Business News August 2011

VOLUME 26, NUMBER 8, 0834-2011 AUGUST, 2011

IN THIS ISSUE:•Long-term natural resources

•Golf tournament wrap up•Future fuels

Iron ore expansion project injecting jobs, economic value, and excitement

Business News is a monthly publication of the St. John’s Board of Trade.

Reproduction of any material contained in Business News is permitted provided written approval from the St. John’s Board of Trade.

Articles and criticisms are invited, but opinions expressed by contributors do not necessarily represent those of the St. John’s Board of Trade. We encourage you to support the business leaders whose names and products you see advertised in this issue as well as throughout our entire membership. The Board reserves the right to edit submissions.

Editor: Alisha MorrisseyPrinted by: British Group of CompaniesLayout: Roxanne Abbott ST. JOHN’S BOARD OF TRADE EXECUTIVE

Jo Mark Zurel ChairSteve Power Senior Vice-ChairDenis Mahoney First Vice-ChairSharon Horan Second Vice-ChairDerek Sullivan Immediate Past ChairSherry Walsh Secretary-Treasurer

BOARD OF DIRECTORS

Kim KeatingDallas MercerJeff LeDrewBill MahoneyBrenda O’ReillyKaren McCarthyDorothy KeatingDes Whelan

STAFF

Paul Thomey ChiefExecutiveOfficerJennifer Chaytor Manager of Finance and ComplianceShari Palmer Business Affairs ManagerMargie Davis Sales ManagerAlisha Morrissey Policy Research AnalystCraig Ennis Vice President of Policy and CommunicationsWanda Palmer Events Marketer & Administrative CoordinatorJackie Bryant-Cumby Member Relations Administrator

St. John’s Board of Trade34 Harvey RoadP.O. Box 5127St. John’s, NL A1C 5V5 CanadaTel: (709) 726-2961 Fax: (709) 726-2003E-mail: [email protected]: www.bot.nf.ca

IN THIS ISSUEContents

Business News

COVER STORY 2CHAIR’S MESSAGE 3FEATURES 4KEEPING CURRENT 10MEMBERSHIP 21UPCOMING EVENTS 28

August 2011 1

Cover Story

Business NewsAugust 20112

ExpaNdINg rESoUrcESIron ore expansion project injecting jobs, economic value, and excitement

Hard hat, check. Work boots, check. Safetyglasses,check.Reflectivesafety vest, check. These items are

a must when preparing to take the journey to the look-out. Next, a short bus ride on a bumpy road that sparkles in the sunlight as if tiny jewels have been deposited into the earth. Finally - the jaw dropping moment - stepping off the bus and looking down at the cascading earth where one of our province’s richest natural resources is being responsibly mined and processed for the global market. Often referred to as the “Big Land,” Labrador holds promise for the future as the Iron Ore Company of Canada (IOC) continues to grow a business and a community that is truly one of a kind. IOC serves global clients with a top-notch product. In fact, IOC is a leading global supplier of iron ore pellets and concentrates and the largest iron ore pellet producer in Canada. However the company doesn’t let their worldly business interfere with

their commitment to the people and communities of Newfoundland and Labrador. The company contributes more than $200 million annually to the province’s tax base and is the largest private employer in the province, with more than 1,500 employees in Labrador West alone. If you include partners like contractors and local business owners, that number grows to 3,200. IOC also contributes more than $1 million a year in community partnerships with Labrador City, Wabush and St. John’s. Those numbers are impressive, but

they’re about to increase. IOC has an abundance of resources and great potential for expansion. Their expansion programs – current and potential – are rocking Newfoundland and Labrador’s mining industry to its core. IOC’s Concentrate Expansion Program, currently in phase II of a three-phase plan, will increase the company’s annual concentrate capacity from 18 million tonnes to 26 million tonnes by 2013. That’s a lot of iron ore. It’s also a lot of jobs. This expansion will allow IOC to become a more competitive business, grow as a company and reach its full operations potential. It will also further contribute to the economy locally, provincially and nationally. Most importantly,

IOC is committed to doing these jobs right: with safety, community and sustainability always at the forefront of business planning.

Health and safety Health and safety is paramount to the success of IOC’s business. Safety will be at the forefront every step of the way, from the conceptual phase and construction, straightthroughtofirstproductionandbeyond. Zero harm is the goal.

Community Partnerships Expansion would not be possible without the support of local communities. IOC is committed to giving back to the communities where they work and live. As the expansion projects unfold, employees and community members can expect furtherbenefitsfromthemeaningfulpartnerships IOC continues to build. Partnerships like these helped achieve great results in 2010: a new CT scanner for the people in Labrador West and the construction of Ronald McDonald House for the people of Newfoundland and Labrador.

Sustainable Development IOC believes its responsibility is to meet the needs of the present without harming the environment. It’s for that reason they launched a tailings project, Canada’s largest environmental remediation project, in 2003 and why it’s committed to improving air quality in Labrador City. The companyinvestssignificanttime,energyandfinancesintostudyingandmitigatingthe effects of their operations on air quality. The company’s expansion goals are ambitious and can only be achieved by continuing to develop the synergies of all stakeholders – employees, government partners, and community members, to name a few. IOC’s success will be the success of Newfoundlanders and Labradorians; those lucky enough to live here and those who are making their way back home. Before returning to the bus from the look-out, one last glance out over the cascading earth brings a renewed sense of excitement at the potential lying below. Beyond what the naked eye can see is a wealth of opportunity that has yet to be uncovered; not only in the earth itself, but in the people and the community that is IOC.

IOC operates several pits, a concentrator and a pellet plant in Labrador City, port facilities in Sept-Îles (Quebec), and a rail line that links the two locations. The company is the largest private employer in the province, with more than 1,500 employees in Labrador West alone.

Chair’s MessagecITy plaNNINg

Business News August 2011 3

Take a few moments and think about a short walk through the perfect neighbourhood.

Think really hard for just a second about your personal ideal place to live. Where are you? Think about the surroundings. What’s happening there? Who are your neighbours? Take a deep breath of this imaginary perfect place. What does it smell like? Is the sun tingling your skin or the wind biting your cheeks? Some of you will think of vast lush green lawns. Are the houses brightly-coloured like our famous jellybean row? Are you isolated in the Barrens or across the hall and upstairs in a building full of other families? Are there sidewalks? Corner markets? White picket fences or wrap-around driveways? Kids playing ball hockey on quiet cul de sacs? Now, look around your own neighbourhood and ask yourself; “Is this what I pictured as my ideal place to live?” Much like the game where you must pick out the differences between two similar photos, pay attention to the differences between your ideal neighbourhood and your real one. Notice whether there are more or fewer trees, cars, ponds, taller or smaller houses and buildings.

