Lead Generation 2012 (T&L)

Prepared For:CRP Executive Committee

April 19, 2013

Agenda• Campaign Summary,• Partner Collaboration Examples,• SCL and CSCMP Results,• Outreach and Results Compared

to Work Plan,• Walmart Results,• Value of Economic Development.

A Summary of the CampaignMarketing Practices 2011 2012

Publications No Inbound Logistics (CED review)

Public Relations Reactive, Herald Media Planet (VHI)

Memory Sticks No Over 400 in market

Print Collateral No Completed two revisions and distributed at SCL and CSCMP.

Trade Shows Winnipeg 2010 SCL & CSCMP, and touch screen update.

Website Yes – GIS Coming GIS, Investin.ca update, & new CRP site update.

Trade Missions No Hosted Brazil

Local VHI, Province CLC, LAC (CED), Minister McIvor.

Outreach No 71

T&L Cluster Profile, TLC Model Profile, TLC Model

Outreach 2012

AJW Warehousing Inc. Green Mountain Consulting Port Metro VancouverAlberta Ministry of Labour Halifax Airport Pricess AutoAllstream Hillwood Properties PrimeraAppalachian State University Holland International Distribution Council PROLOGISBison Transport Home Depot ProxibidBucks Consulting IMS World Wide Red PrairieCalgary Board of Education Initiatives - Prince George Reimer Associates Inc.Calgary Catholic School Board Kane RyderCBRE Kelly-Moore Paints Ryder Lift TrucksCDC Kimberly Clark SafewayCentral Michigan University Labatt Breweries of Canada SCIChep Lantic SCLCN Lowes Scotia Investments LimitedColliers Meeting Plus SmartSourcedConsulate General of Canada Metro Logistics South Carolina State Ports AuthorityCornwall Ec Dev MIQ Logistics SuncorCP MP Objects ThreePL Quality Systems Inc.CRESA NHTV ToshibaDelcan Nippon Exoress Canada LTD Wal-MartEFW NRWInvestment WAMeyefor Transport OLSH Western Star TruckingFood & Consumer Products of Canada Pacific Western WhirlpoolGenco Panalpina YYCGermany Trade Investment Port Alberta

Over 100 information requests processed during the project.

Collaboration Examples

• SCL - CED, CP, OLSH, Airdrie, and WAM came with, and met Walmart.

• Updated all marketing material for CRP touch screen,• Produced movie,• CSCMP - peer review of op. ed. for Inbound Logistics

Magazine, compare on economic impact numbers, • Arrange CN meeting and presentation,• VHI value - Inland Port study, Media Planet.

Calgary Region:Transportation & Logistics Video

Both Trade Shows - Great Source Initiated contact for win and many out of market leads at

the two shows attended.

• SCL – Attained contact information from 23 of the 142 attending companies - one of which was direct contact with Wal-Mart.

• CSCMP - Personal contact information was attained from 39 organizations, and many high potential candidates developed.

• Trade booth paid for by CED with CRP providing touchscreens and collaterals

• T. Boone Pickens breakfast keynote presentation on Tuesday, October 2 was largely skewed to the energy sector and he specifically mentioned Calgary and Alberta as a great place to do business.

• Touch screen unit was a great addition to the booth – was positioned well and attracted lots of attendees.

• Customize content for the show was essential, and the Total Landed Cost Model was the best lead information.

• Positive feedback about editorial/ad in Inbound Logistics Magazine.

Compared to Work Plan

Objectives Outcomes

Targets 75 183

Leads 20 71

Prospects 5 to 8 14, one transaction

All measures exceeded from a workload perspective.

Results – Walmart Largest deal in region in 2012. Six different contacts

(buyer’s broker, two supply chain leaders and real estate, and two at the developer).

Address 11900 18 Street NE

Size SF 436,263

TaxAssessment Value 38,830,000$ Annual Property Tax Rate 2012 0.0162453Annual Property Tax 630,805.00$ Business Tax Rate 2012 0.0809Annual Business Tax 3,141,347$

Total Tax for the City of Calgary 3,772,152$

EmploymentBuilding in Meters Square 40,530.20 Meter Square per FTE 75Total Employment Estimate 540 Average Wage Assumption 20.00$ Average Hour worked per Year 2000Combine Annual Salary Estimate 21,616,106$

Value of Economic Development .61 % of the conservative tax value calculation from this

one deal justifies the 2012 project.

• NPV of $3,780,000 when discounted at 10% over 5 years is $14,640,000.

• CRP’s budget for the entire Lead Generation Project was approximately 0.61% of this value.

• If 5 % of the above tax was the amount of credit given to the project, then it would justify the project for 8 years.

• In fact one year’s worth of the above property tax is more than the entire annual budget for the CRP.

• Did not include Federal and Provincial tax for $20 million in salaries in value calculation, or the impact of the employee spending in the region.

• Conservative NPV – 10% is high for private industry, and the business will likely operate for much longer than 5 years in the region.