ABA ROI 2012

From one little grain,rises one big industry

ROI ReportROI ReportAmerican Bakers Association 2011-2012American Bakers Association 2011-2012American Bakers Association 2011-2012

A Look at Your Return on Investment

The baking industry plays a vital role in the U.S. economy. The baking industry directly generates more than $102 billion in economic activity annually and employs more than 633,000 highly skilled people. The total impact of the industry including suppliers and indirect impact is $311 billion — 2.1 percent of GDP. Bakers, product wholesalers, suppliers and retailers directly or indirectly employ approximately 1.76 million Americans according to a recent study. These workers earned over $90.2 billion in wages and benefi ts. Members of the industry and their employees paid $38.5 billion in direct federal, state and local taxes. Additionally, America’s bakers give back to their communities by donating millions of dollars and pounds of food product to worthy causes each year.

$3.2BTOTAL

IMPACT

633,020JOBS

$38.5BTAXES

$31.5BWAGES

What the Baking Industry Means to America

The baking industry plays a vital role in the U.S. economy. The baking industry directly generates more than $102 billion in economic activity annually and employs more than 633,000 highly skilled people. The total impact of the industry including suppliers and indirect impact is $311 billion — 2.1 percent of GDP. Bakers, product wholesalers, suppliers and retailers directly or indirectly employ approximately 1.76 million Americans according to a recent study. These workers earned over $90.2 billion in wages and benefi ts. Members of the industry and their employees paid $38.5 billion in direct federal, state and local taxes. Additionally, America’s bakers give back to their communities by donating millions of dollars and pounds of food product to worthy causes each year.

$3.2BTOTAL

IMPACT

633,020JOBS

$38.5BTAXES

$31.5BWAGES

What the Baking Industry Means to America

ABA’s Advocacy for the Baking IndustryPublic Relations Efforts for Grain FoodsInsight into Consumer Behavior Shared at ABA ConventionABA Resources Celebrating MyPlate and Enrichment of Grain FoodsABA Year in Review

ABA Makes an Impact for Sugar ReformWheat Research and Commodity VolatilityAmerican Bakers PACABA ELDC — Developing Industry LeadersABA Meetings and Industry NetworkingHOS, Food Safety, and Energy Star InitiativeABA Leadership

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Contents:

IT HAS BEEN A PARTICULARLY INTERESTING YEAR FOR THE INDUSTRY. CONSOLIDATION, COMMODITY VOLATILITY, SHIFTING CONSUMER TASTES AND EXPECTATIONS — AND A HOST OF OTHER ISSUES HAVE IMPACTED OUR COMPANIES.Through it all, ABA has remained a constant — constantly fi ghting for your interests in Washington and the states, constantly supporting the industry and its products, constantly providing a forum for the entire industry to gather, strategize and develop solutions.

In the past year alone, ABA has claimed many considerable victories on behalf of the industry. We led the united industry’s effort to promote grains on the new MyPlate icon. We continued the fi ght on food safety – squashing legislation proposing registration fees of up to $185,000 per company. We quickly mobilized to fend off a proposal that would have forced bakers in Ohio and Indiana to install catalytic oxidizers on proofers — a threat that could have exceeded $500,000 per line.

As you will see illustrated in the coming pages, ABA isn’t just about advocating for the industry. We are the vehicle for the industry to unite in common purpose – to strengthen, grow, and fl ourish even in the most challenging of environments.

This Return on Investment report details the important work we successfully accomplished on the industry’s behalf this past year. Of course, ABA cannot really take credit — each and every achievement has been made possible by the continued commitment and active participation of its members. During this period of rapid change for our industry, we appreciate your investment and trust more than ever.

We know you make tough decisions every day, and that you have your choice of different routes when it comes to advocacy and associations. We thank you for placing your confi dence in ABA. With our members behind us, we look forward to another year of fi ghting and winning for your company’s interests.

Best wishes for a very prosperous year.

