CANADIAN PALLET COUNCIL

INVESTING IN THE FUTURE

2011YEAR IN REVIEW

2011 YEAR IN REVIEW

Shawn LaceyChair, Metro Inc.

Brad HendersonPast Chair, Sobeys Inc.

Belinda JunkinSecretary, Canadian Pallet Council

Doug SaundersExecutiveVincor Canada

Clint SharplesExecutiveParamount Pallet Inc.

Thomas TomovicExecutiveSaputo DairyProducts Canada G.P.

OFFICERS AND EXECUTIVE MEMBERS:

BOARD MEMBERS:

CPC BOARD OF DIRECTORS 2011

Ralston ArmourArmour LogisticsServices

Kevin AugotTDL Group Ltd.

Errol CeritFood & ConsumerProducts of Canada(FCPC Canada)

Rene CoutureLoblaws Inc.

Heidi Doring-SimpsonPallet Renew Inc.

Bill EggertsonCanadian WoodenPallet & ContainerAssociation (CWPCA)

Kevin FrowdHigh Liner Foods Inc.

Herman LongScotia Pallets Ltd.

Carmel McLean-SpencerAtlantic PackagingProducts Ltd.

Scott OliffMatrix LogisticsServices Ltd.

Nunzio PatriarcaSysco Canada

Tina RowsellMcCain Foods(Canada)

Ryan ScobieWoodbridge Pallet Ltd.

Todd SimpsonCoca-Cola Bottling Ltd.

Jeff WilderThomson Terminals Ltd.

PAGE 3

Welcome to the 2011 edition of the Year in Review.

We are pleased to have this opportunity to comment

on the successful execution of the CPC’s theme for

2011, ‘Investing in the Future’ and share results and

our outlook for the future. The Canadian market-

place witnessed significant change this year and we

believe the CPC has taken the appropriate steps to

continue to provide strong competition in Canada.

2011 was a year of great change in the marketplace.

The Costco “block only” pallet policy had an undeni-

able impact in Canada as it threatens the standard

Canadian stringer pallet as well as providing an op-

portunity for US based pallet pools offering block pal-

lets to expand into Canada. Brambles Limited, who

own Chep, acquired IFCO Systems in the USA and

Paramount Pallet in Canada. The closure of the Cana-

dian Council of Grocery Distributors – a founding

member of CPC and prominent supporter of this as-

sociation resulted in several large retailers joining the

Retail Council of Canada. In addition, the retail mar-

ketplace continues to be very competitive with Retail-

ers preparing for the entry of Target into the Canadi-

an marketplace in 2013.

Against this background of change the CPC delivered

positive results on a number of key projects in the

Strategic Plan. The development of the Electronic

Container Transfer technology, which operates with

the CTSWEB system, was our largest project in 2011

and is going very well. The ECT project is on time and

on budget and the final technology will be demon-

strated at the 2012 AGM. ECT will eliminate or re-

duce the costs to return empty pallets while reducing

greenhouse gas emissions and will be of significant

benefit to all members who participate. We had solid

financial results in 2011 as a result of strong financial

controls and adjustments. Highlights of other accom-

plishments include: implementation of the new CPC

administration system which went live on January 30,

2011; an increased focus on member services with

the creation of a new position, Director of Member

Services, and an increase in bilingual member support

capability and greater use of technology to serve

members; and an increased focus on improving pallet

quality as well as working with members to resolve

pallet issues.

As President, I believe we have invested in the correct

initiatives and made appropriate adjustments to be

successful in our quickly changing marketplace. The

CPC’s Executive and Board of Directors, led by Shawn

Lacey have been very active and are committed to

representing member’s interests and ensuring the

CPC continues to be a strong competitor.

This association was built on a foundation of honesty

and integrity with a commitment from both the Dis-

tributor and Supplier community to work together

for the betterment of all. As your Chair, I believe that

continuing these values would be very helpful in

being successful in our new environment. I ask you to

get involved and support the association; implement

CPC best practices, implement CTSWEB and utilize

ECT when it is launched in June. We look for your

input and involvement to keep the CPC a strong

competitor so all members will enjoy lower costs for

pallet services.

