Port Tampa Bay State of the Port 2016 THEME: New Frontiers Port Tampa Bay is reaching new frontiers fueled by Central Florida growth and the expansion of the Panama Canal. New Frontiers represents a series of new opportunities that complement the current business portfolio, infrastructure growth, market conditions and Port Tampa Bay’s optimum land use – all to the mission of leveraging maritime assets for economic impact and sustainable job growth. PROGRAM FLOW: VOG: Introduction & VIPs Intro Video Paul - Opening Remarks / 2015 Numbers Raul - Real Estate and Master Plan Paul - PTB Profile Summary Lunch Break Video – New Frontiers #1 Paul - New Frontiers Carson Chambers – Panel with Manuel E. Benítez H., Kurt Naugle, Paul Anderson Paul - Raising the Profile/Summary Video: New Frontiers #2 ENVIRONMENT: [Terminal 2 set up description] The State of the Port will be held at Terminal 2 as in past years. T2 continues to provide a great venue with high ceilings in an “industrial” environment perfect for large banners and bringing in props such as containers and other large items. This year we’ve talked about brining in a forklift holding a steel coil in addition to containers. This being a big year to feature the upcoming cranes, there is a full scale model of the ZPMC crane under Plexiglas that will be positioned at the entrance of the event so that attendees will file past it on the way to their seats. Doors Open (11:15am) Opening Slides – Logo – Images – Walk in Music Introduction (11:30am) VOG: Ladies and Gentlemen, welcome to the 2016 State of the Port. If you will please take your seats our program will begin shortly. [Pause] Ladies and Gentlemen, at this time please stand and welcome from the Grace Family Church, Pastor Craig Altman who will lead us in today’s Invocation. Invocation Please continue to stand as we honor America with the presentation of colors presented by the Avast Color Guard Presentation of Colors Please welcome Medal of honor recipient, Command Sargent Gary Latrell to lead us in the Pledge of Allegiance Pledge of Allegiance Please welcome from MacDill Air Force Base, Sargent TBD in our National Anthem National Anthem Ladies and Gentlemen, please remain standing as we retire the colors Retire the colors VOG: Thank you! Please be seated [after everyone is seated] VOG: Ladies and Gentleman, as we begin our program we would like to introduce some special people in the audience today. VIP Introductions (John to help compile) VOG: Let’s have a round of applause for all of our special guests at this time please welcome from Florida’s 14th Congressional District, Congresswoman Kathy Castor. Congresswoman Castor remarks (11:35am) VIDEO: (1 min) - Introduction Dramatic Music Visuals: Scenes from 2015 – conferences, PTB press conferences, on the Sheriff’s boat, board room, mixed with our Port footage and beautiful Tampa scenery. No script – no Supers – just mood creating visuals that serve as a prelude to Paul Anderson’s intro Music and Vid fades. VOG: Ladies & Gentlemen, please welcome to the stage, the President and CEO of Port Tampa Bay, Mr. Paul Anderson. [applause] Paul Anderson: Opening Remarks Thank you. On behalf of myself, our Board of Directors, and our staff at Port Tampa Bay, thank you for coming and being a part of our special day. Thank you Congresswoman Castor, for your kind words and for all that you do for the port and our community in Washington DC, Thank you Command Sargent Major Gary Latrell and to the AVAST Color guard, you are all true American Heroes. Ladies and Gentleman I am truly humbled by your presence today as I look out I see many friends out in the audience. People who I have come to know, people who I respect and people who help make our community a better place each and every day. Today I look forward to the opportunity to update you on the progress of YOUR Port over the last year. I also look forward to previewing what’s to come in 2016 which is shaping up to be one of the most active and strategically important years in the port’s history. We’ve got a lot of things lined up and I can’t wait to share it with you. But first Ladies and Gentlemen, friends, colleagues and partners: The State of the Port is good. Not only are we building the future and optimizing the potential that lies ahead for Port Tampa Bay, we’re doing it in a sound financial position while simultaneously increasing our current cargo and cruise businesses. Let’s get to the performance results in each of these categories. 