ABA Leaders “Rise” to the Challenge

ROBIN ALTON, IIIPresident & CEO

Pan-O-Gold Baking Company

ROBB MACKIE

President & CEO

American Bakers Association

ABA — “We’re On It!”

We’ve Got Your Back So You Can Run Your Bakery!

“I have a business to run, I don’t have time to worry about every issue. I know ABA is handling it for me and my bakery — and THAT is why I support ABA.”

— Rich Scalise, Hearthside Food Solutions

If you have a baking business to run, we know there are a lot of things that can keep you up at night — commodity volatility, food safety, nutrition labeling, health care reform, sustainability, labor and workforce issues — the list goes on and on. ABA wants you to know that we are on it. We are on Capitol Hill and attending meetings with law and policymakers every day, educating them on how their decisions impact your business, and possibly cause the loss of jobs and ultimatley raise costs for consumers. Our job is to protect our members from costly federal, state and local policy burdens. We tackle the issues that impact your bottom line, and ultimately lose you sleep.

63Number of Issues ABA is Currently Tackling for

the Baking Industry

300+Number of

Congressional Touchesin the Past Year

50+Letters to Key

Policymakers on Behalf of Industry

4 A Look at Your Return on Investment

Making a Statement About Our Products

Dr. Glenn Gaesser vs. Dr. OzGrain Foods Foundation Advisory Board Chairman Dr. Glenn Gaesser made a statement to America about the healthfulness of grain foods when he appeared on the Dr. Oz show last fall. Dr. Gaesser challenged the host on a variety of topics ranging from eating right to what is the best indicator of good health, defending the healthy nature of grain consumption.

As part of its “RISE” Campaign, GFF spokesperson and soccer

champion Mia Hamm has been touting the healthful benefi ts

of eating grains as part of a balanced, nutritious diet in dozens

of media outlets.

This notion that carbohydrates make us fat is just a big fat lie.” — Glenn Gaesser, Ph.D.

Dr. Gaesser explains to Dr. Oz that grains don’t make you fat. “I know that that notion goes against conventional wisdom,” he said, “but in this case, conventional wisdom is wrong.”

On or off the fi eld, I could never get through the busy days without fueling up with bread and grains. Plus, grain-based foods like bread, pasta and cereal are not only healthy, they’re convenient and affordable – all important things to consider when you’ve got a growing family at home!”

World’s Most Famous “Soccer Mom” Promotes Grains

Grain Foods Foundation Continues Successful Campaigns

Response Letters to any misinformation about grain foods sent since Sept. 1

“Bread Trail” PSA viewers to date

“Bread Trail” Ad Equivalent Value

Total media impressions since Sept. 1

RISE Campaign Media Impressions

501.3 B

965+ MM

281MM

— Mia Hamm, Mother of Three and Olympic Soccer Champion

$20 MM

“We’ve Got Your Back So You Can Run Your Bakery!

ABA ROI 2011-2012 5

“RISE WITH THE GOOD NUTRITION OF BREADHear what Mia Hamm, nutrition experts and FITNESS magazine have to say about incorporating healthy grains into your diet.

ABA Helps Bakers Get Into the Mind of the Consumer

Convention retail panel from left: Stew Leonard Jr., Stew Leonard’s; Shawn Baldwin, Sam’s Club; and Todd Hale, Nielsen.

Bakers Get Powerful Insight Into Consumer Behavior at ABA Convention

At this year’s ABA Convention, consumer experts and a panel of retailers gave attendees insight into what consumers want from their shopping experience in today’s marketplace.

One Message is Clear:

The Innovators Will Be the Winners

Consumer behavior expert Todd Hale, Nielsen, presents, “Capitalizing on Changing Consumer Trends.”

Acosta CEO Robert Hill shared insights into the current consumer market, which has been even more challenging in the down economy.

During the convention’s retail panel presentation, “Get Into the Mind of the Consumer,” presenters emphasized the importance of high quality and innovative products to attract consumers to the bakery aisle. They shared several (surprisingly) similar approaches to retail strategy (see below).

