BREAKING NEWS

Miami Nice!

GAWDA's second and final Spring Management Conference for this year ended yesterday in Miami. Several hundred attendees came to the Intercontinental Hotel overlooking beautiful Biscayne Bay to hear a variety of speakers on industry and business-related topics, and to network with GAWDA members from across the country.

GAWDA President Gary Stoneback told members they have not only a right, but an obligation, to know what is going on behind the scenes of the association.

After GAWDA Executive Director Kent Van Amburg opened the sessions, GAWDA President Gary Stoneback spoke about the fundamentals of the association. "My goal," he said, "is to make GAWDA as transparent as possible by encouraging more open access to information, participation and decision-making." Stoneback described the fundamentals in three areas: governance, member benefits and finances. He described the association as "a $2.4 million business. It should be run like one." You can read the full text of President Stoneback's speech here.

Attendees listened attentively. Every seat was taken.

The charity chosen as the recipient of this year's GAWDA Gives Back donation was announced. The Ranfurly Home for Children is an orphanage in Nassau for children over age 10. "Our donation will provide a means for kids to get an education," said Stoneback, "and I can confidently tell you that the money is going to be very well spent." By tradition, the charity is chosen by the association president and his wife. More information about GAWDA Gives Back and the Ranfurly Home can be found on GAWDA's Web site.

The Contact Booth Program, always a highlight of the SMC, is a forum for distributors and suppliers to network and catch up on the latest products.

A highlight of the SMC was a panel presentation on Monday afternoon. The panel, moderated by Ron Pierce, chairman & CEO of Wesco Gas & Welding Supply Co. (Prichard, AL), took on the topic of planning for succession in a family business. Each of the panelists told a story of how their companies handled the succession from father to son or daughter. They spoke of the challenges with siblings, the consultants and mentors who helped them, the things that worked and those that didn't. A Q&A session followed, with audience members asking pertinent questions about the transition process for each of these companies.

(from right) Panel moderator Ron Pierce led the conversation with these second- and third-generation leaders: Brad Peterson, president, Mississippi Welders Supply (Winona, MN); Jenny McCall, president, Wesco Gas & Welding Supply Co. (Prichard, AL); Doug Lampton, vice president, Lampton Welding Supply (Wichita, KS); and Bryan Keen, president, Keen Compressed Gas Co. (Wilmington, DE).

Despite the fact that several speakers pointed to a rough economic road ahead, it was also noted over and over again that our industry is strong and there are opportunities for growth in new markets, as well as old ones. The next chance to meet with members to learn more about how to do that will be this fall at GAWDA's annual convention. Remember, only the strong survive. Attending this convention will help you to stay strong. Read more about the convention at GAWDA's Web site.

SAFETY & COMPLIANCE NEWS

Internet Reporting Now Available for All Facilities Reporting TRI Data • For the first time since Toxics Release Inventory (TRI) inception, all facilities that are required to submit data to TRI will be able to do so over the Internet, using the TRI-ME software. Companies will no longer have to mail reports on compact discs or paper to EPA. Companies are required to submit calendar year 2007 data to TRI by July 1, 2008. Facilities will be able to use the Internet to send information directly to EPA through their Central Data Exchange. For more information, visit this page.

Wisconsin Adopts New Wholesale Drug Distribution License Rules • The state of Wisconsin has implemented new rules for renewing wholesale drug distribution licenses. Effective June 1, 2008, firms must meet a stringent new requirement, which includes a $75,000 bond for each registered site, and undergo an inspection by the Wisconsin Department of Regulation and Licensing, or become a Verified Accredited Wholesale Distributor (VAWD) under the National Association of Boards of Pharmacy requirements. Firms that distribute drugs into Wisconsin from another state are subject to these regulations as well. Drug manufacturers located in Wisconsin who distribute drugs and devices they manufacture are exempt, as long as they are registered with the state as a drug manufacturer. Out-of-state manufacturers who distribute drugs in Wisconsin are not required to register with the state as either a drug manufacturer or a drug wholesale distributor, as long as they only distribute those drugs they manufacture. Medical gas firms who do not fill cylinders and only distribute medical gas cylinders filled by another company will be required to comply with these new requirements. For more information, visit this page or call GAWDA consultant Bob Yeoman at 610-868-7183.

