THE FLOUR

DISTRIBUTOR PUBLISHED BY

THE NATIONAL ASSOCIATION OF

FLOUR DISTRIBUTORS, INC.

December 2016

www.thenafd.com

THE FLOUR DISTRIBUTOR

Letter from the President

December 2016

NAFD Members and Friends:

As the year draws to a close and we begin to contemplate our New Year’s

resolutions, I know mine will be to attend the 2017 NAFD Convention at the

beautiful Breakers Resort in West Palm Beach, Florida, from May 17 to 21, 2017.

That’s an easy resolution to keep.

This year’s convention will offer a great opportunity to stay up to date on the latest

trends and information as well as provide a fantastic celebration for networking with

all of our industry colleagues.

We are scheduled for five fun filled days at the iconic Breakers, an historic resort on

Florida’s Atlantic coast. Help NAFD make history there in 2017.

Resolve to join us in May.

Wishing you a happy and prosperous New Year,

Regards,

Phil Philip S. Zilka, Jr.

President

THE NATIONAL ASSOCIATION OF FLOUR DISTRIBUTORS

CHAIRMAN OF THE BOARD

ROBERT A. OLENDER

Jackson, MI

OFFICERS

PHILIP S. ZILKA JR. – President

Belle Vernon, PA

STEVE TARDELLA – 1st Vice President

Chicago, IL

MARK R. MUNROE – 2nd Vice President

Greenville, WI

NICHOLAS DEPALMA - Secretary/Treasurer

North Bergen, NJ

BOARD OF DIRECTORS

OFFICERS

Philip S. Zilka

Steve Tardella

Mark R. Munroe

Nicholas DePalma

IMMEDIATE PAST PRESIDENTS

Dominic S. Valente

Maspeth, NY

Erin M. Ruhl

Hanover, MD

Theodore (Ted) Heim, Jr.

N. Lindenhurst, NY

ALLIED REPRESENTATIVE

John Johansen

Saddle Brook, NJ

MILLER REPRESENTATIVE

Karen F. Horton

Troy, NY

ELECTED BOARD MEMBERS

J. Gerard Burns

St. Louis, MO

Ernest G. Brehm, Jr.

Yonkers, NY

Ted Lentz

Reading, PA

Eric Metzendorf

Jackson, MI

Robert A. Olender

Jackson, MI

Scott W. Panton

Taunton, MA

R. David Scruggs, Jr.

Little Rock, AR

Ashley Koerner-Turner

New Orleans, LA

John D. Traynor

Hamilton, ONT, Canada

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2016 - 2017 STANDING COMMITTEES

Executive – Philip Zilka Jr., Steve Tardella, Mark Munroe, Nicholas DePalma, Robert Olender

Nominating – Dominic Valente, Erin Ruhl, Theodore Heim Jr., Robert Olender

Finance & Audit – Ashley Koerner-Turner

Membership & Publicity – Mark Munroe, David Scruggs Jr., John Traynor, Karen Horton, John Johansen,

Ashley Koerner-Turner, Jeffrey Barnhart, J. Gerard Burns

Government Regulations & Trade Practices – Eric Metzendorf, John Sonderegger

Constitution & By-Laws – Ernest Brehm, Jr., Ted Lentz, Linda Tritto

OTHER COMMITTEES

Material Handling – Scott Panton, Rich Wise, Alan Gardner

Liaison to NAW – Eric Metzendorf & Ted Heim, Jr.

.

Trade Journals – John Sonderegger

Convention Site – Philip Zilka Jr.

Technology – Ashley Koerner-Turner

Education – Ted Heim Jr., Eric Metzendorf

Historical – Timothy Dove

ASSOCIATION EXECUTIVE

TIM DOVE

Association Services USA

Ohio Office

5350 Woodland Place, Canfield, OH 44406

Phone: (330) 718-6563 Fax: (877) 573-1230

E-mail: timdove51@gmail.com

Texas Office

111 Sweet Leaf Grove Lane

Conroe, Texas 77384

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NATIONAL ASSOCIATION OF FLOUR DISTRIBUTORS, INC.

BOARD MEETING - October 8, 2016

The Wynn Las Vegas, NV

WELCOME – Robert Olender, Chairman of the Board The board meeting was convened at 9:00 AM., and all board members were welcomed and thanked

for their attendance.

