As Native regional corporations face increasing scrutiny for the lucrative benefits

they receive under a federal contracting program, compensation at some of those

corporations continue to rise -- but not as much as some critics may think.

Seven top executives, including five with a single regional corporation, earned
more than $1 million in salaries, bonuses and other benefits in 2010 -- an amount
that's surely jaw-dropping for many Alaskans, who pocketed $41,000 in per
capita income last year.

But while the 12 active Native regional corporations have generally enjoyed
blistering growth -- thanks largely to the U.S. Small Business Administration's
8(a) program that gives Native companies a bidding advantage -- top executive
compensation at those corporations haven't necessarily risen as quickly,
according to an analysis of corporate records filed with the state.

In some cases, overall compensation of the five highest-paid executives -- which

Native corporations must report to the state -- slid between 2007 and 2010.

In other cases, though, they rose spectacularly.

Compensation at Koniag, which primarily represents Native shareholders from

Kodiak Island, soared from $1 million in 2006 (2007 figures were not available at
the state Division of Banking and Securities)to $4.3 million.

Bill Gormley led the way. Head of Washington Management Group and Fed
Sources, former Koniag subsidiaries providing federal contracting
services, Gormley took in $2.4 million last year. Koniag announced the sale of
those subsidiaries earlier this year. Koniag's operating revenues moved from
$128 million five years to $147 million last year.

Most of Gormley's compensation was a one-time payment, not his executive

salary. The compensation was part of an contract that included an incentive for
Gormley to stay with Washington Management Group and grow the value of the
company. When Koniag eventually sold the company, its value had increased by
$20 million.

Top compensation at the Arctic Slope Regional Corp. have also grown. At least
five of its highest paid executives earned more than $1 million in 2010, but a
university professor whose teaching includes business ethics said their
compensation isn't "exorbitant."

Roberta Quintavell, the company's chief executive until last year, led the way with
$2.5 million. Mark Nelson, chief executive at ASRC Energy Services Inc. until last
year, earned $1.9 million. Kristin Mellinger, executive vice president and chief
financial officer at ASRC, earned $1.4 million.

Total payouts for the top ASRC execs totaled $8.2 million last year. That
compares to $5 million four years earlier. ASRC has been Alaska's highest
earning corporation for 17 years.

Revenues have risen steadily, reaching $2.3 billion last year. That's up from $1.8
billion in 2007.

Those executive compensation at ASRC don't sound huge relative to other

similar-sized corporations, said George Geistauts, a professor of business
administration at the University of Alaska Anchorage."Given the gross revenues
of ASRC, I wouldn't consider $1 million or $2 million to be that exorbitant," he
said. "Think about it in percent terms."

Some members of Congress have hammered Alaska Native corporations that

have won multi-billion-dollar federal contracts through the 8(a) program. The
late U.S. Sen. Ted Stevens pushed the program through Congress, giving Alaska
Native corporations access to no-bid federal contracts of unlimited size. Other
minority and disadvantaged businesses in the program cannot win sole-
source contracts worth more than $6.5 million. Critics call the Native
benefits unfair and say it opens the door to fraud and waste.

Geistauts sees the program as another example of Native corporations'

success. "They had a big learning curve, and they learned well," he said. "Looking
for help here and there is part of the process of running a corporation. "You take
any other major company, say IBM, and their lobbyists are out there in
Washington, D.C., making sure laws are passed to help them or at least negative
regulations aren't passed."

Alaska's Native regional corporations were created four decades ago in the Alaska
Native Claims Settlement Act to provide Native shareholders with dividends, jobs
and other benefits. Seen as an alternative to the Indian reservations that dot the
Lower 48, they were seeded with nearly $1 billion and 44 million acres of land.
Because of their unique role, they've enjoyed unusual protections while
becoming some of Alaska's most powerful businesses.

Two of those regional corporations collectively paid their top executives less
between 2007 and 2010.

Aleut Corp.'s total slipped $100,000 to $1.2 million. The company notes in its
latest annual report that the controversy surrounding the 8(a) program has made
federal contracts harder to come by, a factor that hurt the company's
performance in 2010. Revenues fell from $154 million to $143 million.

Compensation for Chugach Alaska Corp.'s top executives fell from $3.3 million to
$2.9 million.President Barney Uhart earned $987,000 last year, less than in
previous years, though he also received deferred compensation of $250,000
payable in 2014.

