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PORTFOLIOANNUAL REPORT FY 2013-2014

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912 83 7

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MEASURE

At the Port of Portland, measurements are a key part of decision-making. We ask questions such as: is our river deep enough and our facilities cost-effective enough to competitively move ships carrying cargo to and from our region? Is there enough developable land ready to attract new business investment? Are our runways at Portland International Airport long enough to accommodate fully loaded freight aircraft? Can the terminal efficiently serve more than 16 million travelers each year? Or perhaps most important to many of our PDX stakeholders – how much replacement carpet is needed? (Answer: more than 13 acres!)

Perhaps one of the most important things we measure at the Port is our progress toward specific business goals. Since 96 percent of Port revenues are derived from business transactions (not taxes) we must remain keenly focused on the initiatives and activities that help us reach not only financial goals, but social and environmental goals as well.

Bottom line: what you measure is what you get. This is where the Port’s strategic planning process comes in. Every five years, with yearly updates to address changing market conditions, Port staff develops a tightly

focused set of initiatives and strategies that further the Port’s mission to enhance the region’s economy and quality of life by providing efficient cargo and air passenger access to national and global markets, and by promoting industrial development.

The Port’s Strategic Plan sets clear goals and objectives and describes how success will be measured. It helps inform each and every employee of his or her role in the organization’s success and emphasizes to our customers the degree to which we remain focused on their success with us.

In this year’s annual report you will find our customary financial and business performance information coupled with a summary of this year’s performance in accordance with the 2010-2015 strategic plan objectives. But since this planning work is never really done, and we’re already well down the road on our 2015-2020 plan, we have included details of the new plan here as well. I believe it is one of the best we have ever produced, thanks to meaningful guidance from a diversity of contributors.

Over the course of the past several months, we have held seven panels with outside experts and stakeholders and tapped into the expertise of our Airport Futures Committee and the Maritime Futures Blue Ribbon Task Force to gather input and ideas. We’ve reaffirmed our vision, mission and values, clarified our regional role, examined the Port’s strengths, weaknesses, opportunities and challenges and developed the initiatives and strategies to address each.

Most importantly we’re laying out corresponding metrics and measures to ensure we stay on track. I feel confident that our new strategic plan will provide a clear path for the Port as we embrace the challenges of securing revenue to fund operations, make capital improvements, address legal challenges such as the Portland Harbor Superfund site and deliver on our mission for all of our stakeholders. I welcome your thoughts and suggestions.

Bill WyattExecutive Director

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2010-2015 Strategic Plan Results The Port’s current strategic plan runs through June 30, 2015. That plan identifies six Strategic Areas of Focus for the Port:• Retain and Grow Key Service• Be a Leader in Regional Industrial Land Acquisition and Development• Be a Leader in Regional Transportation Infrastructure• Maintain a Sustainable Financial Model• Strengthen the Port’s Culture As a Strategic Asset• Develop a Portwide Environmental Strategy

The information below lists the key results for FY 2013-14 for each Area of Focus. Additional detail can be found in the following sections of this report (pages 10-27).

Aviation Highlights • New summer seasonal destinations: Baltimore, Houston

• Additional frequencies to existing markets

• Airlines entering new markets – Alaska to Dallas and Salt Lake, and Delta to Los Angeles and Seattle

• Seasonal flights expanding to yearly – Bellingham, Charlotte, Detroit, and Santa Barbara

• Larger aircraft on transoceanic flights

Marine Highlights

• Fifth highest volume year

• Ford export growth stronger than expected

• Port able to retain container service

• Short sea service from Mexico begins for Honda

• Reactivated Berth 315 for layberth use by Vigor Industrial

• Many bulk terminal improvements made including: International Raw Materials pipeline, Kinder Morgan new loader, Columbia Grain upgrades

• Port was able to ensure the continued Hanjin direct call through adoption of a carrier incentive program, though Hanjin is reviewing on a quarterly basis.

• Commission approved Daimler transaction: 2,000 jobs retained; 350 new jobs; $80k average salary

• Capstone (Portland International Center) project agreement reached and under construction – first spec industrial project since 2007 in regional market

• Played lead statewide role in passing legislation during the 2013 session creating new financial tools aimed at site readiness for large industrial properties

• Secured $11.57 million of grant funds for transportation improvements to Port property, marine facilities and surface transportation access to aviation facilities

• Secured Oregon Legislature’s funding commitment for Oregon portion of Columbia River Crossing

• Finalized Port Rail Plan and updated Port Transportation Improvement Plan

• Completed Westside Freight and Logistics Analysis identifying improvements to enhance computer and electronics company access to PDX. The report served as a basis for federal TIGER grant award to Washington County for the improvements

• Helped secure robust funding for the U.S. Army Corps of Engineers maintenance funding for the navigation channels

• Marine revenues are above budget, and expenses are below. Industrial development expenses are also below budget

• Port Cost Center income exceeded the goal as a result of higher parking revenues generated from higher passenger levels and the parking rate increase implemented in April for the short-term and long-term parking garages

• Signatory Airline Cost Center Net Requirement is higher than the goal due to the recording of an environmental accrual for the cleanup of the McBride Slough

• Marine successfully became certified and graduated the Safety and Health Achievement Recognition Program. PDX and Aviation Maintenance are working toward SHARP certification

• Wellness activities continue to have a positive impact on health benefit costs

• Health care benefit costs up only 5.1 percent, below the target set (market rate = 8.2 percent); saved Port $436K

• Kaiser medical risk trends are down for the third year in a row

• Continued work on the Lower Willamette Superfund project

• Received ISO 140001 certification – the international standard for Environmental Management Systems

• Lowered greenhouse gas emissions to 65 percent below 1990 levels and continued purchasing 100 percent renewable power

• Completed repowering the Dredge Oregon reducing carbon emission by 40 percent and diesel particulate matter by 88 percent

• Saved 824,370 kilowatts through lighting retrofits in parking garage

• On track to save 10.9 million gallons of water annually through rental car Quick Turnaround facility upgrades

• Planted more than 1,600 native plants at Portland International Center for wetland enhancement and 2,000 shrubs, herbs and other plants at East Whitaker Ponds for turtle habitat

• Completed a plan to achieve Zero Waste facilities Portwide within the next five years

Retain/Grow Key Service Industrial Land Acquisition and Development

Regional Leader in Freight Transportation Infrastructure

Maintain a Sustainable Financial Model

Strengthen Port’s Culture As a Strategic Asset

Develop a Portwide Environmental Strategy

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2015-2020 Strategic Plan The Port’s new strategic plan runs July 1, 2015 through June 30, 2020. That plan identifies four Strategic Areas of Focus for the Port:

• Drive regional prosperity• Deliver an outstanding PDX passenger experience• Connect people and business to markets• Promote excellence in organizational effectiveness

To ensure progress towards the four Strategic Areas of Focus, Port leadership has identified a new set of initiatives and objectives to review at the end of each fiscal year. These initiatives and objectives are described in this table, and can also be viewed on the Port website.