Both Shawn Lacey and I would like to thank all of the

volunteers and their companies who provide their

time and experience to support the CPC. These are

volunteers who tirelessly serve on our CTSWEB User

Support Team, on the ECT Steering Committee and

on various committees aimed at improving pallet

quality, repair rates and future direction. The CPC

would not be successful without your support,

knowledge and commitment.

To conclude, we would like to recognize and thank

our Board of Directors and their companies for their

time, hard work, advocacy and respective support of

the Canadian Pallet Council. The CPC is indeed fortu-

nate to have such knowledgeable guidance from

some of Canada's brightest industry leaders and we

are thankful for their on-going belief in the Canadian

Pallet Council. We look forward to working on your

behalf to continue CPC's evolution and future suc-

cess as we Invest in the Future.

2011 MESSAGE FROM THE CHAIR AND PRESIDENT

Belinda JunkinPresident & CEO, Canadian Pallet Council

Shawn LaceyChair, Canadian Pallet Council

The Canadian Pal let Counci l

The Canadian Pallet Council was created

thirty-five years ago to address an opportunity

to standardize pallets and to create a pallet

exchange system. The CPC has come a long

way since these humble beginnings. Today,

the CPC continues to innovate and evolve to

better meet member requirements; we continue

to expand our ambitions for the CTSWEB

project as well as the highly anticipated ECT

program; we have upgraded our office system

to ensure smooth, seamless operations, and

we continue to diligently address the important,

daily needs of our membership with key

bilingual customer service and timely, effective

communication. This is where the CPC is –

Investing in the Future - and we are looking

ahead with this cohesive vision in mind to con-

tinue meeting the needs of our expansive and

diverse membership.

2011 Performance Highlights: Financials

• In the 2011 Budget, planned expenses of

$3.5m exceed planned revenue of $3.0m by

$0.5m (17%). The difference primarily

traces to investment spending on the devel-

opment of the Electronic Container Transfer

software.

• As a result of aggressive cost control, actual

expenses were reduced to $2.9m and ex-

ceeded actual revenues of $2.7m by $0.2m

(7%).

• The transfer of the ECT project Expense to the

Balance sheet as an Asset resulted in a report-

ed $0.44m favourable variance at year end.

Membership

• CPC membership declined by 4.5% (52

members) from 1,155 to 1,103. The decline

primarily traces to reductions in the follow-

ing membership categories: 22 in the Supplier

less than $20m sales; 8 in the $20m to

$50m sales; 7 in the $50m to $75m sales; 5

in Seasonal Suppliers and 5 in Transportation

and Warehousing.

• In 2011 the CPC had 62 new members of

which 48 are Suppliers in the less than $20m

sales category and 7 are in Transportation

and Warehousing.

CTSWEB and Electronic Container Transfer

Undeniably, The Electronic Container Transfer

(ECT) project was the largest initiative ever un-

dertaken by the CPC. The ECT technology

leverages the CTSWEB database to provide op-

portunities for trading partners to exchange

offsetting imbalances of the same container

(e.g. CPC pallets) electronically. The ECT tech-

nology will reduce transportation costs, fuel

consumption and greenhouse gas emissions

for participating members. CPC is intending to

pursue the opportunity for the monetization

of the reduction in Greenhouse Gas Emissions

or carbon credits, which will prove a valuable

asset for CPC members.

The ECT project has three Milestones and will

run for 26 months from June 1, 2010 to July

30, 2012:

• Milestone 1 commenced on June 1, 2010

and was completed on March 21, 2011. The

primary objectives of Milestone 1 were to

document the user requirements and techni-

cal specifications for ECT as well as develop

a prototype of ECT to use with members.

Milestone 1 was successfully completed on

time and on budget and was approved by

Sustainable Development Technology Cana-

da (SDTC).

• Milestone 2 commenced on March 22, 2011

and was completed on February 6, 2012.

Milestone 2 will see actual ECT software de-

veloped. Currently the CPC is planning to

advance the Go Live date for ECT to the CPC

membership to June 1, 2012 with the comple-

tion of Milestone 3 remaining at July 30, 2012.

