2019 Southern Annual Meeting Magazine

“The best prophet of the future is the past.”

-LORD BYRON

96TH ANNUAL MEETING IMPROVING THE QUALITY OF WHOLESALE DISTRIBUTORS PROGRAMS, SERVICES & OPERATIONS

JUNE 11-14, 2019 • WILLIAMSBURG, VA VENDOR EVENT DATES JUNE 13 & 14 • COLONIAL WILLIAMSBURG LODGE

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FOR MORE INFORMATION, VISIT THE-SOUTHERN.ORG

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WELCOME! TO THE SOUTHERN’S 96TH ANNUAL MEETING TABLE OF CONTENTS

Letter from the Virginia Chamber of Commerce.................................................................................................... 2 Letter from the Mayor of Williamsburg, VA.............................................................................................................. 4 Letter from the SAWD President.................................................................................................................................. 6 Letter from the SLD President....................................................................................................................................... 8 Hospitality Suite............................................................................................................................................................... 10 First Lady’s Social Invitation........................................................................................................................................ 12 Letter from the CEO....................................................................................................................................................... 14 Transforming Data Into Productivity and Profit................................................................................................... 16 2018 Southern Award Winners.................................................................................................................................. 20 Meetings with a Mission............................................................................................................................................... 21 2019 Southern Award Winners................................................................................................................................... 22 How Changing Your Mindset Can Change Your Life........................................................................................... 26 Wholesaler Highlight: Q&A with Steve Douglas, Douglas Companies........................................................ 29 22nd Annual Silent Auction....................................................................................................................................... 30 2018 SLD Business Resource Meeting.................................................................................................................... 32 Save the Date: 2019 SLD Business Resource Meeting....................................................................................... 34 Schedule of Events.......................................................................................................................................................... 36 Education Fund Contributors.................................................................................................................................... 38 Council of Presidents.................................................................................................................................................... 40 A Note About Anti-Trust............................................................................................................................................... 41 Executive Committee.................................................................................................................................................... 42 State Directors.......................................................................................................................................................... 44, 46 At-Large Directors.......................................................................................................................................................... 48 Board Broker Rep, SLD Rep, Legislative Liaison................................................................................................... 48 Manufacturer Representatives.................................................................................................................................. 50 SLD Officers & Directors............................................................................................................................................... 54 New Vendors in 2019.................................................................................................................................................... 57 Vendor Highlight: Q&A with Jebb Maginnis, CDR............................................................................................... 61 2018 Myrtle Beach Wrap-Up....................................................................................................................................... 62 2019 Board Mid-Year Meeting................................................................................................................................... 64 97th Annual Meeting Announcement.................................................................................................................... 65 2019 SAWD College Scholarship Winners.............................................................................................................. 66 Award-Winning Essay: How do you think the popularity of electric cars affect the convenience store industry?................................................................................................................... 67 Advertisers Directory.................................................................................................................................................... 68

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 1

A Welcome from the Virginia Chamber of Commerce Barry DuVal President and CEO Virginia Chamber of Commerce On behalf of the Virginia Chamber of Commerce, I would like to welcome you to the Commonwealth of Virginia. We are pleased to have the Southern Association of Wholesale Distributors select our very own historic Williamsburg as the location for its 96th Annual Meeting.

The Virginia Chamber of Commerce, with over 26,000 members, is the leading non-partisan business advocacy organization committed to promoting long-term economic growth in the Commonwealth.

In 2017, the Virginia Chamber released Blueprint Virginia 2025, an update to our long-term strategic economic development plan.

During the development process, we engaged over 6,000 business and community leaders to build an action plan for strengthening economic competitiveness.

Blueprint Virginia 2025 recognizes the crucial role job growth plays in the overall economic success of any state. As invested members of the business community from all areas of the nation, we would like to thank you for the role you play in job creation and economic growth.

I commend you for your commitment and active participation in this Annual Meeting and I hope you find the programming to be thought-provoking and supportive of your own organization’s future success. I am confident you will enjoy your time in Williamsburg, and should your organization seek to expand into the Commonwealth, we would be pleased to welcome you.

Best Regards, Barry DuVal President & CEO Virginia Chamber of Commerce To learn more about the Virginia Chamber of Commerce or find a full copy of Blueprint Virginia 2025 please visit www.VAChamber.com

CELEBRATING THE POWER OF PARTNERSHIP

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MESSAGE FROM THE SAWD PRESIDENT: STEVE DOUGLAS, DOUGLAS COMPANIES

THE FUTURE MAY LEARN FROM THE PAST Welcome to Colonial Williamsburg, where you can witness what our forefathers dreamed when building what I believe to be the greatest nation on earth. It is here that those most important Nation Builders began to write the American story and ideas which we are blessed to live today. You will have the chance to meet and yes, even visit with some very historic figures. Bring your red, white, and blue and wear it with pride as you enjoy this unique American experience.

Colonial Williamsburg has a motto that I believe fits our business…”That the future may learn from the past.”This, like our show theme “The best prophet of the future is the past”, gives us a chance to reflect on our past when making decisions for our future. While our industry has enjoyed a successful and rich history, we have also experienced our share of challenges. Our distributor community has always risen to meet these challenges with innovation, technology, adaptation and plain hard work. The range and pace at which we are facing new challenges can make our future seem uncertain at times, but as we envision what our role will be in the

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convenience distribution supply chain, I have no doubt our members will find a way to remain relevant and viable for the Future of the industry and our individual businesses. Many of these answers may be found as we reflect on how we have overcome our challenges of the past.

As I look back over the years and think about the role the Southern has played in moving our family business forward, I always come back to the friendships that have been made. The trading of ideas, problems and successes have made these relationships even stronger. My parents were active in the SAWD and made some of their fondest memories through this association. Anne and I have had the opportunity to maintain and add to these friendships. We cherish them greatly.

Now there is a third generation at our Company who I know will also have the opportunity to make and enjoy enduring friendships while learning from the previous generations.

This past fall, I attended the annual SLD meeting in Minneapolis, MN which was graciously hosted by Scott Hill with Jack

Link’s Snacks. After a couple of days spent getting to know the future leaders of our industry, I can assure you we are in good hands. We will see many new and innovative methods of doing business with the next generation.

The old saying “the days are long, but the years are short” definitely describes my tenure as the President of the SAWD. My time as President has passed too quickly.

The time spent working with the executive committee has reminded me not only of the talent and leadership this group holds, but also of just what great people are in our industry who play important roles in their own companies and communities.

They have an unyielding commitment to our distributor community and the SAWD. We have worked hard to make sure our association is on a path to continue for many years and based upon the steadfast members of The Southern, I am confident we have exciting days ahead.

Steve Douglas

Delivering the

future of convenience today.

Core-Mark understands that there are dynamic swings in the retail market all the time. And that innovation, consumer-driven,

market-based programs and rapid response are key to the success of your business.

Core-Mark has focused its efforts towards the advancement of your business with our Vendor Consolidation Initiative (VCI), Focused Marketing Initiative (FMI), Fresh and Foodservice Marketing Programs and technological breakthroughs in ordering solution platforms.

To keep on trend and support our health-conscious customers, Core-Mark provides a wide variety of ‘good-for-you’ snacks and beverages. All of which, allows your business to increase foot traffic, efficiency and profitability.

The future is now. Become a partner today! Contact your local Core-Mark representative or visit: www.core-mark.com Atlanta Eric Meyer 4820 North Church Ln. Smyrna, GA 30080 (404) 792-2000

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Carolina Michael Davenport 1144 Broadway Rd. Sanford, NC 27332 (919) 774-9444

Forrest City John Mollet 3400 Commerce Rd. Forrest City, AR 72335 (870) 633-2044

Ft. Worth Matt Firlit 6401 Will Rogers Blvd.

Fort Worth, TX 76134 (817) 293-5558

Kentucky Matt Ashley 1055 Salt River Rd. Leitchfield, KY 42754 (270) 259-9341

Tampa Jason Nevin 9020 King Palm Dr. Tampa, FL 33619 (813) 664-0474

MESSAGE FROM THE SLD PRESIDENT: JAKE STEWART, STEWART DISTRIBUTION

ROLLING WITH THE CHANGES It’s easy for me to admit that I have listened to more REO Speedwagon songs than your typical millennial, in fact, I brag about that. They just don’t know what they’re missing. I think their song “roll with the changes” is a very accurate description of the c-store business we operate in, although “Riding the storm out” may be more applicable to a family business. We focused on some of this change during our meetings this past year.