PHMSA Announces Alternative Enforcement Program • The Pipelines and Hazardous Materials Safety Administration (PHMSA) has announced an alternative enforcement initiative, the Systems Integrity Safety Program (SISP), under which a carrier or shipper of hazardous materials may work with the agency to come into compliance with the Hazardous Materials Regulations without fear of prosecution for regulatory violations. Under the SISP, rather than engaging in an adversarial process, PHMSA states it will provide analyses, observations and cooperative follow-up investigations to identify the root causes of the entity’s safety problems. Through the partnership with the regulated entity, SISP is intended to encourage continuous improvement and quality assurance programs to ensure sustained compliance and improved safety performance.

Using criteria similar to those used to select companies for inspection, PHMSA will identify entities as candidates for SISP based on a history of non-compliance and other indications of risk. These high-risk entities likely would be selected for a traditional enforcement inspection under 49 CFR Part 107 but will be offered an opportunity to participate in SISP in an effort to ensure better compliance through the implementation of safety processes. According to PHMSA, participation in SISP is entirely voluntary. The decision of any party not to participate in SISP is not a selection factor for enforcement inspections, but a decision not to participate will return that party to the traditional enforcement inspection pool.

SISP will be implemented through a Partnership Agreement. Each partnership will be comprised of three phases. During the first phase, the Partner will provide comprehensive systems information and PHMSA will provide data analysis. The goal of the first phase is to identify probable causes of the Partner’s safety problems. The second phase will involve site visits, interviews and implementation of corrective action. The third phase is designed to provide long-term solutions to ensure continued compliance and safety.

PHMSA may use the information, data and analyses gathered or developed during the SISP process to identify other regulated entities that present a high level of risk but have not been identified using the data currently available. PHMSA states that the agency will not take enforcement action against third parties based on observations or probable violations discovered solely during SISP activities, but PHMSA might conduct a separate investigation of the third party.

PHMSA states that "A company successfully completing SISP as specified in the Partnership Agreement will not be subject to PHMSA enforcement actions for probable violations discovered during the term of the Agreement. PHMSA will exercise this enforcement discretion only if the partner comes into full compliance." However, PHMSA will pursue its enforcement options for probable violations that present an imminent hazard or that demonstrate a criminal (willful) intent. Furthermore, any breach of the SISP agreement will constitute a condition for termination of the agreement, and all benefits of program participation may be forfeited. Any probable violation discovered after the SISP agreement has expired may be submitted to the Office of Chief Counsel for prosecution or appropriate action.

For more information on the program and eligibility, check this page.

NEW MEMBERS

GAWDA welcomes new Supplier Member Bergquist, Inc., of Toledo, OH.

INDUSTRY BEAT
(what people are talking about)

George Golliday

Scott-Gross Names President (Winchester, KY) • Scott-Gross Company appointed George V. Golliday as president. Golliday, a 2-year company veteran, will direct the operations of both Scott-Gross Company and its wholly owned subsidiary, Thoroughbred Industrial Cylinder Exchange, LLC. "George's considerable knowledge of our industry will contribute to the continued growth of our company," says Philip Scott, CEO and chairman of the board.

Valley National Gases Makes Staff, Facility Changes (Cleveland, OH) • Valley National Gases appointed Mark Blakely region manager for Midwest regional business, including Ohio, Michigan and Elkhart, IN. Blakely brings more than a decade of gases and welding industry experience to the position. The company also named Dave Bertelsen national propane product manager. Bertelsen brings nearly 3 decades of propane industry experience to the position.