At the end of 2011, 96 member companies

were utilizing CTSWEB and using the system

to track 65 different returnable containers. In

2011, 16 members implemented CTSWEB and

an additional 4 members were in the process

of implementing at year-end. The CTSWEB (ex

ECT) budget was managed very well in 2011.

Total revenue of $533k exceeded actual ex-

penses of $497k by $36k (7%).

The CPC continues to make the training of

member associates on CTSWEB a priority:

• In 2011, 51 associates received person-to-

person training in scheduled open training

sessions, managed implementations and in

training sessions hosted at member loca-

tions. In addition, an estimated 60 member

associates received training over the web

from the CTSWEB support desk.

• Throughout the year, updates on both the

CTSWEB and ECT initiatives were provided at

the AGM and Regional Meetings in Vancouver,

Calgary, Winnipeg, Toronto, Montreal and

Moncton as well as to individual members.

• The second CTSWEB User Conference was

hosted by the CPC following the AGM. This

CPC ACCOMPLISHMENTS 2011

2011 YEAR IN REVIEW

conference was organized and led by mem-

bers of the CTSWEB User Support Team.

There were two panel discussions at the con-

ference including interactive question and

answer sessions with the audience.

The first panel focused on Top Issues for

CTSWEB Users. The panel was moderated by

Gord Bugden, CPC Representative with

Veena Palmer, Atlantic Packaging Products

Ltd.; Vicki Kinnaird-Simms, Metro Ontario

Inc.; Suzy Teves, Loblaws Inc. and Darrell

Duncan, Armour Logistics Services partici-

pating on the panel.

The second panel addressed How to get

CTSWEB Help. The panel was moderated by

Veena Palmer, Atlantic Packaging Products

Ltd. with Francine Theriault, CPC Represen-

tative; Diane Lalonde, Provigo Inc.; Rosabella

Bottrel, Saputo Dairy Products Canada and

Sami Khelifa, iLogic CTSWEB Support Team.

The conference was well attended and re-

ceived excellent reviews from the attendees.

COMMUNICATION

Annual General Meeting

The 34th Conference & Annual General Meet-

ing themed ‘Investing in the Future’ was held

in Toronto on April 19, 2011. For the third year

there was no cost for registration for the half-

day conference; this was due, in large part in

recognition of the difficult economic climate.

Highlights of the Conference included:

• Brad Henderson, Chairman of the CPC

Board of Directors and Belinda Junkin provid-

ed a look at the future of the CPC, a future

based on leveraging and integrating new

technology. The CPC is investing in – new

technology, new systems, new processes and

new positions – to provide better value and

better service to members.

• Key projects included: assistance provided to

members to address pallet imbalance and lia-

bility issues; efforts to improve pallet pool

quality through the new third party pallet

inspection system; review of the status and

benefits of the new Aptify Association Man-

agement office system; latest information on

the CTSWEB container tracking initiative and

the Electronic Container Transfer development

project; and highlights of the Association’s

communication efforts.

• Belinda Junkin provided a review of key

issues impacting the industry, pallet pool

competitors and an acknowledgement and

thank you to all members and their compa-

nies who donated their time to work on the

CPC Board and committees.

• Once the Annual General Meeting formal

business review of the association was com-

pleted;

• the Bernard Brunet Award was presented

to Tina Rowsell, McCain Foods (Canada)

• the Les Smith Award was presented to

Marie-Andrée Bélanger, Sobeys Inc.,

and Rhonda Marshall, Loblaws Inc.

Congratulations to all three outstanding

women.

• Alex Bird, CPC’s Vice President, Innovation

and Sustainability, reviewed what Electronic

Container Transfer is, the current status of

the development project and the benefits

participating members will receive. Victor

Cheng, President & CEO iLogic Inc. demon-

strated a prototype of ECT.

Regional Meetings

Six regional meetings were hosted from mid

September to mid November in Moncton,

Montreal, Toronto, Winnipeg, Calgary and

Vancouver utilizing the 2011 theme ‘Investing

in the Future’. All meetings were organized as

a half-day conference, free to members and

were followed by a networking session during

a light lunch. The regional meetings continue

to be an excellent vehicle for CPC associates to

meet with members and provide updates and

discuss programs, issues and opportunities. A

total of 86 people from 60 member compa-

nies attended the meetings. Most attendees

were not present at the Conference and AGM,

held earlier in Toronto.

