INVESTOR NEWSLETTER - JANUARY 2009

Dear Cornerstone Investor:
I am delighted to serve as your Cornerstone Chair in 2009. Let me begin by extending my thanks to Cornerstone's partners in economic development, including our seven surrounding partner counties: Baker, Clay, Duval, Flagler, Nassau, Putnam and St. Johns, the JEDC, JAA, JAXPORT, JTA, JEA and WorkSource. The support and leadership of these organizations was key to the growth we experienced last year, and this collaboration remains critical to our future.

Even though we still face challenging economic times, our region has proved that it is more resilient than we thought. We closed 2008 with job growth and company growth and we have already begun working toward these same goals for 2009. I know that with your help we will make 2009 just as successful as 2008.

Highlights from 2008
We closed 2008 with the creation of more than 3,300 new jobs from 17 different companies. We worked diligently with all of our partners to ensure the continued success of our region's economic development growth. Some of the major highlights from 2008 include:

• Deutsche Bank – 1,000 new jobs
• Alenia’s decision to move forward with its aircraft assembly plant at Cecil Commerce Center, creating 300 jobs and investing $104 million
• Palm Coast Data – 700 new jobs (in addition to 1,000 retained) for Flagler County
• Pilot Pen and Rail America’s corporate headquarters relocations
• Jobs added by existing companies: FIS/Lender Processing Services and Allstate
• New distribution centers for Volkswagen of America and Cadbury Schweppes
• Oshkosh Trucks – 100 new manufacturing positions

All of these accomplishments, along with many others, have contributed to the growth and success in our region and will continue to impact our area in the future.

Key Strategy - Web site
One of our key strategies this year is the redesign of our Web site, www.expandinjax.com. While the current site is a great representation of the hard work and dedication we have for economic development, our redesigned Web site will offer new content and functionality to enhance and expand the user experience.

The world is changing and to keep up with it we must change and evolve as well. I encourage each of you to go to the Web site, www.expandinjax.com, to look at the design and information available. Once the redesign is complete, take a look at the changes and how we are branding our economic development efforts.

The Year Ahead
Most economists are projecting that the nation’s economy will begin turning upward in the 3rd or 4th quarter of 2009. We will continue to aggressively pursue companies in our targeted industries, with additional focus on those that are less impacted by the recession. Helping our existing business community will remain a top priority for Cornerstone.

We are beginning the year with 46 active prospects. We expect decisions on many of their projects to be delayed until more uncertainty is removed from the market. The upside of all this news is that when the world economy stabilizes, Jacksonville is well positioned to take advantage of the next economic expansion cycle with above average rates of job growth and capital investment.

MOL/TraPac just opened its new terminal, ushering in a new era for Jacksonville. This will be followed by construction of a new $300 million terminal by Hanjin during the next three years. These two events are significant to the success and future of Jacksonville and Northeast Florida.

The U.S. Navy has officially designated the Naval Station at Mayport as the future homeport of a nuclear-powered aircraft carrier currently stationed in Norfolk, VA. The economic impact on the city will be immeasurable. The carrier will bring approximately 3,200 new jobs to Jacksonville and infrastructure improvements and necessary upgrades will be made to enable Mayport to accommodate a nuclear carrier - an estimated $426 million in construction costs.

Vice Chair of Morgan Stanley (retired) to Speak at First Quarter Cornerstone Luncheon
Mark your calendar for the first Cornerstone luncheon of the year, March 24 at the Hyatt Riverfront. We are excited to announce that Margaret Black, immediate-past vice chairman of Morgan Stanley, will be the keynote speaker for this luncheon. She will be discussing current economic issues we face and where the economy is going.

Look for more information in upcoming investor newsletters and your monthly publications of Access.

Sincerely,


Greg Smith
Cornerstone Chair
Jacksonville and Northeast Florida President, Bank of America

 

Baker, Clay, Duval, Flagler, Nassau, Putnam and St. Johns Counties
3 Independent Drive • Jacksonville Fl 32202 • 904.366.6639
bizrelo@jacksonvillechamber.org • www.expandinjax.com
Where the Future Leads®