The key message was that consumers are looking for more ROI on their entire shopping experience. Consumers want more value for their dollar, more choices and variety and an overall more enjoyable trip to the store.

Linking promotions — innovating by leveraging creative rewards programs, such as gas rewards to ease the impact of high gas prices Creating a fun shopping experience by creating “Retail-tainment”!

Providing variety to attract wider audience

Tapping into media and networks to attract customers and offer deals

Appealing to sustainable trends like “healthy” and “natural” products

Successful retailers are:

•

•

•

•

Bringing consumer insights on innovative products to the retailer

Never losing sight of quality and taste as the consumer will reward bakers of high quality products

Taking every opportunity to truly collaborate with retailers and possibly other ingredient suppliers

Finding the balance between data research and really knowing the markets bakers serve

Similar club and high-end retail strategy approaches:

•

•

•

•

From beginning to end, this convention was the most valuable and timely convention I can remember. Every speaker was relevant and on topic. Every networking session was well attended and important for the strength of our industry.”

— Allen Shiver, Flowers Foods

6 A Look at Your Return on Investment

•

ABA Resources Serving Baker & Allied Members Every Day

RisetoAction.org, ABA’s grassroots action center, provides ABA members a one-stop, branded, political involvement resource.

RiseToAction.org offers ABA Members:

www.americanbakers.org

In response to members’ inquiries on how to prepare for increased FDA inspections, ABA developed a FDA Inspection Plant Manual providing bakers and suppliers with critical, up-to-date information refl ecting the new FSMA requirements — a critical resource in the current regulatory climate.

Are you Ready if FDA Knocks at Your Door?

www.nourishenrichsustain.org

www.bakersenrichamerica.org© All Rights Reserved

FDA Inspection Manual

Updated March 22, 2012

Resourceful Websites

ABA launched to showcase the industry’s sustainability efforts.

ABA launched to illustrate the economic impact of the baking industry in each state and the U.S.

Need to Keep Up with an Issue?

Join an ABA Issues List!

www.americanbakers.org/join-a-list

2012 Election Outlook!

Register to Vote and Locate Your Polling

Place!

Access Online Voting Records!

• 2012 Election resources including maps, candidate profi les, polls & news

• Real-time election night results• Access Members of Congress’ voting records on key

issues• Take action on critical baking industry legislation• Locate and communicate with your elected offi cials• Register to vote, early voting information and fi nd

your polling place• Government 101 – learn about how Congress works

ABA ROI 2011-2012 7

ABA — MyPlate Strategic Partner

As a USDA National Strategic MyPlate Partner, ABA is

proactively working with USDA to educate consumers

regarding the new MyPlate icon and “Super Tracker,” a new

online diet and physical activity planning, assessment and

analysis tool that helps people make healthy food and fitness

choices. The icon and supporting science from the 2010

Dietary Guidelines for Americans is integrated into ongoing

educational efforts promoting the benefits of whole and

enriched grains as the foundation of a healthy lifestyle. Grain

messages will be the focus from September through December

2012 on the ChooseMyPlate.gov website.

Helping America Eat Healthier — One Plate at a Time

ABA ran a series of videos commemorating the MyPlate one-year anniversary that were featured on YouTube and on the ABA website.

One-Year Anniversary of MyPlate

ABA’s social media promotion continued throughout

the month of June during the one-year anniversary of

MyPlate with daily Twitter touches on interactive use

of MyPlate and healthy grain messages. The USDA

hyperlink to the special MyPlate birthday page can be

found on ABA’s website.

8 A Look at Your Return on Investment

At the April 11 USDA MyPlate National Strategic Partner Meeting, ABA was publicly commended for its Twitter campaign promoting the new icon during the “MyPlate Day” that occurred in March.

