Team Northeast Ohio 2009 State of the Region

September 24, 2009

Welcome

Chris ConnorChairman & CEO, Sherwin-Williams Co.

Chairman, Board of Trustees, Team Northeast Ohio

Business Investment and Economic Update

Tom WaltermireChief Executive Officer,

Team Northeast Ohio

How Well Do You Know the Plus?

1 2 3

17%

53%

30%

The Output (Gross Regional Product) for Manufacturing in the past 15 Years in Northeast Ohio has:

1. Grown

2. Remained Stable

3. Declined

NEO Manufacturing Output Stable:Growing Segments

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1 2 3 4 5

27%

17% 17%17%

23%

Compared to 2004, NEO Industrial Vacancy Rate in 2009 is:

1. Much Lower

2. A Little Lower

3. Similar/Comparable

4. A Little Higher

5. A Lot Higher

Industrial Vacancy Lowest in 5 Years

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1 2 3 4

27%

33%

20%20%

How Many Northeast Ohioans Live In One County, but Work in Another?

1. 5%

2. 15%

3. 25%

4. 50%

We Live and Work as a Region

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1 2 3 4 5

20% 20%

27%

17%17%

Which Industry Has Grown Faster in Northeast Ohio Than in the Rest of the US?

1. Biomedical

2. Computer/Electronics Manufacturing

3. Scientific R&D

4. None of the Above

5. All of the Above

High Growth Industries Outpacing US

Transitioning Economy

Economy: Long-Term Growth; Short-Term Mirroring Nation

Unemployment Gap to US Closing

Diversifying Economy

NEO Still Top HQ Region

Bio-Med: 37% Growth/5 Years

Team NEO: Regional Business Attraction

20

NEO Regional Economic Development System

Team NEO: Regional Business Attraction Agent

Generate Leads

ExecuteLeads

Promote Regional Teamwork

Team NEO’s Strategic Focus

Team NEO advances Northeast Ohio's economy by attracting businesses worldwide to the 16-county Cleveland Plus region.

 

Team NEO’s Mission

Partners and FundersThe People who Make it all Possible

TIMKEN FOUNDATION of Canton

43Active Leads

Generate Impressions

NEO Region Economic Development System

CloseDeal

Qualify Leads

Qualify NEO

Negotiate Deal

# qualified leads # short list $Payroll

Metrics

53New 2009 Leads

Increasing Local Role

Business Attraction Remains Strong

Objectives 2008 Actual

9/24/09Actual

New Qualified Leads 82 53

Leads to Short List 26 18

New Annual Payroll Added

$32 MM $19 MM

Pipeline: 17 Active Short List Projects:Potential Payroll of $77 million (1,700 jobs) 

Results

Transformational Activity Across Region

• Cuyahoga/Cleveland– Opportunity Corridor Receiving $20M from State

of OH; GCP Launches Steering Committee– Medical Mart/Convention Center Plans in Place

with Team in Region– Gordon Square Arts District Opens $7.5M

Capitol Theater; District Renovations Anticipated at $55M+ Capital Investment

Transformational Activity Across Region

• Summit/Akron– National Polymer Innovation Center: $20M

investment to house 10 laboratories – PlusOne Communications to add 1,000 new jobs,

$5M total investment

• Stark/Canton– Shearer’s Foods: $66 M expansion to add 70 Jobs– Rolls-Royce Fuel Cell Systems expanding at Stark

State College of Technology

Transformational Activity Across Region

• Lorain– Greenfield Solar Corp. to Create 200 New Jobs– Immediate Pharmaceutical Services, Inc. to

Open New Facility and Add 200 New Jobs

• Medina– Falcon Industries: 350K Sq. Ft. Facility, 45 Jobs– $6M Sandridge Food Corp. Expansion, 50 Jobs

• Youngstown/Warren– V&M Star Finalizing $1B Expansion– GM Completing $350M Investment in Lordstown

Be The Plus• Be the Plus:

– Know the Facts; Be Positive

• Pass the Plus: – Spread Good News to Customers, Employees

• Build the Plus: – Help Team NEO Create In-Region Lead Referrals– Assist with Specific Company Site Visits– Support the Cleveland Plus Campaign

Business Attraction Wins:

Welcome to the Plus

• California-based global pharmaceutical firm

• R&D Center in NEO

• 60+ new jobs, $3 million in new, annual payroll

• Company chose NEO over California

• Global accounts receivable and call center management company

• Call center in Middleburg Heights

• 125 new jobs, $3.1 million in new annual payroll

• Chose NEO for workforce, strategic location and ease of doing business

• Galway, Ireland innovator of surgical products

• US Headquarters in Cleveland

• 26 new jobs; $1.8 million in new annual payroll

• Chose NEO for strategic collaborations including Case Western Reserve, the Cleveland Clinic and the Global Cardiovascular Innovation Center

• Indiana-based specialized steel processor

• Establishing manufacturing facility in Cleveland

• $18.5 million in capital investment

• 60+ new jobs, $3.1 million in new annual payroll

• Chose NEO for geographic strategic position

Regional Marketing:

A PLUS for Northeast Ohio

A Strong Region Starts with Strong Communities

Mayors’ Discussion

Richard B. McQueenPresident and CEO

Akron-Canton Airport

The City of Akron

The Honorable Donald L. Plusquellic

Bruce KlinkPresident

Dominion East Ohio

The City of Canton

The Honorable William J. Healy II

Rob Reynolds

Senior Director – External Affairs

AT&T

The City of Cleveland

The Honorable Frank G. Jackson

Mike Hardy

Partner

Thompson Hine LLP

The City of Youngstown

The Honorable Jay Williams

The Honorable Mayor Donald L. Plusquellic, City of Akron

The Honorable Mayor William J. Healy IICity of Canton

The Honorable Mayor Frank G. Jackson,City of Cleveland

The Honorable Mayor Jay Williams, City of Youngstown

Moderated by: Tom Waltermire,

CEO Team NEO