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ANNUAL REPORT

ALLEGHENY CONFERENCE ON COMMUNITY DEVELOPMENT AND ITS AFFILIATES

GREATER CHAMBER OF COMMERCE ECONOMY LEAGUE OF SOUTHWESTERN PENNSYLVANIA PITTSBURGH REGIONAL ALLIANCE 06AnnualReport_fin.qxd:Layout 1 4/30/07 2:43 PM Page 2

ABOUT THE CONFERENCE

Founded in 1944, the Allegheny The PENNSYLVANIA ECONOMY Conference on Community LEAGUE OF SOUTHWESTERN Development is one of the leading civic PENNSYLVANIA , established in leadership organizations in the United 1936, provides public policy research States. Combining strong private sector and analysis. leadership with public sector partners, we work to stimulate economic growth The GREATER PITTSBURGH and improve the Pittsburgh region’s CHAMBER OF COMMERCE , quality of life. Our strategic focus is on working with public and private sector creating a more competitive business partners, serves as our region’s chief climate and marketing the Pittsburgh advocate at all levels of government to region for investment and job creation. secure public sector investment and The Conference relies upon the legislative and regulatory improve - Regional Council – leaders of ments to our region’s business climate. more than 300 companies and organiza - The PITTSBURGH REGIONAL tions – to provide time, talent and ALLIANCE , a 10-county regional resources to advance our agenda. economic development partnership Three affiliated organizations, each staffed by the Conference, markets staffed by the Conference, provide southwestern Pennsylvania to research and analysis, advocacy and companies across the region and marketing to realize the vision of the around the world in order to attract Conference leadership: capital investment and stimulate job creation. 06AnnualReport_fin.qxd:Layout 1 4/30/07 2:43 PM Page 3

FROM THE CHAIRMAN

With near-record employment, billions of The is honored to • Workforce Quality. We need to dollars in new investments and high- have played a significant role in these attract and retain a dynamic, skilled profile events that garnered national successes through our membership – and diverse workforce to reach and attention, the Pittsburgh region made representing more than 300 of the region’s maintain our full potential. tremendous progress in 2006. Combined most dedicated private organizations – efforts across the 10-county region along with a wide range of community Thank you to the entire board and to our resulted in more than 168 new or partners. As proud as we are of the committee chairs, especially, for making expanded company operations in 2006 exceptional quality of life and assets for possible the strides we have taken and alone, leading to the creation of nearly business that those of us living and for their commitment to achieving so 9,000 new jobs. And exhaustive nation - working in the region already enjoy, there much more. wide expansion site searches by globally are complex challenges that remain, and it Building upon the success of 2006, leading companies – from Westinghouse takes time – sometimes years – to make progress in our region continues in 2007. Electric to Bayer to Sycor to US Airways great things happen. The Imagine campaign is picking up – revealed the Pittsburgh region as the steam, and an incredible array of events best location for continued growth due to To that end, the Conference and its lie on the horizon. From the region’s first- our relatively low cost of doing business, Affiliates have embarked upon a compre - ever, large-scale multicultural symposium, strategic location, infrastructure and hensive strategy to improve southwestern DiverseCity, to the U.S. Open golf cham - quality of life. Pennsylvania’s competitiveness and promote the region to the world. We are pionship, to ‘Pittsburgh Celebrates Glass’ James E. Rohr The region also launched its first pleased with the progress made recently featuring acclaimed glass artist Dale Chairman of the Board integrated regional marketing campaign toward each of our four strategic competi - Chihuly, these events and so many more in 2006 – Pittsburgh: Imagine What You tiveness priorities, which you will read coalesce in a celebration of 250 years of Can Do Here. The campaign is spreading about in the following pages. However, history, progress and innovation that set the message throughout southwestern we still have plenty left to accomplish: the stage for 250 more! Pennsylvania and around the globe that There has never been a better time to the Pittsburgh region is a changemaker to • Taxes and Regulation. We must imagine what you can do here – so let’s the world. Meanwhile, the first phases in reduce the business tax burden to do it together. a multi-year celebration of our region’s attract capital investment and 250th anniversary in 2008 have taken off promote corporate growth. James E. Rohr thanks to the collective enthusiasm, • Government Structure. We can Chairman of the Board support and dedication of our public and become more efficient and cost- Allegheny Conference on private sector leaders. Long-term effective by encouraging munici- Community Development collaborative efforts with our regional palities to seek opportunities partners resulted in a recent $25 million for cooperation. Chairman & Chief Executive Officer commitment from the Commonwealth of The PNC Group, Inc. Pennsylvania to accomplish a Signature • Infrastructure for Economic Project of the Pittsburgh 250 initiative – Development. We are targeting the revitalization of , a improvements in our transportation prominent symbol that, upon completion, network, including access to and will reflect the true essence of our region from as well as in the into the future. airport area.

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FROM EXECUTIVE OFFICER

The Allegheny Conference and its September 2006 was to a very different Affiliates helped the region to reach a Pittsburgh region – with more than 2,000 number of new milestones in 2006, each acres of shovel-ready airport area business made possible by a more focused agenda. sites supported by more effectively The leadership of the Conference Board connected highway structures and the and the Regional Investors Council cohesive regional leadership of elected continue to raise the bar on southwestern officials, economic development profess- Pennsylvania’s business climate and our ionals and private sector partners working overall quality of life. together to stimulate regional growth.

For instance, thanks to the help of our On the business development side of our ALLIANCE FOR many public and private sector partners, agenda, job numbers are on the rise. In REGIONAL STEWARDSHIP taxes on Pennsylvania employees are 2006, more companies than ever before almost $300 million lower today than got to know the Pittsburgh region as a In 2006, our region’s ongoing they were at the beginning of 2006; the world-class place to live, work, play collaborative efforts earned “missing ramps” are under construction and invest. recognition from the Alliance for to connect Interstate 79 to the newly Regional Stewardship (ARS), a designated and the airport We also made important progress against area; and we’re witnessing historic levels our regional competitiveness goals, but national organization focused on Michael Langley of development across our region, includ - many challenges remain. Business taxes forging vibrant, globally Chief Executive Officer ing more than $3.3 billion invested in our and regulations, energy strategy, our competitive regions. The Pittsburgh public transit system, government urban core. region was honored for its fragmentation, and education and its Economic development efforts are only relationship to a prepared workforce extraordinary civic leadership as successful as the partnerships that fuel figure highly on our priorities for regional capacity through collaboration and them. The Allegheny Conference works improvement in 2007. partnership. As a key player in with a multitude of regional partners – facilitating partnership across the including corporate, foundation, As the 250th anniversary of our region in government and community leaders – to 2008 draws near, the Conference is 10-counties, the Allegheny achieve the greatest return in terms of the already making excellent progress on its Conference was proud to accept global competitiveness of southwestern 2007 agenda, ready to tackle the the award on behalf of our region. Pennsylvania. Such collaboration often challenges ahead, to continue strengthen - takes years of hard work and persistence. ing our regional competitiveness and to further enhance the superb quality of life For instance, when a 2002 visit from the we already enjoy. Urban Land Institute (ULI) reported that the Pittsburgh region was missing out on Michael Langley major economic development opportuni - Chief Executive Officer ties due to an underdeveloped airport area Allegheny Conference on and fragmented regional leadership, we Community Development heard the call. The ULI’s return in

