1. Best of the Best 2013
BEST OF THE BEST 2013
The holidays are behind us
and a new year has begun.
It is at this time I sit back and
take stock of our Company and
the industry we service. The
number of C-Stores in the U.S.
grew by 1.4%, to over 151,000
stores in 2013. C-Stores account
for over 36% of all retail stores
in the US. Keep in mind our
market share is only 5% of all
the products purchased and
sold in the industry. At the end
of the day, Core-Mark has a small share of the C-Store Industry with
great opportunity to grow.
2013 was also a year of growth for
the Company. We continue to be
the supplier of choice to the major
convenience retailers in the US and
Canada. We had three large chains
select Core-Mark to be their supply
partner. We offer a sustainable
competitive advantage which helps
our customers achieve their goals and grow their sales profitably.
In addition, our more recent acquisition, JT Davenport, became our
30th Core-Mark division (the Carolina division) and embarked on
the successful completion of converting their systems and work
processes onto Core-Mark’s platform.
I am, as always, very optimistic about our future. We will continue
to Grow our Market Share by differentiating ourselves from our
competitors, focus on Making our Independent Retailers Relevant
and More Profitable and at the end of the day, by doing the above,
we will grow our Income Faster than Expenses. We do this by
executing our Core-Strategies, Vendor Consolidation Initiative, Fresh
Initiative, Focused Marketing Initiative and Acquisitions.
All of the above sounds easy when you say it fast, but it takes the
dedication, commitment and desire for Excellence from each and
every member of the Core-Mark family. A perfect lead in to our
theme for 2014: Cultivating Excellence.
At the recent Division President meeting, we broke from tradition
and had a guest speaker, Coach Bob Ladouceur (“Coach Lad”).
Coach Lad coached football at De La Salle High School located in
Northern California for over 30 years and holds a record 151 game,
12 year run of consecutive wins. Coach Lad is a humble and soft
spoken gentleman (unusual for a coach). His leadership style is not
about winning but about a desire to Cultivate Excellence within his
players and his team. At the end of the day, by Cultivating Excellence
throughout his organization he compiled the winning statistics
mentioned above. Core-Mark is a very large team with each “player”
fulfilling a role which is critical to the success of the total Company.
From maintaining a safe and clean environment, to ordering the
right product, to selecting the right product, to delivering the right
product, we strive to provide Excellent and Unparalleled Service to
our customers, day in and day out. We can only do this if we are all
committed to making this the
best Distribution Company in the
industry. We must continue to
develop ourselves and each other
so we can all provide the best
products, solutions and services
to our customers.
The future is bright for your
company and I look forward to our
journey together.
With Deepest Regards and Respect,
Tom Perkins
A MESSAGE FROM
THE PRESIDENT
2014
Excellence
CULTIVATING
2. Each year, we recognize the “Best of the Best”. From Driver of the Year to Controller of the Year to Division President of
the Year, it is very important to not only give recognition but to take note of what great performers do and how they do it.
Carl Parker, Corona, Division President of the Year
Carl Parker was named the Division President
of Corona in January 2010. He was living a very
comfortable life in Bakersfield, where he had already
earned a Division President Best of the Best award
in 2004, but accepted the challenge of running
“the Mothership”. He accepted this challenge largely
due to the company’s need, rather than his family’s.
Carl’s family stayed in Bakersfield for his children to
not have to change schools and Carl began a 4 year
sojourn of commuting “home” on the weekends,
while living in an apartment in Corona. To make
matters worse, at least initially, Corona had taken a significant unplanned price
reduction to their largest customer at about the exact same time as Carl’s arrival.
2010 was a tough year for Corona and the other California divisions that shared
this customer. Staff Meetings were replaced by Margin Meetings. It was virtually
impossible to recover the margins that were lost and very difficult to cut expenses
when the sales and work were still there. Corona finished 2010 at 43% of their
business plan. Carl had to have been second-guessing his decision to accept
the challenge of running Corona.
Flash forward to 2013.
•Corona has grown their non-cigarette sales by 31% since 2010, 10% of this
was in 2013 alone
•Corona grew their margin NSI 53 basis points in 2013
•Despite a $483K negative swing in Worker’s Comp charges vs PY, Corona
grows it’s PTNP by 25.8% and finishes the year over 16% above Plan
All of this was accomplished with a new Purchasing Manager, who in fact
contributed half of the margin gain, and significant expenses incurred
in preparing to onboard a major new customer. Carl led the team in Corona
to reassert themselves not just among Core-Mark’s top operating divisions,
but to once again be the flagship of the fleet.
