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Issue 11 - Upstream's Upswing - Lockwood International

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www.lockwoodint.com 20<strong>11</strong> Summer Edition<br />

Upstream’s <strong>Upswing</strong><br />

Can Supply Keep Up With Demand?<br />

Unprecedented capital expenditure budgets for 20<strong>11</strong> are being<br />

planned by major and non-major oil companies in Upstream E&P<br />

(Exploration and Production) across the globe. A particularly active<br />

area is Brazil, with the potential to become one of the top five<br />

major oil producers and exporters in the world if the pre-salt potential<br />

reserves of Tupi Basin (formerly known as Lula Field) produce as<br />

expected.<br />

With that, <strong>Lockwood</strong> Upstream Division has experienced more<br />

growth and change over the past 18 months than any other segment<br />

of our business. We have primarily been a Downstream company<br />

historically but as massive projects like Marathon’s Garyville Major<br />

Expansion and Shell’s Motiva wind down from very successful runs,<br />

equally massive Upstream projects like Chevron’s Gorgon take their<br />

place. (continued page 10)<br />

Hello, <strong>Lockwood</strong>! From apprehension to accomplishment -<br />

<strong>Lockwood</strong> has a lot to share with you. In this edition you’ll read<br />

about some major project awards, important company changes<br />

that have transpired, as well as our plans for continued growth.<br />

(“What recession?”) You’ll meet some new associates and learn<br />

about branch openings and continued expansion. <strong>Lockwood</strong>’s<br />

leaders and Executive Management Team share their thoughts,<br />

plus exciting news such as the relocation of <strong>Lockwood</strong> Upstream<br />

& Automation with its own North side Houston facility. <strong>Lockwood</strong><br />

Valves Canada earned the prestigious de Award of Excellence<br />

(way to go, LWVC!) And we have updates from all of our branches<br />

globally. We hope you enjoy this edition.<br />

CONNECTION 1


Table of<br />

Contents<br />

Words From<br />

Our Management<br />

Global Branches<br />

Excellence In<br />

Customer Service<br />

New Upstream Home<br />

Upstream Update<br />

U.S. Troop Donations<br />

Another Major<br />

Step For <strong>Lockwood</strong><br />

Frank <strong>Lockwood</strong><br />

Foundation<br />

Tenure / New Hires<br />

2<br />

6<br />

9<br />

10<br />

<strong>11</strong><br />

13<br />

15<br />

16<br />

18<br />

Mike <strong>Lockwood</strong><br />

C.E.O.<br />

“The quality of a person’s life is in direct proportion to their commitment to excellence, regardless of<br />

their chosen field of endeavor.” ~ Vince Lombardi ~<br />

“You have to perform at a consistently higher level than others. That’s the mark of a true professional.<br />

Professionalism has nothing to do with getting paid for your services.” ~ Joe Paterno ~<br />

“Good leaders must first become good servants.” ~ Robert Greenleaf ~<br />

“It is when we forget ourselves that we do things which will be remembered.” ~ Anonymous ~<br />

“Service” according to Webster’s Dictionary, is defined as “the occupation or function of serving,” or<br />

“work performed by one that serves.”<br />

With all respect...<br />

From my perspective, ultimately the quality and level of service is determined by the recipient, not<br />

the provider. Unfortunately, service is expected but not always clearly defined and this often leaves the<br />

provider to grade their own performance so it’s little wonder that clients are left disappointed but the<br />

provider feels really good about themselves. This disparity eventually causes the relationship to break down.<br />

Service is a selfless act. All of us need to slow down and listen more; speak less and take time for<br />

each other. If we are to truly understand our clients’ needs we must develop a relationship with them as<br />

individuals, built on mutuality, friendship, dedication, devotion and a clear sense of equality. This level of<br />

appreciation is founded on humility, honor and respect for ourselves and for each other.<br />

Putting others first is the single most important act of service. In our culture, where the idea of achievement<br />

is defined by ‘chronic busyness’ and inflated productivity levels, sacrifice for others gets lost<br />

somewhere between Mayberry and the museum. We must avoid the pressure of the status quo mind-set<br />

and hold ourselves to a higher standard, a standard based on:<br />

• Character before career<br />

• Maturity before mastery<br />

• ‘Being’ (for others) rather than ‘doing’<br />

In the end, service boils down to sincere care for one another and total trust in each other. Once we<br />

fully accept and acknowledge this in ourselves, our clients, our families and friends then we will fully<br />

understand the true definition of service.<br />

Sincerely,<br />

Mike <strong>Lockwood</strong>


June Yonkman<br />

President<br />

The definition of customer service has changed. In the old days, a customer was believed to<br />

only be those external to the company. However, we’ve come to recognize that customers are also<br />

internal and in this issue of our newsletter we are recognizing and congratulating both types. We<br />

have so many employees that are dedicated to customer service; it is what makes our company<br />

successful and everyone should be congratulated for a job well done.<br />

We are also expanding our company in areas that will add services to our customers. Our Technical<br />

Engineer, Terry Choi, has moved to Korea and opened up an engineering office in Seoul with a staff<br />

of mechanical engineers. The office will be responsible for identifying new sources of supply in<br />

Asia, developing new manufacturers, working on design enhancements, overseeing production<br />

and expediting. He is also involved in setting up our new facility in Batam, a “free trade zone” within<br />

Indonesia. From North America to South America and to Asia and to Europe, we are a global company<br />

with engineering and technical staff located around the world, all dedicated to providing the<br />

best customer service in our industry.<br />

If you feel that your customer service bar has been raised to its highest limits, just remember this<br />

little anecdote: Roger Staubach, the great Dallas Cowboys quarterback, passed for three touchdowns<br />

and ran for another in one game. Reporters gathered around and said, “This must be the<br />

greatest day of your life.” Staubach just looked at them and said, “Yes, so far.”<br />

Mark Lindsey<br />

C.F.O.<br />

I think we all agree that 2010 was a rough year, for our industry, our country and the world. This<br />

financial crisis has been like no other in history and has affected each of us. However, <strong>Lockwood</strong><br />

hasn’t been wringing our hands waiting for improvement - during this time we made acquisitions,<br />

opened branches, strategized and planned so that we are now in a very coveted position of growth.<br />

Of course, it will take years for our industry to fully recover but we march on, growing and learning<br />

new ways to improve. This must be a daily challenge to each of us. Best in Class should always be<br />

our goal; the only way to earn that degree of success is to continually improve, and that includes<br />

how we serve our customers. Let’s keep elevating our internal standards on customer service and<br />

continue to set higher and higher goals together. Vision, planning and team work must be equal<br />

work horses in order to earn that high level of success.<br />

Bobby Mauldin<br />

Sales Manager<br />

CUSTOMER SERVICE EVOLVES TO CLIENT RESOURCE<br />

End user operating units are under constant pressure from management to reduce costs, both<br />

for material and operating components. We are all familiar with the material portion of the cost<br />

reduction effort, and the operating expense side affects us all in other ways.<br />

As the first wave of “boomers” continues to retire they take with them the accumulated knowledge<br />

of 25-35 years of service. With cost considerations influencing personnel replacement, end<br />

users increasingly find themselves with third party contractor personnel filling roles previously<br />

occupied by trained and experienced company employees. As a result, the end user sometimes<br />

finds that the <strong>Lockwood</strong> representative servicing the account has more familiarity with the specifications<br />

and usual requirements than the person originating the requisition. Through that evolution<br />

we become an even more valuable resource to our customers by supplementing the knowledge<br />

void left by exiting employees.<br />

Our goal should be to become so knowledgeable of our customers’ needs and requirements and<br />

so service oriented that we become an invaluable component to their organization.<br />

CONNECTION<br />

3


Accounting by Betty Allen<br />

The Accounting Department has been busy this past year providing financial support for <strong>Lockwood</strong>’s many acquisitions,<br />

real estate ventures and business opportunities. Accounting is a service organization, providing services to<br />

<strong>Lockwood</strong>’s employees, customers, vendors, bankers, insurance providers and state and federal agencies. We are<br />

very happy to have the company in growth mode. <strong>Lockwood</strong> is a very dynamic corporation that is always providing opportunities<br />

for us to learn from and manage. It is exciting to expand with additional branches and new companies and<br />

while it is challenging to deal in new countries and with new cultures, it is also a very rewarding learning experience.<br />

