legally obtained. Joe recalled that he had signed an agreement about 10 years prior with some fishermen to work as their agent to sell the fish. The document was just what was needed to secure the return of the frozen pickerel and the intimidating incident ended peacefully. “I remembered the agreement and found it, and I gave it to my lawyer. My lawyer faxed them a copy, and they came back with the fish,” says Joe.
Official opening of new store: Oscar, Edward and Joe Cantor were joined by Winnipeg City Councillor Mike Pagtakhan. Business & Trade Magazine®
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Cantor’s Milk woes
E
Oscar Cantor, from left, former premier Gary Filmon and Joe Cantor.
CONGRATULATIONS ON 66 YEARS OF SERVING THE COMMUNITY AND THE GRAND OPENING OF YOUR NEW STORE!
DELIVER THE BEST VALUE EVERY TIME
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arlier, in 1987, Joe became embroiled in a legal battle with the Milk Prices Review Commission after selling milk for less than the minimum price set by the commission. He felt strongly that milk should be sold at the lowest price possible in order to help customers on low budgets. As a result, he received a court summons for selling a two-litre carton of milk for 16 cents lower than the set minimum. The matter went public, and the Manitoba government of former Premier Gary Filmon got involved in the issue, which was by now in the hands of Winnipeg lawyer Greg Brodsky, Joe’s cousin. After a win in court, Cantor’s was allowed to keep selling the milk at their prices, much to Joe’s appreciation. The premier was anything but put out, and visited the Cantors to get his picture taken with the twins at the store. “I guess he phoned to say we had won the war,” says Joe with a smile. No doubt there will be many more wars to win in the future and customers to protect. Edward looks forward to carrying on the best Cantor’s traditions.
…
… with thanks from your friends Congratulations to Cantor’s on your 66th Anniversary and your New Store Opening!
927-PEST (7378) RETAIL STORE 630 ERIN ST.
Quality Meats & Groceries Cantor’s Meats has been a Winnipeg staple for three generations. The Cantor’s name is recognized throughout Winnipeg and beyond as being the home of quality meats and groceries at affordable prices. From the opening of Cantor’s Quality Meats and Groceries, quality has been one of the main things that has kept people from all stripes of life coming back to the family run business.
204-774-1679 1-800-874-7770 1445 Logan Ave., Winnipeg, MB R3E 1S1 www.cantorsmeats.com
Index to Advertisers Airparts Network Ltd.....................................................55 Aon Reed Stenhouse Inc. ...............................................31 Arcticovers .....................................................................54 Aviva Insurance Company of Canada ........................... C7 AXA Pacific Insurance Company ................................ C14 Bavarian Meat & Sausage...............................................77 BioVision Seed Labs .......................................................17 Canada Compound Western Ltd. ..................................81 Canadian Propeller Ltd. .................................................54 Canadian Western Bank ................................................32 CANTERRA SEEDS .......................................................22 Cantor’s Quality Meats & Groceries...............................82 Cargill ............................................................................18 CIBC – Business Banking...............................................76 City Bread ......................................................................81 CNA Canada................................................................. C6 Connotec Inc. ................................................................70 Countryside Farms ........................................................81 D’Arcy & Deacon LLP ...................................................65 DL Seeds Inc. .................................................................19 Dulude, Taylor Inc. ........................................................57 Elman’s...........................................................................73 FGFT Rubber Division ..................................................67 Fillmore Riley LLP .........................................................28 Grant Wilson CA ...........................................................30 Hodgson Custom Rolling Inc. ........... Outside Back Cover Horizon Insurance ...................... Inside Front Cover, C16 Intact Insurance ............................................................ C5 Jade Transport Inc...........................34, Inside Back Cover Keystone ........................................................................58
Lazer Grant LLP .......................................................... C13 Lombard Canada ........................................................ C12 Manitoba Blue Cross ................................................... C10 Manitoba Public Insurance ......................................... C10 Monarch Pest Control ....................................................81 Neu-Cor Mechanical Ltd. ..............................................63 Nova-Pro Industrial Supply Ltd.....................................69 Old Dutch......................................................................80 Pacak, Kowal, Hardie & Co. ..........................................55 Peterbilt Manitoba Ltd. ..................................................33 Pitbaldo LLP ............................................................... C10 Portage Mutual Insurance Company .......................... C13 Pratts Wholesale Ltd. .....................................................81 Quality Aircraft Interiors................................................56 Ranger Insurance ...........................................................81 Red River Valley Mutual Insurance ............................. C15 Royal Bank of Canada....................................................21 Sunrise Safety Solutions.................................................68 Swan Valley Credit Union ..............................................54 Syngenta ........................................................................13 Taylor McCaffrey LLP ................................................... C7 Tereck Diesel..................................................................27 Thompson Dorfman Sweatman LLP.......................C8, 57 Unisource ......................................................................80 Univar Canada ...............................................................20 Valley Bakery .................................................................81 Wawanesa Insurance .................................................... C9 Winkler Meats ...............................................................81 Winnipeg Old Country Meat .........................................81 ZEP ................................................................................30
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Around the World Panasonic completes new plant Osaka, Japan – Panasonic Corporation, a global consumer electronics company, recently completed construction on the first phase of a new lithium-ion battery production plant in Osaka City, Japan, the company announced recently in a news release. The new factory will serve as the company’s manufacturing base for lithium-ion batteries. The company stated that demand is growing fast for the batteries amidst concerns for the environment. Lithium-ion batteries are used in notebook computers, mobile phones, some cars and as back-up power sources as well as energy storage systems that use solar panels and fuel cells. According to the Panasonic statement, world demand for lithium-ion batteries is expected to reach 3.2 trillion yen, or more than five times today’s demand, by March 2019.