2015 Results (11:45) [IMAGE: Begin Charts - Numbers] In 2015, Port Tampa Bay’s operating revenue was just over $51 million – a record year. Our total cargo tonnage experienced a 3.2% increase of just over 1 million tons for an annual total of over 37million tons. Now, let’s break down our cargo numbers. Bulk cargo was up almost 1.2 million tons, or 3.3%. That number is comprised of our dry bulk, which includes such commodities as phosphates, fertilizer, cement, coal, limestone and other aggregates – which was up slightly at about 2% or 226 thousand tons. Liquid bulk, including petroleum products, liquid sulfur and juice, was up a robust 4.5% or almost a million tons. General cargo this year was flat at 1.2 million tons – with strong growth in steel products and containers offset by a drop in scrap metal as a result of consolidation among our scrap terminal tenants. On the cruise end of our business, total cruise passengers were at 867,114 which is down just over 2%. For the coming year we will have five home ported vessels from Carnival, Norwegian, Royal Caribbean and Holland America Line, as well as the second full year of port of call visits by the German Cruise line, AIDA. Ladies and Gentleman, we are very fortunate to be Florida’s most diverse port. Our diversity has helped us maintain a strong financial outlook. Each of the major rating agencies, Fitch, Standard and Poor’s, and Moody’s have all given a rating of A minus or better, and Fitch upgraded our outlook from stable to positive based on our diversification and fiscal management. As you can see by the topline numbers I just mentioned, things are good and we are looking forward to making them even better. You’ve heard us say it time and time again – We are Florida’s largest port in tonnage and in land – another key component to our growth and progress in 2015 was in our real estate. Many of you know the port complex is comprised of over 5,000 acres. It continues to play key part of our strategy for the future. To update you on this, I’d like to call to the stage Raul Alfonso, Executive Vice President and Chief Commercial Officer for Port Tampa Bay. Real Estate & Master Plan (12:00) Raul Alfonso: Thank you, Paul. Good afternoon to all, and thank you for being our customers, our partners, in this great industry of ours. We should be proud of our overall performance during 2015. This was a solid year for most of our customers, and port users. Across the board, our diverse business sectors, Port Tampa Bay customers endured numerous global economic forces, to which they are sensitive to. Weak global economic growth Inflation in developed markets Low oil prices Rise in bond yields China’s economic slowdown Strong US $ currency Continued population growth in Florida Strong tourist market in Florida And how these may affect: The state of the global steel industry The US shipbuilding & repair industry Florida’s and the US construction industry The global agricultural / fertilizer industries US exports The tourism / cruise industry We don’t have any control over these external influences, but what we do control, is how we work together with our tenants and customers, to help them deal with these type of situations. As a major Landlord port, land is our key asset. Our Real Estate and Marketing teams work diligently with all our tenants, looking for ways to assure their long term growth plans, or accommodate operational requirements, or simply help them during difficult times. Our vast Real Estate footprint allows us to attract new customers, or expand existing operations (whether these are manufacturing plants, marine terminal operations, ship yards, or transportation and logistics services), all these efforts follow our strategic and Master plans, which we are in the process of updating. Our 2030 Master Plan will be ready in the Spring of 2016, but here you can see our major areas of the port. Let me update you on some key developments: Hooker’s Point. The heart of our cargo operations currently resides on Hooker’s Point, a 713 acre peninsula that is home to our energy gateway operations and berths for liquid and dry bulk as well as break-bulk operations. Hookers Point is also home to our container terminal, operated by our partners at Ports America. Our current container terminal footprint is 40 acres and it is expandable to 160 acres. Last Fall, we also announced the building of a brand new 130, 000 sq. ft. refrigerated cold storage warehouse on deep water which will have on dock rail connectivity backing up to the container terminal. Our plans are for this facility to be operational by mid-2017. The cold storage warehouse is the first Phase of our intent to build a new multi-phased projects, that include a food campus (or cluster), served by CSX’s rail services. With our expanded container terminal, refrigerated warehouse and plans for future phases in perishables, we expect to offer new ocean services, create new jobs, and provide a new, more efficient alternative for our markets. 