General Manager’s AGM Speech

2008 Canadian National Exhibition Association
Annual General Meeting

Fountain Dining Room, Queen Elizabeth Building,
Exhibition Place

Thursday, October 16, 2008; 10:30 a.m.

David Bednar, CNE General Manager, to Members, Directors and Guests

Members and Directors, staff and guests, thank you for taking the time to attend this morning.  It is great to see familiar faces and exciting to see some new ones.  This looks to me to be one of the best attended AGMs in recent memory, another positive sign of the good status of the CNE.  I am pleased to bring you my report to this meeting.

The Canadian National Exhibition had another successful year in 2008.  At this meeting last year, I called the 2007 CNE a “knockout, out-of-the-park home run”.  Well, if any of you thought we could do better — as it turns out, you were right.  All the improvements we made to our programming, marketing, and operations brought the fair to a new level this year.

After weeks of rain, the weather gods smiled on us and blessed the 130th Canadian National Exhibition with near perfect weather… once we got through Opening Day that is!  As you may recall, that Friday started out as a lovely sunny day for our Opening Ceremonies.  In the afternoon, however, an angry looking funnel cloud rode into town, and brought two friends: hail storm and pouring rain.  By end of day, it was proven that every cloud does have silver lining; eventually the bad weather departed and left behind a beautiful double rainbow that evening!

Overall, people came in droves throughout the 18 days!  Did gas prices keep more people in town?  Did the additional money invested in marketing this year reach more people?  Did folks just want to get out of the house after a long and soggy summer?  Hard to know for sure.  What we do know, is that 1.31 million people attended the fair this year.

The financial accounts are not final yet, and won’t be for some time, but our financial position looks promising at this time.  Overall, our revenues have exceeded budget, but I caution that there may well be some areas of expenses over budget.  The net position at the end of the year should exceed budget, but we won’t know until later.  Not only did we have a successful Ex, but many of our partners had their expectations exceeded.  Sponsors were happy — from Coke to Garnier to GM to Rogers, to name but a few, they all had a fantastic time.  We also had favourable reports from North American Midway Entertainment (NAME) as well as some exhibitors and concessionaires.

It was gratifying to see visitors of all ages from every cultural background enjoying a day at the fair.  Preliminary data from our research firm, suggests that 25% of visitors polled were extremely satisfied with their CNE visit; 60% were very satisfied, with 14% somewhat satisfied and a mere 1% not very satisfied.

Again this year, there were a few significant changes made to the layout of the fair.  What did you, Members of the Association, notice that was different?:

The Farm:

Yes, The Farm moved for starters.  As you may recall, the Automotive Building was under construction this summer as it is being transformed into the state-of-the-art Allstream Conference & Convention Centre.  The Farm, which has lived there for many years, was moved into the Better Living Centre.  We received many compliments on its new home.  Being so close to Kids’ World made it much easier for our guests with small children to get to The Farm.  Furthermore, the increase in natural light made it a more pleasant experience for both visitors and exhibitors not to mention the cows, pigs, goats and chickens who really liked their new “digs”.  Despite its proximity to the Casino, there were fewer problems with the new location than expected, and in general we think it was a good move.

Sports:

That said, when The Farm moved into the Better Living Centre, SportZone obviously had to move out.  Being the Olympic Year for Summer Games, we moved our sports activities outside just west of the Food Building presenting a very popular interactive sports program entitled Celebrate the Olympic Spirit.  However, the shopping that had traditionally resided in SportZone was still left without a home — which led, in part, to our next success story:

The Warehouse Extension in Hall G of the Direct Energy Centre:

I especially want to draw your attention to this area because you may not like what I have to say about it.  It was, without a doubt, one of the most popular successes of the 2008 CNE.  Stitches alone, the “anchor” vendor at the far north end of the area, experienced sales beyond all expectations.

One of the longstanding major criticisms of the CNE is that it is “nothing more than a flea market”.  I have heard this comment from the public, the media, and also from some of you, the Members and Directors.

As General Manager, here is my problem: on the one hand, I hear all this criticism; on the other, I see the obvious success of this new area.  Like it or not, fairs mirror their communities, and Toronto is obviously a shopping community.

