Canadian Tooling & Machining Association June 2006
APPRENTICESHIP AND ANOTHER SUCCESSFUL
THE FEDERAL BUDGET GOLF TOURNAMENT
he CTMA’s 8th Annual Golf Tournament once again
O n May 2, 2006, Canada’s Minister of Finance James
Flaherty presented his first federal budget that
proposed numerous personal and business tax changes.
T drew a large crowd to the Pine Knot Golf & Country
Club in Dorchester, Ontario on June 6, 2006.
In addition to reducing the GST to 6% (effective July 1,
2006), the budget also included tax credits and incentives
to help boost Canada’s skilled trades as follows:
Apprenticeship Job Creation Tax Credit for salaries
and wages that are paid to qualifying apprentices on or
after May 2, 2006. Eligible employers will receive a
non-refundable tax credit equal to 10% of the salaries
and wages paid to qualifying apprentices to a maximum
credit of $2,000. per year, per apprentice.
Apprenticeship Incentive Grant of $1,000. per year
for the first two years of a Red Seal apprenticeship
program to encourage people to enter the trades.
Tradespeople’s Tool Expense is an annual deduction
LOW GROSS WINNER – Shot 70 !!
of up to $500 of the cost of eligible new tools in excess Congratulations to Rod Farmer of Tipco Inc. (R) on his Low
of $1,000. acquired by an employed tradesperson after Gross score of 70, shown here receiving the Anchor Cup
May 1, 2006. from Roy Verstraete, CEO of Anchor Danly Company.
The grant for apprentices, together with the proposed tax
credit for employers, will provide a strong incentive for CTMA members and their guests gathered for
more young Canadians to pursue apprenticeships and networking and a lucrative Putting Contest over a
hence meet the future need for skilled tradespeople that is continental breakfast before the shotgun start at
crucial to the sustained growth of the economy, says the 10:30am. Congratulations to Randy Petznick who won
government. $150. in the first ever 50/50 Putting Contest! The day
concluded with the ever-popular 19th Hole Reception
These federal incentives are available in addition to the sponsored by Stema Punch & Die Ltd. and a delicious
Ontario Apprenticeship Training Tax Credit that was steak dinner and awards presentation that was
introduced in 2005. CTMA members are encouraged to sponsored by G.E. Commercial Solutions.
consult their tax professionals to find out how to take Congratulations to all of the winners and thanks to the
advantage of these apprenticeship training incentives. many sponsors of this event … your generous support is
greatly appreciated by everyone. See pages 4 & 5 for
more photos from the event and a list of all the
Other Breaking News: sponsors!
ANTEC Conference 2006 ............................ 3 MARK YOUR CALENDAR for next year’s tournament
Golf Tournament Photos .......................... 4-5 on Tuesday, June 5, 2007 … and be sure to register
Montreal Mfg. Technology Show ................ 7 early to avoid disappointment!
Chapter News ............................................. 8
Selling & Marketing Your Products ............ 9
RECENT NEW MEMBERS
Currency Exchange................................... 10
Comber Tool & Mold Eng. Inc................. Windsor Chapter
Carbide & HSS Annual Meeting ................ 11 DGI Supply ....................................... Western Ont. Chapter
Global Outlook for Mould Manufacturing.. 12 Precision Canada........................................Toronto Chapter
Industry Pulse Rate................................... 15 SGS Tool Company ...................................Toronto Chapter
CTMA VIEW – June 2006
CTMA BOARD OF DIRECTORS NEW MEMBERS
Jamie Bowman, J.P. Bowman Limited
Tel: (519) 752-6533 Fax: (519) 752-0672 Comber Tool & Mold Eng. Inc. SGS Tool Company
Vice President: 6537 Taylor Ave., PO Box 68 171 Northport Rd., Unit #13
Horst Schmidt, Build-A-Mold Limited Comber, ON N0P 1J0 Port Perry, ON L9L 1B2
Tel: (519) 737-6984 Fax: (519) 737-6572 CONTACT: Rick Myers CONTACT: David Toomey
Treasurer: Tel: (519) 687-3243 Tel: (905) 982-0888
Horst Just, H.J. Machine & Pattern Ltd. Fax: (519) 687-3625 Fax: (905) 982-0488
Tel: (519) 746-7077 Fax: (519) 746-6872 Website: www.combertool.com Website: www.sgstool.com
Past President: Email: firstname.lastname@example.org Email: email@example.com
Leslie Payne, Universal Pattern Co. Ltd.
