March, 2002 Newsletter

FROM THE PRESIDENT

On the home front, we at National Tool & Machine Company recently have seen an increase in orders. Our work force had been cut to the bone and we needed to run an ad for machinists in the St. Louis Post-Dispatch. We ran and ad on Sunday and received over 150 applications in 3 days. This was overwhelming. We were not prepared for such an avalanche of applications. The good news from all of that is that 2002 is looking better business wise, and at least at this time, there are many good machinists to pick from. Hang in there, the business climate is changing for the better. Syl Fontana

NTMA NEWS

There are several ways to deal with global competition. One view says to make your company as competitive as possible using all the latest techniques. You are told to incorporate Lean Manufacturing, Six Sigma, high tech machines and employee training in team building and problem solving, to name a few. In spite of all you may do, if the free market turns out not to be fair, then you may not be able to compete. The NTMA is attempting to do something about that.

John Cox, NTMA Government Affairs leader, has worked with a number of companies in Pennsylvania and they succeeded in getting a Pa. Congressman to go before the International Trade Commission. A few weeks ago, the ITC agreed to a meeting and then agreed to begin an investigation in to "unfair global competition" as it relates to the tool and die, mold and machining industry. What exactly does this mean? By agreeing to an investigation, the ITC, which oversees global commerce, has said they will gather evidence to see if "unfair" competition exists. They announced they will send out a questionnaire to the industry asking for specifics from the industry itself. The NTMA will be allowed to help form that questionnaire. The ITC will also hold several public meetings looking for specific cases and how it has affected individual companies. The NTMA will also put together general information about the industry and what we know about companies competing in the global marketplace and how they operate. The NTMA will need to poll other trade associations as well and pull in as much information as we can in order to build a case to prove our point.

This will not be an easy case. Even though everyone in the U.S. Precision Custom Manufacturing industry knows there is "unfair" competition, proving it will prove more difficult. The NTMA Government Affairs Dept. has made this a high priority part of its work this year. A lot of time and effort will be dedicated to this cause. If and when a company owner gets one of the questionnaires, the questionnaire needs to be filled out with as much detail as possible. Since the actual questionnaire has been formed yet, we guess questions like size of inquiries, how much, what kind of parts, who eventually won the contract and, if possible, what you were told it went for, may be possible. The ITC will be asking specifics. We hope to make a case that the projects lost constitute a certain percentage of the total sent out within a given time.

If the ITC finds that unfair competition does exist, companies in the industry can then file lawsuits. Since the NTMA is the "damaged" party, the NTMA can't file the suit. We will be able to help with it, but not be a party to it.

I have been preaching for years to anyone that will listen, that this industry needs to pull together in order to survive. NOW IS THE TIME TO PULL TOGETHER! I've already heard negative comments on if this will do any good. WE HAVE THE EAR OF THE PEOPLE THAT CAN MAKE A DIFFERENCE. If we don't do it now, we may not have another chance. Please help if called on.

Don't forget the NTMA Purchasing Fair in Indianapolis on April 24. Customers will be looking for new vendors. Will you be there?

As usual, for more details on any of this information, please visit the NTMA website at www.ntma.org or call us at 1-800-248-6862. Jim Grosmann

INSURANCE

Tom Rhoads and I recently met with Shane Howard and Jean Vande Laarschot of Sentry Insurance. We all sat down and went over the association agreement with Sentry Insurance. The most notable is the change to a "members only" royalty. Sentry, in the past, paid us a royalty on all the shops in our region who had Sentry Insurance whether they were members of the St. Louis Chapter or not, just so they were in the St. Louis Chapter boundaries. The new agreement states that Sentry will pay only on companies that are both St. Louis Chapter members and carry Sentry Insurance. Now, here is where you come in - we all need to work hard to keep our members, as well as sign up new members to our Chapter. If you know of a company that is not a member of the Chapter and should be, please contact Tom Rhoads at (636) 940-6059. And, most importantly, endorse Sentry Insurance. Syl Fontana, Insurance Chairman

