Brochure
Transcription
Brochure
1917 - 2007 90 YEARS OF RECYCLING Cover – A G Sims yard, Albert G Sims, Albert G Sims Jnr, Newport, UK A G Sims yard, 28 Gladstone St, Newtown, Circa 1932 Albert Sims Jnr 4 7 Foreword 8 History 1917 - 1948 12 History 1948 - 1970 20 History 1970 - 1991 28 History 1991 - 2006 2007 - The Future 52 Acknowledgements 54 Appendices CONTENTS 50 5 SIMSMETAL VENTURE leaving Japan on her maiden voyage to Australia 6 FOREWORD Like many of today’s great companies, Sims had humble origins. Albert Sims undoubtedly had a vision when he started collecting glass bottles for recycling a few years after arriving in Sydney from England. It is unlikely, however, that he would have dreamed that his fledgling business would grow into a global enterprise, handling 10 million tonnes of recyclables a year and employing over 3,600 people. But this is the reality of his legacy – Sims Group Limited today. Over the years, Sims has explored many differing business opportunities, with many more successes than failures. With perseverance, and perhaps most importantly, a committed, dynamic (and frequently colourful) workforce, the world’s only truly global metals recycler has been created. On behalf of the Board of Directors, we hope that you enjoy this descriptive and pictorial history of the company’s first 90 years. We are sure that you will be as excited as we are when contemplating it’s next 90 years of growth and development. Jeremy Sutcliffe (left), Group CEO and Paul Mazoudier, Chairman 7 HISTORY 1917 - 1948 Albert George Sims 8 Albert George Sims was born in 1889 in Paddington, London, son of Samuel Charles Sims and Henrietta Elizabeth Reynolds, both of whom were Protestants. When Albert was 24, he and his wife Agnes, an Irish Catholic, fled to Australia in 1913 to escape the strict Catholicism of Agnes’ family, and to try their luck in a new country. They landed in Sydney with their 3 year old daughter Agnes and 22 month old baby son, Albert Jnr. He had only a few shillings in his pocket !!! Albert had plied the lace and drapery trade through England and France, but as there were few opportunities for lace making in Australia in 1913, Albert joined the New South Wales Department of Railways as a tally clerk and storeman. Having forged ties with the Socialist Party of Great Britain, it was a natural step for Albert to join the Australian Socialist Party, many of whose members linked up with the Australian Labor Party in later years. A man of firm principles, Albert joined the Anti-Conscription League, which helped defeat two referendums designed to send more Australians to the Western Front in World War I, after the conscription referendum of 1916 had split both the country and the Labor Party. In 1917, Albert was one of the leaders of a two month long strike for better pay and conditions on the railways. The strike began after the NSW Department of Sims with Agnes and baby Albert. Railways and Tramways introduced a new card system of recording work times and performances to the Randwick tramway workshops and the Eveleigh railway workshops on 20 July 1917 - a system best known today as ‘time and motion studies’. After the Conscription crisis split the Labor Party and resulted in the election of conservative State and Federal governments, workers (denied recourse to political solutions), turned to industrial action. Eventually, the strike was settled on terms that promised no victimisation. That promise was not kept and 25,000 railway workers lost their jobs. Many railway workers were eventually re-employed but Albert and J J Cahill (who was later to become Premier of NSW) who had been marked as “wanted men” when the strike ended, were not. Flat broke and with a growing family, Albert started to collect bottles for recycling. In desperation, he had pawned Agnes’ wedding ring and, with the proceeds, Albert started to collect scrap on a bicycle, eventually graduating to a horse and cart. That year, and with only £50 (saved from selling hand carved wooden toys), he officially started his own scrap collection business with some of his mates. They rented a vacant block of land in Newtown. During the next 10 years, Albert and his colleagues expanded their business activities, and in 1929, formed the company, Albert G Sims Ltd. Horse and cart gave way to motor vehicles and mechanised equipment. Albert was a charitable man and, even though the company expanded exponentially, he never forgot his humble beginnings. Many a Newtown family was saved by his anonymous generosity during the 1929-32 depression. Locomotive drivers during the 1917 strike. Source: NSW Government “Photo Investigator” Original Scrap yard Original switch room 9 “Albert Sims arrived in Sydney in 1913 with his wife, daughter and 22 month old son Albert Jnr. He had only a few shillings in his pocket” 10 In 1937, Albert G Sims became a proprietary company, still with its headquarters in Newtown. The company’s main customer base was manufacturers. Typical of Albert’s drive and initiative was the decision to do his own smelting. During the next two years, metal pressing and baling machines were installed. Shears were introduced to process the metal into manageable foundry sizes. A laboratory for chemical analysis and research was also built. The original block of land at Newtown was expanded into two acres. Sims established branches in all States of Australia and Albert Jnr, who had now joined the company, travelled extensively to the UK, Japan and the US looking at the various ways that those countries were handling scrap. He also made sales of Australian scrap. Robert Menzies, Australia’s Prime Minister, was nicknamed “Pig Iron Bob” for condoning the export of scrap just before the War. The practice became particularly controversial when waterside workers refused to load scrap bound for Japan at Christmas in 1938, arguing that it would be turned into munitions for use against the Chinese. During World War II, and with the approval and encouragement of Mr Ben Chifley, then Federal Treasurer, Sims established the Simsmetal Staff Superannuation Fund. At the end of the war, Albert set about increasing the authorised capital of the company, and in 1948, Albert G Sims Pty Ltd was listed on the Australian Stock Exchange as a public company, with an opening share price of £1. In September 1948, Albert was approached by Reginald Bartley, Sydney’s Lord Mayor, and invited to stand as a Councillor for Newtown Ward in the newly expanded City Council Albert accepted. Albert passed away on October 3 1948 from a heart attack after returning from a drive to the Blue Mountains. One of his many legacies was the name “Sims”, a name synonymous with quality, excellence and perseverance. Albert Sims Jnr Memorandum of Articles and Association dtd 1936 The Rt. Hon. R G Menzies. nla.pic-an23217367. Photograph courtesy of National Library of Australia 11 HISTORY 1948 - 1970 Albert junior had taken over the business a few months before his father died. His sister Bella, also worked for Sims Staff 1959 the company and ran the Bankstown Newcastle, or delivered to yard. wharf in Melbourne. The only Albert was a staunch environmenInside original Newtown yard offices today scrap permitted for export (with talist, becoming a member of the Palm a price in excess of £30 per ton delivered UK Beach Association and was the main voice on a or Japan), was material originating at least 50 committee “Save the Beaches” to prevent sand miles from a capital city, thus worth about the mining off Barrenjoey. same as BHP were willing to pay, allowing for Albert had also attempted to save a man from internal transport. drowning in the surf on Collaroy Beach in 1935, Export volumes of this material had to be and although the man was dead by the time the supported by country weighbridge tickets, vetted life savers had brought him back to shore, Albert by the Department of Trade. The only exception received a medal from the Royal Shipwreck to this rule was scrap from Ford Motors in Relief and Humane Society of NSW for his Geelong, Victoria, and General Motors in efforts. Adelaide, South Australia. These two companies In 1953, between them had enough clout to demand BHP had access to the lucrative export market. a virtual This situation continued until the middle monopoly on to late 1950s, when the development of the the purchase iron ore industry in Western Australia removed Newspaper reports of Albert Sims’ heroics and his medal of scrap BHP’s reliance on steel scrap. steel, paying £5 per ton delivered Pt Kembla/ 12 In 1956/57, Sims chartered MV “Swan Hill”, the first cargo of scrap steel to be exported to Japan. The success of this shipment also coincided with a big change in Australian shipping. The Australian National Line’s fleet of coastal vessels, known collectively as the “River” ships, were due for an upgrade and in the late 1950s, most of them were put up for sale, together with the ANL shipping terminal at Morts Dock, Balmain. Albert proposed buying the fleet to the Board, and the company finished up buying five ships: “River Mitta” and “River Murray” were loaded with scrap and sold as such to Japan lock, stock and barrel, and “River Glenelg”, “River Norman” and “River Hunter” were retained to carry future cargoes of scrap to Japan under the Sims-owned Hang Fung Shipping and Trading Co of Hong Kong. Unfortunately, this venture was unsuccessful as the three remaining River ships proved to be expensive to run with local crews. One of Sims’ Singapore based shipping companies, Malay States Shipping Company Sdn Bhd, also ran a number of ocean faring tugs, including “River Esk”. The shock of the transition from being a pen pushing audit clerk to the tough but oh-so-stimulating world of scrap, peopled by some of the toughest characters in town, and the fun of finishing off the books by midday and spending afternoons learning the business as metal sorter, buyer, weighbridge man, crane driver, truck driver, forklift driver, rep, furnace hand, battery breaker and general yard labour – wouldn’t have missed it for quids!! VIC JOHNSON Above: Doug Clugston at Albert Snr’s desk, late 60s. Right: Sims QLD office 1951, Doug Clugston’s car outside 13 In 1959, the Newtown yard was deemed too small, and a 12 acre property at Ricketty Street, Mascot, was acquired to load and unload metal from railway wagons. Mascot’s extensive rail network enabled Sims to store and process large numbers of obsolete rolling stock from the railways. The locomotive pictured was the largest of all locomotives used by Sims, weighing approximately 80 tonnes. It has since been donated to the Dorrigo Rail Museum. Mascot Locomotive. Aerial view of Mascot yard, etched in red, adjoining Kingsford Smith International Airport c. 1961 14 It was pretty prehistoric back in the old days, loading trucks etc, it’s good to see the way things are done now and I’m glad to be a part of it. CHARLIE CARLYON – AUST/NZ The Mascot property was also well known to most Sydneysiders, being situated right next to Kingsford Smith Airport. Many visitors to Australia noticed the Simsmetal shredder air stack, which became a Sims icon. Around the same time, the Australian foundry trade was complaining about what it saw as the excessive cost of pig iron purchased from BHP, and Albert saw the opportunity to build a furnace in Melbourne to convert scrap steel to pig iron for foundry use. Sadly, it was plagued with construction and technical problems, and never operated fully. Mascot shredder MORTS DOCK In 1960, the company had bought the block of land at Morts Dock, which contained a dry dock where ships were being built and repaired. Albert’s vision was to buy all the obsolete ships in the South Pacific and scrap them at Morts Dock, as, at the time, those same ships were being moved to Japan and Korea for scrapping. There were already some engineering works on nearby blocks owned by George Foster, a good friend of Albert’s. Albert’s dream, how- Aerial view of Morts Dock ever, was never realised as Leichhardt Council refused permission for Morts Dock to be used as a loading dock for Sims’ ships. They deemed that the whole area would be changed from semi industrial to residential, and all existing Morts Dock industrial buildings should be eventually demolished for residential development. A long battle between Sims and Leichhardt Council followed. 