CED F O R U M THE BEST OF BUSINESS THINKING

CED Hosts Money and Politics Forums continued from page 4 New Reports from CED – CED Trustee Profile: Cono Fusco available with summaries Cono Fusco was elected a CED trustee in Novem- Los Angeles ber 2005. He is the Managing Partner of Strategic CED, along with the California Clean at www.ced.org: Relationships at Grant Thornton LLP, the fifth Money Campaign, hosted a June 6, 2006 largest accounting firm in the United States and CED Trustees John Siciliano, U.S. member firm of Grant Thornton International luncheon which featured remarks from President and CEO, DKF Private Enterprise, Public Trust: – one of the six global accounting, tax and busi- Charles Kolb, President, CED; Thomas Capital Group, Inc. (l) and The State of Corporate America ness advisory organizations. Mann, Senior Fellow, The Brookings Harold Williams, President After Sarbanes-Oxley

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Trustees Harold Williams, President 4BSCBOFT0YMFZ awareness of and provide market-driven solutions Honored at 2006 CED Gala Awards Dinner Emeritus, J. Paul Getty Trust; and John CED Trustee Cono Fusco, for accounting-related issues that could negatively Managing Partner of Strategic Siciliano, President and CEO, BKF Capi- impact capital markets stability, thus encouraging Relations, Grant Thornton LLP. On May 23, 2006, the Committee for Economic Development (CED) honored three business leaders for their contributions to tal Group, Inc., hosted the forum held at market influencers to consider a broader universe public policy at the 2006 Gala Awards Dinner held in New York City. The dinner, which annually recognizes “the best in busi- the Peninsula Beverly Hills Hotel. Open Standards, Open of audit firm choices. ness thinking” and is the highlight of CED’s annual meeting, was held at the Waldorf=Astoria Hotel. Source and Open Innovation: OPEN Harnessing the Benefits Prior to accepting his current position, Mr. Fusco served the firm in a variety of New York City STANDARDS, OPEN SOURCE, of Openness – A report by management roles, including Eastern regional managing partner, managing part- AND OPEN The Coca-Cola Company and Neville Isdell, CED, along with the Reform Institute, INNOVATION: the Digital Connections ner of the Atlanta office, assistant managing partner of the New York office and Harnessing Chairman, Board of Directors, and CEO of Coca- the Benefits Council of the Committee for client service partner. He is a member of the Grant Thornton National Leadership sponsored an April 24, 2006, luncheon of Openness Cola, were honored with the 2006 CED Distin- Economic Development Team and past member of Grant Thornton’s Partnership Board. forum featuring Congressman Chris- guished Performance Award for Corporate Citizen-

A REPORT BY THE topher Shays (R-CT). CED President DIGITAL CONNECTIONS COUNCIL OF THE Mr. Fusco’s is an active member of the American Institute of Certified Public ship. The leadership of The Coca-Cola Company COMMITTEE FOR ECONOMIC Charles Kolb moderated the panel DEVELOPMENT Accountants (AICPA), the New York State Society of CPA’s (NYSSCPA), and the has made a commitment to improving the com- Congressman Christopher Shays (R-CT), a long- APRIL 2006 discussion which included: Carol Darr, Accountants Club of America. Civic affiliations include membership in The Eco- munities in which the company operates, and Director, George Washington’s Institute time supporter of comprehensive campaign finance reform, called for business leaders to actively take nomic Club of New York and The Union League Club of New York. He is a frequent CED applauds the company for its unwavering for Politics, Democracy & the Internet, part in on-going reform efforts. speaker at various conferences and seminars sponsored by business groups, the commitment to integrity and leadership. In his Graduate School of Political Manage- accounting profession and academic institutions. remarks, Mr. Isdell spoke of the need for corpo- ment; Richard H. Davis, Managing Reducing Global Poverty: Encouraging Private rations to establish strong ties to each commu- Partner, Davis Manafort; and Norman Investment in Infrastructure Mr. Fusco earned an M.B.A. from Adelphi University and B.B.A from Manhattan nity they serve and to the workers they employ. J. Ornstein, Resident Scholar, American College. He and his wife, Eileen, live in Manhattan and enjoy taking advantage The Coca Cola Company has a long record of Enterprise Institute. The event was hosted of all of the cultural