ROLL CALL – Nicholas DePalma, Secretary-Treasurer

Present: –David Scruggs Jr., Phil Zilka Jr., Ashley Koerner-Turner, Gerry Burns, Robert

Olender, Ted Heim Jr., Mark Munroe, Eric Metzendorf, Nicholas DePalma, John Johansen,

Karen Horton, Ernie Brehm Jr.,

Absent: – Erin Ruhl, Ted Lentz, Dominic Valente, Steve Tardella, Scott Panton, John

Traynor

A quorum is present.

MINUTES – Nicholas DePalma, Secretary/Treasurer The minutes from the May 2016 board meeting were presented. Ashley Koerner-Turner made a

motion to dispense with the reading of the minutes and accept them as submitted. Gerard Burns

seconded the motion which passed unanimously.

TREASURER’S REPORT- Nicholas DePalma, Secretary/Treasurer The year ended July 31, 2016, P & L and Balance Sheet and the Balance Sheet and banking

statements as of September 30, 2016, were reviewed by the board. The fiscal year end July 31,

2016, statements appear on page 14-16. Total assets as of 9/30/2016, are $173,228.18 ($96,056.62

Chase Checking; $77,171.56 Chase Savings). This includes $34,175 collected in dues. The NAFD

2016 P&L includes pre-paid deposits of $15,000 to future convention sites, $2,850 for 2018 golf,

and approximately $7,800 expensed for 2018 & 2019 site selection. Tax information was

submitted to the accountant and will be filed in October. Stop payment fees for 3 outstanding

checks will be stopped and bank will be notified. Karen Horton made a motion to accept the

financial reports as submitted; Mark Munroe seconded the motion and it passed unanimously.

EXECUTIVE SECRETARY REPORT – Timothy Dove, Executive Secretary Statistical reports on past membership, convention attendance and attrition, convention contract

costs and concessions, and convention registration fees and contributions were reviewed. Site

selection and other issues will be handled during the respective committee reports.

Total 2015/16 membership was 180. 2016/17 Membership fees received to date equal $34,175 for

124 paid members including 116 renewals & 8 new members. There are 12 pending verbal renewal

commitments and we have 4 honorary members. Currently there are 52 non-renewals, 6 of whom

are not renewing.

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Google Docs - Sites has been updated on a regular basis for board members to review and extract

pertinent information.

Membership (as of 9/30/16) 2016/17 % of Total

Honorary Members 4 3%

Fall New Members 8 6%

Spring New Members 0 0%

Pending Renewals 12 9%

Renewing Members 116 83%

Total Members 140 100%

OLD BUSINESS 2016 CONVENTON REPORT – Philip Zilka, Jr., President The “President’s Report” was reviewed that presents an historical analysis of data related to

conventions, membership, finances, and fees.

The Four Seasons, Palm Beach, Florida, was an excellent host for the 2016 convention. Beautiful

boutique, ocean front property with excellent staff and all budget projections were met. 105

members attended the convention including 13 new members with 171 total attendance including

significant others. Member attendance by category – 45 Distributors, 42 Allied/Suppliers 18

Millers. Room night total was 480.

The Convention P&L reflected excess funds of approximately $29,287.

Convention Survey & Analysis – Mark Munroe, 2nd Vice President

The results of the post-convention survey were reviewed. There were 87 respondents of the 105

attendees. Excellent/Good ratings were as follows: Location 95%; Resort 98%; F&B 93%;

Evening Social Programs 98% and Business Programs 93%, overall convention 99%. Speakers:

Alan Beaulieu, ITR Economics, 97%; Ryan Jenkins 89%; and Paul Meyers 66%. The Wednesday

– Sunday venue is the preferred format.

SITE COMMITTEE REPORT- Philip Zilka, Jr., President, & Timothy Dove,

Executive Secretary.

The NAFD is contracted for the next three years at AAA 4 or 5-Diamond resorts and the room

blocks at the future contracted sites have been increased to net at approximately 385 after attrition

provisions. (450 – 480 rooms depending on 15% or 20% attrition allowance.).

CONVENTIONS

2017 The Breakers, Palm Beach, Florida – May 17 – 21, 2017

The Breakers is one of the premier resorts in America and is seldom available for booking

large new groups.

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Reservation deadline: March 31 2017. Room block: Mon-5 / Tues-50 / Wed-120 / Thurs-

120 / Fri-120 / Sat-110; 525 room nights; 20% attrition – guarantee 420 room nights.

