www.pioneer.ca

Fall 2009

RetailerExPress

It was the early 1960’s and Hamilton Mountain was a growing suburb and the perfect area for Murray Hogarth’s young company to expand. Site 7 was his second Mountain location and it is still serving the local residents almost fifty years later! Located at 386 Upper Gage (at Crockett Avenue), the site has just been reconstructed and expanded to serve the area even better.

Far from a simple rebuild, the redevelopment of Site 7 meant acquiring adjacent land and having it rezoned. An extensive redevelopment in a residential area such as this can be extremely challenging, but the “good neighbour” reputation developed with the help of Retailer Frank Troisi during his 25 years at the site helped. Combined with a carefully considered site plan, which was shared with nearby residents, the extra effort paid off and the transformation went smoothly.

“We met with neighbours to explain the plans, look at the landscaping and go over the lighting and sound abatement

measures,” says Bob Reid, Pioneer’s Director of Development and Construction,

who went door to door to speak with neighbours. Good communication won the day and on August 20th, after 16 weeks of construction, the new 10-position gas bar, car wash and convenience store opened to rave reviews.

From 1962 to Total Renewal

“I bought the station, the second on the Hamilton Mountain, in 1962 from Nelson Best who operated a garage on the site. His lawyer, who I dealt with, was Lincoln Alexander who went on to an illustrious career…” (Lincoln Alexander became the Lieutenant Governor of Ontario and an expressway on Hamilton Mountain is named for him.)

Murray Hogarth, Executive Chairman, Pioneer Petroleums

Acquired by Pioneer in 1962, Site 7 is

expanded and rebuilt for today’s customers.

Site 7 in 1962

Retailer ExPress Fall 2009

On the Run in Winnipeg with Four Grand Openings Winnipeg District Manager Kirk Melville was definitely “on the run” on August 28th, as he managed Grand Opening celebrations at four upgraded Esso On the Run sites. Lots of excitement and buzz was happening thanks to visits from Stripes, the Esso Tiger and a live broadcast by Winnipeg’s #1 radio station HOT 103 to promote celebrations at all four sites. Topping it off was a One Cent a Litre promotion and barbecue in support of the United Way, which raised more than $5,100.

Taylor Esso (Site 267) celebrated its renovated and expanded c-store and it now has the first Mobile 1 Lube Express bay in the city of Winnipeg as well as a new Vector Rapid Wash.

Also celebrating was Notre Dame Esso (Site 265 - Notre Dame Avenue at

McPhilips Street), which was completely rebuilt from the ground up. The new site includes a Vector Rapid Wash® and the first full offer Tim Hortons drive through at a Manitoba Esso.

The other two grand opening celebrations were at Chancellor Esso

(Site 269) and Site 268 at Pembina and Edderton. Investment in these sites was highlighted in the Winter 2008-2009 Retailer ExPress. However, the celebration was held over in

order to make a bigger splash with four Grand

Opening celebrations in Winnipeg in one day. “It was a lot of planning for one day, but I think it had the impact that we hoped for,” says Kirk. District Manager Kirk Melville at Site 268 with On the Run Franchise Manager Nadeem Dhalla, Stripes the Esso Tiger, Corelie Nickolson from Esso Merchandising and Retailer Eric Boutin.

Site 268 Retailer Er

ic Boutin with Aaron

Alblas from United Way. More than

$5, 100 was raised for the

United Way

at the Winnipeg G

rand Opening events.

The new On the Run at Notre Dame Esso, Site 265

Thanks to Kirk Melville, Retailers Shane Magian(#265), Glen Corby (#267), Eric Boutin (#268), Ken Kirton (#269), their terrific staff, and all our customers for making the Grand Openings a resounding success!

This past July, Pioneer conducted a Corporate Social Responsibility (CSR) Survey, inviting head office staff, district managers and retailers to participate. A total of 62 responses were received. The objective of the survey was to determine people’s level of awareness of what CSR is and what it means to Pioneer. From those responses, we hope to determine what initiatives (current or new) are important to Pioneer employees. The responses will also help us to develop a formal Pioneer CSR plan.