15 Locals demonstrated against the continuing industrialisation of the area and the battle eventually went to the Supreme Court. The fight to keep Morts Dock was costing the Company a vast amount of money and resources which brought the company to the edge of bankruptcy. As a result, Albert, a man of vision and way ahead of his time, was seeing the company founded by his father beset by seemingly insurmountable problems, with its initial £1 share price falling to one shilling and nine pence. A management committee was formed in December 1962 to attempt a rescue plan, but sadly failed, and Albert was voted off the Sims Board, resigning as a director of the company in November 1963. He was 51 years old. The Board was re-constituted under the chairmanship of George Gilder, a Chartered Accountant nominated by the principal creditor, the Bank of NSW. The River ships were disposed of and the pig iron plant was closed. Morts Dock today 16 The irrepressible Kevin McGuinness was one of the longest serving employees in the history of the company. He started work at the original Newtown yard in Sydney as a 15 year old in the late 1930s. He had a number of roles before being appointed Sales Manager of Victoria in the early 1950s, at a time when Sims’ Victorian operations had less than 20 staff. In 1962, Kevin was appointed Managing Director. Apart from Kevin’s very “hands on” management of Sims during the 1960s and early 1970s, Kevin also held the position of President of the Australian/China Business Co-operation Committee and President of the Australian/Japanese Business Co-operation Committee. These two appointments provided Sims with considerable political and trading clout, with Government and commerce in Australia, Japan and China. Kevin was the first to break the news to the Chinese Embassy in Australia of the death of Chairman Mao Tse Tung on 10th September 1976. Kevin resigned as Managing Director in 1976 and moved to Hong Kong with Sims, as President of Simsmetal Hong Kong, and continued to sell the company’s ferrous scrap into the region. Kevin retired in 1986 to take up residence in the US, where he continued to be closely associated with the scrap business, trading scrap to the Far East, and sitting on the board of listed US scrap processor, Metal Management Inc, until shortly before his death on 7th July 2006, L to R : Russell Gulliver, General Manager QLD, Nick Paik (Kangwon Steel), Kevin McGuiness, John Crabb in South Korea aged 85 years. With the River ships sold and the pig iron plant no more, a new way forward had to be found, with export markets the key. Under the charismatic leadership of Kevin McGuinness, Sims had four major objectives: 1) to equip the company with the most modern ferrous scrap processing machinery to produce premium products 2) to tie up long term contracts with Japanese mills for the sale of scrap steel 3) to establish relationships with major Chinese (Hong Kong) ship owners for long term and spot vessel charters 4) to position Sims as the most efficient and Loading car bodies for export prior to Sims operating shredding plants profitable Australian scrap company capable of dominating the local market. By the end of the 1960s, all of these objectives had been successfully accomplished. The Company had also grown to dominate recycled non ferrous metal trading in Australia, and to diversify its overseas ferrous scrap markets to include Thailand, Korea, Singapore, Malaysia, Indonesia, China, Taiwan, the Philippines and Bangladesh. On 8th November 1968, an Extraordinary Meeting of shareholders of the company was held to ratify the change of name from Albert G Sims Limited to Simsmetal Ltd. On 5th November 1970, the company merged with Consolidated Metal Products (CMP), and was renamed Sims Consolidated Limited. “Simsmetal” remained the trading name for the scrap yard operations. CMP had originally floated in 1951 and was primarily an engineering company. Some of CMP’s main investors at the time had included Albert G Sims, Brambles, BHP, Mount Isa Mines and Wormald, some of which are still trading today. 17 18 Prior to the merger, CMP had diversified from their core business with subsidiaries including: Grasslands Pty Ltd - manufacturer of the “Big Rig Country” cultivators and planters, tilling machines, haymaking and other feedstorage and crop/pasture seeding equipment Besco Batteries - producer of the first “maintenance free battery”, which could be left for as long as 12 months, unused, and still start a vehicle – vital for agricultural/ marine use Compunet - supplying computer facilities in all States of Australia Unfortunately, Sims sold the horses back to the Johnson family for a paltry sum! John Broinowski Bernie Grellman The merger with CMP introduced new faces to Sims including John Broinowski, Bernie Grellman, Lincoln Smith, Reg Kennedy and Gillis Broinowski. Layne & Bowler – manufacturer of vertical turbine submersible and axial flow pumps for both industry and agriculture. W Brown & Sons – this division had secondary aluminium smelters in South Australia and Victoria, and under that deal, the Company also acquired two racehorses, one of which was called “Tobin Bronze”, which had previously won the W S Cox’s Plate horse race two years in a row in 1966 and 1967. From top to bottom: Series 700 forager. Forage harvester. Irrigation system. Tobin Bronze winning 1967 W S Cox Plate Photo courtesy of Fairfaxphotos 19 HISTORY 1970 - 1991 Following the creation of Sims Consolidated, the company operated two principal divisions, “Simsmetal”, focusing exclusively on metal recycling, and “Sims Products”, which incorporated the former CMP diversified businesses and which continued down the path of further growth. Unfortunately, the diversification strategy of the company was not a success, and many of the businesses acquired by Sims Products began to struggle. Partially as a result of this, on 30th January 1979, the takeover by Peko Wallsend of Sims Consolidated Ltd for $58.4 million was agreed to by directors and approved by shareholders on 9th May 1979. Simsmetal then operated as a subsidiary of Peko Wallsend for approximately the next 9 years. This period saw the appointment of John Crabb, who had previously held the position of General Manager NSW, as Chief General Manager of Sims. It was also a difficult time commercially as the Company had one ship on long term charter, MV “Cape Comorin” at a daily rate of three times the spot market rate. 20 SIMS PRODUCTS ACQUISITIONS 1970-1979 Sims Hardware Sims Hardware opened 7 stores in WA and 2 in NSW. Bluff Collieries Coal mine producing coal for both domestic consumption and for export. Sims Maingage Purchase and selling of industrial real estate. Formfit Formfit was a unique subsidiary! As far removed from metal recycling as one could get! Clive Hall Member of the Sydney Futures Exchange, wool growers traded wool up to 18 months ahead. Sims Waste Sims Waste - involved in the business of industrial waste disposal. Universal Inspection & Testing Company Pty Limited Provided the company with its own inspection and testing division. Universal Charterers A chartering company in Australia specifically for export shipments, later entering into a 50/50 partnership with Coal and Allied Limited. Judson Steel Corporation The company’s foray into the US steel industry. P.T. Jaya Lead Products Operating the secondary lead smelter in Indonesia. Photographed from left: Unknown, Noel Perry, Unknown, Ken Horlor, Graeme Balcomb, Di Gemmel, David Faulkner, Bill Morgan, Wayne Balcomb (middle), Slim Battye (back), John Crabb, Unknown, Unknown, Jim Richards (back) Unknown (front), Ron Wanless, Paul Clingan (middle), George Buck (front) Unknown (back) Bill Kennedy, Unknown. Circa 1970 21 Gillis Broinowski, Malcolm Burgess (rear), Homma (Marubeni) (seated front), Vic Johnson and John Crabb Addressing excessive cost was the responsibility of the Simsmetal shipping division which, for many years, had engaged in carrying return cargoes of phosphate, steel products, timber and containers from the Far East, the phosphate producing islands and the American West Coast. In 1983, who in Australia could ever forget the sheer elation all around the nation when John Bertrand won the America’s Cup with the Ben Lexcen designed winged keel of “Australia II”. Perhaps less well known is that it was lead supplied, melted and poured by Sims in WA which formed the ballast in that imaginative and successful keel. Sims went on to also provide the lead keels to the America’s Cup Team Defence in 1987. 22 Above: Pouring of the Australia II keel. Right: Australia II Staging the America’s Cup in WA was not only fantastic for the company, but for WA in particular - the camaraderie in this division alone made it all worthwhile. We have a great team of people here in WA and I know this will continue. BARRY HOAR – WA JOHN CRABB – CEO 1988 - 2002 John Crabb emigrated to Australia in 1962 from the UK when a soccer scout approached him in London and asked him to move to Melbourne. He had been playing soccer since he was 7 years old, had played for Queens Park Rangers and Fulham and loved it. Soccer in Australia was an emerging sport in those days, and as there wasn’t a lot of money to be made, he had to get a second job. He joined Sims as a trader for W R (Bill) Hamilton in 1965 in Melbourne, and as it became clear he had talent, gradually worked his way up the corporate ladder, until his appointment as General Manager NSW, located at Mascot, NSW. Following a few years in that role, he was appointed a director of Sims Consolidated and moved from Mascot to Head Office, on his promotion to Chief General Manager, Australia in 1983. John set the company on the path of global expansion, with the acquisition of Levin Metals on the US West Coast in the late 1980s, and became Managing Director, and then re-established Simsmetal Limited as a public company in its own right, in 1991. Throughout his 37 year history with the company, John’s knowledge and vision helped him play a vital role in the growth and sustainability of the Group. He says: “I think that my experience at Sims was all good. We had some tough times, but I loved it. I just wish I could do it all again! A lot of the people that were at the company when I was Managing Director are still there, they are all good people, and that says a lot about the company. I believe it is the people that make the company.” John retired in 2002. In the second half of the 1980s John Crabb recognised that the advent of new domestic electric arc steel making furnaces would see domestic scrap consumption in Australia increase dramatically. New sources of material would therefore have to be found to meet the ever increasing demand for scrap from the growing Asian markets, which had been painstakingly developed over the previous three decades. The West Coast of the USA was quickly identified as a complementary region for Sims to once again develop an overseas enterprise. John, with the assistance of Alan Ratner, a US citizen recently returned to North America after working for Sims in Australia, soon identified LMC Corporation as being a perfect acquisition target. The business was owned by Dick Levin and run by his nephew Bob Lewon, President of LMC. Richard Levin remained Chairman of the company until the sale of the business to Simsmetal in early 1988. LMC Richmond Facility etched in red 23 HISTORY OF LMC – LEVIN METALS CORPORATION Levin Machinery and Salvage was founded in 1939 by brothers Richard and David Levin. It’s primary business was agriculture, and during the second world war, sold government surplus hardware to the agricultural community. The post war immigration boom to California saw the company grow and evolve into vessel chartering and scrap metal processing for export to the rapidly industrialising Far East. The company was renamed Levin Metals Corporation in 1951, and subsequently changed it’s name to LMC Corporation. Headquartered in San Jose, California, LMC had operations throughout Northern California, including a dock side shredder at the port of Redwood City, and a large shearing and baling facility adjacent to it’s own bulk cargo terminal, which it purchased in 1981 at Richmond. In the 1970s, measured by gross tonnage, the Richmond facility of LMC processed more scrap than any other individual yard on the West Coast of America. 