Tel: (519) 622-8667 Fax: (519) 622-5758
Chapter Chairs: DGI Supply
Toronto 550 Parkside Drive, Units 14 & 15B ADVERTISING OPPORTUNITIES
Robert Cattle, Micrometric Ltd. Waterloo, ON N2L 5V4
Tel: (416) 291-1974 Fax: (416) 291-5011 CONTACT: Greg Meyer CTMA VIEW – Advertise your
Western Ontario Tel: (519) 883-8100 products or services in a ¼ page
Trevor Ludolph, Anchor Lamina Inc. Fax: (519) 883-8200 ad for only $600. per year (4
Tel: (519) 498-0934 Fax: (519) 740-8213 Website: www.dgisupply.com
Windsor Email: firstname.lastname@example.org
Mike Moore, Valiant Machine & Tool Inc.
Tel: (519) 974-5226 Fax: (519) 979-0415 MAIL SPONSOR – Distribute
Directors: your brochure with a future
Precision Canada newsletter mailing for only $275.
Paul Brisebois, Anchor Lamina Inc.
2118 Agincourt Crescent per issue (members rate) or
Tel: (905) 274-3448 Fax: (905) 274-7303
Burlington, ON L7P 1P2
David Glover, Harbour Advanced Machining $500. per issue (non-members
CONTACT: Scott Wilson
Tel: (519) 969-0641 Fax: (519) 969-0451
Tel: (647) 222-1248
Ron Spraggett, Tipco Inc. Fax: (905) 332-2486
Tel: (905) 791-9811 Fax: (905) 791-4917 For further information,
Emerson Suphal, ESS Business Strategies Email: email@example.com contact the CTMA at
Tel: (905) 272-0566 Fax: (905) 896-9380 (519) 653-7265 or firstname.lastname@example.org
Les Payne, Executive Director
Julie McFarlane, Office Manager
Corey Brunsveld, Finance
Susan Kemp, Office Assistant
CTMA VIEW is published quarterly, and
features articles and information of
interest to members and others allied to
the precision metal cutting industry. To
receive additional copies of this
publication, or to make comments or
submissions, please contact us at:
Canadian Tooling &
140 McGovern Dr., Unit #3
Cambridge, ON N3H 4R7
Tel: (519) 653-7265
Fax: (519) 653-6764
2 CTMA VIEW – June 2006
ANTEC CONFERENCE 2006
By: Horst Schmidt, CTMA Vice President
ANTEC is the annual international technical conference Materials:
of the Society of Plastics Engineers. ANTEC 2006 was new developments in biopolymers
held at the Convention Center in Charlotte, North new developments in medical plastics
Carolina, USA from May 7 to 11, 2006. Attendance was developments in bio-additives and reinforcements
estimated at just under 3,000 people with representation developments in nano-materials and additives
from nearly every industrialized region in the world. The developments in additives and property modifiers
technical conference involved the presentation of nearly developments in failure analysis for a range of plastic
500 papers by as many presenters from around the failures
world. There was a very large contingent of presenters developments in conductive polymers
from the Pacific Rim, Europe, and noted representation research conducted into plastic properties, behavior,
from Central and South America. The North American ageing, breakdown, and thermal properties
schools with noticeable representation were: Lowe Tech,
MIT, Ohio State University, and Penn State University. Electrical & Electronic Industry:
There were also presenters from universities in: Ireland, developments in conductive plastics
the United Kingdom, France, Germany, Japan, and micro moulding and electronic encapsulation
China. The one single topic that had the greatest developments
number of papers was nano-technology. Generally the developments in fuel cell membranes
conference had good coverage of all areas that affect developments in electrical and radio frequency
the moulding and plastics industry. shielding
The following range of studies and developments that Plastic Processes
were presented are primarily the result of work developments in injection moulding processes, and
conducted in laboratories around the world which could equipment
be available commercially in one to three years. The new devices for in mould heat sensing
results of this work are what will shape the future new developments for single and twin screw
developments in the moulding and plastics industry. extrusion
Automotive Sector: study comparing the various cooling methods for
increased uses of plastics and new applications of extrusion
plastics in the automotive industry new developments in extrusion blow film processes
new materials developed for the auto industry developments in blow moulding tool cooling
meeting higher heats, better structural strengths, and simulation and analysis
better appearance studies on PET orientation in the stretch blow
fuel barrier developments to meet government moulding process
regulations microwave heating for Rotational Moulding
surface finishes and scratch resistant technologies
new paint and coating developments for the auto For additional information, contact CTMA Vice President
industry Horst Schmidt of Build-A-Mold Ltd.
