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THIS WEEK'S HEADLINES  
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AIA/Promotional Programs Becomes TouchStone Promotions
Steamboat Springs, Colorado-based distributor AIA/Promotional Programs, Inc. (UPIC: Adven331) has become TouchStone Promotions, Inc. In conjunction with the business name change, a new website and online store will launch, and a new company
logo will be unveiled.

"The new name of our company best reflects the nature of our promotional marketing and merchandise business," says Delisa Laterzo, owner and president, in a news release from Steamboat Magazine. "We will remain part of the nationwide Adventures in
Advertising network."

Touchstone will continue to operate as an independently owned company from its current location in Steamboat Springs.

American Apparel To Repay Debt With New Financing
Los Angeles, California-based supplier American Apparel (UPIC: AMER9421) announced Friday it has entered into a private financing agreement with equity firm Lion Capitol LLC, and that it will use the financing to retire its debt with an affiliate of the firm owned by the family of computer company founder Michael Dell. The Lion transaction was expected to be completed the day of the announcement.

Lion Capital will provide $80 million in secured second lien notes, which mature December 31, 2010, and come with detachable warrants. Lion Capital also received detachable warrants for an aggregate amount of 16 million shares of American Apparel common stock with a strike price of $2. American Apparel stock closed last Thursday at $1.49.

Lion Capital Partners Neil Richardson and Jacob Capps intend to join the supplier's board of directors. "American Apparel fits well with our focus of investing in strong, differentiated consumer brands and we look forward to a successful and enjoyable collaboration," says Richardson.

American Apparel will use the financing to retire its debt with SOF Investments, an arm of MSD Capital, L.P., according to a company news release. The Wall Street Journal reported last week that American Apparel owes the affiliate $51 million as part of a financing deal. The remainder of the financing will be used to reduce the balance of the supplier's revolving credit, repay a portion of a shareholder note, pay transaction-related expenses and contribute to working capital.

Former Norwood Employees
Start New Supplier Company

A team of former staff members from Norwood Souvenir has begun operating Cedar Rapids, Iowa-based supplier Cedar Crest Manufacturing, which will offer writing instruments to the industry.

"We are excited to be once again working with our distributor partners," says Doug Miskimen, Cedar Crest president.  "We believe that our attention to detail and prompt, consistent deliveries will help them meet their customers' needs and grow their businesses."

HALO/Lee Wayne
Acquires Advertising Novelties

Sterling, Illinois-based distributor HALO/Lee Wayne (UPIC: leewayne) has purchased Tulsa, Oklahoma-based Advertising Novelties Company (UPIC: ADNOV), in an all-cash transaction.

AdNov's 17-member sales team will join HALO/Lee Wayne, selling under the Lee Wayne brand.

"We have always had a keen focus on growing our business through service and innovation. HALO/Lee Wayne has incredible marketing tools and a service platform that will be a substantial upgrade for our customers," says Randy Elliott, AdNov president.

Operational responsibilities for AdNov will be transitioned to HALO/Lee Wayne's operational headquarters immediately.

"AdNov has successfully served an impressive client base for more than 70 years. Their culture of serving their sales force and clients fit very well with the HALO/Lee Wayne service model," says Marc Simon, HALO/Lee Wayne CEO.

Promotional Products Firms
Holding On To Retirement Plans

These poor economic times are forcing everyone to pinch pennies, and having to do so on a business level can sometimes force the same frugality on someone's personal finances.

Recent news reports revealed that some companies are limiting their contributions to employee 401K plans to conserve cash, while others are forgoing the start of a new plan.

When asked about their own retirement options, however, most PPAI members interviewed say they have no plans to cut back on contributions. Visit PPB online to read what they had to say.

PC Academy Helps You Meet Clients' Needs
It's not too late to get on board with the educational opportunity that will boost your promotional consultant business. Make plans to attend PPAI's Promotional Consultant Academy & Learning Lab, this Saturday through Monday, March 21-23 in Schaumburg, Illinois.