In the coming months the thought of your perfect neighbourhood could be more than a minute’s indulgence while reading this column. The City of St. John’s will be starting its municipal planning process this year and your idea of that perfect neighbourhood could be closer to reality, or it could be wiped entirely off the list of options. As the city examines the good, bad and ugly of our city, each person must ask themselves hard questions too. Would you give up the little greenspace in the downtown for more parking? If – in the unlikely event – the city decides to disassemble the heritage area in favour of skyscrapers and condo development, you have to ask yourself am I OK with that? Or if all retail growth will be relegated to the east end of the city, you have to consider how that will impact you and your family. Whether the city scraps our underused public transit system or chooses to allow unlimited subdivision development, those choices will determine whether you can rent out your basement apartment or the value of your water supply. Adding one more snow clearing route, or cutting back garbage pick up to once every two weeks hits us a lot harder than that pothole you curse every morning when you pull out of your driveway because land-use planning, smart growth and other principles of a municipal plan determine the quality of life for a community, the level of taxation, and the services in a city.

Though the Board of Trade does have ideas about density, development and what the city will look like in the next decade, I’m not going to tell you what you want in your ideal neighbourhoods or the city. You’re the best one to decide what will work best for you. However, we will be voicing our opinions as soon as the city provides an opportunity for public input on the plan. In the coming months we’ll be talking a lot about planning, sustainability neighbourhoods,

and the growth and future of this city. If you agree with us, that’s great. If you disagree, that’s great too. What’s not great is that many of you will think about what we and others have said, what the city has to say, and will remain silent. I would encourage you to at least think about what you want to see where you live. Think even harder about whether you want to say something when the city gives you the chance to offer your opinion. Many of you won’t take advantage of your right to participate and unfortunately, being

left out of this conversation is kind of like saying you don’t care what your neighbourhood looks like. If you have thought about your sidewalks, building height, how close you would like to live to your aging family members, or how the city could work better for your lifestyle, then you should complain to someone other than your spouse or the gas station clerk or the person you have lunch with at work. You should tell your city. It’s not always easy to get involved. It’s harder still to stay involved when you’re one small voice standing up for what you believe in. But nothing this important is ever easy.

Chair, Jo Mark Zurel

“adding one more snow clearing route, or cutting back garbage pick up to

once every two weeks hits us a lot harder than that pothole you curse every

morning when you pull out of your driveway because

land-use planning, smart growth and other principles of a municipal

plan determine the quality of life for a community, the level of taxation, and the

services in a city.”

Feature


EffEcTIvE TalENT maNagEmENTEssential for business growth

Organizations are facing continued uncertainty and challenges brought about by the current economic

environment. It is critical to optimize your organization’s human capital to cut costs andlookforefficiencies.

Adaptability and agility can be achieved by changing your existing organization structure, talent management practices, and human resources policies and procedures. During times of change and uncertainty, there are opportunities for organizations who strongly position themselves to respond to a new environment. A rethink of your talent management strategy is imperative to position your business for growth. “Talent” refers to all of your employees with particular focus on leaders, high potentials, and key roles pivotal to the success of your organization.

What is Talent Management?

The right human resources can drive business growth and an effective talent management strategy can increase the value of those resources. A comprehensive talent management strategy covers the entire talent lifecycle from identifying gaps inyourorganization’sskill-sets,fillingcompetency gaps, managing performance, and rolling out regular organizational development and training. Each part needs to be aligned to your company’s mission, vision, values, and strategic goals. When

implemented properly, talent management programs operate together as one smooth system and include the following elements:

•Workforceplanning •Competencymapping •Brandingandrecruiting •Orientationofnewhires •Learninganddevelopment •Performancemanagement •Coachingandmentoring •Careerpaths •Successionplanning •Leadershipdevelopment

Before going down the path of re-engineering your talent management programs and processes, it is important to identify the end goal behind these programs. The core element of a talent management strategy is the overall employee value proposition, which clearly articulates what the employee receives from the employer in exchange for the productivity and performance expended by the employee.

A well designed employee value proposition attracts, retains, engages, and motivates employees to drive business growth.Whendefininganemployeevalueproposition, it is critical to customize it for your existing employee base, and to consider who you want to attract as future employees. The above table indicates the relative importance that employers place on employer attraction drivers. Particularly interesting are the different ratings employers gave to certain drivers

compared to employees. A number on the top 10 list for employees did not even rank on the employers radar of top 10.

Market Your Employee Value Proposition with HR Policies

An often forgotten talent management tool is your company’s human resources policy portfolio. Human resource policies must be up-to-date and compliant with constantly changing employment standards legislation to mitigate risk. But HR policies are also a useful way to position your organization as an employer of choice. By listing your HR policies on the company website, programslikeflexibleworkarrangements,telecommuting, or employer-paid volunteeringdayshighlightthebenefitsofworking with your company. This is key to attractinghardtofindtoptalent.AccordingtoProfitMagazine’sTop50CEO’sofleading, emerging growth companies, retention and recruitment are the most important factors to realize success.

Susan Power is the Principal Consultant at Higher Talent. Services include talent management solutions, HR policy development, HR research, and employee surveys. Call her directly at 730-4135, [email protected]. or visit her website for more details www.highertalent.ca

Photo by Evan Butler www.evanbutler.com

What Do Canadian Employees Want From Their Employer?

Attraction Drivers Canada Employee Employer Competitive Base Pay 1 2 Vacation / Paid Time Off 2 10 Competitive Health Care Benefits 3 - Career Advancement Opportunities 4 4 Competitive Retirement Benefits 5 - Convenient Work Location 6 6 Flexible Schedule 7 - Challenging Work 8 3 Learning and Development Opportunities 9 8 Organization’s Reputation as a Good Employer 10 1

Source: Tower Watson 2010 Global Workforce Study and 2010 TMR Survey - Canada

FeatureTHE fUTUrE of fUEl


Taking advantage of Newfoundland and labrador’s natural peat and algae resources

Currently making up almost 30 per cent of Newfoundland and Labrador’s GDP, the offshore

fossil fuel industry is only expected to last approximately 28 more years. When combined with an increasing environmental awareness, the need for alternative natural fuel sources becomes urgent. Peat and algae, though they may be viewed as simply bog and slime, are both promising natural resources that Newfoundland has in abundance. Each generates not only energy, but also solutions to various global and local issues. How it is possible to run a vehicle on the same substance that clouds an aquariumandbuildsuponfishingnets? According to the Worldwatch Institute, micro-algae have the potential to produce large quantities of lipids (plant oils) that are well suited for use in biodiesel production. Algae grow naturally in both salt and freshwater, and can be commercially produced in controlled environments for a more consistent output. The oil, making up 30 to 70 per cent of the biomass, can be extracted and processed into environmentally friendly fuels. Presently in the research and development stage, algae biofuel has been tested in a commercial aircraft with favourable results. There is no wastage of the biomass since the residual ‘algae cake’ can be used in a variety of valuable co-products including animal feed, cosmetics, and protein supplements. Peat has multiple uses including horticulture, home heating, and industrial fuel. Production of this resource as an industrial fuel is well on its way in the province of Newfoundland and Labrador as Toronto-based Peat Resources Ltd. is currently operating a pilot plant in Stephenville, and plans to expand operations for both local and

export markets. To ensure that peat fuel is environmentally attractive, a wet harvesting technique is used that avoids the need to pre-drain the peatlands, leaving the upper growing layer of the bog preserved, minimizing damage to the ecosystem.

Utilities that rely on coal or oil-burning power plants are interested in peat as it is a direct substitute that generates electricity reducing emissions of mercury and harmful greenhouse gasses.