E-MAIL ADDRESSES

Occasionally I send out information to the membership via e-mail. If you are not receiving e-mail messages from me and you would like to be included on the list, please give me a call at (314) 544-4678 or e-mail me at ntmastl@aol.com and give me your address. Thanks. Sharon

THE IMPACT OF FOREGN TRADE ON THE TOOL, DIE, AND INDUSTRIAL MOLD INDUSTRIES

Many of the NTMA members have in one way or another been impacted negatively by foreign trade. The U.S. International Trade Commission (ITC) is looking for input from industry on how our businesses have changed because of foreign competition. The ITC investigation will include covering matters related to tariffs or trade. NTMA is working with the ITC to conduct this investigation.

The ITC will be mailing out questionnaires to companies in the industry in an effort to gather data for their investigation. If you receive a questionnaire, it is very important that you take time to respond. This is our chance to let our government know how the current trade laws have impacted our industry as a whole! Words from John Cox: "We all know what foreign competition has done to us, this is our chance to do something about it." If you should have any questions, do not hesitate to contact NTMA at 1-800-248-6862. Kimberly A. Hayden

ARE YOU PARTICIPATING IN NTMA'S CONGRESSIONAL LETTER WRITING PROGRAM?

If you are not participating it's easy and better yet it is FREE. One way to make sure your voice is being heard in Congress is to write letters to Congress and the House of Representatives letting them know how you feel regarding pending legislation. As a small business owner this is not an easy task.

Thankfully NTMA makes it easy for you. If you want your voice to be heard but do not have time to write, the NTMA will do it for you. All you have to do is fill out the NTMA's Congressional Letter-Writing Program form, attach two copies of your stationary, and mail it to NTMA in Washington, MD. The NTMA will periodically send you a typed letter prepared on your scanned company stationary with your signature block and addressed to your Congressman. All you have to do is read it, sign it (if you agree with it), and mail it. NTMA also provides a mailing label. This service is FREE to regular NTMA members.

Currently the St. Louis Chapter has approximately 61% of its regular members taking advantage of this service. If you would like more information regarding this FREE NTMA service, please feel free to contact Kim Hayden of Supreme Tool and Die Company at 636-343-1722.

MEMBERSHIP CHANGES

The following Regular Members dropped their membership in NTMA: Arnette Pattern Company/Midwest Machining & Fabricating; Defiance Innovations Ltd. Company; Fab Lab, Inc.; Kuester Tool & Die, Inc.; and Savco Manufacturing Company Inc. The following Associate Member dropped membership: Yamazen Inc. The associate memberships of DADCO and Metal Express were terminated.

The 2002 membership directory is being created as you read this article. If you have changes in your company and have not notified me, please fax (314) 631-8865 or e-mail (NTMASTL@aol.com) these changes so that they are included in the new directory.

Sharon

MEMBERSHIP

The Membership Team has regrouped. The committee consists of Nick Berilla of Hartwig, Inc., Julie Krapf of Firstar, Glen Rakers of Sentry Insuarnce, Dick Frizzell of United Specialty, Shane Howard of Sentry Insurance, Travis Gnade of Crossland Machinery, Brad Turnquist of Metals USA, Kim Hayden of Supreme Tool & Die, and Jim Grosmann of NTMA. We need your help. Please let one of these people know if there is a company that you are aware of that is interested in becoming a member. These people are working hard for the Chapter, but you could make their job easier with a few phone calls. Tom Rhoads, Committee Chairman

MEMBERS IN THE NEWS

McMahon, Bergern, Hanna, Linihan, Cody & McCarthy is pleased to announce that Jeffrey D. Hackney, Associate and Charles W. Ahner, Jr, of Counsel have become associated with the firm.

First International Bank - UPS Capital, a subsidiary of the shipping giant United Parcel Service, has purchased First International Bank. The transaction, which took place in the summer of 2001, will allow First International Bank to expand its services and its clientele.

