It is with great pride and satisfaction that I write this report to you all. Last season started out very strong and continued throughout the entire season ending our year with historical gross sales and profit levels, surpassing even the tremendous levels set by Alex Shieff and the OTA back in the late 70's and early 80's.
The season prior to last, witnessed FHA paying out 20% interest to all our RPC holders, as well paying out two series of RPCs and issuing a further 5% rebate. No other company in this business gives back to its suppliers at the levels this place does. This coming fall you can expect even greater rebates and this news will be delivered in late November.
As last year was so spectacular, and our results on certain articles set the price bar for the season, we have decided to reduce the selling commission on two very important articles to 8% for the entire 2013/2014 selling season. Both Fisher and Marten will be sold at a 3% reduction in commission and NO $100 membership fee is taken in order to qualify.
The fact that last year our top Marten sold for $1300 per skin, Fisher topped at $750 and averages were at such high levels, it was an easy decision to make. The fact that we will be selling to the largest crowd in the history of the world's fur trade this year in Finland, means competition for your product will be at levels NEVER witnessed before.
This 3% commission reduction is easily given up by FHA as current prices are expected to be very strong again this season. If this year is a repeat of last year, we will continue offering this reduced selling commission and may offer it on more articles.
The decision to sell in Finland was simple and has been considered for some time now. This year's busy auction and fur fair calendar made this move a reality. All three companies have their own exclusive uniqueness. Saga houses 95% of the world's Ranch Fox market. American Legend has the Black Glama label and the finest Black Mink in the world, and FHA has the finest collection of wild goods from the premier regions on this continent.
Our gracious hosts for the March and May/June auctions is Saga Furs of Helsinki Finland. Saga just celebrated a combined 100 year history of their company, 75 years as an auction house and 25 years with a world renowned design centre.
The fur trade is now calling this the "Auction of the century" and buyer attendances is conservatively set at 1000+.
With these three unique auction companies forming the alliance and marketing under one roof in March and May, you must ask yourself, if you were a buyer, could you afford to miss these sales? This is why we have gotten such an overwhelmingly positive response from the entire world fur trade on this alliance.
The trade appreciates the fact that they can attend our sales and kill three birds with one stone, rather than fly around the globe to attend them separately. There is basically too much at stake in goods and money to not be present at these two sales. A major benefit our trappers will receive is the unprecedented exposure. Helsinki has tremendous Russian support as Moscow is only a 1 1/2 hour flight and St. Pertersburg is only a 3 hour train ride away.
All the Eastern European markets as well as Turkey's, are a strong trim trade, and the fashion industry of Italy and Europe have long been tremendous supporters of Saga sales. Combine that with the dominant Hong Kong and Chinese trade and the quality demanding Korean trade, and you get a clear picture of a crowded, hungry auction room, as never seen before.
This is yet another year to trap hard and get as much product on these two auctions as possible to capitalize on this amazing opportunity.
Good luck and be safe. As always, we thank you for your trust and confidence in entrusting FHA in the marketing of your product.
Chief Executive Officer
Fur Harvesters Auction Inc