In recognition of the severity of global warming, many countries have efforts to reduce their carbon footprint. Utilizing algae biofuel and peat as replacements for non-renewable and expensive fossil fuels could help meet these needs. Algae oil is presented as an environmentally friendly, renewable transportation fuel of the future, with its valuable co-products sold to help produce the oil at costs competitive with fossil fuel. Currently in the testing stage, it holds promise for use in planes and other vehicles. Peat is already used in place of coal in many parts of Europe for electricity generation. It is viewed as a cleaner substitute for coal and is needed to facilitate government efforts to reduce green house gas emissions. With multiple usesandenvironmentalbenefits,peatisalso in demand as oil and electricity prices rise. On a more local scale, parts of rural Newfoundland are suffering from the dwindlingfishingindustryandwouldbenefitfromthejobopportunitiesthat

would arise with the development of these industries. For instance, algae is a renewable resource that could be cultivated and processedinthedesertedfishplants and warehouses for reliable employment and revenues. This coincides with the NL Rural Secretariat plans to take advantage of growth opportunities and partner with the academic communities on

research projects. The future of fuel in Newfoundland and Labrador could quite possibly be dependent on resources formerly viewed as slime and bog. Development of these native materials will not only revitalize the local economies of rural Newfoundland and Labrador, but will also help reduce the effects of global warming.

Chris O’Brien is a Principal Consultant with O’Brien Consulting in St. John’s. See the full paper at www.obrienconsulting.ca or contact Chris at [email protected]

Feature


ambaSSador’S colUmNJustine perry

As we are all aware, networking provides the most productive, proficientandenduringtacticsto

building relationships. My belief is that in order to succeed in sales, you must continually connect with new people, cultivate emerging relationships and leverage your network; the St. John’s Board of Trade functions have allowed me to do just that. After attending several luncheons and mixers, I recognized the influencetheseeventsweregoingtohaveon my career, and knew instantly I wanted to become more involved with the Board of Trade. After meeting an Ambassador and hearing about their role within the Board of Trade, I knew it was something I would love to be a part of. Initially, the want to become more involved was to

expand my own network in the business community, but it turned into much more than just networking for me. It turned into one of the most positive experiences of my career thus far. Not only did I gain clients,confidenceandknowledge;Ibuilta wonderful network of friends that I was able to work side-by-side with for nearly two years. I have enjoyed every minute of my term as an Ambassador and genuinely appreciate thebenefitsoftheprogram.Iwillcontinually value the many attributes I take away from this experience and encourage members to become involved.

Justine Perry is an Account Executive with NTV/OZFM (NL Broadcasting Company)Television/Radio/Internet Advertising. For more information please call Justine at 570-5296 or 693-1119 or email [email protected]

FeatureambaSSador’S colUmN


angela Hedderson

Businessman Bill Gates once said “Our success has really been based on partnerships from the

very beginning.” My experience as an Ambassador with the St. John’s Board of Trade has been just that; the building of partnerships. It has been rewarding both professionally and personally. I have learned the art of networking through meetings, socials, luncheons and interactions sponsored by the Board as well as the importance of networking and meeting new people to enhance and create relationships. I always think back to the Premier’s luncheon and how proud I felt to have been part of that. It’s one of the most

publicized and anticipated events for the Board and always informative and fun. It’s a great time to network with all levels of business and government and to hear what the premier is going to talk about. Being an ambassador for this event was the most rewarding so far. I have met great people and learned of their success stories which have inspired me to set goals. I have had the opportunity to be involved in the front lines for the Board and this in itself has been an empowerment.

Angela Hedderson is Staffing Specialist with the Government of Newfoundland and Labrador Public Service Commission.

Suncor SEI-11-1025: Business News (July29) Full page type: 7-3/4” x 9-7/8” (8-1/2” x 11” trim), no bleed, black keyline prints. 4c. KLVC. July 15, 2011.

*As at December 31, 2010.™ Trademark of Suncor Energy Inc.

We see the possibilities.

36% decline in amount of fresh water

Suncor has withdrawn from the

Athabasca River since 2004*

$1.2 billion50% decrease in GHG emission

intensity at Suncor’s oil sands

operation from 1990 levels*

Vincent Saubestre, executive director,

Oil Sands Leadership Initiative

actual and planned

investments in Suncor’s new

tailings technology

performance

partnerships

possibilities

For Suncor Energy, growth brings opportunity and a set of new challenges. The biggest one of all: balancing increased

development with the need to live up to our social and environmental responsibilities, both as an individual company and

collectively as part of Canada’s oil sands industry. We believe the key is collaboration. A great example is the Oil Sands

Leadership Initiative where Suncor works closely with four companies to improve environmental, social and economic

performance in the oil sands industry. With a shared commitment to excellence and innovation, we can work together

to build a more sustainable energy future.

Find out more about Suncor’s track record

and how we are planning to responsibly

develop North America’s energy supply.

www.suncor.com/sustainability

Suncor_1025_BN_July29.indd 1 15/07/11 3:38 PM

FeaturecoSTS of rEgUlaTIoN


Some night, when it’s quiet in the bar and you want to get some excitement going, ask the oil guys in the room what they think about the regulatory regime that oversees their offshore activities. Then, stand back and get ready for a blast.

It has long been a given among oil folks, whether they’re working offshore Newfoundland, in the Beaufort, Fort

McMurray, or pretty much any other place in Canada that the regulatory regime we have in this country is overly complicated, time consuming, uncertain as to outcome, captive to special interests and expensive. And that’s the nice stuff they say about it. These oil folks, and the suppliers that depend on them for business, are continually frustrated by the pace of the process and, when you stop to think about it, you can’t blame them. Yes, there are costs associated with the regulatory regime, costs that continue to mount as the process makes its slow way to a conclusion. The work of the Joint Review Panel for the Mackenzie Gas Project took years to complete and cost millions of dollars, only to result in a report that was promptly rejected almost wholly by both the federal government and the National Energy Board. And, yes again, this messy process can drive away investment as companies look to spend their exploration and development dollars in more “user-friendly’ countries. The Fraser Institute’s annual Global Petroleum Survey of oil companies sets out pretty clearly what companies think of the attractiveness of the many countries in which they can invest their dollars. Andmanytimesitisdifficultieswiththeregulatory regime that determines the level of attractiveness, often despite the recognized geological potential of a region.But, and here’s where it can get tricky, we must be careful not to let frustration with thespecificfailingsofaregulatoryprocess

make us blind to the greater costs that a flawedregimecanimposeonanindustry,aprovince, or a country.Think back to Union Oil’s Santa Barbara oil spill of 1968, in part the result of poor regulatory oversight by the State authorities. The result was the imposition of a drilling moratorium that remains in place today. At what cost to the industry and the country?Think back to the Exxon Valdez incident of 1989, a grounding that, while the responsibility of the inept captain, owed much of its root cause to slack oversight by the coast guard. The release of oil, and the clear unpreparedness on the part of the regulators to respond, led to another moratorium, this one off the west coast of British Columbia, a moratorium that continues today to frustrate Alberta’s plans to ship bitumen to China. Again, at what cost to the industry and the country?