To kick off my first year as President of the prestigious Southern Leadership Division (SLD) we ventured to sunny and warm Minneapolis, Minnesota and its delightful single digit temperatures.

While in Minneapolis, we listened to Terry McKenna speak on “How to Create a High Performance Organization” and how to “Take Change by the Hand Before it Takes You by the Throat.”

Creating a High Performance Organization helped us focus on the areas we feel we can approve on while shedding some light on the things we do well and leverage that to our advantage.

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We developed strategies for maximizing our strengths and developing our weaknesses and vulnerabilities.

Later, we dialed in on change and the promises and perils that come with it.

High performance organizations are quick and agile in dealing with change and use it to their advantage. We learned the best way to adapt to change is being the ones creating it. For my baseball fans, you want to be the one throwing the curve ball, not adjusting to it mid air.

We sandwiched Terry Mckenna’s sessions with a tour of Jack Links new R&D facility and test kitchen. Here, we saw how the jerky was prepared and cooked. We learned how much time and effort goes in to each flavor and learned a little about the flavors that didn’t make the cut. Who thought pop rocks was a good idea???

This was a great experience for all who came. It was great to see the hard work and detail that goes in to our favorite beef jerky bags. A big thanks to Scott Hill and all those involved who made this possible.

Scott and Jack Links were great hosts.

We capped off our last night in town with a Minnesota Timberwolves NBA game.

This allowed more time for networking in an environment that we had not experienced yet. Again, a big thanks to Jack Links for the tickets and the suite we watched from. Cutting down the nets at the end of the game was a great added bonus for us.

The bar has certainly been set high after this meeting, but I continue to look forward to it every year. I hope to see this group continue to grow and want to invite anyone and everyone to this year’s meeting in Hilton Head, South Carolina. Contrary to some belief the SLD is welcome to all ages and members of the SAWD, as evident by the presence of Steve Douglas at the 2018 meeting. I look forward to seeing many of you in Hilton Head.

Thank you.

Jake Stewart

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Hospitality SUITE

Be sure to drop by our Southern Hospitality Suite during the day for a cup of coffee or a soft drink and in the evening, a hosted bar. It’s a great place to meet, make plans with friends, or just relax. Adjacent to the Hospitality Suite will be the Silent Auction to benefit our Education Fund. This Silent Auction features over $15,000 worth of items contributed by the members of the Board of Directors, vendors, and others.

HOURS OPEN:

Wednesday evening: After Dinner (about 10:00pm) - Until Thursday: 9:00am to 5:00pm Thursday evening: After Dinner (about 10:00pm) - Until The “Southern Hospitality Suite” is provided to all convention delegates by the Manufacturer & Broker Representatives on your Southern Board of Directors:

Altria Group Distribution Company American Snuff Company Burdette Beckmann Creative Data Research Dot Foods ITG Brands Jack Link’s Protein Snacks Lil’ Drug Store Products Matrix Brokerage National Tobacco ProCat Distribution Technologies RAI Trade Marketing Services Republic Tobacco Company Swedish Match Swisher International The Hershey Company

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 11

First Lady’s SOCIAL

First Lady Anne Douglas would like to extend an invitation to all spouses and guests attending the Annual Meeting, to join her for the First Lady’s Social which will be held on

THURSDAY, JUNE 13 10:00AM UNTIL 11:30AM This is an ideal opportunity to meet some of the other attendees while enjoying brunch.

This event is also a great meeting place to gather with friends prior to going out for the day.

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MESSAGE FROM CHIEF EXECUTIVE OFFICER: GREG MARTIN

AT THE CROSSROADS Intersections have always intrigued me.

Here in Atlanta, the intersection of Interstate 85 and Interstate 285 on the north side of town is a multi-level, byzantine complex of roads and overpasses known to locals as “spaghetti junction” because of its likeness to…well…you get it.

Although, it is not physical intersections so much as relational or time-oriented ones that are most interesting. When our past intersects our present is an interesting one and one in which the marketers of Colonial Williamsburg capitalize on heavily: “The past intersects the present on a daily basis in Williamsburg, VA.” Culture, science, laws, public opinion, agriculture and economics have intersected in our society and our industry for decades as it relates to tobacco. These same components are again intertwined - this time with products derived from the cannabis plant.

I never imagined that I would be part of producing a meeting for corporate executives where the primary focus of the educational content was around the business and legal issues involved with the sale of

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product derived from the cannabis plant – yet here I am. Apparently, I’m not alone in failing to see this coming. The evolution of CBD products into mainstream discussions and markets has occurred extraordinarily quickly, catching a lot of industry insiders scratching their heads over what to do, when, and with whom, or whether to do anything at all.

Thankfully, the Southern has a long history of addressing industry and organizational issues head-on and this year is no different. Our meeting features two different sessions addressing the business and legal aspects of CBD products, covering what distributors need to know and do now to position themselves for profitability in this fast-moving category, and how to protect themselves from related liability.

“Networking” is a cliché’ in the business of marketing meetings and, like most overused expressions, it gets dismissed and discounted in the minds of attendees.

Networking – at its core – is a powerful intersection; it involves like-minded people being in the same place at the same time, and for a similar purpose. And, no one

crafts this form of intersection better than the Southern. We have over 600 guaranteed business appointments, a half-day house of deals, 3 receptions, 2 hospitality suites, a golf tournament, a cooking class and almost unlimited “hall talk” to prove it.

Successful businessmen and women navigate the crossroads of adversity and opportunity on a regular basis. No one does a better job of giving voice to this intersection than our keynote speaker, John Register. From four-time track and field all-American, to Gulf War Army veteran, to amputee, to Paralympic silver medalist, John has never allowed adversity to hold him back. His story will both challenge and inspire you.

It is at intersections where we have the chance to choose a new direction. Join us in Williamsburg as we explore what all this can mean for your business, our organization, and the industry at large.

I look forward to seeing you there,

Greg Martin

Altria Group Distribution Company salutes The Southern Association of Wholesale Distributors.

We salute you on another successful meeting and we thank you for your continued support!

To learn more, visit Insightsc3m.com.

Altria Group, Inc. 2016; For trade purposes only.

Š

EVENT SPEAKER: ADAM BURKE, CO-FOUNDER, NOWSIGHT

TRANSFORMING DATA INTO PRODUCTIVITY AND PROFIT If you’re like most distributors, you’ve invested in picking scanners and software to increase order accuracy, order completeness, and productivity. But it’s very likely additional insights are hidden in your data showing how you’re losing top-line growth and bottom-line savings. How can you turn your existing data sources into actionable, profitable information?

Productivity: Combining Accuracy and Speed When you evaluate picker productivity, you’re assessing accuracy and speed. Accuracy is easily improved with scanners alerting employees if they try to include the wrong item or quantity. However, speed can be trickier to measure because it’s not just how fast employees complete an order, but performance over an entire shift and what they do between picking orders.

One thing that surprises most distributors is downtime incidents—how many times during a shift an employee goes more than 5 minutes between picks or orders. Ideally, this number is only three—lunchtime and two breaks. But it’s not uncommon to find employees who have 5-10 downtime incidents, or more! That’s the equivalent of someone running at 60-80% uptime. You’re paying

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for an 8-hour shift but only getting 4-6 hours of productive work—or less!

To see how productive your pickers are, layer a Business Intelligence system on top of your current software, and choose a vendor who can do it seamlessly, with no IT staff-up. This level of insight enables you to manage, hire, and benchmark employees to create a highly efficient and productive workforce.

Drive Savings with the Power of Knowledge Distributors find they benefit from these actionable insights by: • Improved picking staff productivity up to 50% or more • Employee morale improves because high-performers want to be surrounded by—and challenged by— other high performers • Dashboards posted around the floor encourage employees to beat their prior best scores and how they compare to colleagues • Eliminated cherry-picking small lineitem orders, which makes a picker look more productive • Improved attainment on incentive programs results in personal financial rewards.

Applying Business Intelligence to Stock-

ing, supervisors can be alerted when a SKU is in danger of going out-of-stock (before or after it happens). Combining data from warehouse inventory reports, out-of-stock reports, and picker status creates a single source of truth for everyone to operate from.

Insights Beyond the Warehouse Other functions can also benefit from Business Intelligence. Sales and Finance teams can view real-time profit-per-store and inventory reports. Using the data you are already collecting—shipment information, returns, claims—you can measure profitability-per-stop, promotion attainment data, and more.

A customized Morning Summary Report email allows executives and senior staff to see real-time operations, financials, and sales from the prior day and overnight. Issues can be quickly identified and fixed—and automated alerts by text or email can be set for when specific issues occur that need to be immediately addressed.