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MARKETING THE REGION

 REGIONAL PROMOTION  ECONOMIC DEVELOPMENT

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REGIONAL PROMOTION

Board Committee Chair: Michele Fabrizi President & CEO, MARC USA

Pittsburgh: Imagine What Innovative Global You Can Do Here Media Initiative: In September, on behalf of the Pittsburgh In partnership with Pittsburgh-based 250th Anniversary Commission, the Allegheny Conference’s Regional creative communications agency Marketing Board Committee launched Apple Box Studios, the Allegheny the region’s first integrated marketing Conference developed a 2006 Pittsburgh 250 heritage marketing initiative and the completion of the campaign, Pittsburgh: Imagine What You “For Attribution” directory, which Almost 200 community leaders have Trail between Pittsburgh and Can Do Here . The campaign lays the encourages major media to interview joined the Pittsburgh 250th Anniversary Washington, D.C. foundation for the region’s 250th experts from the Pittsburgh region Commission to plan the multi-million Anniversary in 2008 but will continue when a news story breaks. dollar, 14-county celebration of the Each of these projects relates directly to well beyond that milestone to celebrate Showcasing more than 60 thought region’s 250th anniversary in 2008. the naming of Pittsburgh in 1758 and our region’s many strengths. With support Celebrations commence late in 2007 and leaders across a variety of industries helps to celebrate the role George from local corporations, foundations and continue through the following year. The Washington played in Pittsburgh’s history. and organizations, the directory the Commonwealth of Pennsylvania, the Allegheny Conference is providing staff In addition, the Commission’s campaign reinforces our region’s world- is being distributed to news support for Pittsburgh 250, Inc. Four of Community Connections initiative, will changing role, yesterday, today and organizations worldwide as a key our region’s leaders – Washington County encourage grassroots community tomorrow. It communicates why south - component of the“Imagine” Commissioner J. Bracken Burns, Sr., improvement projects and programs is the right place regional marketing initiative. Allegheny County Chief Executive Dan across 14 counties. Reunion 2008 will for employers to grow, families to live, The world has already taken notice – Onorato, City of Pittsburgh Mayor Luke encourage residents to plan reunions, and tourists and conventioneers to visit. Ravenstahl and Allegheny Conference the directory has delivered‘hits’ in homecomings and business meetings that Through regional and national advertis - Chairman Jim Rohr – are co-chairing will bring expatriates home and introduce a host of national media and won the ing, media and community relations the Commission. newcomers to our region. initiatives, and the ImaginePittsburgh.com Gold Award for innovative marketing Web site, the campaign promotes our at the International Association of The Commission has identified three region to the world as a global center of Marketing and Communication Signature Projects and related events as achievement and opportunity in advanced Professionals MarCom the framework for the celebration: the revitalization of Point State Park, the materials, life sciences and information Creative Awards. technology, as well as the arts, culture launch of the Forbes Trail statewide and recreation.

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The three Signature Projects of Pittsburgh 250 connect the past to the future and promote the region’s unique recreational and historic assets.

Commonwealth Commits to Point State Park Renewal Phase II of the revitalization of Point State Park was announced with a $25 million commitment from the Commonwealth of Pennsylvania in October. It will restore this iconic symbol of the Pittsburgh region to the world, create new access to the three rivers, enhance the experience of living and working in , and communicate the impor - Closing the GAP: Landmark Trail tance of “the Point” in the formation of on Road to Completion America. Upon completion, the park will thrive with new green space, visitor The Great Allegheny Passage (GAP) Trail, amenities, a rich and engaging historic a 335-mile bicycle and hiking trail, will interpretive experience, and a new festival restore the historic link between our ground to enhance public activities and nation’s capital and Pittsburgh’s Point, events in the park. The $35 million Forbes Trail: is being developed that will link together creating a seamless link from Mount project is the culmination of a three-year Following History’s Footsteps important historic and outdoor recre - ational sites to tell the story of the 1758 Vernon to Point State Park. The trail is community planning process to develop The Forbes Trail Signature Project, a Forbes campaign. Truly “America’s now complete from Washington, D.C. a new vision for the park and its future. statewide heritage tourism program and Independence Trail,” it led to the naming to McKeesport. The Closing the GAP The Allegheny Conference has been driving tour, will encourage families to of Pittsburgh and the opening of the Steering Committee – co-chaired by working with many partners – including follow in the footsteps of George Gateway to the West for settlement by Allegheny County Chief Executive Dan the , the Pittsburgh Washington and the story of the making British America. Trail visitors will Onorato, and Steel 250 Commission, and local and state gov - of America – which played out in and experience the opening shots of the Corporation Chairman and CEO, and ernment leaders – for more than six years around the Pittsburgh region. An easily French and Indian War, the debates that Allegheny Conference Vice Chairman, to secure funding for this regional symbol. navigated, itinerary-based tourism guide John Surma – is rallying corporations, shaped the Declaration of Independence organizations and individuals to work and the Constitution, the Battle of together with the Allegheny Trail Alliance Gettysburg and even the national to “Close the GAP” by completing the memorial to Flight 93. The tourism guide remaining nine miles of the trail (all in will also help to connect visitors to the Allegheny County) by October 2008. finest in hotels, restaurants, unique shops and other visitor experiences along the way.

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Oakland Gets Greener: Schenley Plaza Transformation Complete The conversion of Schenley Plaza from a parking lot to a town square for the Oak - land community and a grand entrance to We have much to celebrate as we near our region’s 250th anniversary, commemorating a rich history Schenley Park, was completed in June as that has shaped the modern world. Pittsburgh scientists, engineers and skilled workers pioneered the result of major collaboration between materials science, food processing and alternating current. They built many of the most famous the City of Pittsburgh, the Oakland Task buildings and bridges in our country, from the Chrysler Building to the Sears Tower. People from Force, the Pittsburgh Parks Conservancy Pittsburgh cured polio and made organ transplantation into a global industry. And they pioneered the and the Allegheny Conference Oakland fields of artificial intelligence, computer science and robotics. All of these people built a strong foundation Investment Committee (OIC). The City for today’s knowledge-based economy. of Pittsburgh leased the land, a five-acre The is a proud sponsor of Pittsburgh 250, and I’m pleased to co-chair the parcel between the Carnegie and Hillman Center of Innovation and Technology Committee on behalf of the Pittsburgh 250 Commission. libraries, to the Parks Conservancy for a As the first college west of the Alleghenies, we’ve been educating young people here for almost period of 30 years. The OIC, with the as long as there’s been a Pittsburgh. In recent decades we’ve expanded our role to include University of Pittsburgh as the project research and innovation that are shaping entire industries. Working in partnership with lead, invested nearly $3 million of its own Carnegie Mellon and 33 other colleges and universities across southwestern Pennsylvania, funds. The OIC, together with the Parks institutions of higher education are imagining a bright future for our region – and delivering Conservancy and Allegheny Conference the skilled workforce that will make it happen. Chairman Jim Rohr led a capital The 250th anniversary should not be a time to think only about what“used to be.” We need campaign securing $5 million from the to leverage Pittsburgh 250 to focus on what can be. Most importantly, we need to capture Commonwealth to bring this project to the excitement of the innovation that is happening in our region every day and encourage completion. In addition to its direct our children and grandchildren to imagine a bright future for themselves in our region. financial commitment, the University of Pittsburgh provided project and construc - Written by: tion management services and the cash Mark A. Nordenberg, Chancellor & CEO, University of Pittsburgh flow that allowed construction to proceed Co-Chair, Center of Innovation and Technology Committee on schedule for 18 months until the Pittsburgh 250 Commission financing from the Commonwealth was received. Schenley Plaza is currently overseen and operated by the Pittsburgh Parks Conservancy.