If there is one thing we can count on here at <strong>Lockwood</strong> it is change; it is but one piece of the puzzle in our ongoing<br />

quest for continuous improvement.<br />

Production by Donna Wells<br />

Our annual team building exercise (inventory!) went well and thanks to everyone for your participation. Stage<br />

Confirmation, Value Added Services, and MetalTrace® are three significant improvements Production has been<br />

focused on recently. Stage Confirmation involves an additional step in our order entry process, however, it is an important<br />

step on our road to bar coding and cycle counting. Renee Roberts and I need to conduct additional exercises<br />

within the test environment and work with project coordinators in real time prior to roll out. The involvement of the<br />

coordinators early in the process will allow for more feedback, input and ideas, reducing challenges. Value Added<br />

Services will be a large implementation within our company but the benefits are significant; it will affect our entire work<br />

order system at its core and allow us to capture history, such as modifications, better and buy product more efficiently.<br />

Since this module will ultimately require us to re-learn how we process work orders, extreme caution must be taken<br />

in its implementation. And finally, MetalTrace® has been added to our service offerings for improved MTR retrieval.<br />

Sometimes change doesn’t come as quickly as we’d like but its better to delay implementation and work out issues –<br />

this helps to minimize down time and promotes a successful go-live. These changes and future plans for improvement<br />

move us toward our goal of Best in Class.<br />

MRO by Cindy Williams<br />

Articles discussing the economy and business styles consistently note that customer service has become more<br />

and more important in separating companies from one another. One of the attributes of <strong>Lockwood</strong> <strong>International</strong> that<br />

convinced me to accept a position here ten years ago is that commitment to customer service and integrity.<br />

Many end users have used the last year to refit and retool their facilities, resulting in an upswing in MRO activity;<br />

we have met that challenge and succeeded. Our Edmonton MRO team earned the Syncrude Award for Excellence<br />

and has consistently reached 100% on time with zero errors in servicing the Imperial Oil/Velocity contract. Being the<br />

MRO Manager, I am gratified to hear our customers all over the globe complimenting our professionalism and service,<br />

even to the point of being told that they wish their other vendors supported them in the same way. As 20<strong>11</strong> starts, soft<br />

costs such as 24/7/365 response time, logistics, technical support, order automation and consistency in pricing-just to<br />

name a few-will become more scrutinized through quantification. The services that the <strong>Lockwood</strong> MRO Team provides<br />

its customers will continue to allow us to stand out from the rest.<br />

Marketing by Laura Fitzgerald<br />

This edition of the newsletter makes me realize the incredible growth we’ve quietly experienced over the last year;<br />

as a result I find myself reaching out to more and more people to bring you news of our company. Maybe you’ve never<br />

really thought about how Team <strong>Lockwood</strong> comes together to make us ‘go’. A multitude of sometimes small but heroic<br />

efforts occur everyday around here. Perhaps this blip might broaden our perspective and appreciation as a company<br />

for all that we do, both for each other and with each other. Think about the opening of a branch and how it involves<br />

us all… The building – location, location, location. Financing must be arranged and contracts signed (Mark Lindsey<br />

and Betty Allen.) Next, it must be made move-in ready (Koleta Parsley, Non-inventory team.) Utilities, lines of credit<br />

and ability to receive funds and pay vendors - Betty Allen and her A/P group. Is communication necessary? Enter Tim<br />

Alexander and the I.T. crew. Need a staff? Karen de la Garza for hiring and Margaret Graff for payroll. Of course we<br />

want to sell product, so inventory is needed - enter Amanda Marksberry and the Purchasing team. Quotations, Salesmen<br />

and Coordinators are needed so you’ll need help from June Yonkman, Bobby Mauldin and Donna Wells. MRO?<br />

Certainly - Tim Yon and Cindy Williams and crew are on top of that. Do we worry about quality or safety? Very much<br />

so…Benny Howard and David Pickle and the QA / QC team. Product needs to be stored and shipped…Mike Owens<br />

and the Warehouse team, of course. There are a lot of documents that go out the door with our product so Documentation<br />

and MTRs will help there. Once we sell product, we need to get paid - Mikelyn Martin and the Collections<br />

crew make sure that happens. Do we need to replace sold inventory? Definitely, so Tim Yon and Renee Roberts from<br />

Material Management will keep us stocked. And how do we keep our name out there? Marketing, of course! From<br />

the moment an idea becomes a plan it takes all of us to make it ‘go.’ Way to ‘go,’ <strong>Lockwood</strong>!


Information Technology by Tim Alexander<br />

In addition to providing around-the-clock helpdesk support (in numerous time zones) for our locations around the<br />

globe, our Houston based I.T. team has been working to setup new company locations and the last few sites have<br />

entailed setting up entirely new branches. In the last year alone a total of six new locations have been opened, with<br />

three of those being international. Sheriff Kareem and Jose Garza have traveled on site to Italy, Indonesia, South<br />

Korea and Singapore. Maintenance visits included three Canadian offices – Edmonton, Calgary and Sarnia. Some<br />

of which have not been revisited since their initial startup. There are several current projects in the works that the I.T.<br />

team is working on to implement technologies that will help <strong>Lockwood</strong> work more efficiently, which will help us in our<br />

continued global growth plans. The MetalTrace® online MTR document management system installation was recently<br />

completed and is scheduled to be rolled out company wide within the next several months.<br />

On behalf of my team, thanks to those individuals who hosted them during their site visits. They very much enjoyed<br />

meeting their coworkers face-to-face. Technology helps drive our growing and successful company- but personal interaction<br />

builds a foundation of teamwork.<br />

Quality and Safety by Benny Howard and David Pickle<br />

In Houston many have asked about the construction taking place in the Quality building. For those of you who do<br />

not already know, we are adding a cleaning room to process valves that need special cleaning I.e. oxygen and chlorine.<br />

This is a very exciting time for us as we diversify and create new ways to service our customers in house while<br />

maintaining the <strong>Lockwood</strong> standard of excellence. In 2010 the <strong>Lockwood</strong> team sold over 400,000 valves with an error<br />

rate of less than .%0001. When procedures are followed and systems are in place <strong>Lockwood</strong> stands alone at the top<br />

of the food chain for customer satisfaction. At the end of the day customer service is not a department it is an attitude.<br />

We are all responsible for delivering customer service, before, during and after the purchase of our products. Thanks<br />

to all the warehouse project guys and the quality team for helping to reach this milestone. Keep up the great work,<br />

<strong>Lockwood</strong>!!!<br />

Human Resources by Karen De la Garza<br />

Left to Right: Kareem Bennett, Jason Terry, Tim Alexander, Jose Garza, Sheriff Kareem<br />

As an employee advocate, my role as the HR manager plays an integral role in organizational success via my<br />

knowledge about-and advocacy of-people. I look forward to working on creating a work environment in which people<br />

will choose to be motivated, contributing, and happy. One thing I have learned over the years in HR management is<br />

that we have to be able to see employees as who they are and not what we would like them to be. Everyone has a<br />

special “something” about them…. My ultimate goal is to contribute to the development of and the accomplishment of<br />

the organization-wide business plan and objectives.<br />

If you know any crackerjacks that would enhance our team, please let me know. We have global opportunities!<br />

CONNECTION<br />

5


Georgia by Rick Mousa<br />

Hello, <strong>Lockwood</strong>! I am Rick Mousa and I joined the <strong>Lockwood</strong><br />