ABA Recognized for MyPlate Communications

Twitter Campaign Helps Spread the Word Through Social Media

Enriching Lives with Healthy Products

Protecting Bakers from Misguided

Labeling Changes

Industry Works Together to Lower

Sodium

In January 2012, ABA submitted to FDA its white paper,

“Considerations for Reducing Sodium in the Baking

Industry,” that demonstrated bakers’ efforts to reduce

sodium in a manner acceptable to consumers. ABA’s

comments also addressed ongoing technological hurdles for

sodium reduction in some bakery products. Further, ABA

included scientifi c research citations and encouraged review

of all scientifi c research around the health impacts of

sodium reduction; ABA questioned the rationale for policy

changes based on current science.

Enrichment of Grain Named a CDC

Top Ten Public Health Achievement

The Centers for Disease Control and Prevention

(CDC) recognized enrichment of grains with folic

acid as one of the “Top Ten Public Health

Achievements of the fi rst decade of the 21st Century.”

The CDC recognized that a signifi cant reduction in

birth defects such as spina bifi da was due in large

ABA celebrates CDC’s recognition of the fortification of enriched grains with folic

acid as being “one of the top ten public health achievements

in the 21st Century.”

part to the enrichment of grains with folic acid. Specifi callly,

folic acid fortifi cation and the public health campaigns

encouraging women of childbearing age to get the

recommended amounts of folic acid has led to a 36 percent

reduction in babies born with neural tube defects. This was

an extremely positve message for the baking industy

providing validation that grain-based foods are healthy,

nutritious and vital to the daily diet.

ABA is currently fi ghting against an FDA-sponsored

initiative that would require added sugar labeling on the

nutrition facts panel. Any food package labeling changes

would cost bakers and suppliers millions in packaging costs

and could potentially cause harmful consumer perceptions

of baked goods. ABA is working to educate policymakers

on how sugar works in the baking process and inform them

that there is no currently-approved analytical method to

distinguish between naturally occurring and added sugar.

Therefore, such a change in labeling policy would not be

enforceable under FDA’s current authority.

ABA ROI 2011-2012 9

Year in ReviewAmerican Bakers Association

10 A Look at Your Return on Investment

Tour of Alpha Baking Co. in conjunction with Logistics

Committee MeetingHot Dog Lunch 2011

ELDC Public Polic Forum — Over 40 ABA members visit

20 offi ces on Capitol Hill.

Robb MacKie testifi es on HOS to House Government

Oversight Committee

Robb MacKie testifi es on HOS to House Government

Oversight Committee

Senator Mark Kirk (R-IL) at the East Balt Commissary

ABA signs Energy Star MOU with EPA.

Sen. Scott Brown addresses Joint ABA/ATBI Boards.

ABA seeks food safety exemption

for depots.

CFTC votes in favor of ABA position limits.

ABA welcomes a bakers’ delegation from China to its Washington offi ce.

Senator Mark Kirk (R-IL) at the East Balt Commissary

Tour of Alpha Baking Co. in conjunction with Logistics

Committee Meeting

ELDC Public Polic Forum — Over 40 ABA members visit

20 offi ces on Capitol Hill.

Hot Dog Lunch 2011

ABA hosts “Meet & Greet” for Rep. Stutzman (R-IN) at the

ABA Offi ce.

NOVJULY AUG SEPT OCT DEC

CFTC Chairman Gary Gensler discusses

commodity volatility at Joint ABA/ATBI Board

Meeting.

Year in ReviewAmerican Bakers Association

ABA ROI 2011-2012 11

Folic Acid Congressional Reception

ABA launches Twitter feed —

@AmericanBakers.

www.BakersEnrichAmerica.orgwebsite is launched.

www.BakersEnrichAmerica.orgwebsite is launched.

Folic Acid Congressional Reception

ABA is named USDA MyPlate Strategic Partner.

ABA is named USDA MyPlate Strategic Partner. House Majority Leader Eric

Cantor (R-VA) visits ABA Member AMF Bakery Systems.