2015 saw the development at Port Redwing approximately 20 miles south at Big Bend. Last Spring, Tampa Tank expanded its operations at Port Redwing adding 108 jobs and is building bridge structures for export around the world. In fact, many in this room may remember the Governor visiting Port Redwing to recognize our friends at Tampa Tank last September. Also in the Fall last year, Port Redwing welcomed the operations of Gulf Coast Bulk Equipment and the import of a new commodity at Port Tampa Bay, Prilled sulfur, for use in fertilizer manufacturing by our partner Mosaic. You can see some of those operations here. In the Eastport section of Port Tampa Bay, we are using dredge spoil to create new land and by we anticipate adding two new deep water berths to the port’s portfolio. Maintenance dredging as you may already know, has contributed over the years to many beneficial projects around Port Tampa Bay, most recently, the islands south of Pendola Point which are used by many species of nesting birds and have won the praises of Audubon with whom we partner for the protection of those species. Channel District Vision: You can see we have a lot going on throughout the port complex but the most publicly visible portion of our overall Port Tampa Bay Master Plan is one we unveiled last Fall - the Channel District Vision. It is an ambitious and forward thinking plan for 45 acres of port property along Channelside Drive and the Ybor Channel, north of the Florida Aquarium. The plan as envisioned adds more than 9 million square feet of residential, retail, office and hotel space as well as a central park, marina and multipurpose cruise ship terminal. It most favorably impacts neighboring projects in our growing downtown and beautifully compliments Jeff Vinik’s Strategic Property Partners, with whom we have been working collaboratively. As we look at the potential for this portion of port owned land, given the growth, market conditions and the evolution of the cruise industry, this kind of thinking makes great sense. But we cannot do this alone, we must work together with our strategic partners, our tenants and customers, to make this a long-term reality. You can see some of the terrific renderings of the project as it is envisioned and we have had a lot of interest from our initial rollout but we encourage all those interested investors, residents, developers and commercial brokers to stay in touch with us by signing up to receive future correspondence, meeting notices and updates at www.PTBchannelside.com. We are actively engaged in master-planning which we call Port Tampa Bay 2030 that we intend to unveil later this Spring, we are confident the master plan will help us fulfill our mission. Again, I want to thank you – particularly our customers and partners – many of you in this room today, for your ongoing business and your support. At this time, let me turn it back to Paul. Thank you. Port Tampa Bay Profile Summary (12:15pm) Paul Anderson: Thank you Raul. And thank you to our partners. I have said it many times, The ports job is to create the environment so that our private sector partners can flourish. Our job is to create that environment with new facilities and infrastructure but its partners like CSX, Kinder Morgan, Amalie Oil, Tampa Tank, Savage Services, Gulf Marine, International Ship, Tampa Ship and so many others that help us each and every day. They help us fulfill our mission. Our Mission is something I cannot overstate - It guides what we do and our commitment to our business, our customers, our partners, our maritime community and the public at large. Simply stated our mission is to leverage our maritime assets to increase economic impact and sustainable jobs in the West Central region and in Florida. We do this by following a set of strategic initiatives that we’ve developed as a blueprint for operations and implementation. They are as follows: To continue our diversification and growth of the individual lines of business within our portfolio To protect and expand maritime land. To invest, maintain and expand our critical infrastructure. To continue solid financial performance To enhance our partnerships with our community, with our maritime community and with the business organizations and economic development partners throughout the region. To expand our marketing and outreach. And in all cases, we do this with an amazing and very experienced staff. I cannot say enough about the men and women that I have the privilege to work with and who work for YOU and our community. From the numbers, the real estate and business update so far, you’ve heard about 2015. At last year’s State of the Port I spoke about putting things into focus. And as you can see we have and are doing just that. We are lining up our resources, our people, our vision and we are about to embark