First International Bank has carved a niche in serving manufacturing firms, and one of the bank's biggest businesses is equipment financing. By stretching out payments over a longer term than most banks, First International can free up more money that a company can use for other purposes. The immediate cash can be more valuable in the long run, resulting in an incredible amount of flexibility for its clients.

First International's corporate headquarters are located in Hartford, Connecticut, with 15 other offices located around the country and 14 foreign offices. First International was formed in 1955 as a community bank in Enfield, Connecticut. in 1988, it changed its business to focus on commercial customers and moved its headquarters to Hartford. By 1991, the bank also began helping companies with financial services related to imports and exports. In 1999, the bank sold its retail locations, which allows the bank to focus strictly on the lending business. Loans the company offers include commercial mortgages, lines of credit and equipment financing. It provides some loans to foreign companies buying U.S.-made equipment. Affiliation with a larger company now means that larger loans than would have been contemplated before can now be entertained. The St. Louis office looks forward to a productive and prosperous 2002!

SME awarded its Benefactor Of The Year Award for 2001 to First International Bank. This award recognizes the time and effort given to SME by the bank's staff.

NTMA HOLDS 2001-2002 REGIONAL APPRENTICE COMPETITION

On December 12, 2001 the NTMA held its annual St. Louis Regional Apprentice Contest. This year the contest was held on the campus of Jefferson College in Hillsboro. Jim Newman, Jefferson College, administered the competition. Bob Arcipowski from Ranken Technical College in St. Louis was the judge, and Ron Bays of Jefferson College was assistant judge.

To qualify for this competition, the contestant must at least be in the last quarter of the fourth year of their Department of Labor sanctioned apprenticeship program and be sponsored by their employer. There were two contestants this year: Jason Borth, Bachman Machine Company, and Patrick Bartlett, Hydromat, Inc. Both were excellent representatives for their companies, and NTMA congratulates both men on a job well done.

Jason Borth, of Bachman Machine Company, won the competition. Borth is a graduate of Ranken Technical School. After graduation he returned to Bachman Machine Company and entered the Tool and Die Maker apprenticeship program sponsored through the U.S. Department of Labor, Bureau of Apprenticeship and Training. In November of 2001, after successfully completing the 8,000 hours of the apprenticeship program, the Department of Labor officially awarded Borth his certificate of completion. As the winner of the regional NTMA competition, Borth will represent the Bachman Machine Company and the Greater St. Louis Chapter of the NTMA in the 2002 National Competition being held at Ontario, California.

Borth was born and raised in the Granite City area and graduated from Edwardsville High School. Borth, his wife, Kelley, and their infant son, Parker, live in Granite City.

NTMA wishes to thank National Tool and Machine Company for carefully inspecting each part completed in this year's competition.

Thank you also to Supreme Tool & Die for arranging the donations of tooling fused for the competition by the following companies:

RANKEN TECHNICAL COLLEGE

Ranken will hold its annual spring open house on Sunday, March 10th, from 10:00 a.m. to 2:00 p.m. This is a great time to visit the college and renew old acquaintances. It's also a good time for anyone interested in attending the college to look at all of our technical programs. Alumni are especially welcome. This year we will have a big car show that should prove to be very interesting to all car buffs. If you have questions, please call Susan Krattli at (314) 286-4844.

Ranken's spring job fair will be held on Friday, March 15, from 11:00 a.m. to 1:00 p.m. Do you need to hire someone? This is an excellent opportunity to meet students for both part-time and full-time employment. Graduation is scheduled for May 9th and some students already have job offers. Please call Janie Summers at (314) 286-3665 to reserve a table at our job fair. Remember, it's free!

JIM TALENT VISITS ST. LOUIS CHAPTER

On January 8th the St. Louis Chapter was very pleased to have Jim Talent as their guest speaker at their regular meeting. Jim has always been a big supporter of our industry. He is currently running for a Senate seat against Jean Carnahan. Jim gave a very heart warming talk of family and family owned business. Jim comes from a family where his mother owned her own business as a court room stenographer, his father owned a law firm, and each of his siblings also owned their own business'. Jim is very involved with the small business community and is tuned into our needs. The NTMA presented Jim with a $1,000 check for his campaign. We all wish Jim luck running for Senate. Kim Hayden

NEW GRANDPARENTS

Tom & Barb Rhoads have a new granddaughter. Alyssa Michelle arrived Thursday, January 10th at 2:03 a.m. She weighed 7 lbs. 14 ozs. and was 20 1/2" long. Mom and baby are both doing well.