24 Richard Levin A letter of intent to acquire this San Francisco based, export orientated, business was signed in July 1987. Long and torturous negotiations followed, dragged out by environmental issues and also a rising market which encouraged Richard Levin to delay completion of the acquisition as long as possible! The LMC purchase finally settled in February 1998, but before the dust had settled, Peko Wallsend Alan Ratner (left) and Bob Lewon found itself party to a “friendly takeover” by North Broken Hill Limited, another Australian publicly listed resources conglomerate. This takeover did not in itself change much for Sims, but what followed did. Through no fault of its own, Sims and its management team found themselves victim to a series of corporate manoeuvres which lasted from 1988 to 1991. The first unsettling event to occur was the decision by North Broken Hill to sell Sims (together with a number of other former Peko Wallsend assets) to Jimmie Buckland – Snr VP – Richmond, California Redwood City – Sims-LMC Recyclers 25 Elders Resources NZFP Limited, in return for the cancellation of Elders’ hostile shareholding in North’s. John Crabb and his team were then tasked with ensuring another new owner was “educated” in the dynamics of the metal recycling industry, especially the volatility of metal markets. Sims Corporate office also relocated to North Sydney, where it remains today. The completion of the Elders purchase took place in late 1988, but worse was to come! In 1990, Elders Resources NZFP was itself the subject of a takeover by Carter Holt Harvey Limited (a New Zealand forestry business interested in acquiring the “New Zealand Forest Products” (NZFP) part of Elders). Once again, Sims was put on the block as Carter Holt Harvey sought to dispose of its newly acquired but non core, Australian assets. Beauty parade after beauty parade followed as John Crabb and Ross Cunningham were obliged to explain the workings and finances of Sims to a string of interested parties, including a number of global competitors. All of this came to nothing as Carter Holt Harvey was unable to secure an offer matching its price expectations. To add insult to injury, the rapidly growing Sims Waste Division was sold from under Sims to a French group and has subsequently grown into one of Australia’s leading waste and environmental services companies (Veolia Environmental), under the guidance of Sims’ former General Manager – Waste, Doug Dean. Eventually, with a change in the appetite of equity capital markets, Potter Warburg and Credit Suisse First Boston came forward with a proposal to re-list Sims on the Australian Stock Exchange, and after lengthy negotiations between underwriters, Carter Holt Harvey, and the new Sims Board in waiting, Sims finally re-listed on the Australian Stock Exchange on 14th November 1991. Kevin Kirby was appointed Chairman and John Crabb, CEO and Managing Director. Sims Group Corporate HO, North Sydney Sims Board 1991, left to right Ross Cunningham, John Crabb, Kevin Kirby, Mike Feeney, Paul Mazoudier, Charles Copeman 26 “Recyclers do it over and over” “Simsmetal - delivering to the world” “Recycling the past to preserve the future” “Sims Group: building the world’s leading recycling company” 27 HISTORY 1991 - 2006 The Board in New Zealand The next 10 years of the company’s history completed its transformation from a division of various Australian public companies operating principally within Australia, to a truly international metal recycling group. In New Zealand, Sims had operated what was principally a non ferrous business for a number of years. It’s move into the big league across the Tasman came in 1991 when Sims merged its business with the much larger ferrous recycling operations owned by Pacific Steel Industries, a Fletcher Challenge company. The new 50:50 joint venture, named Sims Pacific Metals Limited (SPM), was managed by Sims and Rodney Brown was appointed SPM’s first General Manager. The joint venture was an immediate success supplying better quality material to Pacific Steel and delivering excellent returns to both companies’ shareholders. In California, Sims LMC Recyclers continued to consolidate its northern Californian footprint, upgrading its Redwood City shredder and growing it’s non ferrous business centred in San Jose. The next major move for Sims was in Europe. John Crabb had maintained close ties with the land of his birth over the years, looking at the latest recycling technologies and forging links with European peers, in part through the company’s membership of the Brussels based Bureau of International Recycling (BIR). In 1993, Sims International had established a UK representative office. This led to the purchase of a small non ferrous business, Top: Redwood City, California. Middle: Scrapping a Cadillac. Bottom: The end product. 28 renamed Sims Denton, in South London. A foothold, however, in the UK’s ferrous market was John Crabb’s main ambition, and after exploring a number of opportunities, the company eventually joined forces with the Bird Group of Companies to create Sims Bird Limited in 1995, 51% owned by Sims and 49% owned by the Bird Group. Russell Gulliver, who had worked for Sims since 1962 moved from Queensland, where he was General Manager, to become Chief Executive of Sims UK Limited. Tom Bird was appointed Managing Director. The strategy was one of growth in the UK market and a deep sea dock was opened in Newport shortly thereafter The acquisition of McIntyre Metals, based in the East Midlands followed in 1996. Shortly thereafter, Jeremy Sutcliffe was appointed CEO Sims UK Limited. Other acquisitions followed, but Sims UK’s fortunes were transformed with the acquisition of Philips Services in 2000, bringing back together the recycling assets of the Bird Group as they were prior to its break up in 1991. Clockwise from top left: Sims Group UK HO, Stratford-upon-Avon. G Wright, J Crabb, John Pownall. Sims Bird site on Thames. Sims Group Board visit Newport, 1996 - left to right - Kevin Kirby, Russell Gulliver, Paul Mazoudier, Ross Cunningham, Tom Bird, Charles Copeman, John Crabb, Mike Feeney. Tom Bird, Managing Director, – Sims Group UK Ltd. 29 Above: Avonmouth. Bottom right: Tom Bird (left) and Jeremy Sutcliffe - Avonmouth. 30 HISTORY OF THE BIRD GROUP The Bird Group’s history goes back nearly a hundred years when William Thomas Bird, known as Tom Bird, first went into business trading in fruit, then vehicles, and finally scrap in the depression in the early 1930s. Tom’s commercial vehicles had become virtually worthless and he resorted to cutting them up! After the second world war, Tom became one of the UK’s largest dealers in war surplus equipment including tanks, the engines of which were sold to China for use in junks. The company also became the largest second hand bus dealer in the UK, at which time, his son Walter Thomas Bird (Tommy) became involved in the business. In the late 1950s, Tommy’s brothers, Tony and Brian Bird, joined the company and were involved in the dismantling of the sea forts’ military equipment in the Solent at Portsmouth, and the big guns at Dover, which fired across the English channel into France. In 1960, the family made the decision to focus their activities primarily on metal recycling. The Bird brothers revolutionised the way scrap in the UK was processed, and were at the forefront of scrap processing development in Europe, establishing their own research and development company, which worked with universities and government research establishments. By 1970, the transformed Bird Group was the most mechanised recycler in the UK with in-plant operations in five of British steel’s major plants, handling over a million tonnes of scrap per annum for the corporation. By the 1980s, Birds operated from about 25 locations, several being export terminals, handling a further million tonnes. In 1991, the Bird family sold the main part of their group to Allied Steel, a UK steelmaker. At this stage, Tommy Bird retired as chairman and Brian and Tony Bird started up the new and much smaller Bird Group. Tommy’s son Tom Bird joined Allied Steel as Managing Director of its newly acquired Bird Group recycling company, joined by Peter his brother. Within 3½ years the new smaller Bird Group had climbed back to become the fourth largest metal recycler in the UK leading up to the formation of the Sims Bird JV. Although Sims has since acquired 100% of the joint company, the relationship between both companies and their directors remains as strong as ever. The photo above shows the crane hooked to the breech end of the barrel of one of the two 16 inch cannons put on the cliffs at Dover by Winston Churchill when he was First Sea Lord of the Royal Navy, about 1914. These cannons weighed 600 tons, the barrels weighed 100 tons and the shells, weighing 1 ton each, were stored in vast caverns underground where the guns were situated and the shells were elevated by mechanical lifts. They could fire across the English Channel into France. The guns themselves were removed from the battle ship Rameles which was the heaviest battle ship ever built for the British Navy but which proved too cumbersome to manouvre. Hence, Churchill scrapped it and used its armoury for the English Channel defences. In the centre of the picture with his hands on his hips is Tommy Bird, the son of the founder of The Bird Group who, with his team, dismantled these guns in 1957, exactly fifty years ago. Part of the breech block to the right of the picture, weighs 25 tons. Attached to it, is a 3 ton bronze breech mechanism. The barrels, which were over 6 feet in diameter at the deepest end, were cut through with thermic oxygen lances. Each sheave of the barrels was layered with gun wire which made the cutting operation even more difficult. Above: Mobile car crusher. Right: Prince Charles attending the international recycling exhibition. To the Prince’s right is Tommy Bird, the eldest of the three Bird brothers. To Tommy’s right is Brian Bird and at Prince Charles’ left shoulder is Tony Bird. 31 SIMS INTERNATIONAL In the early 90’s, John Crabb decided to consolidate ferrous and non ferrous international marketing from Australia and “Sims International” was born. Jeremy Sutcliffe was it’s first General Manager. Recognising the potential of China, Chinese nationals were recruited and one of them, Louis Liu, became the company’s first Chief Representative in China when Sims opened it’s Shanghai Representative Office in 1993. Sims International’s next marketing office was opened in Kuala Lumpur, Malaysia in 1996 and Kumar Radhakrishnan was appointed Chief Representative – Malaysia. Since then, offices in Chennai, India and Hanoi, Vietnam have been added. The next main development in global marketing came with the formation of the central marketing entity (“CME”) for the group’s entire international non ferrous marketing. Initially based in Sydney, and headed by Michael Lion, CME moved to Hong Kong in 2007 to be both geographically and time zone wise, closer to the majority of our major international consumers. In my position, the opportunity to travel and see how different cultures operate scrap yards overseas has been educational, informative and unforgettable. Now that we are a multi billion organisation, the chance to explore every aspect of recycling is a fantastic opportunity. JACK BROWN – CME – HONG KONG 32 Clockwise from top: L to R - Nick