JULY 2012

SPOTLIGHT

Have a Safe Summer Growing up I lived for summer, no school, days at the pool, vacations at the beach and playing sports with my friends until the sun went down. Most of that still sounds pretty good but back in those days I felt that youthful sense of invincibility. Over the years I have learned that I am not, nor ever was invincible. I assume I’m not alone in this epiphany. With that in mind I’ve seen a few interesting statistics recently about sum-mer safety.

318 people die per year from heat related illnesses. Remember to drink plenty of

water. While sodas and beer may taste better, water works much better to hy-

drate your body.

7 of the 10 deadliest days for teenagers occur during the summer. This may be be-

cause they are not occupied by school. I’ve also read where summer has the

highest percentage of teenagers taking their first drink of alcohol. I personally

think this has a lot more to do with it. We all love our kids so keep an eye on

them.

Food related illnesses rise in the summer. Food that is not properly preserved can

go bad much faster in the summer. Keep the meat in the refrigerator until you’re

ready to grill. The same is true for anything with mayonnaise as an ingredient.

Make sure all the fruits and vegetables are washed before eating and always

wash your hands with soap and hot water when preparing food.

West Nile Virus along with other diseases mosquitoes carry are prevalent during the

summer. This includes heartworm disease for Fido. Protect yourself with repel-

lent and clean up areas with stagnant water.

We want everyone to have a safe, happy and healthy summer. We need to be con-

science that with all of the additional outdoor activities, there are a few precautions

we should all take. Have a great summer.

Bill Hanlon COO/Executive VP

www.terminalwarehouse.com

www.rootblast.com

www.quickdeliveryservice.com

A LETTER TO FELLOW EMPLOYEES

As we cheer our USA athletes on during the Olympics we realize that we are part of the global market place. What happens overseas impacts us here at home. We help many customers export their products helping to reduce our nation’s trade deficit. We help receive and manage raw materials and products from overseas that are used to produce more goods in the United States. Our logistics industry is one of the few industries adding jobs during this slow recovery. Many companies are producing more with fewer workers thus adding to the “jobless” recovery. Until spending and the housing market recover (many predict 6 to 10 years), expect slower growth. Add uncertainty of taxes and medical costs, and many companies are delaying projects or are reluctant to make long-term decisions. There is even more uncertainty since this is an election year with very different ideas for the future and the role of government. Despite all these issues there are things we can control. Items in our control include the service we provide, how we take care of our equipment and facilities and most critical, how we treat our customers and each other. Through June, we are ahead of last year in revenue, but behind in the net margin as our expenses have risen faster than revenue. This is mostly due to higher labor costs and cost of equipment. We must closely monitor our activity and related staffing. Hats off to everyone who helped get through the recent storms. We had property damage at four different facilities in three states. Please pray for those still without power. Respectfully yours, Douglas J. Sibila

President/CEO

2012 Employees of the Month

The following were recognized as employees of the month for the beginning of 2012. The employees were chosen because of customer compliments or nomination by their co-workers. We want to thank all of the Employees of the Month for their dedication to customer service and to our company!

January - Aboubacar Athie, TWI Columbus, OH February - Tammy Gardner, PCI/TDI Canton, OH March - Jeff Roderick, TWI Gilchrist, Akron, OH March - Carolyn Hunt, TWI Gilchrist, Akron, OH April - Jamie Heaney, PCI Parkersburg, WV May - Ron McGarr, TWI Marvo, Akron, OH

Nothing worthwhile comes easily. Work, continuous work and hard work, is the only way to accomplish results that last. ~ Hamilton Holt

Dan Stemple with Jamie Heaney,

Employee of the Month for April at

PCI in Parkersburg, WV.

Bill Hanlon has been promoted to Chief Operating Officer, Executive Vice

President and Greg Hughes was promoted to VP of Operations. We want

to congratulate Bill and Greg and thank them for their dedication and

hard work!

Abou is January’s Employee of the

Month at TWI in Columbus, OH.

Great Job!

Blanche Stanley with Employee of the

Month, Carolyn Hunt. Carolyn is at

TWI, 3340 Gilchrist in Akron, OH.

Jeff Roderick of TWI, 3340 Gilchrist

in Akron, OH is awarded Employee of

the Month for March by supervisor,

Kyle Straight.

Ron McGarr, TWI, Marvo,

Akron, OH with Employee of

the Month award for May.

Thanks for a great job Ron!

Tammy Gardner, warehouse manager in

Canton, is awarded February’s Employee

of the Month by Jim Wickiser.