Meeting Highlights Included:

• A CPC Update provided a look at the future

of the CPC based on leveraging and integrating

new technology as well as highlights of key

initiatives the CPC is working on as part of

our Strategic Plan. Initiatives included: provid-

ing assistance to resolve pallet imbalance and

liability issues; improving pool quality through

the Pallet Inspection System; an update on

the CTSWEB container tracking system and

the latest information on the new Electronic

Container Transfer project; and the status

and benefits of the new Aptify Association

Management System implemented to assist

in improving service to members.

• A highlight of all meetings was a discussion

of key issues led by Belinda Junkin that

included the Costco Block Pallet Policy,

continued attempts to communicate with

Wal-Mart on their pallet policy, an update on

the top three competitive pallet pools, the

new PIMS pallet system in the USA and

upcoming ISPM15 requirements for pallets

leaving Canada.

• Videos of the award winners receiving their

awards at the Annual General Meeting and

CPC ACCOMPLISHMENTS 2011

The Canadian Pal let Counci l

PAGE 5

“I ask you to get involved and support the association, implement CPC best practices, implement CTSWEB and utilize ECT when it is launched in June.” SHAWN LACEY

CPC ACCOMPLISHMENTS 2011

highlights of the CTSWEB User Conference

held after the Annual General meeting was

shown.

• Latest information on the ECT project was

reviewed including how ECT works, review-

ing examples of different types of ECT oppor-

tunities, a demonstration of ECT and a re-

view of the key benefits of ECT. Members

also participated in an ECT Challenge where

members attempted to solve ECT opportuni-

ties by hand.

Communiqué

The Communiqué newsletter was an important

vehicle for communicating with the member-

ship in 2011. Five issues of Communiqué were

published in 2011 updating members on the

latest information through the President’s

Message and providing project updates and

education on best practices and current issues

and opportunities.

CPC Website

The CPC website continues to be an important

source of information for both members and

non-members of the CPC. Easy to read and

easy to navigate content on the website was

kept up-to-date on an ongoing basis.

Strategic Plan

Positive results were delivered on all three

major effort priorities of the current Strategic

Plan. The CPC spent $1.1m to support key

projects focused on during 2011 including

$0.9m on the ECT project. The CTSWEB and

ECT projects have been reviewed previously.

Highlights of accomplishments from other

Strategic Plan projects include:

Pallet Imbalances and Liabilities

• CPC associates facilitated the resolution of

pallet imbalance and liability issues as

requested by several members.

• CPC associates lobbied Distributors on be-

half of direct store delivery (DSD) Suppliers,

contacted parties and facilitated meetings

between DSD trading partners as requested

to assist in pallet return issues.

• The CPC provided consulting services on

business processes, pallet administration and

issues resolution to 4 large CPC members

during 2011.

Pallet Pool Quality

Completed the first full year of utilizing the

new Pallet Industry Inspection System. SGS

Canada Inc., the third party inspection company

examined all pallet industry members. A total

of 51 inspections were completed during 2011.

Improved Member Services

and Administration

• On January 1 2011, Mark Foley was appoint-

ed the Director of Member Services reporting

to Belinda Junkin. Reporting to Mark are all

CPC Field Representatives plus 2 bilingual

Member Services Representatives in the

Cobourg Office. This change strengthens the

alignment of CPC resources to assist mem-

bers in a more effective and timely manner.

• Concurrently, a phased implementation of

the new Aptify Association Management

System commenced in January and ran

throughout the year. The system was run-

ning by year-end and will facilitate improved

customer service to CPC members. This new

system leverages a central repository of

information and contains all membership

information, contact information, pallet

inventories, repairs and sales data as well as

trademark royalty reporting information. The

Aptify system will also be accessible to CPC

associates across Canada to improve the

timeliness of services to members.

• The CPC issued a successful press release in-

formation package announcing: the new

2011/2012 CPC Board of Directors, Chair-

man of the Board, Award Winners and An-

nual General Meeting and Conference high-

lights. Press coverage from the campaign

was obtained in 5 publications.