Overall, people’s views of Pioneer’s CSR initiatives were very positive. Most respondents agreed that Pioneer should have a clear statement with respect to its ethical, social and environmental responsibility position and also agreed that a CSR action plan would benefit Pioneer. Respondents felt the main challenges to developing a CSR program are cost, difficult to measure results and possible lack of support. Pioneer will review the responses in detail and is in the process of developing a formal Pioneer CSR plan this fall.

Corporate Social Responsibility – Survey Results

www.pioneer.ca

Marketing

CauseGoodfor a

Thanks to a new Group Loyalty program, Pioneer plans to help more charities and non-profit organizations raise funds to support their causes. Pioneer receives hundreds of requests for contributions each year and simply isn’t able to fund them all. Now, through the creation of this program, Pioneer has found a new way to help charitable organizations raise funds, and it is a win for everyone.

The new Group Loyalty program is an extension of the Bonus Bucks program and it has been created especially for non-profit organizations. An organization in the program encourages its members to sign up for Bonus Bucks. These members can then donate the Bonus Bucks they earn back to the organization. Pioneer converts the Bonus Bucks to cash and matches the donation up to a qualified pre-approved amount.

The charity gets a new source of revenue and Pioneer gets new customers with a strong reason to remain loyal.

“We try to do as much as possible as good corporate citizens,” said Geoff Hogarth, Director of Marketing. “This program enables us to extend that help while accomplishing some of our marketing objectives. We have to take care of business, but if we can do it in a way that benefits others, that’s even better.”

A pilot project is being launched this fall with the Ontario Association of Anglers and Hunters, a conservation organization whose membership is more than 80,000 strong. If successful Pioneer will make the Group Loyalty Program available for other not-for-profit organizations in the near future.

Group Loyalty Program

Pioneer Welcomes …Lana joined the Pioneer team on August 26th as Fuel Inventory Analyst. Lana comes to us from Orlick Industries Ltd., in Hamilton where she gained experience in various accounting functions and cost variance analysis. Welcome to Pioneer Lana!

Sandra joined Pioneer on September 21st as our Director of Loyalty. Sandra brings a wealth of experience in loyalty marketing having worked with Aeroplan, HBC and most recently Petro Canada and their Petro Points program. Welcome aboard Sandra!Lana Oliynyk Sandra Smith

Retailer ExPress Fall 2009

VISA payWavePioneer card payment options just got stronger with the addition of VISA payWave – Visa’s contactless payment platform. Similar to the MasterCard PayPass®, Visa payWave allows cardholders carrying the symbol shown below, to pay more securely with VISA without their card leaving their hand. No signature is required for transactions under $50, making it easier to keep our customers moving quickly.

Security Upgrades The Retail Systems team, lead by Troy Richter, also recently completed hardware and software upgrades throughout the Pioneer network. The upgrades meet new Payment Card Industry (PCI) standards and include new compliant PIN pad hardware and sophisticated software to notify Pioneer of any unusual activity or equipment tampering.

“Chip and PIN” Coming in 2010Chip and PIN technology, developed in Europe, is now being adopted by card issuers in Canada. New credit and debit cards contain an embedded microchip, which combined with the use of a personal identification number or PIN instead of a signature, offer even greater security. “These are very significant changes to credit and debit card processing, and the implementation is very complex and challenging,” admits Troy who is working towards chip and PIN card acceptance in stores by next spring. “Pioneer will soon be able to offer our clients the most secure method of payment in the world,” declares Troy.

Retail Systems – More Choice, More Security

Site Recycling Pilot by Year EndA special team at head office is busy gathering information, analyzing recycling alternatives and working through the many practical considerations involved in implementing a recycling program at Pioneer sites. The project is on-target to be tested at several sites by year end. When it comes to recycling, everyone wants to do their bit and Pioneer is on its way to developing a practical, cost-efficient and effective recycling program for our sites.