The company salutes Carl Parker’s dedication in assuming the Captaincy
of Corona and congratulates Carl and his team on an outstanding 2013.
Before being named 2013’s Best of the Best, Carl accepted an opportunity
to return “home” to Bakersfield. Job very well done!
Bryan Alger, Salt Lake City, General Sales Manager of the Year
Bryan Alger, this year’s Best of the Best General Sales
Manager, wasn’t originally nominated by his Division
President. That’s because, as of December 15, 2013,
upon Bryan’s promotion to Division President,
modesty prevented him from nominating himself.
However, when the results were analyzed, the
conclusion was undeniable.
Bryan and his team had an outstanding year
finishing almost 100% to plan in overall sales and
growing their non-cigarette sales by 13% to prior
year. As stated in our mission statement of being
the most valued marketer in “fresh”, the SLC division believes growing fresh sales
is one core-strategy that will differentiate us and ultimately help our customers be
more relevant in the marketplace. By partnering with both the local fresh vendor
community and with their customers, Bryan and his team grew their fresh sales to
11.4% of their overall non-cigarette sales which exceeded plan and is the second
highest in the company. A second core-strategy they believe will help them
sustain long-term sales and profits are the Vendor Consolidation Initiatives. They
added almost $8M in incremental VCI Fresh sales this year which was also among
the best results in the company. A third core-strategy and a key driver of their
overall 2013 sales came from market share growth. SLC added 92 net new accounts
in 2013 or 11% market share growth. Bryan also understood the importance of
managing his selling expenses finishing at 95% to plan. With the contributions of
the SLC division’s sales team under Bryan’s leadership, the division finished the year
with their highest PTNP ever and one of the best overall PTNP in the company. It is
no surprise that he was promoted to be the new Division President of the Salt Lake
City division in January of 2014, when Jim Thompson retired. We know he will do
an outstanding job leading a great SLC team into the future.
Randy Wayland, Portland, Purchasing Manager of the Year
Randy Wayland is this year’s Purchasing Manager of
the Year. Once again, Randy has had an exemplary
year. He was also awarded Best of the Best in 2000
and 2007. He truly manages the purchasing for both
the Portland and Grants Pass divisions by actively
seeking ways to improve merchandise income
opportunities through forward purchasing, deal
buying and marketing while managing inventory
control. In addition, Randy is an intricate contributor
in the relationship with Portland’s largest customer,
Plaid Pantry.
Randy has a great relationship with all departments at both divisions. He attends
sales meetings, rides with sales people, and negotiates with vendors to provide
optimum marketing and promotional opportunities. Randy works diligently with
operations, always keeping in mind the limitations associated with a finite space.
As usual, Randy’s fill rate was exceptional. NSI has increased by $1.3M from prior
year. Also, Non-Cig DCOS has improved by 1 full day since 2012.
This year Randy improved his non-cigarette MI percentage by 23 basis points in
Portland and by 10 basis points without the help of inflation. Randy accomplished
this by attending the Candy Show, the DOT Show and doing non-traditional
promotions with vendors which enhanced their sales and distribution of product
in ways that had not been tried before.
Congratulations Randy!
Janine Brooks, Tampa, Controller of the Year
We always have a number of quality candidates who
stand out for many different reasons or in particular
areas of influence. In evaluating the nominations this
year, the tipping point came down to Leadership and
Attitude, traits that cultivate excellence throughout
the organization. Tampa’s metrics were solid as well,
DSO 0.8 days less than plan and Inventory 2.5 days
less than plan driving interest to 57% of plan. SGA
labor 93% of plan, bad debt 62% of plan, AR 97% in
terms, and dry room only 0.61% of inventory – all
supporting PTNP that was 270% over plan and 146%
over prior year, not to mention a 500 basis point RONA improvement over prior
year. Based on feedback from those that interact with Janine – what people said
3. about her resonated with our current year theme of cultivating excellence. Janine
has a passion to work with managers to control expenses. She is detailed and
thorough, providing timely analyses to set priorities or make course corrections.
She runs sensitivity reports and scenario analyses to base pricing decisions and
support presentations when looking at customer profitability. Forward thinking
and thoughtful about reducing potential exposures. She holds herself and her
team accountable to excel in every company objective, always available to help
her peers become successful and work at their optimal level. Dedicated, loyal,
responsive, resourceful, courteous, helpful, enthusiastic, professional and smart.