Decorating, Colour, and Appearance:
developments in organic pigments
new special effects pigments
in-mould decorating developments
new colours being introduced
processes and developments to reduce and eliminate
knit lines and surface defects
developments in part surface treatments to improve
new UV cure for plastic paint systems
new regulations for food packaging decoration
developments in high solids paints and developments
to meet the 2009 CARB requirements
developments in welding technologies (ultrasonic,
vibration, thermal, heat staking, and laser)
developments in adhesives
CTMA VIEW – June 2006 3
8TH ANNUAL SHOTGUN GOLF TOURNAMENT
(continued from page 1)
Prize Draw Winners
Congratulations to Dan Fleishman of XL Tool (R) who won
Low Net – CTMA Trophy the Sterling BBQ donated by the Western Ont. Chapter of
CTMA President Jamie Bowman (L) congratulates CTMA and Fred Binder Jr. of BTM Tooling (L) who won the
Marc Patenaude of John Deere on his Net Score of 70 Texas Mickey donated by Dayton-Progress.
SPONSORED BY HUB INTERNATIONAL
Longest Drive – MP & P Magazine Trophy
Nigel Bishop of MP&P Magazine (L) congratulates
Grant McDonald of Enprotech Mechanical Services
Jeff Dix of Teppen Corporation (L) and Richard Borg of
Exactatherm Ltd. prior to their attempt at winning $10,000.
CLOSEST-TO-THE PIN CONTEST
SPONSORED BY TEPPEN CORPORATION
Most Honest Golfer – REED Exhibitions Trophy
Paul Brisebois, Tournament Chairman, (L) congratulates
Ken Richardson of GE Commercial Solutions. Karen Downie of Teppen Corporation (L) congratulates
winner Paul Vleuten of Harvan Engineering.
4 CTMA VIEW – June 2006
THANK YOU !!
8 ANNUAL SHOTGUN GOLF TOURNAMENT SPONSORS
GOLD SPONSORS SILVER SPONSORS 3-D Prototype Design Inc.
Anchor Lamina Inc. Dayton-Progress Canada Ltd.
Dormer Tools Inc. ESS Business Strategies Inc.
BTM Tooling Inc.
Hub International Ontario Ltd. Fusion Consulting Exactatherm Limited
J.P. Bowman Limited G.S. Die & Design Inc. Guhring Corporation
Teppen Corporation Klassen Custom Fab. Ltd.
Kodiak Tool & Die Co. Ltd. M P & P Magazine
Tipco Inc. Metalworking Products Canada Manor Tool and Die Ltd.
Western Ont. Chapter – CTMA Co. NACHI Canada Inc.
OSG Canada Ltd. Prothane Limited
Reed Exhibition Companies Swiss Steel International
CTMA VIEW – June 2006 5
PRECISION MACHINING GRAHAM HARDING RECEIVES
FOR THE SPACE SHUTTLE VOLUNTEER OF THE YEAR AWARD
Reil Industrial Enterprises of Mississauga, Ontario, uses
Delcam’s PowerMILL and PowerSHAPE in the precision
machining of castings, forgings, and highly detailed and
intricate parts for makers of space vehicles and defence
systems. Among the low volume, high value parts it has
manufactured are components of the Canadarm, the key
element of the Space Shuttle’s robotic Orbital Boom
Sensor System. This system will be attached to the
Shuttle’s existing arm and equipped with cameras and
laser systems to inspect the craft’s thermal protection
system while in space.
"We used to make a lot of
structural airframe parts but
now we have moved into the
space game,” said Bill Reil,
VP of Manufacturing at the
company. "One of our Graham Harding (right) is congratulated by Les
recent projects was to build Payne, CTMA Executive Director, on receiving the
the extension of the Canadarm. We were under a short CTMA’s Volunteer Of The Year Award. Graham
time frame to get it done. We are only 25 people trying was recognized for his many years of service and
to get these large projects through so our software is dedication to the association – most notably his
very important to us. With the complexity of the parts, work on the Apprenticeship Competition Committee.
on an average, the project would normally take ten to
twelve weeks. Because of the time pressure, this was
shortened to between three to four weeks.”
Reil employs Delcam’s PowerMILL as its primary CAM
software, as well as using the PowerSHAPE software for
designing its own tools, jigs and fixtures. The company
machines its aluminium parts using four- and five-axis
machining centres on a tight deadline, concurrent-
engineering basis. The high-speed machining features
of PowerMILL allows programmers to switch back and
forth, between creating toolpaths and running the
machining centres, doing their own programming right at
the machines. "Here, the programmer and the operator
are one and the same. We have a pretty talented group
of guys,” Mr. Reil claimed.