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ECONOMIC DEVELOPMENT Board Committee Chair: 42,000 New Jobs Since 2002 John P. Friel President & CEO, MEDRAD, Inc. Through the efforts of many economic between 2002 and 2006, 765 new com - numbers, 168 company locations and development organizations across the pany locations and expansions landed in expansions occurred in 2006. As of 10-county region, the economic outlook the Pittsburgh region, creating more than January 2007, these projects have led to Partnership for Greater for southwestern Pennsylvania is bright. 42,000 jobs. Of those the creation of more than 9,000 jobs. Economic Return: Based on reported information sources Pittsburgh Regional Alliance (PRA) Restructured In collaboration with PRA Partner Uniontown, Fayette County, will • Farfield Scientific Inc. – This global Economic development partnerships organizations, the Allegheny employ 125 people and provide supplier of new analytical instru- mean economic development successes. Conference staff successfully clients with a cost-competitive ments for the nanotechnology and With that in mind, the PRA underwent assisted 29 company locations or alternative to offshoring this biophysics communities was recently a significant restructuring last year. expansions in the region in 2006. software development work. recognized as the United Kingdom’s “Northwest Bio Company of the Although the Allegheny Conference still Some of these include: • National Medical Health Care Year.” Farfield established its U.S. staffs the PRA, it is now considered to be (NMHC) Systems – This pharmacy • MEDRAD, Inc . – On the heels of the headquarters in Pittsburgh, citing benefits manager was ranked No. 6 an equal member among the PRA’s 2005 announcement of its new compelling advantages provided by on Fortune ’s 2004 list of“America’s 50-member body. Through the leadership Corporate Center, this global medical the region’s strengths in life 100 Fastest Growing Companies.“ of the PRA Partnership, which is device leader announced yet sciences research. made up of private and public sector another large expansion in the NMHC has grown to 60 employees at its offices in Washington’s Landing • Eliet, Inc. - This Belgium-based leaders as well as economic development region. Its new 125,000 square foot, 500-job manufacturing facility will and cites the presence of Duquesne producer of high-end, and often professionals, jobs and private investment University and the University of self-propelled, lawn equipment in southwestern Pennsylvania are be located at Victory Road Business Park in Butler County. Pittsburgh’s pharmacy schools as chose a west Pittsburgh location for growing. Together, the PRA member major advantages. its North American headquarters and organizations market the Pittsburgh • Jones Lang LaSalle (JLL) – One of the launch of Eliet USA, Inc., citing • AssistWare Technology – region to business leaders around the the world’s leading real estate firms the exemplary logistical assistance of This spin-off of Carnegie Mellon world and share information, insights consolidated its Global Lease the PRA as a top factor in its decision. Administration center here, with University’s acclaimed Robotics and opportunities to advance Institute was awarded a $3 million • Goodfellow Corporation – Crucial economic development. Pittsburgh winning over Atlanta, Ga. and Detroit, Mich. As a result, JLL has U.S. Department of Transportation links within the British American contract and recently expanded its Business Council helped us to land The PRA Partnership is working on a created more than 100 new positions in downtown Pittsburgh. Gibsonia, Pa. facility. Its primary this UK-based supplier of rare metals. central reporting system that will more product, SafeTRAC, a departure Goodfellow relocated its U.S. offices accurately track new regional investment, • Parametric Technology warning system that alerts drowsy from suburban to includingcompany relocations and Corporation (PTC) – Headquartered or distracted drivers when steering Imperial Business Park in order to expansions facilitated by the numerous in Boston, Mass., PTC provides becomes erratic, is now widely used take advantage of lower business economic development organizations product lifecycle modeling software by companies such as FedEx. costs and the region’s strong metals across the 10-county region. to an array of industries. Its new AssistWare was recently acquired and materials research base. software development center in by publicly traded Cognex. *See page 26 for a complete list of PRA Partners.

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Strategic Development Areas Mean Jobs in Southwestern Pennsylvania

Large-scale investment in southwest - communicate the need for these nuclear power plants, has been on the regional gross product of more ern Pennsylvania by major global strategic zones in southwestern rapidly expanding thanks to increased than $1 billion annually, according to players is now a reality thanks to Pennsylvania to public officials in prospects for nuclear power in the the University of Pittsburgh’s Center Senate Bill 854, which instituted four Harrisburg. Working with the energy industry worldwide. for Social and Urban Research. Pennsylvania Strategic Development Department of Community Areas (SDAs), two of them in the and Economic Develop - The expanded operations The Westinghouse decision is one Pittsburgh region. The November ment and bipartisan will retain more than prominent example of the way in 2006 legislation provides 15-year legislative leader - 2,200 regional jobs which the Allegheny Conference and state and local tax incentives to ship, SB 854 and create more Affiliates continuous improvement energy, bioscience and manufacturing was passed. than 1,000 new model works. The research of the companies that commit to creating or high-paying jobs Pennsylvania Economy League of maintaining 500 or more jobs and/or The availability for engineers, Southwestern Pennsylvania, the investing $45 million or more in of SDAs sealed computer scien - advocacy of the Greater Pittsburgh these areas. the deal for our tists, and financial Chamber of Commerce and the region’s triumph and human business development efforts of the The signing of this bill by Governor in a seven-state resources profes - Pittsburgh Regional Alliance work was the culmination of competition for sionals. These new together to identify regional chal - ongoing efforts by the Allegheny one of the largest positions are lenges, advocate for improvements Conference and its partners. It took corporate investment projected to produce and then market an ever-more advocacy by the Greater Pittsburgh ‘wins’ in recent history: another 1,500 jobs in competitive region to businesses Chamber of Commerce – supported Nuclear energy leader West - related employment throughout around the world. The shared by the research of the Pennsylvania inghouse Electric Company chose the region, a projection that does not accomplishment of securing two Economy League of Southwestern to locate its new headquarters in include construction-related SDAs in our region, which are Pennsylvania and the market intelli - Cranberry Woods, Butler County. employment for the new facilities. helping to secure future corporate gence of the Pittsburgh Regional Westinghouse, whose technology is Meanwhile, the expansion is investment, is the Conference wheel Alliance – to build a case and used in half of the world’s operating projected to have a positive impact in motion.

“I only arrived yesterday, but I am already astonished at the improvements I’ve seen thus far. It’s good to see the region capitalizing on the value that an international airport presents for nearby business. I’ve enjoyed learning more about the ready-to-go sites in the airport area and look forward to the rest of the tour.”

– Bob Ady , President of Ady International and considered the“dean” of site selection consultants, upon returning to the Pittsburgh region for the first time in five years

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Imagine pinpointing perfect locations in the perfect place to grow.

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To help even more companies imagine locating their business in the Pittsburgh region, the PRA Partners have developed three invaluable regional marketing tools.

PittsburghProspector.com: with an updated and expanded version Regional Real Estate of its talent attraction tool, Pittsburgh Datebase Perspectives (www.PittsburghPerspec - tives.com). This interactive Web site, Site Selectors Visit acres of prime corporate real estate in PittsburghProspector.com is south- also available on CD-ROM, provides the Region’s “All-Star” the airport area alone, made possible western Pennsylvania’s premier online, hiring decision-makers with an Business Sites by more than $2 billion from the searchable real estate database. innovative means to “pitch” the Commonwealth. Through this free resource, those Pittsburgh region to employment While the All-Stars of Major League considering corporate relocation or candidates. These prospective Baseball were in Pittsburgh to launch The first annual Developers’ Showcase, expansion – including real estate, employees can imagine their bright long balls into the , presented in collaboration with the economic development and site future in southwestern Pennsylvania the region was showing off its own National Association of Industrial and selection professionals worldwide – through an overview of the region's “All-Stars” of industrial and office Office Properties (NAIOP), took place can discover the region’s array of many assets – from cultural attractions, property development to business at Imperial Business Park – a prime available business sites. Properties to the low cost of living, to the high location consultants from across the example of airport area development. posted on PittsburghProspector.com caliber of our education institutions. country. The All-Star Site Selectors’ A trade show provided the opportunity automatically benefit from enhanced Familiarization (“Fam”) Tour showed for many of the region’s developers to national and international market off many new, ready-to-go business collaboratively market their assets, visibility, while users gain quick and PRA Post: A Regional sites and existing business parks while while a lively panel discussion with easy access to the information they “Good News” Newsletter providing information on the region’s the nationally renowned site selectors need to locate here. assets and market strengths. participating in the 2006 Tour provided The PRA Post is a "good news" insight into the present and future of newsletter launched in September that The tone of the tour was a far cry from economic development in the provides an effective vehicle for infor - 2002, when the Urban Land Institute Pittsburgh region. mation exchange among PRA partners (ULI) issued a report concerning the and other interested individuals, lack of corporate real estate develop - These visiting site selectors were helping them work together to achieve ment in the region. The ULI specifically extremely impressed with the amount the greatest return for our region. To cited the critical nature of the airport of work accomplished in such a short Pittsburgh Perspectives: more effectively market southwestern corridor, where proximity to Pittsburgh amount of time, and with the vast array Innovative Workforce Pennsylvania, distribution extends International Airport is a highly mark- of available corporate real estate across Recruitment Tool beyond the PRA Partners to include etable asset for business relocation. the region and near the airport. They business investment prospects, lead came away with a fresh perspective of With job numbers growing, so is the sources and members of the media. Thanks to tireless and collaborative the Pittsburgh region, its diversified demand for exceptional talent. There - To sign up to receive the PRA Post, efforts by the Tri-County Airport economy and its prospects as a strategic fore, the Conference is kicking its talent e-mail PRAmedia@alleghenyconfer - Partnership (T-CAP) and other regional location for business. attraction marketing into gear, starting ence.org. partners since 2004, the 2006 All-Star “Fam” Tour displayed a transformed *For more about T-CAP accomplishments Pittsburgh region, with roughly 2,000 see page 16.

