1. NGA – Western Regional Competitiveness Forum April 5, 2002 10:30 am - 12:00 Noon

2. Emerging Clusters

3. Industry Clusters 2/3 –Local Clusters  Local firms that serve local customers  Average Wage - $26K 1/3 –Trading Clusters  Average Wage - $42 K  This is where Innovation is  This is where Growth can occur  This is where Wealth is created

4. Identifying industry clusters Linkage TimeGeography Emerging Potential Existing Statewide Regional Value chain Labor needs Three Dimensions

5. Emerging Clusters Traditional –Motor Vehicle Manufacturing –Aerospace –Etc. High-Tech –Information Technology & Communications –Biotechnology –Etc.

6. Kentucky’s Emerging / Potential Clusters Information Technology Biotechnology

7. Letcher Conjun Laboratories, Inc. Daviess (2) Exseed Genetic LLC Large Scale Biology Jefferson (14) Enviroderm, Inc United Catalist The Harthill Company Ocular Transplantation LLC Mann Chemical Corp. Bays-Brown Laboratories, Inc. ONC, Inc. Partners in Research, Inc. Dipro Diagnostic Products Auspep, LLC MedResearch, Inc. Advance Chemicals, Inc. Amgen Peptides International, Inc. Hardin (1) Xpertise Nelson (1) Kentucky Pediatric Research Anderson (1) Glo-Marr Products inc. Woodford (1) New Ace Research Company Jessamine (1) Alltech, Inc. Clark (1) GenApps Cambell (2) Dynamic Science Inc. Omni Care, Inc. Fayette (14) ZDL, Inc. CBA International Kentucky Clinical Research Center for Clinical Research Venture Laboratories CellSignals, Inc. Phoenix Pharmacologics Affinity Lebeling Technologies Tlgen Pharmaceuticals The Lexington Carbon LLC Equine Biodiagnostics, Inc. Transduction Laboratories Neogen Corp. Central Kentucky Research Associates Oldham (1) Automation Laboratories R&D Group Boone (3) Cintein, LLC Biologics International Shire US, Inc. Biotechnology

8. Technology Clusters Human Health and Development Biosciences Information Technology & Communications Environmental & Energy Technologies Materials Science & Advanced Manufacturing

9. Opportunity Areas  Kentucky Center for Natural Products  Center for Cardiac Assist Devices  Kentucky First  Kentucky Visioning Center  Energy and Environmental Consortium  Rural Business Building Initiative  Safety and Security

10. Industry Cluster Formation Technology Clusters I.Human Health and Development II.Biosciences III.Information Technology and Communications IV.Environmental and Energy Technologies V.Materials Science and Advanced Manufacturing Opportunities 1.Natural Products Center 2.Center for the Development of Circulatory Assist Devices 3.Kentucky First 4.Kentucky Visioning Center 5.Kentucky Energy and Environmental Consortium 6.Safety and Security 7.Rural New Economy Business Building Initiative New Economy Industry Clusters