More recently, the BP blowout in the Gulf of Mexico led to a moratorium on deep water drilling in the Gulf and continued opposition to drilling in the Arctic waters of both America and Canada. At what cost to the industry and the country?The current offshore board system for the Atlantic waters cannot last long – the conflictbetweentherolesofpromotionand regulation are just too obvious. Other jurisdictions including Norway, Britain, the Canadian Arctic and the American offshore have all moved to separate the functions and we can expect the same offshore Newfoundland and Labrador and Nova Scotia.For the industry here, that’s a good thing. The costs associated with moving a single application through the system can be daunting. But the costs of having a system that is fundamentally out of step are simply too great to chance.

Doug Matthews is a Calgary-based oil industry analyst/writer, and is the former Director of Minerals, Oil and Gas for the Government of North West Territories. Doug will be speaking at the Canadian Institute’s upcoming Offshore Oil and Gas Conference to be held in St. John’s this November.

Doug Matthews

Keeping Current


polIcy maTTErS

What’s the issue? The provincial government will pay roughly $800 million in debt servicing charges this year. Paying off the debt, during a time of high oil production and prices, would free up that money into perpetuity rather than have it go to debt charges when oil runs out.

Why does it matter? It costs $15.5 million per week to service the debt which could instead be used to double the money the province is spending over three years to provide apprenticeship incentives. This would be done at a time where we have Muskrat Falls and other mega projects being built.

What needs to be done? The multi-billions in non-renewable oil revenues have to be used to pay down our $16,000-per-person provincial public debtbeforetherevenuesdryup.Specificactions, responsibilities, timelines and targets have to be planned for before the money runs out.

What can businesses do? Make the issue known:

Talk to anyone running in the fall •provincial election and tell them to reduce debt,Ask your friends and colleagues •about projects or ideas that are not getting support because money is being spent on having big debt and tell politicians about the opportunities we miss,Tell others about the limitations •being placed on our opportunities because of our debt problem,Learn more about the severe •measures other countries are taking because they lived beyond their means and ask yourself if you want that as a future in this province.

What’s the issue? Newfoundland and Labrador’s economy is largely resource-based. Commodities like oil and minerals, can be cyclical and depend on global demand which is outside of our control. Knowledge-based industries can help maintain employment during down cycles and create a sustainable source of exports from our province to the world.

Why does it matter? Resource-based economies are diversifying and putting resources into ensuring they win in the global marketplace well into the future. It took 20 years to build an oil industry here; we need to spend 20 years aggressively building more aspects of our economy to secure the future.

What needs to be done? Investment in entrepreneurship has to be a common value – children should learn entrepreneurship with reading and math with that education continuing through post-secondary institutions. ‘Failure’ in business has to be seen as a learning experience.

What can businesses do?Take calculated risks, share success •stories and tell others how to avoid your failures,Compliment governments when •they make investments in local businesses and encourage them to invest more in potential local partners, suppliers and even competitors,Challenge those who question •governments that support business and ask them what else generates new money for the economy.

What’s the issue? Forecasts indicate 70,000 job openings between now and the year 2020 in the province, with job growth strong betweennowand2015butsignificantjob losses afterwards, some of which will be offset by retirements.

Why does it matter? Businesses will need to develop incentives for employees to work beyond retirement age, to make jobs attractive to younger or immigrant workers, and to use our underrepresented workers like women, aboriginals and people with disabilitiestofurtherfilllabourneeds.

What needs to be done? Obvious steps include making public policies that extend the life of the existing workforce, increasing trades certificationcoupledwithprogramsthatrecruit expatriates.

What can businesses do? Policies that create a positive working atmosphere should be a part of any HR foundation. Consider the following:

Varying work assignments, •flexibilityinbenefits–benefitsthatappeal to 25-year-olds might not appeal to 50-year-olds, Mentorship programs, training •and professional development opportunities,Offering healthy workplace •initiatives, including gym-membership, or public-transit subsidies,Creating a recognition plan for •employee achievements.

Debt Diversification Demographics

FeaturerEvISITINg rEgUlaTIoNS aNd

brEakINg barrIErS


more exploration means more opportunity

While 2.84-billion barrels of oil have been discovered in Newfoundland and Labrador,

a potential six-billion barrels remain undiscovered. Provincial bodies and industry voices have been advocating to the federal government about the need for two-dimensional seismic survey data that is crucial to stimulate further exploration. Despite evidence that points toward the current Coasting Trade Act hindering further exploration in east coast Canada’s offshore, the federal government has been slow to move on the issue. High prices and long-term demand is driving intense exploration in most other basins worldwide, yet exploration activity offshore Newfoundland and Labrador hasn’t seen a major increase. Since 1991, Newfoundland and Labrador’s offshore hasseen16significantdiscoveries, but only seven since the year 2000. “It is widely known that seismic data is the foundation of creating offshore land sales that lead to exploration,” says Bob Cadigan, president and CEO of NOIA (Newfoundland and Labrador Oil and Gas Industries Association). To illustrate the issue – the region’s offshore area is four times the size of the North Sea; yet, Newfoundland and Labrador has had only 140 exploration wells to date while the North Sea has had approximately 4,000 wells. “While the impact of the offshore oil and gas industry on the Newfoundland and Labrador economy is staggering – 40 per cent of GDP, 30 per cent of provincial revenue – it is vital that government look

for ways to encourage further exploration drilling in frontier basins throughout Canada’s offshore,” adds Cadigan.One way is to fund the Geological Survey of Canada to improve resource assessments and create basin atlases to provide geological data to potential investors in the region’s offshore. Although assessment technology has improved dramatically, some assessments used today are based on data obtained over 10 years ago. In other jurisdictions like Greenland, seismic data can be publicly accessed and having this data available to companies improves prospectivity. Perhaps the most resounding message

from both provincial bodies and industry is to exempt seismic vessels from the Coasting Trading Act (CTA) regulations. In 1983, the federal government introduced legislation to take greater control of Canada’s continental shelf for the exploration of its petroleum resources to ensure that the Canadian industry could fully participate. Aside from the construction of 10 to 12 offshore supply vessels, these changes havedonelittletobenefitindustry.Infact, the legislation limited exploration activity by causing uncertainly amongst the major global players regarding access to Canadian market opportunities. Because of this, industry players have been raising the issue with the

Canadian government to revisit some of this legislation to determine if it is still applicable in today’s global offshore developments. “An element of the issue that is continuously raised is the length of time andcostofbringingforeignflaggeddrilling and other vessels into Canada,” Cadigan says. Although the vessel is only a component of the technology used and modern seismic vessels are integrated with this technology, once a seismic contractor is chosen by an oilcompany,theforeignflaggedvesselhasto be approved by the CTA and Canadian vessel owners can protest within 30 days

under the Act. These applications are usually contested byoneCanadianfirmin particular, despite itsCanadianflaggedvessel currently being classifiedaslaidup,meaning remedial work is required to make the vessel seaworthy. “Clearly, current speculative seismic activity is all but non-existent in Canada’s offshore while it is an

important source of data elsewhere in the world,” says Cadigan. Without exploration, there can be no new discoveries; no new developments to contribute to major capital project spending in the region; and no new production can occur to replace depleting reserves, sustain opportunity to the supply and service sector, and restore diminishing treasury returns. It only makes sense – exploration is absolutely critical to East Coast Canada’s petroleum industry, its people and Canada as a whole.