Featuring one of the industry's most highly-sought speakers, Cliff Quicksell, Jr., MAS, PC Academy will help boost your consulting skills and elevate your business to a higher level. Space is limited, so to make sure you've got a spot for this hot-ticket event, register here.

Attend PPAI's Latest CPSIA Webinar
The latest webinar on product safety, CPSIA -- An Overview, is the first in a series of 30-minute sessions designed to focus on specific product categories.

Susan DeRagon, associate director, Toys & Premiums for Specialized Technology Resources (STR), will address basic U.S. safety requirements for various types of promotional products and their potential concerns or challenges next Tuesday, March 24, at 1 pm CST.

You can register for this webinar here. Space is limited, so sign up today.

Now's Your Chance To Be Part Of
The PPAI Sales Volume Survey

The PPAI-sponsored Annual Sales Volume Survey is the industry's leading indicator of total promotional products sales, and it's time once again for you to be counted in this report.

Principals of member distributor companies who complete the survey by Monday, April 6 will be entered into a drawing for a chance to win two round-trip airline tickets to anywhere in the continental United States.

This independent study is directed by Dr. Richard Alan Nelson, professor of advertising at Louisiana State University, and Richard Ebel, a veteran of promotional products industry research; it comprises the official distributor sales estimate for the industry.

As in previous years, the information you report is completely confidential. It will be seen only by the researchers at Louisiana State University who will integrate it into an industry-wide estimate of sales. For more information, contact Nelson at 225-578-6686.

Stay On Top Of Trends With The New Product Pavilion Sequel
If you experienced the New Product Pavilion at The PPAI Expo 2009 and saw great new opportunities for yourself and your business, or if you missed it and wish you could see what's hot this year, PPAI is giving you a second look with the New
Product Pavilion Sequel, which will be polybagged with the April issue of PPB magazine.

This premier directory is full of head-turning products that you won't want to miss out on. It's landing in member mailboxes soon, so keep an eye out for your copy of April PPB and the New Product Pavilion Sequel.

Promotional Consultant Magazine: New Look, Same Great Content
If you haven't seen the most recent issues of Promotional Consultant magazine, you've missed a change for the better. PC magazine is now published nine times a year in a larger format. Even better, PC is available as a digital edition. Yet, the content and the advertising rates for PC remain just as valuable as ever.

Check out Promotional Consultant and see what you can do with a bigger, better promotional consulting resource from PPAI. Click here to subscribe. To acdvertise, all Mike McClintic at 469-645-2441.

ppai law

Voice Your Opinion On The Employee Free Choice Act
Rep. George Miller, D-Calif., Chairman of the House Education and Labor Committee, has introduced H.R. 1409, the Employee Free Choice Act. Sen. Ted Kennedy, D-Mass., Chairman of the Senate Health, Education, Labor and Pensions Committee, has introduced S. 560, the companion bill in the Senate. Passage of this bill was one of President Obama's campaign promises.

Under current law, individuals interested in organizing a union must file a petition with the National Labor Relations Board (NLRB) that demonstrates that 30 percent of potential union members want to have a union organizing election. Generally, potential union members sign an authorization card indicating their desire to join a union. Within 45 days of receiving the petition, the NLRB then will conduct a secret ballot election to let employees decide whether they want to join the union.

Instead of using a petition to force an election, under this bill if an organizing campaign can collect signed authorization cards or a petition from more than 50 percent of the employees (this is often referred to as the "50 plus one" rule), the employer would be required to recognize the union without a secret ballot election.

The legislation also provides for the mediation and binding arbitration of the initial collective bargaining agreement following any recognition of the union.

