Virginia Economic Development Partnership Jeffrey M. Anderson Executive Director

DescriptionGovernorLegislature Operating Amendments Market to India and China$100,0000 Virginia International Trade Alliance (VITAL)$250,0000 Va. Biotechnology Research Park-$50,000 Incentive-Based Amendments FY2008 Governor’s Opportunity Fund$1,500,000$750,000 Governor’s Opportunity Fund (Biennium)$15,100,000$7,600,000 Virginia Investment Partnership (VIP)$1,310,966 SRI, International$5,000,000$2,000,000 Semiconductor Phase I and II$15,470,000 Rolls Royce$1,300,000 Qimonda Acceleration$5,375,0000 FY2009 VEDP Budget Requests

DescriptionGovernorLegislature Operating Amendments Market to India and China$100,0000 Virginia International Trade Alliance (VITAL)$250,0000 Incentive-Based Amendments Governor’s Opportunity Fund (Biennium)-$7,500,000 Virginia Investment Partnership (VIP)$2,280,966 SRI, International$2,000,000 Semiconductor Phase I and II$8,750,000 Rolls Royce$9,400,000 Qimonda Acceleration$8,375,0000 FY2010 VEDP Budget Requests

Additional Legislative Studies Single Sales Factor Tax Apportionment Corporate Income Tax Study Premium tax rates for insurance company HQs DBA Consolidation Study Science and Technology Study

Local/state collaboration and responsiveness Credible, cost-effective workforce and training provide long-term operational savings Strong company/locality relationship (trust) $ 600 M Jobs 1,000+ City of Newport News

Aggressiveness of local and state marketing efforts Availability of skill sets and cost-effectiveness of workforce Transportation infrastructure and client proximity $ 36.3 M Jobs 813

Unique infrastructure/launch characteristics at Wallops Proactive infrastructure improvement financing Corporate and engineering HQ expertise, regulatory agencies in close proximity $ 45 M Jobs 125

GOVERNOR’S OPPORTUNITY FUND Updated Guidelines and Performance Agreement Found at Size: Typical maximum GOF is $1,500,000 Extensions: Up to 15 months in consultation with VEDP CapEx Target: Greater flexibility to count leased facilities

VEDP Monitors Actual Return on Invested Capital for Projects Receiving GOF Performance data from FY2002-FY2006 (updated quarterly) 128 projects received GOF GOF Disbursements- $53.1 million Total Incentive Grants - $133.1 million (TROF, VJIP, VIP, EZ, etc.) Results to Date (since FY2002) Gross Revenue $602.8 million Net State Revenue $469.7 million Projected 10 Year Returns on Existing Companies Gross Revenue $1,589.7 million Net State Revenue $1,456.7 million State Benefit to Cost Ratio: $12 to $1 Governor’s Opportunity Fund Return on Investment

Notable Activities Division of International Trade was the recipient of the Presidential E-Star Award, the nation’s highest export award (one of four in the country) Ranked #3 in Pollina’s Top Ten in Economic Development Governor’s CEO Dinner – May 14

Marquee Upcoming Events West Coast Marketing Trip/VA Chamber Executive Reception – June Farnborough/Europe Marketing Trip – July Virginia Conference on World Trade – Norfolk – October 16

VEDP New Hires Business Development Robin BassAdministrative Staff Assistant Jackie HudsonProject Manager Twyla PowellProject Manager International Trade Knox HubardSr. International Trade Manager Ralph TorningInternational Trade Manager