House Majority Leader Eric Cantor (R-VA) visits ABA

Member AMF Bakery Systems.

ABA launches Twitter feed —

@AmericanBakers.

ABA, NAWG & NAMA Fly-in for USDA ARS

Wheat Research.

ABA, NAWG & NAMA Fly-in for USDA ARS

Wheat Research. New ABA website is launched!New ABA website is launched!

Human Resources Committee Meeting - ABA members meet with Senator Pryor (D-AR).

ABA Fly-in on sugar reform — ABA members meet with several

Members of Congress.

2011-2012

Hispanic Caucus Meeting —

ABA and GFF meet with

Jean Schmidt (R-OH).

ABA submits sodium comments to FDA.

ABA sends letter to Senate regarding NLRB’s ambush

elections proposal.

Former Sen. Don Nickles (R-OK)

addresses ABA Board.

ABA’s Robb MacKie testifi es against the regulating of

rising dough by EPA.

JAN MAR MAYFEB JUNAPR

ABA 2012 ConventionABA 2012 Convention

Making an Impact for Sugar Reform

Secured numerous co-sponsors for House and Senate bills reforming the program

Engaged all bakers across the country in the fi ght to reform the sugar program, including

wholesale, commercial and retail bakers

Secured votes on amendments reforming the current sugar program reauthorized in the Farm Bill

Worked with local and national media to ensure the impact of the program is heard and understood

Making It Happen, One Hill Visit at a Time...

Congressional visits to date260+

Rep. Frank Lucas (R-OK)Chairman of the House Ag Committee

ABA has successfully:

ABA has spent the past year taking teams of bakers up to Capitol Hill to urge Congress to reform the sugar program. ABA, along with the Coalition for Sugar Reform, has been successful at raising the issue to the forefront of the Farm Bill debate.

Bakers and consumers typically pay twice the average world price for sugar. Subsidy for sugar growers = $3.5 billion dollar a year.

Over 125,000 jobs have been lost since 1997 due to the impact of the current sugar program.

Impact on Industry

••

••

“ I’ve heard more about the need to reform the sugar program in the past six months than I’ve heard in my prior 16 years in Congress.”

“Bakers and consumers typically pay twice the average world price for sugar. Subsidy for sugar growers = $3.5 billion dollar a year.

Impact on Industry

“ I’ve heard more “ I’ve heard more “about the need to reform the sugar program in the past six

Sugar cubes denote concentration of Hill vists in a particular state.

12 A Look at Your Return on Investment

Getting Government As Concerned About Wheat As We Are

ABA Eases Pain of Commodity Volatility

Since the Wheat Crisis of 2008, ABA has worked tirelessly to create solutions to decreasing market volatility—the largest fi nancial risk to baking businesses. Their proposal to the Commodity Futures Trade Commission (CFTC) to remove hedge exemptions and impose limits on index fund investment in the market played a critical role in the CFTC vote to imple-ment contract limits on index funds investing in the wheat futures market. This new rule will allow bakers and farmers to manage their respective risks. CFTC’s Gary Gensler speaks with ABA board members at the 2011

Joint ABA-ATBI Meeting held last fall in Washington, D.C.

Federal funds for USDA’s basic wheat research initiatives are serverely threatened. ABA is actively urging Members of Congress to continue funding for vitally important wheat research. In March 2012, ABA partnered with the National Association of Wheat Growers, the National Wheat Improvement Committee and the North American Millers Association in congressional outreach visits to educate Members of Congress and request appropriated FY 2013 funding for USDA Agricultural Research Service wheat research. Wheat labs are crucial in supporting wheat breeders with information and tools to enhance the value of the U.S. wheat crop in terms of yield, nutritional quality and disease resistance to benefi t both bakers and consumers.