When asked about his choice of CAM software, Mr. Reil
stated, "It’s the speed at which PowerMILL generates
the toolpaths, and how easily you can change them. It’s
the accuracy of the toolpaths and the interface is quite
intuitive. Most importantly, you can trust it. What you
see on the screen is what you are going to get at the
With design changes a common factor in many projects,
Mr. Reil also appreciates PowerMILL’s flexibility. "To
handle ongoing engineering changes in an efficient way,
PowerMILL permits segments of the toolpath to be
altered without affecting the rest of the program,” he
explained. "If there’s only one area that has to be
updated, you can just create a window around that area,
recalculate a toolpath within it, merge it to the existing
toolpath, and away you go.”
For more information, visit www.delcam.ca
6 CTMA VIEW – June 2006
MONTREAL MANUFACTURING TECHNOLOGY SHOW
By: Les Payne, CTMA Executive Director
The Montreal Manufacturing Technology Show (MMTS) is held every two years and is comprised of the Montreal
Fabricating & Machine Tool Show and the National Factory Automation Show. It was held at the Place Bonaventure in
Montreal, Quebec from May 15-17, 2006. Along with many association member companies, the CTMA had a booth
which was staffed by Robert Cattle (Toronto Chapter Chair) and myself.
Many visitors stopped by to pick up a copy of the association’s new Buyer’s Guide & Membership Directory. The show
was very positive for the CTMA and most people that we talked to were quite positive about the future of our industry.
Thanks to Robert Cattle for his indispensable assistance and support!
CTMA VIEW – June 2006 7
WESTERN ONT. CHAPTER: On March 2nd, members TORONTO CHAPTER: On March 23rd members toured
toured ThyssenKrupp’s Budd Canada facility in the Toronto Star Press-Plant Centre, which is one of the
Kitchener where they had the opportunity to see Budd’s most advanced newspaper facilities in North America.
blanking, stamping, welding, paint/wax and coating The six presses print more than a thousand 96-page
processes. What was most impressive was their newspapers per minute! An excellent dinner at Bistro 96
hydroforming presses with a capacity of up to 5,000 followed the tour with a presentation by Richard Carter
tonnes. Following the tour, members enjoyed of Nucon Wittman on “Selling & Marketing Your
networking over a casual dinner at the Edelweiss Sports Products”. This was a joint event with the CPIA-
Bar & Grill. Mouldmakers Council.
Members Tour ThyssenKrupp’s Budd Canada Plant in
Kitchener, Ontario CTMA & CPIA Members Tour Toronto Star Press-Plant
On April 11th, members also toured Research In
Motion’s assembly, testing and repair facility where they
design, manufacture and market innovative wireless
solutions for the worldwide
mobile communications market
such as the BlackBerry®. The
facility, with its electro static
discharge safe floors and walls, was very impressive.
Dinner at the Waterloo Inn followed the tour with a
presentation on the Apprenticeship Training Tax Credit
and other Government Incentives by representatives
from Deloitte & Touche.
Jamie Bowman (centre) thanks John Hutson and David Durst
from Deloitte & Touche for their presentation on the
Apprenticeship Training Tax Credit.
8 CTMA VIEW – June 2006
SELLING & MARKETING YOUR PRODUCTS
To help you promote your company, there are many 7. Distribute calendars and other promotional gifts
ways you can get inexpensive or even free publicity like baseball hats.
by getting your company’s name in print. At the
8. Arrange to have your brochure inserted into
March 23rd Toronto Chapter meeting, Richard Carter
magazines or newsletters.
of Nucon Wittman offered the following suggestions
as part of his presentation on “Selling & Marketing 9. Have a magazine do a profile on your company
Your Products”: and then order over-run copies from the magazine
for your own distribution.
1. Develop a 50-word statement on what your
10. Design and print some custom folders to send
company does and put it in trade directories
your quotes in.
(many of which offer free listings – including the
CTMA). For a couple of hundred dollars you could 11. Offer tours of your facility.
expand your write-up and add your logo. Studies
12. Be a member of an association.
have proven that 81.7% of buyers consult printed
buyers’ guides and directories above websites. 13. Advertisements should run frequently over the
long term. It is said that 50% of your advertising
2. Respond to magazines when they ask for
budget produces results … the question is which
information for upcoming feature issues.
