March 8th 2017 – BOD Meeting Recap
Wednesday, March 8th 2017 – Monterey Hill, CA
BOD Agenda 3/8/17 / Meeting Photos
Board of Directors Lunch Meeting: 11:30pm – 3:00pm
Vendor Presentations
Party Rims
Dean Begim (818) 915-2288 dean@partyrims.com , Vice President
Sean Zartoshty (818) 648-7277 sean@partyrims.com, Regional Sales Representative
Tru Alka (The Water Loft)
Benefits of Tru Alka alkaline water
Howard & Debbie Nodleman (888) 987-8426 info@trualka.com
Frito Lay
Simon Kang (714) 917-9537 simon.s.kang@pepsico.com
Agenda Items / Meeting Discussions:
Franchise Agreement Committee (FAC) Update:
FOASC Directors Nick Bhullar and Jawad Ursani were present at the meeting in Dallas on February 8th. Chris Tanco was present, and Joe is informed. The committee is in the “information gathering stage”. The 27 points 7-Eleven Inc. have outlined are here.
The FAC has signed a letter stating that the committee would like to have national legal counsel be present at the meetings.
FOASC BOD wants to know “Where do we stand on the three main topics?” to which SEI replies that we are still two years away. The committee will continue to meet to express, discuss and fight for franchisee concerns for the new agreement. Nick assured the board, National does have a plan in action for a fair agreement.
Members want to see GGPS (Gradual Gross Profit Split). Jawad mentioned it is on the table and being discussed when meeting with 7-Eleven folks, including the possibility of “earning” points back. Nothing is set in stone and negotiations are still in the works as it tends to be a “case-by-case” basis.
Multiple board members are concerned about Customer Service (VOC) Complaints affecting profits, and do not agree that should be attached at all.
NCASEF Update:
President, Paul Lobana attending the National Affiliate Meeting in Tucson, AZ in February 2017. An additional $100 per store has been approved by National and FOASC to be contributed to the Legal Fund for leverage in the 2019 Agreement Negotiations. Thus resulting in the consensus to cut back on FOA spending including dinners, holiday party etc. Members agree a fair agreement is far more important.
National is hiring a PR (Public Relations) Firm. FOASC Directors agree, we should be very careful in our wording and publicity.
Paul went over his phone conference with GLA Zone Leader, Norm Hower on Monday, March 6th regarding the January / February numbers. He mentioned increased retail, the $711 initiative in Seattle and Urban Promo Pricing (UPP). 7-Eleven is currently testing the market to grow hot food sales with an 80% write off in Dallas.
Directors say managing promotions is getting tough.
Kuldeep, a fluent Spanish speaker, shared with the group that local Spanish media stations are reporting that California is “going down” and not to go outside, unless absolutely necessary for groceries. This may have something to do with the decrease in profits lately.
A budget has been approved for the 2017 Trade Show raffle prizes and work to fill 100 booths has begun! We are looking forward to another successful show with maximum member and vendor participation.
Information regarding the new agreement from Joe Galea, NCASEF Chairman: Looking ahead, New Agreement
