Orlando Tourism & Meetings Update Gary C. Sain President & CEO Orlando/Orange County Convention & Visitors Bureau, Inc.

Orlando/Orange County CVB Cost Saving Initiatives 2009 Salary freeze for fiscal year 2009 Executive incentives program suspended One week mandatory furlough for all exempt employees, three day mandatory furlough for all hourly employees 15 open positions have not been filled for a savings of more than $1 million Employee events suspended Reduced attendance at industry conferences and trade shows Suspended three percent voluntary contribution to 401(K) fund for 2009 Emphasis on more cooperative partnerships to extend marketing programs Negotiated reduced fees paid to agencies Decreased activity in tertiary markets (i.e. Spain & Italy) Delayed online travel trade training for Mexico and Brazil Delayed hiring public relations firm in Brazil until last half of 2010 Delayed hiring public relations firm in Mexico – 2010

Strategic Plan Increase awareness and intent to visit the Orlando area (Branding). With special emphasis on overnight visitation Position Orlando as the premier worldwide meeting, convention and tradeshow destination in order to increase the economic impact and maximize the full potential of the destination Position Orlando as the premier worldwide leisure destination in order to increase the economic impact and maximize the full potential of the destination Create a destination branding and marketing organization that is best in class, with primary focus on high quality staff team members, cost effective resources and a strong engaged membership, in addition to a strong board to achieve the mission

Forecast

Total: 48.9 million visitors Leisure Travel Business 35.3 million domestic visitors 3 million international Business Visitors 3.5 million overnight Conventions/Meetings visitors 6.5 million other business visitors $30.1 billion in total Visitor Spending Domestic – 93% visitor share, 77% of visitor spending ($23.3 billion) International – 7% visitor share, 23% of visitor spending ($6.8 billion) Sources: D.K. Shifflet & Associates, Office of Travel & Tourism Industries, IHS Global Insight 2008 Industry Review

Occupancy RateAverage Daily Rate MarketRooms Sold2009% Change2009% Change Atlanta, GA-9.6%54.3%-11.3%$ % Los Angeles-Long Beach, CA-9.1%65.6%-11.1%$ % Orlando, FL-9.1%61.4%-9.1%$ % Chicago, IL-8.9%58.0%-11.9%$ % Anaheim-Santa Ana, CA-6.6%65.5%-7.8%$ % San Diego, CA-6.5%65.5%-10.1%$ % Boston, MA-5.9%64.2%-7.3%$ % Philadelphia, PA-4.9%63.1%-6.4%$ % New York, NY-2.7%77.1%-7.3%$ % Las Vegas, NV*-3.2%82.8%-5.6%$ % Norfolk-Virginia Beach, VA-0.5%55.7%-4.2%$ % Washington, DC0.3%67.6%-3.5%$ % Top 25 Markets-6.6%61.5%-9.5%$ % All Other Markets-6.6%54.6%-9.5%$ % Source: Smith Travel Research *Las Vegas does not report to STR, data was provided by LVCVA, September Key Lodging Markets October 2009 year to date versus prior year

US Travel Association, TravelHorizons – May 2009 Source: IHS Global Insight, September 2009 Orlando outperformed national travel trends in 2008, but is forecasted to drop more sharply than overall travel in Slight decline for National and Orlando Forecasts NationalOrlando Total0.3%-2.4%-3.9%0.6%2.0%0.3%-9.1%-0.2% Domestic-0.1%-2.6%-3.8%0.5%1.8%-0.9%-9.0%-0.3% Leisure0.3%-1.9%-2.3%1.4%2.4%-0.1%-8.3%-1.4% Business-1.1%-4.6%-8.4%-2.5%-0.5%-3.2%-11.5%3.9% Overnight Conv/Grp Mtgn/a -4.5%-7.7%-15.2%-4.5% International9.8%3.7%-7.7%3.0%5.7%18.9%-9.6%1.4%