PPAI opposes the Employee Free Choice Act. If this proposal is of concern to you, contact your representatives and senators to vote against these bills. PPAI has provided a form letter on the PPAI LAW website that can be used for this action.

iPromoteU



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PPAI And MANAfest Provide Value, Services To Multi-Line Reps
Multi-line reps are a vital part of the promotional products industry, and to help meet their business needs PPAI is offering its multi-line rep members an opportunity to participate in MANAfest 2009, May 31-June 3 in Henderson, Nevada, at a reduced cost. The event is produced by Manufacturers' Agents National Association (MANA) and is designed exclusively for multi-line reps.

Manufacturers today are working with reps who invest in professional development. A rep who is better informed, better prepared and better trained is the rep who wins. 

At MANAfest, reps will learn from the experts how to diversify business and rebuild corporate culture, as well as what challenges are facing the industry.

PPAI members will receive a $200 discount on registration for the conference. For more information on MANAfest 2009, click here.

regional news

SAAGNY Offers Compliance Testing At PROMOTIONS EAST
The Specialty Advertising Association of Greater New York (SAAGNY), with the assistance of Prime Resources Corporation is offering a product safety Quality Assurance Center (QAC) at PROMOTIONS EAST 2009 to help exhibiting suppliers determine whether their products contain lead. New lead limits for items such as children's jewelry, established under the Consumer Product Safety Improvement Act (CPSIA) in 2008, have taken effect as of February this year.

Bridgeport, Connecticut-based supplier Prime Resources Corp. (UPIC: PRIME) is providing its trained technicians and XRF handheld scanning devices at the request of SAAGNY, says Rick Brenner, president and CEO. Prime has been testing products in-house since 2007.

Self-testing allows suppliers to issue General Conformity Certificates (GCCs) for products that meet the standard. Beginning February 10, 2010, third-party testing will be required.

Brenner explains that products made with the same material throughout as well as those made with more than one type of material can be tested. If both types of products are tested and show to have no lead in them, there's no need for further testing, he says.
If lead is detected, third-party testing would be necessary.

"Compliance with CPSIA will be a challenge for all suppliers and distributors, and we hope that the QAC will not only offer an important service but will also provide an educational opportunity for all attendees," says Jonathan Riegel, CAS, SAAGNY president.

Massachusetts Policymakers
Approve Final Gift-Giving Rules
Public policymakers last week gave final approval to a state code of conduct that bans pharmaceutical and medical device company officials from giving away pens, mugs and similar promotional items, according to a report from the state's House of Representatives. The regulations take effect July 1.

Company officials also may only provide meals to healthcare practitioners as part of training or educational events; meals for spouses and guests are prohibited. Additionally, payments of $50 or more will be disclosed publicly, posted on a public website overseen by the Department of Public Health. These companies also must pay $2,000 to file disclosures to subsidize the website and must submit the information by July 2010.



 

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DIGISPEC® Promotes Burka, Mize
Las Vegas, Nevada-based supplier DIGISPEC® (UPIC: DIGISPEC) announces the promotion of Brian Burka to national accounts manager and Alicia Mize to marketing coordinator. Burka, who is the primary contact for major accounts, began working at DIGISPEC in 2000 as a sales manager, and was promoted to national sales manager in 2004.

Mize, who was previously a customer service representative, now oversees marketing opportunities for major accounts and coordinates daily marketing opportunities.

Dunbrooke Promotes Buckner
Independence, Missouri-based supplier Dunbrooke Apparel Corp. (UPIC: DUNBROOK) is pleased to announce that Alisa Buckner has been promoted to director of merchandising and marketing. Buckner began working with Dunbrooke in 2007 first serving as a telemarketing sales rep before becoming a marketing and merchandising coordinator.

Geiger Promotes Dobransky
Lewiston, Maine-based distributor Geiger (UPIC: geiger) has promoted Lynne Dobransky to marketing project manager for the corporate division. Dobransky will focus on corporate generated marketing tools including the Geiger Star Performers catalog.

She began her career at Geiger in 1981 providing order processing and later fulfilled pre-sales support functions before becoming the marketing coordinator for the marketing team, assisting with the development and implementation of numerous marketing initiatives.