Room rate $310 plus tax (currently 12%), no resort fee, no self-parking. Maximum 4 people

per room; no additional charge for children under 17 staying in the same guest room; group

rate 3 days pre & post (based upon availability). 10% discount from 2014/2015 menu prices

or minimum per person rates for custom dining events: Continental $30++; Stations

$125++; Buffett $140++; Plated Dinner $135++; Alcohol 1.5 oz. pour; 22% service charge;

6% tax. 20% discount - AV & Business Center services; 15% discount - Spa services; 1/50

complimentary rooms credit; 50% discount - planner room (2); no bartender fees for event

beverage consumption greater than $3,000; Chairman & 1st VP suites at group rate;

Complimentary: President’s Suite; meeting space; standard linens; five valet parking;

three airport transfers; five VIP amenities; wireless internet in rooms and meeting space;

three easels for signage; 8 room nights for site and pre-planning visit. Golf: Ocean Course

includes lunch - $175 per golfer. www.thebreakers.com

2018 Bacara Resort & Spa – May 2 – 6, 2018 – Mark Munroe, 2nd Vice President

Beautiful boutique resort overlooking ocean - 10 minutes from Santa Barbara, 40 minutes

from original wine country, 15 minutes from “Old Hollywood,” 5 minutes to golf course

overlooking ocean. Best alternative is to fly into Santa Barbara, even though it may require

connecting flights, then to fly into LAX which can take up to 2 hours’ drive time.

Room rate $320; $15 Resort Fee; $4 Tourism Tax, 12.195% Occupancy Tax (subject to

change) per night. $6 porterage R/T added to individual folio. Housekeeping discretionary.

No self-parking, $30 per night valet parking. $4,500 rental fee for outside or pool events.

15% total attrition allowance. F&B - minimum $65,000 (tax 8.0975%), 10% discount on

2017 menu prices, service charge 23%, 1.5 oz. pour. Golf charge, including lunch, will be

$175. www.bacararesort.com

2019 Westin Grand Cayman Seven Mile Beach Resort & Spa – May 15 – 19, 2019 -

Mark Munroe, 2nd Vice President

NAFD 100th Anniversary Celebration. Seven Mile Beach voted one of the best beaches in

the world. All rooms have ocean view. Great off-site dinner options.

Room rate $299; $30 Resort Fee; 23% Tax (subject to change) & service charge per night

(includes bellman, porterage & housekeeping). 20% total attrition allowance. F&B -

minimum $35,000 (no tax), 10% discount on 2018 menu prices, service charge 16%, 2.0

oz. pour. Golf TBD. www.westingrandcayman.com

INTERIM BOARD MEETINGS - Timothy Dove, Executive Secretary

2017 - Andaz, Savannah, GA, October 21, 2017.

45 room nights - 10% attrition. Valet Parking $26/nt. Free side street parking. No resort

fee. Complimentary wireless internet in guestrooms & meeting space. Room rates: Andaz

King $289; Andaz Queen $319; Andaz Loft Suite $319; Andaz Suite $349. Reservation

cut-off: 9/30/2017. www.savannah.andaz.hyatt.com

2018 – (TBD) - October 20 Ernest Brehm Jr. will check several sites in NE. Other consideration for interim and future

convention are coastal South Carolina and Georgia. Interim sites should be no more than 1

8

hour away from a major airport. West coast Florida is also in line for 2020 convention

consideration.

INSURANCE COMMITTEE – Mark Munroe, 2nd Vice President

Explored cancellation insurance in the event of convention cancellation. Cost of approximately

$1,300. Minimum coverage is $250,000 (Lloyd’s of London). Does not protect for low attendance

(attrition penalties) even if due to unforeseen circumstances (example: Zika). As likelihood of

entire convention cancellation is minimal, decision made to not purchase insurance and to self-

insure. Try to include some of the coverages into future NAFD addendum and enhance the Force

Majeure clause within the contract or NAFD addendum to incorporate as many risks as possible.

CONTRACT ADDENDUM COMMITTEE – Mark Munroe, 2nd Vice President

An NAFD addendum is submitted to each resort when a proposal is requested. Although most

will not agree with all the addendum concessions and articles, the objective is to maximize our

financial objectives and minimize our risks. The three articles that present the most risk and

require most scrutiny are Indemnification, Force Majeure, and Cancellation clauses. Mutual

indemnification is necessary and our goal is to minimize cost exposure in case of the unlikely event

of NAFD cancellation or attrition.