3. Free trade press is worth a lot. Keep your press
14. While visiting a trade show be sure to walk and
releases in layman’s terms. Include testimonials
talk the show even if you aren’t exhibiting. Don’t
from suppliers that advertise.
forget to talk to the magazines that are exhibiting
4. Magazines will publicize more if they get good … they might be looking for feature stories for
quality photos so it is worth investing a bit of upcoming issues.
money to have a professional photographer take
some photos of your lobby and other areas/items
that highlight what you do or sell. Most magazines
prefer graphics and photos in .jpg, .eps and .tif
formats. Photos must be high resolution (at least
300 dpi when 4 inches wide) and they prefer text
to be in Microsoft Word documents.
5. Contribute editorial material to magazines.
According to the Canadian Plastics Magazine, the
most common submissions are new product
announcements, but other topics could be:
Application Stories – relate how your equipment
is being used in a successful processing
Technical Tips – generic information on how to
maximize certain machinery and plant
Company News – including staff appointments,
new distributorships, or expansions.
Comments or Transcripts – from speeches
made by your company owners, executives,
Interviews – encourage your company
executives, managers and engineers to grant
interviews to editors who are researching
6. Be proactive – check editorial schedules in the
Media Kit section of magazine websites. If you
see a scheduled article on a topic that applies to
your company, give the editor a call.
CTMA VIEW – June 2006 9
Currency Exchange is a column produced by Michael Smith Hedging Strategies-“To hedge or not to hedge. That is the
President of Greenfield Foreign Exchange that highlights the question”-(*with apologies to William Shakespeare). Hedging
general market conditions that are affecting the Canadian an FX exposure is simply a plan any business can put in place
dollar on the global currency markets. using financial instruments to take away the risk of adverse
currency movements for future delivery of a currency. If a
If there is anything importers and exporters can never agree company knows that it will be taking delivery of a foreign
upon it is the true value of the Canadian dollar. However, if currency at some point in the future it can enter into a contract
there is one thing they can all agree upon is that changes in the to lock in the FX rate today and then arrange for the physical
value of the Canadian dollar can play havoc with their delivery of the currency when the funds arrive at that locked in
business. Whether it's daily currency fluctuations or long term rate.
currency trends, each business must address the nature of
their foreign currency exposure and manage it effectively. Instrumental to any foreign currency management program is
understanding the different factors that come into play when
Proper currency management is integral to any business considering an appropriate hedging strategy. Things to look at
operating in a foreign environment and is not dependant on the include the present exchange rate for the currency pair in
size of that exposure. A company with $50,000 in foreign question, the trend of the currency pair over the last days,
currency exposure should be just as concerned as the large months and years and the prognosis of the currency
multinational with more than $100 million in exposure. Each of forecasting tools that you are using.
the firms at either end of the spectrum and those in between
should be taking active steps to protect themselves from Of concern to most readers of this publication will be the value
adverse currency movements and have a definite currency of the Canadian dollar against the USD. In the past three years
management plan in place. we have been in an environment of rising commodity prices,
stable government spending, fiscal surpluses and a main
A properly-constituted currency management plan will have
trading partner that is battling a huge fiscal and trade
some or all of the following attributes:
imbalance. In looking at the enclosed chart over the past few
Market Knowledge-The key to any currency management years we have seen the Canadian dollar move down from the
program is to understand the factors that can affect the value 1.6000 level to the 1.1370 level which was our recent low
of the Canadian dollar over both the long or short term. No earlier this year. This dramatic move as both exporters and
longer are the workings of foreign exchange kept in the importers all know too well has had a dramatic effect on the
draconian back rooms of large global banks but with the advent Canadian manufacturing and export scene.
of internet technology the markets are now completely
transparent and more open than they have ever been. Whether
it is changing interest rates, government deficits, Mergers and
Acquisition activity or changing oil prices, each company now
has the information at hand to make informed decisions on the
direction of the currencies.
Currency Forecasting-Another important part of any currency
management program is to review industry professional
forecasting tools on a regular basis, it is important to become
familiar with the authors and track them over time for accuracy.