Article by Deborah Inkpen and Erin Molloy.

Most of Canada’s significant discoveries offshore – including Hibernia pictured above – were found in the 1970s to late-1980s in Newfoundland and Labrador offshore basins when there was assistance from federal incentive programs.

Feature


making connectionsnalcor/newfoundland and Labrador Hydro get social

Social media is not only changing the way people communicate with their friends and family, but also

how businesses communicate with their customers and stakeholders. To better reach and be more accessible to stakeholders and customers, Nalcor Energy and its subsidiary Newfoundland and Labrador Hydro launched accounts on Twitter, Facebook, and YouTube. Both Hydro and Nalcor also have their own blog sites that house a lot of the links and information visitors will find on the social media sites. Nalcor also has an additional blog for posts by members of its leadership team. “Social media is an important tool we can use to reach people,” says Alex Collins, a communications advisor with Nalcor, who led the company’s social media program. “According to socialnomics.net, traffic to social networking sites grew 51 per cent in the past year. “It’s exciting how we can share information about upcoming projects like the Lower Churchill, and communicate with our Hydro customers about things like safety and outages.” Nalcor and Hydro started using YouTube to share videos earlier this year, launched Twitter accounts in May, and went live on Facebook in June.

“We realized how important social media is becoming for business and that it’s a space we needed to be in,” says Collins. “We also knew we had to be active in the space. Social media is about listening and having conversations, being available to answer questions and talk about news and events.” The Hydro Facebook page launched with a bang. For the first two weeks the page was live, Hydro donated $1 to Ronald McDonald House Newfoundland Labrador for each person who liked their page. Two weeks later, $7,390 was donated to support the house. Collins says the key to successfully venturing into social media is a strong strategy and a lot of research. “While we knew we wanted – and needed – to have a social media presence, we took the time to research best practices and make sure we knew how to effectively participate in social media.”

Follow Nalcor and Hydro:Facebook: facebook.com/NalcorEnergy and facebook.com/NLHydroTwitter: twitter.com/NalcorEnergy and twitter.com/NLHydroYouTube: youtube.com/NalcorEnergy and youtube.com/NLHydro Blogs: nalcorblog.com, nlhydroblog.com, nalcorleadershipblog.com

Social Media 101: What are popular social media sites

and how can you use them?

Facebook offers a network to communicate with friends, family and coworkers, and share videos, pictures and other media with Facebook friends. Visit Facebook.com to set-up an account, to learn more about how to use Facebook, check out mashable.com/category/facebook. If Facebook were a country, it would be the world’s third largest*

Twitter features short, 140-character posts, called ‘tweets.’ By following other users who share common interests, Twitter is a great way to stay informed about subjects you are interested in. You can sign up at twitter.com, or to learn more or find tips on how to get started check out: mashable.com/guidebook/twitter/ Twitter grew 752 per cent in 2008.**

Videos posted to YouTube are easily shared on websites, social media sites, mobile devices, blogs, and through e-mail. To learn more about YouTube, visit mashable.com/category/youtube/ The #2 largest search engine in the world is YouTube* Simply put, a blog is an online journal. Blogs can range in subject matter from business to entertainment to food to travel, it’s up to the blogger to determine the topic they blog about. For advice on starting a blog, visit: problogger.net/archives/2006/02/14/blogging-for-beginners-2/ There are over 200,000,000 blogs*

Sources: *socialnomics.net **mashable.com

FeatureUSErS bEwarE


Not all financial statement reports are created equal

So you’re considering purchasing a new business and as part of the due diligence on the deal you have

askedtoexaminethecompany’sfinancialstatements.Anintegralpartofthefinancialstatements is the report that accompanies the statements which indicates the level of service performed by the accountant. This report can be one of three types; audit report, review engagement report or compilation report. The type of report is determined by mutual agreement between the client and the professional accountant. The choice of report depends on many factors, such as the needs of the client, needs of creditors or investors, the size and complexity of the business and how much the client is willing or able to pay. Compilation reports represent the most basic level of service a professional accountant can provide with respect tofinancialstatements.Thegoalofacompilation is to take information that is in the general ledger and accumulate it intofinancialstatements.Theformatmaylook the same, but the accountant performs an extremely limited analysis on any of the numbers presented. The accountant would only follow up on information that is obviously incorrect, such as clear departures from generally accepted accounting principles. As a result, an externalreaderofthefinancialstatementscan only place minimal reliance on a compilation report. Review engagement reports provide assurancesthatfinancialstatementsdonot have any known errors or departures from generally accepted accounting standards. The procedures performed by the external accountant during a review will be limited to inquiries and analytical review. This means the accountant will ask many questions of management and the financestaff.Analyticalreviewmeanstheaccountant will look at the relationships between numbers to make sure they make sense. A review does not provide the same

level of assurance as would an audit as the accountant has not undertaken sufficientwork to determine if thefinancialstatements present accurately thefinancialposition of the company. However, a review is less costly than an audit which is why many businesses will select this form of reporting. Auditedfinancialstatementsarethehighest level of assurance services than an accountant can provide. The goal of an audit is to provide reasonable, but notabsolute,assurancethatfinancialstatements are fairly presented in accordance with generally accepted accounting principles. In an audit, theaccountantperformsverificationand substantiation procedures on the financialinformationbeingpresented.These procedures may include direct

correspondence with creditors or debtors to verify details of amounts owed, physical inspection of inventories or inspection of minutes and contracts. Because the level of assurance is higher, an audit will cost substantially more than a review or compilation.In summary this article presents a general overview and comparison of the compilation, review and audit engagements. Business owners will have to decide for themselves the appropriate level of assurance that is required or needed based on the company’s particular circumstances. A greater understanding of the alternatives that are available should help business owners and managers to make appropriate and cost-effective choices among these reports.

Tashia Batstone is a Chartered Accountant and the CEO of the Institute of Chartered Accountants of Newfoundland and Labrador. The Institute of Chartered Accountants of Newfoundland and Labrador is the regulatory body of Newfoundland and Labrador’s over 800 Chartered Accountants and students. The Institute protects the public interest through the CA profession’s high standards of qualification and the enforcement of its rules of professional conduct.

Tashia Batstone, CA, MBA

Feature


THE loNg vIEwNatural resources have always been a driver of this province’s economy, but with 35 per cent of the gdp resting on oil and minerals – both finite resources – government will have to think long-term for a sustainable future.