Domestic Leisure Travel Outlook Travel Intention: 53% of U.S. adults expect to travel for leisure purposes between now and April 2010 Future Orlando Visitation: 24% of October 2009 respondents plan to visit Orlando in the next two years, up 6 percentage points from October 2008 (18%). Since this research began in March 2007, future visitation to Orlando in the next two years has ranged from 17% to 26% (peaked in July 2009) Reasons Not Visiting Orlando: The most common reasons for October 2009 respondents that have never been to Orlando and/or have no plans to visit Orlando in the next two years are that it is too expensive (35%) and economic conditions (29%) Source: Travel Horizons

Source: Summer 2009 Outlook, U.S. Travel Association International Travel Outlook Slight increase in 2010 (primarily Canada/Latin America) Many leisure visitors are keeping their primary holidays and giving up shorter weekends South America visitation may deliver strongest increases. Brazil accounts for a third of all U.S. visits from South America. Canada will become our number one international market in visitor volume by year-end More Accessible – New direct service from Lufthansa, TAM, AerLingus, AeroMexico, JetBlue, Mexicana, Martinair and TACA Airlines Orlando and the United States are still seen as a good value due to the exchange rate

Meetings & Conventions

2009 Meetings & Conventions Major Accomplishments Orlando Meetings Mean Business 1,000 Operation Connect calls Meetings & Conventions sales team has booked 1.3 million future attendees in a down economy Maintained number one position in medical market UCF telemarketing partnership 25 th Anniversary meetings and conventions package Orlando & Washington, D.C. Business Journal/25 th Anniversary insert NPE Show/Plastics Participated in 47 tradeshows/sales missions MPI (Meetings Professionals International) Destination Meeting Services has produced more leads and referrals combined YTD in 2009 than in 2008

Current Issues Affecting M & C Business Economy Attrition/cancellations Buying habits changing Technology Competing destination incentives AIG effect (vacation/resort atmosphere) Government meetings (vacation/resort atmosphere)

13 Source: U.S. Travel Association Released: September 2009 The Return On Investment of U.S. Business Travel

Business Travel ROI $3.80 in profits $12.50 in revenue and… $1 invested in business travel drives… 14 Source: U.S. Travel Association

Business Travel Hiatus Leads To… The average business in the U.S. would forfeit 17% of its profits in the first year of eliminating business travel. It would take more than three years for profits to recover. Adverse effects on corporate performance Negative impact on profits 15 Profits with and without a 2-year suspension of business travel Source: Oxford Economics Source: U.S. Travel Association

Benefits of Business Travel Conversion rate: Prospects to customers Source: Survey of corporate executives (n=300)Source: Survey of business travelers (n=500) and executives (n=300) In-person vs. virtual meetings with prospective clients Converting Prospective Clients 16 Source: U.S. Travel Association

Roadmap 2010 Partnering with the Orange County Convention Center on an integrated citywide sales force pilot program Vertical markets sales force structure with an emphasis on corporate and SMERF meetings, including adding a new director of corporate accounts Developing an industry white paper on the future direction of meetings Increased focus on key targeted accounts (citywides)/industry involvement Increase focus on the corporate market Educational series for meeting planners Continue Operation Connect

New M&C Website Designed to develop new prospects for sales team Make it easier for meeting professionals to send online RFP’s Wealth of new information and resources provided More compelling design and navigation

Government Market Initiatives Target Letter to Government Meeting Professionals Telemarketing Campaign November Mid- Atlantic Sales Blitz Presentations to Third Parties

Corporate Market Initiatives C-Suite Program Target CEO, CFO, COO and CMO Fortune Magazine Wrap Online Personal Calls to Fortune 500 Companies Mayor Crotty Letter CVB Task Force Meeting

Medical Meetings Initiatives Medical Advisory Board Medical Fams Medical Collateral and Video Vertical Advertising Local Coalition Strategic Medical Advisory Board Directors of Marketing

Increasing Face-to-Face Presence 38 Tradeshows 9 Sales Mission Operation Connect – More than 1,000