Proforma Adds Nine Affiliates
Cleveland, Ohio-based Proforma (UPIC: PROFORMA) welcomes nine new owner-affiliates to its network:

John Bean, Sagamore Hills, Ohio-based Proforma Summit Solutions
Dorothy Cheatham and Jacqueline Martir, Kansas City, Kansas-based Proforma Brand Me Promotions
John Gerry, Scarborough, Ontario-based Proforma Focus Promotions
Jay Kapadia, Massapequa, New York-based Proforma On Point Marketing
Lisa and Phil Miller, Berea, Ohio-based Proforma Miller's Specialty Products
Rose Shorma, Alexandria, Minnesota-based Proforma Rose Shorma
Peter Steffann, Bayville, New York-based Proforma Sound Printing
Jack Tepper, Boynton Beach, Florida-based Proforma Total Graphics
Mike Whitman and Greg Farris, Manchester, Maine-based Proforma Premier Marketing Group (UPIC: PMG04351)

Vantage Apparel Hires Baidas
To Rep Western States
Avenel, New Jersey-based supplier Vantage Apparel (UPIC: vantage) has contracted with industry veterans Larry and Marvin Baida, principals of Alpharetta, Georgia-based supplier rep PromoRep, Inc. (UPIC: mocha1), to cover three western states.

Larry is responsible for sales in Southern California and Nevada and Marvin handles day-to-day operations. Additionally, Laura Brewer will handle Northern California, Northern Nevada, Oregon and Washington.

Visstun Promotes Crumpler, Piano
Las Vegas, Nevada-based supplier Visstun® (UPIC: VISSTUN) has promoted Brooke Crumpler from sales counselor to sales supervisor, and Paula Piano from marketing coordinator to sales and marketing manager. Crumpler began working as a Digispec® customer service representative in 2004, and in 2006 joined the Visstun sales team as a sales counselor. Piano is responsible for directing the entire sales and marketing program.

 

FedEx Named To Fortune List
Of Most Admired Companies

Memphis, Tennessee-based business services provider FedEx (UPIC: FedEx) ranks No. 7 on Fortune magazine's list of the world's most admired companies. In the delivery transport category it ranks No. 1 over UPS -- a jump from No. 2 last year.

The accompanying article, published in the March 16 edition, says the companies that ranked on the corporate reputation list earned admiration for several reasons, among them a strong, stable strategy, which "confers important benefits in unstable times."

Pioneer Line Honors Reps
At The PPAI Expo

Wichita, Kansas-based supplier Pioneer Balloon Co. (UPIC: Pioneer) honored its sales reps in January during The PPAI Expo 2009 in Las Vegas. Shelley Bednarski of Osprey, Florida-based Multiline Marketing Group (UPIC: MULT0002) received the Rep of the Year award.

Awards for one year of service went to Jules Scheck, Karen Marden and Jason Bickoff of Wayne, New Jersey-based Jules Scheck Associates LLC (UPIC: JULE8456). Five-year service awards went to Bob Ferguson and Rachel Webb of Vancouver, Washington-based Reps West Coast and to Jon Henrickson of El Dorado Hills, California-based Henrickson and Associates (UPIC: PROMOREP). The 10-year service award was given to Joy Jacobs of Multiline Marketing Group.

Original Tube T-Shirt Company Named An Emerging Business
DiversityBusiness.com has named Goshen, New York-based distributor The Original Tube T-shirt Company, LLC (UPIC: ORIGI189) one of its top 500 Emerging Businesses. DiversityBusiness.com, a b-to-b website, has published the list for nine years.

"It's truly an honor and a privilege to receive this award," says Ellen Cohen, president. "It encourages me to continue to move my company in the direction of diversity in business, and it affirms our commitment to this sector and our customers."