Battistella, Trish Cheung, Zhang Feng, Las Hui, Jack Brown, Graeme Cameron (rear), Darrell Wong (front), Patrick Mok and Michael Lion. Metal sorting in China. Metal sorting in India. Kumar Radhakrishnan, General Manager Sims International – 19992006. Left: Myles Partridge, Rick Jansen and Jimmie Buckland. Right: Pick’n’payless yard. Below: Rick Jansen. Bottom: Garry Rush. Meanwhile, “across the pond”, Sims USA had acquired its first business on the US East Coast in Virginia and shortly thereafter a business in Southern California. Another long time Sims executive, Rick Jansen, who had joined the company in 1973, moved from his position of Executive General Manager Southern Region to become President Simsmetal USA Corporation in 1999. Back on home soil, Pick’n Payless Self Service Auto Parts, (a joint venture with Garry Rush, an Australian Sprint Car champion) was established in Sydney in February 1997. Based on a US concept, it allowed customers to remove parts themselves from the huge array of vehicles in the yard, and pay, based on a transparent and simple pricing structure. In its first year, Pick’n Payless was awarded the prestigious Employer of the Year Award, sponsored by the Rt Hon. John Howard, Prime Minister, for employing people with disabilities, allowing them to follow a fulfilling career path. 33 CHAIRMEN AND MANAGING DIRECTORS/CEOs 34 CHAIRMEN Circa 1951 – 1958 1958 – 1963 1963 – 1970 1970 – 1983 1983 – 1988 1988 – 1989 1989 – 1991 1991 – 1998 1998 – present day Charles Harvey Albert G Sims Jnr George Gilder John Broinowski Gillis Broinowski Dr Ernest Miller John Cornelius Kevin Kirby Paul Mazoudier MANAGING DIRECTORS/CEOs 1948 – 1962 1962 – 1975 1975 – 1976 1976 – 1983 1983 – 1988 1988 – 2002 2002 – present day Albert G Sims Jnr Kevin McGuinness William Hamilton George Simpson Gillis Broinowski John Crabb Jeremy Sutcliffe 35 The Australian Manufacturing Division was established in 1994 following the acquisition of Affinity Metals, which was merged with Sims’ existing secondary aluminium business. This strategic change allowed for a newly focused management team to grow the business and become Australia’s market leaders in its own right. With its unique molten metal transfer capabilities, an Australian first, the majority of aluminium recycled is sourced from Simsmetal’s recycling Doug McLean, General Manager Manufacturing Division operations throughout Australia, with ingot and molten metal produced to world class quality specification. Sims Tyrecycle has been part of the Sims Group since May 2004 and collects scrap and imperfect tyres from manufacturers, retailers, local councils, recyclers etc, and disposes of them in accordance with environmental regulations. The company collects and disposes over seven million tyre units (EPUs) of the estimated eighteen million generated annually in Australia. Suitable tyres are sorted for granulation at Tyrecycle’s plant located in Melbourne. 36 In 2000, Sims once again showed itself ahead of its time by investing in a 50% interest in Landfill Management Services (LMS), a renewable energy company extracting methane gas from landfill and converting it to John Falzon, LMS electricity. LMS has become an important symbol of Sims’ commitment to sustainable resources and addressing climate change. LMS is managed by a team of uniquely qualified people with outstanding experience in landfill gas, bio gas, coal seam methane, power generation, energy trading emission trading, power purchase agreements and the commercialisation of new technologies. Top: Sims Tyrecycle QLD – one of 3 new trucks. Bottom: 3MW power generation plant, Rochedale LMS – Rochedale modules 37 On 8th November 2002, Kevin Kirby died after a battle with Cancer. He was 74 years old. Kevin had retired from the Board of Directors in 1998, and Paul Mazoudier had Kevin Kirby assumed the role of Chairman. At the company’s AGM in November 2001, John Crabb announced his retirement to shareholders. At the same time, Jeremy Sutcliffe’s appointment to the Board as Group Chief Executive, taking effect on 1st March 2002, was announced. Kevin McGuinness, seated, John Crabb (left) and Jeremy Sutcliffe on John’s retirement 38 Working in the remote areas of the Northern Territory 20 years ago was fairly memorable, there was nothing around for hundreds of miles, so the drivers took their swag and mobile BBQ with them and lived on the road. They were away for a few months at a time. TERRY ADAMS – QLD Newport shredder, crane and rail link installations 39 JEREMY SUTCLIFFE, GROUP CEO Jeremy was first introduced to Simsmetal while employed as Legal Counsel for Peko Wallsend Limited. When North Broken Hill decided to sell Sims to Elders Resources Group, Jeremy worked on the transaction, and then, rather than stay with NBH, elected to join Elders Resources to maintain his connection with Sims. His first executive role with Sims was as General Manager Ferrous Exports and Shipping, and he became General Manager - Sims International shortly thereafter. After 5 years as MD of Simsmetal UK Limited, he returned to Australia to assume his current position of Group Chief Executive Officer. In his own words, he says: I confess that when I joined Peko Wallsend in 1987 as Legal Counsel I had no idea that it had a scrap metal recycling subsidiary. In fact I had never heard of Simsmetal. That all changed very quickly when, as coincidence - or luck - would have it, John Crabb started negotiations to buy LMC Metals in Northern California and needed a lawyer to help him. For the next seven months we criss-crossed the Pacific negotiating the deal (I was “junior brief/bag carrier” according to John!) which finally closed in early 1988. I even visited a scrap yard for the first time! The rest, is of course, history. I will forever be grateful to John for giving me the opportunity to join Sims proper, and for having faith in my ability to switch from lawyer to scrap man. This opportunity led to my appointment as CEO of Simsmetal UK when, in 1996, the company deported me back to England, the country I’d left a decade earlier. Sims continued to grow in all directions and by the time I returned to Australia in 2002 as Group CEO on John Crabb’s retirement, the company was already the world’s most geographically diverse and successful, metal recycler. In the last five years, with the support of the Board and the efforts of all our employees (and with a slight tailwind from the commodities boom!) the company, now renamed Sims Group, has continued to grow and prosper. With the formation of our Recycling Solutions Division and the continuing growth of our core Metals Recycling business we are well on the way towards achieving our goal of “building the worlds leading recycling company”. 40 Shortly thereafter the company adopted an official corporate goal: “Sims Group’s goal is to grow its core metal recycling business internationally while also developing an innovative recycling solutions business” To coincide with this, and to reflect the broader nature of the company’s recycling activities beyond metal to include e-waste, plastics, CRT glass etc, the Board of Directors resolved to change the company’s name from Simsmetal Limited to Sims Group Limited. The name change was approved by shareholders in November 2002. Another initiative was to cut the umbilical cord between the Sims HO and the Australian business and for Sims Australia to operate independently, in the same way as Sims UK and Sims USA. New premises were leased in Botany in April 2006 and Darron McGree became Managing Director, Sims Australia and New Zealand. Considerable investments were made to upgrade facilities including the “flagship” Melbourne yard. DARRON MCGREE - MANAGING DIRECTOR, AUSTRALIA AND NEW ZEALAND After leaving school and trying a few different jobs, my father suggested I apply for a job at a tin smelting company called O. T. Lempriere (according to him it was either that or join the police force). OTL moved further into metal recycling by acquiring Mid Metals Pty Ltd where I eventually worked my way up to General Manager Australia, before leaving to run my own business. In 1983 Russell Gulliver offered me the job of Non Ferrous Trading Manager NSW which I accepted thinking I would stay for a few months and then move on. Guess I lost track of time. At various times I have held the positions of General Manager NSW, General Manager Northern Division and Executive General Manager Australia before becoming Managing Director Australasia. Sims Australia, the engine room for our overseas expansion, owes much of its success to the fantastic people who have made their careers in a great company in a dynamic industry. I am proud to be working with them and regard many of them as my friends. John Glyde. Melbourne 2007, following its reconstruction by John Glyde, General Manager 41 GRAHAM DAVY, CEO EUROPE & GLOBAL RECYCLING SOLUTIONS Graham Davy had joined Cardiff based Steelmaker ASW as a graduate, but transferred to Allied Bird when ASW purchased the shredding business of the Bird Group. He rose to the position of Managing Director of the Company which, by then, was called Philip Services UK, following its sale by ASW to Canadian based Philip Services Inc. In 2000, Sims acquired Philip Services UK. In 2002, Graham was asked by Jeremy Sutcliffe to head the new Sims Recycling Solutions division. In Graham’s words: “I was told to start a business that had no customers or suppliers and, at that stage, was all talk! We managed to grow quickly, seizing the opportunity offered by legislation, the increasing flows of e-waste and a determination to lead the global push to deal with the problem of post consumer electronic end-of-life products. So far so good - and we see the business continuing to grow.” Newport Fridge Plant 42 With further international growth in mind, Sims launched its recycling solutions division “Sims Recycling Solutions”. This strategy led to the acquisition of Mirec, a continental European e-recycler based in Holland, Belgium, Sweden and Scotland. Sims Recycling Solutions European footprint was to expand in late 2006 with the acquisition of Metall + Recycling GmbH of Bergkamen, Germany. While the company was growing SRS, it was also working quietly towards a company transformational transaction. In June 2005, after over two years negotiations, Sims announced the merger of the company with the metal recycling assets of Hugo Neu Corporation (HNC), a New York based corporation with large scale ferrous scrap export facilities in Los Angeles and New Jersey. Top: Hard drives. Bottom: M+R employees, Germany. Left: Sims Mirec Truck. 43 The merger was effected by way of a scheme of arrangement, approved by shareholders on 31 October 2005 and the “new” Sims Group commenced trading on 31 October 2005. Bob Kelman, President, Sims Group USA HNC became the company’s largest shareholder at 26%, and John Neu and another HNC nominee, Paul Varello, joined the Board. The merger also marked the retirement from the board of Charles Copeman (who had been associated with Sims from his days of Chief Executive of Peko Wallsend Limited, and had sat on the Board since the float in 1991). Charles was replaced by Dr Robert Every. Overnight Sims Group nearly doubled it’s tonnage to between 9-10 million tonnes per annum, 65% of which exported from the country where it was processed to international markets. Sales exceeded A$4 billion. The merger was enthusiastically received by investors, and the company’s shares, which traded around the $14 level at the time of the merger, rose to over $18 when the merger was completed. C Copeman & B Every. 