Cooperative Efforts Between Beer and Scrap Recycling Industries Work to Halt Metals Theft
The increased price of stainless steel has brought a shared problem for two diverse and seemingly unrelated industries: scrap recyclers and beer distributors. As the scrap value of kegs has become higher than the deposit, thieves, unscrupulous consumers and, in some cases, retailers, have redeemed the metal barrels at scrap recycling yards instead of returning them to the rightful owners.
“Beginning in 2005, we started noticing a pronounced loss of kegs during our annual cooperage audit,” explains Mike Dowd, Vice President and General Manager for CITYBeverage-Markham. “Distributors must pay for the missing kegs. CITY Beverage was not alone in the significant funds we expended to replace the stolen kegs. It’s an industry wide problem.”
Roger Bushnell, Ferrous Processing & Trading’s (FPT) Vice President of Non-Ferrous Metals, learned of this concern soon after it developed. “Because of our relationship with sister companies CITY Beverage and Kalamazoo Beer Distributing, FPT quickly became involved in spreading awareness to our industry. The wide-ranging portfolio of companies within Soave Enterprises allowed us to gain knowledge of the growing number of keg thefts early.”
Industry associations have now joined together to actively deter the illegal practice. In July 2007, the Beer
Institute, the Institute of Scrap Recycling Industries, Inc., and the Brewers Association issued a joint letter to
recyclers with the simple message: “Don’t accept beer kegs at your facility.” The letter also provided window
stickers warning would-be thieves that beer kegs should be returned to local wholesalers or retailers.
“If there is no available market, the kegs will be returned to the retailer, and ultimately, the distributor,” notes
Bushnell. In Michigan, brewers were recently allowed to raise the keg deposit and the market is correcting itself.
Illinois legislators passed a bill that became law in August making it illegal for recyclers to accept kegs.
“All kegs are stamped with the owners’name. Anyone attempting to redeem them will have to prove
ownership,” details Dowd. “This new law will help us to get our arms around this problem.” Sister Soave company FPT is certainly doing its part to stop the unwelcome practice. “Our ongoing and
historical policy is to not accept kegs,” Bushnell notes.
Checker Sedan Assists Client After Ohio Flooding
When natural disasters strike, many of us are compelled to assist our “neighbors” – no matter how far away they may actually be. In late August, when several Ohio counties were declared federal disaster areas, Checker Sedan’s Director of Client Relations Tim Dagg made the 100 mile trek to the small town of Findlay to provide supplies and assistance.
“We had just visited our client, Marathon Oil, on August 14 before the flooding began,” explained Tim Dagg, Checker Sedan’s Director of Client Relations. “Then a week later, the entire town was under water after heavy rains caused the Blanchard River to overflow its banks.”
Dagg learned that many of Marathon Oil employees’ homes were impacted as a result of the flooding. With a van full of cleaning supplies donated by Checker Sedan, Dagg made the journey to Findlay on August 25th, shortly after most of the water receded. When arriving at his destination, Dagg was shocked at the damage caused by Mother Nature’s fury. “It was a real eye-opener. I couldn’t believe the amount of destruction to homes and businesses.”
Checker Sedan’s generous donations were directed to the Red Cross’ makeshift headquarters at the city’s “The Cube” Ice Skating Rink. After unloading the cleaning supplies he transported, Dagg also assisted with the unloading of a semi-truck of donated bottled water.
“It was a meaningful way to spend a free Saturday morning,” Dagg recounts. “I know Marathon Oil employees and all of Findlay, Ohio appreciated the assistance.”
Business along Findlay’s Main Street were disrupted by the flood of August 2007.
Tim Dagg assists with the unloading of cleaning supplies made
on behalf of Checker Sedan.
Special achievements deserve special recognition. Hats off to the following for a job well done!
- Jason Muirhead, son of Ferrous Trading and Processing’s Linda Muirhead, received an academic scholarship from the Institute of Scrap Recycling Industries’ Research Recycling Foundation (RFF). The industry association’s program provides merit-based scholarships to dependents of member-company employees pursing higher education.
- Checker Sedan Controller Rich Gavalier will receive his MBA in Finance from the University of Michigan-Dearborn this fall. While earning the degree, Gavalier has maintained an “A” average and has been accepted in the international honor society, Beta Gamma Sigma.
- The Detroit Chapter of the American Jewish Committee recently named Soave Enterprise’s Secretary and Senior Counsel Bryant Frank to its Board of Directors. For 100 years, the organization’s mission has been to lead efforts to promote democratic and pluralistic societies that respect the dignity of all peoples.
- On September 23, 2007, Chris Cummings had a perfect night – for the second time. A slitter operator at Premier Steel Corp, Cummings bowled his second 300 game at Garden Lanes in Garden City, Michigan.
- Kennedy Middle School in St. Clair Shores, Michigan welcomes Pam Vermiglio, daughter of Premier Steel Corp’s Inventory Control Manager Betty Michalski, as its new Assistant Principal. An award-winning educator, Vermiglio was previously with Birmingham Public Schools.
- Checker Sedan driver Robert Johnson earned kudos after acting as a Good Samaritan along Detroit’s I-94. The stranded motorist contacted Checker Sedan with her praise of Johnson for assisting with a roadside tire change.
- After a three month sales contest with 180 other North American Jaguar dealers, the Soave Automotive Group’s Jaguar Merriam store qualified to participate in the automotive sales world’s version of the “British Cup.” This competitive golf tournament, held at Sunriver Resort in Sunriver, Oregon, pitted 18 Jaguar dealers against 18 Land Rover dealers. Donnie Raybourn was selected to represent his winning sales team in the August 2007 event.
- Franz Gaerlan, Financial Systems Manager and Controller with Soave Enterprises, was recently named Treasurer for the Michigan Unit of Recording for the Blind and Dyslexic (RFB&D). A national nonprofit, volunteer organization, RFB&D is the leading producer of accessible educational materials for students with visual disabilities.
- Kathleen McCann, senior vice president of Soave Enterprises, has been selected to the board of directors for newly formed, Florida-based CNBS Financial Group, Inc. The bank currently has branches open in Tampa and Orlando, with plans to open 50 more in the next five years.