on a journey, a journey and experience that will take this port, this community to a new frontier. After lunch, I look forward to introducing some special guests to you and sharing some of the great things we see in the future globally, hemispherically and locally. Again thank you for being here, please enjoy your lunch an the great company at each of your tables and we will be back momentarily. Lunch Break (12:20pm) New Frontiers (12:40am) VIDEO: (1 min) - New Frontiers Dramatic Music Visuals: Port Image montage mixed with beautiful images from the Tampa Bay region (getting from John Franzone & Visit Tampa Bay (SSP birddogging it now) Script VO: We have travelled the globe selling the route and the Tampa Bay region We have initiated projects that will have generational impact We have raised the awareness level to unprecedented heights But where is our port going tomorrow? [pause…more visuals] We live in the most beautiful, most exciting region in the fastest growing part of Florida. A state that itself, has overtaken New York to be the 3rd largest… …it represents a phenomenal rate of growth… …growth that presents challenges… …growth that presents opportunities… …growth that has become a catalyst for us to reach New Frontiers…. Music and Vid fades. At last year’s State of the Port our theme was Bringing things into focus, this year its New Frontiers. In 1960, the Senator John F. Kennedy spoke of a New Frontier which was not a set of promises but a set of challenges. He went further and said “the times demand new invention, innovation, imagination, decision. I am asking each of you to be pioneers on that New Frontier. My call is to the young in heart, regardless of age--to all who respond to the Scriptural call: "Be strong and of a good courage; be not afraid, neither be thou dismayed." He also said, “For courage--not complacency--is our need today--leadership--not salesmanship. And the only valid test of leadership is the ability to lead, and lead vigorously.” Well, in the Tampa Bay region in 2016? And at Port Tampa Bay? THESE times demand the same. Invention. Innovation. Imagination. Decision. I would even add the word “perseverance”. These are the elements we will need to carry this Port, this City and this State into the future if we are to fulfill that destiny that our Mayor so steadfastly talks about – becoming America’s next great city. You hear it from our Governor, our County Commissioners and our Mayor all the time…that this is OUR time. What that means for Port Tampa Bay is that we are on an active journey to make this port – your port – completely optimize its potential. In cargo diversity. In real estate. In all business opportunities. To become a major player not just on a hemispheric stage but on a global one. Handling as many cargo commodities as we can – and handling them well with great customer service and speed. New Frontiers. It’s an appropriate theme. This month marks the start of my 4th year here at the port and we have, for the last 3 years, made some extraordinary changes and announcements. Our focus has been on preparing for growth. We have made some really big moves, big investments and are readying ourselves for the exponential growth coming in the future. For us and by extension you, our community and partners we serve, New Frontiers is synonymous with "new markets", "new cargoes", "new commodities" and “new developments”. But beyond that, New Frontiers is also symbolic of this port’s even bigger watershed moments that are on our doorstep now and what we’ve been doing to prepare for them. These are game changers in our business and industry. For example: The expansion of the Panama Canal and what it represents for this port as well as Florida’s potential. The explosive population growth in Central Florida, which is outpacing that of South Florida by more than 2 to 1. This touches all cargos by the way – from energy, aggregates and building materials to retail, food and automobiles. The density of distribution centers along the I-4 corridor that supports that Central Florida growth. The very fact that Florida has overtaken New York as the 3rd most populous state with over 20 million residents. Which leads me to a little announcement I’d like to make. It’s actually an update of an earlier announcement but we at the port are brimming with excitement…….. We’re expecting! That’s right. We’re expecting! Twins! You’ve heard us talking about it all year long but they are almost here. And what is it about these cranes that makes them special? Oh sure they’re bigger - but for many in the room that aren’t port people what does that really mean? Well as you can see, the size is significantly bigger. But in layman’s terms, not only are they taller, but the reach or extension of each crane’s boom