44 SIMS GROUP GLOBAL TRADE The merger with Hugo Neu introduced an exciting new trading business to Sims. Headed by Bill Schmiedel (pictured extreme right), President Sims Global Trade LLC, (SGT), the company sources third party ferrous scrap and other steel making raw materials such as pig iron and HBI from around the world for sale to our international steel making customers. Based in New York, SGT also sells most of the group’s ferrous scrap destined for international markets and provides up to date market information to all our operating divisions. Top: US export team. Bottom left: Sims Hugo Neu head office, 110 Fifth Avenue, New York. Bottom right: LA Terminal Island HUGO NEU CORPORATION Hugo Neu Corporation (HNC) was founded in 1945 by Hugo Neu, who started his career in the international metals trading business in Germany in 1919, then moved to England in 1924 and to the US in 1928. Under Hugo’s leadership, the company invested in real estate, shipping and in scrap metal recycling, developing recycling facilities on the East and West Coasts of the United States. His two sons, John and Richard joined the business (John after starting his career in law) and when Hugo died in 1985, John and Richard became Co-Chief Executive Officers. In 1994, John became sole CEO of HNC’s recycling interests and the bulk of its real estate operations. The company continued its growth to become one of North America’s largest recyclers through its own and certain joint venture operations and the largest exporter of ferrous scrap from the US, primarily from New Jersey, Los Angeles and Boston. HNC was also responsible for the renewal of New York City’s municipal kerb-side recycling program in 2004. HNC’s joint venture relationships terminated in 2005, with HNC acquiring sole ownership of the West Coast and New York/New Jersey recycling operations. Shortly thereafter, those operations were merged with Sims. Hugo Neu Barge, New York Harbour From left to right: Paul Mazoudier, John Neu and Jeremy Sutcliffe 45 Paul Varello, Director Shredder, Claremont, New Jersey, USA 46 1978/79 Chevrolet Impala Sims USA 47 PEOPLE Corporate HO female long servers – pictured below are the female employees in Corporate HO, North Sydney, who have completed 5 or more years of employment – in total, a whopping 122 years between them!! L to R: Anita Spence (9), Mary Reedy (17), Samantha Crawford (11), Jessica Lam (7), Sheila Walker (30), Victoria Sison (6), Inez Howcroft (12), Susan Atayan (6), Jenny Burns (10), Anthea Millhouse (10) and Linda van Staden (6) Over the years I have held many roles within the company. For sheer involvement and entertainment, working in the Trading Department with many people, some of whom are now General Managers, has given me a great deal of satisfaction and helped unravel some of the mysteries of scrap trading. My time at Sims has been very informative, rewarding and at times entertaining and I have met many people and made many friends. I consider myself fortunate to be part of this vibrant go-ahead team and company. SALLY CLARKE - NSW Clockwise from top left : Frank Moratti, PNG Employees, Sims Graduates, Pippa, Brigitte, Thea, Sally and Samantha 48 I think things will continue to progress as well as they are in the company. I’ve seen a lot of managers come and go. It’s busy and it’s very male dominated, but I thoroughly enjoy working in the transport area. HELEN NALDER - QLD I’ve been with Simsmetal for over 21 years, situated at both the St Marys and Wetherill Park Yards doing various jobs, including the Occupational Health & Safety and Quality area. I then got a transfer back to St Marys yard where it all began. I have been happy with working with Sims, and I have to say I have been lucky I have two great bosses; one being Russell Chant and the other is Darryl Woodhouse. They say you are lucky to have one good boss in your working career, but I have been fortunate to have good bosses where ever I have been. TRACY WYARD, NSW 49 2007 - THE FUTURE Sims’ business entered 2007 in great shape buoyed by the continuation of the China driven commodities boom, record global steel production and record high base metal prices. SRS expanded its business into North America with the acquisition of the Chicago based United Recycling Industries and the acquisition of Noranda’s e-recycling assets in Canada, California and Tennessee. 2007 also marked the arrival of a new major shareholder in Mitsui and Co. Ltd., which purchased a 20% stake in the company from HNC. On completion of this transaction, John Neu resigned from the Board and Mike Iwanaga and Chris Renwick, nominated by Mitsui & Co, were appointed directors. In North America, the Company changed its name back to Sims Group with it’s metal recycling business trading as Simsmetal. By September 2007, Sims’ share price had risen to a record $34.28 – a long way from its 1991 issue price of $2.00. The Board and all employees should be extremely proud of this achievement. Chris Renwick Mike Iwanaga STOP PRESS On 25th September 2007, Sims Group announced the next exciting development in it’s corporate evolution – Sims will merge with Metal Management Inc (MMI), one of North America’s largest recyclers, listed on the New York Stock Exchange. MMI shareholders will receive American Depositary Receipts, “quasi shares” still tradable on the New York Stock Exchange. Sims Group, which will be renamed Sims Metal Management Limited, will remain an Australian company listed on the Australian Stock Exchange and former Sims shareholders will own approximately 70% of the company. Volumes handled will increase to over 15 million tonnes per year, and over 60% of earnings and revenue will be sourced from North America. Adding European earnings, around 75% will then be earned offshore. The transaction requires MMI shareholder approval and is scheduled to complete in early 2008. If it proceeds, then Sims will maintain its position as the largest listed global metal recycler and also become the largest metal recycler in North America. The company can then legitimately lay claim to having built the world’s leading recycling company. Dan Dienst - MMI CEO 50 Sydney Morning Herald - reports proposed merger with Metal Management Inc 25 September 2007 51 ACKNOWLEDGEMENTS We would like to thank the following people: Judith Parker (nee Sims), whose knowledge and friendship was invaluable Vic Johnson Russell Gulliver Kelly Zimmerman (nee McGuinness) Sandra May (nee Clugston) Ross Cunningham Tony Bird Judy Parker outside original office door – Newtown – December 2006 among many others. This publication would not have been possible without their valued assistance. Vic Johnson Russell Gulliver Tony Bird 52 Editor Sheila Walker is both a long standing employee of Sims (having been with the company for over 30 years), as well as a long term shareholder. “When Jeremy Sutcliffe first approached me with the idea of researching, co-authoring and editing a book on the company, I was a little apprehensive, but it has proven to be an educational and also a very rewarding experience. “My years as editor of our company magazine, “Simsworld”, has given me the opportunity to learn much about the people who have built this company, and in helping produce this book, I have had the pleasure of meeting many of them. “I hope you all get as much enjoyment reading this book, as I did in helping create it.” 53 APPENDICES I II III IV V VI VII VIII IX X XI 54 EMPLOYEES WORTH A SPECIAL MENTION THE IMPORTANCE OF SAFETY ANNUAL REPORTS SIMS NEWS 40 YEAR SERVERS 30-39 YEAR SERVERS 20-29 YEAR SERVERS TRIVIA AND TITBITS ACQUISITIONS AND JOINT VENTURES DIRECTORS OVER A 10 YEAR PERIOD PHOTO GALLERY APPENDIX I EMPLOYEES WORTH A SPECIAL MENTION NORM YATES - VICTORIA Norm was the only one of 5 that survived an horrific explosion at the Company’s aluminium furnace at Norm Yates – Clerk, Geelong scrap Laverton in 1986. The yard, Victoria other 4 men who lost their lives were: Gary May Cyril Stanley Kenneth Clarke Mervyn O’Neill Norm says, “There were initially 2 explosions. The metal actually caught fire and melted. After the first explosion, I thought that was it and started to walk out, but Cyril grabbed me and pulled me back. If it wasn’t for him, I would not have survived. “The safety initiatives now in place are outstanding and it is great to know that the explosion that occurred in 1986 will never happen again”. Norm is still, to this day, receiving skin grafts and physiotherapy on his hands and elsewhere. Norm has been with the company for 21 years now and still loves his job. He works in the weighbridge as a clerk, and does a little bit of everything. WILLIAM “BILLY” TAGUE - TASMANIA William (Billy) Tague has worked 33 years without William “Billy” Tague – Leading Hand, Bell Bay scrap yard, Tasmania taking one sick day off. This is an incredible achievement. Billy puts this great effort down to his home brew, which according to his workmates, needs diluting first with normal beer, then lemonade!! The record so far was Joe Reed, who went 38 years with no sick leave in the 1970s. Congratulations to these two employees. VALE Over the years, some of the extraordinary people that work for this company have passed away, including, within the last 12 years: Lincoln Smith, Alan Craston, David Lane, Gary May, Cyril Stanley, Kenneth Clarke, Mervyn O’Neill, Kevin McGuiness, Kevin Kirby, Bruce Woithe, Rick Parry, Parry Hill, Harry Bungay, Jack Goodwin, Dennis Margaritis, Margaret Sternberg, Michael Collins, Capt. Peter Nash, Homma (Marubeni), Albert G Sims Jnr., Henry Olloson, Al Oliva, Neville Brehmer, Martyn Tamlyn, Brian Brown, Paul Pratten. 55 APPENDIX II THE IMPORTANCE OF SAFETY: Lyle Lutherborrow Lost Time Injuries 1988 to 2007 220 200 180 160 NUMBER OF LTI & LTIFR The safety of the company’s employees, and all who come into contact with its operations, products and services, is of paramount importance. Sims’ safety culture has come a long way from the appointment of it’s first safety officer Lyle Lutherborrow, in December 1975. Lyle designed the first safety booklet. Since that time, the booklet has been revised at least 10 times. Today, the company employs safety professionals throughout all of its operating divisions in every country. Responsibility of the safety does not, however, rest solely with our safety officers. Everybody, from the Board of Directors, country heads, General Manager’s and all employees, have the responsibility of ensuring safety of their colleagues and the public. Today, safety operates under the company’s Safety, Health, Environment and Community (“SHEC”) regime. A SHEC Committee of the main Board reviews the operations of the global Executive SHEC Committee which in turn monitors the SHEC Committee’s in each country. 