Regional corporations that also saw rapid growth in their top executive
compensation include Bristol Bay Native Corp. and Calista Corp.
Top compensation at some corporations rose more moderately, including Ahtna
Inc., Bering Straits Native Corp. and Doyon, Ltd. Top compensation at CIRI,
NANA and Sealaska didn't see much growth at all -- even though CIRI and
NANA, in particular, saw huge revenue growth.

link

(https://www.adn.com/alaska-news/article/7-alaska-native-corporate-executives-each-earn-more-1-
million/2011/10/21/)

https://www.jobstreet.com.ph/en/companies/491594-alaska-milk-corporation

https://globaledge.msu.edu/industries/food-and-beverage/memo

https://www.prnewswire.com/news-releases/food-and-beverages-global-market-report-2018-
300602932.html?fbclid=IwAR0wXVT0uKZtOoYnztZe1r2L3su9LQP2RHOWzVfzgLhnxpiInoUWYSZUkqY
 https://www.slideshare.net/PTSLIMITED/alaska-milk-corp-case-study-
61220821

MANILA, Philippines — Alaska Milk Corp. expects its sales to grow double digit this
year as demand for milk products continue to pick up, its top official said.

“We hope to have double-digit sales growth this year,” Alaska chairman Wilfred
Uytengsu Jr. told reporters yesterday.

He said the company expects demand and consumption of milk products to grow
following the increase in income or spending power of consumers.

“As disposable income rises, food is generally a beneficiary of that growth, so we would
expect to be part of that,” he said.

He said the first package of the government’s tax reform program has contributed to
improving consumption.
Under the Tax Reform for Acceleration and Inclusion law which took effect earlier this
year, the government reduced personal income tax rates and imposed higher taxes on
fuel, cars, tobacco and sugar beverages to offset foregone revenues.

With prices of consumer goods on the rise, Uytengsu said the company is keeping its
prices in check in order to grow sales.

While prices of Alaska’s milk products have remained steady, he said the company is
keeping a close watch on the cost of skim milk powder, as well as the exchange rate.

Alaska imports 100 percent of its skim milk powder, which accounts for almost 50
percent of its total cost.

The company has a production facility in San Pedro, Laguna which recently completed
its modernization program.

Uytengsu said the company spent almost P1 billion two years ago to increase the
plant’s capacity and improve safety.

While the company ships products based on orders from traders to countries with a
small Filipino population, he said bulk of the sales still comes from the domestic market.

https://www.philstar.com/business/2018/11/07/1866388/alaska-sees-robust-2018-sales-
growth
Market Size The Philippines, with a population of 95,687,643 (July 2011 est. ), growing
annually at 1. 903% (2011 est. ), is a large market for milk and milk products. Dairy
products are the country’s second largest agricultural import after wheat. The
country’s dairy industry, which sources 99% of its inputs from abroad, is
estimated to generate sales of up to P 43. 45B annually. Philippines is a huge market
for milk and milk products with a small dairy farming community that has been growing
vigorously for the past two years. The dairy market generates sales amounting to P44B
annually. Although Filipinos are generally considered non milk drinkers with
consumption at 19 kilograms per year, the Philippine dairy market, including the market
for imported milk, generates over P44billion in revenues annually. 44% of the demand
for milk is concentrated in Metro Manila. Luzon 46,228,000 (2011 est. ) Luzon
46,228,000 (2011 est. ) Visayas 27,877,103 (2011 est. ) Visayas 27,877,103 (2011 est.
) Mindanao 21,582,540 (2011 est. ) Mindanao 21,582,540 (2011 est. ) * Industry
Structure The market for milk and dairy products in the Philippines comprises two very
different segments: * The market for milk and dairy products that are processed in the
Philippines from imported dairy ingredients or imported in retail packed form. This
comprises well over 99% of total consumption; and, * The market for products that are
produced from locally produced raw milk by the Philippines dairy farming industry. This
comprises 1% of total raw milk. Suppliers of imported milk (2011)| Percentage| Australia
| 61%| USA | 23%| Others| 16%| TOTAL | 100%| Table 1: Major Suppliers of imported
milk(2011) Source: www. nda. da. gov. ph/ The Philippines’ dairy industry
consists of two distinct sectors. OUR VISION... Is to be a leading consumer foods
company with a diversified portfolio of consumer food brands and products that are
market leaders in their respective categories. OUR MISSION... PRODUCT
DEVELOPMENT We will continue to build on the strengths and competitive attributes of
the ALASKA brand and develop its full marketing potential. We will develop new
products and identify market opportunities, mindful of our task to be responsive to the
ever changing and growing needs of our consumers. CUSTOMER SERVICE Customer
relationship is an integral part of building the Alaska business. We aim to provide our
partners in trade the best and most efficient service, making use of leading edge
technology to ensure timely product availability and accessibility. We strive to know and
understand our customers fully to bridge the gap between what they need and what we
can give.
QUALITY Ultimately, the consumer whom we serve and their level of satisfaction with
our products become our final judge and jury. We are committed to deliver high quality
milk and other consumer food products from production to consumption. We will
respond to the call to deliver higher quality nutrition to every Filipino home. PEOPLE We
recognize that our people, the Alaska Team Members, are on of our most important
assets and we are committed to promote their safety and welfare. Their wealth of
experience, ideas, dedication and strong work ethic lay the foundation for the
Company's continued success. It is our goal as much as it is theirs, to pursue and reach
their full potentials through continuing education, training, and skills-enhancement
programs. We challenge each individualby providing the opportunity to contribute to the
Company's endeavors.
PROFITABLE GROWTH Growth that creates value for our shareholders is paramount.
We will deploy our resources on investment opportunities that are within our core
competence and yield excellent returns relative to its risks and which are consistent with
our growth objectives. SOCIAL RESPONSIBILITY We recognize our role in nation
building by promoting the protection of the environment and taking part in various
community-building projects that help enhance and uplift the quality of life of the
underprivileged and the marginalizedsectors of our soul One is the milk powder based
sector that imports, re-processes and repacks milk and milk products. The other is the
liquid milk sector that has its imported UHT milk component and the locally
–produced fresh milk component. SECTOR| IMPORTER- REPROCESSOR|
LOCAL MILK PRODUCER-PROCESSORS| TOTAL| Liquid milk market| 70| 30| 100|
Powdered and other milk market| 100| 0| 100| Table 2: Sectors in dairy industry.
Source: www. nda. da. ov. ph/ Figure 2: Total Raw Milk Segmentation Source: www.
nda. da. gov. ph/ * Porter’s Five Forces Analysis Figure 3: Porter’s
Five Forces Analysis Threat of New Entrants (Barriers to Entry) The easier it is for new
companies to enter the industry, the more cutthroat competition there will be. Factors
that can limit the threat of new entrants are known a s barriers to entry. * Existing
loyalty to major b