and other activities the city has to offer. He has two grown corporate responsibility and commitment to by CED Trustee Edward A. Kangas, Re- children. the thousands of communities they are a part tired Chairman & CEO, Deloitte Touche of around the world. As an example, Mr. Isdell Tohmatsu at the Waldorf=Astoria Hotel in Drawing on his experience leading various public policy initiatives for Grant Thornton, Mr. Fusco will work with CED to further thought leadership in areas discussed taking part earlier this year in a cer- New York City. related to commerce and markets. His insights on capital markets and best prac- emony in Nairobi opening a new water facility that was paid for by The Coca-Cola Company. Approximately 120 business and civic tices in public accounting enabled him to participate in and contribute to the de- (l-r) Coca-Cola’s Neville Isdell, Andrea Jung of Avon Products, Jim He concluded his remarks by addressing mistrust leaders attended and discussed various velopment of the CED’s March 2006 report Private Enterprise, Public Trust: The State Robinson III of RRE Ventures, and CED President Charles Kolb at the VIP of large corporations by declaring, “I believe reform efforts. of Corporate America After Sarbanes-Oxley. reception before CED’s annual awards dinner. there are few more effective ways to restore trust over the long term than sustaining corporate Washington, D.C. Committee for Economic Development citizenship.” James D. Robinson III, Co-founder and General Partner, RRE Ventures, On March 16, 2006, CED hosted a lun- CED Trustee John Brademas, President Emeritus, New York University; Congressman Christopher Shays (R- 2000 L Street, N.W. CED’s 2006 Peter G. Peterson Award for Business and former Chairman and CEO, American Express Company, was honored cheon forum featuring remarks from CT); CED President Charles Kolb (l to r) Statesmanship was presented to Andrea Jung, at the CED dinner with the 2006 CED Trustee Leadership Award. Jim Robin- Senator John McCain, unable to Senator John McCain (R-AZ) to Suite 700 Chairman and CEO, Avon Products, Inc. In her son is a long-time CED Trustee and has led efforts to improve trade for both highlight the recent successes of the re- leave the Senate floor due to budget votes, provided remarks on video. role as CEO, Andrea Jung has created a work the United States and our trading partners. Mr. Robinson is Chair of CED’s form movement in Washington, and to Panelist Trevor Washington, D.C. 20036 Potter of the Senator McCain said, “Despite our environment that fosters work-life balance, and Subcommittee on Trade and has presided over the two major CED trade re- underscore the need for further action. past successes, recent scandals in Campaign Legal 202-296-5860 – Main number Avon has created opportunity for millions of ports. He has led CED’s efforts to prod the United States towards a bold “go The panel discussion included remarks Center commented Washington have eroded public faith women around the world. Ms. Jung is one of the first on trade” stance during on-going World Trade Organization talks. In from Norman J. Ornstein, Resident on the status of in our systems of government. We must his remarks to the audience, Mr. Robinson noted that CED’s reports on trade work to strengthen ethics guidelines, 202-223-0776 – Fax most respected business leaders in America, and Scholar, American Enterprise Institute; politics inside the she is committed to corporate philanthropy and “underscore the importance of economic growth, and interdependence as Beltway as fellow training and enforcement; we must Trevor Potter, President and General slow the revolving door between 1-800-676-7353 to creating a workplace that encourages employ- fundamental to lasting world peace.” CED’s 2005 report, Making Trade Counsel, Campaign Legal Center; James panelist Anne Wexler, Chair public service and private lobbying; ees to reach their full potential. In her remarks Work: Straight Talk on Jobs, Trade, and Adjustment, has been endorsed A. Thurber, Director, Center for Congres- of the Executive and we must enact comprehensive www.ced.org to the CED audience, she spoke of the communi- by five former U.S. Trade Representatives, three former presidents, and two earmark reform. Transparency is vital sional and Presidential Studies, American Committee, Wexler ty ties that Avon has built in over 100 countries former Treasury Secretaries. University; and Anne Wexler, Chairman & Walker Public to restoring public trust. Without it, public faith in government will