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The PRA’s global efforts ensure and enhance the international reputation and impact of the Pittsburgh region through a variety of innovative approaches – each a strategic collaboration with regional partners to achieve maximum economic return for southwestern Pennsylvania. Collectively, these initiatives promote the importance of international business to the Pittsburgh region, market the region for international company expansions and relocations, and support the overseas market growth of companies already located here.

Strong Global Marketing Efforts Mean Job Creation Almost 300 international companies currently have operations in the Pittsburgh region. Germany, Japan and the United Kingdom lead the way with the largest number of regional employees. Culture and Business cultural asset as a backdrop to inform follow-up meetings were also held. The Regional global marketing efforts continue Marketing Combine to foreign-based companies about the region results of this innovative marketing initia - to enhance southwestern Pennsylvania’s as a viable location for U.S. expansion. tive are two business locations in the international presence with great success. Promote the Region Abroad Regional business leaders from companies Pittsburgh region and two additional In 2006 alone, 15 global companies have Two of the Pittsburgh region’s strongest such as , MEDRAD, Bombardier projects in the pipeline for possible set up or expanded operations in the assets were on tour last summer – the and Mellon, joined the PRA to host location in southwestern Pennsylvania, region, creating a total of more than Pittsburgh Symphony Orchestra (PSO) roundtables with 135 executives from 1,200 new jobs. Simultaneously, 14 and our region’s potential for business which could also result in a significant companies in Germany, Ireland and Great companies based in the region have growth. In late August, the PRA accompa - amount of job growth. Britain to discuss the merits of investing expanded or established new nied the PSO on a two-week tour of international operations. Europe, using the region’s world-class in the Pittsburgh region. Individual

Global Buzz: The word is out about Pittsburgh’s sector-specific regional strengths • March – WindPower conference at David L. Lawrence Convention Center brings German journalists to explore (and write about) the region’s alternative energy resources. • November – The Commonwealth and Allegheny Conference partner to host European and Israeli journalists for a regional showcase of defense, security and aerospace assets.

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Export Opportunities Strategic South Korean Through World Trade Relationships Forged Pittsburgh Region The Pittsburgh region participated in the The World Trade Pittsburgh Region February 2007 South Korea-U.S. (WT-PR) program assists regional Economic Council program, involving Pennsylvania’s third-largest export market. National Joint exporters with the development of their more than 20 South Korean companies Allegheny County Chief Executive Dan Readiness Center international sales potential and global that are considering expansion in the Onorato emphasized the importance of economic presence. This PRA program United States. Inclusion in this national strengthening trade relationships with Plans for the first U.S. Joint Readiness connects companies to the Common - tour is a direct result of a successful China and announced plans for a business Center (JRC) are under way in the airport wealth of Pennsylvania’s global network regional visit from a delegation represent - development mission to China that took area. A requirement of the federal Base of Overseas Trade Representatives, which ing the Republic of South Korea’s place in April 2007. Realignment and Closure legislation of is the largest of any state in the nation. Presidential Committee on Balanced 2005, the JRC has the mission of provid - These representatives promote Pennsylva - National Development, which facilitates ing civil-military operations, Homeland nia businesses by identifying opportunities South Korean business ties. Pittsburgh was Business Development Security and community-based medical and providing valuable market entry sup - one of just three U.S. cities chosen to host Program Wins ‘Program support to the U.S. Departments of the delegation. These visitors learned port in Europe, Asia, Africa, Australia, the of the Year’ Defense, Homeland Security, Health & Middle East, and North and about the strategies of various regional Human Services, and other federal, state South America. economic development initiatives and The chemistry was right last year for and local civilian agencies. were very impressed with southwestern the Allegheny Conference to receive the To more effectively promote the expansion Pennsylvania and its opportunities for 2006 Program of the Year award from Through the JRC, the capabilities of our of southwestern Pennsylvania businesses business. Discussions regarding future the Northeastern Economic Developers region's world-class medical system, into foreign markets, WT-PR partners with visits to expand upon our strategic Association (NEDA). The Conference’s emergency management system, research the Southwestern Pennsylvania Commis - relationship were held and included an in - “Pittsburgh Knows Chemistry” initiative universities and strong public/private sion (SPC), leveraging the SPC’s public vitation for Pittsburgh regional leaders is aimed at job creation and the attraction partnerships can quickly and effectively sector resources and relationships and the to visit South Korea. of business investment to the Pittsburgh coordinate to respond to crisis situations. PRA’s private sector resources and relation - region associated with the development Formerly called the Regional Joint ships, thereby maximizing export trade re - and production of specialty chemicals and Readiness Center, the JRC’s identity as a The Region Welcomes turns for companies in the region. related products. The “Pittsburgh Knows national center indicates the critical role Meanwhile, WT-PR provides market the Chinese Embassy Chemistry” initiative was chosen among it will play in U.S. disaster preparedness – identification and access strategies, as well as southwestern Pennsylvania’s The U.S. Chamber of Commerce, the other submissions from leading economic international market research, assistance true position on the front line of Greater Pittsburgh Chamber of Commerce development organizations from Maine with in-country trade missions, funding national security. and the PRA’s Global Marketing Group to Maryland. Representatives from the and grant access, technical assistance and partnered in October to host the Allegheny Conference accepted the award more – all tailored to the specific needs Chinese Embassy’s Counselor for in October at the 50th Annual NEDA of each company. Participating companies Economic Affairs, Li Hiayan, during China Conference in New Hampshire. also benefit from WT-PR’s strategic Business 2006: Expanding Opportunities relationships with a variety of regional for U.S. Companies. The event educated partners, including private sector leaders local companies about export and and organizations at the federal, state and investment opportunities in China, county level.

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COMPETITIVENESS

 INFRASTRUCTURE FOR ECONOMIC DEVELOPMENT

 WORKFORCE QUALITY  TAXES AND REGULATIONS  LOCAL GOVERNMENT FUNCTION AND STRUCTURE

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The Allegheny Conference convenes private sector leaders from across our region and across Pennsylvania to work together to improve our region’s competitiveness in the global marketplace.

INFRASTRUCTURE FOR ECONOMIC DEVELOPMENT

Board Committee Chair: Jared L. Cohon, Ph.D. President, Carnegie Mellon University

Strategic Partnership T-CAP reached a new level of collabora - Enhances Airport Area tion last year, with the design and implementation of its first joint marketing The Tri-County Airport Partnership campaign, which promoted the airport (T-CAP) – a partnership made up of area business sites nationally and interna - Allegheny, Beaver and Washington tionally through print advertising and counties and the Allegheny County various other mediums. Promotion of the Airport Authority (founded in 2003) airport area business sites reached the and staffed by the Conference – was the readers of The Times, Expansion driving force for infrastructure invest - Management , Business Facilities and more. ments, transportation improvements and the development of ready-to-go business Enabling T-CAP to break this new ground sites in the airport area, including the was the dedicated leadership of its 2006 installation of signs designating the representatives: Washington County Parkway West and Route 60 as Future Commissioner and Southwestern New Findlay Connector Bridging Interstate 376. National real-estate experts Pennsylvania Commission (SPC) Transportation Gaps touring the region in July praised the Chairman J. Bracken Burns, Sr.; Beaver Opened in October, the Findlay airport area and southwestern Penn- County Commissioner Dan Donatella; Connector is the newest segment of the T-CAP has been actively pursuing comple - sylvania for having “the infrastructure Allegheny County Chief Executive Dan ’s southern beltway. tion of the “Missing Ramps” connecting and environment to accommodate all Onorato; and This six-mile toll road connects Future Interstate 79 to the Parkway West. Under kinds of new businesses.” Approximately Authority Board Member and Michael Interstate 376 at Pittsburgh International construction since September, this project 2,000 acres of new shovel-ready land are Baker Corporation Chairman Airport to Route 22 in Washington was deemed by a national panel of Urban now open or under development in the Richard Shaw. County. This tremendous asset to the Land Institute (ULI) experts as “the airport area. airport corridor will help to stimulate region’s highest transportation priority,” millions of dollars of capital investment and has been a major goal of the and the creation of thousands of jobs in Allegheny Conference. Upon completion, the coming years. Ensuring the timely the new ramps will improve access to completion of the roadway is a key goal development around Pittsburgh Interna - of T-CAP. tional Airport, particularly from Butler County and northern Allegheny County.