Team in February of this year as Regional Manager Southeast.<br />

I have been married for 31 years and have a son 25 years old and<br />

a daughter 16 years old. I bring 37 years of PVF experience and<br />

look forwarding to growing our relationships in the Southeast U.S.<br />

I was past President of the Piping and Equipment Company based<br />

in Georgia. P&E was sold to an equity investment company and<br />

joined together with two other PVF companies to create USFlow.<br />

USFlow ceased to exist in 2003 and a group of USFlow associates<br />

and I joined HD Supply Plumbing/HVAC where I led the Industrial<br />

PVF business before joining LWI.<br />

The team I am putting into place will be responsible for introducing<br />

LWI to customers in the Southeast. This team will also be expanding<br />

into pipe, fittings, flanges, etc. to provide full service capabilities<br />

to MRO and Process Contractors in the Southeast. This team will<br />

expand LWI’s offerings into the Pulp and Paper, Power and other<br />

industries in the Southeast. My first hire for this team was Jim Garrison,<br />

a 30 year industry veteran, who also was part of the P&E and<br />

HDS team. Jim and I have been very appreciative of the support we<br />

have received from many members of the Houston LWI team.<br />

<strong>Lockwood</strong> Northeast by Ed Maier<br />

The <strong>Lockwood</strong> customer base in the Northeast consists primarily<br />

of Engineers & Constructors (E&C) and Original Equipment Manufacturers<br />

(OEMs). During the past two years’ capital spending cuts,<br />

many of our customers in the Power and Downstream Hydrocarbon<br />

markets, two of <strong>Lockwood</strong>’s core business interests, were negatively<br />

impacted.<br />

While we worked hard to strengthen existing relationships with<br />

these traditional customers, we are also promoting <strong>Lockwood</strong>’s<br />

capabilities to other markets and industries. Of special interest<br />

is the Air Separation/Industrial Gas market and OEMs supplying<br />

equipment for international chemical and refining projects. As our<br />

customers receive contracts for international rather than domestic<br />

projects, <strong>Lockwood</strong>’s expertise in marshalling materials, documentation<br />

and logistics makes our company attractive as an experienced<br />

source for valves and their transport. As our customers gain<br />

knowledge of and appreciate the quality of our core manufacturers<br />

AML acceptance is gathering steam! These dynamic influences are<br />

reinforcing existing customers’ beliefs in the strength and value of<br />

our company, as well as attracting companies who are looking for<br />

a supplier with quality valve products and the “in-house” technical<br />

expertise that today’s projects demand.<br />

Our goal this year is to penetrate these new markets and capitalize<br />

upon the opportunities they present. We intend to promote our<br />

historic competencies (manual and multi-turn valves) and introduce<br />

the capabilities that the inclusion of <strong>Lockwood</strong> Automation, actuation<br />

& quarter-turn product, presents.<br />

While our long standing Power and Hydrocarbon customers know<br />

that <strong>Lockwood</strong> remains a viable source for their FEED requirements<br />

and will provide quality product once their order is secured, <strong>Lockwood</strong><br />

Northeast will strive to expand our markets and customer<br />

base, telling the story of America’s #1 evolving valve distributor.<br />

Chicago by Matt Cassidy<br />

20<strong>11</strong> is off to a running start and the Chicago branch is gearing<br />

up for another aggressive year in the valve market. The Power<br />

market is growing rapidly for us in the Midwest territory as we near<br />

agreements with Kiewit Power, We continue to grow within the<br />

Pipeline market as well, with approvals at Northern Natural Gas<br />

and more on the way. Even though the Downstream market remains<br />

soft, the Chicago branch is looking forward to continued growth<br />

during the year. We welcome Bob Drews to <strong>Lockwood</strong> Chicago<br />

Branch. Bob will be working out of the Chicago office in outside sales,<br />

covering the upper Midwest territory. Bob has over 42 years working<br />

in the valve industry, primarily with Pacific Valves. His major strengths<br />

and focus will be in the HF Acid, Pipeline and Power markets. Bob<br />

and his wife Jutta, have two married daughters living in Georgetown,<br />

Texas and Milwaukee, Wisconsin, and four grandchildren that they<br />

love to spoil. Welcome to <strong>Lockwood</strong>, Bob!<br />

Beaumont by Perry Henderson<br />

Beaumont’s sales for 2010 exceeded those of 2009 and we were<br />

fortunate to have local construction and plant turnaround activity for<br />

the majority of the year. This included the completion of the Total/<br />

Fluor project in their Port Arthur refining facility and two major turnarounds<br />

at the ExxonMobil Beaumont refinery and the ExxonMobil<br />

Chemical Beaumont O & A facility.<br />

We have also been involved with the largest refining project in<br />

the U.S.A. at the Motiva/Bechtel joint venture in Port Arthur. This is<br />

a $7+ billion dollar project that includes construction of 8 new units,<br />

the resulting facility will be the largest in U.S. at 600,000 Bpd. We<br />

have been supporting the project by storing valves in the 50,000<br />

sq. ft. warehouse that <strong>Lockwood</strong> constructed two years ago. It has<br />

been staffed with <strong>Lockwood</strong> and two temporary employees who<br />

pull the valves as the site requires. This project is due for completion<br />

early next year. We look forward to a busy rest of the year.<br />

Charlotte Branch by Jim Garza<br />

As the marketplace continues to shift, <strong>Lockwood</strong> <strong>International</strong> is<br />

evolving into placing more focus on specialty products and automation.<br />

With the addition of the Tomoe Triple Offset in 2010 we<br />

began addressing more engineered product applications. Tomoe<br />

offers the most complete range in size and pressure class in the<br />

marketplace today.<br />

We are presently reviewing several quality products of Knife<br />

Gates, Severe Service Metal Seated Ball Valves, Lift Plugs, Segmented<br />

Ball Valves and Globe Control Valves.<br />

These products coupled with TY-Italy ball valves will give us a<br />

very comprehensive product offering and will provide <strong>Lockwood</strong><br />

with the capabilities to sell and solve customer issues.<br />

Los Angeles by Cliff Houk<br />

The Carson branch is proud to have completed yet another successful<br />

turnaround with our friends at ExxonMobil Torrance, California.<br />

It is an honor and a pleasure to work with the great folks at<br />

that refinery. As always, the extra efforts of the <strong>Lockwood</strong> branches<br />

to the east, particularly those in Houston and Baton Rouge, often<br />

involving late hours and weekends, are greatly appreciated.<br />

Our branch is likewise grateful to service many fine refineries, including<br />

but not limited to Chevron in California and Utah; BP, Tesoro<br />

and Shell in California; and numerous others throughout the western<br />

USA. We have increased our inventory and are eager to improve our<br />

standing as a reliable source for valves in the western United States.<br />

We are proud to have assisted the <strong>Lockwood</strong> home office in<br />

their recent successful run on worldwide mega projects, specifically<br />

including the Worley Parsons SAMREF (Saudi Aramco Mobil Refinery)<br />

project. That success directly benefits our Carson branch,<br />

and we are eager to provide local support. We recently completed<br />

several large projects serviced both in Carson and jointly with our<br />

<strong>Lockwood</strong> counterparts to the east.<br />

Related to this, we look forward to working with the <strong>Lockwood</strong><br />

Upstream team to increase our presence in the western USA in the


Upstream and Power marketplaces.<br />

Finally, the Carson branch has made efforts to capitalize on all<br />

the recent experience gained to improve our efficiency and our work<br />

systems. <strong>Lockwood</strong> has always had great prices and deliveries – in<br />

Carson, we are undertaking a transformation to greatly improve our<br />

execution of this winning formula. The result is accurate, efficient,<br />

thorough and complete execution of the <strong>Lockwood</strong> business model<br />

to all our customers in the Western USA.<br />

Texas City by Wilma Hand<br />

Texas City may not be the largest <strong>Lockwood</strong> branch but we are<br />

responsible for many customers well known to <strong>Lockwood</strong>, including<br />

Linde, Ineos Nova and Invista, among others. With numerous major<br />

shut downs occurring within the next year, we strive to continuously<br />

give the best possible service to customers and that process starts<br />

with Quotations, moves through Documentation, Quality Assurance<br />

and Inspection, through the final shipment and our participation<br />

culminates with accurate invoicing. And of course, we strive to complete<br />

it all accurately and with on time delivery. We are available<br />

24/7/365 to accommodate our customer’s emergency valve needs –<br />

that’s our job and we are proud to do it. To quote a fellow <strong>Lockwood</strong><br />

employee Tim Yon,Texas City is “Living the <strong>Lockwood</strong> dream.”<br />

Calgary & Edmonton by Cam Wowk<br />

20<strong>11</strong> is going to be an exciting year for <strong>Lockwood</strong> and Alberta is no<br />

exception. There are great things happening in Calgary and Edmonton<br />

and we are strategizing to be an active player!<br />

The Alberta economy is in the midst of a very strong recovery<br />

largely due to the oil sands activity. Through a combination of hard<br />

work and dedication by our Alberta Sales team, we have secured<br />

the ConocoPhillips Surmont Phase II Oil Sands Project, which has<br />

resulted in a growth spurt for <strong>Lockwood</strong> Alberta. Kudos to our own<br />