Educating Congress on the Importance of Wheat Research Funding

Industry experts forecast the “Future of Wheat” in a 45-minute panel discussion at ABA’s 2012 Convention. From left: Jim Peterson, Limagrain Cereal Seeds; Dana Peterson, National Association of Wheat Growers (NAWG); Larry Marcucci, Alpha Baking Company; Bill Lapp, Advanced Economic Solutions, and moderator Randy Marten, Miller Milling Company.

“ It is imperative that we continue to support wheat research. Wheat already struggles to maintain its share of cropland versus other crops. If we are not able to continuously improve the quality and quantity of wheat that we grow and harvest, the cost of bread, one of our most basic foods, will become unaffordable for many consumers.

— Larry Marcucci, Alpha Baking Company

ABA has been working to convince lawmakers that wheat research is fundamental to our country’s ability to maintain a healthy, stable and affordable food supply.

ABA ROI 2011-2012 13

American Bakers Political Action Committee —

The Baking Industry’s Political Voice

American Bakers PAC — The Political Action Committee of Grain Based Foods

American Bakers Political Action Committee (PAC) works diligently to infl uence federal elections by supporting pro-business, free enterprise candidates to the United States Congress and Executive Branch. American Bakers PAC is funded through voluntary, personal contributions from individuals who belong to the restricted class of authorized ABA member companies.

American Bakers PAC is chaired by Steve Avera, Flowers Foods, and staffed by ABA Senior Director, Political Affairs Kelly Knowles.

PAC Dinner Speaker Mike Huckabee

The 2012 American Bakers PAC Dinner in Scottsdale was the most successful PAC fundraising event in ABA history. Former Arkansas Governor and Presidential Candidate Mike Huckabee was the keynote speaker.

Keynote Speaker Mike Huckabeee with PAC Chairman’s Circle Members Russ and Liz Bundy, American Pan Co.

The American Bakers PAC Roundtable with Gov. Mike Huckabee was held at the ABA Convention.

Top PAC Contributors Raise the Bar

PAC Leadership

American Bakers Political Action Committee —

The Baking Industry’s Political Voice

American Bakers PAC Continues to Exceed Goals

Senator John Boozman (R-AR) visits Harlan/Southern Bakeries in Hope, Ark. From left: Dennis Ramsey, Mayor, Hope, Ark.; Sen. Boozman (R-AR); Dan Banks, Southern Bakeries; Joe Latouf, Harlan Bakeries; and Mike Tolleson, Southern Bakeries.

2012 Cycle — $295,000 — NEW PAC Fundraising Record!

2012 Goal — $220,000

$97,600

$145,000$202,000

$252,500

$295,000

2011-20122009-20102007-20082005-20062003-2004

$252,500

$202,000$145,000

$97,600

Election Cycles

Record!$295,000

$252,500

Thanks to the generous support of ABA baker and allied members, and the leadership of PAC Chairman Steve Avera, Flowers Foods, American Bakers PAC is achieving outstanding results in fundraising.

House Majority Leader Eric Cantor (R-VA) receives an American Bakers PAC check from PAC President’s Club Member Ken Newsome, AMF Bakery Systems.

Member Plant Visits

American Bakers PAC is one of the few national trade associations that sends PAC contributions directly to ABA members to present. American Bakers PAC will invest heavily in the 2012 elections with more than $250,000 in contributions to House, Senate and Presidential candidates. PAC Guidelines are critical in deciding where ABA Members’ personal money is invested. To learn more about ABA’s PAC contribution criteria, visit the ABA website or contact ABA’s Senior Director, Political Affairs Kelly Knowles.

ABA ROI 2011-2012 15

“

ELDC - Developing the Industry’s Next Generation of Leaders

ELDC’s core mission is to develop the future talent of

the baking industry and American Bakers

Association. All ELDC activities include a strong

focus on leadership training, political

involvement, innovation and industry education.

The ABA Executive Leadership Development Committee focuses on teaching ABA members how government and politics impact our industry, the importance of advocacy and the role of ABA and its activities. ELDC also informs participants on baking and allied industry trends while at the same time imparting valuble business and leadership skills.

