Business Leader Economic Development for the Regions of Los Angeles County www.laedc.org Los Angeles County Economic Development Corporation Spring/Summer 2005

In This Issue: LAEDC REACHES 100,000 JOBS MILESTONE Business Assistance Program Sets a New Standard for Years to Come á President’s Annual Report 2004-2005 A testament to LAEDC’s mission to “attract, retain and grow á Story and photos from businesses and jobs in the re- the 9th Annual Eddy gions of LA County,” LAEDC Awards celebrates its new milestone of having attracted and retained á LAEDC/WTCA 2004 100,532 jobs from 1996 to Asia Mission Report April 2005. Those jobs trans- late to $3.5 billion in annual á Membership News and economic impact from salaries Updates and $65 million in annual tax revenue benefit to Los Angeles á And much more! County.

At the May 19 Membership Meeting, Los Angeles County Supervisor Michael Antonovich presented the LAEDC with a special commendation from the County Supervisors for this im- portant achievement. Standing from left to right: Westside Regional Manager (RM) Libby Wil- liams, Former RM Judy Turner, San Fernando Valley RM Alex Rosas, Business Development Coordinator Bob Machuca, Former RM Saul Rodney F. Banks, Chairman of Gomez, Gateway Cities RM Barbara Levine, LAEDC Vice President Busi- the Board of the LAEDC said, ness Development Greg Whitney, Former RM Elaine Cullen, Undersecre- “We are pleased to have tary Business, Transportation & Housing Barry Sedlik, Former RM David reached this milestone in job Myers, Antelope & Santa Clarita Valleys RM Henry Leyva, Metro & South creation and retention. It is LA RM Dwayne Gathers, Business Services Coordinator Sequoia Holi- field, San Gabriel Valley RM Vance Baugham. Front and Center: LAEDC President & CEO Lee Harrington and Former BAP Director, now Sister (Continued on page 2) Mary Margaret Brown. Events of Interest More information on Page 4 JUNE 23 Chairman on the The National Association of Chi- nese American Bankers (NACAB) 18th Anniversary Gala 2005 INFIELD

SEPTEMBER 16-25 Baseball great Rod California World Trade Centers Banks threw out the first China Discovery Tour/Trade pitch at Dodger Stadium Mission on April 29, 2005. OCTOBER 24 The 10th Anniversary EDDY Awards Dinner Page 2 LAEDC Business Leader, Spring/Summer 2005

100,000 JOBS ward. By working together, we ters so promptly and effec- PERFORMANCE HIGHLIGHTS (Continued from page 1) will continue to grow jobs and tively.” businesses.” having an important and con- Royal Truck Body in Paramount á 100,532 Jobs Created/ tinuing impact at all levels of The LAEDC Business Develop- faced a possibility of relocating Retained (Jobs Won) from our local economy. As a meas- ment and Assistance Program the business if they could not 1996 to April 2005 ure of its significance, think of provides essential services to secure nearby parking for their á 700 Successful Projects 100,000 jobs as comparable to local businesses such as coor- finished utility trucks. LAEDC á $3.5 Billion- Annual Eco- filling the Los Angeles Coliseum dinating site searches, assisting stepped in to help facilitate an nomic Impact from Sala- or two Dodger stadiums.” with securing incentives, identi- ongoing process of leasing the ries fying traditional and non- land under the power lines from á $65 Million- Annual Tax Greg Whitney, LAEDC Vice Presi- traditional financing opportuni- the Department of Water and Revenue Benefit to County dent, Business Development, ties including industrial devel- Power (DWP) and Southern remarked, “LAEDC’s regional opment bonds. LAEDC also California Edison (SCE). á 60% of Jobs in Manufac- managers and their network of works with workforce training, turing Sector business assistance partners permitting, transportation and “The progress Royal Truck Body á Average Manufacturing have worked diligently over the utility providers. has made with Edison and the Salary $44,000 per Year past nine years to retain and DWP has given us the confi- á 144 Average Jobs per expand our local employers and dence to move ahead with our Project the good jobs they provide.” growth strategy,” Dudley DeZo- á 7 months Average Length nia, President of Royal Truck of Project This year, LAEDC is already Body, said. In addition to the working on 233 active projects, 220 jobs saved, “we are happy reflecting 34,000 potential to announce that we have re- retained, expanded, or new cruited 87 new employees so TYPES OF PROJECT WON jobs. “With the experience and far in FY '06…Thank God for the continuity represented in our Vance Baugham and Ready Pac LAEDC.” Types of Jobs Projects regional managers and part- Plant Manager Santiago Pacheco. Project Won ners, the goal is to reach the next 100,000 job milestone in “I assure you that all of us at Attraction 13,360 112 five years,” said Whitney. Ready Pac greatly appreciate the business friendships we Retention 57,547 287 “We wouldn’t be able to provide have discovered in the LAEDC Expansion 19,830 221 such a successful business and the SGVEP [San Gabriel Valley Economic Partnership],” assistance program without our Relocation 9795 84 relationships with the regional said Ready Pac Irwindale plant manager Santiago Pacheco. EDCs and other partners,” said Barbara Levine with Royal Truck LAEDC President and CEO Lee Ready Pac, a provider of pre- mier fresh-cut, pre-packaged Body Consultant Dick Hoffman Harrington. He credited this (left) and General Manager Joe PROJECTS WON - BY REGION milestone to effective coopera- salad, fruit and vegetables, Valdivia (right). Projects won Jobs Projects tion with other economic devel- encountered local traffic issues by Regions opment organizations in the and difficulty attaining proper “Having reached this important region, and great working rela- permits in a timely fashion. milestone, our goal is to con- tinue to attract and create new San Gabriel 25,317 162 tionships with government offi- Valley cials and agencies. “It takes a “When you operate a company wealth within our economy,” whose sole mission is to deliver concluded Banks. “Recently in team effort to keep the Los Gateway 23,510 136 Angeles economy moving for- very fresh, healthy food to our landmark report Recaptur- American families every single ing the Dream: A Winning Strat- South Bay 17,819 135 day, there is no room for down- egy for the LA Region, we pro- time. Literally, every minute posed a broad visionary road- San Fer- 15,924 99 counts. Whether we are faced map as to how the greater Los nando Valley with an absent traffic signal or Angeles area, as one of the an extra permit requirement, we world’s most diverse business Westside 4,174 28 must find solutions quickly. Our centers, can maintain its vi- LA Metro 4,091 42 employees and customers brancy and preeminence into count on us,” said Santiago. the next decades. We intend to South LA 3,553 38 continue to provide the action- Lee Harrington and Bob Bush “That’s why we truly appreciate oriented leadership to meet Santa Clarita 3,136 30 (right) accept Special Commenda- the extra effort given to Ready these community challenges Antelope 3,008 34 tion on behalf of the LAEDC from Pac to resolve these two mat- into the future, as we have in LA County Supervisor Michael the past.” Valley Antonovich (center). LAEDC Business Leader, Spring/Summer 2005 Page 3