140 120 100 80 60 40 20 0 1988 1990 1992 1994 1996 Lost time Injuries 1988 to 2007 LTI 56 1998 2000 2002 YEAR Lost time Injuries 1988 to 2007 LTIFR 2004 2006 2007 Critical to safety has been instilling a sense of safety awareness amongst all employees through a system known as “Observation Behaviour Audits” which focuses on employees observing and noting both favourable, as well as unfavourable, safety conduct by colleagues and areas for ongoing improvement. Sims’ commitment to safety has been reflected in our safety record, which, since the listing of the company in 1991, has delivered significant improvements. The company’s endeavours have also been recognised with safety awards from authorities including Workcover Victoria and the National Safety Council of Australia and by Australian Business Limited for their “Safety in Business” awards. In the UK, the company received a national recycling award for “Best Commitment to Health and Safety Practices”. The Sims UK Health and Safety Authority include Simsmetal on its public website as a “best practice” case study. The company’s commitment to safety continues with the ultimate goal of zero accidents. APPENDIX II We loaded ships by hand, which was a dangerous practice, but that was the way it was done in those days - it took a long time! It’s great to see that safety has improved greatly!! KEN KATOA - QLD Top Right: presentation of special safety award for working many years without a lost time or medically treated injury. Left to right, Darryl Woodhouse (NSW Risk & Safety Manager), Paul Blackmore and Peter Abouharb (employees from the Bankstown yard) and Andrew Papandreas (Nat. Risk, Safety & Training Manager)” Above: Left to right Bob Mills (TV personality), Veolia Rep, Paul Urbonas (UK safety manager) Jane Reyner (Chairman of judging panel) 57 APPENDIX III ANNUAL REPORTS 1977 1974 1975 1973 1956 1959 1994 1963 1992 1971 1972 1967 58 1993 APPENDIX III 2003 1998 1995 1999 2004 2002 1997 2000 1996 2005 2001 2006 59 APPENDIX IV SIMS NEWS 60 APPENDIX IV 61 APPENDIX V 40 YEAR INTERVIEWS Ross Cunningham Exec Director Group Finance & Strategy - HO, NSW Ross Cunningham was originally employed as a metallurgist by Consolidated Metal Products (CMP) in 1967. Following the acquisition of CMP by Simsmetal in 1970, Ross was involved in a broader role within the CMP group prior to being promoted to Manager of P T Jaya Lead, a joint venture between Simsmetal and the city of Jakarta, Indonesia, to oversee the construction and establishment of a lead smelter in Indonesia in 1973. Ross returned to Australia in 1975 to take up the new position of Manager, Non Ferrous Smelters in Victoria, which included responsibility for the start up of a new secondary lead facility, plus the existing aluminium and copper based operations. Following a few years in that role, Ross moved back to Sydney where he was assigned in 1978 to Besco Batteries, a Sims group subsidiary, then introducing the first maintenance free batteries into Australia. After a brief stint assisting on technical issues, he was promoted to Marketing Director of Besco Batteries. In 1982, Ross moved back to the Simsmetal side of the business when he was appointed Assistant General Manager for Sims NSW at Mascot, under Paul Clingan. He was in that position for about 12 months, and, following a one month role as General Manager in Queensland, he was appointed General Manager NSW at Mascot – a position he held until he moved to HO in 1987 to take up the position of Group General Manager Finance & Administration. Ross was appointed a Director of Simsmetal in 1984 and was one of the six directors of Simsmetal when it re-listed in 1991. Ross continues as one of the two executive directors on the Sims Group parent company Board. His current position is Executive Director, Group Finance and Strategy. Ross says, “I’ve seen many faces come and go and a lot of changes over the years. My time at Sims has been both interesting and varied. “Sims has come out of an era where the senior guys worked 62 their way up based on their knowledge of the operations within the company, and accordingly, have had detailed knowledge and a passion for the scrap business. Our recruiting and graduate intake programs over the last decade or so have allowed us to recruit better educated tertiary qualified people and this has been instrumental in assisting the company to move forward. These are the new generation “scrappies”. “The company is much more mature and sophisticated now, having evolved from being pretty unsophisticated to a fully fledged top ASX 100 public company and capable of hacking it with the best in the world, as demonstrated by the company’s significant growth and success overseas. It’s been a progression, in a relatively short period of time, from a specialist Australian domestic scrap company to a top ASX 100 public company. It has been great to be associated with the company, its people and its growth, and I feel proud to have played a role and been a contributor to that growth and success story.” Carmelo (“Charlie”) Bulzomi Yard Supervisor - VIC Charlie started as a metal sorter aged 17 – it was his first job, then he learnt the operation of the overhead crane, and gradually worked his way up to a yard supervisor with MP Metals, not far from McDonald Rd, Brooklyn, VIC. Charlie then transferred to McDonald Rd. Sims had opened up a small yard in Kensington and Charlie worked there for 3 years. He then moved back to McDonald Road, where he has been ever since. Charlie remembers, “when I started we had a big quarry here which I never believed would be filled in my lifetime, we didn’t have a shredder, we only had an overhead crane. We then built an overhead gantry and we thought we were the best because we had this! Everyone wanted to work on it. “When TAA closed, I was the first one to go to Essendon airport, we had to chop up the wings of the plane and brought the plane here to recycle, and then a few years ago, we did the same with the Ansett planes. “The way I see it, this company has progressed a lot since the day I started. We have a lot better induction and training nowadays. I hope the company goes for another 90 years!” APPENDIX V Sydney Harbour Emmanuel Magri Clerk - VIC Fitter/Maintenance Leading Hand - VIC Syd Harbour started working at Sims on 26th October 1966 at the Noble Park yard as a Labourer. He spent the first 4 weeks breaking cast iron with a 14 lb sledge hammer and earned £14 a week! Syd has stayed at Noble Park throughout his long and distinguished working life, graduating from Labourer, working the overhead crane etc, and finally settling down in the weighbridge as a clerk, after an accident to his right hand which required various operations and 3 months off work (he comments that Sims were extremely supportive of him and his family during this time) where he has been for the last 22 years. Syd has seen many yard and general managers come and go. He fondly remembers Bill Hamilton as a true gentleman. Syd says, “I see Sims as the world leader in recycling. I hope this trend continues, and without hesitation, I can say that I have thoroughly enjoyed the past 40 years with the company. My son Dan joined the company 10 years ago. Sims always looks after those who look after them, and if you give the company 100%, they give back 150%.” Emmanuel (“Manny”) Magri started working at W Brown & Sons at Little Boundary Road in 1959, with his first job being a charge weigher, weighing different types of material to make brass alloys. He left in 1962 and returned in 1963, joining the maintenance department, a job which he enjoyed as it was “very interesting work making furnace tools and repairing machines”. He left again in May 1966 for personal reasons, but rejoined in July that same year. Some would say a glutton for punishment, but Manny doesn’t see it that way!! When he did (finally) return in July 1966, he went right back into his previous job, and that is where he has stayed for the last 41 years. In 1969, when CMP took over W Brown & Sons, the aluminium smelter had commenced construction and the plant became very busy and much bigger. Manny then saw the takeover by Sims of CMP and was promoted to Maintenance Leading Hand in 1986. Manny was heavily involved in the rebuilding of the aluminium plant in 1987, replacing every furnace. He says, “I remember the enormous enthusiasm shown by all the employees at that time, and can still remember the sense of pride and achievement shown by all involved when the plant started on time, and without a glitch. “I think Sims Group is a great company with a vision for the future, and think that it can only get stronger and better” Herbert Brown Trailer Driver - QLD Jack Racovalis Resale Operative - VIC Jack started out as a fitter in Johnson Bros in Preston, Victoria as a 16 year old, graduating to working on the cranes. Jack also welded, operated a press, did a stint as an oxy cutter, and currently is in the store working with beams and occasionally working with the overhead crane. Jack remembers “In the old days before the sheds were built, it was quite difficult to work outside, because when it rained heavily, we were almost knee deep in mud, sometimes you couldn’t even see the metal on the ground! “But in the last 5-6 years, the new buildings and areas have changed a lot, it’s a lot cleaner, safer and as everything is under cover, it’s a lot nicer and easier to work in”. “Herbie” Brown started with Sims in South Brisbane (Montague Road) yard, when it was owned by Abrahams & Williams. His first position was working on the floor with the press. He has worked a lot of positions in the past. In particular he worked the forklift, loading and unloading, for approx 27 years. Herbie’s other positions included: Looking after ingots and brass rod Running the shed Cashier on Saturday mornings Truck driver Herbie has enjoyed all of his varied positions, and is now currently located at the Rocklea yard. Herbie remembers having John Bangle, another QLD 40 year + server, as his offsider on the truck. John also remembers it! Herbie has never left his job for the simple reason that he has always liked working in QLD and “all the guys in the yard and office are great to work with, and if the past growth is anything to go by, then things will just keep growing”. 63 APPENDIX V Russell Chant Yard/Ops Manager - NSW Russell started as a weighbridge clerk aged 15 at Mascot, then he moved to Greenacre, Newtown, Villawood and Auburn, holding the position of metal buyer. He says that it is strange now that all those yards are no longer part of Sims! While Russell was at Auburn, he became Assistant Manager and then finally Yard Manager. Then in 1978, he moved to St Marys as Manager and stayed there for 8 years, moving back to Mascot as NSW Scrap Operations Manager, then moving to Wetherill Park, keeping the same position. Russell commented, “when you are a non ferrous buyer and sorting through stuff every day, it’s amazing exactly what stuff people throw out”. Russell remembers that the best thing he ever did 42 years ago was get lost... he was on my way to another interview, but couldn’t find the place, and happened to walk into the Mascot yard and asked for a job. “From desperation to satisfaction... I love my job” he says. 64 One of Russell’s most memorable times at Sims was when they shredded a bus. It was the single largest item of machinery to go through the St Marys shredder at the time. Russell also remembers: “Once Kevin McGuiness came into the Mascot yard at about 6:30 am on a Sunday when I was doing a stint as a night watchman. Kevin started taking photos. I approached him and informed him that taking photos was not allowed, he queried it and I told him that it was company policy, plus I drew his notice to the sign saying “no photos on the property” in the yard. He just smiled and said to me “That’s alright son, I put the sign up!” Kevin was Managing Director at the time! “I don’t think we are working as hard as we did in the old days, we’re just working smarter!” John Bangle Business Manager - Qld John applied for a position posted in the Courier Mail as a Junior Clerk in December 1965 when he was 15. He started out as the “office/mail boy” and then Doug Clugston, who was General Manager at the time said to him “if you want to get on in this business, you have to get downstairs and get your hands dirty”, so in 1967, John started in the yard at South Brisbane (now sold) on the scales as the “helper”. From there he went on to driving trucks, and then to supervisor, until his “repping” talents were discovered, and he then went on the road with a utility buying scrap, weighing and paying and generally gaining experience in all facets of sorting metal, both ferrous and non ferrous. He then worked his way up to Non Ferrous Trading Manager (under Russell Gulliver) and has been on that path ever since, apart from a short time in 1995, when he was appointed acting General Manager QLD when Russell Gulliver left to head up the newly formed UK office in Long Marston. John relinquished that role when a more permanent employee, John Glyde assumed the position. John says, “In my time, there has been a massive growth in the company, and in my particular area, I remember all the families that were in the trading business, you’d go out to their homes, stay with them, load their scrap and then return. We were a lot more family orientated. “I would like to see the company keep on going the way it is already heading, we have seen some big changes in safety, equipment and the way we do things, and we seem to be getting it right, especially nowadays, with the advent of e-recycling, and it all gels. “The company also treats its employees a lot better now than it used to. In the old days, there was no dialogue, no-one knew how