Tax base growth/retention; Industrial acres brought to market; Per capita income increase

• Increase region’s supply of traded-sector, large-lot, market-ready land

• Elevate the Port’s role as a leader in promoting the importance of trade and transportation to the regional economy

• Promote and encourage middle-wage or higher jobs through policy and practice

• Advocate for a Lower Willamette cleanup that is protective of human health and the environment and that is also affordable for our region

• Maintain and enhance the role of waterfront economic activity in the region

• Provide leadership in integrating social equity considerations into Port economic development programs, partnerships, and planning

• Enhance community engagement about the Port and its activities

• Develop, maintain and adapt facilities to align with the ambitious PDX brand

PDX passenger and user satisfaction maintained/increased; Ambitious PDX brand enhanced/leveraged

Drive Regional Prosperity Deliver an Outstanding PDX Passenger Experience

Growth in maritime commerce; Business retained/grown in terms of passenger volume (throughput), passenger markets served, bulk volumes, container markets served, air cargo; Financial sustainability (as measured through cost per enplaned passenger, General Fund operating income before depreciation, Port Cost Center net income, capital, etc.)

• Ensure efficient access between Portland and top markets

• Grow the market for cargo service

• Anticipate and plan for future customer needs and facility requirements

• Obtain federal, state, regional/local and private funding to develop and maintain infrastructure supporting access to Port facilities and lands

• Establish the Port as an employer of choice

• Create a behavior-based safety and wellness culture

• Improve process efficiencies (agility)

• Reduce environmental impact of Port operations and promote responsible environmental stewardship in Port decisions and actions

Increased awareness of and support for the Port’s activities; Increased employee engagement; Advanced environmental performance; Injury-free workplace

2015 - 2020 Strategic Areas of Focus

Connect People and Businesses to Markets

Promote Excellence in Organizational

Effectiveness

2015 - 2020 Objectives

2015 - 2020 Initiatives

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Portland International Airport - PDXPDX’s operations are self-supporting and receive no

direct property tax funds. Agreements with air passenger and cargo carriers at PDX provide the economic cornerstone for the aviation line of business.

FY 2014 operating revenues increased $12.5 million, or 6.7 percent more than the prior year, to $199.2 million, due primarily to increases in airline, concession, and parking revenues driven by the increase in passengers travelling through PDX. Operating expenses (excluding depreciation) increased $11.2 million, or 11.4 percent, to $109.1 million in FY 2014 due to higher salary expenses, increased accruals for an environmental remediation obligation, and higher operating costs associated with additional passenger activity.

GENERAL FUND FY 2014CAPITAL EXPENDITURES

$28.0 M

PDX FY 2014CAPITAL EXPENDITURES

$52.7M

Airfield29%

TerminalImprovement

22%

Buildingand Facilities

36%Parking 13%

INCOME STATEMENTfor the Fiscal Years ending June 30

(In millions)

2014 2013 PDX General Total PDX General Total Fund Port Fund Port Operating revenues: Charges for services $199.1 $51.0 $250.1 $186.7 $48.7 $235.4 Land sales 1.4 1.4 1.5 1.5 Other 0.1 0.1 0.2 0.1 0.1 Total operating revenues 199.2 52.5 251.7 186.7 50.3 237.0 Operating expenses: Salaries, wages and fringe benefits 42.0 52.2 94.2 39.8 49.1 88.9 Longshore labor and fringe benefits 1.9 1.9 1.8 1.8 Outside services, materials, and supplies 47.9 29.0 76.9 42.8 26.0 68.8 Allocation of general and administrative expense 19.3 (19.3) 17.1 (17.1) Cost of property sold 0.6 0.6 0.5 0.5 Other 0.8 6.0 6.8 (0.6) 6.4 5.8 Less expenses for capital projects (0.9) (13.3) (14.2) (1.2) (13.7) (14.9) Total operating expenses, excluding depreciation 109.1 57.1 166.2 97.9 53.0 150.9 Operating income (loss) before depreciation 90.0 (4.6) 85.4 88.8 (2.7) 86.1 Depreciation expense 78.9 18.9 97.8 80.4 18.6 99.0 Operating income (loss) 11.1 (23.5) (12.4) 8.4 (21.3) (12.9) Nonoperating revenues (expenses): Property tax revenue 10.0 10.0 9.7 9.7 Passenger facility charge revenue 30.9 30.9 29.3 29.3 Customer facility charge revenue 5.6 5.6 Interest expense (25.2) (6.4) (31.6) (28.5) (6.0) (34.5) Interest revenue 2.1 2.4 4.5 4.4 1.1 5.5 Other income (expense), including loss on disposal of properties (4.2) 3.1 (1.1) (7.1) 2.0 (5.1) Total nonoperating revenue (expense) 9.2 9.1 18.3 (1.9) 6.8 4.9 Net income (loss) 20.3 (14.4) 5.9 6.5 (14.4) (8.0)

CAPITAL EXPENDITURESfor the Fiscal Years ending June 30

(In millions)

2014 2013 PDX General Total PDX General Total Fund Port Fund Port Capital Expenditures: $52.7 $28.0 $80.7 $69.7 $20.2 $89.9

In Fiscal Year 2014 (July 1, 2013 through June 30, 2014), the Port of Portland experienced growth and financial improvement in nearly all business lines. Travel through Portland International Airport continued to increase with PDX setting an all-time record at 15.6 million total passengers, 6 percent higher than FY 2013. An improving economy as well as new and expanded air service provided by nearly all airlines serving PDX has spurred this growth. Higher passenger volumes not only mean higher revenues as discussed below, but they also result in higher Passenger Facility Charge collections and more entitlement grants from the FAA for capital projects. Higher passenger volumes also mean that costs to the airlines are shared among more passengers, reducing the cost per enplaned passenger – an important industry metric – and improving the health of the airlines serving Portland.

Cargo activity in the marine division has also increased; FY 2014 finished as the fifth-highest volume year ever for the Port. All five of the top years have occurred within the last 10 years, which is a sign that the many investments to increase efficiency and capacity by both the Port and our tenants are paying off with more cargo moving across the docks. Much of this increase has been in bulk and breakbulk commodities: three barite ore ships, several steel rail ships and a ship delivering five large power transformers all contributed to Terminal 2’s best tonnage year since FY 2002. Volume through Columbia Grain’s facility at Terminal 5 also grew and finished the year strong; month-over-month, the June 2014 volume was 60 percent higher than June 2013. The mineral bulk and auto business lines also performed well; volumes finished the year 6.4 and 5.5 percent higher, respectively, than FY 2013. Container activity at Terminal 6 was nearly flat compared to FY 2013 as lingering labor issues and reduced productivity continue to impact operations.