CAN YOU BRAG?

What is going on in your business? New products or services? New plant or new location? Used equipment for sale? We want to publish these items for FREE. Take advantage of this great way to get your important news out! Fax Sharon (314) 631-8865 or e-mail her (ntmastl@aol.com) with any articles that you would like to publish in the newsletter.

WELDING SAFETY

Protecting your employees and work area during welding operations is very important to any manufacturing facility. The enclosed Sentry "Safety Advisor: provides information on welding exposures and how to control them. For further information on this or other Loss Control Standards, please contact Shane Howard at (314) 822-7547.

NTMA PUBLICATIONS

Benchwork - Contents include: Introduction to practical benchwork; measurement systems, tools and fitting; layout principles; hand tools; power tools; special benchwork tools and procedures; and appendix. Catalog #4020D - $36.85 members - $40.95 non-members.

CNC: A First Look Primer - This text is a "first look" at computer numerical control. It is structured and designed to be a primer on the subject and to provide the beginning student of computer numerical control with a good, solid understanding of the basics, fundamentals, and principles of a highly skill-oriented technology by breaking the subject down into numerous single-topic learning units. This test is designed to be a secondary or postsecondary education student's first exposure to computer numerical control. Contains over 200 photographics and illustrations, and an illustrated glossary. Catalog #4070D - $58.45 members - $60.95 non-members.

Call NTMA at 1-800-832-7753 to order.

WEB PAGE

If you haven't taken a look at our web page, you ought to do so. It has meeting notices, minutes, membership roster, and much more. Our address is www.stlouis-ntma.com. There are also companies that advertise on the chapter web site. This is an automatic link from the chapter site to your site. If you are interested in advertising, the cost is $250.00 per year. Please call Sharon (314) 544-4678 to get your company name in front of thousands of people.

QUOTE

"A boss creates fear, a leader confidence. A boss fixes blame, a leader corrects mistakes. A boss knows all, a leader asks questions. A boss makes work drudgery, a leader makes it interesting. A boss interested in himself or herself, a leader is interested in the group." Russell H. Ewing

CULTIVATE LEADERSHIP

Sam Walton, the founder of Wal-Mart, had a winning philosophy concerning employee development. He always said, "Outstanding leaders go out of their way to boost the self esteem of their personnel. If people believe in themselves, it's amazing what they can accomplish."

Here are some ways to give your employees more say in what goes on and, in the process, improve your sales and earnings:

1. Challenge employees to come up with better ways to do their work. You may be surprised to find their suggestions valuable in more than one area.

2. Seek ideas from everyone, not just the people directly involved in the project. Often good ideas come from improbable sources.

3. Treat employees with honesty and respect. If their ideas are not going to be used, spell out why. Also, clarify the underlying reasons for decisions and policies.

4. Spread authority around. Make sure everyone has the authority to do his job. This includes making sure the person with the responsibility for a project also has the necessary authority to accomplish it.

There is an automobile plant where any worker aware of a problem on the assembly line has authority to shut down the entire line until the problem is solved. Allowing employees to have input over their environment and work encourages involvement, personal esteem, creative ideas and productivity. In other words, it pays off for everyone!

Senator Bill Bradley declared that "the business of leaders, of heroes, is tricky. Leadership is not something that is done to people, like fixing your teeth. Leadership is unlocking people's potential to become better."

A Chinese writer states, "A good commander does not rush ahead. A good fighter does not show anger. A good conqueror does not antagonize. A good emperor does not act superior."