How Business Insights and Rules of Engagement Work Together

Based on decades of management expertise, we’ve found that leveraging 5 Rules for Breakout Performance can accelerate your business to its highest potential, while also delivering actionable insights into your operations—right when and where you need them. Having data is great, but if you can’t act on it at the moment an anomaly is found, it’s not useful. Having these “rules” built into your performance dashboard ensures that you are always looking at your data through an impactful lens.

5 Rules of Engagement for Breakout Performance Rule 1: Hit Your Goals This may seem obvious, but goals must be measurable, reasonable, and attainable. Focus on achievable milestones (KPIs) and put tools (dashboards) in place for teams to measure progress. Create goals that are attainable yet stretch the team to improve—benchmark your top

5 performers and try to get everyone to first achieve 90% of the top performers average (and look closely at those who are consistently 50%-60% less than the top performers).

Rule 2: Improve toward your goals Recognize incremental achievements on the road to hitting the larger goal.

This also allows managers to spot when something doesn’t continue improving so that it can be quickly analyzed.

Rule 3: Clear & Credible Plan Employees and managers must collaborate on plans for success—everything from achieving personal KPIs, new approaches to work, incentive/reward programs, and consequences for non-performance.

Rule 4: Ask for Help Starting at the top, it’s critical to build a culture of seeking help when needed.

Dashboards show who the top perform-

ers are, and people should seek out improvement tips from the superstars.

Rule 5: Missing the Mark: Red Zone If people are failing to hit their goals, not improving, not proactively creating a success roadmap, and not asking for help, you and/or your team are in the red zone. Realistic conversations about performance, capabilities, and alignment within the organization need to happen to allow the team to excel.

Have it All: Bottom-Line Savings and Top-Line Growth Business Intelligence can sound like a nebulous idea—but today’s BI solutions can drive significant business impact without taxing your limited resources.

To read more about the 5 Rules of Engagement for Breakout Performance, you can download a free whitepaper at wp.nowsight.com/southernannualmeeting. n

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 17

2018 SOUTHERN AWARD WINNERS

Outgoing SLD Leader Leanne Jennings with JL Gaddy

Southern Career Achievement Award Bill Wilkerson with JL Gaddy

Southern Hershey Leadership Award Randy Emanuelson with Team Sledd

Southern Liberty Award Corey Cooper with Indian Nation and Jimmy Naifeh with Standard Distributing

Southern SAWD Service Award Sam Stewart with Stewart Candy

Southern SLD Leader of Year Award Brandon Mohr with Altria

Southern Vendor of Year Award Craig Leiker with ITG Brands

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MEETINGS WITH A MISSION

PAST MEETINGS WITH A MISSION MEETINGS WITH A MISSION was designed to encourage connections between our attendees and those in the community..

In 2018, we partnered with Wounded Warrior Project. More than 52,000 servicemen and women were physically injured in recent military conflicts with over 500,000 living with invisible wounds, from depression to posttraumatic stress disorder, and 320,000 experiencing debilitating brain trauma. With the support of the community of donors and team members, they give a voice to those needs and empower our warriors to begin the journey to recovery.

We are proud to announce that we collected over $3600. Thank you to everyone who contributed!

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 21

2019 THE SOUTHERN AWARD WINNERS

Career Achievement Award Charlie Casper Hardec’s

Career Achievement Award Dave Riser RAI Trade Marketing Services

Liberty Award Kevin Barney Atlantic Dominion

SAWD Service Award Scott McPherson Core-Mark 22 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

Hershey Leadership Award Steve Douglas Douglas Companies

SAWD Service Award Scott Hill Jack Link’s

SLD Leader of the Year Award Morgan Allain Franklin Supply

Vendor of the Year Bennett Roberts Matrix Brokerage

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 23

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MERIDIAN Kenny Coghlan Sam E. Long, III Trey Long

CORINTH Rusty Boone Colby Carmichiel Tracy Dye Jeff Johnson Randy Long Tommy Stine

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THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 25

EVENT SPEAKER: JOHN REGISTER, FOUNDER AND CEO,INSPIRED COMMUNICATIONS INTERNATIONAL, LLC

CHANGING YOUR MINDSET CAN CHANGE YOUR LIFE After a devastating and career-ending injury, Register underwent a life-altering transition — from Olympic hopeful and Army Officer Candidate one day, to an amputee the next.

Nevertheless, he overcame tough obstacles and hurdled adversity. Just four years later, after re-learning how to run on a prosthesis, Register won the Paralympic silver medal in long jump in Sydney, Australia.

We spoke with Register to hear how he credits his success to his inherent sense of resiliency.

1. Following your injury, how did you hurdle adversity to adjust to your new normal?

I was really in a bad state. Though I knew things would eventually work out, for a moment, I went into a depression. I began to think, “Who am I now? What’s my identity? What’s going to happen with my family? My job? Can I still support my family?” And, “My Olympic dreams are over!”

arms around me and asked me what was wrong. I told her all my fears from the night before.

Then she said the words that stopped my downward spiral in my depression.

She said, “We’re going to get through this together. It’s just our new normal.”

From there, adjusting to the “new normal” was easy. The word “new” means “no prior point of reference.” And “normal” means “an everyday typical occurrence of something.” So, every day I resolved in myself to be better today than I was yesterday — to try something new that I had not tried before. And little by little, I began to gain more confidence. I swam for physical therapy and wound up making the Paralympic swimming team. Go figure.

2. Tell us about the USOC Paralympic Military Program you helped create as part of the U.S. Olympic Committee.

With my new amputated leg and a wheelchair, my wife Alice and my son wheeled me out to an inaccessible playground. As they were swinging on the swings, I was unable to push myself out of that chair.

That’s when I lost it. I began crying uncontrollably.

The United States Paralympic military program began with very humble beginnings in 2004, with the first casualties coming back from Afghanistan and Iraq.

During my recovery at Brooklyn Medical Center, I didn’t have a lot of people checking on me. It felt as if I was a forgotten soldier. At the recommendation of a physical therapist, I used sport as a tool for my rehabilitation.

Alice saw me struggling and she came running over to me. She wrapped her

When the opportunity arose to begin the Paralympic military support program, it

26 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

was underneath the auspices of using sport as a tool for rehabilitation for the service members, to get back to a healthy and active lifestyle.

Early in 2004, we started with a very small basketball clinic. We invited the players from Georgetown University and the soldiers who were on Ward 22 in Walter Reed army hospital. Wheelchairs were provided, to have some friendly competition.

Its popularity went through the roof! We did two more clinics that year: a wheelchair fencing clinic and another basketball clinic and added wheelchair rugby. The latter program came just before the 2004 Paralympic Games in Athens, Greece.

Due to the rapid expansion of the program, I went to the United States Congress and secured funding for the additional chapters. Eventually, this led to the Warrior Games, and then to Prince Harry’s Invictus Games.

The outcomes of the program are still being realized today. There have been multiple soldiers on Paralympic teams, and they’ve gotten back into healthy and

active lifestyles with their families. They have normalized back into society again — if there is such a thing.

The program has inspired other countries to be involved in the welfare of people with disabilities, even beyond just those in military service. I am humbled to have been a part of that process.

3. What advice do you give others about creating the right mindset when facing life’s adversity and obstacles?

I believe that we need to surround ourselves with people who will not allow us to fail.

All of us will face something that is a challenge in our life. We think we know how we will handle a situation once an obstacle or challenge pops up. But often, we really don’t know what to do.

Inside of this “test period,” we learn our true identity and our true character. It is then we understand who we are. The question I ask you to consider is, “Who is in your life that you can call upon when you’re in trouble?”

Secondly, I believe we have to monitor what we are feeding our minds. If we’re listening to things that are more negative, it is more likely we’ll have a negative viewpoint of life.

When was the last time you listened to the news? How many positive stories did you hear during the broadcast? Probably not many.

Once we allow negativity to take root in our minds, we began to speak those words and reflect it out into the world.

Those words become our actions, those actions become habits, those habits become our character. The reason I started

“Life’s New Normal Podcast” was to be an antithesis to the negativity that seems to be all around us.

Finally, remember that adversity can be seen in two ways. It can be a detriment and an obstacle. Or, it can be liberating and an opportunity. It is our mindset which determines the way we see it.

When I coach hurdlers and track and field, I no longer called them hurdles. They’re now called “opportunities.” Referring to them in this way removes their fear of running over the hurdles.