ALLIED/MILLER REPORT – Karen Horton, Miller Representative / John Johansen, Allied

Representative Karen Horton reported that 7 millers, ADM, Ardent, Bay State, General Mills, Grain Craft, North

Dakota Mills, and new sponsor, Miller Milling, made $1200 contributions to the 2016 convention.

King Arthur also provided a $750 contribution.

The Miller standard sponsor contribution level has been $1,200 since 2005. There were no

objections when Millers were contacted to affirm an increase in standard sponsor contribution

level to $1,500 beginning in 2017. Both Panhandle Milling and Guisto’s are considering

sponsorship for 2017. Star of the West and Mennel Milling will again be contacted by the end of

the year along with several soft wheat and corn millers. Karen Horton will send out her letter with

an invoice by February 1 requesting sponsor contributions for the 2017 convention.

Numerous Miller icons who have been NAFD members will or have retired recently. Not all will

be replaced as NAFD members. Miller companies are limiting membership to a specific number

of participants.

Industry trends and issues include whole grains, organic, food safety & security and

consolidations.

John Johansen reported there were 26 Allied Sponsors for the 2016 Convention (see Sponsors list

on page 12) including returning sponsor IFC Products. New Sponsors included Agricor Inc., Ultra

Trading International LTD, Win-Win Brokerage, and Legacy Foodservice Alliance. Unfortunately,

Puratos and Ventura Foods elected not to sponsor this year but may consider for next year. Other

sponsors who still retain representative membership but have elected not to sponsor in the past

several years include Advantage Waypoint, Southern Champion Tray, Lesaffre Yeast, and Barry

Callebaut. Allieds determine any revisions to the sponsorship level. Standard sponsor amount is

$750 but includes both larger amounts contributed from several larger national companies and

smaller amounts from several smaller regional companies. Several larger companies have

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suggested they would provide additional funds to help enhance the business programs. Sponsor

level increases will be considered every 3-4 years. In December, those companies who have not

contributed will be contacted to insure they make 2017 budget provisions for a NAFD contribution.

A Corporate Sponsor letter along with an invoice will be sent by February 1 requesting

contributions for the 2017 convention.

The New Jersey Bakers Association will honor Vic Frumolt, American Almond, on November 19,

at the Manor Restaurant, Orange, NJ, for his contributions to the industry.

Two evening cocktail receptions, two hospitality nights and the beverages at golf, volleyball and

corn-hole tournaments were sponsored by these Allied and Miller sponsor contributions and

appropriate recognition and signage was posted.

Board members are reminded to personally thank the Millers and Allieds throughout the year for

their participation and contribution to the NAFD convention.

MEMBER BENEFITS – Mark Munroe – Chairman

Beginning August 1, members are receiving, via email, The Kiplinger Letter (weekly) and

Kiplinger’s Personal Finance Adviser (monthly). This adds over $100 value to membership in

the NAFD.

MEMBERSHIP CLASSIFICATION COMMITTEE – Phil Zilka Jr., President

Pizza and Foodservice distributors have their own associations. There is a question regarding

wholesale food distributors which, as part of their operation, distribute flour and/or bakery

products and ingredients to supermarket chains, restaurants, and other retail outlets. Although

flour and bakery products do not constitute 60% of revenue, they may have a separate bakery

products manager who is primarily devoted to a substantial bakery products category. We have

current members who fit this categorization. A challenge is that in some cases, these distributors

may also be a bakery distributor’s customer. Therefore, should we accept applications or solicit

membership from wholesale distributors who distribute bakery products? Topic will be reviewed

via conference call in December.

By-Laws ARTICLE I

MEMBERSHIP

Sec. 1 Any individual engaged in the manufacture, sale or distribution of flour or bakery

ingredients may become a member of this corporation.

Membership Categories (Current - Does not appear in By-laws)

A Distributor – An individual who works for a company that derives 60% or more of their business from the

distribution of products other than their own manufacturing.

Manufacturer/Allied – An individual who spends 60% or more of their time not in distribution related duties,

but rather in corporate management or manufacturing.

Flour Miller – An individual who works for a company whose primary function is the processing of flour.

Broker – An individual who derives their primary income from commissions by connecting two parties and

does not take title to product.

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Publisher – An individual in the Trade Journal or other publishing business.

Other – If you do not fit any category above, please describe your job and your company’s function.

Proposed Membership Classifications

Distributors – A person classified as a distributor is one who spends 51% or more of his/her time, and/or

whose business unit enjoys 51% or more of its revenues, from re-selling bakery-related products to non-

consuming customers.