Natural Resources Minister Shawn Skinner says the province is using today’s resource revenues to fund

the future projects that will stabilize the province’s economy for the future. “We understand that the oil and gas and the minerals do have a shelf-life and because of that we are trying to use the revenues from that – as per our energy plan – to develop our renewable resources. So you’re seeing a lot of time and attention being paid to the Lower Churchill,” he says, describing the falls as a legacy resource. “We have great potential and we just need to continue to manage long term … understanding that we haveafinitetimeheretodothis right and make the right decisions now that don’t hurt us later.” Last year the province announced that the billionth barrel of oil was extracted fromtheoffshorefields.Withthree billion more barrels of discovered resources and an estimated six billion barrels of undiscovered reserves, Skinner says this is the time to push for more exploration. “It gives you a sense of, you need to be planning, and you need to be managing, and you need to understand the cycles of these things. And so we did a lot of exploration early on … we have plateaued, but during the production and plateauing phase we didn’t do

a lot of exploration. We need to get back to that now to be able to tap into some of the reserves that are out there,” Skinner says. “We are trying to do more exploration, trying to make more exploration happen and trying to get companies to do more

exploration, because we know that there’s more out there.” Economist Wade Locke recently released a report suggesting the province, should it continue on the path it’s currently on, would be deep in debt inside 10 years, with little to no oil reserves left to depend on for revenues. Skinner says the report was certainly a warning for government, but that it doesn’t intend to continue spending in the future likeithasinthelastfiveyears.Hesaysgovernmentspendingwasinflatedbyaneed to replace infrastructure and invest in future projects like the Lower Churchill. “The legacy fund, I would suggest, is not a bank account you just put money into … it’s actually the development of a revenue stream and that revenue stream is the watersflowingthroughtheChurchillRiveron the Lower and Upper Churchill as the time moves on.” Meanwhile, the resources sector is facing a huge shortage of labour that’s likely to be the biggest problem facing all businesses the province in the coming years.

Natural Resources Minister Shawn Skinner.

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Total Wells Drilled Offshore Newfoundland (as of September 15, 2007)

For further information on each of these wells please see the C-NLOPB’s website at http://cnlopb.nl.ca

FeatureTHE loNg vIEw


But when it comes to natural resources, there’s a second, just as serious, challenge to consider. As more areas are developed to remove natural resources, Skinner sees the competing interests over the use of land as a major hurdle. Whether its mines affecting hunting outfitsandberrypickingorpipelinescompeting with watersheds, there will have to be compromises made to keep a balance, Skinner says. “You can’t satisfy everybody fully,” Skinner says. “People have different views of how we should use our lands, and our water and our resources. Be it trees, mines, whatever, we need to discuss how best that needs to be done to the benefitofthepeopleoftheprovince.Economically and socially.”

MINING: Plugging along

Mining in this province is relatively stable right now, with 12 operators currently producing ore. Mineral shipments here are worth about $5 billion ayearandSkinnerisconfidentthattheindustry will continue along those lines for the next number of years. Two more deposits are likely to be mined within the year, including the Lab Mag Iron Ore deposits in Labrador and the gold-copper deposits at Rambler Metals Ming mine site in Baie Verte. “I think if we continue on the path that we’re on there will be very positive news and good employment from it. These are intensive industries in terms of human employment,” Skinner

says admitting that the biggest challenge the mining industry faces in the coming years will be a shortage of employment. There are other issues facing the mining industry and mining towns in particular, Skinner says, including the quality of life, health care, education and other infrastructure available to the workers who couldbeparticipatinginafly-in,fly-out

situation. The province is in talks with towns, many in Labrador, to discuss the needs of some of the mining companies

and what kinds of investments will need to be made in roads, sanitary services etc. Other considerations will be where the workforce is coming from, where they’ll be housed, whether there will be a settled community with families, schools and heath care, shopping and recreational opportunities. Either way, Skinner says in the last six months he’s become quite assured that

the mining potential in this province, combined with current deposits being

mined, mean the industry will last for quite some time. “It’s going to be decades yet before we run out of minerals.”

FORESTRY: Getting back on its feetAfter two devastating mill shut downs, the forestry industry in this province seems to beseeingsomesuccessagainforthefirst

time in several years. “There’s no doubt we’ve had a bit of downturn in the forestry, but what we’ve done as a government is make investments and worked with some local saw millers to increase their capacity No.1 and modernize their production facilities,” Skinner says. “… They can become more competitive, to be able to do more and provide more diversity to the market.” Existing mills are currently selling lumber here and in other provinces, but they’ve also started producing pellets as a fuel source to other export markets including Europe. As well as existing saw millers, the

province is currently considering two new start-up mills, one in Labrador and one on the west coast of the island. AGRIFOODS: Need to tap potential The province hasn’t reaped the potential available from the agrifoods sector here, Skinner says. “We see it as something that we haven’t even touched the potential. We only produce something like seven or eight per cent of our food here. I was shocked when I heard how low it was and I’m told by people we can do a lot more,” he says. The province announced a $250,000 investment in the Our Farms, Our Food, Our Future – Agriculture and Agrifoods Strategy in a recent budget. One of the biggest challenges for agrifoods in the province is a lack of land availability, but Skinner says the province is working on that too in its attempts to free up land and offer contracts to clear and level it for farming uses.

– Alisha Morrissey*All photos, graphics courtesy of the Department of Natural Resources, Government of Newfoundland and Labrador

An artist’s rendering of the future Hebron project.

“I think it’s a great position we’re in. It’s a great time

that we’re in. we have great potential and we just need to continue to manage long term … and understanding that we have a finite time here to do this right and make the right decisions now that don’t hurt

us later.”

Keeping Current


aroUNd THE board

Our more active members – Lori Coleman, Bruce Fancey, Mike Gough, and Amy Tulk – were one of two teams nominated for and winning the team spirit award.

Jon Drover cuddles with the all-natural lawn mowers at the CIBC-sponsored hole.

The Sheraton team shared the team spirit prize for their matching uniforms. At least the shower caps were a good idea.

This means an advertisiment in Downhome will reach over 108,000* of your potential customers in Newfoundland and Labrador. And with one of the lowest CPM (cost perthousand) in the industry it’s simply thebest advertising value for your dollar.

www.downhomemedia.com*Based on 40,174 paid circulation, 4.9 readers

per copy. CCAB Audit September 2009

DH_atlantic_DownhomeCPM1 2/14/11 5:07 PM Page 1

Keeping CurrentaroUNd THE board


Some golfers couldn’t stand the wet weather and went in for the afternoon, but others stayed out on the course through the worst of it.

After a while it was too damp to play Twister, but we did get these guys to pose under their umbrellas before we brought the game inside. Special thanks to our past chair Bruce Templeton for taking the Twister shots!

Our CEO and our title sponsor Cabletec, get twisted up with some other golfers.

Keeping Current


aroUNd THE board

Thanks to all our sponsors, who provided us with the wonderful prizes, gift bag goodies and great attractions on the links.

The British Group golf team won the overall tournament taking home the big trophy along with bragging rights. L-R: Dave Connolly, Dan Barber, presenting the trophy Paul Thomey, Terry Reardon, and Blair Connolly.

For more photos from

our many events, check

out our Facebook page.

And don’t forget to “Like” us while you’re

there to be first to get the latest business

news, policy updates and

information on our upcoming

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Keeping CurrentaroUNd THE board


Mike Volker, Canadian angel investor of the year, talked about the importance of investing, specifically in green projects.

As always our luncheons are a great place to connect with other Board of Trade members for a little networking before the meal. Have you booked your tickets to our next luncheon in September?

Our Chair Jo Mark Zurel recently sat down with the Ambassador of the Republic of Indonesia, Her Excellency Dienne Moehario to talk about partnerships on labour and hydroelectricity.