rands Consumers buy specific Alaska products that they usually buy. Other local or new
entrant companies will be having a hard time competing with Alaska brands since their
consumers are loyal to them. Scarcity of resources Philippines imports 99% of its raw
milk and only 1% are produced locally.

New entrant companies will need a huge budget for importing raw milk. * Government
restrictions or legislation Certain requirements provided by the government should be
met by the new entrant companies in order to start their business.

These restrictions and legislations help AMC to minimize competitors and to remove
illegal distributors.

https://refer.ph/whats-trending-marketing-plan-alaska/

Objective:
OUR VISION...

Is to be a leading consumer foods company with a diversified portfolio of consumer food

brands and products that are market leaders in their respective categories.

OUR MISSION...

PRODUCT DEVELOPMENT
We will continue to build on the strengths and competitive attributes of the ALASKA
brand and develop its full marketing potential. We will develop new products and identify
market opportunities, mindful of our task to be responsive to the ever changing and
growing needs of our consumers.

CUSTOMER SERVICE

Customer relationship is an integral part of building the Alaska business. We aim to

provide our partners in trade the best and most efficient service, making use of leading
edge technology to ensure timely product availability and accessibility. We strive to
know and understand our customers fully to bridge the gap between what they need
and what we can give.

QUALITY

Ultimately, the consumer whom we serve and their level of satisfaction with our
products become our final judge and jury. We are committed to deliver high quality milk
and other consumer food products from production to consumption. We will respond to
the call to deliver higher quality nutrition to every Filipino home.

PEOPLE

We recognize that our people, the Alaska Team Members, are on of our most important
assets and we are committed to promote their safety and welfare. Their wealth of
experience, ideas, dedication and strong work ethic lay the foundation for the
Company's continued success. It is our goal as much as it is theirs, to pursue and reach
their full potentials through continuing education, training, and skills-enhancement
programs. We challenge each individualby providing the opportunity to contribute to the
Company's endeavors.

PROFITABLE GROWTH

Growth that creates value for our shareholders is paramount. We will deploy our
resources on investment opportunities that are within our core competence and yield
excellent returns relative to its risks and which are consistent with our growth objectives.

SOCIAL RESPONSIBILITY

We recognize our role in nation building by promoting the protection of the environment
and taking part in various community-building projects that help enhance and uplift the
quality of life of the underprivileged and the marginalizedsectors of our soul.
http://saraholaguera.blogspot.com/2010/03/company-profile-alaska-milk-
products_18.html?m=1
https://www.scribd.com/?lohp=1

https://phdessay.com/marketing-plan-
alaska/?fbclid=IwAR1rDrta8X8qYGaKkzkkEFAu8vAqv3Dhbv_fiuvfTP_keg_q6G83O8Orbhw