The Rentals staff work diligently on the presentation, believe me, from every angle, from product mix to carpet to signage, and worry a lot about our image.  There are those who may not like the idea, but our audience clearly has a strong appetite for a bargain.

Midway:

A couple of things must be said about the midway.  Not only did we sign a new contract with North American Midway Entertainment and shift the north-south game line further west, we also made the first of a number of changes on the independent lines, changes I think must be made towards improving our customer’s experience.  Because they involve “moving”, or in some cases, “losing” locations, these changes have been difficult for some of our concessionaires to accept.

However, we will continue to move toward a more permanent midway layout, add new concessionaires, and change or reduce others.  Secondly, the NAME presentation was outstanding this year.  TSSA [Technical Standards and Safety Authority] officials said the rides were in the best shape they have ever seen.

Programming Highlights:

Highlights of the 2008 CNE?  Well, they vary… depending on whom you talk to.

Many of us will never be able to look at a “tennis ball” the same way again after ventriloquist Michael Harrison’s hilarious show.  The Canadian Forces Musical Salute was spectacular in BMO Field, a magical evening as the sun set to the strains of the 1812 Overture — although Rod Stewart, who was performing across the street, thought someone was trying to shoot at him when the cannons fired.

The Bandshell lineup was sensational and proved that people will come to the CNE to see concerts at the Bandshell.

We also know anectodally that people came from “near and far” to see the magnificent Quilt of Belonging in Heritage Court.  I don’t know how many of you were able to see it, but it was quite spectacular and featured 263 squares representing 71 aboriginal groups and 192 immigrant nationalities found in Canada.

Equestrian groupies took the reins with the three shows in Ricoh Coliseum: Hippike: A Gypsy Legend; The Rodeo and the RCMP Musical Ride.

We had two very popular attractions on Princes’ Boulevard including our Grand Illusion and Escape Artist Show and our evening show: Jump Jet featuring Ontario’s own Circus Orange and here’s a little trivia for you: 353 pyrotechnical effects at each performance every night of the fair.

Did anyone else notice how quiet the Air Show was this year?  The show ran to just under three hours and was spectacular with fewer noise complaints than we received last year.  As we all know, it is the final highlight of the CNE.

I would like to take this opportunity to give some thanks.  As Jim said, we benefit enormously from the excellent support of both the Board of Governors of Exhibition Place and the City of Toronto.  I also appreciate the support of the Executive and the Board of Directors.

You can always tell the staff at these meetings: they are the ones seated at the back.  I also must thank staff of Exhibition Place and MLSE [Maple Leaf Sports and Entertainment].  I would ask our hardworking staff to stand and be recognized for putting on a terrific fair.  There will be some time to socialize after this meeting and I encourage you to get to know some of these individuals.  They are a great bunch of people to work with.  And finally thanks to you — the Members.

As members of our Youth Committee will tell you, the new ride the Mega Drop was a big hit in 2008!  It took 52 seconds to go up in this ride and 3 seconds to come down.  Rather like the stock market over the past couple of weeks!  Which leads me to talk about next year.

Unfortunately, despite the number of psychics exhibiting at the CNE, no one left behind their crystal ball.  We do not know what the economic landscape will look like next August.

Therefore, we are planning for next year’s fair carefully and prudently.  We are keeping a close eye on both pricing and expenses, as we work to service the best interests of the CNEA, our partners, and our customers.  As a result, this may mean a change in some of the previous recommendations staff had made for the 2009 fiscal year.

As we look to the future, I continue to rely on and value the great support of the Board and this Association, and invite you all to join us next summer from August 21st to September 7th for the 131st Canadian National Exhibition.  As you can tell, the fair is late next year.  In fact as late as the calendar allows.  But rest assured, our Horse Show and Casino will open early on August 4th.

We look forward to seeing you then!  “Let’s Go to the EX!”

Thank you

One Response to “General Manager’s AGM Speech”

  1. Danny Heap says:

    The noise from the air show is outrageous. Get this thing out of Toronto! It drives my next door neighbours out of town every year at this time, and there are many events that attract more people (Carribana, for example) without anywhere near the attack on our ears and nerves.

    I want to be informed of when the air applies for permits for this annual assault, so that I can oppose it. This has never been democratically discussed with the residents of this neighbourhood.

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