We are encouraged by the economic progress and improvement in our business lines this past year. However, we recognize many challenges still lie ahead for our customers and business partners including waterfront labor challenges, and other regional, national and global economic forces. As we diligently work to address these challenges, maximize our opportunities, and achieve our strategic plan initiatives, we are ever mindful of maintaining competitive costs for our customers and value for the communities we serve.

The Port has two primary financial structures:

General FundThe majority of the money the Port receives comes

from business transactions for the use of services and facilities. Additionally, federal and state grants and property taxes fund the gap between revenues generated from operations and the Port’s expenditure requirements. Four percent of the Port’s total operating revenues come from property taxes, assessed at a rate of 7.01 cents per thousand dollars of assessed value, on property located within Clackamas, Multnomah and Washington counties (an average of $18 per household per year). This revenue is used to fund capital construction within the Port’s General Fund.

General Fund services revenues increased $2.2 million, or 4.4 percent, in FY 2014 compared to FY 2013 as a result of the higher marine activity noted above. Operating expenses (excluding depreciation) in FY 2014 increased $4.1 million, or 7.8 percent, to $57.1 million primarily due to higher salary expenses as well as an increase in environmental expense accruals.

Navigation44%

Marine andIndustrial

Development26%

Other6%

GeneralAviation

24%

$199.1 $51.0 $250.1 $186.7 $48.7 $235.4 Land sales 1.4 1.4 1.5 1.5 Other 0.1 0.1 0.2 0.1 0.1 Total operating revenues 199.2 52.5 251.7 186.7 50.3 237.0wages and fringe benefits 42.0 52.2 94.2 39.8 49.1 88.9 Longshore labor and fringe benefits 1.9 1.9 1.8 1.8 Outside services, materials, and supplies 47.9 29.0 76.9 42.8 26.0 68.8

Cindy NicholChief Financial Officer andDirector of Financial and Administrative Services

FISCAL PERFORMANCE

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BUSINESS DEVELOPMENTRETAIN AND GROW KEY SERVICE

Aviation Activities Add Up to Outstanding YearHowever measured, it was a successful year for Port of

Portland aviation activities.

• Airlines and the Port signed a new airline agreement calling for $1.8 billion in investment over the next 10 years at Portland International Airport.

• PDX marked an all-time record of 15.6 million passengers.

• Airlines added five new international nonstop routes and the airport welcomed more than a dozen new shops and restaurants.

• The Hillsboro Airport constructed a new 3,600-foot parallel runway; work is underway on a new master plan to guide the Troutdale Airport through the next 20 years.

Ensuring Financial StabilityA new airline operating and lease agreement, approved

last year, positions PDX to continue meeting the air travel and air cargo needs of Oregon and Southwest Washington. The agreement establishes the business terms between the Port and the airlines in anticipation of $1.8 billion in airline investment for airport operations and capital improvements

during the next 10 years. It allows the Port to maintain the financial health of PDX while allowing airlines operating at PDX the stability to manage their operations efficiently as market conditions change.

The agreement is unique because it was approved a year before the existing agreement expired, and offers a 10-year duration, rather than multiple five-year agreements experienced since 1991. Like previous agreements, airlines continue to cover all of the operating costs associated with the PDX terminal and airfield, plus capital costs of those areas for projects the airlines approve.

Record Travel; International ExpansionDomestic air service expansion and an improved

economy led to PDX’s all-time travel record of 15.6 million passengers during FY 2014, an increase of 6 percent over the previous year. PDX air travel fell to 13.3 million travelers in 2009, the depth of the global recession, with gradual recovery since that time. PDX air freight continues to grow modestly, tallying nearly 216,000 tons, a 2.2 percent increase over the previous year.

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Thanks to the big air service story of last year – announcements of five new international nonstop routes –PDX is likely to host an increasing number of international passengers in coming years. The new routes will connect Portland directly with Guadalajara, Puerto Vallarta and Los Cabos, Mexico; Reykjavik, Iceland; and Frankfurt, Germany.

Volaris now operates three weekly year-round flights connecting PDX and Guadalajara, Mexico. Guadalajara is a strong leisure market, primarily serving travelers visiting family and friends. The route will continue to strengthen the cultural ties between Portland and Guadalajara, sister cities since 1983. Flights operate with Airbus A319 aircraft.

Alaska Airlines is now providing seasonal service to two Mexico beach destinations. Service to Puerto Vallarta operates three days each week through April 26. Flights to Los Cabos operate four days each week through April 27. Mexico beaches are popular destinations for PDX travelers. Flights are aboard Boeing 737 aircraft.

Icelandair will offer seasonal service to Reykjavik, Iceland from May 20 to Oct. 21. Flights are scheduled twice weekly connecting with Icelandair’s hub at Keflavik International Airport. Flights operate with Boeing 757 aircraft.

Condor Airlines launches summertime flights to Frankfurt on June 19. The twice-weekly flights will run through Sept. 4 and connect Portland to Germany through Frankfurt Airport, Condor’s main base. Flights will operate aboard Boeing 767-300 aircraft with 259 seats, including 18 business class seats and 35 seats in premium economy class.

PDX travel doubles between Portland and Europe during the summer months; these new flights will help continue to meet the needs of travelers.

Also notable in FY 2014, Delta Air Lines celebrated the 10th anniversary of its Portland-Tokyo flight, and both Hawaiian Airlines and Southwest Airlines marked their 20th anniversaries at PDX.

Focus on Travelers Proves RewardingDespite record travel and the challenges that come with

growth, perhaps most rewarding last year was PDX’s ability to remain an industry leader in customer satisfaction through its continued focus on travelers. That focus included new shops and restaurants, more than a dozen new art displays, hundreds of musical performances throughout the airport, personalized assistance from dozens of airport volunteers, and a new USO Center serving members of the military and their families.

Burgerville, a Northwest favorite since 1961, opened on Concourse D. Travelers actually shaped the new restaurant, which invited ideas for restaurant design, menu, packaging and guest experience. Burgerville provides fresh, great-tasting food all day, every day from breakfast to late-night snacks.

Meanwhile, new food carts arrived on the scene in the Oregon Market, bringing travelers a taste of Portland’s active food cart scene. Each cart will operate on a six-month rotation, giving local businesses the opportunity to participate. Among the first to open was KOI Fusion, a local Korean-style BBQ with fresh Asian flavors.

