Better Business Bureau serving Upstate New York

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1 Better Business Bureau serving Upstate New York Annual Report of Activities Celebrating 100 Years of Service

2 Table of Contents Summary 2 Financials 3-4 Operations 5 Dispute Resolution 6 Public Relations/Communications 7 Board Roster 8

3 Summary This report is a review of BBB and BBB Foundation programs and services for our fiscal year ending 3/31/2012. The Bureau serves 48 counties of Upstate New York from our headquarters at 100 Bryant Woods South, Amherst, NY, The operational and financial performances of the organization continue to be exceptional. In 2011 we provided over 1,000,000 instances of service to consumers, businesses and other clients; while realizing excellent financial growth. This performance is the result of combined efforts by the Board of Directors, staff and volunteers. It is also the result of the support of almost 6,000 Accredited Businesses (members), who underwrite the services we provide to the 750 cities, towns and villages we serve. In addition to all the work reported on here, the Bureau planned and began implementation of a transition at the President position. This transition is set to occur on June 1 st, 2012 with the retirement of President David Polino. He will be succeeded by former long time Director Warren Clark.

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6 Operations BBB Services ~ BBB Business Reviews 1,297,724 BBB maintains files on all firms conducting business within our service area that generate inquiries and complaints. Our reports on those firms, known as BBB Business Reviews, are used by consumers and businesses contemplating a business transaction. Reports include information on ownership, type of business, customer relations, complaint history, government actions and general advice about the industry. BBB Complaints Opened 17,637 Closed 19,846 BBB accepts complaints against businesses located in our service area, and includes the numbers, type and disposition of all complaints in our Business Reviews. Complaints are settled on average 72% of the time for all complaints, but 99% rate for BBB Accredited businesses. Advertising Review Cases Opened 125 Closed 118 BBB reviews advertising claims made by firms conducting business in our service area to ensure BBB Code of Advertising is met. We currently review claims received from various sources that involve print, radio and websites.

7 Dispute Resolution The Better Business Bureau offers a variety of Dispute Resolution services to the public including NYS Lemon Law, Autoline, Verizon and Commercial Arbitrations. The Stop Shoplifting Education Program is a diversionary course allowing the alleged petit larceny offender an opportunity to attend an educational class instead of being charged with the crime of petit larceny; being prosecuted, and having a permanent criminal record. In 2011/2012 there were: Referred 1018 Attended 833 Classes 51 Other community education initiatives of the Better Business Bureau Foundation include: BBB tips and Scam alerts The BBB Foundation dedicates resources toward public education through media alerts, interviews, newsletters and other communication resources. We provide pre-purchase advice for consumers on a wide range of topics, scam alerts, fraud alerts and other marketplace issues with the goal of helping them avoid them. We invite you to sign up for our Consumer News letter and visit our News Center for more information. Military Line This BBB program offers expedited services and consumer education to military personnel and their families assisting them with disputes and scams. BBB works to identify scam activity and alerts for all military divisions to prevent them from falling victim. BBB complaint data is shared with the Pentagon to further investigations. Defensive Driving BBB has partnered with AT&T and Carubba Collision Corp. to offer a NYS Approved Defensive Driving workshop. The driving class is free to U.S. military and veterans in Erie and Niagara County. BBB AUTO LINE. is the nation's oldest and most respected auto warranty dispute resolution program. It is an out-of-court program administered by the BBB to settle automotive disputes. An informal hearing is held where a neutral third party, the arbitrator, decides how the dispute will be resolved.

8 BBB Services ~ Public Relations and Communication The BBB serving Upstate New York places significant emphasis upon public relations outreach to communicate to nearly 1,500 media professionals on a regular and consistent basis. We serve 9 media markets spread across our 48 county region to include: Albany Binghamton Buffalo Elmira Plattsburg Rochester Syracuse Utica & Watertown BBB Press Releases 60 BBB Media Coverage estimated at 1,856 Information is developed as press releases to share BBB alerts and consumer articles for the public via media outlets. This activity is ongoing and drives consistent public awareness throughout the year. The Better Business Bureau serving Upstate New York is mentioned 5 or more times daily by media outlets, reporters or anchors across our service area. Tracking tools capture much of this activity yet we note the volume of BBB media coverage exceeds the reportable statistic. BBB Consumer Communication 6 Nearly 40,000 consumers have self-selected to receive BBB newsletters which contain tips and alerts sent bi-monthly. BBB Accredited Business Communication 12 Our nearly 6,000 Accredited Business receive newsletter communication that contains benefit information, tips to enhance business operations and alerts sent monthly. Awards Presented 2011 Edward A. Schmidt Student of Integrity Awards to 4 High School Seniors: Claudia Germuga of Batavia High School Devon Smith of Lake Shore Senior High School Courtney Brimmer of Saratoga Central Catholic Alyssa Jerge of Lancaster High School

9 Board Roster Steven Abramson Pace Window & Door Corp John Bartolotta M&T Bank David Carr James Dunn Lumsden & McCormick, LLC Marilynn Fleckenstein Niagara University Michael Gross Heritage Centers C. Douglas Hartmayer NFTA Robert Holliday AT&T Raymond Isaac Isaac Heating & Air Conditioning, Inc. Richard Kaplan Torvec Inc. Mary Ann Lauricella Lauricella Public Relations, Co. Paul Leone Amherst IDA Patricia McGrath Brian Peek American Coradius International LLC Joseph Petrozzi David Polino Better Business Bureau President Norbert Rappl Paul Stasiak Niagara Frontier Auto Dealers Assoc. Philip Toohey Richard Wall Canisius College Eugene Welch Harris, Chesworth, O Brien, Johnstone, Welch John Wynne BCO Industries Robert Zabel

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