One of the green initiatives is the use of biodegradable garbage bags at our sites. These plastic bags are 100% degradable/biodegradable and are made from materials that will completely degrade within 12 to 24 months. When these plastic bags are disposed of in landfills, they will breakdown therefore reduce the amount of plastic left in landfills. We will launch this program at the sites by the end of this year.

www.pioneer.ca

The Biggest Game Launch in a Generation

Hooked on EducationCongratulations to Pearl-Ann Prieur, who has successfully completed the 11-course Business Computer Applications Certificate from Mohawk College. Pearl admits that going to school part time is challenging after working all day. “Each course was 16 – 32 weeks long and had a final exam,” explains Pearl who is a Category Manager in the Merchandising Group.

“It’s all about determination”

Nevertheless, Pearl believes that the three years of hard work was well worth it. “It has helped me immensely,” admits Pearl, who exceeded the course requirements to achieve “Expert” status in Excel and PowerPoint, two programs that she uses extensively in her job. After three years of part-time studies, Pearl is apparently hooked. This fall she will continue her studies at Mohawk College to earn a Diploma in Business and Marketing. “It’s all about determination,” says Pearl. With an attitude like that, we know she’ll succeed.

LOTTO MAX is the exciting new national lottery game with Jackpots that start at $10 million and can reach up to $50 million. After the Jackpot reaches $50 million, LOTTO MAX kicks into MAXMILLIONS mode: the Jackpot will remain at $50 million with top-prize money then being allocated to a series of additional MAXMILLIONS prizes each worth $1 million, and each with its own individual draw and set of winning numbers.

LOTTO MAX is available for sale across Canada.

Here’S HOW It WOrkS:Jackpots start at $10 million and can reach $50 million. After that, •look for additional $1 million MAXMILLIONS* prizes.Customers get three sets of numbers per $5 play. each set consists of •seven numbers from 1 to 49.TheycanpicktheirownnumbersforthefirstsetorchooseQuickPick•and the numbers will be randomly chosen by the lottery terminal. For the other two sets, the lottery terminal will randomly generate the numbers.All three sets of numbers are eligible for the LOttO MAX• Main Draw and MAXMILLIONS Draws, when held.Match the numbers drawn to win.•eNCOre is available to play with LOttO MAX. each play costs $1.•Advance Play and 8- and 9-number Combination Play are available •with LOttO MAX.Draws are held every Friday. •Visit olg.ca for complete game details•

LOTTO MAX is what players have been asking for .....big Jackpots and more millionaires…. and Pioneer is a convenient spot to pick up LOTTO MAX tickets. To celebrate the launch of this new and exciting game, Pioneer sites are offering 2x Bonus Bucks when customers buy a LOTTO MAX lottery ticket with a minimum 10 litre fuel purchase. This promotion starts September 23, 2009 and ends on November 3, 2009. Live your dreams to the max!* The Jackpot is capped at $50 million. Every $1 million over the cap, if any, is drawn as a

separate $1 million MAXMILLIONS prize.

On the Run in McKerrow and North Bay The skies were stormy on August 21st, but the team at McKerrow Esso (Site 255), near Espanola, still managed to host a very successful celebration of its upgrade to the On the Run format. “We had better weather the following day for North Bay Grand Opening,” says District Manager John Evans. “The rain held off until we finished. Magician Ronnie Dee from Sturgeon Falls was by far the biggest hit at both events as he did a great job entertaining the young and old alike.” Retailers Anjum Sayani, Karim Amanali (#247), Kim Daviau (#255), and their staff kept business rolling during the upgrades to the On the Run format.

Retailer ExPress Fall 2009

Magician Ronnie Dee entertains customers at Site 255

North Bay (Site 247) saw lots of action during the Grand Opening

A big hug for Tiger

Karim Amanali (Agent) and Susan Olsen proudly show-

off renovations at Site 247 while camera-shy

Elise Gauthier peaks over the candy rack on the

rightNorth Bay e

mployees left to right

, back row: Remi D’Aoust,

Susan Olsen, and Anjum Sayani (Agent). Fron

t row:

Jeffery Villeneuve, Elise G

authier, and Kelsie White

North Bay DJ Shawn Kettner played “name the song or artist” with customers for free gas

Retailer’s Son a Hero (Site 242 Minden)Alnoor Gowani, the thirteen year-old son of Retailer Nemy Gowani and her husband Amin, is being called a hero for helping to save a man from drowning in Minden, Ontario on August 14th. He and a friend were playing at the Gull River when they heard a man yelling for help and jumped into action. Alnoor was able to keep the struggling man’s head above water and move him into shallow water where they yelled to others for assistance. With help from two men, they were able to pull the man onto the river bank and an ambulance was called.