In the coming year, travelers can watch for 11 new restaurants and shops. New PDX offerings will include Bambuza Vietnam Kitchen, Café Yumm!, Henry’s Tavern, Hissho Sushi, MOD Pizza, Mo’s Seafood & Chowder, Potbelly Sandwiches, Subway Sandwiches, Metalsmiths Sterling, and The Country Cat. Additionally, cc McKenzie is expanding its existing PDX operations.

The award-winning PDX concessions theme is based on offering the best of the Northwest in addition to popular national brands. All PDX shops and restaurants provide products at the same prices as at their off-airport locations. PDX currently offers travelers more than 60 shops and restaurants.

Hillsboro, Troutdale Prepare for FutureThe Port’s general aviation airports in Hillsboro and

Troutdale were also busy preparing for the future.At Hillsboro Airport, construction work was

completed on a new runway planned to open this year. The new 60-foot wide, 3,600-foot-long aviation runway is parallel to the existing runway and expected to provide needed capacity for Oregon’s second-busiest airport to meet projected aviation demand for the next 30 years.

Construction of the runway is one of the primary infrastructure capacity enhancements identified by the 2005 Hillsboro Airport Master Plan. Parallel runways allow simultaneous operations of business class aircraft on the existing runway while smaller propeller aircraft use the new, shorter runway. This segregation of aircraft enables air traffic controllers to direct aircraft safely and efficiently thereby decreasing the time a pilot would need to queue for takeoff or landing.

The Port completed the parallel runway construction in late October 2014; work on navigation aids, lighting and painting continues through the winter. The runway should be operational by mid-spring.

In Troutdale, the “Troutdale Airport: Shaping Our Future” two-year master planning process got under way in FY 2014. The master plan study will assist the Port in determining what role the 278-acre airport will play in meeting the Port’s mission. A 21-member planning advisory committee, which includes airport tenants, community members, and business and government representatives from Troutdale, Fairview and Gresham, is meeting regularly.

The 18- to 24-month project will provide a better understanding of the complex relationship between aviation uses at Troutdale Airport and other nearby airports, especially PDX; and the surrounding land uses, both current and projected.

Marine Activities Buoyed by Improving Economy, Facility Expansions

Port of Portland marine activities are measured in tonnage, containers, autos and dollars – all of which grew in FY 2014, thanks to a recovering economy and facility expansions and upgrades.

• Total cargo activity increased by 7.4 percent over the prior year, the fifth-highest volume for the Port.

• Grain exports, through Terminal 5 grew 13.4 percent in volume.

• Bulk mineral exports grew 6.2 percent by volume and the number of automobiles passing through the Port increased 4.8 percent, partly fueled by growing exports to China and Korea.

Facility Investments Position Region for GrowthGrain exports have been a major part of Portland’s

history and prosperity as a trade gateway. Today, grain remains one of the top cargoes handled by tonnage. More than 4 million tons passed through the Port in FY 2014. Portland is the third-largest wheat export gateway in the nation.

At Terminal 5, in the Rivergate Industrial District, Columbia Grain has completed an estimated $34 million

Food cart Koi Fusion at PDX USO Center at PDX Hillsboro Airport business shuttles Loading wheat for export New storage capacity at Columbia Grain

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facility expansion that started in late 2012, with a 25-year lease extension. Adding to the $18 million in capital improvements made at the terminal since 1978, Columbia Grain invested to take advantage of the deeper Columbia River navigation channel, and it has already paid off handsomely. For each additional inch of draft, a ship can transport an additional 358,000 pounds of wheat, worth more than $30,000. Volume through Columbia Grain’s facility was 13.4 percent higher than a year prior.

Also at Terminal 5, potash exporter Canpotex Limited, through its wholly owned subsidiary, Portland Bulk Terminals, LLC, is investing $140 million in new equipment and infrastructure. The company announced the expansion, along with a 27-year lease extension, building on a history of improvements and expansions totaling more than $80 million since 1996. Portland is the largest gateway on the U.S. West Coast for mineral exports, which saw volumes increase 6.2 percent over the prior year.

Canpotex’s enhancements will include a new storage building, ship loader, improved control system technology and an upgraded conveyance system to enable shorter turnaround times for trains and ships at the terminal. A new storage building will improve the potash exporter’s ability to manage the various grades of products handled at the terminal.

Meanwhile, at nearby Terminal 4, Kinder Morgan installed a $9.5-million ship loader for soda ash exports to

increase efficiency, and the company has additional plans to boost capacity. Soda ash is mined in Green River, Wyoming, and used in the production of glass. International Raw Materials also added a new loader for handling liquid bulks and built new piping to connect storage tanks to a deep water berth on the Willamette River.

At Terminal 6, which recently marked its 40th anniversary, handling of full import containers was up 13 percent. In total, the container terminal handled 172,980 TEU, including imports of things like furniture, tires and apparel, and exports of things like hay, lumber and agricultural products.

The terminal remains an economic engine, employment generator and trade gateway for hundreds of businesses throughout the region. Leased to terminal operator ICTSI Oregon, today it offers local service from Hanjin Shipping, Hapag-Lloyd, Hamburg Süd and Westwood Shipping Lines.

Terminal 2 experienced its best tonnage year since 2002, handling imports of bulk and breakbulk cargo such as barite, steel rail and large power transformers.

Auto Exports Driving ExpansionPortland is the second largest auto import gateway on

the U.S. West Coast and fifth largest in the nation. More than a quarter million automobiles were imported during FY 2014. And the Port is now seeing strong growth in auto exports to Korea and China. Ford vehicles are loaded for export at the same terminal where the two millionth Hyundai import recently arrived.

Following successful inspections of Auto Warehousing Company’s vehicle processing facility at Terminal 6 by

Chinese government auditors, exports to China began in October 2013, prompting a $2.8 million expansion. The project added 27,000 square feet and increased capacity to more than 110,000 vehicles annually. This expansion was a public-private partnership financed by ConnectOregon IV state grant funding and a $560,000 investment by AWC. Besides yielding new construction jobs, the company has since added 62 jobs to its workforce.

In all, the volume of autos handled by the Port grew 4.8 percent in FY 2014.

Big News: Propane ExportsPerhaps the most significant announcement in

the past year was that Pembina Pipeline Corporation had entered into an agreement with the Port to develop a rail-served propane export facility. With private investment conservatively estimated at more than half a billion dollars, a new propane export facility in Portland could prove to be a massive boon for the local economy. It would represent one of the largest single private capital investments in the city’s history.

It is estimated that the project will generate between 600-800 temporary construction jobs and approximately 35 to 40 new, permanent positions to operate the terminal. Local employment is valued at approximately $7.2 million in wages and benefits annually. Additionally, an estimated

$3.3 million in annual tax revenues would go to the city of Portland, as well as $2.4 million to Multnomah County and $3.1 million to Portland Public Schools annually.