Millers – A person classified as a miller is one who is employed by a company, or segment of a company,

that employs the milling process of wheat as the basis for 51% or more of its revenue.

Supplier/Allied – Allied members are those who, as a focus of their business, sell goods and/or services to

the baking industry but are not millers or distributors, as defined above.

Retired from Industry – A person classified as retired from the industry is any NAFD member in good

standing that retires from, or otherwise leaves, the baking industry and its allied industries. Should a retired

member re-enter the baking industry, he/she must re-apply for membership per his/her new employment

status.

In general, associations are expanding their membership qualifications to maintain membership as

industry consolidations occur. Currently we have an application from a company that sells

equipment sensors / safety equipment. Do they meet the current requirement for membership?

MEMBERSHIP & PUBLICITY COMMITTEE – Mark Munroe- 2nd VP A “Non-Renewal List” was provided to Board Members who are asked to personally contact those

members who have not renewed. The Committee will concentrate on “Non-Renewals” and then

the “Potential Member List.” An email will be sent to each member requesting that they recruit a

new member, “One for One-Hundred” campaign. Committee will explore potential

benefits/rewards for recruiting a new member and provide recommendations at the next board

meeting. Timing is of the essence as budgets are being established.

Distribution of grains and brewing products to micro-brewers is an opportunity for our distributors

and for additional NAFD members

New members commented that they felt somewhat excluded during the final banquet. A board

member is assigned to host a new member and should invite them to sit at their table at the banquet.

CONSTITUTION & BY-LAWS – Ernie Brehm Jr., Director & Committee Chairman The eligibility for directors on the board was discussed. Historically, directors had to be active in

the distribution industry except for the later inclusion of an Allied and a Miller representative.

Suppliers join the NAFD and come to the convention to associate and network with distributor

members who have the potential to move their business forward. Directors are the most visible

distributors for the Association and a retiree does not present this opportunity for suppliers. There

is precedent that a retiree cannot serve as a director. In December, the board will consider methods

to retain the benefits associated with experienced, but retired, members while assuring the board

represents active bakery distributors.

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NOMINATING COMMITTEE – Robert Olender, Chairman There will be three directors’ terms expiring at our May 2017 convention, J. Gerard Burns, Ted

Lentz, and Ashley Koerner-Turner. In addition, the terms of all officers and chairman will be

expiring. The committee will review candidates, including those current expiring-term members,

to fill any open positions.

TECHNOLOGY – Ashley Koerner - Chairman Website data has been updated– www.thenafd.com. Members are encouraged to utilize our

website and board members are encouraged to access Google Docs – Sites on a regular basis. This

can be accessed through our website.

Potential website alternatives were presented that provide more modern concepts and interactive

approaches. Goal would be to enhance marketing efforts and enhance the interactive component

for members, including membership application, convention registration and NAFD publications.

Demonstrated were potentials for interactive email, convention site information, links to speakers,

potential links to member websites. Set-up would be $1,500 with a monthly hosting and

maintenance fee of $15-$20 per month. Rate is $150 per hour to update website unless we can do

so ourselves. Currently, our vendor, Strong Group, adds information to the website once per year

at the cost of $1,300 annually and the cost of hosting is approximately $10 per month ($350/three

years). We also invite members who might share their company’s technological expertise to assist

with this program. The committee was directed to move forward with the recommendation to

switch vendors and enhance the website.

Mobile apps that provide members with updates and instant mobile information can require

substantial cost and there is question to how much our members would use them.

EDUCATION COMMITTEE – Ted Heim Jr. - Chairman No requests were submitted by the convention committee to explore additional business programs

or speakers; however, the committee will explore enhancing future Saturday programs utilizing

members and best practices.

NAW COMMITTEE – Eric Metzendorf – Chairman

NAFD members are automatically affiliate members of the NAW which provides both educational

materials/programs and government representation on activities pertinent to the distribution

industry.

OTHER UNFINISHED BUSINESS No additional unfinished business.

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NEW BUSINESS

2017 CONVENTION REPORT –- Mark Munroe, 2nd Vice President

The Breakers, Palm Beach, Florida – May 17 – 21, 2017

The Breakers pre-planning visit (PPV) is scheduled for December 12, 2016, at which time options

for events, venues, entertainment, décor, and F&B will be reviewed and decisions made. Business

programs are an essential part of the convention and Allied/Miller attendance justification. The

tentative agenda can be found on page 17. This agenda will be emailed to members in advance.