LAEDC Receives CALED Economic Development Award Business Intelligence/Early Warning Program Recognized for its Excellence

The groundbreaking LAEDC pansion projects retaining or In addition to the early warning and will lead to specific recom- Business Intelligence/Early adding over 3,000 jobs, produc- contacts, specific retention and mendations to improve South- Warning program conducted by ing over $103 million in com- expansion needs and issues ern California’s economic cli- LAEDC and the National Center bined annual salaries and an were identified according to mate. for Business and Economic Re- annual tax revenue contribution employer size, location and sec- search (NCBER) earned LAEDC of over $5 million to state, tor. Findings have been used to “We are pleased that this survey the prestigious Award of Excel- county and local government. identify regional policy issues is recognized,” said Lee Harring- lence by the California Associa- ton, President and CEO of tion of Local Economic Develop- LAEDC. “We will continue to ment (CALED) on March 24, work to help businesses in our 2005, at the 25th CALED An- regions grow, not go.” nual Conference in Monterey. Each year, CALED honors The purpose of LAEDC Business achievements in the field of Intelligence/Early Warning Pro- economic development through gram was to survey over 25,000 its statewide Awards For Excel- LA County businesses as an lence program. The program early-warning system to identify brings statewide public and business retention targets, ex- professional recognition to pansion opportunities, and un- From Left to Right: CALED Chairman David Biggs, LAEDC Regional Manager those projects and programs cover key business issues and Henry Leyva, LAEDC President & CEO Lee Harrington, California State Assembly Member Juan Arambula, San Fernando Valley Economic Alliance President developed during the previous growth opportunities for the Bruce Ackerman, San Gabriel Valley Economic Partnership President Bill Carney, year that have made significant future. As a result of this out- Greater Antelope Valley Economic Alliance President Mel Layne, and LAEDC contributions to the field of eco- reach, the LAEDC has positively Regional Manager Vance Baugham. nomic development. affected 30 retention and ex-

Southern California at an Economic Crossroads LAEDC Released Its 2005-2006 Economic Forecast & Outlook

“Southern California’s economy for a 1.6 percent gain. Riverside Additionally, there are several movement. The region’s is at a crossroads and faces and San Bernardino counties major factors that will influence highway and rail network is some specific challenges that will set the pace in non-farm the course of the California and under extreme duress. could impact the year’s results employment growth, with a 3.5 Southern California economies and its future growth,” according percent or a 39,000 job in- in 2005. á Possibility of power short- to the 2005-2006 Economic crease between 2004 and ages if the summer tem- Forecast and Industry Outlook 2005, while Orange County’s á Business Environment in perature soars. released by LAEDC on January non-farm employment will move California. Kyser observed 26, 2005, at Colburn School of ahead by 1.7 that “it is expen- “The Los Angeles area must Performing Arts in Downtown percent or by sive to add a reclaim its commitment to Los Angeles. 23,700 jobs dur- worker in the state, broad-based economic growth ing 2005. and a significant and job creation as the single LAEDC Senior Vice President portion of our busi- most effective way to lift people and Chief Economist Jack Kyser The region’s ness base is trying from poverty and help them presented the Forecast, which growth is pro- to contain costs.” achieve upward mobility,” said looks at key prospects in 2005- jected to get a LAEDC Chairman & CEO Lee 2006 for five southern Califor- boost in 2005 by á State Budget. Harrington. nia counties and expected aerospace, inter- The efforts to trends in important local indus- national trade, bridge the deficit Mid-year update will be avail- tries. motion picture/ could impact both able in July 2005. TV production, business and local According to the study, Los An- tourism, and government. The 2005-2006 Economic Fore- geles County will be first in housing indus- cast and Industry Outlook is Jack Kyser, LAEDC Senior terms of numerical growth, add- tries. Vice President & Chief á C o n g e s t i o n , available for viewing and ing 66,800 jobs during 2005, Economist especially for goods download at www.laedc.org. Page 4 LAEDC Business Leader, Spring/Summer 2005