much the company was making, or how it was going, we were all mushrooms. The communication now is excellent, and I’m glad I got into the scrap business, and I’m glad I’m with Sims. They are the biggest and the best.” APPENDIX V Thomas Sorci Tony Gonsalves Divisional Manager - San Jose USA Crane Operator - Sacramento USA Tom started as a scale operator/cashier with Markovitz & Fox (M&F) and relocated to the San Jose yard when the merger of M&F and Sims took place. While at M&F, Tom held the positions of Scale Operator/ Cashier, Ferrous Buyer, Non Ferrous Buyer, Supervisor, Assistant Manager and finally Manager. When he moved over to Sims, Tom took up the position of Divisional Manager - San Jose Facility, a position he still holds today. Tom has seen the vast changes from hand torches to the mega shredders and the development of mechanical devices to process material. As well as that, Tom has overseen the processing of electrical and plastic household waste materials. Tom is proud of the accomplishments of the San Jose yard operationally and the increase of it’s non ferrous customer base. Tom would like to see Sims continue to diversify and venture into the new frontiers of saving resources for future generations. Tony started work with Associated Metals Co, based in the Sacramento yard. His first position was as an oxy cutter/burner. Tony was cutting down 90 foot long fuel tanks! Tony has always worked at the Sacramento yard and has held many positions. He started off as a burner and then he has done stints as a baler operator, a shear operator, a wheel press operator, a truck driver, and finally a crane operator. Tony says, “I have gone through good times here. One memorable thing is the time we went on strike but that is a long story. This company has always been a good company to work for. I also remember when Bob Novack passed away. That was around the time that we changed our company name from Associated to Levin Metals. “I commend the company for treating their employees well as Sims currently is and even after I retire, which is in about two more years. I wish everyone the best!” Willie Bryant Crane Operator - Long Beach USA Willie started on January 9th, 1967, working on the cable cranes with Hugo Neu Corporation. Most of the last 40 years, Willie has stayed as a crane operator. For the last 10 years or so, Willie has worked on hydraulic cranes. He is well known by all the customers, has a great charisma and enjoys a very good relationship with all co-workers. Willie has an excellent safety record, and is a great example to follow for the new generations. Willie particularly remembers, “It was about 35 years ago when, I remember, Rose Neu stopped me at work and told me about the company’s Education program. Well she was a bit upset because flyers had gone out about this program but no one had responded. She was chewing me out asking me why I hadn’t responded and why I didn’t want to help my daughter who was 6 years old at the time but Rose didn’t know that, so I had to tell her that my daughter was too young. Now this stuck with me not because Rose didn’t know that my daughter was 6, but because where I grew up no one ever gave you something for free. “Here was this company willing to help people send their kids to school and they didn’t ask for anything in return. I thought this was an idea ahead of it’s time for a company to help the children of its employees get the money to get an education. “My daughter was too young when Rose first told me about the scholarship but years later she did get some help from the scholarship program and now my daughter has earned two degree’s and is very successful. “ 65 APPENDIX V 66 Jose Hernandez George Flores Metal Sorter - San Jose USA Crane Operator - San Jose USA Jose Hernandez started working in the iron sorting area. Jose was then moved to the brass sorting area, where he still works today. Jose remembers in the past when it rained in the yards. At that time, the iron sorting yards were not paved, and the area would turn into mud. Jose also mentioned that he remembers he was paid $1.25 per hour when he started. Jose is very keen and knowledgeable employee, especially on the brasses. He hardly misses work, and, according to some of his work mates, “could out work any of us any time.” Jose says, “the company has grown to be very big. This is good, because it employs more people, and the equipment we use now is safer than it used to be.” George started as a sorter in the iron dept at San Jose. George has done a number of tasks over the years. He worked in the transportation department and started driving trucks for Sims and then George returned back to the San Jose yard, and did a stint as the night shift foreman until the night shift was cancelled, before taking on his final role as Crane Operator. George naturally has a lot of memories, too many to mention, but he does particularly remember the amount he was getting paid net per week - $98.00. Things have changed a lot now! APPENDIX V Terence Bird John Stinchcomb General Manager Non Ferrous - UK Operator - UK Terry started his employment in 1967 aged 17 as a Weighbridge Attendant at Birds Commercial Metals in Long Marston, a member of the Bird Group of Companies, and after 3 years, was promoted to Under-Manager. In 1971, he spent 6 months managing a demolition project that involved the demolition of a large 6 storey railway goods depot in Birmingham, after which he returned to Long Marston and, after a short while, was promoted to the position of Manager. During his time as Manager for Long Marston, Terry has overseen both the installation of the largest shredder in the UK at the time, and the installation of the heavy dense floatation plant. Terry was made Works Director in the very early eighties and become acting Managing Director from 1991 until 1995. 1995/96 saw the acquisition by Sims, and from 1995 to 2001, he managed all of the Long Marston operations. In 2001, Terry joined the non ferrous team to help build and grow that business, and in 2002, became the UK Group Non Ferrous Commercial manager and was promoted to General Manager in January 2005, a position which he still holds today. One of Terry’s specific memories was, “the fist time we started up the shredder previously mentioned, for many reasons, one of which was the fact that although the commissioning of the shredder did not altogether go to plan (metal flying out the back, the shredder jamming etc etc) I will always remember seeing first hand the tremendous power of the shredder, in less then a minute reducing a complete motor car down to sizes no bigger then your fist, and to use a common phrase of today - “it was awesome!”. John started working for Pearce’s scrap metals in 1962 as a General Labourer. Pearce’s were then taken over by Phillips Services around 1998, and subsequently Philips were acquired by Sims in 2000. John has seen 3 managers and numerous employees in the 45 years he has worked in Plymouth. John says, “When I started, all the work was done by hand, the loading and unloading of suppliers vehicles, there was no material scrap handlers or forklift trucks, and health and safety was nonexistent. What were hard hats, boots and hi-visibility jackets?? “A lot of scrap in those days was brought in by the “Rag and Bone man” on the back of a horse and cart, which we manually handled off the back! “The job in the old days was hard, dirty work - but enjoyable. “Today you have a lot of mechanical machinery to carry out these tasks - but it is still enjoyable!” 67 APPENDIX V Robert “Barrie” Godfrey Production Operator – Aston, UK Barrie was first based in the PW Wards head office in October 1962 at the Albion Works in Sheffield, working in “off site” areas. The yard used to run from the Tinsely yard, five in a gang, to other yards in Doncaster and Wath-on-Dearne, knocking down pit wagons and lifting rail. “’owt to do with scrap!” says Barrie. Barrie then moved to the Tinsely Depot, and worked at a few yards doing a few things since then, before settling at the Aston yard. One familiar memory Barrie has is of five people in an old Minx car with five sets of burning tackle in boot, and the car scrapping close to the ground!!! 68 69 APPENDIX VI THE FOLLOWING PEOPLE ARE THE “LONG SERVERS” - THEY HAVE BEEN WITH SIMS FOR 30 YEARS AND OVER 30-39 years Abelino Farias, Alan Dyke, Alan White, Alfonso Trujillo, Alfredo Munoz, Andrew Vaughan, Anthony Whenan, Armando Salgado, Batin Muhammad, Bill Daniel, Barry Hoar, Bartolo Avalos, Boutours Abouharb, Brian Brown, Brian Willicott, Carlo Centurino, Charlie Carlyon, Clarence Jakes, Colin McLeod, Colin Stirland, Colin Warner, Darryl Woodhouse, David Brown, David Holland, Dennis Haw, Dogan Mustafa, Emigdio Hurtado, Enrique Delgado, Eric Crampton, Filomeno Maldonado, Francisco Dominguez, Francisco Gutierrez, Francisco Lara, Francisco Tinajero, Frank Van-Es, Gary Armstrong, Gerald Lester, Graham Earley, Greg Hewlett, Gregory Dipuccio, Guadalupe Castaneda, Gualberto Gomez, Hector Lopez, Henry Robinson, Humberto Gonzales, Jacinto Romero, James Milward, Janet Freeman, Javier Hurtado, Jeffrey Evans, Jesse Garcia, Jesus Ponce, John Bettencourt, John Binkowski, John Davidge, John Droogsma, John Heatley, John Kirakava, John Pisano, John Steadman, John Vick, Jose Chavarria, Jose Chavez, Jose Yanez, Joseph Cody, Joseph Farrugia, Joseph Schiavone, Joseph Taylor, Julian Barajas, Julio Terriquez, Lawrence Picking, Leonard Fieldhouse, Leslie James, Marie Handscomb, Martin Smith, Michael Cookson, Mitchell Salamoni, Nigel Drury, Norman Jackson, Osvaldo Carrera, Patricia Lancaster, Paul Blackmore, Pesa Tinilau, Peter Eady, Peter Millar, Peter Taylor, Raul Corpus, Ray Cremona, Ricardo Campos, Richard Catalan, Richard Shaw, Richard Martin, Robert Fletcher, Robert Laughton, Rodrigo Garcia, Ronald Icke, Ronald Te-Whare, Rory Burke, Rudolph Gomez, Russell Harris, Sheila Walker, Sotero Hurtado, Stephen Gear, Steven Carter, Terrance Manga, Terry Palmer, Victor Bonett, Warwick Minnett, William Harris, William Nicholls, William Tague, Yvonne Hughes. 70 APPENDIX VI 71 APPENDIX VII EMPLOYEES WHO HAVE COMPLETED 20-29 YEARS SERVICE 20-29 years Adolf Hintz, Alan Allsopp, Alan Brodsky, Alan Golburn, Alexander Bourne, Alexander McKerlie, Allan Carswell, Andrew Ford, Andrew Kelly, Angela Guerrero, Angus Barrett, Anita Bloom, Anthony Williams, Anthony Catafi, Anthony Carrillo, Antonio Cuevas, Barrie St John, Barry Jones, Blagoja Stojanovski, Blas Amezcua, Brendan O’Connor, Brian Gale, Bruce Barker, Bryan Roginson, Carlos Vazquez, Charlie Agius, Christopher Webb, Clayton Goodson, Clayton Thompson, Clifford Cranham, Colin Darby, Colin Fry, Craig Kaetler, Darron McGree, David Coble, David Dring, David Goldie, David Norman, David Rogers, Deborah Gillam, Desiderio Pena, Dmitar Kesic, Donald Marquette, Doug McLean, Eduard Ortega, Edward Crawley, Eric Tarau, Faimanifo Sakaio, Felix Arnaz, Francisco Martinez, Francisco Rojas, Fred Bega, Frederick Beck, Gabriel Ruiz, Gary Barker, Gary Moore, Gary Vernon, Gayle Haghverdian, Geoffrey Flight, George Borg, George Formosa, Gerardo Guerrero, Gerome Lewis, Gina Flowers, Glen McIllhatton, Glyn Gossan, Goce Jankulovski, Graeme Crompton, Graeme McGovern, Graeme Wallace, Graham Patch, Harry Reeves, Helen Nalder, Horace Edwards, Ian Chadwick, Ian Dangerfield, Ignacio Maldonado, Istvan Spitzmuller, Jack Brown, James Behrendorff, James Bugge, James Finn, James Lawrence, James McKendry, Jeremy Sutcliffe, Jerrold Hatchett, Jerry James, Jimmie Buckland, John Densham, John Gainard, John Glyde, John Martinez, John Rumpf, John Steer, John Williamson, Jorge Montano, Joseph Gibson, Joseph Larvin, Juan Navarro, Juana Ferro, Judith Sossich, Kea Van, Keith Egerton, Ken Katoa, Kenneth Manktelow, Kerry Johansen, Kevin Fitzpatrick, Kevin Ho, Kevin Truscott, Ky Thien Mao, Lachman Khalsa, Lak Sak Ou, Lance Townsend, Larry Zertuche, Laurence Hilton, Lawrence Lee, Les Sitkei, Linda Mermet, Malcolm Billington, Malcolm Richards, Manuel Nichols, Marco Gutierrez, Margarette Hopper, Maria Sardella, Marian Skowronski, Mark Hambly, Mark Sgroi, Mato Kvesic, Mehmet Uyrun, Michael Murray, Miguel Ayala, Milenko Matic, Neil Gillespie, Norman Yates, Olivia Jelfs, Osman Isgit, Patrick Keke, Paul Lambert, Paul Pezzali, Paul Wilson Jr, Paul Wright, Peter Gates, Phal Nhom, Phil Mumby, Philip Fellows, Quinton Pope, Rafael Montano, Rafael Rocha, Raymond Weston, Richard Shute, Rima Te-Waiti, Robert Clevenger, Robert Drewett, Robert O’Brien, Robert Jackson, Rodney Tei, Roger Bennett, Roland Haywood, Ross Stuart, Royce Mashburn, Ruben Yanez, Sally Clarke, Sean Kelly, Sergio Gutierrez, Servando Ponce, Silvestre Quiroz, Siua Elone, Son Nguyen, Sothy Nov, Stephen Carter, Stephen Cotton, Stuart Cohn, Stuart Cottam, Stuart Oliver, Sukhdey Gill, Surat Thind, Takivaha Tupou, Tang Thien Tram, Terry Adams, Thanh Truong, Thanh-Tung Bui, Thol Phon, Tim Webber, Toby Bishop, Tony Singh, Tracy Wyard, Tran Sung, Trevor Martin, Victor Rodriquez, Victoria Telly, Vincente Bravo, Walter Dietrich, Wayne Ellis, Wayne Jones, Wilfredo Vady, William Logan. 