Keep away from people who try to belittle your ambitions. Small people always do that, but the really great make you feel that you, too, can become great. ~ Mark Twain

The last few months have been very active in Charlotte. We have a new customer, Sonoco who needed a warehouse that could handle a heavy influx of product and surge activity due to a planned machine outage. As a result, we have almost 6 million lbs. of paper (rolls averaging over 5,000 lbs.) in the warehouse. The inventory will go down after July but Sonoco is very pleased and we hope to turn them into a long-term customer. Thanks to the excellent reputation of TWI with Lanxess, Charlotte has been selected to provide service for the new Lanxess plant in Gastonia, NC. Facility improvements along with a major elec-trical project, added outside lighting, rail line improvements and an approved CSX track lease request have us looking forward to a strong second half of the year.

Greg Smith General Manager Total Distribution Inc., Charlotte, NC

Hard Work does pay off one way or another!

Jeff Quick, TDI Charlotte Driver and U.S. Navy Vietnam era Veteran mans the grill for the Charlotte Driver’s Safety Meeting and Employee Apprec iat ion Day Cookout on the Friday prior to Memorial Day weekend. We appreciate Jeff’s service to our nation and to TDI.

Happy 4th of July!

Photographer Colleen Pinski recently released this image of the solar eclipse taken on May 20 in Albuquerque, NM. She drove from her home in Denver in a day to find the right spot and snapped this picture from 1.5 miles away. The guy walked into her frame at the perfect moment.

A dream doesn’t become reality through magic; it takes sweat, determination and hard work. ~ Colin Powell

Just as in past years as the temperature begins to rise

so does our inventory here in Columbus. It is steadily

increasing and is expected to grow drastically this

summer with an additional 750 tons of plastics coming

in for the annual hurricane build. The packaging

operation has stayed busy with a large volume of

railcars as well as tankers and we see this continuing

through the end of summer. We are currently in the

process of installing additional insulation in our Cold

Room and hope to have that project done in the near

future. We would like to recognize the following

employees as winners of Employee of the Month for

the Columbus facility during the 2nd

quarter: Ashley

Thomas- April & Nick O’Loan - May. We would also

like to recognize Abou Athie for winning the company-

wide Employee of the Month for January 2012. From

all of us here in Columbus stay cool, stay hydrated,

and have a safe and productive Summer.

Bob Bush, TWI, Columbus, OH

Thank you for sending the overview and contact information; I’ll keep this information on hand for future reference. With regards to Bose’s shipment and transportation needs yesterday; Bose was in a line down situation and in need of resin ASAP. The folks that work at Total Distribution were courteous, professional; they understood our sense of urgency and therefore responded expeditiously. Please extend our thank you to the Total Distribution Team; we appreciate everyone’s hard work and assistance in helping to deliver the resin to Bose quickly. Thanks, Cinta Kelzenberg Bose, Corporation Global Supply Management Team, The above is an email from Bose, a major Entec customer. The Bose plant was facing a critical line down and their dedicated carrier did not have capacity available. John Stracham not only put everything in motion to deliver three boxes of product, but by working with Amy and the warehouse he pointed out to Bose that they had an order pending for 15 boxes of product and that the entire order (18 boxes) could be picked and moved for the same price. Amy entered the order, Steve and Mike pulled and loaded the order and Ronnie Faile delivered the load. I followed up with both the plant and corporate logistics and received this response back from Cinta Kelzenberg at the plant. Thanks for a job well done. Greg Smith

Greetings! Things have been very busy here. The operation has been running 7 days a week. Many 10 – 12 hour days for everyone. Besides having some record months we have had several “special projects” from Alcoa. One of the projects we have been doing is “EDDY testing” on wheels that we received from Hungary. We then installed valve stems to all wheels that passed the criteria from the testing. We have tested over 14,000 wheels. I want to thank the team @ 3340 for all of their hard work day in & day out. You get a lot of challenges every day and have shown that you can rise to the challenges. I want to wish everyone a fun and safe summer!! Enjoy it! Thanks! Kevin Matzke, TWI, 3340 Gilchrist Rd., Akron, OH

Good morning Scott, I just wanted to take this opportunity to acknowledge Vaughn and his team at Terminal for their effort and dedication in supporting our business. We have been forced into some tough situations with repacks in recent times and they have been there with us every step of the way doing everything that we've asked of them without hesitation or question. They managed to turn things around for us quickly, which in turn allowed us to provide better service to our customers. Their hard work made us more successful in minimizing the impact of the problems that arose. Their support is greatly appreciated. Kindest regards, Eugene Mezheritsky, CPIM CSCP Supply Chain Planner - Pigments N-EDN/S

Ah, summer, what power you have to make us

suffer and like it. ~ Russell Baker

The world is full of willing people, some willing to work, the rest willing to let them. ~ Robert Frost