Business Leadership and the Next Step in LAEDC Evolution Message from LAEDC Chairman Rod Banks reetings to all of our LAEDC members and LAEDC is the quality of the time in its existence, and is partner more thoroughly with board and the executive com- poised to take on more eco- the region’s “like-minded” busi- friends. G mittee, and the continued roles nomic leadership in the years to ness organizations that can and involvement of many past come. help us strengthen our voice This past year has been one of Chairs. To each regionally on economic issues. great accomplishment for the of you I am As we move for- LAEDC. The President’s Report grateful for your from Lee Harrington will outline ward into the next Secondly, with our increased friendship and fiscal year, I have financial ability, we can now for you the key achievements support. that the staff and board made asked the board consider more programs of possible this past year. Simply and staff to help impact on the region’s eco- said, I am confident you will be The LAEDC has us focus on sev- nomic future. Your staff and impressed with the quality and now moved to eral key initia- board will continue to evaluate depth of the organization’s ef- another level in tives. these new programs and bring fort to attract, retain, and grow its evolution. them to you for your review. There are numer- jobs within the region. “[LAEDC] is an First, we need to ous great pro- find better ways And lastly, this is an organiza- grams that have organization of Now, from a personal stand- to gain public tion of business leaders who made a large awareness of our have a vested interest in the point, my appointment as Chair- financial differ- business leaders who man has allowed me to see the mission. This local economy and have a genu- ence within the means finding ine interest in each other’s work of the LAEDC from an en- region. There is have a vested interest in tirely different perspective. We more methods to views. We will therefore con- a strong and get our economic tinue to find more ways to bring began the year under the lead- active board the local economy and ership of our past Chairman leadership into our members together for the made up of busi- have a genuine interest the community. value of our business network- Bob Hertzberg. As all of you ness and politi- know, Bob stepped down in One of the new ing. cal leaders, and in each other’s views.” ways we will be order to focus his efforts on the we are about to Los Angeles mayoral campaign. accomplishing In closing let me say thanks add to a strong this is through the We were honored to have Bob’s endowment that will allow the again to the staff of the LAEDC, leadership this past year and Center for Economic Develop- the various board committees organization to become even ment and the associated South- we are grateful he remains a more involved with programs and in particular the executive key board member and advisor ern California Leadership Coun- committee for the passion they that support the region’s econ- cil, now under formation. Re- to all of us at the LAEDC. What bring to the LAEDC. omy. All in all, the LAEDC has lated to this subject we need to has been a hallmark of the more impact than at any other

New Faces on the Block Introducing the Three Newest Additions to LAEDC Staff

CELESTE LOPEZ MICHAEL MONTOYA V. OAKLEY BOREN Investor Relations & Corporate Analyst Communications Manager Communications Coordinator A recent USC Finance & Inter- Oakley began making her daily A familiar face at the LAEDC national Relations graduate commute from Long Beach to Board and Membership meet- and former Exposition Park the LAEDC in February 2005. A ings since November 2004, Manager’s Assistant, Michael communication specialist, she Celeste brings her experience joined LAEDC in January 2005. is responsible for the mainte- in administrative support and He conducts economic and nance of LAEDC and WTCA project coordination to the financial research analysis in websites, and the overall de- Investor Relations and Corpo- both the Economic and Public sign and parts of the content rate Communications depart- Policy Consulting areas. He for the Business Leader. Oak- ments as the primary point of anticipates pursuing his Mas- ley can be spotted at LAEDC contact for membership infor- ters in Public Policy and Real meetings taking a photo record mation and updates. Estate Development. of the meetings. LAEDC Business Leader, Spring/Summer 2005 Page 5