• CPC associates attended a number of indus-

try conferences and events to advance the

objectives of the CPC including: Food &

Consumer Products of Canada CEO Execu-

tive Conference, Sustainable Development

Technology Canada Cleantech CEO Day,

Canadian Produce Marketing Association /

AMPCQ Industry Meeting, National Wooden

Pallet and Container Association Annual

Conference, FCPC Foodservice Interchange,

Canadian Wood Pallet and Container Associ-

ation Meeting, Pollution Probe CEO Confer-

ence, Supply Chain & Logistics Association of

Canada and Canadian Institute of Traffic &

Transportation Conference, and many others

conferences and meetings.

• The CPC participated with the trade show

booth at three major industry trade shows to

meet with members and potential members;

Canadian Produce Marketing Association,

SCL & CITA Supply Chain Canada Conference

and the Grocer’s Grocery Innovations trade

show The President completed 22 senior

management meetings and /or presentations

with member companies or trade associations

• Belinda Junkin successfully recruited 4 new

executives to fill vacancies on the Board of

Directors for the 2011 – 2012 term.

The Canadian Pallet Council continues the tra-

dition as a Canadian success story. A strong

and dynamic membership is the foundation to

the CPC’s success and evolution as the lowest

cost pallet solution. The CPC’s mandate is to

develop relevant programs, advanced tools

and creative ways to address member needs

and ensure continued success for the associa-

tion; we will maintain this ideal by continuously

looking ahead, looking to our membership for

advice and looking at ways to improve service.

2011 YEAR IN REVIEW

BENEFITS OF CPC MEMBERSHIP

Benefits of Membership in the CPC Include:

Entitlement to use CPC Pallets and Bills of Lading

and participate in the CPC’s efficient interchange

system

Access to CTSWEB web-based container tracking

software to assist you in managing all of your

returnable assets:

• Reducing your costs

• Reducing your administration time

• Facilitating pallet reconciliation with your

trading partners

• Faster return of pallets from trading partners

• Access to knowledgeable support desk for

both technical and training needs

• Tracking of all of your returnable assets

with one system

Access to the New Electronic Container Transfer

technology reducing your logistics costs for the

return of empty pallets and containers:

• Reducing transportation, handling and

administration costs

• Reducing greenhouse gas emissions through

reduced trucking, fuel consumption and

emissions

Regional CPC Representatives available to support

members across Canada

Providing education and training on pallet

administration for your associates

Access to knowledgeable and responsive Member

Services personnel to assist members with busi-

ness process and administrative questions.

2011 marks the 34th anniversary of the CPC.

34 years of the CPC providing excellent value

and the lowest cost per pallet trip system in

Canada to its members. Large corporations

and medium to small sized companies alike

choose membership in the CPC. Unique attrib-

utes of the CPC system such as the efficient

pallet interchange system, CTSWEB container

tracking system and the new Electronic

Container Transfer technology continue to

make the CPC an attractive pallet pool system

for members. The CPC continues to provide

strong competition to competitive rental pallet

systems keeping pallet system costs lower in

the Canadian marketplace.

CPC MISSION STATEMENT

The Canadian Pallet Council will provide the

consumer goods industry supply chain with

the most cost effective, returnable pallet stan-

dards and container interchange system in

Canada by setting, monitoring and enforcing

policies, procedures and standards that meet

the members’ quality and performance

requirements.

The CPC will be a partner in returnable asset

management, a service provider responsible

for data and information management and a

facilitator in developing member cooperation

and commitment.

