ibwa Progress Report 2005 - Bottled Water | IBWA | … 2006 Board of Directors Phil Susterick IBWA Chairman Culligan Bottled Water Company Brooklyn Park, MN Charles McCoy IBWA Vice

IBWA 2006 Board of Directors

Phil Susterick IBWA ChairmanCulligan Bottled Water CompanyBrooklyn Park, MN

Charles McCoy IBWA Vice ChairmanCCDA Waters, LLCAtlanta, GA

Chris Saxman IBWA TreasurerShenandoah Valley Water Co.Staunton, VA

Steve Raupe IBWA Immediate Past ChairmanOzarka Water and Coffee ServiceOklahoma City, OK

Stewart AllenDS Waters of America, LPAtlanta, GA

Peter BakerVermont Pure Springs, Inc.Watertown, CT

Joseph CiminoNorthern Springs, Inc.Brentwood, NH

Diane DreySnowBird CorporationJersey City, NJ

Bryan HendrixMelwood Springs Water Co.McDonough, GA

Henry R. Hidell, IIIHidell-Eyster InternationalHingham, MA

Scott HooverRoaring Spring BottlingRoaring Spring, PA

James J. Land, Jr.Wissahickon Spring Water, Inc.Philadelphia, PA

David NagleSnow Valley, Inc.Upper Marlboro, MD

Doug OberhamerDeep Rock Water Co.Denver, CO

Carol PetersonAllied Purchasing Co.Mason City, IA

Anthony A. SalamoneTri Palm InternationalColumbus, OH

Robert SmithGrand Springs, Inc.Alton, VA

Dimitrios Smyrnios,Nestlé Waters North America Inc.Greenwich, CT

Michael VerrochiBlue Hills Spring Water Co., Inc.Quincy, MA

Jeffrey VinyardCrystal Springs Bottled Water Co.Albuquerque, NM

Marcus Wren, IIIMusic Mountain Water Co.Shreveport, LA

William Patrick YoungAbsopure Water Co.Plymouth, MI

IBWA 2006 Executive Committee

Phil Susterick IBWA ChairmanCulligan Bottled Water CompanyBrooklyn Park, MN

Charles McCoy, IBWA Vice ChairmanCCDA Waters, LLCAtlanta, GA

Chris Saxman IBWA TreasurerShenandoah Valley Water Co.Staunton, VA

Steve Raupe IBWA Immediate Past ChairmanOzarka Water and Coffee ServiceOklahoma City, OK

Stewart AllenDS Waters of America, LPAtlanta, GA

Rick HessHess Machine InternationalEphrata, PA

Henry R. Hidell, IIIHidell-Eyster InternationalHingham, MA

Kim JefferyNestlé Waters North America Inc.Greenwich, CT

John LaPidesSnow Valley Water, Inc.Upper Marlboro, MD

Michael VerrochiBlue Hills Spring Water Co., Inc.Quincy, MA

Jeffrey VinyardCrystal Springs Bottled Water Co.Albuquerque, NM

IBWA 2006 Board of Directors / IBWA 2006 Executive Committee

No doubt, 2005 was a successful yearfor the bottled water industry and the International Bottled WaterAssociation (IBWA). But that success did not happened by acci-dent. It took innovation, hard work, and determination by IBWAmembers, staff, and our legislative, legal, and communicationsadvisers. Working as a team, we have one goal: to work hard toensure that consumers continue to have access to safe, quality bottled water products. That’s our mission. Everything we do isdesigned to accomplish that objective.

It’s clear that our industry’s efforts have been successful becausebottled water sales continue to grow at a fantastic rate in theUnited States. According to Beverage Marketing Corporation,2004 bottled water sales in the United States reached 9 billion wholesale dollars—a 7.5 percentincrease from the previous year. In 2004, there were approximately 7 billion gallons of bottledwater sold, which is almost 9 percent greater than in 2003. Per capita consumption rose to 24gallons in 2004; that’s up slightly more than 7 percent from 2003.

Obviously, consumers continue to make bottled water their beverage of choice, whether it’s soldin small retail packages or in larger bottles used in the home or office. The return on our indus-try’s investment in making a safe, quality, consistent product that tastes great is that consumershave responded by purchasing bottled water in an overwhelming manner.