The spring story at Marvo Drive is best summed up in one word, NEW. We have a few NEW forklifts and a NEW compressor at BASF. At the end of March, second shift supervisor John Denison transferred to 3340 Gilchrist. So now we welcome NEW second shift supervisor, Mark Graziani. Mark brings a varied background in supervision and we look forward to his contributions. Mark’s first task will be to develop his new team and I mean NEW. Eight out of twelve second and third shift teams have less than 90 day’s experience at TWI. It’s a challenge, or better yet, an opportunity. Yes, Marvo has added to staff as a strong second quarter has presented its challenges. We see smaller orders and greater swings in ordering patterns that often have left us short. So now, we look forward to NEW and improved staffing and capabilities. Mike Costello, TWI- Marvo, Akron, OH

SEDC continues to be at maximum storage capacity with more materials coming in each day. We are pleased that our major client has decided to utilize the Charlotte TDI warehouse for overflow storage as well as anticipated hurricane season build that normally comes to SEDC. We are looking forward to working with TDI Charlotte to make the transition smooth. We welcome Tammy Spain, Receiving Clerk, as the newest member of the Simpsonville team. We also welcome another addition to the SEDC, our new phone system has been installed and we are officially in the 21

st

century with voice mail, automated night attendant and a paging system that actually works all the time. Ain’t technology wonderful! Bob Scott, TWI, Simpsonville, SC

There has definitely been a noticeable increase in activity at the Memphis facility. And when you compare the first 5 ½ months of 2011 to the same period this year, the numbers bear this out. Below is the comparison between 2011 and 2012.

Along with this overall increase in volume, there seems to have also been some increased interest in the

Memphis facility. One of TWI’s current clients (in Ohio) has done an audit of the Memphis warehouse for the

purpose of possibly using us to store part of their inventory-build during the summer months. This type of

interest is a direct result of the excellent job that the Ohio facility has done for this particular client.

Bruce Fitzhugh, TWI, Memphis, TN

2011 2012 % Increase

Total Inbound / Outbound Orders 1320 1412 6.90%

Total Inbound / Outbound Lbs 16,186,577 19,568,286 20.80%

Greetings from BASF, We are gearing up for construction season. Our volumes are starting to increase along with the temperatures! On the Construction Chemical side, our outbound orders are increasing on a daily basis. We did not build the inventory like in the past years, so many of the items we are receiving are shipping out as soon as we scan them into stock. That is something new for this business and we are still learning the best way to handle this challenge. The Pigment Division is going through a growth spurt. Since January, the weight handled in Pigments has doubled. That is nice growth. We have had a few personnel changes as well. Denise Johnson, who played a vital role in starting up Pigments, has moved back into Construction Chemicals while Erin Hopkins has moved into the role as Office Coordinator for Pigments. Larry Baker has moved into the role Dock Coordinator for Construction Chemicals. Here’s hoping everyone has a safe and enjoyable summer. Scott Weinstock, TWI, 2850 Gilchrist Rd, Akron, OH

The biggest mistake that you can make is to believe that you are working for somebody else. The driving force of a career must come from the individual. Jobs are owned by the company, you own your career!

~ Earl Nightingale

I recently read an article about how the threat of danger surrounds every person, every day. I want to talk about Off the Job hazards. We train our employees to recognize existing and poten-tial hazards and develop safe work habits at work, but what about home? I challenge all of you to look beyond the task at hand in order to identify and eliminate the hazards before you take on a job at home. For many of us, home projects like cleaning windows and gutters, roof maintenance and repair, painting and other work at elevated heights are usually tackled this time of year. However, we need to stop and think about the dangers associated with working at heights. We need to be aware of roof edges, ladder length, weight capacity, and set up procedures. Improper ladder use usually results in falls from over reaching and improper placement. Remember the 4:1 rule. For every 4 feet up, the ladder should be 1 foot out from the wall. Developing the proper skills can help prevent fall-related injuries. On the ground can present dangers also. Make sure that clut-ter, electrical cords, wet spots are addressed immediately to prevent slip, trip and fall hazards. Obviously, proper ladder usage is only one example. Be ready to recognize potential hazards when driving, struck-by hazards, tool use and maintenance, safe lifting techniques and lawn maintenance just to name a few. Whether an injury occurs in the home or workplace, the results are the same – lost productivity in tasks you do at home, doctor bills, low morale – so look beyond the task to identify and eliminate hazards before exposure. That is the key to working safely whether at home or in the work-place. Sandy Rilling Compliance Mgr., TWI