The company relocated its headquarters from Washington, PA, to Independence, OH, a suburb of Cleveland. The new office is located at 6500 Rockside Road, Suite 200, Independence, OH 44131. While the majority of the management team, including operations, human relations and acquisitions will be located in northeast Ohio, VNG will continue to perform the majority of administrative and accounting functions in Wheeling, WV.

VNG also opened its new Information Technology and Data Center, located at 1100 Main Street, Wheeling WV 26003. The 7,000 sq. ft. center provides for improved security and data protection, increased availability, enhanced disaster recovery capabilities and additional space to accommodate VNG’s aggressive growth plans. The facility includes access and environmental controls to ensure data integrity and equipment performance and long-term reliability. In addition to IT associates, the company's procurement group will also be housed at this facility.

Gary Kennedy

Bob Ewing

Jerrod Lipsey

Red Ball Executive Promotions (Shreveport, LA) • Gary Kennedy, who has served as president of Red Ball Oxygen Co. since 1987, was named chairman of the board and chief executive officer. Bob Ewing, who joined the company in 1995 and served most recently as VP of sales and operations, was named president. Jerrod Lipsey was promoted from eastern Texas regional sales manager to VP of sales.

Hypertherm Makes Changes to Support Distributors (Hannover, NH) • Hypertherm has made several changes to support its North American distributors. These changes include reapportioning its North American territory from two divisions into the following three regions: the Northeastern U.S. and Canada, the Central and Southeastern U.S., and the Western U.S. An experienced and talented Hypertherm associate with vast product knowledge will lead each division. Jeff Staton, formerly Hypertherm's Western division manager, will head the newly created Northeastern U.S. and Canadian region. Two former Hypertherm district sales managers, David Taylor and Alan Hamilton, will lead the Central and Southeastern U.S. regions and the Western United States region respectively. Additionally, Hypertherm named Tim Oney as its new national distribution manager. In this role, Oney will provide added focus and strategic management to national Hypertherm distributors.

Doug Morton

Morton Joins Eleet (Bolivar, OH) • Doug Morton was named vice president of sales at Eleet Cyrogenics, Inc. Morton has over 18 years of experience, most recently with Taylor-Wharton Gas Containment Products and Praxair Industrial Services. He is third generation in the gas industry.

AWISCO Promotes Account, Branch Managers (Maspeth, NY) • AWISCO selected Jerry Ott as account manager for Suffolk County, NY. Ott, who joined AWISCO in 2005, previously served as manager of the company’s Holbrook, NY, store. Succeeding Ott as Holbrook branch manager is Aron Michinski. Michinski joined AWISCO in 2007 and previously served in a counter position at the company’s West Babylon, NY, branch.

Airgas Acquires A&N Plant (Radnor, PA) • Airgas acquired A&N Plant, a European-based supplier of new and reconditioned rotating, positioning and welding equipment for sale and rent. The acquisition creates a new business unit of Red-D-Arc Limited, an Airgas company. A&N Plant has facilities in the United Kingdom and the Netherlands. It operates in Europe, Asia and the Middle East, serving a diverse customer base in offshore and onshore oil and gas, petrochemical, power generation, environmental, industrial plant and steel fabrication industries.

Dana Colson

Wade Chase

Tom Farley

Thermacut Expands Sales Team (Claremont, NH) • Thermacut appointed Dana Colson outside sales representative to service the newly formed Northern Zone. Colson, a 5-year Thermacut veteran, previously served as a plasma product specialist. The company named Wade Chase as director of sales, North and South America. Previously, he served as the company's managing director. Thermacut selected Tom Farley as a manufacturer’s representative for Indiana, Illinois, Wisconsin, western Ohio, southern Minnesota, eastern Iowa, eastern Missouri and northern Kentucky.