President’s annual report 2004 - 2005 LAEDC Year in Review from Lee Harrington

BUSINESS DEVELOPMENT AND ASSISTANCE ments, to enhance the capacity, efficiency, INTERNATIONAL TRADE AND INVESTMENT economic and environmental benefits of a Our Business Development and Assistance world-class rail and highway logistics system. Together with the WTCA Los Angeles/Long Program, headed by Greg Whitney, achieved The Project team included public finance Beach, the LAEDC led a major trade and busi- yet another new high, reaching the 100,000 experts and an advisory panel including Gov- ness investment attraction mission to Korea jobs milestone, and completing 125 projects ernors Pete Wilson, George Deukmejian and and China, including 10 members of the with businesses to attract and retain 17,539 former Assembly Speaker Bob Hertzberg. LAEDC and WTCA boards, headed by Rod direct jobs at risk in Los Angeles County. Banks and K.Y. Cheng, the Chairs of the two Since 1996, this program has delivered MEMBERSHIP organizations. (See story on Page 8.) 100,532 jobs at risk for the County of Los Angeles. Approximately 60% of these jobs Our Investor Relations Department, led by We are in the process of organizing the Sep- are manufacturing-related, averaging Steve Harper, reached new highs in member tember Mission and we hope again for strong $44,000 annually to maintain middle class engagement and financial support. For the representation from our members and board. opportunities in the region. The economic first time investor contributions exceeded $1 and fiscal (tax revenue) impact of these jobs million. This year also brought expanded STRATEGIC RETENTION INITIATIVE—LAAFB is now $3.5 billion and $230 million ($65 member involvement through the launch of million in LA County) annually. the Business Services Network, a program of activities and mechanisms to promote mem- Lynn Hogan, LAEDC CFO, also worked with the Economic Information and Consulting Depart- And we enter the new year with 233 active ber business opportunities and support the mission. ments to produce two critical reports to sup- projects reflecting 34,000 potential jobs at port retention of the Los Angeles Air Force risk. Amy Grat also shepherded our annual Eddy Base (LAAFB) and Aerospace Corporation in Awards to a new net revenue high of over the Department of Defense Base Realignment ECONOMIC RESEARCH AND INFORMATION $160,000, doubling our previous best re- (BRAC) process. The reports, which contrib- sults. uted to the success of retaining the AFB, iden- Our Economic Research and Information tified over 60,000 jobs at risk in Southern Program led by our celebrated Chief Econo- LAEDC members continue to provide leader- California, 120,000 statewide, and over $16 mist, Jack Kyser, produced twelve major eco- ship in the public policy arena. Members billion of economic benefit at risk. The Gover- nomic forecasts and industry reports, pre- leading the Critical Infrastructure Council nor’s BRAC Commission used these reports to senting the real business story of LA County. have embarked upon an initiative to support support the Governor’s position for retention. With over 1,600 media inquiries, regional, evaluation of the prioritization and optimiza- national and international coverage of the tion of goods movement system enhance- PACIFIC CONCOURSE REAL ESTATE stories and reports reached an all-time high ments in the region. DEVELOPMENT with numerous front-page articles. SOUTHERN CALIFORNIA LEADERSHIP COUN- The LAEDC’s efforts to complete its 30-acre The Recapturing the Dream: A Winning Re- CIL AND CENTER OF ECONOMIC DEVELOP- business park development at Pacific Con- gional Strategy Report, produced for LAEDC’s course near LAX also neared conclusion at Center of Economic Development and written MENT year end. This will conclude a 15-year effort by Joel Kotkin and Jack Kyser, generated to develop the site to enhance the region’s local, statewide and national recognition as The LAEDC Executive Committee and Board jobs base. In partnership with Stan Moore of an essential economic development and launched a new business leadership initiative OMA Properties, the LAEDC has created a self- public policy thought piece. to address and solve critical public policies issues impacting Southern California’s eco- contained, state-of-the-art, mixed-use, transit- served community composed of 700,000 ECONOMIC CONSULTING nomic vitality and competitiveness. Following two exploratory dinners attended by regional square feet of world class commercial, re- business leaders and three former governors, search and public services facilities and now Economic Consulting, headed by Wally Baker, the Southern California Leadership Council with Trammell Crow Realty 430,000 square continued to add to its already impressive list and a Center of Economic Development were feet of luxury, professional housing. Special of clients in the public and private sector created. Governor Pete Wilson volunteered recognition goes to long-time Board members throughout Southern California and the state. to act as interim Chair for the formation ef- Phil Nicholson, Jim Hankla and Bob Bush for Of particular note was the 5 County Goods fort. their support of this project. Movement Project, which was supported by all 5 county transportation agencies, and The Center, a public policy program of the CREDIBILITY, IMPACT, CONTINUITY AND LEAD- both BNSF and Union Pacific railroads. The LAEDC, will provide the analytical and solu- ERSHIP are now the hallmarks of the LAEDC, Project developed a system-wide project plan, tion path support to the Leadership Council all thanks to the efforts of our members and including financing options for over $10 bil- comprised of 15 to 30 Southern California our board. lion of goods movement system improve- business and community leaders. Page 6 LAEDC Business Leader, Spring/Summer 2005