Based in Calgary, Alberta, Pembina is one of Canada’s leading providers of transportation and logistics for the North American energy sector. After obtaining requisite approvals, Pembina is planning to construct and operate a facility on land adjacent to the east end of the Port’s marine Terminal 6 in Rivergate Industrial District. Upon completion, tentatively slated for 2018, the company anticipates most of the propane would be exported to Asian markets, where it could be utilized for various residential and industrial purposes.

Red potash at Canpotex Auto Warehousing Company Soda ash loading at Kinder Morgan

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PHASE 1 ............... 130.9 ACRES

PHASE 2 ............... 182.8 ACRES

PHASE 3 ................. 34.5 ACRES

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REAL ESTATE AND INFRASTRUCTUREINDUSTRIAL LAND ACQUISITION/DEVELOPMENT AND REGIONAL FREIGHT TRANSPORTATION INFRASTRUCTURE

The Port owns and manages more than 10,000 acres of commercial and industrial property holdings ranging from large, buildable lots to established, move-in-ready distribution and logistics facilities. Successful stewardship of those properties is central to the Port’s mission to enhance the region’s economy and quality of life. To that end, measurable FY 2014 activities included a strategic sale of some Rivergate acreage and exciting new developments at the Port’s Swan Island Industrial Park and Portland International Center, among others.

Rivergate DevelopmentAs the Port’s auto export business has grown in recent

years, BNSF Railway has found itself handling a rising number of domestically produced vehicles bound for

regional and international markets. And that meant growing pains at its North Rivergate Vehicle Facility. The sale of 5.4 acres of adjacent Port-owned property, completed in May 2014, provided BNSF additional capacity and a rail easement needed to support expansion. On a larger scale, it will also help enhance the region as a growing hub for auto logistics. BNSF brings cars to the facility from throughout the U.S. and Mexico; from there they are distributed by truck to auto dealerships or exported by ship.

Since 2010, the Port has completed more than $60 million in road and rail projects in the 2,800-acre Rivergate Industrial District to support the site’s marine terminals, light manufacturers, warehouses and distribution centers. The investment continues to yield substantial dividends. The amount of tax revenues generated by Port

Portland International Center construction

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activities per tax dollar received is nearly 8-to-1, and it is estimated that the Port’s properties and industrial development activities alone support approximately 30,000 jobs. Those kinds of results are why the state’s ConnectOregon program continues to allocate funds toward improving transportation infrastructure.

Swan Island ResurgenceDon’t call it a comeback – the Port’s 430-acre Swan

Island Industrial Park has long been a successful corporate center and hub for distribution, warehousing, and manufacturing. Over the past year, however, some exciting developments were announced that are changing the face of Swan Island:

• Portland Community College opened the first phase of a new center, featuring hands-on training for industrial trades, supplementing PCC’s welding classroom at Vigor Industrial’s shipyard location.

• Vigor took delivery of the largest floating drydock in the U.S., representing a $50 million investment.

• FedEx Ground began renovating its previously shuttered facility.But whether measuring by investment, square footage

or height, the biggest story on Swan Island was groundbreaking for the new Daimler Trucks North America headquarters building. To help land the project on Swan Island, the Port negotiated property sales, amended lease agreements and worked closely with Business Oregon and the Portland Development Commission. On the site of what used to be the Ports O’Call building, Oregon Governor John Kitzhaber and City of Portland Mayor Charlie Hales were on hand to signal the start of construction last July alongside Martin Daum, president and CEO of Daimler Trucks North America.

Completion is slated for early 2016. The 268,000-square-foot building will house up to 1,200 employees – including approximately 400 permanent, new, high-salary jobs. Construction costs are estimated at $150 million, and the company will pursue LEED Platinum Certification. The Port is currently working with Daimler to significantly enhance the greenway trail that runs through the property along the Willamette River.

Growing to the EastWithin the Port’s 458-acre Portland International

Center, adjacent to PDX International Airport, the first part of a three-building, 833,360-square-foot logistics park has quickly taken shape. PDX Logistics Center Phase I, two buildings totaling 491,200 square feet, was completed by Perlo Construction in the fall.

Constructed on 26 acres made available by the Port under a 50-year lease, the state-of-the-art buildings offer Class A industrial logistics space that is in short supply and high demand in the area. Capstone Partners and Pacific Coast Capital Partners combined on the project to meet the increasing needs of new and expanding traded-sector firms seeking industrial space. The final phase of the project could proceed within the next two years.

Heading eastward, the Port continues to develop and market Troutdale Reynolds Industrial Park – home to a FedEx Ground regional distribution hub. Future phases of development to bring a total of 12 lots on 314 acres to market may be years out, but the two available lots are fielding strong interest.

At Gresham Vista Business Park, an 11,000-square-foot clinic for Fresenius Medical Care North America was the first new construction on one of the only commercially zoned lots in the park. Gresham Vista is a part of Oregon’s Certified Industrial Lands program, and will be an eco-industrial district fostering sustainable design and operational practices. The park has eight developable industrial lots on 203 acres and two commercial or mixed use lots on 15 acres.

Transportation ImprovementsAttracting and retaining businesses requires continual

improvement in the transportation system. The Port has a Transportation Improvement Plan that identifies 5-, 10- and 20-year priorities. The 2014 plan identified 106 projects, including a Rivergate Boulevard grade separation, Troutdale interchange improvements and Troutdale Reynolds Industrial Park road improvements. The plan helps prioritize funding requests, and it has assisted in generating more than $86 million in local, state and federal grants and loans in the past three years.

West Hayden IslandLast year, the Port withdrew its consent to annex West

Hayden Island when it became clear that the city of Portland’s mitigation requirements were not proportionate to potential development impacts and would price any developable land out of the market. The Port will continue to manage West Hayden Island for uses supporting the agency’s mission including eventual development of marine terminal facilities. West Hayden Island’s future annexation and development would be beneficial to the region in terms of creating much-needed family wage jobs, ensuring an adequate supply of industrial land for the region, providing space for recreation and wildlife habitat, continuing an expansions of the region’s historic role as a trade gateway, and building the city’s tax base. Ensuring adequate industrial land remains a critical part of the region’s future.

PCC Trades Center opening at Swan Island PDX Logistics Center Daimler groundbreaking West Hayden Island

The Port’s Environmental Management System (EMS) focuses on five key program areas – air quality, energy management, water resources, natural resources and waste

minimization. Measuring and tracking progress on these environmental initiatives is critical to continuous improvement. The Port’s EMS has long operated in alignment with ISO14001, the international standard for EMS. This year, for the first time, the Port completed an audit to become officially certified to the standard.