The best forecasting tools will be ones that take both a long
term and short term view of the dollar and will incorporate both
technical analysis and market forces when producing a
forecast. Always remember that a good forecasting tool will
never 100% accurately pick correct levels for a particular
currency but will generally be very good at predicting overall
Execution Strategies-The next big component of a currency
management program is both the method and timing of FX We now produce a daily market commentary on the FX
execution. Unlike years ago when any business needing to buy markets which is included in the daily update from IE Canada.
or sell a currency their only option was to enter into a If you would like an individual copy of that commentary please
transaction with their local bank branch at very poor rates of drop me a line and I will see that you are included on the email.
exchange, today with market transparency a company can do
their foreign exchange over the telephone or in a secure online
Michael Smith, President of Greenfield Foreign Exchange has
environment with specialized financial services companies and
been involved in the currency markets for over 25 years. For
achieve much better results.
comments or questions he can be reached at
No longer are companies just beholding to dealing on a email@example.com or 416-217-3095.
currency provider’s currency price but with access to this
market transparency, companies can now take advantage of
leaving their currency orders in the same marketplace that the
large banks use and take advantage of the currency
movements around the world at any time of day.
10 CTMA VIEW – June 2006
CARBIDE & HIGH SPEED STEEL SURVEY GROUP ANNUAL MEETING
Members of the Carbide and High Speed Steel Cutting Tool Survey Groups attended a joint Annual Meeting
at the Doon Valley Golf Club in Kitchener, Ontario on May 29th, 2006. Topics discussed included current
business conditions, the survey format, approval of the accounting company, membership, and terms &
conditions of participation. Following lunch, the participants enjoyed a friendly round of golf together.
Carbide & High Speed Steel Cutting Tool Survey Groups
Annual Meeting - May 29, 2006
Doon Valley Golf Club, Kitchener, Ontario
CTMA AFFINITY PROGRAMS
DESIGNED TO $AVE YOU MONEY
In addition to networking opportunities and many other benefits, your membership in the Canadian Tooling &
Machining Association (CTMA) provides many advantages that you may not have considered. Pooled
purchasing from these suppliers with other CTMA members means savings for you, your employees and your
shareholders! Take a few moments and evaluate for yourself the savings with these affinity partners …
www.toolingjobs.com P.W. Harrison & Son
INSURANCE BROKERS INC.
For more information on the affinity programs with any of these suppliers, contact the CTMA office at:
Tel: (519) 653-7265 Email: firstname.lastname@example.org Fax: (519) 653-6764
CTMA VIEW – June 2006 11
GLOBAL OUTLOOK FOR MOULD MANUFACTURING
By: Harry Moser, Charmilles-Mikron In contrast, software and services are almost 100
Tool and die/precision machining industry trends percent labor intensive and require no costs similar to
are amazingly uniform worldwide. Business is duty, freight, local rework, etc. As the impact on software
tough almost everywhere, but getting better. and services becomes more severe than on
manufacturing, the dollar will come down in value versus
The tool and die industry conditions in most of the the low-wage countries. Our government, which is more
developed and developing countries are surprisingly responsive to the software and service sectors, will feel
similar to those in the U.S. and Canada. At the ISTMA our pain more readily when it starts to feel the greater
(International Special Tooling & Machining Association) pain of these other economic sectors.
Board Meeting, held in Melbourne, Australia in June Four U.S. NTMA member companies and three
2005, each country reported the status of its market, Canadian CTMA member companies attended the
focusing primarily on tool and die, and secondarily on ISTMA board meeting—some as board members; others
precision machining. as interested participants. U.S. and Canadian shops are
encouraged to join NTMA or CTMA for both the local
The consistent message from almost all of the and technical benefits that these organizations provide
developed countries and many of the developing and the international insight provided by ISTMA.
Manufacturing is not appreciated.
A shortage of skilled workers.
Volume had fallen off and has recovered the last
one to two years.
Profits are down.
Competition from China.
(Separate reports from China also show some
similarities, with skilled labor shortages, margin
shrinkage and a need to increase prices to cover rising
Hungary presented a good example of the commonality
of market conditions. Except for the reference to Back Row (L-R): Tom Garcia, NTMA; Egon Jaeggin, Numerical
Germany, the reported conditions are almost identical to Precision; Harry Moser, Charmilles Mikron; Ken Seilkop, A-G Tool
what is being said in the U.S., even though wages in & Die; Geoff Anderson, True North Molds Ltd.; and, Les Payne,
CTMA Executive Director
Hungary are approximately 35 percent of the U.S. level.
Front Row (L-R):Brian Taylor, CTMA, Honorary Member; Manfred
Hoffmann, Caco Pacific Corporation; and, Horst Just, H. J.
This pattern is positive. We know that our industry is Machine & Pattern, Ltd.. Photo courtesy of ISTMA.
essential and will survive and, in fact, continue to grow
as the world economy grows. Almost all countries face For more than a quarter of a century, the International
similar problems. Since all will not collapse, there will be Special Tooling & Machining Association (ISTMA) has
economic adjustments, such as in product pricing, represented the worldwide tooling and machining
currencies, etc., so that the industry will survive and industry. Today, the global association includes in its
prosper. Far better to know that we are all in the same membership a total of 25 tooling and machining
boat than to find that Canada and the USA are in a associations from Asia, Europe and North America.
uniquely difficult position. ISTMA membership collectively includes more than
8,000 companies and >$40 billion in annual sales.