Servant Leadership One of the best parts of being in a rather mobile position is getting to work in different environments with different people for extended periods. Most recently, I have been working at the Alcoa operation since December 2011, which is the last of the TWI operations that I have become intimately familiar with hands on. This experience, while operationally challenging, has been a great experience in working with great people with common goals. Watching people perform admirably under trying circumstances really shows their character and commitment. This experience also reinforces the Servant Leadership model for what I have seen at many other sites over the years. According to author Larry Spears, “Servant leadership seeks to involve others in decision making, is strongly based in ethical and caring behavior, and enhances the growth of workers while improving the caring and quality of organizational life.” Further, “the servant-leader is servant first. It begins with the natural feeling that one wants to serve. Then conscious choice brings one to aspire to lead.” I see people at all levels serve to make the client and customers happy. To be most effective, the leaders must care as much as anyone, they must work as hard as anyone, they must work as long as anyone when needed and they must lead by example while maintaining a positive, long-term outlook. This applies to the talented people in the office, in the warehouse, in supervision, in coordinator roles, etc. True leaders, regardless of position, know they must be the best they can be and get others to follow this lead. As writer James Hunter notes, “Authority is always built on service and sacrifice.” As writer John Maxwell notes “People do not care how much you know until they know how much you care.” It is very rewarding to watch employees develop in existing or new positions. Whether they think of it as Servant Leadership or leadership through example or “I just try to do the best I can”, it always comes back to having a mental approach of being a servant to excellence. Regardless of position, be a servant leader and set the standard for greatness. Gregory J. Hughes, VP of Operations

Recognizing Hazards Off the Job

I found that the men and women who got to the top were those who did the jobs they had in hand, with everything they had of energy and enthusiasm and hard work. ~ Harry S. Truman

On May 14th, Gil Gilbert the Director of the U. S. Small Business Administration’s Cleveland District presented PSI with the Jeffrey Butland Family-Owned Business of the Year Award. This award honors a family-owned and operated business that has been passed down from one generation to the next and has at least a fifteen-year track record. Nominees are evaluated on success measured by sales, and profits; increased employment opportunities for both family and non-family members; demonstrated potential for long-term business and economic growth; and voluntary efforts to strengthen family-owned businesses within the community. This is a great achievement to be recognized Doug thanked his parents Ron and Jane Sibila for their support, strong ethics and the rules of business they’ve passed onto him. He accepted the award on behalf of the entire com-pany, which is 20% owned by employees, the synergy built by all employees as part owners shows it didn’t happed with just one person. SBA helped structure the deal for loans for PSI to purchase TWI and make additional growth possible. Special thanks to our customers! It doesn’t happen without customers! Doug was happy to have Congressman Jim Renacci and Congressman Bob Gibbs, who both understand business, and Monica Robb who represented the Lieutenant Governor’s office at the award presentation.

Peoples Services Earns Small Business Award

Hard work spotlights the character of people: some turn up their sleeves, some turn up their noses, and some don’t turn up at all! ~ Sam Ewing

SECOND QUARTER 2012 ANNIVERSARY MILESTONES

5 YRS

Heaney Jamie 04/02/2007 Peoples Cartage- Parkersburg

Griggs Korey 04/17/2007 TWI- Memphis

Gant Peggy 05/07/2007 Peoples Cartage- Parkersburg

Clark Donald 05/14/2007 Peoples Cartage- Parkersburg

Smithberger Brian 05/14/2007 Peoples Cartage- Parkersburg

Lee Christopher 06/25/2007 TWI- S. Carolina

10 YRS

Ehret Jim 04/10/2002 PSI- Canton

Tolbert Dennis 05/06/2002 Quick- Nitro

Johnson Tom 06/03/2002 TWI- Marvo

15 YRS

Cline Michael 04/28/1997 Peoples Cartage- Parkersburg

Pauley Gary 06/23/1997 TDI- Nitro

16 YRS

Bonkowski Ron 04/22/1996 TWI- Marvo

Keith Sharon 06/01/1996 Peoples Cartage- Parkersburg

17 YRS

Brown Ron 06/01/1995 TWI- Home Ave.

Collins William 06/05/1995 TDI- Nitro

Carpenter Darcel 06/30/1995 Peoples Cartage- Massillon

18 YRS

Russell Margaret 05/01/1994 TDI- Nitro

Fitzsimmons Dean 06/13/1994 Peoples Cartage- Parkersburg

22 YRS

Sibila Doug 05/07/1990 PSI

24 YRS

Creisher Dale 04/04/1988 TDI- Nitro

Cook Mark 05/14/1988 TDI- Nitro

Watson Patrick 05/16/1988 TDI- Nitro

25 YRS

Pugh Kendall 04/29/1987 TDI- Nitro

58 YRS

Sibila Ron 06/15/1954 PSI