The importance of our mission and our product was reinforced during the 2005 hurricane sea-son. As we have always done in times of natural disasters or other catastrophic events, the bot-tled water industry stepped up to provide assistance to those in need. When the first HurricaneKatrina alerts were issued, IBWA members sprang into action. Within a short time, many of ourmembers had depleted their existing inventories and began bottling around the clock to meetthe demand for safe, clean bottled water. Their trucks—from as far away as New England, theMidwest, the Rocky Mountains, and the upper East Coast—brought millions of bottled waterservings to those who needed it most.

It’s exactly that type of team spirit that contributes to our success. I want to thank the manypeople who helped IBWA achieve its goals for 2005. I say this often, because it is true: Withoutthe members—bottlers, suppliers, and distributors—none of our objectives could have beenmet. Their hard work on committees, their efforts to contact state and local legislators and regu-lators, and their constant commitment to excellence has enabled IBWA to make great strides.

It’s difficult to sum up a year’s worth of activity, but this publication provides information onsome of the key accomplishments of the IBWA team during the past year. The good news isthat we’ve been able to accomplish our goal of creating a favorable business and public affairsclimate for the bottled water industry—and to protect and advance the interests of all IBWAmembers. While we have accomplished a great deal, there’s still more for us to do.

Joseph K. Doss

IBWA President

A Letter From the President

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In 2005, the grassroots involvement ofthe members was the key to IBWA’s successin government relations. By testifying beforestate legislative committees, talking withregulators, and meeting with senators andcongressional representatives on CapitolHill, our members had their collective voiceheard by those responsible for bottled waterissues. Following are some examples of howthe active participation of IBWA membersand staff influenced those bottled waterissues in 2005.

Bottled Water Security IBWA and others in the food industry havebeen working with the Food and DrugAdministration (FDA), the Department ofAgriculture, the Department of HomelandSecurity (DHS), and the Federal Bureau ofInvestigation (FBI) to address the security ofthe United States’ food supply. FDA hasclassified bottled water as a high-security riskfood product. Most bottled water plantsunderwent FDA inspections last fall as partof an FDA program to evaluate itsability to react to a potential securitythreat to food products.

To assist bottlers and distributorsin developing procedures for man-aging such an inspection, IBWApublished How to Prepare YourBottled Water Facility for an FDAInspection. This publication outlinesthe rights and responsibilities ofbottlers and FDA in an easy-to-use format.

FDA representatives, statehealth officials, and IBWA membershave been working to analyze thesecurity risks of bottled water anddevelop measures to reduce thoserisks. Bottled water was the firstfood product to complete the secu-rity risk assessment with the FDA.After completing the analysis withFDA and state health officials, welearned of some concerns about the

risks to bottled water. The good news, how-ever, is that we can reduce many of thoserisks. IBWA and FDA are researching tech-niques that will assist bottlers in developingbarriers and tests to help prevent the inten-tional contamination of bottled water.

The outcome of the security analysisresulted in a new chapter to the IBWA PlantTechnical Reference Manual. It provides a goodguide for bottlers to follow to help ensurethe security of their facilities and products.IBWA also conducted a series of seminarsthroughout the United States to educatebottlers on the security analysis that wasperformed and the techniques that they can employ to mitigate potential threats.

Bioterrorism Regulations Implementation of the Bioterrorism Actbegan with the registration of all food facili-ties with FDA almost two years ago. Thesystem has given FDA a useful tool in iden-tifying locations throughout the UnitedStates that manufacture, process, pack, or

hold food products. FDA issued the final regulations

on record keeping requirements onDecember 9, 2004. The effectivedate for the regulation is scaled tothe size of the company, as follows:● December 9, 2005—for compa-nies employing greater than 500 employees● June 9, 2006—for companieswith 10 to 500 employees ● December 8, 2006—for compa-nies with less than 10 employees.

IBWA has been working withFDA to make the regulations asworkable as possible within the law.For example, IBWA asked FDA toreconsider its position that bottledwater delivered to businesses musthave the lot number recorded bythe bottler. FDA reconsidered its position and now classifies such deliveries as similar to direct store

Government Relations

IBWA 2005 Highlights

December 2004FDA publishes its final rule on records maintenance andinspection; IBWAprovides analysisfor members.

January 2005IBWA signsMemorandum of Understandingwith Water QualityAssociation.

IBWA Board and CommitteeMeetings at the La CostaResort and Spa in Carlsbad,California.