There is confidence in an eventual adjustment of
currencies because analysis shows that U.S. “The organization was originally founded to provide an
manufacturing is a lot more competitive versus low-wage international networking mechanism for the tooling
countries than are many U.S. services and software. industry and to provide a forum for discussion of industry
The advantages of low-wage countries are primarily in concerns and challenges,” notes Tom Garcia of the
the area of labor cost. The cost of manufactured NTMA. “ISTMA provides an opportunity for country
products (e.g. moulds) includes significant material and associations and their member companies to meet,
capital (e.g. machine tool cost). Material and capital network and potentially develop collaborative marketing
costs are much more uniform around the world than are relationships to help them compete in the global
labor costs. Also, manufactured goods require duty, marketplace. The vision of the association is to evolve
freight, inventory carrying costs and, often, rework costs. into a center of knowledge for the global tooling and
12 CTMA VIEW – June 2006
MEMBERSHIP PLAQUE RECIPIENTS
TUNGALOY AMERICA INC. NIAGARA PRECISION LIMITED
John Mitchell (left) of Tungaloy America Inc. Norm Kiddy (right) of Niagara Precision Limited
receives membership plaque from receives membership plaque from
Richard Tunstill of Dormer Tools Inc. Robert Cattle, CTMA Toronto Chapter Chair.
HUB INTERNATIONAL ONTARIO LTD. PRECISION CANADA
Judi Smith (right) and Traci Brown (left) of Hub International Scott Wilson (right) of Precision Canada
Ontario Ltd. receive membership plaques from receives membership plaque from
Jamie Bowman, CTMA President. Ralph Carter of Metalworking Products Canada Co
SGS TOOL COMPANY DGI SUPPLY
David Toomey (right) of SGS Tool Company Greg Meyer and Jim Hobbs of DGI Supply
receives membership plaque from receive membership plaque from
Robert Cattle, CTMA Toronto Chapter Chair. Jamie Bowman, CTMA President.
CTMA VIEW – June 2006 13
NEW LEGAL INSURANCE PRODUCT
PROVIDES LOW-COST SOLUTION FOR
CANADIAN BUSINESS OWNERS
We live in a litigious society. For the independent The Canadian Machine, Tool, Die & Mould Federation
business owner, this means that facing situations now has a logo which was developed to represent the
that can lead to legal action are surprisingly four associations involved (CTMA, CPMA, CAMM, and
commonplace. Did you know that approximately 45% CPIA-Mould Makers Council). It identifies the
Federation as Canadian and illustrates the precision
of all lawsuits launched against businesses today are sector it represents. It is a dynamic symbol of this high
done so by employees! Dissatisfied customers, tech, leading edge industry, and shows the forward
property disputes, human rights complaints, movement which is at the core of the Federation’s
contractual disputes and personal injury issues all mandate.
add to the problems of operating a business.
Legislative issues like Bill C45, which gives the
Ministry of Labor rights to charge business owners,
and employees with criminal charges under the
Occupational Health & Safety Act for safety
infractions is another example of a potential law suit.
Even if not found guilty the cost to defend yourself
can be very expensive.
Business owners must interpret the degree of
potential legal threats that may exist in any given
situation. By seeking legal advice right from the start,
problems can often be resolved quickly or a suitable
compromise reached between the parties involved
before costly settlements or long, drawn-out court
cases take owners away from running their CONGRATULATIONS !!
businesses. Congratulations to David Glover of Harbour Advanced
Machining Ltd. and Jennifer Katt who were married in
Windsor, Ontario on May 27, 2006.
Business owners in Europe and England have been
using this product for decades. Brand new to
Canada, Commercial Legal Expense Insurance Your company is very likely
(CLEI) is now available to companies and allows
them to pre-budget unforeseen legal costs at entitled to R&D Tax Credits
pennies on the dollar. CLEI provides coverage for
legal matters that are not covered by commercial ► For experimental development that you do on
general liability insurance. the shop floor.
► For “what-if” designs that you try out in your
More than an insurance policy, CLEI provides
businesses with a complete service, including CAD system.
unlimited access to a toll-free Telephone Legal ► For innovative changes that you make in your
Advisory (TLA) Service. design-build processes.