Excellence is not a skill. It is an attitude. Congratulations to Janine Brooks, Controller
of the Year – 2013!
Stacy Kuntz, Portland, Operations Manager of the Year
Stacey Kuntz assumed the Operational Management
of the Portland division at the end of March 2013,
after performing a remarkable job in our Grants Pass
division. At that time Portland’s operational results
were sub-par, suffering from excessive warehouse
overtime and shrink. He sought employee input
and “needs” versus “wants”. With his staff he
educated them on Snapshot and PL statements
while concentrating on creating a safe and
efficient warehouse.
The result was a total operating (Warehouse,
Delivery Facility) expense of 94.6% to Plan or $571,826 better than planned
expectations. A decrease in Shrink of $91,165 versus prior year and a better than
half the reduction of OSHA Recordable Incident Rate which created an additional
$331,244 to the Portland PTNP versus prior year.
Stacy’s work ethic, job knowledge, determination and charismatic
leadership has created an environment where success is expected and
superb execution is delivered.
Congratulations, Stacy, on being awarded Best of the Best!
Fred Sisneros, Albuquerque, Merchandising Manager of the Year
We are very excited to announce that Fred
Sisneros has been chosen as the Merchandising
Manager of the Year. Fred began his career with
Core-Mark International, Inc. in October 2004
as a Route Delivery Driver. In October 2006, Fred
moved into an Operations role as a Supervisor
and soon after as the Day Warehouse Manager.
In February 2011, Fred entered into the Sales side
of the business as Merchandising Manager.
Fred has proven his leadership abilities while
managing over 85 Merchandisers and leading
one of the largest SmartStock® Divisions throughout Core-Mark.
This is evident in the 2013 measurable results summarized below:
• 128 merchandised dairy, fresh and bread accounts added in 2013
• 2nd largest division for SmartStock Sales at approx. $1.2m in 2013
• 2nd largest division for SmartStock Merchandising Funds at approx.
$101k in 2013
• 3rd largest division for SmartStock GP at approx. $120k in 2013
• SmartStock merchandising income 7.4% of Food/Non Food NSI not
including local service funds generated in mark ups totaling approx.
$150k
•Total Spoil Dollars equal to prior year while adding 128 guaranteed
product accounts
• Service Salaries 85% to plan
• Helped manage re-sets for over 350 accounts in 2013
Thank you, Fred, for your contributions and congratulations
on a well-deserved award.
Merrill Rasmussen, Salt Lake City, Foodservice Manager of the Year
Merrill is now a two time winner of this award and
well deserved. In 2013, Merrill worked extremely well
with the sales department by collaborating to find
ways to increase marketing programs and drive
additional food service and fresh sales. Merrill and
the sales team grew fresh and food service
marketing programs by adding a net new 188 total
programs which was 125% of their goal. Some key
program additions in 2013 were 28 new Coffee
Programs, 60 new Quick Eats Grill and 31 new Grab
Heat Eat programs. Another successful program
that Merrill added in 2013 was the Champs Chicken program. Currently, we have
20 customers on the Champs Chicken program with annual sales of over $1M. The
success in the overall program additions helped the division grow fast food sales
and GP by 113% to prior year. Merrill was also instrumental in helping present FMI’s
with the TM’s and assisting in the FMI follow-up. As part of the FMI follow-up,
Merrill and the TM’s helped develop and conduct a mini fresh and food service
trade show in several of the territories inviting FMI customers and potential new
customers to attend. They set up fresh and food service programs so that
customers could sample products and view the programs before signing up.
As a result of these mini-shows, the team added 43 new fresh and foodservice
programs in 2013.
Congratulations, Merrill, on being the best of the best in the company and
we look forward to another stellar performance in 2014 and beyond.
Barbara Canard-Raymond, Los Angeles, Office Employee of the Year
Having Barbara J. Canard-Raymond in LADC is like
having an encyclopedia of Core-Mark’s history going
back to her time with Glaser Brothers in 1970. Barbara
started out as a Key Punch Operator with the Glaser
Brothers at Leonis Blvd, a few streets away from our
current LADC location. When the Leonis facility
closed down, Barbara moved to the LA division. She
worked as an AR clerk for chain accounts until the AR
functions were relegated to the divisions. Barbara is
currently the AP clerk in the LADC.
