At the other end of the chain,
we have established a diverse customer base. Our logistics network services over 370 end-use customers in a wide variety of industries and geographic locations.
As you can see from this chart, we supply a diverse range of industries in North America, and the largest customer represents less than 3% of revenue. We strive to diversify our end-use customers by company, industry and geography.

We target profitable markets, which generally means customers that require relatively small quantities of chemicals, enhanced products such as ultrapure acid, or special services.

By targeting a diverse market we are able to maximize the value we receive for the by-products and dampen the effect on Chemtrade
of an economic downturn by any particular customer or industry.

This business model may sound simple enough - a logistics network that binds together producers and customers. However, like most simple propositions, successful execution requires special skills, reliable service and strong customer relationships, all of which Chemtrade has developed over 70 years in the business.
The steady long-term financial performance we have recorded and the leadership position we have established in our industry, reflect our successful application of this business strategy and the underlying strengths of the business we have outlined today, namely:
  • We have access to a large volume of competitively-priced by-products.

  • Most of our business is sheltered from product price fluctuations through fee-based, matched and risk-shared contracts.

  • We have a diverse customer base that generally requires small quantities of product and special services that allow us to premium price.

  • Our long-term relationships with producers and customers, infrastructure, and industry leading reputation for reliability and safety, are effective barriers to entry by competitors.

The business model I have outlined today is the cornerstone for Chemtrade's key objective which is to ensure the stability and sustainability of distribution payments to unitholders. Every aspect of our business is conducted with this objective in mind.

I believe we have succeeded in meeting that objective.

I'll now ask Vic to review the performance of the Fund since the IPO in July last year. After Vic, I will come back and talk about growth.