Susan Kretz for her consistent commitment to which <strong>Lockwood</strong> Alberta<br />

can attribute this great success!<br />

There are many new faces in the Edmonton Branch including<br />

Sales, Warehouse and Administration, with more to come! Our<br />

Calgary Branch is also reaping the same rewards which will soon<br />

result in new hires of both Inside and Outside Sales staff. As we<br />

announced in December, Robbie Marler decided it was time for her<br />

retirement. Robbie plans to spend more time with her family and<br />

enjoy the Alberta golfing season. We will surely all miss Robbie and<br />

wish her the best!<br />

Additional opportunities are on the horizon with our corporate partners<br />

(Imperial Oil/Exxon, Shell and Syncrude) to name but a few. We<br />

have opened a satellite warehouse in Fort McMurray in April in order<br />

to provide a local presence to better serve our current customers as<br />

well as other opportunities in the region. We will be targeting other<br />

key owners within the Alberta market to continue our successful path,<br />

none of which would be possible without the steadfast support of<br />

<strong>Lockwood</strong> Corporate. The assistance that Houston provides to all of<br />

us is invaluable; we thank each of you for your continued commitment<br />

through the previous and into the coming year. Cheers to 20<strong>11</strong>.<br />

Montreal by Cameron Dawe<br />

Is all about “new” for <strong>Lockwood</strong> Montreal in 20<strong>11</strong>: new location,<br />

new opportunities, new products, and new customers! We moved<br />

from our warehouse location in the East end of the city (refinery row)<br />

to a centrally located sales office close to the downtown business<br />

district (between the two major EPCs in Montreal, BPR – Bechtel &<br />

SNC Lavalin). With Shell Canada closing its Montreal East Refinery<br />

(one of the last two refineries in Montreal) it was a logical move. We<br />

can now streamline our focus on all the new project opportunities in<br />

Eastern Canada in the Power, Mining & Minerals, Carbon Capture<br />

& Storage (CCS), & Upstream / Offshore market segments. Exciting<br />

times for sure!<br />

We recently received our first purchase order from Fluor Canada<br />

for the Gate, Globe & Check package for the Vale Inco –Voisey’s<br />

Bay Long Harbour Project in Newfoundland. After a year of hard<br />

work we are happy to receive the award! Moving forward, Daniel<br />

is leaving no stones unturned digging up new opportunities in the<br />

Mining & Mineral market with new projects in Northern Quebec and<br />

Saskatchewan on his radar.<br />

On the Power side, we recently secured the “Underground Valves<br />

& Hydrants” from SNC Lavalin for the South Central Alaska Project<br />

and we are short-listed for the “Long Lead Valve” Package.<br />

We have also been awarded the BOP Valve package. In addition,<br />

we are short-listed for the “Non Alloy Valve” Package, “Basket &<br />

Y-Strainers”, and “Expansion Joints” for the Fenix – Peru Power<br />

Project, also with SNC Lavalin. We’ve secured various valve orders<br />

for their last three Power projects; Goreway Station, Portland Energy<br />

Centre and Astoria ll. With our first order secured for the South<br />

Central Project, we are confident we will be receiving welcome<br />

news in the coming weeks to make it five in a row!<br />

New location, new paint, new products, new customers, & new<br />

exciting opportunities for continuing our growth!!<br />

Sarnia by Ruth Boyling and Gary Hart<br />

Someone turned on the lights!!!! We’re not even finished with the<br />

first quarter and we are seeing growth like the pre-recession days<br />

here in Eastern Canada. Two of our major end users have their<br />

sights set on the largest turnarounds in the history of their plants<br />

and a third one is saying theirs might tip the scale also; everyone<br />

has hit high gear and they are depending on LWI to meet their expectations<br />

in a big way. We are glad we have never lost focus on<br />

the outstanding customer service for which <strong>Lockwood</strong> has become<br />

known. It works in downturns and the fast, exciting growth times we<br />

are seeing now.<br />

Seems like just yesterday Sarnia was established as an MRO<br />

branch back in October 2003, with four customers. Flash forward<br />

to 20<strong>11</strong>: our customer base has grown to well over one hundred.<br />

But whether our customers number four or hundreds, our focus<br />

stays the same and that is to exceed our customers’ expectations.<br />

Monthly vendor grading has become the norm here in Chemical<br />

Valley over the last 3-5 years and as we continually seek to stay on<br />

top, we look forward to our monthly report cards from our partners.<br />

It allows us to tweak our processes and change direction immediately<br />

if needed.<br />

We do not ever want to take our customers for granted and we<br />

take great pride in our relationship-based customer service. We<br />

continue to identify our customers’ needs by asking questions and<br />

listening. As soon as we identify a change or specific need we head<br />

down that road. “On time and accurate” is the name of the game in<br />

this fast paced market, or “If you are slow, you have to go,” as one<br />

of our partners so bluntly put it recently. Everyone is working short<br />

staffed and they do not have time for companies with lack of focus<br />

and drive. If a problem does arise, it must be dealt with immediately<br />

and completely to assure it does not recur.<br />

We have our seat belts on, we are ready for the ride and it looks<br />

like the best is yet to come. With this in mind we will continue to give<br />

our customers more than is expected, as the future of our business<br />

lies in keeping our customers satisfied. Our goal is simple: growth,<br />

and we are looking for a new customer every week in 20<strong>11</strong>. As we<br />

succeed at this, it will in turn benefit all of our treasured partnerships.<br />

CONNECTION<br />

7


Southeast Asia (SEA)<br />

by William Kwan and Vince Pittman<br />

Singapore Branch & PT TY Valve Indonesia in Batam<br />

2010 was a busy year for <strong>Lockwood</strong> in this region. We moved<br />

into our new premises in June to accommodate our growth in the<br />

Singapore Branch which expanded from a 4 men team to see significant<br />

changes including a new location and 5 new staff additions;<br />

Celena (Projects) and Marian Dela Torre (Admin) joined us in March;<br />

Sherilyn-Geli Lucaser and Kitty Chua ( both Inside Sales) in August;<br />

Victor Ng (Operations Manager) in September and Abdul Hamid<br />

(warehouse) in December.<br />

Additionally, we have set-up a new TY company - PT TY Valve<br />

Indonesia on the Island of Batam, which is 30 minutes on a boat<br />

ride right across Singapore. Victor Ng, with the assistance of Dena<br />

Gao is leading the operation with over 15 years in the Oil and Gas and Petrochemical business, primarily with module and skid builders. His<br />

background includes logistics supply as well as project management. He was a tough customer but was great in making sure we met up to the<br />

expectations of the Project. A Singapore citizen who married an Indonesian lives in Batam, speaks fluent Bahasa Indonesian, he is obviously<br />

our natural choice and an asset to our Indonesian operation. With his knowledge and insight of the perspective, he has quickly proven to be<br />

a key component of our Southeast Asia growth.<br />

PT TY Valve Indonesia has tremendous potential. Local content issues have placed the majority of valve purchases on hold and with most<br />

of the end users present in Indonesia, we have a great opportunity to help them solve this problem. The expectation of the Batam, Indonesian<br />

operation is a fully functioning test and paint facility as well as a distribution hub for the region.<br />

After a long search for a General Manager to lead in our SEAsian business, we chanced upon retiree, William Kwan, who has been in the<br />

valve related industries for up to 30 years. Starting from a 3 and half years stint selling steel castings (Valve bodies, Tees and bonnets) from<br />

a foundry in Singapore (70’s); his 8 years marketing for Demco Valves (gate/globe/check)in the 80’s; he spent his best years in the valve<br />

industries when he was the Director/General Manager for TK Ball Valves and subsequently Ring-O Valve (Subsea/Cryogenics/Metal Seated)<br />

Singapore Pte Ltd (90’s). He is be expected to be instrumental in <strong>Lockwood</strong>’s imminent dominance in the Regional markets within SEAsia<br />

and the Asia Pacific.<br />

On the business side, we have been busy servicing our local MRO with SRC as well as providing top ups for SPT (Singapore) and Siracha<br />

Clean Fuels (Thailand), both with Exxon. We were recently awarded another clean fuels job in Thailand that has been very challenging and a<br />

great experience for the new crew in Singapore. On the Upstream side, TY Italy has been a great help in securing our 1st large order for ball<br />

valves ($400K) to be installed onto 7 skids of a production platform to Technics Offshore for a Cambodian project. Special thanks to Giovanni,<br />