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Government Relations

deliveries; thus, recording lot numbers is notrequired. That relieved the bottled waterindustry of a major compliance burden.

Department of Homeland SecurityIBWA has been working with other foodindustry representatives to develop andimplement programs to secure the food sector of the economy from threats. TheFood and Agriculture Sector CoordinatingCouncil (FASCC), which is comprised ofmembers of the nation’s food supply; statehealth and agriculture officials; U.S.Departments of Agriculture, Defense,Health and Human Services (which includesFDA); and the Environmental ProtectionAdministration, is the structure which has been formed towork on intra-sector security programs withDHS and other critical infrastructure sectors.IBWA is an active member of the FASCCand the Manufacturers and Processors Sub-Council. As a leader in developing counter-measures to secure the bottled water seg-

ment of this critical infrastructure, IBWAassists in the creation of procedures that thefood and agriculture sector can use to assesspotential threats to the nation’s food supply.

New Arsenic Standard of Quality Although not a problem for the bottled waterindustry, arsenic is an element commonlyfound in all soils. As such, on June 23, 2005,FDA promulgated a new bottled water stan-dard of quality for arsenic at 10 parts per bil-lion (ppb). The new standard becomes effec-tive January 23, 2006.

IBWA supported the new regulation in written comments to FDA and has long beenurging FDA to promulgate a standard of 10ppb. In the Federal Register notice publishingthe final regulation, FDA also stated that thisstandard of quality preempts state laws.

Congressional Issues The National Clean Water Agencies (thegroup that represents those who manage wastewater systems) floated a beverage

The grassrootsinvolvement of the members was the key to IBWA’ssuccess in government relations.

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try: Florida, Connecticut, Georgia, Maine,Maryland, Michigan, New Hampshire,Oregon, Ohio, Texas, and Vermont.

In particular, the Great Lakes governorshave drafted an interstate compact to regu-late water withdrawals from the Great LakesBasin. That compact will have a wide-ranging impact on the management of waterresources—not only in that region but inothers, as it could serve as a model for otherstates considering this issue.

IBWA has provided comments and testi-mony on the proposal known as Annex 2001,which would prohibit diversions of waterfrom the Great Lakes Basin. As currentlydrafted, that measure defines water in con-tainers greater than 20 liters (approxi-mately 5 gallons) as a diversion.Water for human consumption incontainers less than 20 liters isdefined as a consumptive use andwould be permitted.

This provision is not based onsound science and singles out bot-tled water for unequal treatment inwater law. IBWA is seeking clarifica-tion on Annex 2001 to ensure thatbottled water is not considered adiversion; thus, bottled water wouldbe treated like all other productsproduced in the Great Lakes Basin.

RReeccyycclliinngg While recycling remains a top issueat the state level, costly measuresthat do little to increase recyclingrates and reduce litter continue tobe introduced in state legislatures.IBWA’s position is that curbsiderecycling is the best solution.

A bad solution to the recyclingproblem is the introduction of bottlebills. Despite the fact that history hasproven them ineffective, this legisla-tion continues to gain support at thestate level. Connecticut was thebiggest threat in 2005. The Senate

president pushed legislation to expand thestate’s bottle bill to include bottled water. Thebill passed the Senate and came close tobeing approved by the House. In the end,however, IBWA and our allies were successfulin killing this proposal.

New York, Massachusetts, Oregon,Michigan, Illinois, and Vermont are con-sidering expanding their bottled bill laws toinclude bottled water. Until a comprehen-sive solution that has a positive impact onrecycling rates and litter reduction is found,the industry can expect these measures tocontinue to be introduced.

A possible solution is being considered inMichigan, where environmentalists have

threatened to put expansion of thebottle deposit law on the 2006 bal-lot. The Michigan RecyclingPartnership, of which IBWA is amember, is working with a lawmak-er in the state House ofRepresentatives on legislationcalled the “Penny Plan”—and it’sgaining support from the businesscommunity, the legislative branch,and consumers. The idea is to add apenny to the receipt of every retailtransaction—from computer pur-chases to groceries—and to dedi-cate the money raised to fundincreased recycling, either throughexpanded curbside programs orother plans.

The Penny Plan captures more ofthe waste stream when compared tothe bottle bills, which only includebeverage containers. If this plangains momentum, it will be a bettersolution to a problem that has seenineffective legislation during thepast 30 years.