TRG Grants Horizon's Award
To McCullough
St. Louis, Missouri-based TRG Group (UPIC: TRG) has named Nicki McCollough as the company's 2008 Horizon's Award winner. TRG's annual Horizon's Award goes to the corporate markets team member who contributes the most toward the division's goals within the calendar year, and is voted on by the sales and management staff. McCullough is the division's sales operations manager.

milestones

Fifty-Year-Old Company Initiates
Product Scavenger Hunt

At 50 years old, Portland, Oregon-based distributor MARCO-Ideas Unlimited (UPIC: MARCO) is a company accustomed to looking forward. But founder Margaret Custer Ford, MAS, also likes to take a look back now and then. She's asking fellow companies to lend their antique advertising items to be featured at MARCO's golden anniversary celebration in June.

Ford has assisted in gathering items for the permanent collection housed at PPAI headquarters in Irving, Texas, and also contributed to the collection that was once housed at the now-defunct National Advertising Museum in Portland, Oregon.

Ford says borrowed items will be returned in the same condition as they were received. For more information or to offer a product for display, contact her at 760-772-0002 or mcf6@verizon.net, or contact current MARCO President Nancy Gudekunst, MAS, at 800-335-1829.

Check out automotive gear and water-resistant apparel, and hear more industry news on this week's Industry Show.

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This month's ppb

Entrepreneurialism On the Edge
Do you know the ins and outs of entrepreneurialism? If you've started your own company and kept it afloat, what wisdom or advice would you share with newbie entrepreneurs? What are the benefits and drawbacks of being an entrepreneur? Finally, what are the key ingredients to entrepreneurial success? Please send an e-mail to Brittany Glenn for possible inclusion in an upcoming Promotional Consultant story by March 18.

It's All Fun And Games
The June issue of PPB magazine is dedicated to the best products for clowning around -- board games, hula hoops and toys to travel games, puzzles and yo-yos. Send your product descriptions and high-resolution images to Audrey Sellers by March 20 for possible inclusion.

Clothes For Kiddos
The June issue of PPB magazine offers up a kid-friendly collection of apparel for infants, toddlers, kids and tweens, including t-shirts, headwear, shorts, skirts, dresses, sweaters and jackets. Just send apparel descriptions and high-resolution images to Audrey Sellers for consideration. March 20 is the submission deadline.

Diamonds In The Economic Rough
Have you spotted opportunites in new markets lately? Are you noticing sales of certain products picking up in a particular industry? If your clients are in industries and job fields that continue to grow despite the economy, share your story for possible inclusion in an upcoming PPB article. E-mail Jen Alexander by March 26.

Close Up: Peter Hirsch
Peter Hirsch, CAS, president of Houston-based Hirsch Gift, Inc. (UPIC: HIRGIFT), joined the industry eight years ago, launched his first catalog a year later and says he never looked back. PPB wanted to learn more about this native South African, who cut his teeth manufacturing ladies' apparel for 20 years before emigrating to the U.S.

Managing With EaZe
Once named the No. 1 lanyard supplier in the industry, Salt Lake City, Utah-based supplier SnugZ USA (UPIC: SNUGZUSA) is also known for stellar staff relations with its 200-some employees. In fact, last year four SnugZ employees acquired the company from its previous owner. One of these "fab four" employees was SnugZ President Brandon Mackay, MAS, who took a day last December to share what it's like to really take ownership of one's work.

Picture Perfect
Bombarded with negative messages about the sluggish economy and the impending doom that awaits business professionals in almost every field, promotional products professionals chose to face the fear, hop on a plane to Las Vegas and spend the week at The PPAI Expo 2009. There they learned about their industry, sourced new products and ideas for their businesses and gained their X factor -- that elusive quality that separates the good from the great.


what would you do?

A distributor asks: How do you use samples during a sales presentation? Do you bring exactly what the client asked for and nothing else? Or do you bring several different options and include multiple price points for each?

What's your answer? E-mail answers along with your name, title and company name to Question@ppai.org by March 27 for possible inclusion in the June 2009 issue of PPB magazine.

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