SPEAKERS

Jack Bobo – Thursday, May 18 - Keynote Speaker

Sr VP and Communications officer of Intrexon Synthetic, a Biology company

developing solutions to the world's most pressing problems in food, energy, and

health.

Jack was named as one of the 100 most influential people in biotechnology, by

a leading Science publication

Jack spent 13 years with the US Dept. of State as a Senior Advisor on Global

Food Policy, Biotech, and Agricultural trade.

Recently he has been a speaker at:

International Food Technology Summit in China

Global Bio Economy Summit in Germany

Food Safety Summit in Baltimore

Food Trends in Ireland

Mr. Bobo will focus his speech to us on GMO's, biotech policy and " Can

Agriculture Save the Planet Before It Destroys It"

I had mentioned over dinner in Palm Beach my desire to have a speaker address

GMO's. In the conversation was Kate Olender. Kate immediately mentioned Jack

Bobo, and introduced me in email to Jack. I am thrilled that we could get such a

dynamic speaker, and am very grateful to Kate for her help.

My intent is to market Jack and his credentials as we get closer to registration. I would

think someone like him would be a draw for attendance.

Marjorie Troxel Hellmer – Friday, May 19

President of Cypress Research Associates.

Ms. Troxel-Hellmer will present an "Industry Research Spotlight" on

Trends in US Retail Bakery, operations, and Supplier Satisfaction, from a

2017 study findings from Sosland sponsored Bake Magazine Research.

In our survey, requests were made for a speaker to address Bakery trends. I contacted

John Sonderegger from Sosland, for assistance. John stepped up BIG TIME, and

Sosland agreed to fund a Cypress 2017 study for new research on Retail Bakery

operations, usage, and attitudes.

The study's findings will be introduced at The NAFD 2017 convention, presented by

Marjorie, and then will be published in Bake's August 2017 issue.

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Paul Meyers - Saturday, May 20.

Vice President of ForesightCSI.com

Mr. Meyer is a commodity expert and will address the current commodity

markets, offering opinions on where he believes pricing is trending.

SOCIAL

Spouse Breakfast - Thursday, May 18

Golf – Friday, May 19

The Breakers Ocean Course, on property. 1:00 PM Scramble.

The Ocean Course is the Oldest 18-hole course in Florida, and has won Golf

Magazine's Gold Premier Resort award.

Banquet - Saturday, May 20

Shakedown Previously performed for NAFD at Cheeca Lodge, Ritz Key

Biscayne and last year at The Four Seasons. Banquet will be held

in the beautiful and historic, The Circle Room, and a 2 or 3-piece

segment of Shakedown will play during dinner to keep the music

volume at a conversation conducive level.

CONVENTION REGISTRATION FEES – Robert Olender, Chairman After reviewing estimated costs versus budget, and much discussion regarding increasing

registration fees in anticipation of higher costs for 2017, Ernie Brehm Jr. made a motion to increase

the member only registration amount by $50. There was no second and the motion failed.

Therefore, the registration fees will remain unchanged, however, if after the December PPV, any

unanticipated expenses are discovered that need to be addressed, the President will be informed

and he may initiate board action.

2017 Registration Fees

Prior to March 1st March 1st thru 31st after April 1st

Member & Spouse $1695 $1795 $1895

Member - Individual $1025 $1095 $1195

---------------------------------------------------------------------------------------------------------------------

Non-Member/Guest & Spouse $2195 $2295 $2395

Non-Member/Guest Individual $1525 $1595 $1695

NEW MEMBER APPLICATIONS- Mark Munroe, 2nd VP & Membership Committee

The following applications for membership have been received. Mark Munroe made a motion to

accept these new members which was seconded by Ted Heim Jr. Much discussion ensued that

culminated in directing the Constitution & By-Laws Committee and the Membership

Classification Committee to meet and propose changes. The new members were approved.

Cannell, Eli North American Sales Manager Sesotle, Inc.

Coburn, Lori Sales Hughson Nut, Inc

Dacus, Tad Sales | Sales Manager, Central U.S. Southern Champion Tray, LP

Raposa, John President J.A.R. Bakers Supply, Inc.

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Tan, Tom Director of Marketing Prime Pastries

Tardella, James Strategic Account Manager Tardella Foods, Inc.

Heald, Bradley Director of Bakery Flour Sales King Arthur Flour Company

Board members were encouraged to help in recruiting new prospects.