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IBWA 2005Highlights

FebruaryIBWA officiallyunveils the Flashpresentation“Water: Our Most PreciousResource,” acooperative project betweenIBWA and the U.S.Forest Service,view at http://bottledwater.org/public/environment_main.html.

MarchThe WorkingGroup of theCouncil of GreatLakes Governorsmeets in Chicago(Annex 2001).

AprilAccording to2004 BeverageMarketingCorporation statistics, bottledwater remains thefastest growingbeverage in theUnited States.

LLaabbeelliinngg IIssssuueess California, Maine, Massachusetts, and NewJersey considered legislation that wouldchange bottled water labels. IBWA support-ed the legislation in New Jersey to removethe expiration date and source labelingrequirements from state law. The bills arepending consideration by the Assembly andthe Senate, having been reported favorablyfrom Committee. IBWA has actively sup-ported these measures through testi-monyand communications to members of theNew Jersey General Assembly.

IBWA opposed the labeling legislation inCalifornia and Massachusetts. In California,the bill would have required additionallabeling on all products to indicate whetherthey are recyclable, compost, or trash. InMassachusetts, IBWA testified in oppositionto a bill that would have required bottledwater labels to define the types of bottledwater and indicate whether certainelements were contained in thebottled water.

IBWA continues toserve as the voice of the bottledwater industry, with increased dia-logue and interaction with media,opinion leaders, industry stakehold-ers, and others important to our busi-ness. The 2005 year was productive,yet challenging, for our public rela-tions efforts. While industry detrac-tors continue to criticize bottledwater, IBWA successfully built uponits high-profile reputation as theauthoritative voice of the bottledwater industry. From groundwaterresource management, to containersafety, to misconceptions about bot-tled water, IBWA’s efforts served toblunt the critics’ effectiveness.

We remained proactive in ouroutreach to the media on key issues

and doggedly responded to errors, omissions,and negative bottled water propaganda report-ed by the nation’s media outlets and otherorganizations. A number of those high-profilemedia outlets—including ABC’s 20/20, TheNew York Times, and The Wall Street Journal—reported about bottled water. An example ofinaccurate reporting was seen last May whenthe ABC-TV program 20/20 aired an inade-quately researched and lopsided segmentcomparing bottled water and tap water.

As expected, the program was less than bal-anced and didn’t provide consumers the basicfacts—although IBWA staff provided back-ground information to 20/20 producers beforethe segment aired. IBWA consultant andDrinking Water Research Foundation(DWRF) trustee Dr. Stephen Edbergappeared on the program to discuss the quality,safety, and good taste of bottled water. Afterthe program aired, the online 20/20 message

board demonstrated a high level ofviewer sup-port of bottled water anddispleasure with 20/20’s segment.IBWA prepared a response to the20/20 segment that was distributed tomedia and posted on the IBWA web-site.

Bottled Water Containers In 2005, media and consumer inter-est in plastic bottled water containersafety continued. On topics rangingfrom bisphenol-A and polycarbonatecontainers to allegedly harmful sub-stances in PET containers, the com-munications team rallied a key third-party ally, the American PlasticsCouncil, to provide the facts aboutthe safety of plastic bottled watercontainers. To combat Internetrumors based on myth, communica-tions guidance and position state-ments were made available to mediaand consumers to correct the recordand maintain consumer trust in ourproduct containers.

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Communications/Public Relations

Communications/Public Relations

IBWA 2005HighlightsMayIBWA relaunchesits HydrationCalculator based on current findings of theNational Academyof Sciences.

JuneIBWA PlanningCommitteemeets inGrapevine, Texas, to considerStrategic Action Plan.

JulyIBWA testifies at a public meet-ing conducted by the IndianaDepartment of NaturalResources on arevised draft ofAnnex 2001.

U.S. Forest Service In February 2005, IBWA officially unveiled“Water: Our Most Precious Resource,” acooperative project between IBWA and theU.S. Forest Service. The computer andweb-based Flash presentation covers thehydrological cycle, environmental steward-ship, and groundwa-ter utilization and man-agement. Media coverage of the projectincluded outlets such as Watertech Online,Yahoo, CBS Marketwatch, Forbes magazine, TheDallas Morning News, and the NationalHispanic Corporate Council. To view thepresentation, visit http://bottledwater.org/public/environment_main.html.