An Evening of Pride & Honor at the 2004 Eddy Awards n October 7, a sold-out crowd of more development, and promoting financial literacy Past Eddy honoree John Bryson, Chairman, Othan 450 of the region’s leading busi- and leadership training. President & CEO, Edison International, and ness, government and community leaders, Alberto Alvarado, Los Angeles District Direc- filled the Crystal Ballroom of the Beverly Hills “This state’s nearly one million small compa- tor, U.S. Small Business Administration, were Hotel to celebrate two exemplars of excel- nies are...the source of stability, entrepre- on hand to present Lozano with the Eddy lence in economic development at the 9th neurship and wealth-building for tens of thou- Award. Annual Eddy Awards. Liam McGee, President sands of newcomers to this country every of Consumer Banking, Bank of America, and year,” said McGee. Los Angeles’ ethnic diver- Calling Lozano a “tough cookie”, Alvarado Monica Lozano, Publisher and CEO of La sity makes it “the 21st century city that an- quipped, “Monica once asked me ‘When does Opinión, were honored for their outstanding chors the profoundly personal miracle we call a woman most enjoy a man’s company?’… contributions to the region’s economic vitality. the American Dream.” She said, ‘When she owns it, of course.’ That’s how tough she is.” Alvarado later This celebration of leadership was asked the audience to stand to honor hosted by Leyna Nguyen, weekend an- Lozano, “a woman whose grace, charm, chor and reporter for KCAL 9, who and beauty are only exceeded by her charmed the audience with her expres- business acumen, brilliance, and intelli- sive commentary. The evening began gence.” with an opening and welcome remarks by LAEDC Chairman Rodney F. Banks, In her acceptance speech, Lozano em- who introduced a short video highlight- phasized the importance of our diversity ing LAEDC’s mission. and its contribution to Southern Califor- nia. “Power of the Latino community is Banks, Market President & Small Busi- apparent everywhere we turn in South- ness Executive, Bank of America, re- ern California,” said Lozano. “Our com- turned to the stage later, joined by Joe munity is building community.” Haggerty, President, United Way of Greater Los Angeles, to introduce and Rod Banks, Liam McGee, Monica Lozano, Lee Harrington Winding down the evening, Eddy Dinner present the award to McGee. Committee Chair Kenneth P. Trevett, La Opinión is an example of such dream—“A J.D., President & CEO, Los Angeles Biomedi- “Sometimes people complain that business testament to what immigrants contribute to cal Research Institute, thanked the LAEDC executives don’t give enough of their personal Southern California.” Under Monica Lozano’s Board and Executive Committee for their time,” Haggerty noted. “Liam gives personal leadership, La Opinión, started by her grand- strong support of the event, as well as Ms. time. He’s a man—a leader—who gives his father in 1926, has become an active partner Naz Keynejad and the team at Western Direct time and his concern so that people find a in the economic prosperity and business suc- for their expert event management. way to move up.” cess of one of the most dynamic communities in the region. Understanding the power of After acknowledging the honorees, the guests Examples of McGee’s business leadership information to strengthen communities and and the LAEDC staff, LAEDC President & CEO, include leading Bank of America to make improve peoples’ lives, Lozano has led La Lee Harrington concluded, “[LAEDC] will help banking services more widely accessible to Opinión to reach toward a national audience you to make this region grow, achieve its eco- consumers and neighborhood businesses, and has created outreach programs, includ- nomic promise, and through that economic providing innovative solutions in housing and ing Éxito Empresarial, which equips aspiring promise, all that quality of life had brought us mortgage lending, supporting small business entrepreneurs with essential business skills. here in the first place.” SAVE THE DATE The 10th Anniversary Monday Eddy Awards October 24, 2005 A Celebration of The Regent Beverly Wilshire Economic Development For sponsorship and other information, Excellence please contact Naz Keynejad at (310) 624-4711 ext. 3 Cocktail Reception & Silent Auction www.laedc.org/data/events/2005eddy.shtml Followed by Dinner and Award Programs LAEDC Business Leader, Spring/Summer 2005 Page 7

Joe Haggerty, Tim McCallion, and Liam Joe Faulkner, Margaret Han, Lee Harrington, Rod Banks, Jean Brinkmann, Susan Banks, McGee Liam McGee, Lloyd Greif, and Walter Conn and Tad Ikemoto

Leyna Nguyen, John Bryson, Monica Lozano, Full house crowd in the Crystal Ballroom Barbara Trevett and Eddy Dinner Commit- and Alberto Alvarado tee Chair Ken Trevett, and Clifton Johnson

Al Osbourne, Barbara Allen Watkins, and Anne Somers, Scott Somers, and Don Clark Roy Hearrean, Past Eddy Honoree Tom Nelson Davis Decker, and Bob Hertzberg

SPONSORS OF THE 9TH ANNUAL EDDY AWARDS

Los Angeles Times ʋ Mayer, Brown, Rowe & Maw, LLP ʋ Pillsbury Winthrop LLP ʋ Port of Long Beach ʋ Sidley Austin Brown & Wood, LLP Union Bank of California ʋ ʋ Washington Mutual ʋ Watson Land Company ACT-1 Group ʋ ADP Small Business Services ʋ Automobile Club of Southern California ʋ Bain & Company ʋ Bear Stearns ʋ Blue Cross of California DMJM Harris ʋ East West Bank ʋ HSBC Bank USA ʋ La Opinión ʋ LA BioMed ʋ Lowe Enterprises ʋ Marshall School of Business ʋ Oakwood Worldwide Southern California Edison ʋ Southern California Gas Company ʋ Strategic Benefits Group ʋ University of Southern California ʋ Windale Group Page 8 LAEDC Business Leader, Spring/Summer 2005