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The hills and valleys of southwestern Pennsylvania are beautiful to look at. However, these features are a real challenge when it comes to constructing business sites for companies considering relocation or expansion here. In 2003, hundreds of acres of relatively flat land owned by the Imperial Land Corporation near Pittsburgh International Airport were poised to become the perfect home for new businesses and the jobs they create for the region. The former coal mining property had already undergone environmental remediation, it was next to the country’s greatest airport and it was located along Port Authority the new Findlay Connector highway built by the Pennsylvania Turnpike Commission. The land was Service Reform also ideally positioned to take advantage of $2 billion in public and private investment in the The Allegheny Conference recognizes that airport area. a healthy and robust mass transit system is However, the lack of water and sewer lines stood in the way of this reclaimed land taking on new life essential to the economy and quality as shovel-ready sites for large-scale business expansion, and the understaffed Findlay Township of life in southwestern Pennsylvania. Municipal Authority lacked the millions of dollars needed to build them. A 2006 analysis of the Port Authority of Enter the Tri-County Airport Partnership (T-CAP). Allegheny County showed it to be far less effective at attracting and serving riders Staffed by the Allegheny Conference, T-CAP endorsed the Imperial Land Corporation project as one than other big-city transit systems, and of its strategic priorities and provided technical assistance to the Authority in the effort to secure that the Port Authority’s costs, measured financing from a new state program, PennWorks. on a per-rider basis, were rising four times Throughout 2005, Conference staff worked with Findlay Township, the Airport Authority, the faster than inflation. Allegheny County Department of Economic Development, the Pennsylvania Department of Community and Economic Development and Imperial Land Corporation to craft a financing The Conference Transportation and Air Service Update proposal that worked for all sides. Infrastructure Board Leadership Committee has worked closely with Port For the third year in a row, Pittsburgh Today, southwestern Pennsylvania is seeing the payoff from this regional effort. In 2006, Chapman Properties invested millions to purchase a portion of the Imperial Land holdings and begin develop - Authority Chief Executive Officer Stephen International Airport set a record for ment of the Chapman Commerce Center. That park, and other airport area sites like it, will continue Bland and the Port Authority Board to passengers traveling to or from the to increase the region’s inventory of ready-to-go business sites and its overall competitiveness. urge them to develop a strategic business Pittsburgh market, with the total topping plan to reinvent the agency and solve the more than eight million people. The 12 After years of talk, development around Pittsburgh International Airport is finally taking off , which problems that have troubled it for more airlines serving Pittsburgh International will help the entire region – and the Tri-County Airport Partnership is a major reason why. than a decade. The Port Authority, with provide nearly 300 daily flights to more Written by: Conference support, has embarked on a than 60 non-stop destinations, while the Gerald Bunda, President, Imperial Land Corporation three-step plan: to reduce the size of the average Pittsburgh ticket price is below Regional Investors Council system; to redesign its 1960s-era route the national average. The Regional Air structure to more effectively serve the Service Partnership (RASP), of which the community; and to get control of rising Allegheny Conference is a founding personnel costs, particularly health member, continues to work with the care costs. Allegheny County Airport Authority to maintain competitive air service and reasonable ticket prices, and to enhance international service.

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WORKFORCE QUALITY

Board Committee Co-chairs: Susan P. McGalla President & Chief Merchandising Officer, American Eagle Outfitters, Inc. David J. Malone, CLU, ChFC President & Chief Financial Officer, Gateway Financial Group, Inc.

report that documents proficiency trends New Partnership Between work. The program will raise students’ in the region while highlighting changes Students and Employers awareness of the professional opportuni - that are driving improvements in school ties available in industries that are key to and student performance. The most The groundwork is being finalized for the regional growth and provide participants notable change since the establishment of Pittsburgh Regional Compact – an initia - with the skills they need to succeed. In “Proficiency by 10” was the 2002 No tive to help students get prepared for their so doing, it will enhance the pipeline of Child Left Behind (NCLB) Act, which careers and to actively engage employers qualified applicants for jobs in our region. mandated school accountability for to increase the pool of students ready for student performance. The five-year report shows that the region is on track to meet the NCLB goal of 100 percent proficiency by 2014. Meanwhile, 2005-2006 data indicates that fifth graders in southwest - ern Pennsylvania are consistently outper - forming fifth graders statewide in reading and math proficiency. The full report is Proficiency by 10 available at www.schoolgrades.info. Receives Five-Year Report In conjunction with regional efforts to Significant progress has been made toward enhance proficiency, “CEO-to-CEO” the Conference’s goal of “Proficiency by breakfasts in 2006 brought regional 10” that seeks to have all fifth-graders in business leaders and school superintend - southwestern Pennsylvania proficient in ents together to discuss how to best work reading and math by 2010. In 2006, the toward a common goal of strengthening Pennsylvania Economy League of South - the regional workforce through education. western Pennsylvania released a five-year

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LOCAL GOVERNMENT FUNCTION AND STRUCTURE

Board Committee Chairs: Maxwell King (outgoing) President, The Endowments Thomas L. VanKirk (incoming) CEO & Managing Partner, Buchanan Ingersoll & Rooney PC

City/County Cooperation desire to learn from Charlotte’s experience Allegheny Conference of creating efficiencies and improving the Congratulates City To study another region’s efforts to quality of services through consolidation. consolidate city and county services, the and County Leaders on Formation of Allegheny Conference accompanied Following the trip, in January, Chief Allegheny County Chief Executive Dan Executive Onorato and Mayor Ravenstahl Cooperation Committee Onorato, the late Pittsburgh Mayor Bob announced a joint purchasing agreement City-County government collaboration O’Connor, then-City Council President as well as a joint telecommunications is moving forward, as evidenced by the and County Council purchasing contract that is projected to formation in November of the Citizens President in June on a save $4.5 million over three years. The Advisory Committee on the Efficiency and visit to Charlotte, N.C. The trip examined joint purchasing agreement, which applies Effectiveness of City-County Government. Charlotte and Mecklenburg County, N.C., to commodities such as road salt, comput - Established by Allegheny County Chief which have nearly 35 years of history ers and office supplies, will improve the Executive Onorato and Pittsburgh Mayor consolidating services. The Conference efficiency of purchasing operations and Ravenstahl, the Committee is chaired by and The sponsored result in significant savings to City and University of Pittsburgh Chancellor this landmark mission, which marked the County taxpayers. The groundwork for and Conference board member Mark first joint fact-finding trip regarding these agreements was laid as part of the Nordenberg. The Committee is an consolidation taken by our senior County Conference’s City/County purchasing important step toward improved and City officials. In a joint statement, consolidation initiative in 2003 that government efficiency and effectiveness. Chief Executive Onorato and the late recommended merged purchasing Mayor O’Connor both expressed their functions as a critical initiative.