BUSINESS/CUSTOMER FORECAST REPORT

Are you in the habit of reading this publication when it comes to you in the mail? If you are, well, you won't be seeing it come in the mail any more. This report will not be available to all members on line. Just log in to ntma.org. Click on Benefits & Services, click on Publications and scroll down to Periodicals & Publications.

More and more publications will only be available on line in the future so check the NTMA national web site often - ntma.org.

WHY BELONG TO NTMA?

The Power of Numbers - 2,500 companies across the country gives NTMA the attention of decision-makers and the ability to offer group benefits and discounts.

The Power of Information - NTMA provides the power of information at your fingertips. Local programming and National resources focus on giving you the advantage of information and research to help your company make decisions which benefit your bottom line.

DISCOUNT REMINDER!

Broadwing Telecommunications - Offers great long distance service rates, data, and Internet services. Call them at (800) 342-6287.

CALENDAR OF EVENTS

National Meetings
Local Meetings

March 13 & 14 - Career Awareness Fair - Convention Center
April 21 - Ladies Night - Teri Clemens, speaker - to be determined
May 7 - Plant Tour - Supreme Tool & Die - Soccer Park
June 4 - Employee Appreciation Night - to be determined
July 26-28 - Joint Membership Meeting - Country Club Hotel & Spa - Lake Ozark, MO
September 10 - Plant Tour - Corbitt Manufacturing - to be determined
October 1 -Tom McCarthy, McMahon, Berger - to be determined
November 5 - Installation of Directors/National Chairman - to be determined
December 13 - Annual Christmas Party - Pere Marquette Lodge & Conference Center

Trade Shows

March 13-14, 2002 - Dallas/Ft. Worth Industrial Engineering & Plant Operations Show
Arlington Convention Center, Arlington, TX ( 800-648-2792)
April 3-4, 2002 - Springfield Industrial Engineering & Plant Operations Show
Ozark Empire Fairgrounds/E-Plex, Springfield, MO (800-648-2792)
September 25-26, 2002 - Northwest Arkansas Ind. Engineering & Plant Operations Show
Northwest Arkansas Convention Center, Springdale, AR (800-648-2792)
December 4-5, 2002 - MO/KS Industrial Operations & Maintenance Show
Overland Park Convention Center, Overland Park, KS (800-648-2792)
October 14-16, 2003 - Wichita Industrial Trade Show
Century II Expo Hall, Wichita, KS (316-942-9415)

SUPPORT YOUR ASSOCIATE MEMBERS

Without the following members, our Association would not be the same. Our Associate Members are:

BKD, LLP - (314) 231-5544
Bodycote Thermal Processing - (314) 382-6200
Crossland Machinery Company - (314) 918-1334
Crucible Service Center - (636) 272-7220
DADCO - Central States Technical Center - (636) 271-7116
First International Bank - (314) 205-0709
Ford Tool Steels, Inc. - (314) 772-3322
Grossman Iron & Steel Company - (314) 231-9423
Haas Factory Outlet - (314) 567-4227
Hartwig, Inc. - (314) 426-5300
Lee Horneyer Company - (314) 432-4115
Illinois Manufacturing Extension Center - (618) 453-3829
McClain Tool & Technology, Inc. - (314) 432-3220
McMahon, Berger, Hanna, Linihan, Cody & McCarthy - (314) 567-7350
Metal Express - (314) 890-9024
Metal Services International - (626) 349-1444
Mid-America Trade Adjustment Assistance Center (MAMTAAC) - (816) 246-1555
Midwest Bank Centre - (314) 544-7260
Musick Plating Company, Inc. - (314) 621-3110
Paulo Products - (314) 647-7500
Sentry Insurance - (314) 862-9571
C. J. Smith Machinery Company - (636) 349-7757
TMX Copper & Brass Sales - 1-800-926-2600
United Specialty - (314) 241-7801
Wesco Machinery & Industrial Mover's - (314) 421-4654
Westhoff Machine Company - (314) 963-7130
Yamazen, Inc. - (314) 298-8989
Zimmerman-McDonald Machine, Inc. - (314) 291-9360