The Canadian Pal let Counci l

PAGE 7

CPC’S STRATEGIC PLAN OVERVIEW

Implement Electronic Container

Transfer

Leverage CTSWEB Systemand Expertise into other

Assets and Industries

Improve Pool Quality

Expand CTSWEB Use

Stabilize and growMembership

Enhance Value toDistributors

Facilitate Resolution of Pallet Imbalances

and Liabilities

Warehouse PalletImbalances and

Liabilities

DSD Pallet Imbalances and

LiabilitiesImprove Customer

Service, Communicationand Administration

Improve Member Satisfaction

with CPC

Enhance FinancialBenefit and Value

to Members

STRATEGIC PLAN 2009 – 2011

CPC will strive to fulfill our Mission,

stabilize and grow membership,

achieve our Performance Objectives,

and execute our Strategies by focusing

our immediate effort on the follow-

ing priority initiatives:

The role of the Canadian Pallet Council has

changed significantly since its inception over

30 years ago. Today, we continue to evolve

our role from one of standard setting and edu-

cation to include the growing proactive role of

a service provider.

The key initiatives in the 2009 – 2011 Strategic

Plan demonstrate that the CPC is committed

to building on the positive momentum gener-

ated throughout 2009 and to ensuring it main-

tains its aggressive focus towards a stronger,

more competitive Canadian Pallet Council.

The implementation of the Strategic Plan will

benefit all members and will continue to en-

hance the CPC at all levels. The following is an

overview of the 2009 – 2011 Strategic Plan.

The CPC is dedicated to recognize and address

the needs of our members. The continued

success of the three key strategic plan initia-

tives is an excellent indicator of a strong and

successful Canadian Pallet Council. In 2011,

the CPC invested $1.1m to support key proj-

ects including $0.9m on the ECT project, and

in 2012 has budgeted an additional $1.0m to

support activities and deliver positive results on

Strategic Plan initiatives. In addition to the

above, the CPC has allocated an incremental

$1.0m for 2011 to support the Electronic Con-

tainer Transfer Project which will be completed

over a 3 year period. A large portion of the

expense for this project will be covered by a

grant from Sustainable Development Technolo-

gy Canada (SDTC).

2011 YEAR IN REVIEW

“This is how clean technology is supposed to work.”

That’s what SDTC Vice-President of Investments

and Chief Technology Officer Rick Whittaker

has to say about the CPC’s Electronic Container

Transfer (ECT) demonstration project.

If anyone is in the position to make such a

statement, it’s Whittaker. In the decade since

Sustainable Development Technology Canada

(SDTC) started funding clean technology

projects, he’s been involved in hundreds of

innovation initiatives spanning virtually every

sector of the economy.

The idea for ECT came up in 2008 as a way of

making CPC members more efficient by

reusing pallets already out in service – sharing

them among members instead of hauling

them empty back to their points of origin. The

ECT solution provides for electronic tracking

and ownership reconciliation, piggybacking on

the established CTSWEB database.

Whittaker says it’s an ideal example of how

clean technology is supposed to work because

it solves a business problem and delivers signif-

icant environmental benefits at the same time.

“It’s amazing how everything comes down to

that little pallet,” he says. “Freight is one of

the largest carbon emission sources in Canada,

and is hugely affected by oil prices. By shipping

only loaded pallets, companies make their

operations more efficient and transporters

save fuel. The benefits can be passed along to

consumers – for example, by helping bring

down the cost of food.”

SDTC awarded $1.25 million to a project led

by CPC to develop and demonstrate ECT. In an

early case study, the project team showed

that, by trading balances, a trio of companies

in Toronto, Vancouver and Halifax could shave

12,000 kilometres of unnecessary transport

from their routes, save more than 4,389 litres

of diesel fuel, and collectively cut greenhouse

gas (GHG) emissions by 155 tonnes. That adds

up to an estimated savings of $118,000 – just

for that one route. It also opens the door for

carbon credits that add value and improve

environmental performance.

Given the CPC’s 2020 targets to cut annual

carbon dioxide emissions by 41 kilotonnes,

methane by 1,952 tonnes and nitrous oxide by

1,502 tonnes, tools like ECT are essential.

Already, some of the biggest companies in the

industry are on board to adopt the system,

including Sobeys and Metro Inc.

That adoption readiness is another reason why

Whittaker believes ECT is an exemplary clean-

tech innovation project, and underscores the

fact that major corporations are increasingly

quick to recognize the combination of bottom-

line and environmental benefits of clean tech-

nology.

Whittaker says the CPC’s organized, commer-

cially oriented approach has helped accelerate

the path to results. “If we had more organiza-

tions come at cleantech projects this way,

Canada would be even farther ahead,” he

notes.