So when I have new hurdles, I tell them, “Today, we have ten opportunities ahead of us.” n For more insights from John Register go to blog.wsb.com/3-questions-john-register-resiliency.

A LOOK BACK...

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 27

Merchants Grocery coMpany, Inc. A Company You Can Count On

We proudly support THE SOUTHERN ASSOCIATION OF

WHOLESALE DISTRIBUTORS 800 Maddox Drive Culpeper, VA 22701 Phone: 540.825.0786 Fax: 540.825.9016

www.merchants-grocery.com

WHOLESALER HIGHLIGHT: Q&A WITH STEVE DOUGLAS, PRESIDENT/CEO, DOUGLAS COMPANIES

Q: Could you give me a brief history of your company and how you got started in the business?

A: Douglas Companies was started in 1973 by my parents Bob and Mary Glynn Douglas. Following college and military service, my father started working for his father-in law in the meat packing business selling beef and pork products to retail and wholesale customers. One of their clients, Piggly Wiggly located in Shreveport (LA), asked if they knew anyone in Arkansas that could stamp cigarettes for them. It was at that moment the company was started from very humble beginnings with three employees in Texarkana, AR. Today, I still office in the original location in the building that had formerly served as a sausage kitchen.

Q: Number of years personally in the business?

A: I was 13 when the company was started. My dad had me stamping cigarettes and stocking shelves shortly thereafter. I worked in the business every summer through college and returned following my graduation in 1982.

Douglas Companies is the only job I’ve ever had.

Q: How many years has the company been in business and how many employees are there?

A: My father started the company on his birthday: July 31, 1973 which puts us right at 46 years old. We have 125 team members many of which have been a part of Douglas for 25+ years.

Q: What is necessary to succeed in this business?

A: This business has a lot of moving parts and requires significant attention to detail. Like most businesses these days, having great people is what I see as the most important part of being successful.

Q: Is there anyone who has been a mentor for you in the industry?

A: My parents were my mentors when I started in this business. Today, I look to the group of friends I have made in this business over the years especially those who are a part of the SAWD. They are always willing to share their experiences and advice.

Q: How long have you been a member of The Southern?

A: I started attending Southern meetings with my parents in the late 80s.

Q: What keeps you coming back to the meetings?

A: Seeing friends and their families, and always picking up a nugget or two that I can take back home to make our business better. The SAWD is not a large association, so the individual interaction is on a very personal level.

Q: What is the best part of the meetings?

A: Seeing old friends and making new ones. Our meeting locations are also first class and most likely places I would have never visited had it not been for the Southern. The friendships I’ve made while a member of the Southern are for a lifetime.

Q: What are your words of wisdom to someone getting started in the business?

A: Networking is vital in any type of business you are in. Reach out to your peers in this business and I’m sure you will find they are more than willing to share their ideas and thoughts. It always makes me feel better to reach out to someone and find out I’m not the only one with the same problem or issue.

Q: What is the main reason someone should be a member of The Southern?

A: I’ve never understood how folks that don’t actively participate in trade associations know what’s going on.

Being a member of a trade association is a good start , actively participating is where you really get the most benefit.

You will leave every meeting with several new ideas to take back home and advance your company.

Q: What is the biggest issue facing this industry today?

A: I think there are two big issues today in this business. The one we most recently have spent the most time talking about is “drivers” along with all the other costs that go with getting the product from our warehouses to the retailers. And as always, government. More rules to follow, and forms to fill out.

Q: If someone were interested in coming to the Annual Meeting for the first time, what would you advise them?

A: To get the most out of the annual meeting, it is important to attend all the workshops but also the social events and dinners. Introduce yourself to everyone and you will feel right at home. Many of the conversations are on solving industry issues and best practices. We all learn from each other.

Q: Tell us about yourself and your family?

A: My wife Anne and I have been married for 36 years. We met in college and married after graduation. We have two children, Sarah and her husband Robert, and Taylor and his wife Jane Elizabeth. We have one grandson, Douglas Beach. Both of our children now work in the business. We are all avid Razorback fans except for our new daughter in law, Jane Elizabeth who is always saying Roll Tide! n

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 29

22ND ANNUAL

SILENT AUCTION TO BENEFIT THE EDUCATION FUND

The Southern’s Education Fund was established a number of years ago to provide educational opportunities for members, their employees and family members. The Silent Auction, which will be held throughout the convention, will raise money for the fund.

Our Education and Convention Committees last year were successful in raising over $15,000 for our Education Fund through the Silent Auction. With your support and participation, we hope to exceed that figure this year. Items are offered through the generosity of Southern members and vendors.

30 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

WE PROUDLY SUPPORT

THE SOUTHERN ASSOCIATION OF WHOLESALE DISTRIBUTORS 100 East Cove Extension - P. O. Box 2018 - Wheeling, WV 26003

Phone: 304-243-1820

www.TEAMSLEDD.COM

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 31

2018 SLD BUSINESS RESOURCE MEETING

Minneapolis This past November the Southern Leadership Division (SLD) again bravely headed north to the Twin Cities, for our annual business resource meeting. In honor of Veterans Day, we kicked off the 3-day meeting by partnering with Operation Gratitude to support our U.S. Troops, 1st Responders, Veterans, Military families and wounded Heroes. We rolled up our sleeves and stuffed 225 teddy bears and wrote personal letters of appreciation to servicemen and women in the field. Thank you to our member Altria Group Distribution Company and Brandon Mohr, for organizing this great hands-on event.

After lunch, we got together in teams and tried to outsmart each other in an exciting Escape Room challenge. Immediately following, Jill Johnson, president and founder of Johnson Consulting (and a 4th generation entrepreneur in a family-owned business), shared with us the critical information that our senior executives need from us in order to succeed.

On day two of the 3-day meeting, we invited Terry McKenna, one of our most popular past speakers to date, to join us again to talk about how to create a high-performance organization. After lunch, everyone took a tour of the Jack Links R&D/Test Kitchen Tour (aka Jack’s Place). We had the opportunity to experience firsthand how Jack Links’ products are developed and packaged. We finished off the day by attending a Timberwolves game, as guests of our host Jack Link’s. Thank you to our member Jack Link’s for their generous hospitality.

32 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 33

SAVE THE DATE

SLD Business Resource Meeting

Nov. 5-7, 2019 • Sonesta Resort, Hilton Head Island

Our winning combination packs quite a punch.

We’re proud to announce Swisher Sweets Original and Swisher Diamonds have claimed the #1 and #2 best-selling titles. In fact, Swisher International owns over 33% of the total large cigar market share. With no signs of slowing down, we’re always committed to delivering heavy hitters that keep your customers happy.

SWISHERSWEETS.COM

*MSAi Database - 26 wks ending 8/11/18.

800.874.9720

96TH ANNUAL MEETING • SCHEDULE OF EVENTS •

Note: This is a tentative schedule of events. All details subject to change. the-Southern.org will always have the latest information. The on-site program supersedes all pre-printed materials.

After Dinner-Until Hospitality Suite

Open to All

TUESDAY, JUNE 11

7:30AM - 5:00PM Registration Desk Open 7:30AM - 8:30AM Kick-Off Breakfast (Continental) Join us for a fresh breakfast and plenty of coffee to help get ready for a jam-packed schedule.

2:00PM - 5:30PM Registration Desk Open 2:15PM - 3:15PM Chair/Vice Chair Meeting 3:30PM - 4:30PM Committee Meetings 4:30PM - 5:30PM Finance & Budget

Committee Meeting 5:30PM - 6:30PM Executive Committee Meeting 7:00PM - 9:30PM Chairman’s Reception &

Dinner at Williamsburg

Inn (Depart hotel at 7:00PM) For members of

the Board of Directors

and Past Presidents

WEDNESDAY, JUNE 12

8:00AM - 1:00PM Golf Tournament

Williamsburg Gold Course (Depart hotel at 6:30AM for breakfast and practice time at the course) Separate registration fee applies.

9:00AM - 5:00PM Registration Desk Open 11:30AM - 2:30PM Optional Event – Craft Cocktails Join us at the Taste Studio for an in-depth look and taste of some of today’s most trending cocktails. The Williamsburg Inn’s knowledgeable Chef will guide you through the tastings and food pairings while sharing information, taking questions and enjoying fun conversation. Separate registration fee applies.

3:00PM - 4:00PM Board of Directors’ Meeting 4:15PM - 5:15PM SLD Board Meeting 5:30PM - 6:00PM New Vendor Reception

All Buyers and First-time Vendors 6:00PM - 7:00PM Welcome Reception

All invited 7:00PM - 9:00PM Southern Dinner Come join us for an evening of great food, great friends and great fun for the whole family!