The man was released from hospital later that same day. “The quick, calm actions of the two were definitely a factor in the successful outcome of this incident,” stated OPP Constable Mark McMaster in a press release issued after the incident. Alnoor was also acknowledged as a hero in the local Minden paper, the Minden Times and is being nominated for the Ontario Junior Citizen of the Year Awards.

Hero Alnoor Gowani

Pioneer Petroleums is always happy to do their part in the community and this year that included stepping up involvement in the Golf Classic in Support of YMCA Strong Kids. Pioneer joined Brady Financial Group, the tournament founder, to present the 8th Annual Golf Classic on September 16th at Century Pines Golf Club in Flamborough.

“We’re so pleased that Pioneer Petroleums have partnered with Brady Financial Group to make this year’s tournament even better. Their support of this event since its inception shows how committed they are to giving our community’s children the best chance to grow up healthy and safe through programs at the YMCA,” says Jim Commerford, President & CEO of the YMCA of Hamilton/Burlington/Brantford.

Brady Financial Group and Pioneer raised in excess of $70,000 for the YMCA Strong Kids campaign. A big thanks to all of our corporate sponsors, golfers, auction donors and volunteers for helping to make a terrific event. In the past eight years this brings the total amount raised for YMCA Strong Kids to $390,000. That has helped 2880 kids access YMCA programs.

Teeing up for YMCA Strong Kids

Retailer ExPress Fall 2009

The Retailer ExPressFall 2009 editionA publication for Pioneer Retailers and Head Office employees.

Send us your Pioneer stories.

Editor: Geoff Hogarth geoff@pioneer.ca

Assistant Editors: Kim Hoang kimh@pioneer.ca

Wendy Eveleigh wendy.eveleigh@pioneer.ca

Tel: (905) 639-2060 Fax (905) 639-2490

© 2009 Pioneer Petroleums. All rights reserved.

www.pioneer.ca

Remembering Ed FraserEd Fraser, one of Pioneer’s long time driver/brokers, passed away in July. Ed started with Pioneer as a company driver in 1991 becoming a broker in 2001, safely and efficiently delivering a high volume of fuel throughout the GTA and beyond to sites in Minden, Orillia, Owen Sound and as far north as Parry Sound.

“Eddy just loved driving,” says Gloria Fraser, Ed’s wife. “He started driving at age 11 in his father’s yard in Nova Scotia. By 12 he was out on the road with his dad,” she says adding that things were different then.

“Ed loved Pioneer and he loved going to work. He never turned down a request. That just wasn’t his nature,” remembers Gloria.

“Ed went above and beyond the call for us during some very challenging times,” says Peter Pez, Manager of Transportation. “He always made sure our sites had fuel when supply was tight due to panic buying or refinery closures,” recalls Peter. “Ed will be missed by our dispatch team, the other drivers, our retailers and head office people and everyone who knew or worked with him.”

Ed & Gloria Fraser taken at Pioneer’s 50th Anniversary Party in November 2006.

After twenty-five years in its current location, Pioneer Petroleums will be moving to bigger and more modern office space. This November, head office will move to the top floor of the office tower at 1122 International Boulevard. The new office, located just off the North Service Road in Burlington, can be seen from the company’s current location on the South Service Road. Pioneer Petroleums signage will adorn the top of the building and will be clearly visible from the QEW, which is the major route through the Golden Horseshoe area.

“We started here 25 years ago with 2500 square feet,” notes Vic Holdsworth, Senior Vice President of Real Estate. Pioneer currently occupies about 14,000 square feet, including 3,000 square feet in the basement. “We’ve simply outgrown this space,” explains Vic adding that the current building has heating, air conditioning and air quality challenges typical of older office buildings. “Aside from the modern amenities, the move will allow us the space needed for continued growth.”

New office building

Head Office on the Move