Recycling To draw more attention to our commitmentto recycling, IBWA produced and releasedthe IBWA Member Recycling Resource Guide, amember tool kit that provides information,resources, and ideas on how members canincrease recycling among their customersand in their communities.

IBWA also posted recycling resourceinformation (e.g., recycling bins for offices,retail, special events, and other venues) on

its website for members and consumers.The content presents information about theimportance of recycling, IBWA’s support ofrecycling programs and education, and factsabout bottled water container recycling andreturnable HOD bottles. The website alsoadvocates curbside and away-from-homerecycling and provides a link to other recy-cling resources.

In addition, IBWA secured new, portablerecycling bins for use at IBWA meetings andevents. Supplied without charge by Link-a-Bag, each of the 15 bins carries the IBWA logo.

Online Hydration Calculator IBWA officially relaunched the IBWAOnline Hydration Calculator in 2005. Aninteractive tool based on expert resourcesand the most current findings of theNational Academy of Sciences, the hydra-tion calculator provides guidance on anindividual’s total fluid intake derived fromboth beverages and food. It’s an excellentchannel through which to promote bottledwater as a healthy beverage choice. To cal-culate your hydration needs, visit www.bottledwater.org/public/hydratio_main.htm.

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As the voice of the bottled waterindustry, IBWAincreases dialogue and interaction withmedia, opinion leaders, industry stakeholders,and others.

Education Campaign The IBWA direct mail education campaignprogram continued in 2005. The mailingswere sent to a targeted mailing list containingmore than 10,000 recipients, including allnewly and re-elected federal and state legisla-tors and their key staff members; all U.S.state and territorial governors; and other keyfederal and state environmental, health, andfood agencies and committees. The directmail cards provide facts and messages aboutbottled water regulation, standards, safety,consumer choice, recycling, and groundwaterstewardship and usage based on the recentDWRF study report.

www.bottledwater.org To solidify IBWA’s role as the leading bottledwater resource—for both the public andmembers—the IBWA website is rigorouslymaintained to ensure that it is up-to-date and easy to navigate. This year, if you typed “bottled water” on any of the top 10 Internetsearch engines, bottledwater.org maintained aposition within the top 10 listings—typicallythe number 1 or 2 slot. That helps ensurethat web searchers have top-level exposure to this important informational tool.

Publications IBWA continues to provide information to itsmembers and the industry overall throughthe Bottled Water Reporter (the only U.S. bot-tled-water-only trade magazine), IBWA NewsSplash (a weekly fax and email membernewsletter), and IBWA’s Bottled Water in theNews dispatches.

Ally Building Through third-party relationships, IBWAdelivers its message directly to importantaudiences that have the power to impact ourindustry through regulation and legislation,and help shape public opinion about bottledwater products. In 2005, IBWA worked with16 third-party ally groups, including theAmerican Legislative Exchange Council, the

American Plastics Council, and the UnitedStates Forest Service.

Media Outreach Efforts IBWA has racked up impressive numbers inour outreach efforts, including distribution of28 press releases, six position statements, and29 letters to the editor. In addition, we’veparticipated in 93 media interviews. Thatadds up to more than 21 million impressionsin media markets across the United States.

Technical issues involving bot-tled water continue to be a major area offocus by regulators, legislators, internationalorganizations, consumers, and industrywatchdogs. In response, IBWA continues to be an active player on the technical andscientific scene.

Bioterrorism IBWA staff and members, in response to theFederal Bioterrorism Law, have established a security program for the bottled waterindustry. Working with FDA officials, theBottled Water Security Task Force completeda threat/vulnerability assessment, known asCARVER + Shock, for the bottled waterindustry. Assessment results were generally

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Technical and Scientific Affairs

IBWA and the Water Securityare consideringmeasures that

safeguards attacks on

Technical and Scientific Affairs

favorable, but several areas for research were identified.

IBWA and the task force are consideringcountermeasures that provide safeguardsagainst attacks on bottled water. The primarygoal of all of our efforts is to remove bottledwater from FDA’s high-risk food list.

Bromate IBWA continues to work with California officials on the issue of bromate in bottledwater. Under Proposition 65, all products soldin California, including bottled water, aresubject to hazard labeling if the level of bro-mate exceeds a “no significant risk level.”That level is unreasonable and unsci-entifically low.

IBWA has therefore recommend-ed that California officials adopt a 10ppb maximum bromate level forProposition 65, which is the currentfederal and state health standard forthis substance. This would avoidunnecessary labeling requirementsthat would only serve to confuse andfrighten consumers.