As a senior lead member of her team, Barbara
has played many roles, vis-à-vis - mentor, trainer, coach, motivator, and even
a confidante. She is accessible to all levels of management, gets along well
with everyone, conscientious, and always keeps things in perspective. She has
tremendously good rapport with her peers in LADC, as well as those of other
divisions. The younger generations, as she likes to put it, are quickly drawn to her
maternal embrace, not just as co-workers but also someone whom she cares
about as a person. She definitely cares about her work and more importantly,
about Core-Mark. These qualitative attributes sets her apart from a lot of
employees in LADC, if not in Core-Mark as a whole.
Quantitatively, Barbara’s contribution to the AP department is significant too.
LADC’s aged CDUs as compared to other divisions has always been one of the
cleanest and most current. The monthly average cdu reserve in 2013 is only at
$4.9K and the year-end DPO is at 7.63 days vs a plan of 7.72 days. Unmatched
Inventory Reconciliation Transaction Listing has always been current throughout
the year in 2013.
Barbara, thank you for your 44 years (and counting) with Core-Mark. You are a
Core-Mark icon in your own right. Congratulations!
4. Ted Hanson, Salt Lake City, Warehouse Manager of the Year
Ted Hanson is the Warehouse Manager of the Year
for 2013. He started his Core-Mark career in 2006
and has made his mark in both the Salt Lake City
and Hayward divisions. Ted’s strong suit has always
been his attention to detail with extremely successful
results. Last year, Ted oversaw a 14% increase in sales
while only realizing a 6% rise in expenses.
Ted has adopted the Core-Mark philosophy
of leveraging his assets and his numbers
consistently prove this. His attention to detail
is his hallmark, maintaining a clean and productive
warehouse. This year, Ted has focused on revenue generation and has been an
important player in an expanded lumping program that, in a few short months,
has seen additional income approaching $100K.
Ted has been married to Julie for seventeen years and has 4 children and
2 grandchildren, whom he enjoys spending his time with. In addition to his
family, Ted enjoys the Utah climate and spends his free time out in his garden.
Congratulations, Ted!!
Michele Walter, Spokane, Credit Manager of the Year
Michele Walter is Core-Mark’s Credit Manager
of the Year for 2013. Michele just celebrated 20 years
with Core-Mark in August of 2013. She does more
to support the Spokane organization than just
manage the credit function. Michele is at her desk,
with a smile, at 4:30 every morning to run Warehouse
end of day and to ensure any credit issues are
resolved in time for the customers to receive their
deliveries. In addition, Michele is the first to volunteer
when someone needs assistance and is always
willing to share her knowledge. Michele and her
AR team were able to improve DSO to 8.79, compared to Plan of 9.81 and prior
year of 9.90. The division’s bad debts in 2013 were minimal and in fact Michele
assisted in the significant recovery of a previously written off account resulting
in a pick up to the division.
Spokane is proud to have Michele Walter as the Credit Manager of the Year.
Congratulations Michele!
Eve York, Salt Lake City, Human Resources Manager of the Year
Eve started at the Salt Lake division five years ago and
has worked in Human Resources most of her career.
Eve’s greatest qualities are her positive attitude and
willingness to help others succeed. Eve has been
charged with the training and development of the
division and has worked with Career Management
of Organizational Effectiveness (CMOE) to help
provide employees with the skills necessary for
succession planning. Our employees know that
Core-Mark is a place where they can receive proper
training and advance their careers. As a result, our
attrition rate is the lowest it’s been in years. Eve also played an active role in our
worker compensation claims to ensure we achieved maximum return. We had zero
lost time claims in 2013 which can be contributed to our safe working environment
and safety bonus program that Eve helped develop. Eve makes sure we all
remember safety first and conducts meetings often to go over areas of safety
concerns and follows up.
We would like to congratulate Eve on being selected as the “Best of the Best” in her
respective field and know she will continue to look for opportunities to make the
SLC Division the best place to work.
Oscar Morones, Bakersfield, Driver of the Year
Oscar Morones started with Core-Mark Bakersfield
in October of 2004 as a driver in our northern region
including the Tulare, Visalia, and Fresno areas. During
his 9 years of service, Oscar has developed a very
successful, customer service driven approach to the
delivery of our products, which has allowed him to
develop positive customer relationships. He is very
organized and his accuracy is unchallenged when
dealing with customer issues. Oscar has earned the
respect and admiration of his customers, peers and
managers with his can do positive approach when
dealing with challenging situations. Oscar is a professional at all times and meets
or exceeds the expectations of our customers on a daily basis. While maintaining
perfect attendance, Oscar delivers 1000+ cubes a day during our peak season and
is able to safely stay on course with on time deliveries. Oscar’s dedication and work
ethic are the two key components that have propelled him to the Driver of the
Year for 2013. Congratulations, Oscar, on a job well done, you deserve it!