break around the world and how the Avon Foundation of the Executive Committee, Wexler & Policy Associates, listened. down.” has raised more than $450 million for education Walker Public Policy Associates. and wellness programs since 1955. continued on page 2 5 6 CED F O R U M THE BEST OF BUSINESS THINKING CED FORUM CED Gala Awards Dinner CED Takes a Hard Look at continued from page 1 2006 CED Awardees: Inc. The three Trustees serve as Co-Chairs of the CED sub- committee that produced the policy statement. They were Lobbying Reform followed by a panel discussion with Donna Desrochers, CED Vice President and Director of Education Studies; Noel Epstein, author and former Education Editor at The On January 26, 2006, at the National Press Club in Wash- Washington Post; and Sara Watson, Senior Program Of- ington, D.C., CED publicly launched a new project aimed ficer, State Policy Initiatives, The Pew Charitable Trusts. The at improving political discourse in the Congress and the event also featured the release of a list of business leaders Administration. Senator Barack Obama (D-Ill) was from across the country who endorse the CED recommen- the featured speaker at the forum, attended by 100 busi- dations. ness and policy leaders. Senator Obama outlined reform proposals being debated on Capitol Hill and urged a return On June 28, 2006, CED released The Economic Promise of to common sense legislating, not “morally offensive legisla- Investing in High-Quality Preschool in Memphis, TN. The tion that hurts ordinary Americans.” Senator Obama said release event, held at the FedEx Institute of Technology at partisanship must be set aside to find lasting solutions for The University of Memphis, featured remarks from Ten- our health care system, Social Security, and energy. The nessee Governor Phil Bredesen; Dr. Shirley Raines, President, University of Memphis; forum was held as details of alleged influence peddling by United States Senator Barack Obama (D-Ill) outlined the current intense partisan atmosphere in the U.S. Congress. Daniel Rose, Chairman, Rose Associates, Inc.; Ira A. Lipman, Founder and Chairman, lobbyist Jack Abramoff were being reported in the media. Guardsmark, LLC; Susan Urahn, Director, State Policy Initiatives; The Pew Charitable Trusts, and Charles Kolb, CED President. The forum was co-sponsored by the American University School of Public Affairs. Dr. James A. Thurber, Director The study, sponsored by a grant from The Pew Charitable Trusts, finds that American CED Trustee Robert Dugger, of the Center for Congressional and Presidential Studies at children, the United States’ economy and our society can greatly benefit from quality early Managing Director, Tudor Investment American University, took part in the panel discussion. Corp., discussed the findings and childhood education programs. Preschool programs prepare students for early educational The Coca-Cola Company and Neville James D. Robinson III, Co-Founder Andrea Jung, Chairman & CEO, Avon recommendations of The Economic Dr. Thurber is the Project Director for CED’s 2006 project Isdell, Chairman & CEO & General Partner, RRE Ventures and Products, Inc success, but investing in high-quality early education also has long-lasting effects, and Promise of Investing in High-Quality Making Washington Work. The Making Washington Work CED Distinguished Performance Award for former Chairman and COP, American Peter G. Peterson Award for Business improve students’ outcomes well into their adolescent and adult years. Economically, the Preschool: Using Early Education to Corporate Citizenship Express Company Statesmanship long-term impacts of preschool programs translate into significant public and private Improve Economic Growth and the Fiscal project will engage in a yearlong effort to understand why CED Trustee leadership Award benefits, with returns far exceeding the costs. Generating the expected returns requires Sustainability of States and the Nation, the political process in Washington, D.C. is failing and to in Washington, D.C. investments in high-quality programs employing well-trained teachers that help children propose and advocate policies and/or laws that can make develop their academic, social, emotional, and physical skills. The text of the report and a the system work. CED is undertaking this effort to deal with summary of the recommendations can be found at www.ced.org. the hostility and paralysis we see in our national govern- ment. Political discourse in Washington has degenerated to the point where civic debate has