Aldo, Claudio and team. We are expecting a big 20<strong>11</strong> and the TY Italy group should play a big part in that. He we come Santos...<br />

Seoul, South Korea<br />

by Terry Choi<br />

Overheard & Unconfirmed<br />

Batam, Indonesia Staff (Left to Right): Yanto Hamid; Budi Setiawan; Nicole Ng; Marian<br />

Dela Torre; Celena Quok; Alvin Ooi; Kitty Chua; Victor Ng; William Kwan; Toh Hong<br />

Yeow; Karnan Palanivel; Abdul Hamid<br />

As of Jan. 1st 20<strong>11</strong>, <strong>Lockwood</strong> <strong>International</strong> Seoul, South Korea Branch has opened and begun operations. The purpose of this office is to<br />

support global sales teams in technical, material sourcing, and the introduction of <strong>Lockwood</strong> into the Asian Market. Knowing many projects<br />

are waiting for launch in Southeast Asia, with the collaboration of our strong sales team in Singapore, the Seoul office will be the catapult<br />

to accelerate <strong>Lockwood</strong>’s growth within the Asian region. The team we are building will focus on engineering and purchasing support, and<br />

more over, domestic penetration of the market. Like any product we buy, if valves are not manufactured within the boundary of strict quality<br />

control, there is a potential danger to the public. In order for <strong>Lockwood</strong> to ensure that we only stock qualified products, having Seoul as a<br />

monitoring hub is a massive upgrade in our customer service offering.<br />

The strategic location in Seoul also adds value to our business. The Seoul Sales office of TY Valve resides within the same building as<br />

<strong>Lockwood</strong>. Direct communication with management is possible even with very short notice. As we have experienced from years of dealing<br />

with Chinese oriented products, they need close monitoring to make sure proper manufacturing steps are followed. With the help of North<br />

Star (MC Soh) in China updating us daily, we are assured that China factor will not exist in ‘the House of <strong>Lockwood</strong>.”<br />

Finally, <strong>Lockwood</strong> in Korea is configured to meet shortages needed by on going/ending projects. When in doubt, <strong>Lockwood</strong> will be getting<br />

calls regarding short items, lost items needed “yesterday” from all around the world. We are excited at our potential in this part of the world!<br />

Columbia, South America: <strong>Lockwood</strong> is breaking ground on a new facility in Columbia, South America.


Syncrude Award For Excellence<br />

by Mike Pawlenchuk<br />

It was my pleasure to represent <strong>Lockwood</strong> Valves<br />

Canada at an awards ceremony at Syncrude in Fort<br />

McMurray on September 30,2010. The event was by invitation<br />

only and Syncrude’s entire Procurement Department<br />

was in attendance, including Mr. Brian Cheater, Head of<br />

Procurement. <strong>Lockwood</strong> Valves Canada was presented the<br />

SYNCRUDE AWARD FOR EXCELLENCE, as the top performing<br />

supplier, and the only supplier to attain 100% compliance<br />

numerous times throughout the year.<br />

My congratulations to the entire Syncrude team here in<br />

Sherwood Park as well as <strong>Lockwood</strong> <strong>International</strong> for your<br />

support in helping us achieve this service level. Let’s keep<br />

up the good work and top ourselves in 20<strong>11</strong>.<br />

Excellence In Customer Service<br />

Nothing speaks louder than praises sung by our clients. Here are<br />

just a few comments passed onto us by our clients during 2010:<br />

Linda Honch<br />

“... amazing...very helpful, professional, friendly and accommodating...went out of her way to get the information<br />

that I needed in a timely fashion. I will be sure to work with <strong>Lockwood</strong> again. If more people had<br />

Linda’s attitude and helpfulness it would make for a much better industry to work in ... I just wanted to<br />

express my thanks.”<br />

Bobby Mauldin<br />

“...(I) requested to find a valve because others have failed; Bobby is my first call. An answer within an hour<br />

of the “request” but I wanted to tell you both he came through for me as he usually does.”<br />

Jimmy Kotch<br />

“...has done an exemplary job...I have received this feedback not only from our senior project management<br />

but also from our EPC contractors...”<br />

Darin Pittman<br />

“...emphasizes the high regards and our preference for <strong>Lockwood</strong>... <strong>Lockwood</strong> will continue to be on our<br />

Ideal List of Vendors...”<br />

CONNECTION 9


<strong>Lockwood</strong>’s New Upstream Home<br />

<strong>Lockwood</strong>’s newest real estate acquisition. The class “A” office<br />

building has 6,000 sq. ft. office space, with approximately 40,000 sq.<br />

ft. in warehouse space. The facility houses <strong>Lockwood</strong>’s Upstream/<br />

Automation Division and will make way for growing our Engineering<br />

group. The office and warehouse space sit on over 18 acres of land<br />

in Northwest Houston, so expansion will not be an issue. The facility<br />

has easy access to Beltway 8, Highway 290 and I-45.<br />

Phone: 713.670.5200<br />

Email: upstream@lockwoodint.com<br />

(continued from - Upstream’s <strong>Upswing</strong> cover)<br />

The evolution of oil exploration and production has changed so<br />

much that valve market requirements have shifted to higher pressure<br />

classes, larger sizes and special materials. In addition, raw<br />

material costs have rapidly risen over the past twelve months. The<br />

capacity of forgings are filling up and the market appears to be back<br />

to the “good ol’ days” of 2007 and 2008. Some forging mills have<br />

already reported to be at capacity through 20<strong>11</strong> and are receiving<br />

orders for 2012. That momentum will continue to build as <strong>Lockwood</strong><br />

Upstream settles into their new facility and is now receiving their inventory<br />

of Perar ball valves for the gas transmission sector. But the<br />

question remains, “Can supply keep up with demand?”


The Upstream Update<br />

by Tom <strong>Lockwood</strong><br />

As 20<strong>11</strong> begins we have a host of things happening. The Kizomba Satellites<br />

Project is winding down for us and the client is extremely happy with our ontime<br />

performance. Luca Radrizzani did an excellent job managing the project<br />

and with all of the engineering changes, this was not an easy task. We have<br />

recently picked up some new project work mainly due to the other suppliers’<br />

inability to perform, along with increasingly high oil prices, 20<strong>11</strong> should be<br />

another busy year. However, the high oil prices are creating a lot of activity<br />

worldwide and starting to affect the supply side of the equation, with deliveries<br />

for certain materials going to 52 weeks and beyond. So, as always, the project<br />

work continues to be challenging, with the clients wanting better prices, better<br />

deliveries and the best quality. However, in the upstream market most clients<br />

really want “Best in Class” products, so as long as we continue to offer those<br />

types of products we will be successful. Of course there are always bottom<br />

feeders but with valve problems becoming more prevalent, the “Best in Class”<br />

philosophy is overtaking the “lowest price” philosophy.<br />

In any event, the <strong>Lockwood</strong> Upstream group is looking forward to 20<strong>11</strong> with<br />

a new location, a large inventory investment and an active market, we are sure<br />