36 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

THURSDAY, JUNE 13

8:00AM - 10:30AM Education Sessions 8:00AM - 9:10AM SESSION 1 “How to Turn Your Existing Software Systems and Data into a Competitive Advantage” Adam Burke, Co-Founder, Nowsight ADAM BURKE is an experienced leader focused on rapidly growing businesses, radically enhancing team performance and solving problems in competitive industries. An MBA and engineer by training and serial entrepreneur by choice, his current company, Nowsight, combines Business Intelligence and Artificial Intelligence to unlock insights within your own operating business.

You probably have a hunch where your company and operations may be inefficient.

But how do you quantify those hunches into actionable information and bottom-line performance? Hear how real-time, powerful, and easy-to-read dashboards with realtime alerts can help transform your CStore Distribution company.

Adam will discuss: • How you are sitting on the data you need— it just may not be accessible in real-time on your factory dashboard.

• What a morning report is, and how you’ll never again wonder what happened in your business overnight.

• Savings and efficiencies other Southern members have discovered and implemented.

• Motivational strategies to unleash record-

breaking performance in productivity, output, and uptime.

9:20AM - 10:30AM SESSION 2 “Catching the CBD Wave…What you Need to Know” Colin Gallagher, Founder and COO of Solari and Kelly Michols, CEO of Solari COLIN GALLAGHER is founder and the Chief Operating Officer of Solari.

Prior to founding Solari, he was the Director of Operations and Business Development for Smoker Friendly International and focused on private label brands and the expansion of the Smoker Friendly Authorized Dealer Program. Before joining Smoker Friendly in 2017, Colin spent seven years in PwC Denver’s International Tax Services group.

KELLY MICHOLS, Chief Executive Officer of Solari, has over 20 years of senior executive experience developing worldclass sales and marketing teams in start-up and scaled growth stages.

Prior to Solari, Kelly was President of Scandinavian Tobacco Group (STG) Lane Ltd.’s U.S. cigar and pipe tobacco division, leading the company’s U.S. Regulatory and Governmental Affairs functions.

4th tier cigarettes, e-cigs, and vaping products all contributed to profits in wholesale distribution in the recent past...yet all are on the wane. Meanwhile, a new and potentially profitable opportunity has emerged with awareness fueled by Altria’s recent investment of $1.8 billion in Canadian cannabis producer Cronos Group. Distributors are casting a cautious eye on hemp and CBD products while

trying to gauge risk vs. reward in this emerging category that most predict has extraordinary market potential.

Attendees will learn: • What is Hemp? What is CBD? How is Hemp different from Marijuana?

• What is the difference between CBD and other Hemp-based products?

• What is legal and not legal (federally) regarding Hemp and CBD? What is the “Farm Bill” and what does it mean to my business? What does the FDA think about Hemp and CBD? • What should you require from a Hemp/CBD supplier?

1:30PM - 5:00PM Ten-2-Profit Fast-paced and full of energy, these 10-minute “appointments” with buyers and vendors can be used to showcase new products or services, conduct a mini-business review, or introduce anticipated program changes.

6:00PM - 7:00PM Get Acquainted Reception 7:00PM - 9:00PM Awards Banquet This evening is an opportunity to recognize some of the Southern’s best – those who have demonstrated extensive commitment to service and achievement in the industry.

After Dinner-Until Hospitality Suite

Open to All

10:00AM - 11:30AM First Lady’s Social Join the Southern’s First Lady, Anne Douglas, when she hosts a lovely brunch for all spouses and guests.

FRIDAY, JUNE 14

10:45AM - NOON GENERAL SESSION “Hurdling Adversity- Creating the New Normal” John Register, Founder and CEO, Inspired Communications International, LLC

“CBD FOMO (Fear of Missing Out)” Jonathan Havens, co-founder/co-chair of the Cannabis Law Practice at Saul Ewing Arnstein & Lehr LLP

JOHN REGISTER is the President and CEO of Inspired Communications International, LLC, an experiential professional speaking company showing businesses how to hurdle adversity and create the new normal to win the medals in their life. From four-time track and field allAmerican to Gulf War Army veteran to amputee to Paralympic silver medalist, John has never allowed adversity to hold him back. John founded the United States Olympic Committees Paralympic Military sport program and served in a variety of capacities including special advisor to two U.S. Secretaries of State on disability foreign policy and a U.S. Sports Diplomacy Ambassador (Envoy).

Motivation is fleeting because it is primarily rooted in emotion. Inspiration is the mental stimulation to create something different or new for us or for others. This session will motivate audience members to become more engaged at work and walk away with the necessary tools to strike a healthy work life balance by learning four ways to overcome life’s challenges. Participants will be encouraged to take ownership of their adverse situation (control what they can control) and be motivated to adopt “deer-like” qualities to hurdle their adversity, empowering them to create a new normal in their lives.

7:30AM - 8:30AM Industry (Continental) Breakfast

JONATHAN HAVENS is the co-founder and co-chair of the Cannabis Law Practice at Saul Ewing Arnstein & Lehr LLP. He counsels state cannabis license applicants and awardees, ancillary service and product providers, investors, management companies, and various other entities that are affected by federal and state marijuana laws, such as long-term care facilities and higher education institutions. Before entering private practice, Jonathan served as a regulatory counsel with the U.S. Food and Drug Administration (FDA).

Are you afraid of missing out on the CBD craze?

Before jumping in to any business related to cannabis or CBD products, it is vital that you understand the legal aspects of this explosive category.

8:30AM - 1:00PM Registration Desk Open 8:45AM - 11:15AM “House of Deals” Use this additional time to review and discuss “show deals”, write orders, share samples or simply use it to catch up with your business partners. In an environment that is fun and relaxed, this event is a great way to discuss next steps and finalize opportunities.

11:30AM - 12:30PM Vendors Forum Representatives of all vendor companies are encouraged to attend.

11:30AM - 2:30PM Distributors Forum Representatives of all distribution companies are encouraged to attend. This meeting is open to distributors only.

12:45PM - 1:30PM Board of Directors Meeting 1:45PM - 2:45PM Executive Committee Meeting 5:00 PM - 6:30 PM One More Thing...Come

Crawl like a Colonial Experience a historical pub crawl filled with drinks and revelry, where the stories of a libation’s origins are paired with pours of the drinks themselves. For an hour and a half, you’ll follow an experienced interpreter down DoG St., experiencing tavern debauchery, and re-living what it was like to walk in the sloshy shoes of our forefathers in days of yore.

This event is only for those 21+ years of age.

Includes (3) 8 oz. glasses of assorted beverages (sangria, brandy punch, beer). Separate registration fee applies.

REGISTER NOW Visit prereg.net/2019/sawd

Deadline is June 3, 2019

HOTEL RESERVATIONS Colonial Williamsburg Lodge 310 South England St. Williamsburg Virginia 23185

To make hotel reservations, visit book.passkey.com/event/49867898/ owner/31621/home Or call 1-800-261-9530 Deadline for group rate is May 10, 2019.

The Southern 3459 Lawrenceville Suwanee Road, Suite C Suwanee, GA 30024-6427 T: 770-932-3263 F: 770-932-3263 the-southern.org The Southern is managed by RAM, LLC. See us at ramamc.com THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 37

EDUCATION FUND CONTRIBUTORS 2019

THANK YOU! Allison Wholesale Altria Group Distribution Amcon Distributing Company Andalusia Distributing Ashland Specialty Company Associated Distributors Atlantic Dominion Dist.

Burdette Beckmann C&B Distributors Caldwell Wholesale Charles C. Parks Co. Cheyenne International Church Point Wholesale City Wholesale Grocery Claude Williams Brokerage LC Core-Mark International Corso, Inc. Creative Data Research Davison Fuel & Oil Dot Foods Douglas Companies Eby-Brown Company Franklin Supply, Inc. Golbon Glidewell Distributing Great Midwest Tube Gummer Wholesale Hardec’s Home Folks Wholesale Imperial Trading Company Inter-Continental Cigar Corporation ITG Brands J.F. Johnson, Inc.