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TAXES AND REGULATIONS

Board Committee Chair: John P. Surma, Jr. Chairman & CEO, United States Steel Corporation

Unprecedented Business • a higher cap on net operating loss Coalition Leads Way to carryforwards – from $2 million $300 Million in Business to the greater of $3 million or Tax Improvements 12.5 percent of taxable income; and As a founding member of CompetePA, a • a continued phase-out of the Capital statewide coalition that represents more Stock and Franchise Tax, in addition than 100 of Pennsylvania’s largest private to a one-time acceleration. sector employers and business organiza - While these reforms are not sufficient to Air Quality Compliance A focus on air quality improvement by tions, the Allegheny Conference shares its the Allegheny Conference dates back to make our business tax structure as As of the end of summer, southwestern successes. Those successes amounted to its founding 60 years ago, when the issue competitive as it needs to be, they have Pennsylvania’s air quality met the nearly $300 million in business tax was its major focus. That focus led to the created a track record of success on which standards for ozone pollution set by the reforms included in the 2006-2007 state clean Pittsburgh skies we know today. to build future improvements. The Con - U.S. Environmental Protection Agency budget. Among the reforms supported In the mid-1990s, the Conference ference Tax and Regulatory Competitive - (EPA). This air quality milestone paves the by CompetePA were: succeeded in obtaining the EPA’s ness Board Committee played a critical way for removal of our “nonattainment” agreement to redesignate southwestern • an increase in the sales factor role in creating that track record and will designation, demonstrating that Pennsylvania as an ozone attainment area apportionment for the corporate net continue to pursue improvements to our residents are breathing cleaner air, under previous standards. This was income (CNI) tax – from 60 percent southwestern Pennsylvania’s business leading to a simplified permitting process followed by important designations on climate through policy reform. for companies interested in locating or to 70 percent – with property and fine particulate matter championed by the expanding operations in southwestern payroll factors reduced to 15 Conference in 2005. percent each; Pennsylvania.

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Panel discussions emphasized how our • The region is ripe for energy industry • There is common ground for region’s ability to compete globally relies job growth. all stakeholders. upon competitive regional energy costs Action: Leverage our assets related to Action: Continue to build a regional and highlighted southwestern Pennsylva - nia’s significant economic growth potential job creation in the energy industry by energy network to enable companies stemming from core competencies in ad - pursuing economic development in the region to share ideas and vanced materials and energy technology. opportunities across the region, information and to find mutually Summit issues and outcomes were: including clean technology. beneficial business partnerships that address energy issues. • Uncompetitive electricity prices ruin • The aging workforce creates potential the environment for new investment for a talent shortage. In early 2007, Governor Edward Rendell proposed the “Energy Independence and jobs. Action: Collaborate with high schools Strategy” that included some of the Action: Encourage a more comp- and universities to match training to Conference’s Summit recommendations. rehensive energy plan for the skills and knowledge needed by In particular, the state supported the southwestern Pennsylvania. energy industry employers. Incorpo- broader use of long-term contracts. rate the energy sector into the • Long-term, fixed-rate contracts are For more details: Momentum Builds for Pittsburgh Regional Compact. key to improved competitiveness. www.alleghenyconference.org Energy Reform *See Workforce Development, page 18. Action: Develop a legislative solution Energy Summit 2006: Generating Ideas to allow the broader use of long-term, for Southwestern Pennsylvania brought fixed-rate contracts among electricity regional attention to our energy challenges producers, distributors and users. and opportunities. The half-day confer - ence in October, presented in partnership • A long and complex permitting with the Pittsburgh Technology Council, process stifles innovation. attracted participation from manufactur - ing firms; alternative energy technology Action: Significantly improve companies; economic development predictability and timeliness in professionals; local, state and federal the permitting process, including government representatives; and municipal permitting and community leaders. environmental permitting by the state and Allegheny County.

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THE PEOPLE BEHIND THE PROGRESS

Enough appreciation cannot be expressed for the dedication and hard work of our Board members and other regional partners, who are working together every day to improve the economic competitiveness of southwestern Pennsylvania and enhance the quality of life it offers.

The Allegheny Conference and its Affiliates are indebted to the following individuals:

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ALLEGHENY CONFERENCE ON COMMUNITY DEVELOPMENT 2007 Board of Directors OFFICERS CHAIRMAN James E. Rohr PAST CHAIRMAN Martin G. McGuinn VICE CHAIRMAN John P. Surma, Jr. CHIEF EXECUTIVE OFFICER Michael Langley TREASURER James S. Broadhurst COUNSEL David A. Brownlee SECRETARY Michele Fabrizi MEMBERS Robert O. Agbede, ATS – Chester Engineers Inc. Maxwell King, The Heinz Endowments EX OFFICIO VOTING MEMBERS Esther L. Barazzone, Ph.D., Chatham College Robert P. Kelly, Corporation John P. Friel, MEDRAD, Inc. Daniel I. Booker, Esq., Reed Smith LLP David M. Matter, Company Michael Langley, Allegheny Conference on Community Development James S. Broadhurst, Eat'n Park Hospitality Group Inc. Susan P. McGalla, American Eagle Outfitters, Inc. Robert H. Luffy, David A. Brownlee, Esq., K & L Gates Kenneth R. Melani, Blue Cross Blue Shield David J. Malone, CLU CHFC, Gateway Financial Group, Inc. Charles E. Bunch, PPG Industries Inc. George L. Miles, Jr., WQED Multimedia Thomas L. VanKirk, Buchanan Ingersoll & Rooney PC Randolph W. Carson, Eaton Corporation Attila Molnar, Bayer Corporation REGIONAL INVESTORS Helen Hanna Casey, Howard Hanna Real Estate Services Todd C. Moules, National City COUNCIL REPRESENTATIVES Jared L. Cohon, Ph.D., Carnegie Mellon University Mark A. Nordenberg, University of Pittsburgh John Miclot, , Inc. Randall Dearth, LANXESS Corp. Morgan K. O’Brien, Terrence J. Murphy, Columbia Gas of Pennsylvania William S. Dietrich II, Dietrich Charitable Trusts Ralph J. Papa, Citizens Bank of Pennsylvania Robert P. Randall, TRACO J. Christopher Donahue, Federated Investors Inc. James E. Rohr, The PNC Financial Services Group, Inc. Jeffrey A. Romoff, University of Pittsburgh Medical Center Charles J. Dougherty, MEMBERS EMERITI John T. Ryan III, Mine Safety Appliances Company Mark Evans, Confluence Technologies Inc. Douglas D. Danforth David S. Shapira, Inc. Michele Fabrizi, MARC USA Henry L. Hillman Stephen V. Snavely, Snavely Forest Products Jerry J. Fedele, West Penn Allegheny Health System James E. Lee William E. Strickland, Jr., Manchester Bidwell Corporation Karen Wolk Feinstein, Ph.D., Jewish Healthcare Foundation Howard M. Love John P. Surma, Jr., United States Steel Corporation Murry S. Gerber, Equitable Resources Inc. Martin G. McGuinn William E. Trueheart, The Pittsburgh Foundation Charles L. Gregory, Sony Technology Center - Pittsburgh Thomas H. O’Brien Stephen R. Tritch, Westinghouse Electric Co. Ira J. Gumberg, J. J. Gumberg Co. C.J. Queenan, Jr. Walter W. Turner, Inc. J. Brett Harvey, Vincent A. Sarni , iGate Corporation L. Patrick Hassey, Incorporated Richard P. Simmons Milton A. Washington, AHRCO William R. Johnson, H. J. Heinz Company William P. Snyder III Peter J. Kalis, Esq., K & L Gates Michael Watson, Foundation

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GREATER PITTSBURGH CHAMBER OF COMMERCE 2007 Board of Directors OFFICERS CHAIRMAN David J. Malone PAST CHAIRMAN David M. Matter VICE CHAIR Terrence J. Murphy CHIEF EXECUTIVE OFFICER Michael Langley SECRETARY/TREASURER Daniel S. Wilson

MEMBERS G. Andrew Bonnewell, Esq., Federated Investors Inc. Jodi Klebick, Leadership Pittsburgh, Inc. Terrence J. Murphy, Columbia Gas of Pennsylvania Walter R. Day, III, Mellon Financial Corporation Michael L. Koff, Sony Technology Center - Pittsburgh David M. O’Brien, Highmark Blue Cross Blue Shield John R. Denny, The Hillman Company Thomas F. Lamb, Jr., The PNC Financial Services Group, Inc. Luanne Radermacher, MEDRAD, Inc. Carson Green, Jr., First Commonwealth Financial Corporation Michael Langley, Allegheny Conference on Community Development Arthur J. Rooney II, Rick Henry, WTAE-TV/Channel 4 David J. Malone, CLU CHFC, Gateway Financial Group, Inc. Robin W. Teets, Heinz North America Tommy Johnson, Consol Energy, Inc. Christopher J. Masciantonio, United States Steel Corporation Daniel S. Wilson, Eat’n Park Hospitality Group Inc. Sharon A. Kanareff, Inc. Barbara A. McNees, Greater Pittsburgh Chamber of Commerce