Air Quality and Energy ManagementReducing impacts to air quality and addressing

climate change have been long-standing and important goals for the Port. In 2009, the Port’s Commission set a goal for the organization to reduce its greenhouse gas emissions 15 percent below 1990 baseline levels by 2020. While ambitious, the Port has exceeded the goal well ahead of schedule, already lowering greenhouse gas emissions 65 percent below 1990 levels.

Completion of repowering the Dredge Oregon was a

landmark achievement. The multi-phase process took place over two years and concluded in June 2014. With new, more efficient engines in place, the vessel uses less fuel, reducing

carbon emissions by 40 percent and reducing diesel particulate emissions by 88 percent. The Dredge Oregon maintains the Columbia River navigation channel on behalf of the Army Corps of Engineers and other ports in the region.

The Port continues to purchase Renewable Energy Certificates to account for 100 percent of its electricity use. Its purchase of 75 million kilowatt hours (kWh) of energy annually has earned the Port the 25th position in the nationwide ranking of 100 percent green power purchasers, and a seventh place ranking among local governments under the U.S. Environmental Protection Agency’s Green Power Partner program. The Port also operates two on-site solar panel arrays at PDX, which collectively produce about 74,000 kWh of energy per year.

Energy conservation and efficiency projects remain an important strategy to reduce carbon emissions. The Port, in

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FY 2014, completed a major project to retrofit all the lighting fixtures in the short-term parking garage to higher-efficiency fluorescent and LED bulbs. The retrofit will save 824,370 kWh of electricity and 683 metric tons of carbon emissions annually. Smaller projects included lighting retrofits to parking garage signage and PDX Conference Center hallways. Those projects resulted in a combined savings of almost 129,000 kWh of electricity and 34 metric tons of carbon emissions annually.

As part of its ongoing effort to provide alternative transportation options to the airport, the Port updated its PDX Bike and Pedestrian Master Plan. The first of its kind at a commercial airport when it was drafted in 2003, the plan serves as a roadmap for future improvements to bike and pedestrian amenities at PDX. The update identifies challenging connections between PDX’s bike facilities and

the city of Portland’s larger bike route network and describes possible improvements to signage, bike parking, and services for bike commuters.

Water ResourcesThis year, the Port developed a Water Conservation

Strategy that uses current and historical data to help prioritize water conservation projects. The strategy seeks to integrate water conservation into the Port’s daily operations, business planning, maintenance, and capital projects.

To meet a multi-year goal of retrofitting irrigation systems at marine and industrial facilities, the Port replaced inefficient irrigation controllers at Swan Island Industrial Park and Rivergate Industrial District with six new irrigation controllers that can be adjusted remotely according to environmental conditions and vegetation types. Water savings will be tracked over time to evaluate performance.

At PDX, the Port worked with rental car companies to complete a second phase of water conservation modifications at the Quick Turnaround (QTA) facility. Having experienced the value of water-efficiency improvements during the first phase, all five rental car groups agreed to install water reclamation units at the QTA and other on-site car wash facilities. This allows rinse water to be reused in the wash cycle, which will save an estimated 5.3 million gallons per year. With both phases of improvements in place, car wash facilities at PDX are on track to save an estimated 10.9 million gallons per year.

Port staff inventoried and mapped all underutilized paved surfaces within the Port’s Municipal Separate Storm Sewer System (MS4) permit area last year. The information will be used to identify opportunities for converting impervious surfaces to vegetation, gravel or porous pavement. In August,

the Oregon Association of Clean Water agencies gave the Port an Outstanding Member Agency Award for its role in encouraging Burlington Northern Santa Fe Railway Company to use its first-ever pervious pavement installation at a 9-acre facility expansion in Rivergate Industrial District. The porous pavement more closely mimics natural hydrologic conditions and maximizes BNSF’s storage capacity by eliminating the need for detention ponds.

Natural ResourcesThe Port continues to honor natural resources

commitments that came out of Airport Futures, the long-range planning process for PDX. On Government Island, The Xerces Society helped the Port identify and obtain pollinator-friendly seed for native species to plant on the Port’s 50-acre advanced mitigation site. As PDX develops, the mitigation site will expand into a 300-acre grassland reserve – a rapidly diminishing habitat in the Pacific Northwest. The work is

being done as part of a 25-year management plan. At Portland International Center, staff continued

to monitor the first phase of a wetland enhancement project and completed two plantings of more than 1,600 native species on the remaining 2.5 acres.

The Port also fulfilled multi-year commitments to complete urban tree canopy and watershed enhancements in the Columbia Slough watershed. A project this year included turtle habitat enhancements at East Whitaker Ponds. The project involved removing invasive weeds from a 2.2-acre turtle nesting site and surrounding habitat, planting 2,000 shrubs, herbs and forbs, and installing turtle basking features. The Port partnered with Verde, Central City Concern and the Columbia Slough Watershed Council and used a combination of paid and volunteer labor to complete the project.

In January, Friends of Trees hosted a Port-funded planting at the Columbia Children’s Arboretum, a site owned by the Portland Parks and Recreation Department. The planting event drew 75 volunteers, including youth from the Portland Opportunities Industrialization Center; the day wrapped up with 300 new native plants and removal of 1,000 square feet of invasive ivy and blackberry bushes. Some funding was also used for outreach to target tree planting at multi-family complexes and rental properties.

The Port partnered with Friends of Trees in neighborhoods beyond the Columbia Slough watershed that are affected by PDX aviation activities. In February, Port staff, employees from Atlantic Aviation, and other volunteers completed a neighborhood tree planting in West Vancouver. The volunteers collectively planted 160 new street and yard trees.

Waste MinimizationThe Port completed its Five Years to Zero Waste Plan,

which will guide the Port as it attempts to bring all of its facilities up to a 90 percent or greater waste diversion rate within the next five years. Zero Waste is traditionally defined as a 90 percent rate of diversion from the landfill. The plan includes key focus areas, tasks to implement at each Port facility, and a phasing schedule. These efforts will largely be supported through the Port’s partnership with Portland State University’s Community Environmental Services program, which has now been in place for 11 years. This year, PSU honored the Port with a Sustainability Partnership Award in recognition of the long-standing relationship.

Over the course of the last year, Port staff updated signage, designs for waste receptacles and guidance and outreach documents for events, tenants, and new employees.

Deployment of the materials has been delayed due to forthcoming food waste collection policy changes from Metro.

Port staff began conducting regular trainings with the Port’s janitorial service provider on best practices in waste management and minimization. Staff completed a floor-by-floor waste sort at the headquarters building, the results of which will be used to inform future waste minimization efforts. The building is currently hovering right around 85 percent waste diversion.