to be busy.<br />

CONNECTION<br />

<strong>11</strong>


Power Group Generates New Vision For 20<strong>11</strong> by Jim Garza<br />

With the start of a new year, change<br />

has come to the Power Group. Emphasis<br />

is being placed on our core products (TY,<br />

IIshin, OMB, Tomoe, Perar and Rotork)<br />

which are the valve and automation lines<br />

that build the base of our foundation in the<br />

valve marketplace. In promoting these lines,<br />

there have been additional changes to our<br />

website and current product line sheet as<br />

well as presentation materials. We appreciate<br />

the role Marketing has shared in making<br />

this transition possible. The long term<br />

success of <strong>Lockwood</strong> Power Group is reliant<br />

on our ability in the field to seek valve<br />

approvals for our major lines (commonly<br />

referred to as ‘AML approval’) This is necessary<br />

both in the Engineering Firms and<br />

the Major Utilities across the country. We<br />

have had recent success with Kiewit, Kan-<br />

As the marketplace continues to shift,<br />

<strong>Lockwood</strong> <strong>International</strong> is evolving into<br />

focusing more on specialty products and<br />

automation.<br />

With the addition of the Tomoe Triple<br />

Offset in 2010 we began addressing more<br />

engineered product applications. Tomoe<br />

sas City on the Wayne County – Progress<br />

Energy Project and the upcoming Sutton<br />

County Project with Matt Cassidy handling<br />

the lead on these projects. With additional<br />

approvals at B&W in Ohio this begins to<br />

snowball into a very positive process along<br />

the road to building a resume of major account<br />

approvals. This process is one of our<br />

main priorities in 20<strong>11</strong> along with landing<br />

additional projects. In our goal to grow the<br />

Power Group we have targeted key Utility<br />

accounts – Southern Company, Duke Energy,<br />

Progress Energy (Recently bought by<br />

Duke Energy), Florida Power&Light/NEX-<br />

TERA, TVA Tennessee Valley Authority. By<br />

doing this we will build a resume of success<br />

that will carry into our other geographic locations.<br />

The engineering firms, where we<br />

have a very successful history with on re-<br />

Speciality Products & Actuation by Randy Wilson<br />

offers the most complete range in size<br />

and pressure class in the market today.<br />

We are presently reviewing several quality<br />

products of Knife Gates, Severe Service<br />

Metal Seated Ball Valves, Lift Plugs,<br />

Segmented Ball Valves and Globe Control<br />

Valves.<br />

The Hot and Cold of It...in Baton Rouge by Tim Yon<br />

Kenny Simoneaux on site at ExxonMobil’s<br />

Chalmette, Louisiana refinery.<br />

During the year the Baton Rouge Branch<br />

completed the Jacobs ExxonMobil Non<br />

Road Diesel project at the ExxonMobil Baton<br />

Rouge Refinery, a $550 million project<br />

to comply with federal low sulfur specifications<br />

of non-road diesel (think locomotives).<br />

The project activities originated from the<br />

corporate office in Houston but were transitioned<br />

to Baton Rouge after field installation<br />

began and more day-to-day contact and interaction<br />

was needed to effectively and efficiently<br />

facilitate the project milestones. The<br />

Non Road Diesel process was characterized<br />

by high heat applications and included<br />

high pressure alloy (347 stainless, WC6 and<br />

C12) valves.<br />

At the other end of the temperature spectrum,<br />

the branch, in coordination with ExxonMobil,<br />

has begun valve planning on the<br />

EPLA-WNOX project at the Baton Rouge<br />

Chemical Plant that includes cryogenic cold<br />

service valves. In cryogenic service, ice or<br />

ice balls can form around the valve with normal<br />

hand wheel heights making the valve inoperable.<br />

Cryogenic valves (typically stainless)<br />

have an extended bonnet or gas vapor<br />

column to elevate the operation of the valve<br />

to a warmer area … away from the cold me-<br />

finery/petrochemical projects, is where we<br />

must work very hard to seek approvals for<br />

Power. This is one of the main challenges<br />

we face daily and the effort is beginning to<br />

be rewarded.<br />

The Power industry is the one market that<br />

remains strong in our weak economy and<br />

with continual growth in the Southwest and<br />

Southeast it appears the next 10-15 years<br />

will be strong for Power Construction and<br />

for <strong>Lockwood</strong>. As we venture into more<br />

Power related projects we will share the<br />

different types of Power plants that are being<br />

built today along with the Eco-Friendly<br />

Solar and Wind Turbine projects. The 20<strong>11</strong><br />

Project list is quite extensive and with our<br />

overall team approach we will have a very<br />

productive year.<br />

These products coupled with TY-Italy<br />

ball valves will give us a very comprehensive<br />

product offering and will provide<br />

<strong>Lockwood</strong> with the capabilities to sell<br />

and solve customer issues.<br />

dia. <strong>Lockwood</strong>’s early involvement in the<br />

planning stages with the customer and the<br />

manufacturer assist in the timely manufacturing<br />

and delivery of these special valves<br />

hopefully preventing or minimizing the need<br />

to modify stock valves to cryogenic applications.<br />

Simultaneous with Baton Rouge’s participation<br />

in cryogenic service, Beaumont has<br />

also been involved in a cryogenic application<br />

with the Golden Pass LNG terminal near<br />

Sabine Pass, Texas. The Golden Pass LNG<br />

project is a joint venture of Qatar Petroleum<br />

<strong>International</strong>, ExxonMobil and ConocoPhillips<br />

and has the capacity to deliver the annual<br />

equivalent of 2.5 Bcf/day of natural gas.<br />

The Beaumont branch was instrumental in<br />

choreographing the supply, modification<br />

and testing of what became time sensitive<br />

cryogenic requirements of the Golden Pass<br />

project.<br />

Down on the bayou, Kenny Simoneaux<br />

offices in <strong>Lockwood</strong>’s only on-site arrangement<br />

at a customer’s facility. Kenny’s offices<br />

are inside of ExxonMobil’s Chalmette,<br />

LA refinery. Pictured here in the Alky Unit,<br />

Kenny continues to work with ExxonMobil in<br />

valve application and problem solving.


Italy Branch by Giovanni Capasso<br />

We are pleased to say we are the busiest we’ve been since opening<br />

the branch three years ago. We have booked the Yanbu Project<br />

with Aramco as well as Technip for CNRL Canada. We’ve experienced<br />

tremendous growth and recently hired some of the best talent<br />

available to add to our staff. We see a lot of opportunity in EMEA<br />

(Europe/Middle East/Africa) as well. TY Italy has obtained industry<br />

certifications (ISO 9001, PED, Fire Safe, Atex, API 6D, API 6A) and<br />

we are shipping orders globally.<br />

TY Italy API6D & API6A Certificates<br />

Chemical by Johnny Ochiogrosso<br />

We welcome Engineer Cestmir Richtar to our team as of April 1,<br />

as outside sale representative for TY Italy Ball valve division.<br />

Cestmir has achieved over 15 years experience in international<br />

sales for the valve industry before joining the TY Italy team. We are<br />

sure his experience and project managerial skills will provide great<br />

opportunities for our business.<br />

We wish our best to Eng. Cestmir, and welcome aboard!<br />

Chemical applications are unique in that they require far more technical expertise than usual refinery applications. Between Benny Howard,<br />

Randy Wilson and myself we share over eighty five years experience in the Chemical Processing and Automation Control industry. There is<br />

much value to be gained by our customers by partnering with <strong>Lockwood</strong>. I am here to tell you that <strong>Lockwood</strong> is able to effectively assist our<br />

customers in the worst case scenarios of chemical applications, not just with our expertise, but our extensive instock inventory. One such<br />

partner is Invista.<br />

For the past 7 years we’ve nurtured that relationship and have become their valve integrator. We started out as an occasional resource<br />

and stuck by them through the slow recession times, right up to today. Our job is to provide them and every <strong>Lockwood</strong> customer with cost<br />

savings and value added services in all aspects of their valve requirements, from commodity to severe service.<br />

CONNECTION 13


VALVE WORLD EXPO<br />

AMERICAS 20<strong>11</strong><br />

JUNE 21-22, 2010<br />

THE WOODLANDS<br />

MARRIOT WATERWAY<br />

BOOTH 516<br />

Here’s some exciting news...The Valve World<br />

Expo has a new trade show – VALVE WORLD<br />

AMERICAS will be hosted by The Woodlands<br />

Marriot Waterway June 21 & 22, 20<strong>11</strong>.<br />

Come see us in Booth 516. We look forward<br />

to seeing you there!<br />

Come by Booth 224<br />

and meet Triple M at<br />

Valve World America’s Expo<br />

Triple M - Brazilian Market Expanding<br />

by Randy Wilson<br />

<strong>Lockwood</strong> recently acquired an equity interest<br />

in Triple M in Brazil. We are now actively<br />

pursuing business not only with Petrobras,<br />

who has already approved funding for over<br />

$200B to be spent over the next ten years,<br />

but also in other industries such as Mining,<br />

Pulp & Paper and Ethanol. The partnership is<br />

being led by Antonio Marchina who, previous<br />

to this, was the Tyco general manager for the<br />

country of Brazil.<br />

Following is a recent press release picked up<br />

by Valve World:<br />

“Until recently, the handling of procurement for<br />

project and plant implementation was limited<br />

due to the lack of full line distribution companies<br />

in Brazil. End users and EPC companies were<br />

forced to query numerous vendors in order<br />

to satisfy the projects’ material requirements.<br />

But business in Brazil has changed dramatically,<br />

with more and larger projects being undertaken<br />

daily. Thus, the old methodology has become<br />

cumbersome and expensive. With current projects<br />

requiring large volumes of pipe, fittings,<br />

valves and actuation, the need for a central<br />

distributor became apparent, and in 2009<br />

Triple M / Brazil opened its doors to offer project<br />

managers an alternative to seeking out dozens<br />

of sources one at a time. Located in Votorantim,<br />

Triple M carries many well known brands of<br />

actuation, fittings, pipe and valves from a host<br />

of global suppliers and manufacturers like <strong>Lockwood</strong><br />

<strong>International</strong> and IPPG. Triple M also<br />

manufacturers the Mack Valve resilient seated<br />

butterfly valve in Votorantim, and all products<br />

shipped from Triple M are tested and certified<br />

including all traceability reports.”