72 APPENDIX VII 73 APPENDIX VII 74 APPENDIX VIII TRIVIA AND TITBITS • • • • • • • • • • • • • • • • • • • • • • • • • Moved HO from 1 Wilford St, Newtown to Mort Street Balmain in late Jan/early Feb 1960 Moved HO from Mort Street Balmain to 8-12 Bridge St City in September/October 1965 Moved HO from 8-12 Bridge St City to St Leonards in July/ August 1974. Property known as 621 Pacific Highway was actually purchased in 1967 for a depot for $15,700, later Simsmetal House was specifically built for HO – 6 levels – building still there Simsmetal House at Artarmon sold for $5,425,000 in March 1982. Staff moved to Peko Wallsend premises situated at Unilever House, 1 Macquarie Street, Sydney in August 1982 Moved HO from 1 Macquarie Street to 10 Loftus Place Sydney in 1984 Moved HO from 10 Loftus Street Sydney to 41 McLaren Street North Sydney in 1990 Paul Keith Mazoudier appointed Secretary in October 1974 Artarmon land (approx ¾ acre) purchased in May 1970 for $200,000 (site of Simsmetal House St Leonards) Newtown office was sold in March 1962 for £13,750 First Accountants conference held in Sydney on 22nd and 23rd February 1963 First branch managers conference held in Sydney on 20th and 21st March 1964 Perth branch closed and assets sold in 1963 The Portsea house owned by Kevin McGuiness was refurnished by the company and used by executives and nominated employees in November 1964 and subsequently sold around 1989 First travel insurance documented in 1964 First motor vehicle policy in 1965 1964 – Federal Government places a ban on the export of copper, letter written to Rt Hon J J McEwen MP by Chairman, then another dated 25th February 1966, response received 26 April 1966. Ban eventually lifted in 1990. Turnings/treatment building etc at Mascot cost £41,094 in 1963 1963 – Board discussed changing name from A G Sims Ltd to Simsmetal Ltd, however, said name change did not occur until November 1968 Alcoa Agreement signed in 1970 Morts Dock purchased in 1960 April 1965 – Morts Dock sold for £52,000 per acre (8 acres in total) First bonuses paid to executives in 1959, first bonus to all staff (with over 12 months service) in 1970 PRE 1958, branches existed in Auburn, Newtown, Mascot, Artarmon, Melbourne, Hobart, Adelaide, Brisbane, Newcastle, Perth, London, 4 Ricketty Street Mascot purchased May 1959 Canal Street, Mascot purchased in July 1971 for $51,000 per acre • • • • • • • • • • • • • • Alf Willings appointed Shipping Manager 26th July 1966 W R (Bill) Hamilton appointed Personal Assistant to Kevin McGuiness 1st September 1966 First valuation of land and buildings in 1966 was $2,414,149 Subsequent valuation conducted in 1970 was $3,398,832 Subsequent valuation conducted in 1976 was $5,963,000 Subsequent valuation conducted in 1981 was $21,295,122 Subsequent valuation conducted in 1986 was $22,416,417 Valuation of land and buildings for NSW, VIC, TAS, SA and HO in 1967 was $905,729 First forward selling (hedging) of US Dollars completed January 1968 to the amount of $4,431,000 MV “Simsmetal” chartered from Chandris Line in 1968 and named by Chairman’s wife, Mrs Gilder – first of 3 vessels Simsmetal (WA) Pty Ltd formed in 1969 Contract signed in March 1969 between Marubeni-Iida, The Japan Steel Works Ltd and Simsmetal to ship scrap iron from Australia to Japan First computerised system was Remington Alpha Data System at HO, purchased in January 1970 for a total of $19,553 Subsequent “miniaturised” Rank Basic 4 computer installed in HO in 1977 • • • • • Sims Superannuation Trustee Board formed in 1971, directors at that time were: J H Broinowski Sir Reginald Reed J P Darling S L Edwards J Diamond K P McGuiness B E Grellman I E Figtree The Sims Consolidated Group Superannuation Fund was also established Scrap yard at Kooragang Island commenced in 1974 John Crabb appointed acting General Manager NSW in 1974 1978 – Sims Demolition wins the contract to demolish the White Bay Power Station Name change from Simsmetal Pty Ltd to Simsmetal Ltd Sheila Walker operating the Rank Basic 4 computer in 1977 75 APPENDIX VIII THE NUMBERS Year 1948 1949 1950 1951 1952 1953 1954 1955 1956 1957 1958 1959 1960 1961 1962 1963 1964 1965 1966 1967 1968 1969 1970 1971 1972 1973 1974 1975 1976 1977 1978 1979 * Demolition of the white bay power station - 1978 76 Profits and Losses Dividend £10,895 £10,295 £12,432 8% £39,633 10% £72,477 10% £58,670 10% £49,403 10% £95,933 10% £122,166 10% £182,122 10% £136,131 10% £156,818 10% £193,720 10% £190,983 6 2/3 % (£292,697) (£155,119) 6 2/3% £301,463 £565,417 8 1/3 % £1,314,798 12.5% £1,379,087 12.5% £1,504,321 15% £1,269,354 15% * $8,301,849 8.13¢ $3,097,000 7.5¢ $2,013,000 5.0¢ $3,285,000 5.5¢ $7,379,000 10¢ $10,768,000 10¢ $9,414,000 7.0¢ $6,584,000 2.5¢ ($1,138,000) 2.5¢ trading suspended due to Peko Wallsend takeover extra dividend of 3 cents per share APPENDIX IX ACQUISITIONS/JOINT VENTURES Pre 1957: No information 1974: Formfit of Australia Limited Compunet Limited H&D Metals Pty Ltd Maingage Pty Ltd (renamed Sims Land Development Pty Ltd) Clive Hall Pty Ltd Hong Kong & Eastern (Japan) Ltd 1957: Moreland Metal Company 1959: Hang Fung Shipping & Trading Company Limited D J Bigham & Son 1960: L M Edwards Pty Limited 1975: Woolcott Pty Limited (integrated into Sims Grasslands) 1961: Agreement in principle for a JV with BHAS Hang Fung (Australia) Pty Limited 1976: Napier Bros Ltd (renamed Napier Grasslands) J R Manton & Co Pty Ltd Sold-A-Bar Products Ltd (New Zealand Metal Products – name changed to Simsmetal Industries Limited) Rhodes Constructions Pty Ltd 1962: 1963: 1964: name change from Electro Chemical Metal Refining Co Pty Ltd, which Sims established during the War for de-tinning, to Tin Refiners Pty Limited. Donson Products Ltd Abrahams & Williams Pty Limited Tin Refiners Pty Limited Refined Irons Pty Limited 12 month Iron Ore Lease at Nimingarra signed J & C Johnson Bros Pty Limited 1966: JV of Anglo-Eastern Shipping Co. Limited M P Metals Pty Limited (transport division) 1968: Angelo and Bin Heart Metal Company Pty Ltd M P Metals Pty Limited (full takeover) 1970: 1971: 1972: 1973: Mortdale Scrap Metal Company Pty Limited Arscott Metal Company JV of M&T Chemicals (Australia) Pty Ltd JV between Universal Charterers and Coal & Allied (Sales) Pty Ltd Bluff Collieries Pty Ltd Consolidated Metal Products (including the major scrap company in SA – W Brown & Sons Pty Limited) Bell Bay Metal Co Pty Ltd Pacmet Singapore Pte Ltd (renamed Simsmetal Singapore Pte Ltd) Pacific Metals & Minerals Ltd (renamed Simsmetal (Hong Kong) Limited Malay States Shipping Company Sdn Bhd Layne & Bowler (Australasia) Pty Limited JV with Ngow Hock Co. Ltd in Thailand Bryant Brothers Limited, New Zealand J Krasnostein & Co Pty Ltd (operator of Sims Hardware stores) Hines Metals Pty Ltd Scott Metals JV with Maingage Pty Ltd (renamed Sims Ventures Pty Ltd) 1990: La Greca Waste Services Pty Ltd C&C Recyclers Inc (USA) 1992: Sims Pacific Metals Limited – JV between Simsmetal Industries Limited, Pacific Metal Industries Limited, Simsmetal Limited, Steel Products Limited and Fletcher Challenge Limited. 1994: G F Denton & Sons Limited (renamed Sims Denton) Affinity Metals 1995: Sims Bird – JV of Birds Commercial Metals and Ward Ferrous Metals. Simsmetal owning 51% and the Bird Group owning 49%. From this endeavour, numerous other properties and companies were acquired: D G Corbin & Sons Lincoln Ferrous Metals Limited Lincoln Metal & Waste Limited Thos Ward Ltd Thos Hill & Co Ltd McIntyre Metals Ltd McIntyre Metals – a 100% acquisition by Sims Bird in the UK, expanding that division into the industrial North and Midlands regions of England Inmetals Trading Ltd (New Zealand) 1977: Cheviot Industries Ltd Pacific Tractor & Implement Co (integrated into Napier Grasslands) 1978: JV – Schroder Darling & Co (renamed Bellshill Pty Ltd) 1979: Judson Steel Co (US) 1980: Newcastle Scrap Metal Co 1984: Australian Refined Alloys (ARA) – JV between Peko Wallsend Operations Ltd, Simsmetal Ltd, Sims Consolidated Ltd, Sims Products Holdings Pty Ltd, Kinchella Pty Limited, The Broken Hill Associated Smelters Proprietary Limited and Australian Refined Alloys Pty Ltd 1996: All States Waste Pty Ltd Plant Nominees Pty Ltd Waste Management Services Pty Ltd Richmond Steel Recycling (RSR) – JV of 50% share purchase agreement from Birmingham Steel Corporation. JV between Garry Rush and Sims – Sims Rush Pty Limited 1997: Non Ferrous Granulators Pty Ltd McMahon Waste Levin Metals Corporation (LMC) – USA Peck Recycling in Richmond, Virginia Pick’n Payless Auto Parts Self Service PNG Recycling 1998: Frankel Iron & Metal and Ferromet Inc, both based in California. Completion of Simsmetal UK by the acquisition of 31% holding by the Bird Group PNG Recycling 2000: Landfill Management Services Philip Services (UK) 2004: Mirec (Netherlands) Tyrecycle and Encore Rubber (renamed Sims Tyrecycle) 2005: Merger with Hugo Neu 2006: Metall + Recycling GmbH (Germany) 2007: E-Recycling assets of Noranda Recycling Inc Sale of Hugo Neu share and merger with Mitsui 1986: 1969: Scrap Resources A/Asia Pty Ltd Sarlon Industries (plastics division) 1987: 1988: Sarlon Scrap Resources Group 1989: Consolidated Extrusions Joint Venture – JV between Austral Bronze Crane Copper Limited, Consolidated Extrusions Pty Limited, Consolidated Extrusions Management Limited, Sims Products Ltd, Kinchella Pty Ltd and Elders Resources NZFP Limited Simon Metal Products (30%) – JV between Sims Metal Products Forgings Limited and Simsmetal Industries Limited Wanless Scrap Metal Pty Ltd Ivan Steer Metals (NZ) I&T Waste All Clean Sullage Pty Ltd C&C Metals (USA) 77 APPENDIX X DIRECTORS (OVER A 10 YEAR PERIOD) 78 1948 – 1958 1959 – 1968 1969 – 1978 1979 - 1988 1989 to date C M Harvey A G Sims P E Low L Williams B G Firkin A G Sims P E Low E L Girofi L Williams J E Thomson K P McGuiness W J Morgan D N Clugston J P Diamond S L Edwards G S Gilder W J Morgan R C Reed G S Gilder K P McGuiness S L Edwards R C Reed J P Diamond W J Morgan D N Clugston J H Broinowski J Darling B E Grellman W R Hamilton L C Smith R J Ross L A Lyons G W Simpson J H Broinowski G W Simpson J G Broinowski P K Mazoudier J Crabb V M Johnson L C Smith J N Goodwin D Boughton L E Walsh R K Gulliver J Rockley A D Ratner A C Copeman P A Robinson R B Cunningham M W Broomhead D W Chambers J Darling R C Reed B E Grellman J P Diamond P K Mazoudier G B Lean D S Stewart W H Rutherford I E Figtree D J Barnett G J Reaney A R Edwards R K Moore G W Forster Dr E Miller D J Salier J Crabb Dr E Miller G W Forster W H Rutherford D J Salier R B Cunningham G F Lord P A Rayner J W Cornelius P K Mazoudier J M Feeney A C Copeman K J Kirby G N Brunsdon J Sutcliffe Dr R Every P Varello J Neu M Iwanaga C Renwick SIMS SHARE PRICE 1992 -2007 APPENDIX XI PHOTO GALLERY 79 APPENDIX XI 80 APPENDIX XI 81 APPENDIX XI 82 APPENDIX XI 83 APPENDIX XI 84 APPENDIX XI 85 Newport, UK This publication is printed on paper stock manufactured from 55% recycled material and no bleach is used in its manufacture. 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