The Port continues to participate in the Healthy Purchasing Initiative, a group of public agencies convened by the Oregon Environmental Council to work together on reducing and eliminating the purchase of toxic substances in procurement processes.

For more information on the Port’s objectives and targets completed under its EMS, please visit www.portofportland.com.

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EMPLOYEES AND COMMUNITYPORT CULTURE AS A STRATEGIC ASSET

Employee hearts and minds drive the Port of Portland’s culture, bringing intention and accountability to the Port’s goals and reaching into the community to tell the Port’s story. As work is weighed and measured this year, the culture that produced it is an important factor in the equation of success. Success this year includes supporting a diverse and educated workforce, improving the health of employees, feeding the hungry and addressing operational impacts.

Creating OpportunityCreating opportunity in the community is an

important part of the Port’s work. Through its mentor protégé program, the Port builds skills in prospective small local business partners. The program exists to build effective working relationships between leaders of mature, established companies and emerging minority- and women-owned companies, allowing the established companies to advise and mentor. The Port manages this program, bringing both groups together for mutual benefit.

The program was updated this year to enhance protégé long-term success after graduating from the program. Added features include a structured, three-year business course curriculum, which offers classes that will provide credits towards a construction contractor board license, credits for continuing education, and a fully realized business plan, safety plan and employment manual. A number of small businesses have seen immediate gains from the program, such as a local engineering firm that entered the program after a 12- month slowdown in work. After nine months in the mentor protégé program, the firm has won more than 12 contracts, increased gross profits by more than 2,000 percent and is hiring two full-time employees.

Helping the Next GenerationThe Port also supports a number of internships and

experiential opportunities for students to build skills and learn more about types of positions available at Port facilities, training needed and ladders to success. For example, for the past three years, the Port has worked with high school student interns through the SummerWorks program. Through partnership with the Immigrant & Refugee Community Organization (IRCO), students are partnered with a department to work 180 hours during the summer months. Not only do students gain useful job experience - for many this is a first job - but they are also able to take advantage of additional seminars and classes that help further develop their skills and encourage high school graduation. Students experience the business environment as they attend meetings and events with Port staff, perform basic tasks to assist with project work and receive mentoring and advice from an assigned staff advisor.

This year, PDX again hosted high school students for the Portland Workforce Alliance’s Career Day. Focusing on the variety of careers that can be found through the Port, the day allows the students to role-play different positions and work to solve ongoing and dynamic problems that occur as part of a hypothetical snow/ice storm exercise. The experience exposes student to staff with careers that range from police lieutenant to wildlife technician, and provides the opportunity to “try out” a career in the aviation or Port industry.

The Port recently entered into a work-based learning agreement with Tongue Point Job Corps in support of its vocational training program. Through the annual program,

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the Port offers two students paid internship positions with the Port’s Navigation Department while dredging in and around Astoria, Oregon. Tongue Point Job Corps is an education and career technical training program administered by the U.S. Department of Labor that helps young people ages 16 through 24 improve the quality of their lives through career technical and academic training. The Astoria Tongue Point Job Corps center’s student population consists of more than 50 percent females and students of color. Port staff has also been working with the Native American Youth and Family Center (NAYA) to develop an information education program that will be offered to NAYA’s high school students in late 2014, and is exploring internship opportunities with NAYA.

During the past fiscal year, the Port and International Brotherhood of Electrical Workers Local 48 agreed to establish an electrician apprenticeship program at the Port, which is projected to begin spring 2015. By serving as a training agent, the Port will demonstrate its ongoing commitment to help develop the next generation of skilled tradespeople in the Portland area.

Affirmative Action and Diversity

As a federal contractor, the Port is required to complete an Affirmative Action Plan each year. The current plan identifies two-year placement goals, and quantifies mid-year progress for the 2013-2014 plan years. The Port has been excelling in the task of increasing numbers of female security officers, achieving 63.3 percent of a 50 percent placement rate goal. In terms of skilled craft workers, the Port has a goal of increasing the placement rate of female workers by 8.69 percent, and has already increased this placement rate to 12.5 percent. The goal for increasing the placement rate of minority skilled craft workers is 23.74 percent. So far, the Port has achieved a 12.5 percent placement rate, and is working hard to increase that number.

In spring 2014, the Port hosted a veteran’s preference training and roundtable discussion and more than a dozen recruitment and staffing specialists representing various

employers attended along with veteran attendees, a Bureau of Labor Industry investigator and compliance officer. The Port continues to support local diversity with memberships and funding of groups including the Northwest Public Employers Diversity Committee, the Urban League of Portland, The Skanner Foundation, the Asian Pacific American Chamber of Commerce and others. In addition, the Port’s employee diversity committee has hosted numerous speakers and events for Port staff, and external events at Port headquarters such as the Say Hey Partners in Diversity event to honor and welcome new minority professionals to our community.

Employee Health and SafetyThe Port takes its mission to serve the public very

seriously. To deliver on that mission, the Port needs a healthy workforce that cares about wellness and safety. Since implementation in 2011, the Port’s comprehensive wellness program has driven down health risks, created positive energy in the workplace and enabled employees to better serve the public. To date, employees have lost more than a half ton of combined excess body weight through low-cost programs and logged thousands of exercise miles. Exercise classes are taught by certified employees and a small gym at Port headquarters allows exercise to fit into busy schedules.

To continue encouraging employee health, the Port has redesigned its medical benefit programs to retain great health care options while reducing costs by more than $1.3M for the 2014-2016 years.

The Port has an active safety program, with all work groups maintaining or working towards Safety and Health Achievement Recognition Program certification. Staff also is required to complete an updated eLearning program on safety, for which there is a 100 percent completion rate. This is all done to reduce accidents and lost time, and to plan ahead to avoid unsafe situations that may occur in the workplace. An exemplary example of “safety first” would be the Navigation and Marine Landscaping group, which has

had an extended period of no lost-time incidents and reported only 14 injury or illness claims for the year – the lowest the Port has experienced since 2002 when the current tracking system was instituted.

Mindful of the Community Efforts continued in FY 2014 to mitigate aircraft noise.

Port noise management staff attended or hosted 31 community events, including partnering with Alaska and Horizon airlines for Boy and Girl Scouts Aviation Day to offer a behind-the-scenes look at aircraft.

The Port also supported research on aircraft noise annoyance and sleep disturbance, expanded the air traffic controller noise management training program, trained more student pilots on noise management techniques, participated in the Partnership for Air Transportation Noise and Emissions Reduction Program, and assisted with creation of the FAA implementation of six refined approach procedures at PDX. These performance-based navigation procedures are part of the FAA’s NextGen program to upgrade the national airspace system. The refined procedures improve efficiency and safety while reducing noise and emissions.