Another Major Step For <strong>Lockwood</strong><br />

<strong>Lockwood</strong> has always provided MTRs (Material Test Reports) to<br />

our customers; they are a vital element in our value added service<br />

offering. Customers being our lifeblood, we listen intently when they<br />

speak and they told us that they knew of a better way to receive<br />

MTRs. Enter MetalTrace®, software created by Trace Applications.<br />

Based in Edmonton, Alberta, Canada just a few miles from <strong>Lockwood</strong>’s<br />

Alberta offices, Trace Applications has had <strong>Lockwood</strong> in its<br />

sights to gain as a customer for a long time, from one “Best in Class”<br />

to another. “As the leader in valve distribution, <strong>Lockwood</strong> was destined<br />

to partner with us, as MetalTrace® is the best in MTR delivery,<br />

bar none,” said Ted Power, President of Trace Applications. Once<br />

the final decision was made to implement MetalTrace®, the Trace<br />

technicians sprang into action and quickly completed the installation<br />

and training. The <strong>Lockwood</strong> Valves Canada team is very excited<br />

and proud to offer their customers this new service.<br />

June Yonkman, President of <strong>Lockwood</strong> <strong>International</strong> said, “It<br />

takes far less bureaucracy for <strong>Lockwood</strong> to implement new processes<br />

and systems than many of our counterparts. We are a private<br />

company that can make decisions very quickly or we have the<br />

luxury to take our time, like we did with MetalTrace® to ensure we<br />

select the best provider to service our customers with documentation<br />

and MTRs. This is another step in continuous improvement and<br />

servicing our customers more efficiently.”<br />

<strong>Lockwood</strong> <strong>International</strong> announces an agreement with Heaton<br />

Valves Africa (Pty) Ltd. to be the official supplier of TY Valves<br />

via <strong>Lockwood</strong> <strong>International</strong> into the South African market. Heaton<br />

holds current supply contracts with Chevron (since 2005, via HVA)<br />

and SAPREF (Shell & BP) since 1999. They have three locations<br />

to service the South African market with the head office being in<br />

Boksburg. They are ISO 9001:2000 accredited and BEE (Black<br />

Economic Empowerment and Employment Equity) certified.<br />

<strong>Lockwood</strong> Machining<br />

by Ed Ferguson, Jr.<br />

Greetings everyone, these are exciting times for VMS’ personnel<br />

and all of <strong>Lockwood</strong> <strong>International</strong> in general. We are<br />

working hard toward creating more production capacity, with<br />

even shorter lead times on most of all our modifications and new<br />

capabilities: such as in-house heat treatment, expanding our NDE:<br />

(Non-Destructive Examination) testing range with RT – (Radiography<br />

Testing), MT - (Magnetic Particle Testing) and PT - (Liquid Dye<br />

Penetrant). In addition, our new API 598 hydrostatic testing stand<br />

will enable us to test many of the larger bore valves in <strong>Lockwood</strong>’s<br />

inventory. We are also in the process of hiring many new crew<br />

members including expanding our QA/QC staff. We have also<br />

retained the services of a Level III inspection service to train and<br />

Level II certify members of our production group. This will enable<br />

us to immediately perform PT & MT inspections. In short, there<br />

are many new capabilities and capacities ahead for VMS and<br />

<strong>Lockwood</strong> <strong>International</strong>. Rest assured as these new capabilities<br />

come on line you all will be the first to know, and reap the benefits in<br />

controlling our own destiny.<br />

Patrick Berriman joins <strong>Lockwood</strong> as Director of Manufacturing<br />

Services to oversee modifications globally. He has been with us<br />

since January, 20<strong>11</strong>, and has been busy assisting in the relocation<br />

of <strong>Lockwood</strong> Upstream and opening the shop formerly known as<br />

VAC Systems. As you may know, VAC Systems is no more, having<br />

been absorbed into <strong>Lockwood</strong> Upstream. Patrick has been evaluating<br />

service offerings at the mod shops, including shop procedures<br />

and quality systems, with am emphasis on welding quality. He has<br />

assisted in the beginning stages of the Batam facility with Ilshin<br />

forged trim changes, PMI and hydro testing capability. He is currently<br />

analyzing Edmonton and how to increase capabilities and capacity<br />

there. Patrick is married and has two sons, Kaden age 5 and<br />

Kaleb age 3. He brings ten years valve modification experience and<br />

six years project management and business development.<br />

Welcome!<br />

CONNECTION<br />

15


The Frank <strong>Lockwood</strong> Foundation is in place today through the generosity of Mike, Tom and Gail<br />

<strong>Lockwood</strong>. The family foundation was created to honor their father, husband, and our founder,<br />

Mr. Frank <strong>Lockwood</strong>. The vision driving this foundation is quite simply to help children. If you have<br />

a personal cause contact a committee member to see if the foundation can help you help them.<br />

(Margaret Graff, Karen de la Garza, Pam Moore or Laura Fitzgerald).<br />

Giving Back To Our Community<br />

January 27, 2010, <strong>Lockwood</strong> representatives met with Dr. Morey<br />

Haymond, Chief of Endocrinology and Dr. Maria Perez, Rheumatology,<br />

at Texas Children’s Hospital to deliver a donation check from<br />

the Frank <strong>Lockwood</strong> Foundation. As a result, the Foundation is now<br />

a lifetime member in TCH’s Ambassadors at Palladium level. Funds<br />

received via Ambassadors benefit The Pavilion for Women which is<br />

scheduled to open in early 2012. This extension of TCH will provide<br />

for the pre-pregnancy, pregnancy and post-pregnancy needs of babies<br />

and their mothers. This project will initially add 90 beds to the<br />

564 currently licensed. Now one of the largest pediatric hospitals<br />

Left to right: Dr. Maria Perez, Mark Lindsey, Laura Fitzgerald, Dr. Morey Haymond<br />

in the U.S., TCH records over 1.5 million patient visits per year and<br />

nearly every pediatric speciality and subspecialty is represented at<br />

Texas Children’s Hospital. In fact, they have received recognition<br />

for their expertise and breakthrough developments in treating cancer,<br />

diabetes, asthma, HIV, premature babies, cardio and attentionrelated<br />

disorders.<br />

TCH’s mantra is to never turn a child away due to inability to pay.<br />

The Frank <strong>Lockwood</strong> Foundation looks forward to watching Texas<br />

Children’s Hospital implement these plans and continue in their<br />

journey to help more and more children.