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PITTSBURGH REGIONAL ALLIANCE 2007 Partners

OFFICERS CHAIRMAN John P. Friel CHIEF EXECUTIVE OFFICER Michael Langley PAST CHAIRMAN Daniel I. Booker

MEMBERS Thomas Balya, Westmoreland County Board of Commissioners Patricia L. Kirkpatrick, Armstrong County Board of Commissioners Luke Ravenstahl, Mayor, City of Pittsburgh Daniel I. Booker, Reed Smith LLP Stephen W. Klemash, Ernst & Young Rodney Ruddock, County Board of Commissioners JoAnne W. Boyle, Seton Hill University John E. Kosar, Burt Hill David Ruppersberger, The Technologhy Collaborative Donald Chappel, Greene County Industrial Development, Inc. Jeff Kotula, Washington County Chamber of Commerce Dan Sandman, United States Steel Corporation David Coder, Greene County Board of Commissioners Michael Krajovic, Fay-Penn Economic Development Council James D. Scalo, Burns & Scalo Real Estate Services, Inc. Elizabeth B. Concordia, UPMC Shadyside Presbyterian Michael Langley, Allegheny Conference on Community Development Diane Sheets, Community Development Corporation of Butler County Dennis Davin, Allegheny County Department of Economic Development Larry Larese, Westmoreland County Industrial Development Corporation Karl Harris, Electro-Optics Center Jerry Dettore, Urban Redevelopment Authority of Pittsburgh Richard Lunak, InnovationWorks Clifford Rowe, P.J. Dick, Incorporated Domenic Dozzi, National Association of Industrial and Office Properties Larry Maggi, Washington County Board of Commissioners Donald F. Smith, Jr., MPC Corporation Ann M. Dugan, Institute for Entrepreneurial Excellence, University of Pittsburgh Michael Matesic, Idea Foundry Stephen Snavely, Snavely Forest Products Jeffrey A. Elser, FirstEnergy Corporation Robbie Matesic, Greene County Department of Economic Development Joseph Spanik, Beaver County Board of Commissioners William Randell Forister, Allegheny County Airport Authority James McCarville, Commission Richard A. Stanizzo, Jr., Pittsburgh Building & Construction Trades Council John P. Friel, Medrad, Inc. John Miclot, Respironics, Inc. Byron Stauffer, Indiana County Office of Planning & Development Richard Shaw, Michael Baker Corporation Attila Molnar, Bayer Corporation Robert Stephenson, RIDC Christina Gabriel, The Heinz Endowments Linda Nitch, Lawrence County Economic Development Corporation Samuel J. Stephenson, Terry & Stephenson PC James Hassinger, Southwestern Pennsylvania Corporation , County Chief Executive, Allegheny County Vincent A. Vicites, Fayette County Board of Commissioners Dana Henry, Indiana County Center for Economic Operations Richard Palilla, Armstrong County Department of Planning & Development Daniel Vogler, Lawrence County Board of Commissioners Sy Holzer, The PNC Financial Services Group, Inc. James Palmer, Beaver County Corporation for Economic Development Sunil Wadwhani, iGate Corporation James L. Kennedy, Butler County Board of Commissioners John Marzetti, Pittsburgh Life Sciences Greenhouse Krista Paternostro, Pittsburgh Technology Council

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PENNSYLVANIA ECONOMY LEAGUE OF SOUTHWESTERN PENNSYLVANIA 2007 Board of Directors

OFFICERS CHAIRMAN Thomas L. VanKirk SECRETARY Louis L. Testoni VICE CHAIRMAN Richard F. Berdik PAST CHAIRMAN Lawrence M. Wagner TREASURER Kimberly Tillotson Fleming CHIEF EXECUTIVE OFFICER Michael Langley

MEMBERS Tony Atwater, Indiana University of Pennsylvania Peter J. McAneny, Kennywood Entertainment Company REPRESENTATIVES FROM THE WEST Richard F. Berdik, Dietrich Charitable Trusts Michael P. McDonald, KPMG LLP CENTRAL AREA OFFICE Georgia Berner, Berner International Corporation J. Kevin McMahon, The Pittsburgh Cultural Trust Richard W. Epstein, Ekker, Kuster, McConnell & Epstein LLP Diana Block, Pittsburgh Post-Gazette James C. Mesloh, Dominion Foundation Frank C. Evans, Evans and Associates Ronald Davenport, Jr., Sheridan Broadcasting James I. Mitnick, Turner Construction Company Robert C. Denove, Deloitte & Touche USA LLP Jeffrey Morrow, FSB MEMBERS EMERITI Malesia A. Dunn, GlaxoSmithKline Robert P. Nadin, Sunoco Inc. J. David Barnes David H. Ehrenwerth, Esq., K & L Gates Jack R. Norris, CB Richard Ellis - Pittsburgh Joe R. Irwin Laura E. Ellsworth, Esq., Jones Day Johanna O’Loughlin, Equitable Resources Inc. William P. Snyder III Kimberly Tillotson Fleming, Hefren - Tillotson Inc. James J. Restivo, Jr., Esq., Reed Smith LLP Lawrence M. Wagner Eric Hanson, Development Dimensions International Richard Russell, Giant Eagle Inc. Paul Hennigan, Lynne D. Schmidt, Esq., PPG Industries, Inc. James E. Herald, Mine Safety Appliances Company Vijai P. Singh, University of Pittsburgh Mary E. Hines, Ph.D., Tori Haring-Smith, Ph.D., Washington & Jefferson College Stuart G. Hoffman, The PNC Financial Services Group Inc. Samuel J. Stephenson, CPA, Terry & Stephenson PC Daniel R. Holtz, Highmark Blue Cross Blue Shield Louis L. Testoni, PricewaterhouseCoopers LLP Robert W. Kampmeinert, Janney Montgomery Scott LLC Gerard M. Thomchick, First Commonwealth Financial Corporation James W. Keating, Jr., National City Bank William E. Troup, CPA, Sisterson & Co. LLP John E. Kosar, AIA, Burt Hill Dennis Unkovic, Esq., Meyer, Unkovic & Scott LLP Michael Langley, Allegheny Conference on Community Development Thomas L. VanKirk, Buchanan Ingersoll & Rooney PC Michael C. Linn, Linn Energy LLC Margaret Irvine Weir, NexTier Bank Joseph C. Manzinger, The Hillman Company David L. Wohleber, Eat'n Park Hospitality Group, Inc. Joseph A. Massaro III, Massaro Corporation