Taylor-Wharton Passes $15 Million Mark With Cylinders (Mechanicsburg, PA) • The combined high-pressure cylinder operations of TW Cylinders LLC, a division of Taylor-Wharton International LLC, surpassed $15 million in sales of ISO/EN specification cylinders. The $15 million represents the combined sales of small and intermediate size cylinders (5 to 27 liter capacity) produced in Huntsville, AL, and large high-pressure cylinders (40 to 50 liter capacity) manufactured in Harrisburg, PA.

GAWDA NEWS

SMC Presentations Online • The SMC presentations on Economic Update & Forecast, GPS Panel Discussion, Internet – Online Strategies, Leadership Lessons from Little Round Top and FDA and DOT Incident Panel can be viewed or printed out in the "GAWDA News" section at www.gawda.org.

2008 REGIONAL MEETINGS It’s that time of year! Regional Meetings are off to a great start and offer attendees a chance to see industry leaders speak about the industry, meet with GAWDA Consultants, Board members and other association volunteers. Meet with customers and suppliers, network with your peers, and get some insight on the industry. It’s an unbeatable value! Please click here for details The regional calendar will be updated as new meeting dates become available!                2008 Regional Meeting Dates                ZONE DATE LOCATION REGIONAL CHAIR PHONE EA May 28 Pittsburgh, PA Heather Ferrand Butler Gas Products 412-771-7660 C June 3-4 East Lansing, MI John Dehoust, Baker's Gas Bob Ranc, Superior Products 313-383-5690 SE June 8-9 Hattiesburg, MS Sam Thompson Airgas South 678-776-0023 C June 11 Indianapolis, IN Gary Halter Linde 317-652-9060 EA June 18-19 Atlantic City, NJ Lloyd Robinson AWISCO 718-786-7788 or 917-560-5405    SE June 22-23 Lexington, KY Ken Tidwell WDPG/The Horton Group 800-598-9099 C July 17 Lockbourne, OH Jim Smith DeLille Oxygen Company 614-444-1177 W July 23-25 Stevenson, WA Rick Henson Oxarc, Inc. 509-535-7794 or 509-370-1201    C August 15 Naperville, IL Hector Villarreal Weldcoa 630-806-2000 SW August 18-19 (tentative) Kansas City, MO David Hanchette Kirk Welding Supply 816-221-3040 C August 21 Ft. Wayne, IN Ken Flora Welder Services, Inc. 260-423-4468

Gear Up For Convention

GAWDA heads for the Caribbean for its 64th Annual Convention, Sept. 21-25 at Atlantis in Paradise Island, The Bahamas. The 5 days will be packed with informative sessions to keep you up to date on the latest in the welding and gases industry as well as opportunities to network with fellow GAWDA members. Registration will open in June. For more information contact GAWDA at 215-564-3484 or visit www.gawda.org.

WORKSHOPS, WEB CONFERENCES & SEMINARS

Distribution Inventory Seminar
April 24-25
Las Vegas, NV
May 1-2
Atlanta, GA
This seminar from The Distribution Team will teach distribution professionals how to look for hidden cash in their organizations. Cost of the seminar is $850, and there is a 5% discount available to GAWDA members. For more information, contact GAWDA at 215-564-3484.

Young Distribution Professionals Conference
August 3-6
Eaglewood Spa & Resort, Itasca, IL
During the 2008 Young Distribution Professionals Conference, sponsored by GAWDA and other members of the Association Education Alliance, attendees will examine many areas of effective distribution, from sales and marketing to human resources and operations. For more information, visit this page.

The GAWDA Connection is distributed on the 8th and 23rd of each month to all GAWDA members as
a membership service of GAWDA, the Gases and Welding Distributors Association, 100 N. 20th Street, 4th Floor, Philadelphia, PA, 19103. Neither GAWDA nor Data Key Communications, LLC, their officers, directors, members and staff are responsible for contents or opinions other than those concerning Association activities.

GAWDA HEADQUARTERS
100 North 20th Street, 4th Floor
Philadelphia, PA 19103-1443
phone 215.564.3484 - fax 213.963.9784
gawda@fernley.com