38 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

J.L. Gaddy Wholesale Jack Link’s Protein Snacks Jackson Wholesale Co. Kellogg’s Lil’ Drug Long Distribution Lyons Specialty Co. M.R. Williams Matrix Brockerage Merchants Grocery Company National Tobacco Company Premier Manufacturing ProCat Distribution Technologies RAI Trade Marketing Services Company Renfro Supply Co. Republic Tobacco Scandinavian Tobacco Group-Lane Smith Wholesale Co. Smokey Mountain Chew Southco Distributing Company Stephenson Wholesale Stewart Distribution Co. Swedish Match of North America Swisher International Team Sledd The H.T. Hackney Company The Hershey Company Turkey Creek Snacks UniPro Foodservice, Inc. Velociti Alliance Venture Sales W.L. Petrey Wholesale Warren Oil Co.

COUNCIL OF PRESIDENTS

RANDY EMANUELSON Team Sledd Wheeling, WV 2018-2019

JIMMY STEWART

RANDY LONG

Long Distribution Corinth, MS 2016-2017

MARK DAVENPORT

Stewart Distribution Waycross, GA 2008-2010

J. T. Davenport & Sons, Inc Sanford, NC 2006-2008

BOB PIERPOINT

DUANE SCHNEIDER

Imperial Trading Co., Inc. Elmwood, LA 1998-2000

DICK BRAY

Premier Beverage & Equipment Franklin, TN 1989 - 1990

DUSA Distribution Center, Inc. Melbourne, FL 1996 - 1998

GRADY SMITH

TVC Wholesale, Inc. Florence, AL 1988 - 1989

40 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

PAULA GLIDEWELL

Glidewell Distributing Fort Smith, AR 2014-2016

SHERWIN HERRING

Southco Distributing Company Goldsboro, NC 2004-2006

JACK COFER

James D. Cofer, Inc. Atlanta, GA 1994 - 1996

JOHN HEAD

Head Distributing Company Smyrna, GA 1986 - 1988

DICK DUNHAM

Stephenson Wholesale Co. Durant, OK 2012-2014

STEVE SHING

Grocery Supply Co. Sulphur Springs, TX 2002-2004

KEN CALDWELL

Caldwell Wholesale Tobacco Co. Shreveport, LA 1992 - 1994

A.C. MAY

Pelican Cigar Co. Lake Charles, LA 1985 - 1986

RICKY JONES

Andalusia Distributing Andalusia, AL 2010-2012

MIKE JONES

Andalusia Distributing Andalusia, AL 2000-2002

SCOTT FISHER

Spartan Automatic Retailers Memphis, TN 1990 - 1992

JOHN GREEN

P.M. Green & Sons Cleveland, TN 1979 - 1980

CORSO AD PROOF A IMPORTANT NOTE ABOUT

ANTI-TRUST

As this meeting begins, we must remind you of ­certain essential ground rules which must be respected, not only at this meeting, but on every occasion, social or otherwise, during any meeting of The Southern Association of Wholesale Distributors.

There can be absolutely no discussion between or among competitors at any time concerning prices you charge or propose to charge your customers, the price you pay or propose to pay your suppliers, or the terms and conditions under which you buy and sell the products in which you deal.

The antitrust laws are designed to encourage competition at all levels of production and ­distribution. The Southern Association of Whole­sale Distributors is committed to ­ad­herence to those laws. Please keep these principles in mind for the benefit of us all.

SOME PAST EVENT HIGHLIGHTS...

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 41

2019 SAWD

EXECUTIVE COMMITTEE

STEVE DOUGLAS SAWD President Douglas Companies Conway, AR

SCOTT MCPHERSON SAWD Vice President/Comptroller Core-Mark Colleyville, TX

MARTY HOWELL SAWD Vice President H.T. Hackney Opp, AL

HUGH RAETZSCH SAWD Vice President Lyons Specialty Port Allen, LA

GREG MARTIN Chief Executive Officer SAWD Suwanee, GA

RANDY EMANUELSON SAWD Board Chairman Team Sledd Wheeling, WV

42 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

Committed to Service, Delivering Success! www.douglascompanies.com

Steve Douglas and Susie Douglas Munson

Conway, Arkansas 501-329-6866

Joplin, Missouri 417-208-5516

As a leading supplier of convenience store products for more than 45 years, Douglas Companies has been committed to delivering success for our customers. When our trucks roll, our customers are ensured they will get the best possible products and pricing. From candy and snacks to coffee and food programs, Douglas can deliver success to your door.

Pinnacle Refreshment Services is the new look of break room convenience services, with hundreds of more options than traditional vending machines. We are your one stop shop for all things convenience.

The New Look of Break Room Refreshment Service

In place of your current vending machines, Pinnacle offers an open and modern break room solution with our micro-markets, water ďŹ ltration systems and ofďŹ ce coffee services.

www.pinnaclerefreshments.com

2019 SAWD

STATE DIRECTORS ALABAMA

ALABAMA

ARKANSAS

FLORIDA

NICK ZADEN City Wholesale Grocery Birmingham, AL

NELSON PARKER Allison Wholesale Paint Rock, AL

STEVE DOUGLAS Douglas Companies Conway, AR

SAM STEWART Stewart Distribution Waycross, GA

GEORGIA

GEORGIA

KENTUCKY

KENTUCKY

DON CHILDERS Home Folks Wholesale Augusta, GA

TONY SHUBERT Eby-Brown Rockmart, GA

CHARLIE CASPER Hardec’s Elizabethtown, KY

DAN MCINTYRE Jackson Wholesale Jackson, KY

LOUISIANA

LOUISIANA

MISSISSIPPI

MISSISSIPPI

KEITH LANDEN Franklin Supply Franklin, LA

EMILE CANTRELL Imperial Trading Elmwood, LA

LIZ JOACHIM Corso, Inc. Biloxi, MS

CRAIG ROSENTHAL McLane Brookhaven, MS

44 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

It’s More than Software…

It’s running your warehouse operations at peak efficiency.

» Order Management

Schedule an online demo of DAC today!

» Warehouse Management

» www.cdrsoftware.com/demo » or call 800-841-0202

» Purchasing » Financial Management » Business Management Ann Arbor, MI 734-222-9930

Covington, LA 1-800-841-0202

Visit CDRSoftware.com to learn more about DAC!

2019 SAWD

STATE DIRECTORS NORTH CAROLINA

NORTH CAROLINA

OKLAHOMA

OKLAHOMA

APRIL GARVER SouthCo Distributing Goldsboro, NC

LAWSON WILLIAMS M. R. Williams Henderson, NC

JIM NAIFEH Standard Distributing Co. Sapulpa, OK

CARTER ADAIR Stephenson Wholesale Durant, OK

SOUTH CAROLINA

TENNESSEE

TEXAS

TEXAS

BILL WILKERSON J. L. Gaddy Wholesale Hickory Grove, SC

CHAD PICKEL Amcon Distributing.

Crossville, TN

JOHN PRICKETTE Grocery Supply Company Sulphur Springs, TX

STEVE YAWN McLane Temple, TX

VIRGINIA

VIRGINIA

WEST VIRGINIA

WEST VIRGINIA

ROBIN RAY Atlantic Dominion Distributors Virginia Beach, VA

CHRIS SMYTHERS Merchants Grocery Co., Inc. Culpeper, VA

RANDY EMANUELSON Team Sledd Wheeling, WV

CHAD GUMMER Gummer Wholesale Heath, OH

46 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

A NEW LINE UP

Thanks!

FOR JOINING US AT THE SOUTHERN’S 96TH ANNUAL MEETING

HIGH QUALITY AMERICAN TOBACCO EYE-CATCHING POS MATERIALS NATIONWIDE DISTRIBUTION TAILORED PROMO PROGRAMS SAME DAY SHIPPING* *on orders placed before noon EST

gopremier.com 800-272-8656

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 47

2019 SAWD

AT-LARGE DIRECTORS

GEORGE NAUMANN Renfro Supply Company Williamsburg, KY

JACK CASANOVA Churchpoint Wholesale Churchpoint, LA

HUGH RAETZSCH Lyons Specialty Port Allen, LA

2019 SAWD

BROKER REP, SLD REP, & LEGISLATIVE LIAISON

JACK ANDERSON Broker Representative Burdette Beckmann, Inc. Hollywood, FL

JAKE STEWART SLD Representative Stewart Distributing Blackshear, GA

48 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

BENNETT ROBERTS Broker Representative Matrix Brokerage Chapel Hill, NC

SEAN COLLINS Legislative Liaison Altria Client Services Milton, GA

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 49

2019 SAWD

MANUFACTURER REPRESENTATIVES

DAVE BOWERSOCK Altria Group Distribution Co.