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Keeping Current


aroUNd THE board

Over the side

Photo opportunities all around.We saw a few whales playing …

and a few birds nesting …

Even when there was no wildlife around, it was nice to just be on the water.

while Loyola O’Brien our tour guide sang us a few tunes and told a few yarns. Thanks O’Brien’s Boat Tours for taking our members out on the water for a great mixer.

For more photos from our many events, check out our Facebook page. And don’t forget to “Like” us while you’re there to be first to get the latest business news, policy updates and information on our upcoming events.

MembershipmEmbErS IN THE NEwS


The Tower Corporate Campus aka Littledale was restored by J.G. Cahill with landscape design by Tract Consulting.

Other winning restorations or designs were The Bonavista Loyal Orange Lodge #7, 2 Willicott’s Lane and the Shamrock Farm/Elaine Dobbin Centre for Autism. The new Heritage Craftsperson/Tradesperson Award was given to Jim Youden. Headed down the shore? The Placentia Area Chamber of Commerce is gearing up for its annual

tradeshow and conference, it’s biggest to date. The Placentia Bay Industrial Showcase will go ahead from Sept. 27 to 29 in Arnold’s Cove, Long

Harbour and Placentia. The event will focus on growing list of industrial activities in the vicinity of Placentia Bay and how to facilitate industrial development in the region. Chamber President Darrell Clarke says topics at the conference will include Kiewit and Sons plans for the Marystown

Shipyard and Cow Head facilities, North Atlantic’sComeByChanceoilrefinery,Exxon Mobil’s Hebron GBS Project at Bull Arm, the Vale Inco nickel plant at Long Harbour, and manufacturing and transportation ventures at Argentia. For more information or to register please contact the Chamber at (709) 227-0003.

Major milestone The St. John’s Board of Trade

congratulates its member company Triware Technologies on their 20th anniversary in business. Triware held a reception for their clients and partners to honour the anniversary recently. For 20 years Triware hasbeenaleadingtechconsultingfirmin this province with special focuses on technological support. Congratulations Triware.

First oil Naclor Energy recently announced that its Hibernia South Extension Unit well has producedfirstoil.

Nalcor Energy Oil and Gas holds a 10 per cent working interest in the development, operated by ExxonMobil Canada Properties.“SeeingoilflowfromthefirstUnitwellatthe Hibernia South Extension, along with production from the White Rose Growth Project, are key to supporting our growth as we begin to see increased revenue from ouroilandgasinvestments–abenefittothe entire province,” said Jim Keating, Vice President, Nalcor Energy Oil and Gas in a statement. In addition to the Hibernia South Extension, Nalcor is a working co-venturer in two other offshore developments: the White Rose Growth Project and Hebron project.

London (and beyond) callingIt takes the same amount of time to travel to Grand Falls-Windsor as it does to London, England! How so? Although by two very different modesoftravel,adirectflightfromSt.John’s to London Heathrow U.K. takes onlyfive-hours.Forthesecondyearin a row, Air Canada is offering daily non-stop seasonal service between St. John’s and London Heathrow. This direct flightbeganMay26thandwillrununtilSeptember 26th, just in time for the peak summer travel season. This is the only non-stop service between Newfoundland and Labrador and Europe and provides afastandefficientwayoftravellingtoLondonandbeyond.AirCanadaflightAC822 departs St. John’s at 22:00, arriving inLondonat06:35,andflightAC823departs London at 13:00, arriving back inSt.John’sat15:00.Theseflightsaretimed to offer convenient connections to and from several European cities including the frequently traveled cities of Aberdeen and Stavanger by oil industry executives, particularly important with impending major resource developments like the Hebron project. Support from local business and leisure travelers for this route will enable this service to resume next year with the ultimate goal of eventually extending beyond the summer season.

Award-winning design Several Board of Trade members have been honoured with the awarding of the 27th annual Southcott Awards. The awards are handed out each year in recognition of buildings that are carefully restored or preserved. The Board’s members who were awarded are; The Javelin Building on Water Street, aka The Brother TI Murphy Centre, which was restored by Ron Fougere Architects, with the interiors by PHB Group, and developed by Marco Services and Killick Capital.

Littledale

Javelin Building

Membership


mEmbErS IN THE NEwS Full steam ahead Marine Atlantic has launched and is continuingitsfirstfullsummerschedulewithitsrenewedfleetandaddedamenities. The summer schedule started on June 17 and will continue until the fall. This year the ferry service has an increase of 25 per cent capacity and promises more reliable service for passengers.

Marine Atlantic says the schedule was developed with the interests of business and tourism sectors in mind. More changes will become evident in the coming seasons as Marine Atlantic continues with its five-yearrenewalplan.

Landells wins award Congratulations to the Landells Clinic which was recently awarded the 2011 Consumer Choice Award for Cosmetic Surgery for St. John’s and the surrounding regions. The clinic is thanking its clients and staff for helping it to win the award. “We have come a long way since Dr. Landellsfirstaddedcosmeticdermatologyto his medical practice a half day a week back in 1998,” says an e-mail newsletter thanking the clients.

MUN marketing wins more awards Memorial University’s marketing team has been taking home some serious hardware from national and international awards shows. The Council for the Advancement and Support of Education (CASE) , a Washington, D.C. based organization

representing communications, alumni and marketing professionals at universities worldwide,

awarded MUN a gold and two silver awards in its Circle of Excellence Awards program. CASE recently recognized MUN with fiveawards—twogold,twosilverandabronze—inits2011Prixd’excellenceawards.

CASE gave MUN a gold award for Best Institutional Relations Publication for its research report, “The Shining: Research Stars 2010,” a silver award in the Best in Design category; a gold in Best/Brochure/Newsletter/Flyer, silver in Best Print Ad or Poster, and a bronze award for Best Photograph. MUN’s other silver award from CASE came in the Individual Student Recruitment Publications category for the

2010 student recruitment view book, “A Zagger’s Guide to Memorial University.” “Wish You Were Here: President’s Report Highlights 2010” took home a gold award for Best Institutional Annual Report, and a video campaign to promote distance education called “The Course of Choice” won a silver award for Best PR/Marketing/Communications Initiative.

CorrectionIn last month’s edition of the Business News, a photo of Derek Sullivan, by Shane Kelly, appeared in the Member News section without attribution. The St. John’s Board of Trade regrets the error.

MembershipINdUSTry NEwS


Labour market update Given the number of job opportunities becoming available in the next few years – an estimated 70,000 – local businesses must create a business environment that is competitive globally. The Board of Trade suggests potential starting points for solutions, including:Mobile workforce – making the movementoflabourmoreefficientandeffective via a provincial transportation strategy;Extending the workforce lifespan – policies that make it easier for retirees to remain in the workforce if they choose or serve as mentors and transfer skills to younger workers;Repatriation – concentrating on recruiting expatriate residents who are familiar with our culture, climate and economy to help address near-term challenges; and,Increasing participation of underrepre-sented groups – looking at effective and efficientwaystoengagepeoplewhohaveskills to offer but haven’t had much attach-ment to the labour market in the past. Advocacy win in energy The St. John’s Board of Trade advocated for and got national support for a resolution that called on the federal government to work with the provinces and territories to develop a clear, forward-looking national policy on Canada’s electricity energy infrastructure needs in as timely a manner as possible. The federal government recently talked about developing such a plan.Somebenefitsofanationalstrategywould include:

Unlocking new clean and renewable •power sources, Increasing reliability and security of •power supply, and Facilitating interprovincial trade and •transmission of power.

