Final Project, JOMC 152

Final Project, JOMC 452 Spring semester, 2017 University of North Carolina at Chapel Hill

Professor Chris Roush

Final Project

In lieu of a final exam, each student in this class is required to write a 2,000 to 2,500- word paper about a publicly traded company that shows your ability to research, report and write a story that examines some aspect of the company's corporate strategy. You are to use research techniques and reporting methods discussed during the course of this class. The paper is due by 5 p.m. on May 1, 2017. It can be e-mailed to me at [email protected] or placed in my mailbox in the School of Journalism and Mass Communication.

A list of company choices is detailed below, and each student must have made his or her selection of a company by Feb. 1, 2017, which is three weeks after the class begins. The company selections will be made on a first-come, first-served basis. If you want to write your final project about a company that has already been selected by another student, then you will have to choose another company. Note that each of these publicly traded companies is headquartered in the Research Triangle area, giving the students the ability to assess their strategies on a first-hand basis. It is encouraged that the students visit a local location of the company they are writing about to familiarize themselves with local management and its offerings to customers.

The topic of the paper is to be decided by the student after the company has been chosen. Each student is expected to do some preliminary research about his or her company to determine some of the major issues surrounding the company that might become a focus of the final project. The students are encouraged to discuss potential topics with the professor before beginning work on the paper so that they don’t go on a wild goose chase that may result in wasted work. In addition, each student must submit a one-page outline discussing their topic and whom they plan to interview on Wednesday, March 22, 2017.

Students are encouraged to begin work as soon as possible on the final project instead of waiting until the last few weeks of the term. Research, reporting and writing a 2,000 to 2,500-word corporate strategy story takes weeks and even months to do for business journalists at publications such as Bloomberg Businessweek, Fortune and Forbes. Students can look at these magazines to review similar stories, and such stories will be discussed in class during the term.

The final project should show a critical assessment of the particular company's strategy through the use of filings with the Securities and Exchange Commission, analyst reports and comments, the annual report and news releases, interviews with company executives and/or local managers, the company's Web page, discussions with customers and clients, listening to conference calls broadcast via the Internet and any other material that may help tell the story and explain the strategy.

You may use whatever resources you wish, and the more resources you discover and use, the better your final project will be. The final paper, however, must be entirely your own work. You will be graded on that final project.

If you are unsure of how long 2,000 to 2,500 words is, it is approximately four single- spaced typewritten pages, or seven to nine double-spaced typewritten pages.

The final project will be graded based on how well you are able to gather materials and facts about your company and the topic and put them into a coherent story that explains the plusses and minuses of such a corporate strategy. Well-written corporate strategy stories are able to analyze and critique a company through the use of well-documented research that uses other sources as the critical voice. The paper should not sound as if it is the writer actually critiquing the company.

As part of your research on your company, you are expected to use the Bloomberg terminal located in the Park Library. The username is PARKLIB, and the password is JOMC. During class, we will occasionally review news stories, filings and other information that can be accessed via the Bloomberg.

Here is a list of publicly traded companies headquartered in the Research Triangle area that you may choose from. If you know of another publicly traded company based in the area that is not on this list that you wish to use for your final project, let me know. I will also consider companies that are not based in the area, but have a large presence in the area, or private companies based in North Carolina. However, obtaining information to write stories about private companies or subsidiaries can be harder than writing stories about other companies.

Companies

1. Aerie Pharmaceuticals (Ticker: AERI). Based in Durham, Aerie is a clinical-stage pharmaceutical company focused on the discovery, development and commercialization of first-in-class therapies for the treatment of patients with glaucoma. Glaucoma is a progressive and highly individualized disease, in which elevated levels of intraocular pressure, or IOP, are associated with damage to the optic nerve, which results in irreversible vision loss and potentially blindness. Patients may suffer the adverse effects of glaucoma across a wide range of IOP levels.

2. Alliance One International (Ticker: AOI). Based in Morrisville, Alliance One International is a leading independent leaf tobacco merchant serving the world's large multinational cigarette manufacturers.

3. Argos Therapeutics (Ticker: ARGS). Based in Durham, Argos Therapeutics is a biopharmaceutical company focused on the development and commercialization of fully personalized immunotherapies for the treatment of cancer using its Arcelis® technology platform. Argos' most advanced product candidate, AGS-003, is being evaluated in the pivotal ADAPT phase 3 clinical trial for the treatment of metastatic renal cell carcinoma (mRCC). The Company is also developing a separate Arcelis®-based product candidate, AGS-004, for the treatment of HIV, currently being evaluated in a phase 2 clinical trial in combination with a latency reversing drug for HIV eradication in adult patients.

4. BioDelivery Sciences International Inc. (Ticker: BDSI) Based in Morrisville, BioDelivery Sciences International engages in the development and commercialization of drug delivery technologies of proven therapeutics, nutraceuticals, and micronutrients. Its products under development include Bioral Amphotericin B for treating fungal infections; Bioral NSAID for Pain/inflammation; Bioral Paclitaxel for treating Oncology; Bioral siRNA therapeutics for infectious disease/cancer; and BEMA Fentanyl for treating breakthrough cancer pain.