Winner Will Take All: The Region’s Economic Future Events of Interests LAEDC continues to exert a growing influence on public policy issues affecting the For more information on any Southern California region. As part of its effort to positively shape the course of of these events, please visit www.LAEDC.org regional development, LAEDC recently undertook a major thought-piece dedicated to addressing major issues of regional scope. Excerpts follow:

“Strategy, which creates the community align around a tion support mechanisms to necessary jobs and tax revenue winning regional strategy,” said address regional threats and to help finance the public sec- Lee Harrington, LAEDC opportunities. tor’s ability to meet the many President and CEO. “Growth vs. needs of the region – that’s the no growth is not an option. We 3. Local government focused bottom line,” said Recapturing need to act based on the on its primary mission of the Dream: A Winning Strategy realities before us.” infrastructure and public for the LA Region, a report re- services leased by the LAEDC on January Recapturing the Dream recom- Engage local elected officials 20, 2005. mends six critical elements to and governmental leaders in JUNE 23 get LA regions back on track: meaningful dialogues with The National Association of Co-authored by LAEDC Senior business leaders, the true job Chinese American Bankers Vice President and Chief 1. Community buy-in to the generators. (NACAB) 18th Anniversary Economist Jack Kyser and Joel “winning regional strategy” Workshop and Gala Kotkin, an internationally philosophy 4. More effective regional Starting at 4 p.m. recognized expert on global, Business and jobs are the key to engagement in the policies and The Los Angeles Omni Hotel economic, political and social our economic success and actions of State Government trends, Recapturing the Dream quality of life. This message Creating a local government/ LAEDC Vice President & Chief points out that much of the needs to be coupled with an business partnership that can Economist Jack Kyser to regional policy-making appreciation for planned growth effectively advocate necessary speak at the workshop, and community, especially the city of and economically rational Michael Milken to keynote at Los Angeles, no longer change in Sacramento. environmental solutions. the gala. recognizes the connection between fostering economic 5. Continued attraction and growth and improving social 2. Engaged business leadership investment in higher education to solve critical threats facing SEPTEMBER 16-25 well-being of the population. We need to support a the region combination of community California World Trade Cen- The business community needs ters China Discovery Tour/ “These disconnects must be college programs focused on to build its capacity to analyze Trade Mission bridged with more business technical and skilled workforce the issues, develop solution (Details on Page 8) leadership to help the careers along with college and paths and create implementa- graduate programs relevant to our growth industries. California World Trade Cen- Entrepreneurial and ters offer 2 distinct programs International programs are to China: China Discovery particularly well suited to our Tour with a few business region’s business base. briefings, and the business focused China Trade Mission. 6. Maximize land reuse in urban areas The region will continue to grow. OCTOBER 24 That in mind, we need to treat The 10th Anniversary land as a scarce resource that EDDY Awards Dinner must be optimized as the region The Regent Beverly Wilshire, grows. Maximizing the utilization Beverly Hills “More than anything else, [LA region’s] of land and existing creativity and leading edge, entrepreneurial spirit, infrastructure is a critical Join us in a celebration of regional development priority. economic development excel- driven largely buy its growing diversity, lence! For sponsorship and Recapturing the Dream is other information, please are its greatest strengths.” available for viewing and contact Naz Keynejad at (310) 624-4711 ext. 3. - Excerpt from Recapturing the Dream download at www.laedc.org. LAEDC Business Leader, Spring/Summer 2005 Page 9

2004 LAEDC/WTCA Asia Mission: Accomplished John Carver, a mission participant from Col- liers Seeley, commented, “From this trip, we have a much better perspective of our busi- ness here in Los Angeles. Let alone our capabilities and confidence of doing busi- ness overseas.”

Among the accomplishments of this mission were the signing of three strategic partner- ships with the Gyeonggi Federation of Eco- Henry Wang, Amy Grat, Walter Conn, and Jenny nomic Organizations (GFEO), Beijing State- Chen touring the construction site of BSAM Olym- owned Asset Management Corporation At USC Asia Conference in Seoul, Korea pic Project (BSAM), and the WTCA-Shanghai. The goals of these strategic partnerships are to ex- Members of the LAEDC and WTCA partici- pand business opportunities for the region’s pated in a business development mission to businesses and promote greater collabora- Asia Mission Participants South Korea and China. Under the com- tion between organizations for mutual bene- Rod Banks Rich Davis bined leadership of LAEDC Chairman, Rod- fit. Bank of America Colliers Seeley ney F. Banks and WTCA Chairman, KY Cheng, the group conducted meetings with a KY Cheng John Carver number of organizations and businesses in East West Bank Colliers Seeley Seoul, South Korea; and Beijing, Tianjin, Suzhou and Shanghai, China. Roy Hearrean Janice Bryant SWI Group Howroyd Key goals of the LAEDC/WTCA mission in- ACT 1 Personnel cluded increasing board awareness of the Kevin Nikkhoo Services importance and impact of Asia, especially Sino Century US China, on the Southern California economy Carlton Bryant and promoting business development oppor- Walter Conn ACT 1 Personnel tunities for Southern California companies. Rod Banks shaking hands with Li Aiqing at BSAM Charles Dunn Services strategic partnership signing ceremony in Beijing Company Jack Lewis William Carney IBEAR/USC A portion of the delegation arrived early to San Gabriel Valley participate in USC’s Asia Conference, held in Economic Partner- Suzette Furbeyre Seoul. ship IBEAR/USC