A New Dawn A major milestone towards the Muskrat Falls project has been passed with the Labrador Innu Nation signing on to the Tshash Petapen (New Dawn) Agreements with the province.

Theagreementoutlinesthebenefitsoftheproject to the Innu Nation, and includes clauses that ensure priority employment and business opportunities for the Labrador Innu, a structured royalty regime, and compensation/redress for the impacts of the Upper Churchill on the Innu lands.The land claims agreement-in-principle is a non-binding agreement that will form thebasisfornegotiatingafinallandclaimsagreement or treaty. Upon signing it will bereleasedtothepublic.ItwilldefineInnutreaty rights and where those rights will apply in Labrador.Encouraging immigration The St. John’s Board of Trade welcomes more than $500,000 in funding for 22 immigration initiatives throughout the province. The province paired with the Association of New Canadians on the Settlement and Integration Program, designed to help newcomers fully engage in the social, economic, and cultural aspects of Newfoundland and Labrador. The Association for New Canadians uses the funding to offer programs like Career Connections, Diversity Training and English as a Second Language. Successful immigration boosts the province’s labour market and leads to more diversity and innovation. Research shows that places that integrate and accept new immigrants have a higher level of economic growth and development, have

higher levels of competitiveness, and are simply more innovative. Newfoundland and Labrador is full of welcoming, vibrant communities that offer a good home for newcomers from many places. The Board also welcomes the partnership process: providing on-the-ground organizations with targeted funding and letting the community deliver programs. This is the kind of method that can create a strong and sustainable economy throughout the province.Why a transportation strategy? The Board is advocating for a provincial transportation strategy, we believe the benefitsofsuchastrategywouldinclude:

better development of natural resources •in remote areas; giving our skilled workforce more •mobility, matching skills with opportunities;leveraging geographic location, which •naturally links with the U.S., Europe and the arctic;enhancing emergency response, public •transit and the environment; and,planning for long-term use of both public •and private assets all over the province.

“Possibly the main argument for a transportation strategy is this: if you don’t haveintegrated,efficientandeffectivetransportation links, you’re putting a ceiling on your own economy,” says Board Chair Jo Mark Zurel.

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Weight Watchers has been supporting members in weight loss and maintenance

for 40 years in Newfoundland and Labrador. We have recently relocated our major centre in St. John’s to the

upper level of the Village Mall. We have doubled our space, increased our staff and

extended our hours. This gives us three locations in St. John’s. Weight Watchers continues to be the leading weight loss and maintenance organization as we are built on the four corner stones of:

healthy eating, moderate activity, behavior modificationandgroupsupport.

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Atlantic DataSystems (ADS) is a leading technology consultancy and provider of enterprise resource planning (ERP) and

customer relationship management (CRM) software. The largest Sage Software

Business Partner (Sage Accpac and Sage BusinessVision) in Newfoundland and

Labrador, ADS has over 30 years of experience providing ERP solutions and IT services to growing businesses throughout Canada. These services include iSupport, a solution that gives small businesses access to monitored IT infrastructure and network

services, traditionally reserved for companies with large, in-house IT departments.

Headquartered in Newfoundland with recent expansion into Nova Scotia, New Brunswick and Ontario, our team of experts is committed

to helping small to midsized businesses leverage technology to achieve their goals. For more information and access to free

product demos, visitwww.atlanticdatasystems.com.

CWT Harvey’s Travel is proud to be one of the few NL based companies with extensive operations outside

the province -operating 22 branches throughout all 4 Atlantic Provinces.

We are also proud of our staff stability - average seniority is over 16 years with 49 employees with over 20 years and an employee turnover rate of less than 3%. We participate in the rigorous Towers

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NOIA is a leading advocate of the development of East Coast Canada’s oil & gas industry. With 500 members – and

counting – in Canada and around the world, we are Canada’s largest offshore

petroleum association.NOIA’s core members provide products and services for the petroleum industry

and associate members represent operators, trade associations, educational institutions and government bodies. Our constant growth in membership parallels

the staggering growth of the oil & gas sector in the region.

We keep our members in the know by offering market intelligence, business opportunity information, updates on industry and business trends, as well as innovative networking events and

marketing opportunities.Learn more at noianet.com

That Pro Look has been serving sports fans in the Greater St. John’s area,

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lUNcHEoN Presented by

Innovation: Decide. Discover. Do.

Come hear Jean-René Halde, president and CEO of the Business Development Bank of Canada (BDC), tell the stories

of three entrepreneurs – including a Newfoundlander – who have made

their businesses more competitive – and profitable!

Where: Sheraton Hotel NewfoundlandWhen: Thurs., Sept. 8Time: 12:30 p.m. Networking 1 p.m. LuncheonCost: $79 non-members $39.50 member discount

Upcoming Events


aUgUST EvENTSbUSINESS mIxEr

Co-hosted by

You are invited to a BBQ mixer. The Suncor Energy Fluvarium and COSTCO Wholesale is co-hosting

this event, providing Board of Trade members with the chance to meet

other members, exchange ideas, do business and meet new friends and

colleagues!

Where: The Suncor Energy FluvariumWhen: Thurs., Aug. 11Time: 4:30 – 6:30 p.m. Cost: Includedasabenefitof membership

Toconfirmyourattendancepleasecontact Wanda at 726-2961 ext.9 or email [email protected]

19th AnnualBUSINESS ExCELLENCE

AWARDS

It’s time to start thinking about your nominations for the St. John’s Board of Trade’s Business Excellence Awards. The Board’s most prestigious event of the year, the Awards honor the outstanding business achievements of our members. On Dec. 7, 2011 we will recognize their successes at a luncheon where awards will be handed out in several categories.

For more information or to request a nomination form please contact Shari at 726-2961, ext. 6 or email [email protected].

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For more information, call Lori at 1-877-258-0858 to book a meeting with our representative in early August.

mrlube.com

CONSISTENT PROFITS

CONSISTENT BUSINESS

Invest in one of Canada’s most profitable retail franchises, in St. John’s.There are 21 million vehicles in Canada and drivers expect them to last longer than ever before – so they come to Mr. Lube. As Canada’s dominant leader in preventive automotive maintenance, our franchises consistently deliver profitability – and it shows. With over 100 locations nationwide and a focus on Atlantic Canada, there’s never been a better time to own and operate a Mr. Lube. Ready for a change?

QUALITY ASSURANCE CHECKMECHANICAL: ■ SIZE ■ BLEED ■ KEYLINE

■ SPOT/�C ■ ML BLUE �� /��/�/�� ■ ML YELLOW �� /�/��/��CONTENT: ■ SPELL CHECK ■ OFFER/DISCLAIMER ■ VALID LOCATION�S�

■ EXPIRY DATE ■ CODE NUMBER ■ LOCATION NAME�S�PREPRESS: ■ OP CHECK ■ SEP CHECKCHECKED BY: HC JULY ��, ��

Business News August 2011

Documents

Transcript of Business News August 2011