JEBB MAGINNIS Creative Data Research

DEVIN FOGLEMAN Dot Foods

KATIE DUNCAN The Hershey Company

CRAIG LEIKER ITG Brands

SCOTT HILL Jack Link’s Protein Snacks

TOM BRICE Lil’ Drug Store

CLARK STURDIVANT National Tobacco

STEVE STOMEL ProCat Distribution Technologies

ANDREW PANAGOPLOS Republic Tobacco

BRENT SABO RAI Trade Marketing Services

JOEL PALMER Swedish Match

BILL DUNN Swisher International, Inc.

50 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 51

COMPLETE CONVENIENCE STORE SUPPLIERS OVER 10,000 ITEMS Candy Tobacco Paper Groceries HBC Beverages Vending Food Service

Since 1875

Custom Programs For Retailers Of All Sizes Beverage and Equipment Division Trade Shows and Accrual Programs EDI and Information System Support For The New Millennium

Corporate Headquarters – Virginia Beach, VA 757-497-1001 Carolina Division – Hope Mills, NC 910-424-2292

Call today: VA, MD, DE, DC 800-468-6612 NC, SC, GA 800-682-1027 www.atlanticdominion.com

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 53

SLD 2018-2020 OFFICERS & DIRECTORS

OFFICERS Jake Stewart, Stewart Distribution, Waycross, GA, SLD President Morgan Allain, Franklin Supply, Franklin, LA, SLD 1st Vice President Robbie Surratt, Merchants Grocery, Culpepper, VA, 2nd Vice President Mark Tuck, Swedish Match, Atlanta, GA, SLD Treasurer Joe Dilger, ITG Brands, Atlanta, GA, SLD Secretary Leanne Jennings, J. L. Gaddy Wholesale, Hickory Grove, SC, Board Chairman

DIRECTORS Brandon Mohr, Altria Group Distribution Co., Charlotte, NC Jeff Thompson, Douglas Companies, Conway, AR Ben Pinti, Lil’ Drug Store, Cedar Rapids, IA Jimmy Jones, National Tobacco, Louisville, KY Colby Carmichael, Long Wholesale Dist., Corinth, MS Kim Duet, Lyons Specialty, Port Allen, LA Kevin Herring, SouthCo Distributing, Goldsboro, NC Ron Leitner, RAI Trade Marketing Services, Winston-Salem, NC Maria Miro-Narlock, Spotlight Innovations, Brandon, MS Mark Rollins, Swisher International, Duffield, VA Joni Rhoney, Jack Link’s, Minong, WI Steve Winkle, The Corr Williams Co/TVC Wholesale, Florence, AL Trey Williams, Thomas Williams & Assoc., Atlanta, GA

54 | THE SOUTHERN 95TH ANNUAL MEETING • JUNE 2018

WHOLESALE DISTRIBUTORS OF: Cigars • Cigarettes • Tobacco • Smoking Accessories Beverages • Candy/Concessions • Snacks • HBC Paper Supplies • Automotive • Groceries Food Service & Supplies • Janitorial Supplies

COmpLETE COnvEnIEnCE STORE SUppLIER

Setting the Standard Since 1914

918-224-7777

800-364-7778

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220+

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9

Unique Channels

C-Store, Club/Drug/Mass, Grocery, Hospitality, Micro Markets, Special Markets, Theaters, Value, & Vending

11

Offices Nationwide

(Headquarters Located In Florida) 1633 SE 17th Street Fort Lauderdale, FL 33316 www.bbiteam.com info@bbiteam.com (954 983-4360

56 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

NEW VENDOR HIGHLIGHT!

We would like to extend a warm Southern welcome to the following vendors who are joining us for the first time (or who have not been with us in several years):

Better Made Snack Foods • Car Freshener Corp.

Checkered Flag Sports/Southprint • Handy Store Fixtures Ronnoco Coffee

A LOOK BACK...

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 57

Big city service with small southern town manners

It’s the Glidewell difference.

As a proud member of the Southern Association of Wholesale Distributors, we feel a sense of duty and gratitude to our cherished relationships, without whom our celebration of 72 successful years in business just wouldn’t be possible.

From our humble beginnings in the living room of J.W. and Cleo Glidewell to today’s cavernous 2 acre-long storage facility, we still provide speed, value and downhome service to the region’s best convenience stores.

We extend the warmest thank you from our family business to yours!

5705 Steep Hill Rd, Fort Smith, AR • 800-733-4408 • GlidewellDistributing.com 58 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 59

VENDOR HIGHLIGHT: Q&A WITH JEBB MAGINNIS, CDR

SOUTHERN: Is there anyone who has been a mentor for you in the industry?

Fortunately, several CDR customers have played important roles in sharing industry insights and trends. Their guidance has been invaluable.

SOUTHERN: Could you give me a brief history of your company and how you got started in the business?

CDR was formed to develop a software solution for a candy and tobacco distributor about 40 years ago and the system has grown and evolved with convenience distribution ever since. I joined CDR in 1990 after running a fuel distribution company with a chain of c-stores.

SOUTHERN: How many years has company been in business and how many employees are there?

CDR was established in 1987 and we currently have 15 employees.

SOUTHERN: What is necessary to succeed in this business?

It’s essential to embrace technology, run an efficient operation, develop personal relationships, and provide excellent customer service.

SOUTHERN: How long have you been a Southern member?

CDR has been a member of the Southern since the mid-1980’s and I got involved in 1990.

SOUTHERN: What keeps you coming back to the meetings?

The Southern has created a unique atmosphere that promotes friendship and business development, and that keeps me coming back to the meetings.

SOUTHERN: What is the best part of the meetings?

The opportunity to network with distributors and vendors at various events, including social gatherings, educational sessions, and scheduled meetings with distributors. The new meeting format enables us to connect with specific prospects and customers.

SOUTHERN: What are your words of wisdom to someone getting started in the business?

Stay connected to the industry through the Southern and other industry trade organizations on a state and national level, network with fellow distributors, develop strong relationships with your suppliers and provide personalized customer service.

SOUTHERN: What is the main reason someone should be a member of the Southern?

Membership in the Southern provides an opportunity to strengthen your own business while contributing to the longterm viability of our industry. Strength in numbers is essential when dealing with government regulations and changes to supplier-wholesaler-retailer relationships.

SOUTHERN: What is the biggest issue facing this industry today?

The need for increased communication and collaboration between manufacturers, distributors and retailers to help manage inventory levels and track products throughout the supply chain.

SOUTHERN: If someone were interested in coming to the Annual meeting for the first time …what would you advise them?

Be open to meeting new people, making new friends and developing business relationships that will last for years. n For more information, visit cdrsoftware.com.

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Myrtle Beach Wrap-Up 2018 The Southern’s 95th Annual Meeting was held at the Sheraton Myrtle Beach Convention Center Hotel, Myrtle Beach, SC. It was another great week of catching up with friends, conducting business, gaining new perspectives and enjoying the sunshine. This year, we partnered with the Wounded Warriors Project. We are proud to announce that we collected over $2,673 in cash (in addition to a $1,000 check from The Southern). Thank you to everyone who supported this great cause!

It was a standing room only for the sessions on topics of leading change in wholesale distribution and the disruptively different channel Amazon is creating. Then Gerry O’Brien had us wearing our goals on our sleeves, literally, in a compelling session on igniting our goals.

Our Southern Annual Golf Tournament provided a great day for networking with

customers and prospects, as well as some friendly competition for one of the several prizes offered. This year it was held at Myrtlewood’s beautiful Pine Hills Course.

Thank you to our sponsor ITG Brands and Craig Leiker for your continued support of this event and The Southern.

This year’s Ten-2-Profit event set the tone for the week. With over 600 individual meetings occurring during this event, the room was a-buzz with excitement before, during and after. Even a blackout due to a passing storm couldn’t put a damper on the event. The House of “Deals” on Friday was a great way to end this very Southern week.

None of this would be possible without the continued support of all of our Sponsors. We salute our 2018 sponsors for their commitment to the Southern each and every year. n

SAWD Education Fund 62 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

2018 SPONSORS Altria Group Distribution Company Burdette Beckmann Creative Data Research Dot Foods The Hershey Company ITG Brands Jack Link’s Protein Snacks Lil’ Drug Store Matrix Brokerage National Tobacco Co.

Nestlé USA ProCat Distribution Technologies RAI Trade Marketing Services Republic Tobacco SAWD Education Fund Scandinavian Tobacco SICPA Smokey Mountain Snuff Swedish Match Swisher International

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MIDYEAR BOARD OF DIRECTOR’S MEETING

Setting Our Direction for 2019

The Board of Director’s Midyear Meeting was held in beautiful Newport Beach, California allowing folks a brief retreat from the cold that was gripping most of the country. This annual planning meeting is very important as the Board members meet to set the direction of the association in the areas of education topics and member programs while sharing key industry knowledge to ensure another successful year for our members and the industry.