“In the end, it is the relationships that Jenny Chen From LAEDC helped deliver this seamless global eco- Han Tone Int’l Corp. Lee Harrington nomic network,” remarked Lee Harrington, Greg Whitney LAEDC President & CEO. “We can bring the Robert Oehler Steve Harper opportunities to the table. And that is the Far East National Amy Grat China Mission participants visiting Shanghai For- new [economic development] model that we eign Investment Development Board Bank Greg Freeman are creating here at the LAEDC.”

2005 California WTCs China Discovery Tour/Trade Mission B e i j i n g - H a n g z h o u - S h a n g h a i : : S e p t e m b e r 1 6 - 2 5 , 2 0 0 5 California World Trade Centers (WTCs) and State of California Business, Transportation and Housing Agency, in cooperation with U.S. Department of Commerce, the statewide California Trade Partners, and other trade associations, offer two distinct programs. The China Discovery Tour will offer participants opportunities to visit main attractions in China, and receive a few business brief- ings. The China Trade Mission is business-focused, providing participants from the State of California with cultural, social, eco- nomic and political orientations in China. For more information, please contact Sequoia Holifield at (213) 236-4822 or [email protected] Page 10 LAEDC Business Leader, Spring/Summer 2005

Membership Update LAEDC Welcomes 2004-2005 New Board and Executive Committee Members, and New Member Companies

Frank Nainoa NEW EXECUTIVE COMMITTEE NEW BOARD MEMBERS FEATURED NEW MEMBER MEMBERS Manager, West Verizon Mark V. Bozigian Solution Center James Acevedo Redevelopment Director Verizon Commissioner City of Lancaster-Redevelopment Port of Los Angeles Agency Mary Neale Partner McKinsey & Company is a manage- ment consulting firm helping many John X. Chen Alan Buckle Sidley Austin Brown & Wood Director of Economic Regional Vice President of the world’s leading organiza- Development Alliance Bank Dennis Olson tions improve strategies, organiza- Los Angeles Department of Water Deputy Executive Director, LAX tions and operations. For nearly and Power Jonathan R. Choi Airlines Airport Affairs Committee eight decades, the company’s pri- Manager, California Government mary objective has remained con- William F. Coffin Relations Douglas W. Otto stant: to serve as an organization’s CEO The Company Attorney at Law most trusted external adviser on CCG Investor Relations Law Offices of Douglas W. Otto critical issues facing senior man- Paul T. Cooney agement. McKinsey is dedicated to Jeff Dritley Regional Director, Southern Todd Palmer helping clients make distinctive, Managing Partner California and Nevada Regional Vice President, lasting and substantial improve- Kearny Real Estate Company AT&T California ments in their performance. Computer Associates Dhiya El-Saden Kim Day McKinsey has 83 offices in 45 Partner Joe Perez Executive Director countries worldwide. Its approxi- Gibson, Dunn & Crutcher, LLP Los Angeles World Airports Director of Community Development mately 6,300 consultants are citi- John Fairbrother Brian Gregson City of Paramount zens of nearly one hundred coun- Director, Finance & Accounting Senior Vice President tries. To ensure objectivity, the McKinsey & Company District Executive Chris Pociask Firm is privately owned by its part- HSBC Bank USA Senior Account Manager ners, in order to remain independ- Rob Gilmore BCE Conferencing Inc. ent of outside shareholders’ inter- Director, Commercial/Industrial Hezekiah Harris ests. Newhall Land President José Luis Sanchez CMTS - Construction Manage- Director, Governmental Affairs Kim McCleary La France ment Southwest Airlines LAEDC MEETING SCHEDULE Vice President, Planning & Attendance at meetings are by mem- Community Affairs Paul Hernandez Lane Schwartz bership or invitation only. Manager, Public Affairs Regional Manager, LA Office The California Endowment Marcus & Millichap Board of Directors Meetings Edward A. Perron June 15 Partner Karen Hughes Warren Spikes July 20 Pillsbury Winthrop State Sales Coordinator Operations Vice President * No Board meeting in August. AFLAC Inc. State Farm Insurance Companies October 19 Andrew D. Ratner December 14 Holiday Event (5:00- Executive Managing Director Bill Kearns Mark Sullivan 7:30 p.m.) Cushman & Wakefield Senior Vice President Executive Vice President and LBA Realty Branch Manager Full Membership Meetings Jeffrey Scheferman Julian J. Studley President & CEO September 21 Jim Lott Colliers Seeley Int’l, Inc. November 16 Executive Vice President, Pamela Westhoff Healthcare Policy Development & Partner Greg Seibly All meetings are held at Communications DLA Piper Rudnick Gray Cary US President California Club, 538 South Flower Hospital Association of Southern LLP US Bank California California Street, and run from 8:00-9:30 Roger O. Williams a.m. with networking opportunity NEW MEMBER COMPANIES Michael Mulcahy Business Development Executive starting at 7:30 a.m. Market President Rudolph and Sletten Inc. Accenture First Heritage Bank of California For membership information, College of the Canyons Jon Yipp please contact Amy Grat at Federal Express Assistant Administrator Opera- [email protected] or call (213) 236- Royal Truck Body tions, West LA Medical Center 4835. Western Direct Kaiser Permanente LAEDC Business Leader, Spring/Summer 2005 Page 11