or arm is almost double that of our current cranes….meaning, the cargo ships that we can now take will be around 8,500 to 9,000 TEUs – twenty foot equivalent units or boxes. That’s double the capacity of the ships currently calling on the port and it doubles the potential throughput for us in containers. Folks, more importantly, capability like that gets the attention of our potential shipping customers around the world. And THAT is what we are excited about. We become what’s known in the container cargo industry as “big ship ready”. Now all of a sudden, shipping companies with high capacity ships can look to Port Tampa Bay like they never have before - as an alternative supply chain solution to the amazing growth not just in Central Florida which we’ve talked about - but all of Florida. In time, as cargo owners become familiar with our capability and services and vessel calls increase, they could come to rely on Port Tampa Bay to deliver even beyond Florida. These cranes also provide the state of Florida with a strategic opportunity. These two post-Panamax cranes will be the only ones between Mobile and Miami….the only post-Panamax cranes on the West Coast of Florida. We wait in eager anticipation for them as they come under the Skyway bridge – which will be a sight to see - and these will be fully operational by May. Once again, these cranes are pivotal to our increased capability in the retail and refrigerated cargos and I want to acknowledge and thank our governor and the entire Florida Legislature – for their foresight and vision in helping us make this happen. That includes a special thanks to former speaker Will Weatherford. We would also like to thank Ports America who have been our champions every step of the way. So that is our update on the cranes – stay tuned for our announcements on the christening of these beautiful cranes in the spring. In the meantime, you can see this one sector of our diversified cargo strategy getting a big shot in the arm. But don’t think for a moment that this growth affects just containerized cargo. It doesn’t. Explosive growth throughout this state affects all our business lines. And so our message to customers, suppliers, carriers and logistics professionals alike is simple: Port Tampa Bay is expanding through diversity Port Tampa Bay is optimizing its real estate Port Tampa Bay is investing in infrastructure – like the cranes – and connectivity to support market growth, and… Port Tampa Bay is preparing a more efficient supply chain delivering into the largest and fastest growing region in Florida and beyond. This isn’t conjecture or wish list thinking. At the same time, we are not insulated from what’s going on in the world economically and geo-politically. Each of our multiple lines of business faces a myriad of challenges in a constantly changing global marketplace. Exchange rates. New routes. Simultaneous partnership and competition with other transportation modes. Slower than expected economic recoveries, particularly in Asia. Energy prices. But ladies and gentleman, you only need to look at the facts: Look at our location in the middle of Florida, our simultaneous proximity to Central Florida growth and the Panama Canal expansion as well as our investments like these cranes. We can be the new, efficient choice – and it’s only going to get better in the future. Shippers and Carriers can efficiently serve this kind of volume and growth from the middle of the state where it makes the most logical – and the most logistical sense. Think about it. It’s a long state – more than 500 miles long – when you send trucks out from our port to most of Florida you can have them back in one day. That’s money. When you have more land readily available on deep water that enables you to take raw materials – manufacture and add value to them – and then distribute them domestically or put them back on a ship to sell around the world as is the case with our friends at Amalie Oil or Tampa Tank? That’s money. When you are the closest full service port to a newly expanded Panama Canal what does that mean? It means saving customers 2 full days or more getting to market as opposed to sailing around the state and up the East coast? But think about it - even if it’s only one-half day! That’s money. When you can deliver right at the front door of a population source instead of trucking or railing goods into the 3rd largest state from other ports outside of Florida as is currently being done? That’s money. And so our job is to provide them that service, that infrastructure, that performance level and build their confidence that they CAN serve Florida from Port Tampa Bay. We are doing it by means of superior investment, master planning, better infrastructure, better connectivity and then