2009 Major Bookings for Future Years GroupMeetingMeeting Dates Attend International Air Conditioning, Heating, Refrigerating ExpositionAnnual Winter North American Convention ,000 National Business Aviation AssociationAnnual National Convention ,000 AARPCelebration of Life at ,000 American Kennel ClubEukanuba National Championship 2011, 2012, 2013, 2014 and ,000 North American Association of Food Equipment ManufacturersBiennial National Convention ,000 American Society of Health System PharmacistsMid Year Clinical Meeting ,800 International Sanitary Supply AssociationISSA/INTERCLEAN North America ,000 National Training and Simulation AssociationInterservice/Industry Training2013 and ,500 American Academy of Family PhysiciansAAFP Scientific Assembly ,000 Produce Marketing Association Fresh Summit International Convention & Exposition ,500 American Chemical Society Semi Annual Spring National Meeting & Exposition ,000 Florida United Numismatists IncorporatedAnnual Convention2012 and ,000

Leisure Marketing

Leisure Market Accomplishments Web site traffic up year to date 42 percent Generated 1.3 billion impressions from advertising Generated $40 million in advertising value from public relations activity Created and launched “Orlando Makes Me Smile” Campaign Bundles of Free Smile card - 38,668 downloads year to date Developed strategic alliances and co-operative campaigns with partners to extend marketing programs (Virgin Holidays, iTravel2000.com & Travelocity) Dwight Howard advertisement Expanded our online travel agent training program Developed new online social networking pages to better interact with consumers 67 Days of Smiles campaign Brazil consumer campaign Impressions and Advertising Values through third quarter 2009

Bundles of Free Smiles

African American/Hispanic Market Advertising

Fall Messaging Free For Fall Deals

Fall Advertising Radio Stations: Print Ads: Tampa, FL Atlanta, GASarasota/Bradenton, FL Miami/Ft. Lauderdale, FL West Palm Beach, FL

Fall Online Advertising FamilyCouples GirlfriendsSearch

67 Days of Smiles

Fall International Program Orlando Makes Me Smile Globally Partners Tour Operators Theme Parks Members Fully Integrated Television, Online, Print, Promotion and Publicity

Brazil Print/Online Tour operators reported an increase of percent in bookings Shared a broad offering and length of stay

United Kingdom Advertorial

Virgin Holidays Award Bronze Award – Best Destination Partnership

Number One Golf Destination in America North American Golf Destination of the Year 2010

Union Station Takeover

Canada Newspaper Advertorial Publicity and Promotions Television Online

Community Initiatives

Third Sino - U.S. Tourism Directors Summit

Education Initiatives Jump at the SunJob Shadowship Day

World Cup 2018/2022

NBA All-Star Game 2012

Advertising ROI

Domestic Return on Investment (ROI) D.K. Shifflet & Associates, Ltd. Objective: Measurement of the campaign ROI based on incremental visitors. Key Topics Awareness of advertising Influence of advertising Visitation and spending Study Sample: Men and women 18 years or older with an annual household income of $35,000 or greater who had taken or planned to take a leisure trip in the past/next 12 months Methodology Four initial campaign contact waves covered the Spring 2007 (TV & Print), Fall 2007 (TV & Print, & Drive Market), Spring 2008 (TV & Print), and Fall 2008 (Print & Drive Market) to determine influence of advertising on intent to visit Orlando has been completed Three re-contact waves fielded during the two year campaign to determined how many of the ad aware respondents had visited Orlando Source: ROI Research – D.K. Shifflet & Associates, Ltd.

Key Measures2007/2008 TYPE OF CAMPAIGN National TV Thru Spring 08 & Print Full 2 Years Ad Aware67.0% Intended Incremental Conversion Rate10.0% Visited Orlando Since Seeing Ads34.9% Converted Households2,124,000 Total Incremental Spending$4,522,000,000 Total Advertising Spend$54,200, Domestic Return on Investment (ROI)