HONORARIUMS Nicholas DePalma reported that a $1500 Honorarium in the name of Marvin Olender, 2016

Tanner/Gardner Award recipient, was presented to the AIB and a letter of appreciation was

received. Gerry Burns made a motion to keep the director honorariums at $500 for those board

members present at the Interim Board Meeting. Seconded by Steve Ted Heim Jr. Motion passed

unanimously.

OTHER NEW BUSINESS

100th ANNIVERSARY CONVENTION COMMEMORATIVE Discussion to provide a NAFD 100th Anniversary commemorative for attendees in 2019. This

could be included within the budget covered by registration fees and/or requests could be made

for all member companies, including distributors, to contribute toward this commemorative.

ANNOUNCEMENTS

Stuart Zimmerman, a long-time member, former president and chairman, and honorary member is

suffering health challenges. The Board wishes him and early and complete recovery.

ADJOURNMENT Motion to adjourn by Gerry Burns; seconded by David Scruggs, Jr. Motion passed unanimously.

12:05 PM.

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National Association of Flour Distributors Inc.

Balance Sheet As of September 30, 2016

Total

ASSETS

Current Assets

Bank Accounts

Chase Checking 96,056.62

Chase Savings 77,171.56

Total Bank Accounts

173,228.18

Total Current Assets

173,228.18

TOTAL ASSETS

173,228.18

LIABILITIES AND EQUITY

Liabilities

Total Liabilities

Equity

Opening Balance Equity 90,405.38

Retained Earnings 57,347.72

Net Income 25,475.08

Total Equity

173,228.18

TOTAL LIABILITIES AND EQUITY

173,228.18

National Association of Flour Distributors Inc.

Balance Sheet As of July 31, 2016

Total

ASSETS

Current Assets

Bank Accounts

Chase Checking 70,586.84

Chase Savings 77,166.26

Total Bank Accounts 147,753.10

Total Current Assets 147,753.10

TOTAL ASSETS 147,753.10

LIABILITIES AND EQUITY

Liabilities

Total Liabilities

Equity

Opening Balance Equity 90,405.38

Retained Earnings 48,202.72

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Net Income 9,145.00

Total Equity 147,753.10

TOTAL LIABILITIES AND EQUITY 147,753.10

National Association of Flour Distributors Inc.

Profit and Loss August 2015 - July 2016

Total

Income

Membership Dues 57,303.00

Non-Profit Income 1,050.00

Allied/Supplier Sponsorship 18,125.00

Golf 9,775.00

Miller Sponsorship 9,150.00

Registration Income 153,110.00

Total Non-Profit Income 191,210.00

Other Primary Income 70.00

Total Income 248,583.00

Gross Profit 248,583.00

Expenses

Admin, Office Expenses & Supplies 1,951.92

Advertising & Website 1,895.00

Bank Charges 105.00

Convention Deposits - Prepaid 15,000.00

Convention Expense 1,200.00

Admin Costs 1,127.23

Entertainers 15,340.00

Exec Sec Expenses 1,591.94

Food & Beverage 100,877.12

Golf 10,561.20

Site Visit 8,364.16

Speakers 20,588.06

Total Convention Expense 159,649.71

Dues NAW & Kiplinger 1,960.00

Insurance 2,392.00

Interim Board Meeting 4,476.86

Printing, publications, postage, & shipping 2,276.83

Professional Fees and other payments to independent contractors

Honorariums 9,000.00

Professional Fees 31,949.96

Commission Adjust Room Rate 2,750.57

On-Site Fees - Convention 4,200.00

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On-Site Fees - Interim 1,200.00

Total Professional Fees 40,100.53

Tax Preparation 525.00

Total Professional Fees and other payments to independent contractors 49,625.53

Total Expenses 239,332.85

Net Operating Income 9,250.15

Other Income

Interest Earned 30.62

Total Other Income 30.62

Other Expenses

Other Miscellaneous Expense 135.77

Total Other Expenses 135.77

Net Other Income 105.15

Net Income 9,145.00

18

CONVENTION SPONSORS

The following companies made sponsor contributions to

assure the success of the 2016 NAFD Convention

FLOUR MILL SPONSORS

ADM Milling

Ardent Mills

Bay State Milling Company

General Mills

Grain Craft

King Arthur Flour

Miller Milling

North Dakota Mill

ALLIED & OTHER SPONSORS

Abel & Schafer, Inc.

Agricor, Inc.

American Almond Products Co., Inc.