5. Capital Bank Corp. (Ticker: CBKN) Based in Raleigh, Capital Bank is the holding company for Capital Bank. The bank offers a broad range of financial services through offices in the cities of Cary, Oxford, Raleigh, Sanford, Seaboard, Siler City, Warrenton and Woodland, N.C. The company also operates Capital Bank Investment Services Inc., which provides investment advisory and brokerage services.

6. Cempra Inc. (Ticker: CEMP). Based in Chapel Hill, Cempra Inc. is a clinical-stage pharmaceutical company focused on developing antibiotics to meet critical medical needs in the treatment of bacterial infectious diseases. Cempra's two lead product candidates are currently in advanced clinical development. Solithromycin (CEM-101) is in Phase 3 clinical development for community acquired bacterial pneumonia (CABP) and is licensed to strategic commercial partner Toyama Chemical Co., Ltd., a subsidiary of FUJIFILM Holdings Corporation, for certain exclusive rights in Japan.

7. ChannelAdvisor Corp. (Ticker: ECOM) Based in Research Triangle Park, ChannelAdvisor is a provider of cloud-based e-commerce solutions that enable retailers and manufacturers to integrate, manage and optimize their merchandise sales across hundreds of online channels including Amazon, Google, eBay, Facebook and more. Through automation, analytics and optimization, ChannelAdvisor customers can leverage a single inventory feed to more efficiently list and advertise products online, and connect with shoppers to increase sales.

8. Charles & Colvard Ltd. (Ticker: CTHR) Based in Research Triangle Park, Charles & Colvard develops and markets a proprietary carbon-based substitute for diamonds. The company offers a variety of jewelry products using moissanite stones.

9. Chimerix Inc. (Ticker: CMRX) Based in Durham, Chimerix is committed to the discovery, development and commercialization of novel, oral antiviral therapeutics designed to transform patient care in areas of high unmet medical need. Chimerix's proprietary lipid technology has given rise to two clinical-stage nucleotide analog lipid- conjugates, CMX001 and CMX157, which have demonstrated the potential for enhanced activity and safety in convenient, orally administered dosing regimens. Chimerix's second product candidate, CMX157, an oral nucleotide analog for the treatment of HIV infection, was licensed to Merck in July 2012.

10. Cree Inc. (Ticker: CREE) Based in Durham, Cree develops and manufactures semiconductor materials and electronic devices made from silicon carbide (SiC). The company uses proprietary technology to make enabling compound semiconductors such as blue and green light emitting diodes, SiC crystals used in the production of unique gemstones, and SiC wafers that are sold for device production and research.

11. Crescent Financial Corp. (Ticker: CRFN) Based in Cary, Crescent Financial is the bank holding company for Crescent State Bank, a community bank operating branches in and around Cary. The bank offers a variety of loans, checking and savings products, and Internet banking services to consumers and small businesses.

12. First Citizens BancShares Inc. (Ticker: FCNCA) Based in Raleigh, First Citizens is the holding company for First Citizens Bank & Trust Company and Atlantic States Bank. First Citizens serves North Carolina, Virginia, and West Virginia. Atlantic States operates in Georgia, North Carolina, and Florida.

13. Heat Biologics. (Ticker: HTBX) Based in Chapel Hill, Heat Biologics is a clinical- stage company focused on developing its novel off-the-shelf “ImPACT” therapeutic vaccines to combat a wide range of cancers and infectious diseases. ImPACT Therapy exploits the natural ability of antigens to activate the immune system by utilizing live, off-the-shelf, genetically modified cells injected into a patient to elicit a powerful immune response against the disease target.

14. Highwoods Properties Inc. (Ticker: HIW) Based in Raleigh, Highwoods Properties, with its operating partnership and subsidiaries, develops, manages, leases and acquires suburban office and industrial properties. Highwoods has expanded into markets throughout the southeastern and midwestern United States.

15. INC Research Holdings Inc. (Ticker: INCR) Based in Raleigh, INC Research is a global contract research organization (CRO) providing the full range of Phase I to Phase IV clinical development services for the biopharmaceutical and medical device industry. Leveraging the breadth of our service offerings and the depth of our therapeutic expertise across multiple patient populations, INC Research connects customers, clinical research sites and patients to accelerate the delivery of new medicines to market.

16. Investors Title Co. (Ticker: ITIC) Based in Chapel Hill, Investors Title issues and underwrites title insurance policies. The company operates through branch offices in North Carolina and a network of agencies in the United States.

17. Laboratory Corporation of America Holdings. (Ticker: LH) Based in Burlington, LabCorp is a clinical laboratory organization. The Company offers a wide range of clinical laboratory tests which are used by the medical profession in routine testing, patient diagnosis, and in the monitoring and treatment of disease. Laboratory Corporation operates a network of laboratories and service sites which serve clients across the United States.