Billy Andonaras, Tampa, Territory Manager of the Year
Billy Andonaras joined the Tampa division
in April 2012, coming from the Dr. Pepper/Snapple
group. From day one, Billy has had endless energy
and passion to grow his territory. His confidence,
decision making, and his ability to articulate the
Core-Mark message is paying dividends for the
division. Billy started with 63 total stores in January
2013 and 1 full time merchandiser covering a third
of the state of Florida. With a divisional focus to
gain market share Billy excelled. He drove from
one end of the state to the other developing
relationships, gaining new business and putting together market strategies
for continued growth. In 2013, he kicked it into overdrive when it came to picking
up new business and growing his team. Billy ended December of 2013 netting
33 new accounts, adding 2 more merchandisers and 1 SDR to his team. He hit his
FMI, sales and profit plan. Here are some of Billy’s impressive stats for 2013: sales
YOY at 169.10% and 101.10% to Plan with profit YOY at 181.90% and 108.5% to plan.
Billy has great work ethic, good understanding of our business, and has a great
future within the Core-Mark organization.
We are proud to have Billy as part of the Tampa division and enjoy watching
him mature into one of our top performing TM’s.
Shaun Cretsinger, Tampa, Transportation Manager of the Year
Shaun is an exceptional manager, who leads
by example, setting and maintaining high
standards of conduct, performance, efficiency,
and productivity. He built the department with
a common mission of efficiency, driver support,
and customer service, emphasizing teamwork
and driver retention over driver attrition. Shaun
instituted a personalized driver recognition
program that includes performance, training,
division assistance, and even birthdays, that has
brought a professional feel with a family touch
to the Transportation Department. In 2013, transportation cost per cube was
$1.15 vs. a planned $1.25. Shaun and his department accomplished this while
absorbing a 21.2% increase in overall cube, and 9,719 additional deliveries over
prior year. Shaun’s team successfully coordinated and executed a backhaul
program that increased revenue by 210% over prior year, and surpassed
Tampa’s 2013 planned backhaul income by $54,848! Shaun’s management
of the department resulted in OTD of 95%; the organization, planning, and
successful execution of several special delivery projects for our largest customer;
assimilation and delivery of diverse new products such as wine and fresh flowers;
Continued on page 5
5. THE
Presidents’ Club
and the delegation of responsibilities amongst his supervisory staff to ensure that
no customer request is denied. Shaun also saw to it that our own sister divisions in
PA, NC, and CO – were supported with drivers and management team members
when needed. Shaun has set the standard in training, DOT and safety policy
compliance amongst his staff and drivers. This resulted in no DOT reportable
vehicle accidents in 2013, and an outstanding internal DOT audit score of 990 /1000
in 2013. Through his personal and departmental performance, the Tampa division
has enjoyed improved customer service, and a greatly recharged and cohesive
transportation team. This team is the face of our Company to our customers at
every delivery, and Shaun, as well as the Tampa division, is proud that they are.
Chio Saelee, Sacramento, Warehouse Employee of the Year
Chio joined Core-Mark Sacramento in June 2005 as an
Order Selector. Today, he continues to assemble orders,
assist the operations in tote order stacking, and load
trailers. He is enthusiastic about his job and looks
forward to coming to work each day. He prides himself
in being a role model for others by demonstrating
collaborative teamwork and proactively seeking
opportunities to assist his coworkers with completing
daily assignments. His manager is very pleased to have
Chio on his team and shared the following statement:
“Chio can be counted on to make excellent decisions. He is capable of working at a
high level of productivity within all warehouse positions and he shows great
initiative toward accomplishing goals.”
Chio enjoys spending his time outside of work with his son and nephews. He
enjoys watching professional football and is very happy that his favorite team won
this year’s Super Bowl, the Seattle Seahawks. He credits his parents for his work
ethics and family values.
From the Sacramento team, “Congratulations Chio! Great Job and Thank You!”
Top Row, Left To Right: Matt Gerhard, Darrell Hall, Shawn Morgan,
Daniel Williams, Scott Clark, Brian Barry, Jerry Bell
Front Row, Left To Right: Mike Dunn, Chad Beck, Tom Perkins,
Carl Parker, Alan Thomas
Not Pictured: Jim Thompson (retired)
6. The Core-Mark Advantage
Grow customer sales profitably.
Make it easier for our customers
to do business with us.
Do the fundamentals well.