Bake’n Joy Foods

Legacy Foodservice Alliance/BDNA

Byrnes & Kiefer Co.

Corbion - Caravan

CSM Bakery Solutions

Dawn Food Products Inc.

Efco Products Inc.

General Mills/Pillsbury

Guittard Chocolate Company

I. Rice & Co., Inc.

IFC Products, Inc.

Lallemand-American Yeast Sales

Lawrence Foods Inc.

Malt Products

Paul Esposito Inc.

Prime Pastries

Rich Products Corporation/Flavor Right Foods

Sosland Publishing Company

Stratas Foods LLC.

The PROgram

Ultra Trading International LTD

W. A. Cleary Products

Win-Win Brokerage LLC

19

NATIONAL ASSOCIATION OF FLOUR DISTRIBUTORS

BOARD OF DIRECTORS

2016 - 2017

Left to Right – Seated: Nicholas DePalma (Secretary/Treasurer), Philip S. Zilka Jr. (President); Robert A.

Olender (Chairman), Steve Tardella (1st Vice President), Standing: Ernest Brehm Jr., R. David Scruggs Jr.,

Karen F. Horton, John Johansen (New Allied Representative), J. Gerard Burns, Scott W. Panton, Dominic S.

Valente, Eric Metzendorf, Theodore P. Heim Jr., Mark R. Munroe (2nd Vice President). Missing from Photo –

Ted Lentz, Erin M. Ruhl, John D. Traynor, Ashley Koerner-Turner

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N A F D 98th ANNUAL CONVENTION

May 17 - 21, 2017 Tentative Agenda

Wednesday, May 17

8:00 AM Pre-Board of Directors’ Meeting Continental Breakfast

9:00 AM - 12 Noon Board of Directors’ Meeting

1:30 – 4:30 PM Registration

6:00 – 7:00 PM New Member Reception - Business Casual or Resort Chic

7:00 – 10:00 PM Dinner - Business Casual or Resort Chic

Thursday, May 18

7:45 AM Continental Breakfast – Business Casual or Resort Chic

8:30 – 9:00 AM General Session

9:00 AM Speaker – Jack A. Bobo, Intrexon Corporation

9:00 – 10:30 AM Spouse/Companion Continental

10:30 AM Coffee Break

10:45 AM Speaker

11:30 AM Adjournment

1:30 - 4:00 PM Volleyball & Corn Hole

7:00 - 10:00 PM Dinner – Business Casual or Resort Chic

Friday, May 19

7:45 AM Continental Breakfast – Business Casual or Resort Chic

8:45 AM Speaker

10:15 AM Coffee Break

10:30 AM Speaker – Marjorie Hellmer, Cypress Research Associates, LLC

12 Noon Adjournment

1:00 PM Golf Tournament & Golfers’ Lunch – Breakers Ocean Course

Evening Dinner on Your Own

Saturday, May 20

8:00 AM Continental Breakfast - Business Casual or Resort Chic

9:00 AM Speaker – Paul Meyers, ForesightCSI.com

10:30 AM Coffee Break

10:45 AM General Meeting – Committee Reports

12:00 Noon Adjournment

12:10 - 1:00 PM Board Meeting

6:00 - 7:00 PM Cocktail Reception

7:00 – 7:30 PM Award & Presentations

7:30 -10:30 PM Dinner Banquet (Business/Business Formal - Sport Coats/Suits - Ties optional) - Shakedown

The above is for informational purposes only. Times and events are subject to change.

21

Future Conventions

Mark Your Calendar

98th Annual Convention – 2017

The Breakers Palm Beach, Florida

May 17 (Wed) – 21 (Sun), 2017

www.thebreakers.com

99th Annual Convention – 2018

Bacara Resort & Spa Santa Barbara, California

May 2 (Wed) – 6 (Sun), 2018 www.bacararesort.com

100th Annual Convention – 2019

The Westin Grand Cayman Seven Mile Beach Resort & Spa Seven Mile Beach, Cayman Islands

May 15 (Wed) – 19 (Sun), 2019 www.westingrandcayman.com/

www.thenafd.com

N A F D 97th ANNUAL CONVENTION

May 3rd-7th, 2016

ASSOCIATION EXECUTIVE

TIM DOVE

Association Services USA

Ohio Office

5350 Woodland Place, Canfield, OH 44406

Phone: (330) 718-6563 Fax: (877) 573-1230

E-mail: timdove51@gmail.com

Texas Office

111 Sweet Leaf Grove Lane

Conroe, TX 77384