The Canadian Pal let Counci l

PAGE 9

Rick WhittakerVice-President of Investments and Chief Technology Officer, SDTC

This year’s Les Smith Award recipient is:

DARRELL DUNCAN,

ARMOUR TRANSPORTATION SYSTEMS

Previous Winners:

Marie-Andrée Bélanger, Sobeys Inc. (2010)

Rhonda Marshall, Loblaws Inc. (2010)

Vicki Kinnard-Simms, Metro Ontario Inc. (2009)

Diane Lalonde, Provigo Inc. (2008)

Teresa Bakker, Atlantic Packaging Products Ltd. (2007)

Veena Palmer, A&P Canada Co. (2006)

Tina Lagacé, McCain Foods (Canada) (2005)

Carmen Fontaine, Sobeys Quebec (2004)

Ali Amos, Cott Beverages Canada (2003)

Shawn Miriam Accardo, Sobeys Inc. (2002)

Arla Horn, Sobeys Inc. (2001)

Kamu Vylas, Parmalat Canada (2000)

France Roch, Scott Papers (1999)

Cathy McIntyre, Quaker Oats Co. of Canada Ltd. (1998)

Louise Brown, National Grocers Company Ltd. (1998)

Darrell Duncan, Armour Transport (1997)

Sylvain Lavoie, Kraft Canada Inc. (1996)

Chris Brown, Nabisco (1995)

Les Smith Award

AWARD RECIPIENTS

Left to right: Darrell Duncan, Armour Transportation

Systems, Marie-Andrée Bélanger, Sobeys Inc., Belinda

Junkin, Canadian Pallet Council, Shawn Lacey,

Metro Inc.

The Les Smith Award for Excellence in Pallet

Administration honours the person who does

their utmost, day in and day out to ensure the

accurate and efficient processing of ledger

forms, bills of lading, and the CPC control sys-

tem within their company. They also exemplify

the spirit of co-operation and teamwork.

This year’s Bernard Brunet Award recipient is:

DOUG SAUNDERS, VINCOR CANADA

Previous Winners:

Tina Rowsell, McCain Foods (Canada) (2010)

Brad Henderson, Sobeys Inc. (2009)

Shawn Lacey, Metro Ontario Inc. (2008)

Bruce Toal, Loblaw Companies Ltd. (2007)

Lino Di Poce, Woodbridge Pallet Ltd. (2006)

Diane Fitzgerald, Vincor Canada (2005)

Alex Bird, Fideliter Consulting (2004)

Ed Treacy, Sobeys Inc. (2003)

Paul Favro, Mother Parkers (2002)

Terry Labrash, QTG Canada Inc. (2001)

Mike Therrien, Unilever Canada Inc. (2000)

Fraser Campbell, PalEx/IFCO (1999)

John Stephens, A&P (1998)

Denis Favel, Metro Richelieu (1997)

Holger Larsen, formerly of Surelink (1997)

Paul Jobe, Quaker Oats Co. of Canada Ltd. (1996)

Mima Summers, National Grocers (1995)

Bernard Brunet Award

Left to right: Doug Saunders, Vincor Canada, Belinda

Junkin, Canadian Pallet Council

The Bernard Brunet Award for Excellence in

pallet management is presented to a senior

level person who has made a major contribu-

tion to the CPC. This may include instituting a

pallet exchange policy or great work on some

industry-wide project or outstanding contribu-

tion to the association.

CPCRECOGNITIONAWARDSEach year the CPC recognizes those logistics

professionals whose performance sets them

apart from their peers and presents these

individuals with an award at the CPC Annual

General Meeting. The Les Smith and Bernard

Brunet Awards have been presented and

received with tremendous pride for the past

seventeen years.

