Toronto, February 3, 2006 — Unveiled today, the 2005 winners of Canada's 50 Best Managed Companies award, embrace a bold 'can do' attitude enabling them to succeed in a ferociously competitive world. The 2005 Best Managed companies understand that competition is no longer local —  it is global for every business. 

 "Through the 2005 Best Managed winners, we see a new level of confidence among Canadian businesses. There is a recognition that companies will inevitably grow to dominate industries across the globe, and Canada is no longer willing to sit back and wait for the U.S., Asia or Europe to lead the way," commented John Hughes, Deloitte Partner, and National Leader of the Best Managed program. "These companies realize it's not just about understanding their own market, but applying best business practices on the global stage.  It's not surprising they aim to become world class organizations."

The 2005 Best Managed companies achieved some of the strongest financial results since the program's inception 13 years ago. This year's winners account for consolidated sales of over $7 billion in 2005, with sales growth of more than 25% over the last 2 years. The number of employees at Best Managed companies has increased at a compound annual growth rate of almost 20% over the last two years and they employ more than 20,000 employees. This year's winners are pursuing a variety of growth strategies, from acquisitions, to strategic alliances and partnerships, to product or service innovation, but international expansion is at the forefront of the majority of winners' strategies (54%).    

"Good businesses do everything right to make a profit, however, Best Managed companies profit as a consequence of doing all the right things. They can't envisage doing it any other way — that's the key differentiator," continued Hughes.

This year's winners cited developing unique products or services as their key competitive advantage (26%),  followed by strong leadership (20%), and employee innovation (14%). Not surprisingly, maintaining their product/service edge over competitors is their key challenge (26%), followed by maintaining good customer relationships as they continue to grow (18%). 

"The 2005 Best Managed companies are integral to the economic success of Canada, and are in the driving seat as Canada strives forward as a global player," said James McSherry, Executive Vice President and Managing Director, CIBC Commercial Banking, a national sponsor of the program. "Clearly, these exceptional companies have a solid understanding of best practice winning formulas, and consistently excel across all areas of their organization in relation to the three fundamental business building blocks of strategy, capability, and commitment."

National Requalified members
This year, a total of 86 companies were recognized as Requalifed members (repeat winners retain the Best Managed designation for two additional years, subject to annual operational and financial review.)

What it takes to be the best
What does it take to be the best? Detailed analysis of this year's Best Managed winners reveals 10 common attributes that 2005 Best Managed winners share to help create sustained growth:

1. Preserve the founder's original core vision, values, and philosophies. Best Managed winners also maintain a sense of 'family culture' throughout the growth process.
2. Act strategically. Owners of Best Managed companies are highly strategic and hire strong management teams to run business operations so they can focus on strategy.
3. Focus on core competencies. Best Managed companies leverage and improve core competencies, rather than developing new ones.
4. Put the customer first. Exceptional customer relationships are key to a Best Managed company's success and a foundation for solid growth.
5. Measure what counts. Best Managed companies use financial and qualitative metrics to measure success to ensure all employees work towards common goals.
6. Foster a culture of team work. Employees across all functions in Best Managed companies collaborate effectively — a competitive advantage when speed to market is key.
7. Hire the right people. Best Managed companies spend a lot of time and money hiring the right people that have a complementary skill set and are a fit for the team and corporate culture.
8. Set challenging goals. Best Managed companies set challenging, yet achievable goals to stimulate and engage their employees to achieve personal and corporate goals.
9. Reward employees. Best Managed companies show they value their employees with flexible and unique compensation packages, including monetary and non-monetary compensation.
10. Give back to the community. Best Managed companies care about their communities and are active and generous with both their time and money.

2005 Best Managed Winners by Province

Media are invited to join Best Managed winners, Platinum Club members, and Requalified members as they are honoured at the annual Symposium and Gala in Toronto on February 6, 2006. The Symposium provides a unique opportunity meet and interview Canada's Best Managed CEOs and key executives featured in Deloitte's newly published book, Building the Best: Lessons from inside Canada's Best Managed Companies. Media are also invited to attend sessions that address key leadership and management challenges. The black tie evening Gala, hosted by Rick Mercer, celebrates the achievement of Best Managed Companies with an award presentation. Requests for media attendance or interviews must be confirmed in advance.

About Canada's Best Managed Companies
Established in 1993, Canada's 50 Best Managed Companies (Best Managed) is one of the country's leading business awards program, recognizing excellence in Canadian-owned and managed companies with revenues over $10 million. Every year, hundreds of entrepreneurial companies compete for this designation in a rigorous and independent process that evaluates the caliber of their management abilities and practices. The awards are granted on three levels: 1) Best Managed winner (one of the 50 new winners selected each year); 2) Requalified member (repeat winners retain the Best Managed designation for two additional years, subject to annual operational and financial review); 3) Platinum Club member (winners that maintain Best Managed status for a minimum of six consecutive years.) Program sponsors are Deloitte, CIBC Commercial Banking, National Post, and Queen's School of Business. For further information, visit www.canadas50best.com.