International Efforts IBWA continued to communicate theindustry’s position to agencies world-wide on a variety of technical issues.

We prepared comments that were submittedthrough our membership in the InternationalCouncil of Bottled Water Associations con-cerning the World Health Organization’s(WHO) report on nutrient minerals in drink-ing water. The comments commendedWHO on recognizing that water is an appro-priate method for contributing minerals tothe diet, but cautioned the agency againstgoing forward with its recommendation thatthe bottled water industry manufacture prod-ucts with “beneficial” mineral compositions.

Information Distribution IBWA continues to handle an increasingnumber of technical and informationalrequests. In 2005, we responded to morethan 300 requests each month from IBWAmembers, consumers, regulators, and students wanting information and assistancewith a wide range of technical issues. In addition, IBWA worked with members to create or significantly revise and updateseveral technical documents that are impor-tant to bottled water operations.

After a comprehensive review andrewrite, the newly revised Bottled Water Codeof Practice, also known as the Model Code,was released last spring. That document wasreviewed against existing federal regula-tions, and, where appropriate, harmonized

with those regulations. A new sec-tion was added to describe thebenefits of the Model Code tomembers, prospective members,and regulators, and sets forth prin-ciples that form a basis for thecode of practice.

In 2005, we also finalized revi-sions of the IBWA Plant TechnicalReference Manual. The new manualbetter educates plant operators inevery phase of bottled water plantoperations. Newly available toIBWA members is the documentTaste and Odor Characteristics ofBottled Water. All bottlers at one

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BottledTask Forcecounter-provide against bottled water.

IBWA 2005HighlightsAugustIBWA testifiesbefore theMichigan SenateCommittee on NaturalResources andEnvironmentalAffairs.

Hurricanes hitthe UnitedStates; IBWA and its membersrally to aid relief efforts.

time or another must grapple with taste andodor issues in their products. As a technicalresource, this document provides informa-tion on the identification, causes, and solu-tions to problems bottlers face. In addition,after many years of relying on the municipalwater industry for a quick reference guide,IBWA developed a bottled water-specifictaste and odor document. Posters of theguide are available to members.

As they do each year, the IBWA staffupdated and revised the Audit Handbook toassist bottlers in preparing for their annualIBWA plant audits. The Handbook also pre-pares members for a possible FDA inspec-tion. Another noteworthy accomplishment,IBWA technical staff represented the bottledwater industry in more than 20 technicalmeetings with key federal and state regula-tory agencies. IBWA will continue to partici-pate in regulatory meetings and scientificforums to address critical issues, share thebottled water industry’s position, and ensurethat sound science is part of the debate.

IBWA continues todevelop timely educational pro-grams that provide vital informationand knowledge to members. Programtopics ranged, once again, from anintroductory session, “Bottled Water101,” to a session covering the FDA’sfinal rule for records maintenance, tonew sessions instructing members onhow to conduct security assessments attheir individual facilities. In 2005, ses-sions were presented at six state andregional meetings and four independ-ent venues.

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Education

IBWA realizedan overallretention rateof 88 percentfor all majormembershiptypes: bottlers,suppliers, anddistributors.Education

IBWA 2005HighlightsSeptemberIBWA Board of Directorsunanimouslyapprove StrategicAction Plan.

IBWA PresidentJoe Doss appearson NBC NightlyNews to discussthe bottled water industry’sresponse to the hurricanes.

NovemberIBWA sends bottled water and groundwatereducation packetto Great LakesBasin.

IBWA representa-tives attend theInternationalCouncil of Bottled WaterAssociations(ICBWA) confer-ence in Berlin,Germany.

IBWA never loses sightof the importance of its members and theneed to maintain a solid membership basethrough recruitment and retention activities.This year, staff and the MembershipCommittee worked on several initiatives topromote IBWA membership to both existingand prospective members.

Recruitment IBWA acquired 69 new members during the2005 fiscal year. IBWA staff and theMembership Committee conducted cam-paigns to market IBWA membership toprospective member companies in theUnited States. During the first quarter of2005, 120 prospective members were identi-fied. Both staff and committee membersconducted a telephone campaign to promotethe benefits of IBWA membership andencourage the companies to join. During thefinal quarter of the fiscal year, we executed acombination direct mail and telephone call-ing effort that targeted members of state andregional bottled water associations. In addi-tion, the member rate to purchase exhibitspace at this year’s trade show provided anincentive that attracted prospectiveexhibitors to join IBWA as supplier mem-bers, adding to the overall success of ourrecruitment efforts.