► For new tooling assists that you invent.
For further information about
Helping companies prepare R&D claims is our
Commercial Legal Expense
specialty. We know the tooling industry. And we
Insurance contact HUB
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contact Judi Smith at 1-800-263-
Call Jim Moore in Windsor at 519 944-0411
4927 or via e-mail at
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Leamington/Windsor area contact Traci Brown at Moore Global Corporation
1-800-463-4700 or via e-mail
firstname.lastname@example.org. Research & Development Consultants to Industry since 1985
Specialists in the Preparation of Claims for R&D Tax Credits
14 CTMA VIEW – June 2006
INDUSTRY PULSE RATE UPCOMING EVENTS
TAKEN APRIL & MAY 2006
• Sales volumes steady with a good year shaping up June 12-14 ISTMA World Board Meeting Portugal
• Shop floor is full June 15-17 Int’l. Patternmakers Congress Paris, France
June 19-23 NPE 2006 Chicago
• Automotive sector is in decline
July 7 Apprenticeship Competition Closes
• Worldwide manufacturing employment is in decline July 13 CMTDMF Board Meeting Mississauga
– including China Aug. 11 ISTMA Business Conditions National
• 11 OEM’s in Michigan are in Chapter 11 Aug. 23 CTMA Board Meeting Cambridge
• Unemployment in Windsor area (and Michigan) is Sept. 6-13 IMTS Chicago, IL
Sept. 13 Safety Group Meeting Windsor
over 9% - highest in Ontario and higher than the Sept. 15-17 Annual General Meeting Niagara Falls
national average Sept. 22 Safety Group Meeting Milton
• Business is tough to come by, but it is there. Sept. 25 Windsor Chapter Meeting Windsor
• Profit margins in tool & die are slim Oct. 16 Wage Survey Begins National
Oct. 17 Safety Group Sponsor Conf. Toronto
• Layoffs are happening due to automotive production
Oct. 25 CTMA Board Meeting Cambridge
being down-sized Oct 31-Nov 3 SEMA 2006 Las Vegas, NV
• Shops dependant on the auto sector are struggling, Nov. 9 CAMM’s Mould Makers Trade Fair Windsor
those that have diversified are doing much better Nov. 10 Safety Group Meeting Milton
• Tooling sector in the USA is booming after suffering Nov. 15 Wage Survey Deadline National
30-40% reduction in capacity Nov. 15 Safety Group Meeting Windsor
Nov. 29-Dec 2 Euromold Frankfurt, Germany
• Currency exchange rate is limiting profitability on
work from the USA
• Business in the western provinces is extremely good May 1-3 Plast-Ex – 50th Anniversary Toronto
• Some Alberta-based firms are outsourcing to
• SR&ED audits are disallowing up to 30-50% of
claims compared to prior years High Technology Cutting Tool Systems
• Steady workload but future is uncertain
Truly the "Tools of Tomorrow", OSG's High
• Diversification is the key to survival
Technology Cutting Tool Systems are designed
specifically to help the hard machining, die and
mold making industry remain competitive in the
EUGENE (GENE) JOSEPH passed away at his home No one in the cutting tool industry offers a greater
on Thursday, March 23, 2006 at the age of 76. Born in selection of high-tech cutting tool styles and sizes
Clui, Romania in 1930, survivor of the Holocaust, Gene than OSG.
immigrated to Canada penniless and without any
English. He was fostered in a Jewish home in
Winnipeg in 1947 at the age of 17. With drive and
determination he built a successful tool and die
manufacturing business, Tooling Enterprises, and was
a member of the CTMA for many years.
He had a happy 48 year marriage to Ruth (Daniels); he
was a great father to David, Mary Anne, Jackie (Jim
Kosir) and Karen (Glen Dennis); and a loving
grandfather to 10 grandchildren. Happiest when
spending time with family and friends.
Contact us today, for the Tools of Tomorrow...
Gene died four days after returning from a yearly family
cruise. His zest for life, love of a good joke and
enjoyment of a good party endeared him to those who
met him. Gene was interned at Resthaven Memorial
Gardens, Scarborough, Ontario on March 27, 2006. OSG Canada Ltd
Donations in his memory may be made to the Shoah An ISO 9001 Certified Company
538 King Forest Court, Burlington , Ontario L7P 5C1
Foundation, Children’s Wish Foundation, or a charity of Phone; 1-800-263-4861 Fax; 905-632-8466
your choice. www.osgtool.com
CTMA VIEW – June 2006 15
16 CTMA VIEW – June 2006