SNC-Lavalin awarded contract SNC-Lavalin has announced that it has been awarded an engineering services contract for the Empresa Mixta Petromacareo Project by PDVSA Engineering & Construction, a subsidiary of Venezuela’s stateowned oil company, Petróleos de Venezuela S.A (PDVSA). PDVSA Engineering & Construction has also awarded SNCLavalin an umbrella Technical Services Agreement (TSA) for the execution of projects in the Orinoco Oil Belt. Petromacareo is the first major award under the TSA. SNC-Lavalin will perform the conceptual engineering for the extra heavy crude oil production, treatment, storage and
Osaka, Japan
The new facility will help the company meet the growing need for the batteries.
transport facilities at the Junin 2 North Block in Venezuela’s Orinoco Oil Belt, according to a company news release. The Junin 2 North Block is jointly held by PDVSA and PetroVietnam. The Orinoco Oil Belt, located north of the Orinoco River, holds significant reserves of heavy oil, and it is PDVSA’s key area of focus for development to enhance its oil production. “This contract highlights SNC-Lavalin’s expertise in the design of heavy oil production, processing and handling facilities,” stated Jean Beaudoin, Executive Vice-President, SNC-Lavalin Group Inc., in the company release. “PDVSA has been a key client for SNC-Lavalin for more than 12 years and we are pleased to play a key role in the strategic development of its oil resources.”
Website for all nations MUNICH, Germany /CNW/ – Ritchie Bros. Auctioneers (NYSE and TSX: RBA), the world’s largest auctioneer of heavy equipment, officially launched its powerful industry-leading, 21-language web site www.rbauction.com at the bauma trade show in Munich, Germany in April, according to a company news release. Millions of unique visitors already use the Ritchie Bros. web site annually, purchasing more than US$830 million of equipment online in 2009 alone. The new rbauction.com delivers the world’s largest used equipment inventory, largest database of auction results and equipment specifications, and 84
Business & Trade Magazine®
more features in more languages than any other equipment auction web site. Key features of the new rbauction. com include: UÊ ÕÀÀi ÌÊ>ÕVÌ Ê Ûi Ì ÀÞÊ> `Ê equipment search now in 21 languages UÊ ÕVÌ ÊÀiÃÕ ÌÃÊ ÜÊ Ê£{Ê > }Õ>}iÃÊ with equipment photos UÊ ÛiÊ iÊL `` }ÊÃiÀÛ ViÊ ÜÊ Ê seven languages UÊ" iÊL `` }Ê> Õ ÌÃÊ> `Ê Auction Results in your preferred currency UÊ > Vi`ÊÃi>ÀV ÊvÕ VÌ > ÌÞ\Ê find items by make, model, auction details, lot number or serial number
UÊ< >L i]Ê } Àià ÕÌ ÊiµÕ « ment photos UÊ- `i LÞ Ã `iÊiµÕ « i ÌÊV parison tool: compare by make, model, usage, specifications and auction UÊ Õ ÞÊvÕ VÌ > Ê>VV Õ ÌÊÃiÀÛ ViÃÊ in 14 languages, featuring saved searches, a personal Watchlist and customized email alerts “I am glad that the Ritchie Bros. website will soon also appear in Greek,” stated Timoleon Papadakis of Tripolis, Greece in the release. Papadakis does not speak English and has been buying equipment at Ritchie Bros. auctions since 2003.
Hodgson Custom Rolling Inc. services a wide variety of industries in the ENERGY SECTORS of hydro, petro chemical, atomic, gas, oil, wind, etc. in addition to those in heavy manufacturing, steel, pulp & paper, mining, marine, forestry, etc. Hodgson’s commitment to providing customers superior products and personalized professional service has earned itself a reputation for excellence, making the name HODGSON synonymous with “paramount quality and workmanship”.
HSS 16x8x1/2”
Hodgson Custom Rolling Inc. is one of North America’s largest plate rolling, forming, section rolling and fabricating companies. STRUCTURAL SECTION ROLLING HCR has the expertise to roll curved structural sections into a wide range of shapes and sizes (angle, wide flange beam, I-beam, channel, bar, tee section, pipe, tubing, rail, etc.), including flanges, support beams, gear blanks, etc. We specialize in Spiral Staircase Stringers.
PRESS BRAKE FORMING & HOT FORMING Hodgson Custom Rolling’s brake department processes all types of steel sections and plate up to 18” thick. Developed shapes such as cones, trapezoids, parabolas, reducers (round to round, square to round) etc.
PLATE ROLLING & FLATTENING Hodgson Custom Rolling specializes in the rolling and flattening of heavy plate up to 10”+ thick and up to 12 feet wide. Cylinders and segments can be rolled to diameters ranging from 10” to over 20 feet. Products made include ASME pressure vessel sections. Crane Hoist Drums, thick walled pipe, etc.
FABRICATING Hodgson Custom Rolling combines expertise in rolling, forming, assembly and welding to produce various fabrications including kiln sections, rope drums, heavy weldments, ladles, pressure vessel parts, multiple Components for Heavy Equipment applications etc.
Hodgson
Custom Rolling Inc.
5580 Kalar Road Niagara Falls Ontario, Canada L2H 3L1
Telephone: (905) 356-8132 Toll-free: (800) 263-2547 Fax: (905) 356-6025 E-mail: hodgson@hodgsoncustomrolling.com Website: www.hodgsoncustomrolling.com
HODGSON CAN HELP SOLVE YOUR PROBLEMS
ASME ISO9001:2008 U.S. Address: M.P.O. Box 1526 Niagara Falls, N.Y. 14302 - 1526