Last September, ELDC, chaired by Connie Vaughan, McKee Foods, and Pete Frederick, Milner Milling Co., hosted its annual Public Policy Forum in Washington, D.C., bringing baker and allied members together for intense, interactive and informative presentations by baking industry leaders, professional development specialists and policymakers.

Sen. John Boozman (R-AR) with 2011 ELDC Dinner sponsors Campbell Williams (left) and Tim Marron (right), BCW Food Products.

ELDC Chairs Pete Frederick, Milner Milling/Pendleton Flour Mills; and Connie Vaughan, McKee Foods Corp., at the 2011 ELDC Public Policy Forum Dinner

Rep. Tim Scott (R-SC) spoke about his efforts to reign in the massive overreach of the National Labor Relations Board.

The 2011 Public Policy Forum CEO Leadership Speaker Series featured Rich Scalise, CEO, Hearthside Foods Solutions.

ELDC is important as it provides bakery executives and young professionals the ability to network, discuss past and present experiences, and build leadership skills. All of these opportunities are imperative for the development of young leaders in business, and forge strong bridges between generations. I’ve made connections at ELDC meetings that have turned into great business relationships.”

— Jesse Amoroso, Amoroso Baking Company

16 A Look at Your Return on Investment

Save the Date!2012 ELDC Public Policy Forum

Oct. 2-4Washington, D.C.

Grow your network

Each year, ABA members from baker and allied companies gather at ABA’s various committee meetings and convention to discuss industry issues, develop consensus, establish an industry position on issues, garner information from speakers and presentations, learn the latest industry trends, discover new ideas, and most importantly...NETWORK! There is no substitute for first-hand engagement with your colleagues.

Get Connected at ABA Meetings!

Gain from “side-line” conversations

Idea SharingOne-on-One

Connect with industry colleagues

Help develop industry position on issues

Hear from business and political speakers

Learn about the latest industry trends

ABA Meetings Bring the Industry Together

This was my first ABA Convention. The people I met and the networking alone made it worth coming. I’ll definitely be back next year. — Jason Favrow, General Mills

ABA ROI 2011-2012 17

Doing What’s Good for America And Bakers

The Federal Motor Carrier Safety Administration (FMCSA) has yet again made changes to Hours of Service (HOS) regulations that could potentially have a huge, widespread economic impact on the baking industry.

Over the past 15 years, ABA has taken a strong stand opposing the proposed HOS rules, reaching out to the Department of Transporation, FMCSA and Congress.

Most recently, ABA testifi ed before the House Subcommittee on Regulatory Affairs, Stimulus Oversight, and Government Spending. ABA President & CEO Robb MacKie warned Members of Congress that FMCSA’s proposed changes would negatively impact the industry as a whole including increasing the cost of transporting and delivering fresh baked goods.

Hours of Service Rule – ABA Still Fighting

“ There is no safety benefi t or documented rationale to change the existing rules. This rule will require signifi cant changes to current baking industry distribution systems that will affect employee work hours and increase the cost of transporting and delivering fresh bakery products. With high unemployment and elevated food infl ation, now is the worst time to be pushing regulation for regulation’s sake.”

— Robb MacKie, ABA President & CEO

ABA has signed a Memorandum of Understanding with the U.S. EPA to promote increased energy effi ciency for the baking industry. Through the agency’s ENERGY STAR ® program, ABA and EPA will

collaborate to provide valuable energy management tools to help promote increased energy effi ciency throughout the U.S. baking industry.

ABA Leads Industry in Energy Usage Reductions

Goal for Bakers: Reduce Energy Intensity by

10 Percent within Five Years or Less

Food safety is a key issue for the baking industry. ABA has been instrumental in educating its members on how the Food Safety Modernization Act (FSMA) will impact companies’ processes and their bottom line, and helping to develop productive, effi cient strategies. Since there are more than 50 new guidance and regulations tied to FSMA, ABA guidance and resources will be critical to its members.