We thank our board members who were able to take time out of their busy schedule to meet (and to those who tried but couldn’t make it). Newport Beach did not fail to amaze. The weather was warm and wet, but beautiful nonetheless.

A special thanks to all of our sponsors whose continued support makes the meeting possible.

Altria Group Distribution Company Burdette Beckmann Creative Data Research Dot Foods ITG Brands Jack Link’s Protein Snacks Lil’ Drug Store Products Matrix Brokerage National Tobacco ProCat Distribution Technologies RAI Trade Marketing Services Republic Tobacco Swedish Match Swisher International The Hershey Company n

64 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

2020 • PANAMA CITY

Join us for the 97th Annual Meeting Panama City, FL June 16-June 19, 2020 Located in Panama City Beach, Sheraton Bay Point Resort is a destination unto itself, with a wealth of amenities and activities including two heated pools and 36 holes of championship golf, as well as a luxury full-service spa and salon. Enjoy the private Bay Beach, as well as a shuttle service to and from beautiful Shell Island. Water sport rentals, including kayaks, standup paddleboards and Jet Skis are also available at the hotel.

• STAY TUNED FOR MORE INFORMATION AT THE-SOUTHERN.ORG

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2018 SCHOLARSHIP WINNERS

Congratulations

to the 2018 SAWD Scholarship Winners

Scholarship winner Lauren Smith, daughter of Jeffrey Smith, with National Tobacco, is currently attending Oklahoma State University. Congratulations Lauren!

Congratulations to Derek Zelkowski, winner of a 2018 Southern Scholarship! Derek attended Marshall University and is the son of Larry Zelkowski with Swisher International.

Since 2012, the Southern has awarded more than $75,000 in scholarships to sons and daughters of its member organizations. Thanks to the SAWD Education Fund and the Annual Silent Auction, three scholarships are awarded to deserving students who have shown creativity by writing an essay on a trend or challenge in the convenience industry. This year’s essay question was “How do you think the popularity of eletric cars will affect the convenience store industry?

66 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

Scholarship winner Ashley Sibenaller, daughter of Wendy Sibenaller, with Core-Mark, attended Grand View University.

Congratulations Ashley!

In 2018, we had a record number of applications (45 for one of two $5000 college scholarships and 5 for the $2500 Technical Scholarship). Choosing only three of these submissions was not easy for the scholarship judges!

The Southern will be announcing the 2019 winners at the 96th Southern Annual Meeting in Williamsburg, Virginia from June 11-14 (vendor days June 13-14). Best of luck to everyone who participated! n

The winner of our Technical Scholarship is Carlee Prince, daughter of Chip Prince with City Wholesale. Carlee is currently attending the Aveda Institute.

Congratulations, Carlee!

2018 WINNING SCHOLARSHIP ESSAY

How do you think the popularity of electric cars affect the convenience store industry?

BY LAUREN SMITH With the popularity of electric vehicles (EV) on the rise, convenience stores may be the next to adapt to the ever-changing demands of consumers. The possibility of gas pumps becoming obsolete has left many retailers fearing that these new and innovative vehicles could be the death of gas stations as we know them. The emergence of new technology has, for decades, provided industries with opportunities to expand their market through adaptation of aforementioned technologies. Newspapers, for example, feared that the dawn of the Internet would be the death of their industry. Instead new providers adapted by developing apps to deliver to subscribers. These apps generate revenue through subscriptions and advertising without the cost of printing and distribution. In this instance although the change was feared, adaptation allowed for the industry to expand in a new direction. The rise of the EV may be a chance for gas stations to revamp in the same way.

from each gallon sold. While gasoline sales account for about 70% of annual sales, they only make up about 30% of store profit. These figures have been reported by Jeff Lenard, spokesman of the National Association of Convenience Stores. The cost of insurance for gas stations, as you could imagine, is heftier than insuring a store with chargers. Lower premiums will aid in bridging the gap of lost income. Lack of gas pumps, while removing the necessity of frequent visits, won’t have too drastic an effect on store revenues.

According to Elon Musk, CEO of Tesla Motors, this will not be the case. In a recent documentary, Pump, he predicts a future entirely devoid of gas stations. This prediction indicates an assumption that his inventions entirely remove the necessity of visiting them. A survey conducted by PlugInsights, the world’s largest EV driver research panel. Found that just 10% of charging occurs at public stations. Without convenience stores, where will consumers stop for much needed snacks, restroom breaks, and tobacco products? While consumers will still swing by for these things, the majority of EV charging occurs at home, meaning stations must provide ore than just charging ports to appeal to customers.

The biggest difficulty is getting consumers in the door. Without the lure of gas pumps, how will retailers adapt? There are two options here: Set higher-ticket items to make up for loss of customer and gas revenues, or explore new ways to get customers into the store. Stations could sell prepared foods, smoothies, and coffee while providing furnished waiting areas with wifi for guests charging their cars. An obvious tactic for convenience stores concerned about their future would be to remain convenient. Many retailers have included drive throughs in their business model in order to do this. Any service which is fast and convenient is likely to turn a profit, with or without gas pumps out front.

Though gas sales account for a majority of their total revenue, stations have never turned much of a profit off of gas in the first place. In fact, after credit card fees, the average store receives only about a nickel

Although it’s important for retailers to prepare for the future, its unlikely that significant changes will be seen soon.

As a society, we’re still in the early stages of adopting electric vehicles. A recent

Bloomberg report shows that EV’s only account for one tenth of one percent of all vehicles. Until EV’s are priced for the middle class, not as a luxury vehicle, their sales will not have much impact on gas stations.

Mileage capability is by far the biggest setback of purchasing an EV. Consumers will not purchase a vehicle that would leave them stranded on long trips, unable to find a close enough charging station. Not to mention the amount of time needed to provide a sufficient charge which takes significantly longer than filling up, and ranges depending on battery.

As companies such as Tesla and Nissan race to improve their vehicles, and environmental worries increase their appeal to consumers, it’s only a matter of time for the widespread adaptation of the EV. Once here, the typical gas station will need to make changes in order to generate profit. Providing furnished waiting areas, wifi, and prepared goods allows for the industry to expand in a new and improved direction. Increasing mileage capability and charging times will launch us into the era of EV’s, and convenience store retailers should be prepared to make the switch. n THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019 | 67

Advertiser Index A special thanks to our advertisers who make the Annual Meeting magazine possible!

Allison Wholesale...................................................................................................................................................................60 Altria Group Distribution Co...............................................................................................................................................15 Andalusia Distributing Co...................................................................................................................................................18 Ashland Specialty Co.............................................................................................................................................................39 Atlantic Dominion Distributors ........................................................................................................................................52 Burdette Beckmann...............................................................................................................................................................56 City Wholesale Inc..................................................................................................................................................................53 Core-Mark................................................................................................................................................................................... 7 Corso, Inc...................................................................................................................................................................................41 Creative Data Research........................................................................................................................................................45 Douglas Companies..............................................................................................................................................................43 Glidewell Distributing...........................................................................................................................................................58 Great Midwest Tube................................................................................................................................................................ 5 Hardec’s......................................................................................................................................................................................47 Home Folks Wholesale Co...................................................................................................................................................51 ImageWorks.............................................................................................................................................................................19 Indian Nation Wholesale......................................................................................................................................................25 Inter-Continental Cigar........................................................................................................................................................34 Jack Link’s Protein Snacks....................................................................................................................................................13 Long Wholesale Distributors .............................................................................................................................................24 Merchant’s Grocery Company, Inc...................................................................................................................................28 National Tobacco Company................................................................................................................................................23 Premier Manufacturing Inc.................................................................................................................................................47 RAI Trade Marketing Services............................................................................................................................................... 3 Republic Tobacco...................................................................................................................................................................59 Scandinavian Tobacco Group.............................................................................................................................................. 9 Smokey Mountain Snuff......................................................................................................................................................49 Standard Distributing Co.....................................................................................................................................................55 Swedish Match............................................................................................................. Inside Front Cover & Back Cover Swisher International, Inc....................................................................................................................................................35 Team Sledd...............................................................................................................................................................................31 The Hershey Company USA ...............................................................................................................................................11 Ziiware Inc...................................................................................................................................................Inside Back Cover

68 | THE SOUTHERN 96TH ANNUAL MEETING • JUNE 2019

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