CERVUS EqUIPMENT CORPORATION www.cervuscorp.com

Cervus Equipment
Corporation
www.cervuscorp.com
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EQUIPMENT • Cervus Equipment Corporation
MAY 2010 • The Canadian Business Journal
Awardwinner seizes
opportunities
Cervus Equipment Corporation
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VUS EQUIPMENT CORPORATION
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EQUIPMENT • Cervus Equipment Corporation
When the founder and CEO of Cervus
Equipment Corporation first started out in
the business, he was a 25-year-old junior
dealer. The year was 1982 when Peter
Lacey and his brother-in-law began to buy
dealerships in Red Deer, Alberta. What
started off as a humble beginning, however,
quickly turned into opportunities everywhere
they looked, or at least it seemed that way.
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With the increasing value of dealerships, potential
investors were finding it challenging to buy-in, and
that’s where Cervus Equipment Corporation (then
known as Cervus Equipment) spotted a window of
opportunity. And they haven’t looked back since.
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2009 ANNUAL REPORT
RVUS EQUIPMENT CORPORATION
MAY 2010 • The Canadian Business Journal
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OUR SKILLED &
DEDICATED TEAM
ENABLES CERVUS TO
CONSISTENTLY DELIVER
SUPERIOR FINANCIAL
& OPERATIONAL RESULTS
WE HAVE A UNIQUE
Cervus has built a reputation for working collaboratively as a
CUSTOME
CENTRIC
APPROAC
trusted business partner for our customers. This reputation
is the result of our people, who ensure we lead our sectors
by consistently delivering excellence with every sales and
service encounter.
We invest in our employees by empowering them at the local
level, by providing training and professional development
opportunities, by sharing frequent feedback and by rewarding
performance.
In addition, our strong commitment to employee ownership
ensures our people have a vested interest in the Company’s
performance and enjoy the fruits of their labour. Our team shares
in the success of the organization and together creates value for
KEY STRENGTHS
the company, for customers, and for their fellow shareholders.
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True success grows at the
local level, where the loyal
relationships our people
create with customers
translate directly into
shareholder return.
Business-to-busines
heart of our busin
customers’ needs. W
requests with the o
satisfaction is a key
dealership performa
and informally and
improve customer s
Our service ethic,
and access to supp
and again to meet
With access to a d
and skilled personn
possible value in the
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EQUIPMENT • Cervus Equipment Corporation
Since 2000, the equipment company made it
To date, Cervus Equipment Corporation
their business to acquire and operate authorized
operates 22 dealer stores in 19 locations across
agricultural, commercial and industrial equipment
Alberta, Saskatchewan and Manitoba. With a
dealerships. Over the years, more and more deal-
total of 30 dealership locations in western Can-
erships were bought up under their corporate um-
ada, Cervus carries a broad range of equipment
brella. “I approached John Deere with the concept
brands—most of which fall under two of its divi-
of being a public company and being able to source
sions, namely agricultural farming and construc-
out that capital,” Lacey says, as he explains how the
tion or industrial. Those brands include: John
business model grew. On October 22, 2009, Cervus
Deere agricultural equipment, Bobcat, JCB con-
LP was restructured and converted into a high-yield,
struction equipment, Clark, Sellick and Nissan,
dividend-paying corporation, which was re-named
as well as Doosan material handling equipment.
to Cervus Equipment Corporation. The common
shares of Cervus are listed on the TSX Venture Ex-
Budding opportunities everywhere
change and trade under the symbol “CVL.”
Cervus has carved out a place in a niche market
MAY 2010 • The Canadian Business Journal
with its high-quality, specialized product line that
is fully-endorsed by the manufacturers. “Many
farms today are consolidating and demanding
advanced technology, such as GPS in equipment
for precision farming. The equipment we provide
is becoming a lot more specialized now,” explains
Lacey. The company’s very own specialty lies in
serving their customers in both agricultural and
construction industry, with unmatchable service
and business opportunities.
By providing capital, resources, training and
business opportunities at each location, the
equipment dealership company maintains a
competitive advantage in the specialized market,
meanwhile effectively positioning the next generation of equipment dealers for profitability and
growth. “The company is projecting a growth rate
of about 15 per cent per year, mostly through acquisitions and some organic growth,” Lacey says
of its growth plan.
Their many leaps of success, however, did
not go unmatched without some bouts of challenges along the way. ”As the economy is improves—which it is—sales last year did drop quite
a bit for us, as it did for many others in the industry,” Lacey admits. Despite weathering the cloudy
economic climate, Cervus has also managed to
rise to the top of its game by looking within to
develop the company’s future leaders.
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EQUIPMENT • Cervus Equipment Corporation
MAY 2010 • The Canadian Business Journal
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Recognized for excellence
honours in the ‘Best Investor Relations by a TSX
Diversified and positioned for continued suc-
Venture Exchange Company’ category.
cess, this equipment company demonstrates its
commitment to excellent customer service every
Raising the bar
day. This past February, in fact, Cervus Corp.
While the company felt very fortunate to win that
was recognized for its outstanding investor rela-
award this year, they are looking to graduate to
tions at the IR Magazine Awards. IR magazine is
the Toronto Stock Exchange, which they antici-
published by Cross Border Ltd. and is the only
pate reaching in the near future. “I think it makes
global publication focused on the communica-
it easier for U.S. investors to seek us out if we’re
tion between companies and their investors.
listed on the TSX,” he explains. With such a diver-
Each year, they conduct a series of international
sified and great position in the market, Cervus
surveys that are used to identify award-winning
will continue to make more acquisitions, integrate
companies around the world. At this year’s gala
those new dealerships and always be on the look-
event held in Toronto, Cervus Corp. received top
out for new opportunities on the horizon. CB
AS SEEN IN THE MAY 2010 ISSUE
OF THE CANADIAN BUSINESS JOURNAL