Over the past year, ABA has been successful in its efforts to aggressively oppose registration and other user fees (taxes on industry), as a means to fund FSMA. ABA strongly advocated the need for appropriated funds for these activities with congressional policymakers; this successful effort saved companies signifi cant resources. In July 2011, ABA led the entire food industry in submission of a petition to grant an exemption for warehouses and depots from FSMA compliance requirements for depots and warehouses.

ABA Thwarts Efforts to Make Bakers Pay Registration and User Fees

Register for the Energy Star Challenge!

Providing Leadership & Direction for the Industry

Chairman of the Board* Howard R. “Robin” Alton IIIPresident & CEOPan-O-Gold Baking Company

First Vice Chairman * Fred Penny, Executive Vice PresidentBimbo Bakeries USA

Second Vice Chairman * Richard Scalise, CEOHearthside Food Solutions Treasurer* Albert Lepage, Chairman Lepage Bakeries, Inc. Immediate Past Chairman* Allen L. Shiver. President Flowers Foods

John C. Campbell, II, Vice PresidentChattanooga Bakery, Inc.

John Hink, Vice PresidentQuality Bakery Products, LLC

Kenneth “Chip” Klosterman, Jr.President, Klosterman Baking Company

Mark Kuchuris, Executive VP, US & AfricaEast Balt

Brian LeComte, TreasurerGold Medal Bakery

R. Jack Lewis, Jr., President Lewis Bakeries, Inc.

Maureen Linder, SVP & General ManagerFresh & Frozen BakeryPepperidge Farm, Inc.

Larry Marcucci, PresidentAlpha Baking Company

Paula Marshall, CEO/PresidentThe Bama Companies, Inc.

James A. Martin, PresidentMartin’s Famous Pastry Shoppe, Inc.

Mike McKee, President & CEO McKee Foods Corporation

Barry McLean, PresidentCanada Bread Company Limited William Paterakis, President & CEONortheast Foods

Kevin Phillips, VP, Operations SupportSafeway, Inc., Mfg. Div.

Erin Sharp, Bakery VP of Operations,The Kroger Co.

ABA Board of Directors

Robb MacKiePresident & CEO

Maggie HummelExecut ive Assistant to the President & CEO

Mike GoscinskiExecutive Assistant to the S.V.P.Government Relations & Public Affairs

Teresa GrantFinance Manager

Matt GroggDirector, Meetings & Education andIBIE Housing & Transportation Manager

Kelly KnowlesSenior Director, Political Affairs

Kelly KotcheDirector, Membership & Marketing and IBIE Registration Manager

Cory MartinDirector, Government Relations

Samanatha MooreMeetings Registrar & Membership Assistant

Helen NelsonReceptionist, Administrative Assistant and Notary Public

Lee Sanders, CAESenior Vice President, Government Relations & Public Affairs/Corporate Secretary

Chuck Wellard, CAESenior Vice President, Operations and IBIE Secretary/Treasurer

Rasma ZvanersPolicy Director

ABA Professional Staff

Renato G. Turano, ChairmanTurano Baking Company

* Robb MacKieABA President & CEO

* Lee SandersABA Corporate Secretary

Allied at Large RepresentativeJ. Bowman Williams Jr., PresidentB.C. Williams Bakery Service

AIB ChairmanDavid Murphy, President Mother Murphy’s Laboratories, Inc. ATBI PresidentTim Miller, SVP, SalesCereal Food Processors, Inc.

BEMA RepresentativeKen Newsome, President AMF Bakery Systems

ABA General CounselJames Hamilton, Esq.Bingham McCutchen

*Indicates Executive Committee Member

ABA ROI 2011-2012 19

American Bakers Association

1300 I Street, NW Suite 700 West

Washington, DC 20005

Phone 202-789-0300

Fax 202-898-1164

www.americanbakers.org

Providing Jobs, Contributing to

the U.S. Economy and Feeding

America’s Families

Find Us On:

@AmericanBakers