Highlights from 2004-2005 Board & Membership Meetings

THE CONTENDERS when Panasonic Disc was seeking a location In May, David A. Furhman, Managing Direc- to operate in the U.S. With LAEDC assis- tor of Marsh & McLennan, reported on the As the LA Mayoral election approached, the tance, Panasonic Disc has expanded twice reform of the California workers compensa- LAEDC was honored to have both mayoral since then and plans to expand further as tion system. He noted the 3 ingredients for candidates LA City Councilman Antonio Vil- the market demand grows. reform—a motivated Governor, a business laraigosa (Mayor-elect) and Mayor James community prepared to spend political Hahn address our board and membership in capital to deal with the problems, and em- March and April respectively. ployees and labor’s recognition that jobs and wage increases were at stake.

Mark Horiki of Panasonic Disc Manufacturing

HOT TOPICS IN 2004-2005 David Furhman of Marsh & McLennan The economic consequences of terrorism LA Mayoral Candidates at Board Meetings were among the many homeland security Mayor James Hahn and related concerns that Detlof von Winterfeldt, More than 50,000 jobs and $300 million Mayor-elect Antonio Villaraigosa Co-Director of USC’s Homeland Security contribution to local economy are also at Center for Risk & Economic Analysis shared stake if the Los Angeles Air Force Base is LAEDC SUCCESS STORIES with the members in January 2004. The closed down according to Joe Aro, co- first of its kind, the Center aims to provide chairman of LA AFB Regional Alliance. In AMSI (Advanced Machine & Stretchform opportunities for partnership and resource- January 2005, Aro urged businesses in the International, Inc.) – Terry Brown, CEO of sharing, as well as economic opportunities LA region to fight to keep the base in AMSI, gave a report on the assistance pro- for state and local agencies, and private Southern California. vided by LAEDC and LA County in securing a companies. community development float loan. This Also in January 2005, Dean Yash Gupta of additional financial security will allow AMSI A report on California Competitiveness Pro- USC Marshall School of Business called to expand their operations. ject, conducted by Bain & Company, re- attention to the need for a dynamic curricu- vealed startling results. In March, Bain & lum that keeps up with the ever-changing Lawrence Equipment – With the help of Company’sJ eff Melton said that 100 per- business climate. He emphasized the im- LAEDC and San Gabriel Valley Business Part- cent of senior executives viewed California portance of building relationships between nership,J ohn Lawrence, the owner of Law- business climate as unfavorable. Bold legis- the school and the business community. rence Equipment, decided to keep their lative actions are imperative, according to 200-employee business in the region in- Melton, to restore the region’s economy. AND FINALLY… stead of leaving the state, and later added 100 jobs with their expansion plan. Keeping mobility going is the key to South- At the request of LAEDC Chairman Rod ern California’s economic stability. At the Banks, LAEDC Investor Relations produced April meeting, Diane C. Eidam, Executive the new and improved LAEDC name Director, California Transportation Commis- badges. They were introduced at the April sion, and Roger Snoble, CEO, Metropolitan 2005 meeting. Transportation Authority, gave an update on the transportation infrastructure.

Another transportation issue that will affect business in LA region is the LAX expansion. John Lawrence of Lawrence Equipment LA City Councilwoman Cindy Miscikowski, 11th District, described her outreach proc- Panasonic Disc Manufacturing Corp. - ess to the community to gain insight into Masahiko “Mark” Horiki, President & CEO; areas of agreement on the modernization of Marty Burstein, VP, Administration; and Tod LAX in the “Consensus Plan: A Vision for the Sword, Project Manager, Southern California Future of LAX.” Amy Grat, LAEDC Director of Investor Relations, Edison recounted the process from 1996 handing Rod Banks his extra large new badge. Los Angeles County Economic Development Corporation

444 S. Flower St. 34th Floor Los Angeles, CA 90071 Phone: 213-622-4300 www.laedc.org

As the premier business leadership organization, the LAEDC’s mission is to attract, retain and grow business and jobs in the regions of Los Angeles County, as well as to identify trends and effect positive change for the local economy.

BUSINESS LEADER LAEDC would like to thank the following Business Leaders: is published quarterly by the LAEDC Investor Relations & Corporate Communications Department.

Steve Harper Senior VP Investor Relations & Corporate Communications Executive Producer

Amy Grat [email protected] Director of Investor Relations Editor & Writer

V. Oakley Boren [email protected] Communications Manager Designer & Writer