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ALLEGHENY CONFERENCE REGIONAL INVESTORS COUNCIL

ABARTA, Inc. Carnegie Library of Pittsburgh Ellwood Group, Inc. Howard Hanna Real Estate Services Mellon Financial Corporation Pittsburgh Steelers Sunoco, Inc. Abay Ethiopian Cuisine Carnegie Mellon University The Elmhurst Group IDC Architects Meyer, Unkovic & Scott LLP Pittsburgh Symphony Orchestra Supercuts About Pittsburgh, Inc. Carnegie Museums of Pittsburgh Equitable Resources, Inc. iGate Corporation Michael Baker Corporation Pittsburgh Technology Council/ TARQUINCoRE, LLC Acordia Northeast, Inc. CB Richard Ellis-Pittsburgh Ernst & Young IKON Office Solutions MidAtlantic Capital Group Catalyst Connection TelCove AHRCO CBS Radio Fairmont Supply Company Imperial Land Corporation Mine Safety Appliances Company Plextronics, Inc. Terry & Stephenson, PC Alcoa Foundation Centimark Corporation Federal Home Loan Bank Indiana University of Pennsylvania Mizrahi Design Associates, Inc. The PNC Financial Services Group, Inc. The Tomayko Group (TTG) Alcoa Inc. Chaska Property Advisors, Inc. of Pittsburgh Industrial Scientific Corporation Montgomery & Rust, Inc. Point Park University Thiel College Allegheny College Chatham College Federated Investors, Inc. J. J. Gumberg Co. Morgan, Lewis & Bockius LLP Thorp Reed & Armstrong, LLP Allegheny County Airport Authority Chester Engineers, Inc. FedEx Ground JBM Legal Mountaineer Race Track PPG Industries, Inc. ThoughtForm, Inc. Allegheny Technologies Incorporated Children's Hospital of Pittsburgh Fifth Third Bank James Gallery & Gaming Resort Premier Technologies, Inc. TRACO Alpern Rosenthal Chip Ganassi Racing Teams, Inc. First Commonwealth Financial Janney Montgomery Scott LLC Mt. Lebanon Office Equipment Pressley Ridge Trans Associates AMCOM Office Systems Chubb Insurance Group Corporation JENDOCO Real Estate Co., Inc. PricewaterhouseCoopers LLP Tube City IMS American Bridge Company Citizens Bank of Pennsylvania FirstEnergy Corporation Jennmar Corporation N.A. Water Systems PUMP Tucker Arensberg, P.C. American Eagle Outfitters Claude Worthington Benedum First National Bank Jewish Healthcare Foundation National City RDP Consulting Services, Inc. Turner Construction Company American Textile Company Foundation Fitzsimmons Metal Jones Day New Perspective Reed Smith LLP Union Switch & Signal Inc. Aplicor Inc. Cohen & Grigsby GAI Consultants, Inc. K&L Gates NexTier Bank Corporation United States Steel Corporation Applied Systems Associates, Inc. Gannett Fleming Inc. Katherine Mabis McKenna Foundation Corporation Respironics, Inc. University of Pittsburgh Arch Street Management, LLC Coldwell Banker Real Estate GatesmanMarmionDrake, Inc. KDKA-TV NuRelm Richard King Mellon Foundation University of Pittsburgh ASKO, Inc. Columbia Gas of Pennsylvania, Inc. Inc. Office Depot Medical Center Astorino Comcast Spotlight Gateway Financial Group, Inc. Kennywood Entertainment Company ON Rosebud Mining Co Inc. URS Corporation Resources, LLC Community College of Gateway Rehabilitation Center Klink & Co., Inc. Oxford Development Company The Roy A. Hunt Foundation US Airways Atlas Services Corporation Allegheny County General Industries Koppers, Inc. P.J. Dick, Inc. Russell Standard Corporation Value Ambridge Properties, Inc. BAA Pittsburgh, Inc. Concurrent Technologies Corporation Getting to the Point, Inc. KPMG LLP Parente Randolph LLC Rycon Construction, Inc. VAMCO International, Inc. Babst, Calland, Clements Confluence Technologies Inc. Giant Eagle, Inc. L. B. Foster Company PBS&J (Post, Buckley Schuh S.W. Jack Drilling Company Van Dyk Business Systems & Jernigan) & Zomnir, P.C. CONSOL Energy GlaxoSmithKline L. Robert Kimball & Associates Sabio Springs Inc. Verizon – Pennsylvania PEAK Technical Services, Inc. BASF Corporation Consumers Produce Company Glimcher Group Inc. Langholz Wilson Ellis, Inc. SAE International Verizon Wireless Penn State Greater Allegheny Bayer Corporation Cowden Associates The Grable Foundation LANXESS Schnader Harrison Segal & Lewis LLP Corporation Pennsylvania American Water Berner International Corporation Cygnus Manufacturing Company Grace Robinson Insurance Agency, Inc. La Roche College Schneider Downs Washington & Jefferson College Pennsylvania TRANE Black Knight Security Davison Design & Development, Inc. Associates, Inc. Lee Supply Company, Inc. Seagate Technology WDUQ-FM Pepper Hamilton LLP Blattner Brunner, Inc. Del Monte Foods Greater Pittsburgh Arts Council Leech Tishman Fuscaldo & Lampl Sebring & Associates The Weavertown Group Perfido Weiskopf Wagstaff + Goettel Bombardier Transportation Deloitte & Touche USA LLP Grubb & Ellis Company Linn Energy, LLC Seton Hill University The Webb Law Firm Performance Drivers, Inc. Boyden Development Dimensions H. J. Heinz Company Louis F. Leeper Company Shady Side Academy West Penn Allegheny Health System Phipps Conservatory and Botanical Buchanan Ingersoll & Rooney PC International The Hawthorne Group, Inc. Louis Plung & Co. LLP Shenango Incorporated Western Pennsylvania Conservancy Gardens, Inc. The Buhl Foundation Dietrich Charitable Trusts Hefren-Tillotson, Inc. Magee-Womens Hospital of UPMC Sheridan Broadcasting Corp. Westin Convention Center Pittsburgh Pinpoint Real Estate Company The Buncher Company Ditto Document Solutions, Inc. The Heinz Endowments Malin Bergquist Sisterson & Co. LLP Westinghouse Electric Company Pipitone Group Burns & Scalo Real Estate DMJM + Harris, Inc. Henderson Brothers Manchester Bidwell Corporation Sky Financial Group Wetzel Consulting PITT EXPRESS Services, Inc. Dollar Bank, FSB Heyl & Patterson, Inc. MARC USA Slippery Rock University Whirl Magazine Pittsburgh Building & Construction Burt Hill Dominion Delivery Highmark Blue Cross Blue Shield Snavely Forest Products Williams Coulson The Foundation Trades Council Business Records Management, Inc. Duquesne Light Company Hilb, Rogal & Hobbs, LLC Snyder Associated Companies, Inc. WordWrite Communications LLC MarketSphere Consulting Pittsburgh Business Times Butler County Community College Duquesne University The Hillman Company Solenture, Inc. WPXI-TV MARSH USA Inc. The Pittsburgh Cultural Trust Corporation Eaton Corporation The Hillman Foundation, Inc. Sony Technology Center - Pittsburgh WQED Multimedia Massaro Corporation The Pittsburgh Foundation Campos Inc. Eat'n Park Hospitality Group, Inc. Hoechstetter Printing Co. Spilman Thomas & Battle, PLLC WTAE-TV/Channel 4 McKamish Inc. Canadian Consulate General Eckert Seamans Cherin & Mellott, LLC Horizon Properties St. Margaret Foundation WYEP McKesson Automation Carload Express Eden Hall Foundation Housetrends Magazine of Pittsburgh Staley Capital Advisors Yearick-Millea McKinsey & Company Pittsburgh Post-Gazette Carlow University Elliance Houston Harbaugh, P.C. Standard Steel, LLC Zambrano Corporation MEDRAD, Inc. Pittsburgh Quarterly

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MISSION STATEMENT

The Allegheny Conference on Community Development and its Affiliates – the Greater Pittsburgh Chamber of Commerce, Pennsylvania Economy League of Southwestern Pennsylvania and Pittsburgh Regional Alliance – work together to stimulate economic growth and improve the quality of life in southwestern Pennsylvania.

ALLEGHENY CONFERENCE STAFF

G. Subash Alias Cecelia Cagni Ellen Donley Jael Jones Crystal Morgan Janel Skelley Jennifer Anderson Eric Chaikowsky Laura Fisher Kathryn Z. Klaber Dewitt Peart Meghan Skiff Aloma Arter Albert Ciuksza Bill Flanagan Michael Langley Suzi Pegg Keith Trageser Jennifer Baldwin Sherry Colonna James Futrell Tony LeDonne Linda Plavchak Terry Tylka Shawn Bannon Deborah L. Corll Lea Ann Gerkin Paul Leger Serena Rajakumar Kelli Wall Lisa Berger Roger Cranville Pamela Golden Johna Lingelbach Minoli Ratnatunga Brooke Warren Eric Bitar Elaine Dailey Claudia Graitge Deborah Lukus Joan M. Romine Kenneth J. Zapinski Cynthia L. Bowers Virginia Deily Debra Harshaw Ronald J. Maloney Jeff N. Rossi Norman Brawdy Catherine DeLoughry Anthony Holtz Leigh McIntosh Bonnie Rubin Ellen Brooks Michelle Denner Patricia Horvatich Barbara McNees Nova Rubio Edward Butor Jennifer DiFrischia Brian Jensen Bernard McShea Abigail Sadowsky

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REGIONAL ENTERPRISE TOWER | 425 SIXTH AVENUE, SUITE 1100 | PITTSBURGH, PA 15219-1811 TOLL FREE: 1 (877) 392-1300 | PHONE: (OUTSIDE OF U.S. AND CANADA) +1 (412) 281-1890 | FAX: (412) 471-2554 | www.alleghenyconference.org