In addition, Port noise management staff refocused the PDX Fly Quiet Program on operational performance measures prioritized by the community. The expanded Fly Quiet program will include monitoring noise abatement operational performance, addressing performance issues when they arise, and simplified reporting. Staff also responded to community concerns around Troutdale and Hillsboro Airports, analyzing flight patterns and reinforcing the use of noise abatement patterns by air traffic control.

The Port’s Citizen Noise Advisory Committee continues to meet on a bi-monthly basis to share information with the Port and community and seek ways to address aircraft noise.

Food Donations IncreaseThe PDX Food Donation program continues to expand.

With the help of students from Portland State University’s Community Environmental Services program, the Port has

set up a system to collect high -quality nutritious food that would previously have gone into the waste stream. Diverting this food to local organizations that fight hunger provides them with a reliable source of prepared healthy food like fresh sandwiches, salads, pastries, parfaits and produce.

From February 2013 to August 2014, 36,498 meals were donated from PDX to St. Vincent de Paul, which works with local meal distribution programs. This equals approximately 1,920 meals a month, as compared to an average of 1,500 meals a month last year. This reduces operating costs for the Port by lowering landfill and composting charges, brings nutritious food to those in need and diverts usable products from the waste stream.

Staying ConnectedMany of the Port’s programs bring information to and

promote dialogue in the community. The Port hosts quarterly meetings of the PDX Community Advisory Committee and the Hillsboro Airport Roundtable Exchange. Both groups provide input to Port decision-makers on sustainability, land use, operations and other topics. Staff also host tables at public events such as Sunday Parkways, Earth Day festivals, neighborhood meetings, Celebrate Hillsboro, Troutdale Summerfest and other gatherings to provide information and be available to listen to community input. The Port produces larger community events, such as Seaport Celebration and Hillsboro Airport Air Fair, to give community members a chance to learn about and experience Port facilities. While these interactions are not always easily quantifiable, being connected to the community is a key value for the Port and an important part of Port culture.

The Port also actively engages in social media with both Facebook and Twitter accounts. These tools complement the Port’s more traditional communication methods such as the Port website, Portside magazine and e-newsletters, Currents and Port Dispatch.

Marine Security Lunchtime wellness activity Citizen Noise Advisory Committee PDX food donation program PDX Community Advisory Committee

TO REQUEST PORTFOLIO INFORMATION, address changes, mail list additions/deletions, or to register a comment, please e-mail sherry.brookshire@portofportland.com. Inquiries can also be directed to the Port of Portland’s U.S. headquarters address listed above.

Tianjin, ChinaJackie Xu, Representativec/o Global Goodwill Logistics Corp.1-2202 R & F Center, Jiangxi Road and Hefei Avenue Intersection,Hexi District, Tianjin, 300230, ChinaT : +86-22-2319-3979 F : +86-22-2319-3980E-mail : jackie.xu@formosa-tjj.cn

Taipei, TaiwanCharles Wang, PresidentAnn Tseng, RepresentativeFormosa Transportation Co., Ltd.12F, No. 164, Fu Hsing North Rd. Taipei 104, Taiwan T: 866.2.8712.8877F: 866.2.8712.3600Email: Margaret.wei@formosatwn.com.tw Ann.Tseng@formosatwn.com.tw

PORT OF PORTLAND COMMISSION Jim Carter • PresidentPaul A. Rosenbaum• Vice PresidentPeter Bragdon • TreasurerDiana Daggett • SecretaryThomas ChamberlainBruce HolteRobert L. LevyLinda PearceTom Tsuruta

EXECUTIVE DIRECTORBill Wyatt

DEPUTY EXECUTIVE DIRECTORCurtis Robinhold

DIRECTORSDaniel Blaufus • General Counsel Vince Granato • Chief Operating Officer Keith Leavitt • Chief Commercial OfficerKristen Leonard • Public AffairsCindy Nichol • Chief Financial Officer and Director of Administrative ServicesBobbi Stedman • Human ResourcesStan Watters • Project and Technical Services

U.S. HEADQUARTERSPort of Portland 7200 N.E. Airport WayPortland, OR 97218 U.S.A.P.O. Box 3529Portland, Oregon 97208 U.S.A.T: 503.415.6000TF: 800.547.8411 (U.S. only)F: 503.415.6001

www.portofportland.com

OVERSEAS OFFICESTokyo, JapanMasaaki (Masa) Mukouchi Director, JapanLusis Bldg. 4th Floor2-16-1, Higashi-Shimbashi, Minato-kuTokyo 105-0021, Japan T: 81.3.3436.8351F: 81.3.3436.8352Email: masa.mukouchi@portofportland.com

Seoul, KoreaJin Won (Jim) Kim, RepresentativeJi Hyun Moon (Joanne), AdcoSuite 1507 Dongyang B/D, Sokong-dong 112-6, Chung-kuSeoul Korea 100-070 T: 82.2.753.1349F: 82.2.753.5154 Email: portptldkorea@kornet.net

Hong KongChris Chan, RepresentativeSun Hing Shipping Co., Ltd.10/F., United Centre,95 Queensway, Hong KongTelephone: 852 3667 3382Fax: 852 2754 4489Email: chrischan@sunhingholdings.com

Shanghai, China Charles Wang, PresidentZoey Zong, RepresentativePort of Portlandc/o Global Goodwill Logistics Corp.Cell 03, 7 Floor, Block CSenling Real EstateNo. 469 Wu Song RoadShanghai 200080, ChinaT: 86.21.6356.8969 F: 86.21.6359.8991 Email: zoey.zong@formosa.sina.net

The Port of Portland is committed to responsible environmental practices. Portfolio staff chose this paper because it is made from recycled materials and is recyclable. We also use a local printer and soy ink. Thank you for recycling Portfolio. IP/21M/12.14/MKT15-001B

LESS WASTE MORE WORLD

KEY MARKETING CONTACTSGreg Borossay • Trade and Cargo Development Email: greg.borossay@portofportland.com Sebastian Degens • Terminal Business Development Email: sebastian.degens@portofportland.com Jeff Krug • Autos, Bulks and Breakbulk Email: jeff.krug@portofportland.comJoe Mollusky • Industrial Properties Email: joe.mollusky@portofportland.comMartha Richmond • Corporate Marketing and Media Relations Email: martha.richmond@portofportland.comDavid Zielke • Air Service Development Email: david.zielke@portofportland.com

PRODUCTION TEAMSherry Brookshire • Sebastian DegensSteve Johnson • Kristen LeonardJerry McCarthy • Joe Mollusky Martha Richmond • Michael SaternKama Simonds • Dorothy SperryJosh Thomas • Lisa TimmermanChris White • David Zielke

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Box 3529 Portland OR 97208