Left to right: Tom Kilgannon, Betty Allen, and Mark Lindsey<br />

Tom Kilgannon, President of the Freedom Alliance<br />

Scholarship Fund, visited <strong>Lockwood</strong>’s Corporate<br />

headquarters at the invitation of Mike <strong>Lockwood</strong>. Tom<br />

and Mike met last year in San Antonio when Mike was<br />

invited to attend the U.S. Army’s annual Recruiting<br />

Command’s Center of Influence (COI) tour in 2010 to<br />

present a donation. Tom graciously received another<br />

generous scholarship donation from the Frank <strong>Lockwood</strong><br />

Foundation, this time presented by Betty Allen, C.A.O. And Mark Lindsey,<br />

C.F.O. Tom explained to Betty and Mark the purpose of the Freedom<br />

Alliance and its mission to assure the children of fallen military personnel<br />

(or 100% disabled during active duty) know that a grateful nation will never<br />

forget the ultimate sacrifice made by their parent for this country. While nothing<br />

can bring back a parent, the Freedom Alliance, pioneered by Col. Oliver<br />

North, is able to step in and the “hero scholarships” these children earn<br />

remind them that a grateful nation still remembers as well, right along with<br />

them. Keep up the good work, Tom!<br />

<strong>Lockwood</strong>’s big heart was evident yet again, In less<br />

than a week a last minute effort yielded boxes of backpacks<br />

and bags of school supplies that were shuttled<br />

down to our local YMCA, providing school supplies to<br />

dozens of children.<br />

Challenge...<br />

There are children in need all over the world, so<br />

let’s find them, <strong>Lockwood</strong>! Your participation is needed<br />

and we’d love to hear how YOUR branch is contributing<br />

to your local communities.<br />

“Being good is commendable, but only when it is combined with doing<br />

good is it useful.” (Anonymous)<br />

Koleta Parsley has been working with our I.T.<br />

department and Compudopt to donate <strong>Lockwood</strong>’s<br />

gently used computer equipment to children who<br />

might never own a machine otherwise.<br />

Here are just a few of the thanks that <strong>Lockwood</strong><br />

received from some of those grateful kids:<br />

“…Thank you for caring about me.” (Jose)<br />

“Thank you…I am another smiling little girl to you, but to me you are a<br />

very kind person.” (Rosa)<br />

“…on behalf of my whole family, we thank you very, very much.” (Kiara)<br />

“…you made our wish real….thank you.” (Diana and Marisol)<br />

“…I do not have the words to thank you...” (Edith)<br />

This year’s Livestock Show and Rodeo Calf Scrambler<br />

recipient for <strong>Lockwood</strong> is Ms. Jazzmine Vasquez<br />

of Galena Park FFA. Jazzmine caught the calf that<br />

<strong>Lockwood</strong> sponsored (no simple feat) and by doing<br />

so will be able to purchase a heifer to raise over the<br />

next year. She will then be eligible to sell that heifer at<br />

auction and use the money to further her education.<br />

We are very proud to support young people through the Houston Livestock<br />

Show and Rodeo. Keep up the good work, Jazzmine! All of <strong>Lockwood</strong> is<br />

cheering you on.<br />

CONNECTION 17


Tenure<br />

New Hires<br />

Thank you for your service Welcome To <strong>Lockwood</strong><br />

January<br />

Mike Marksberry Houston 9 Years<br />

Cylynne Callicutt Houston 8 Years<br />

Ernest Gonzales Jr. Houston 7 Years<br />

Alton Davis Houston 7 Years<br />

Mary Arce Houston 6 Years<br />

Cameron Dawe Montreal 5 Years<br />

Thomas Sievert Chicago 5 Years<br />

February<br />

Kathy Bryant Baton Rouge 9 Years<br />

Cathy Clark Houston 9 Years<br />

Stephanie Nesbitt Houston 5 Years<br />

Mike Pawlenchuk Edmonton 5 Years<br />

Daniel Rossman Montreal 5 Years<br />

March<br />

Johnny Ochiogrosso Houston 10 Years<br />

Cindy Williams Houston 10 Years<br />

Cameron Wowk Edmonton 10 Years<br />

Edgar Plata Houston 8 Years<br />

Betty Allen Houston 8 Years<br />

Denise Hampton Houston 7 Years<br />

Ernest Gonzales Sr. Houston 7 Years<br />

Heath Juergens Houston 6 Years<br />

Monica Bazile Houston 5 Years<br />

April<br />

Cliff Houk LA <strong>11</strong> Years<br />

Pete Gonzales Houston <strong>11</strong> Years<br />

Linda Honch Edmonton 10 Years<br />

Mikki Talbot Houston 10 Years<br />

Matt Cassidy Chicago 8 Years<br />

Darren Daamen Sarnia 6 Years<br />

Barbara Walker Houston 6 Years<br />

May<br />

Renee Roberts Houston 10 Years<br />

Jesse Gonzales Houston 9 Years<br />

Thomas Baker Houston 8 Years<br />

Susan Kretz Calgary 8 Years<br />

Koleta Parsley Houston 5 Years<br />

June<br />

Wilma Hand Texas City 13 Years<br />

Tim Yon Baton Rouge 10 Years<br />

Tony Freeman Houston 9 Years<br />

Kaye Jimmerson Houston 8 Years<br />

Cathy Erickson Houston 7 Years<br />

Margaret Graff Houston 6 Years<br />

The list above captures our associates who have been with<br />

us five years and longer only. We appreciate everyone’s<br />

hard work and loyalty so we look forward to placing your<br />

name on this list once you meet the criteria.<br />

Jason Macias Houston <strong>11</strong>/1/<strong>11</strong><br />

Maria Wong Calgary <strong>11</strong>/8/10<br />

Mark Davis Houston <strong>11</strong>/1/10<br />

Jack Goetschius Beaumont <strong>11</strong>/12/10<br />

Terrah Myron Houston 12/6/10<br />

Michael Shawver Houston 12/6/<strong>11</strong><br />

Cristy Ballard-Curry Houston 12/28/10<br />

Norma Shields Houston 12/28/10<br />

Jim Garza Florida 1/1/<strong>11</strong><br />

Zach Anderson Houston 1/3/<strong>11</strong><br />

Laurie Fenley Houston 1/3/<strong>11</strong><br />

Alex Williams Houston 1/10/<strong>11</strong><br />

Aaron Didow Edmonton 1/17/<strong>11</strong><br />

Cindy Torres Houston 1/12/<strong>11</strong><br />

Christine Holleron Houston 1/24/<strong>11</strong><br />

Doreen Reed Houston 1/24/<strong>11</strong><br />

Jim Garrison Georgia 1/26/<strong>11</strong><br />

Rochelle Lastrape Houston 1/26/<strong>11</strong><br />

Rick Mousa Georgia 2/1/<strong>11</strong><br />

Ashley Buchanan Edmonton 2/3/<strong>11</strong><br />

Barbara Feltmate Edmonton 2/3/<strong>11</strong><br />

Patrick Berriman Houston 2/7/<strong>11</strong><br />

Richard Ledezma Los Angeles 2/7/<strong>11</strong><br />

Erin Hill Houston 2/23/<strong>11</strong><br />

Leslie Harwood Houston 3/7/<strong>11</strong><br />

Jennifer Vera Houston 3/7/<strong>11</strong><br />

Angeline Chiu Houston 3/8/<strong>11</strong><br />

Patrick Hanks Houston 3/21/<strong>11</strong><br />

Veronica Baars Edmonton 4/4/<strong>11</strong><br />

Joshua Gooding Edmonton 4/4/<strong>11</strong><br />

Jennifer Manning Houston 4/4/<strong>11</strong><br />

Richard Clark Houston 4/<strong>11</strong>/<strong>11</strong><br />

Michelle Turner Houston 4/<strong>11</strong>/<strong>11</strong><br />

Faith Cruze Houston 4/18/<strong>11</strong><br />

Darlene Walker Houston 4/18/<strong>11</strong><br />

That is quite a list and growing everyday!


Birth Announcements<br />

Nicholas Tristian Lloyd, born to<br />

Chris and Tremedia Lloyd<br />

August 24, 2010<br />

7 lb. 5 oz., 20 in.<br />

Kaden Kanatani, born to<br />

Brandon and Brittney Kanatani,<br />

October 14, 2010<br />

7 lb. 4 oz., 20.5 in.<br />

This is their first child.<br />

CONTRIBUTORS:<br />

LAURA FITZGERALD<br />

STEVE SHUBNELL<br />

JASON MACIAS<br />

MIKELYN MARTIN<br />

ALEX WILLIAMS<br />

Zoe Turknett, born to<br />

Monica and Damien Turknett<br />

September 14, 2010<br />

7 lb. 1 oz., 19.5 in.<br />

Isai Perez, born to<br />

Vince Perez<br />

October 26, 2010<br />

7 lb. 5 oz., 20 in.<br />

This is their first child.<br />

Send us your stories or ideas<br />

Marketing@lockwoodint.com<br />

A STAR<br />

will be in every edition of the<br />

Connection Newsletter. Although<br />

no names will be mentioned it<br />

acknowledges the ones we have<br />

lost. They are part of who we are<br />

and will never be forgotten.<br />

CONNECTION<br />

19


Printed on Recycled Paper<br />

© 20<strong>11</strong> <strong>Lockwood</strong> <strong>International</strong>, Inc. All Rights Reserved

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