Brochures for all membership types were revised. The information is now down-loadable from the IBWA website, www.bottledwater.org. Current IBWA membersmay order copies of the brochures fromheadquarters to distribute as they encounter businesses that are not IBWA members.

Retention IBWA membership realized an increase inthe retention rate for all major membershiptypes—bottlers (95 percent), suppliers (80percent), and distributors (86 percent)—andan overall retention rate of 88 percent, there-by exceeding the 2005 goal of 80 percent

overall retention set by the MembershipCommittee. IBWA staff and theMembership Committee employed anambitious strategy of four mailings and onetelephone calling program to achieve successwith membership renewals this year.

2006 Efforts IBWA staff and the Membership Committeehave planned aggressive strategies for theupcoming year to target and recruit newmembers and to maintain our current mem-bership base. We will begin by identifyingthe universe of potential member companiesin the United States and using that informa-tion to create a prospect database. The com-prehensive membership recruitment andretention plan includes● a member-sponsor-a-member recruitmentcontest open to all employees of our member companies, with cash incentives for recruiters● calling lapsed IBWA members in aneffort to reinstate their memberships● telephone calling programs to remind cur-rent members to renew their memberships● direct mail campaigns to market IBWAmembership to prospects identified fromsources including external list brokers, stateand regional bottled water associations, gov-ernment agencies, staff, and current members● relationship-building strategies forrecruitment of major multinational com-panies by the Association’s leadership● continuing the new member mentor program established by the membershipcommittee● encouraging current members to partici-pate in peer-to-peer recruitment.

IBWA staff and the Membership Com-mittee are committed to continuing ourefforts during the next year to keep IBWA’smembership base strong in numbers andthereby add strength to our voice.

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Membership

Membership

The 2005 IBWA AnnualConvention and TradeShow in Orlando, Florida, was devotedsolely to bottled water for the first time since2002. By returning to a stand-alone tradeshow format, we were able to focus all of ourefforts on providing IBWA members—bottled water producers, distributors, andsuppliers—with a trade show that met theirspecific needs.

The show’s theme, “Quality ThroughInnovation,” referred not only to the stridesthe industry is making but also to thediverse offerings of the 2005 convention:educational programs lead by industryexperts, an increase in networking opportu-nities (on and off the trade show floor), anda higher ratio of serious trade show buyers.

The 2005 IBWA Convention and TradeShow attracted bottlers from throughout theUnited States. These attendees generatedboth positive sales and future revenues forIBWA exhibitors. In addition, an increasednumber of international attendees were

present in Orlando for the IBWA show andbrought with them sales opportunities andprospects for our exhibitors.

IBWA presented a total of 20 educationalsessions during the convention, and a totalof 22.50 CEU credits were offered to IBWAmembers trying to achieve or keep currenttheir certified plant operator (CPO) status.New this year was the “Bottled Water andHomeland Security” educational session,which provided attendees the opportunity to explore and learn about security issues,new technology, and services related to food security.

IBWA has begun promoting the IBWA48th Annual Convention and Trade Show,scheduled for October 3–6, 2006, at theMandalay Bay Resort and ConventionCenter, in Las Vegas, Nevada. A large num-ber of companies have already taken advantage of the early-bird discountedexhibit space rates for Las Vegas. IBWAexhibitors continue to sign up in order to get the best space and rates for the 2006IBWA Trade Show. ●

Convention/Trade Show

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Convention/Trade Show

The International BottledWater Association (IBWA)is the authoritative sourceof information about alltypes of bottled waters.Founded in 1958, IBWA’smembership includes U.S.and international bottlers,distributors, and suppliers.The Association is com-mitted to working with theU.S. Food and DrugAdministration (FDA),which regulates bottledwater as a packaged foodproduct, and state govern-ments to set comprehen-sive standards for safe,high-quality bottled water products. To achieve itsgoals and best representits members and the bottled water industry, the Association relies on a system of committeesand a Board of Directorsto establish objectives andhelp execute successful programs. IBWA commit-tees include Communica-tions, Education,Convention/Awards,Government Relations,Membership, Technical,Supplier, and State andRegional Associations.