18. Martin Marietta Materials Inc. (Ticker: MLM) Based in Raleigh, Martin Marietta Materials produces aggregates for the construction industry, including highways, infrastructure, commercial, and residential. The company also manufactures and markets magnesia-based products, including heat-resistant refractory products for the steel industry, chemical products for industrial and environmental uses, and dolomitic lime.

19. MaxPoint Interactive (Ticker: MXPT) Based in Morrisville, MaxPoint provides a leading business intelligence and digital marketing solution that enables national brands to drive local, in-store sales. The company’s proprietary Digital Zip® technology and the MaxPoint Intelligence Platform predict the most likely local buyers of a specific product at a particular retail location and then execute cross-channel digital marketing campaigns to reach these buyers. MaxPoint has worked with each of the top 20 leading national advertisers and each of the top 10 advertising agencies in the United States as ranked by Advertising Age.

20. NephroGenex Inc. (Ticker: NRX) Based in Raleigh, NephroGenex is a clinical-stage pharmaceutical company focused on developing therapeutics to treat kidney diseases caused by pathogenic oxidative chemistries. Since our inception, we have collaborated with the leading scientific experts in pathogenic oxidative chemistries to build a strong portfolio of intellectual property and novel acting drug candidates. Our clinical program has been done in collaboration with world leading clinical investigators in kidney disease. Our product pipeline includes an oral formulation of Pyridorin, which is being developed as a chronic, therapeutic agent to slow the progression of diabetic nephropathy, as well as an intravenous formulation of Pyridorin to treat specific types of acute kidney injury.

21. Novan Inc. (Ticker: NOVN). Based in Durham, Novan is a late-stage pharmaceutical company focused on redefining the standard of care in dermatology through the development and commercialization of innovative therapies using the Company’s nitric oxide platform. Our ability to harness nitric oxide and its multiple mechanisms of action has enabled us to create a platform with the potential to generate differentiated, first-in- class product candidates. We are rapidly advancing programs in five dermatological conditions with significant unmet medical need. We believe that our ability to conveniently deploy nitric oxide on demand in topical formulations allows us the potential to significantly improve patient outcomes in a variety of skin diseases and positions us to be a commercially successful leader in the dermatology market.

22. Ply Gem Holdings Inc. (Ticker: PGEM) Based in Cary, Ply Gem is a manufacturer of exterior building products in North America. Ply Gem produces a comprehensive product line of windows and patio doors, vinyl siding, designer accents, cellular PVC trim and mouldings, vinyl fencing, vinyl and composite railing, aluminum coil and related accessories, stone veneer and gutterware used in both new construction and home repair and remodeling. 23. PRA Health Sciences (Ticker: PRAH) Based in Raleigh, PRA Health is one of the world’s leading global contract research organizations, or CROs, by revenue, providing outsourced clinical development services to the biotechnology and pharmaceutical industries. PRA’s global clinical development platform includes more than 75 offices across North America, Europe, Asia, Latin America, South Africa, Australia and the Middle East and more than 10,000 employees worldwide.

24. Quintiles (Ticker: Q) Based in Research Triangle Park, Quintiles is the world's largest provider of biopharmaceutical development and commercial outsourcing services with a network of more than 27,000 employees conducting business in approximately 100 countries. It helped develop or commercialize all of the top-50 best-selling drugs on the market.

25. Red Hat Inc. (Ticker: RHAT) Based in Raleigh, Red Hat develops and provides open source software and services, including the Red Hat Linux operating system. The company's Web site offers information and news about open source software and provides an online community of open source software users and developers.

26. Sciquest Inc. (Ticker: SQI ). Based in Cary, the company develops and sells software and services that allow pharmaceutical companies, universities and other customers to buy all sorts of goods and services online.

27. Scynexis (Ticker: SCYX). Scynexis is a pharmaceutical company committed to the discovery, development and commercialization of novel anti-infectives to address significant unmet therapeutic needs. We are developing our lead product candidate, SCY- 078, as an oral and intravenous (IV) drug for the treatment of serious and life-threatening invasive fungal infections in humans

28. Tenax Therapeutics. (Ticker: TENX) Based in Morrisville, Tenax Biotherapeutics develops products to treat various ailments and injuries by increasing the delivery of oxygen to damaged tissue. Currently, the company is focused primarily on traumatic brain injury, wound care, decompression sickness and cosmetic applications.

29. Triangle Capital Corp. (Ticker: TCAP). Based in Raleigh, Triangle Capital is a specialty finance company organized to provide customized financing solutions to lower middle market companies located throughout the United States. Triangle's investment objective is to seek attractive returns by generating current income from debt investments and capital appreciation from equity related investments.

30. Xerium Technologies. (Ticker: XERM). Based in Youngsville, Xerium Technologies is a leading global manufacturer and supplier of two types of consumable products used primarily in the production of paper — clothing and roll covers. Our products are installed on paper-making machines and play key roles in the process by which raw materials are converted into finished paper. We employ our broad portfolio of patented and proprietary product and manufacturing technologies.