2011 YEAR IN REVIEW

MEMBERSHIP CHARTS

The Canadian Pal let Counci l

PAGE 11

1%

7%

42%39%

11%

8 USA

FINANCIAL REPORT

STATEMENT OF FINANCIAL POSITION

As at December 31, 2011

2011 2010

$ $

ASSETS

CURRENT

Cash 181,617 205,771

Marketable Securities at Cost 650,000 902,250

Accounts receivable - 114,956

Prepaid Expenses 500 -

832,117 1,222,977

Deferred Project Charges SDTC 672,473 20,245

TOTAL ASSETS 1,504,590 1,243,222

LIABILITIES

CURRENT

Accounts Payable and Accruals 108,144 469,855

Deferred Revenue 289,555 14,986

TOTAL LIABILITIES 397,699 484,841

NET ASSETS

Reserves 30,000 125,000

Unrestricted 1,076,891 633,381

TOTAL NET ASSETS 1,106,891 758,381

Total Liabilities and Net Assets 1,504,590 1,243,222

2011 YEAR IN REVIEW

STATEMENT OF OPERATIONS

For the year ended December 31, 2011

2011 2010

$ $

REVENUES

Transferred from Enhanced 418,541 446,034

Membership Fees 985,734 1,016,361

Membership Fees Transferred to CTSWEB (164,289) (169,394)

Trademark Royalties 487,025 508,775

CTSWEB Revenue 535,908 527,449

Miscellaneous 80,346 135,785

Grant - SDTC 307,524 364,551

2,650,789 2,829,561

EXPENSES

Admin and Operating Expenses 281,222 299,605

Meetings 114,249 139,248

Marketing and Promotional 86,544 115,748

Accounting, Legal and Consulting 131,979 186,385

PC and Software Development 1,214,491 813,857

Occupancy 47,921 48,903

Salaries and Benefit 1,078,101 1,116,417

Transfers to (from) Reserves (95,000) 125,000

Transfer (to) SDTC Project (652,228) (20,245)

2,207,279 2,824,918

NET REVENUE (EXPENSE) 443,510 4,643

FINANCIAL REPORT

The Canadian Pal let Counci l

PAGE 13

2011 YEAR IN REVIEW

CONTACTS

Canadian Pallet Council 239 Division Street phone: (905) 372-1871

Head Office Cobourg, Ontario fax: (905) 373-0230

K9A 3P9 e-mail: info@cpcpallet.com

Website: www.cpcpallet.com

Belinda Junkin President/CEO bjunkin@cpcpallet.com Ext. 105

Brenda Stone Executive Assistant bstone@cpcpallet.com Ext. 102

Gord Wilson V.P. Business Development gwilson@cpcpallet.com Ext. 220

Alex Bird V.P. Innovation & Sustainability abird@cpcpallet.com Ext. 218

Mary Sullivan Director of Operations msullivan@cpcpallet.com Ext. 109

David O’Dell Director of Finance dodell@cpcpallet.com Ext. 106

Mark Foley Director of Member Service mfoley@cpcpallet.com Ext. 104

Sylvie Parsons Bi-Lingual Member Support sparsons@cpcpallet.com Ext. 101

Peggy McArthur Member Coordinator pmcarthur@cpcpallet.com Ext. 103

Michèle Lefort-Zawalykut Bi-Lingual Member Support mzawalykut@cpcpallet.com Ext. 100

CPC FIELD REPRESENTATIVES:Mark Foley Atlantic mfoley@cpcpallet.com

(905) 372-1871 Ext. 104

(905) 375-3414 (phone)

(905)373-0230 (fax)

Francine Theriault Quebec ftheriault@cpcpallet.com

(450) 444-4835 (phone)

(514) 704-6288 (cell)

Gord Bugden Ontario gbugden@cpcpallet.com

(705) 750-8440

(705) 749-9978 (fax)

(705) 750-8440 (cell)

Walter Sweet Prairies wsweet@cpcpallet.com

(403) 251-3699 (phone)

(778) 686-8671 (cell)

Walter Sweet British Columbia wsweet@cpcpallet.com

(604) 520-9616 (phone)

(250) 752-2242 (fax)

(778) 686-8671 (cell)

OFFICE ADMINISTRATION:

CPC: An association created by members,

serving members by providing low cost, competitive pallet solutions

TM/MC: Trade-mark of the Canadian Pallet Council

TM/MD: CTSWEB is a registered trade-mark of the Canadian Pallet Council

CANADIAN PALLET COUNCIL