become uncivil invective; More than 230 business and policy leaders joined CED analysis has been displaced by ideology; and vital public for the Annual Gala Awards Dinner in New York City. In issues are not solved, but rather stored for future partisan (l-r) CED’s VP and Director of Research, Joseph Minarik, Former U.S. addition to the Awards Dinner, CED’s Executive Committee, A tour of the Barbara K. Lipman Early use. The disappearance of what we call the Vital Center is Representative Lee Hamilton of Indiana, Fred Wertheimer, President Research and Policy Committee, and Program Committee Childhood School and Research Center a threat to our firms, our shareholders, our employees, our of Democracy 21, and Attorney Trevor Potter, Brookings Scholar and all met in working sessions to discuss new and on-going was an important part of the Memphis former Chairman of the Federal Election Commission, took part in the panel research projects. An additional highlight is the annual release event. (l-r) CED Trustee Daniel customers, our fellow voters, and ultimately our democracy discussion on lobbying reform. New Trustee Seminar, which serves as a way for current Rose, Chairman, Rose Associates, Inc.; – a threat that is unique and extreme in our experience. CED Trustees and staff to brief in-coming Trustees on CED’s University of Memphis President Shirley We cannot be silent when so much is at risk. agenda for the coming year. Raines; CED President Charles Kolb; CED Trustee Ira A. Lipman, Founder and Chairman, Guardsmark, LLC; and CED Hosts Money and Politics Forums in Chicago, Los Angeles, CED Releases Report on Economic Benefits of Investing in Sandra Brown Turner, Director of the Lipman School. New York and Washington, D.C. Preschool in Memphis, TN, and Washington, D.C. CED continues to be the leading business voice for campaign finance CED introduced its newest policy statement, The Economic reform. This year CED has hosted four forums on recommendations Promise of Investing in High-Quality Preschool: Using in its 2005 report, Building on Reform: A Business Proposal to Early Education to Improve Economic Growth and the Fis- Strengthen Election Finance. Eliminating unregulated campaign cal Sustainability of States and the Nation, to local and na- contributions (“soft money”) by closing the so-called “527” loophole tional policymakers and business leaders at forums hosted in continues to be a top priority. With generous support from The Pew At the Washington, D.C. early Charitable Trusts, CED is continuing our outreach to the business com- Memphis, TN, and Washington, D.C. The study examines the education forum, CED Trustee economic and social benefits of improved and expanded early James Rohr, Chairman & CEO, munity on this issue. childhood education programs. PNC Financial Services Group, Inc., talks about the need for corporate Chicago On July 25, 2006, CED Trustee James E. Rohr, Chairman and leadership on early education issues. CEO of PNC Financial Services Group, Inc., called upon an PNC has established PNC Grow Up On June 7, 2006, CED partnered with the Illinois Campaign for Po- Great, a $100 million commitment to audience of business and civic leaders in Washington, D.C., to litical Reform to sponsor a luncheon on the effects of money in poli- National and state leaders met in Tennessee to discuss the need for early education programs. In Memphis, CED Trustee Ira A. Lipman, tics. The event featured Illinois Attorney General Lisa Madigan prioritize funding for early education. He was joined by Trust- high-quality early education. (l-r): Daniel Rose, Chairman, Rose (l-r) CED President, Charles Kolb, Illinois Campaign Founder and Chairman, Guardsmark, ees Robert Dugger, Managing Director of Tudor Investment Associates, Inc.; Dr. Shirley Raines, President, University of Memphis; and Illinois Comptroller Daniel Hynes, and was hosted by CED for Political Reform Director, Cynthia Canary, Illinois LLC, outlined his strong support for early Tennessee Governor Phil Bredesen; Ira A. Lipman, Founder and Trustee Ronald Grzywinski, Chairman & President, ShoreBank Comptroller Daniel Hynes, and Illinois Attorney General Corporation, and Daniel Rose, Chairman of Rose Associates, childhood education. Chairman, Guardsmark, LLC; Charles Kolb, President, CED; Susan Corporation, at the Swissôtel in Chicago, Illinois. Lisa Madigan in Chicago. Urahn, Director, State Policy, The Pew Charitable Trusts; and Dr. continued on page 3 Charles Manning, Chancellor, Tennessee Board of Regents. continued on page 5 2 3 4