aggressively marketing those capabilities as they become assets for us. THESE are the New Frontiers. Video (2 min) – Logistics, cargoes and supply chains. VO: there are literally millions of tons of cargo moving about the globe everyday. Billions in a year. Every imaginable commodity. Steel. Aggregates. Petroleum. Lumber. Automobiles. Boxes. Lots of Boxes. What the industry calls TEUs, or twenty foot equivalent units. Every ship. Every cargo owner. Every logistics professional. Everyone in the supply chain is looking for better efficiency. Through technology. Through infrastructure. Through routing… FADES MUSIC AND VIDEO…. VOG: Ladies and Gentlemen, please welcome to the stage from ABC Action News, Ms. Carson Chambers Panel Discussion Carson Chambers: Ladies and Gentleman, Thank you, as mentioned my name is Carson Chambers with ABC Action news and it is indeed a pleasure to be here with you. This is an historic time not only in Tampa Bay but throughout the world. With the expansion of trade, growing and emerging markets, the growth of our very own port and of course the expansion of the Panama Canal. I am sure you will agree with me this is truly an amazing time and as Mayor Buckhorn says, “it is OUR time.” With all of that in mind, I have the distinct honor to introduce you to three amazing people who are directly involved with the world’s shifting trades routes. Please welcome the Deputy Administrator of the Panama Canal Authority, Manuel E. Benítez H. Please Welcome the President and CEO of the American Association of Port Authorities, Mr. Kurt Nagle. Last but certainly not least please welcome back Paul Anderson President and CEO of Port Tampa Bay. Gentleman thank you for joining me today….Over 100 years ago the world called the Panama Canal a technological marvel. The canal still plays a pivotal role today. For the world, for United States and of course Florida. In just a few short months the expansion of the canal will be complete. Can you explain why the expansion was needed and what the outlook is for Panama, the United Sates and Florida? (Start with Benítez and can follow up with Nagle and Anderson) Mr. Nagle, Florida has been very fortunate with the investment of close to a $1 Billion by the Governor and Legislature in ports and infrastructure….Congress recently passed the FAST act and the President signing it into law can you explain how that will help ports nationally and locally? (Can follow up with Benítez and Anderson) Gentleman, Cuba has been recently in the news, with the normalizing of relations between the US and Cuba, What opportunities do you see with Cuba. (REFERENCE AAPA SHIFTING TRADE ROUTES EVENT THIS WEEK) Mr. Anderson, you have served as a Federal Maritime Commissioner, led two of the largest and busiest ports in the nation, you too are on the verge of a game changing opportunity with two post-Panamax gantry cranes becoming operational at the same time the Panama Canal opens their expansion. Can you talk about that and how the relationship with the canal plays in your strategic plans? (Can follow up with Quijano and Nagle) CARSON CHAMBERS: Thank you everyone. That will do it for our time and we appreciate you being here and lending us your insights. Thank you. Paul Anderson: Thank you for facilitating our discussion Carson. Also, a special thanks to Kurt and to Manuel for being here. Can I get another round of applause for all three? Central Florida Growth. Expanding Panama Canal. Investment in Infrastructure and Connectivity. For all cargos but especially the significant opportunity that lies ahead for us in retail and refrigerated cargo – containerized cargo. Now let me switch gears here. Up until now in the conversation of New Frontiers, I have been focused on the conversation of containerized cargo and cranes. There’s no question that this is a milestone year for Port Tampa Bay because of the cranes – there’s no doubt about it. But let me stress that all of this Central Florida growth I’ve talked about not only affects containerized cargo. It affects all commodities. The demand for energy. The demand for Automobiles. The demand for the steel and building materials to fuel population growth. The demand for leisure services and tourism such as our Cruise business. This is the very reason for our strategic diversification. [Richie Bros announcement/Slide]: Further to our ongoing efforts towards diversification, yesterday we received the first of two huge shipments of heavy equipment arriving from Chile and Peru for the world’s largest industrial equipment auction to be held by Ritchie Brothers next month. This is new business for the port and also an expansion of Ritchie Brothers activities where they will receive the equipment into the Port’s Foreign Trade Zone, where it will then be auctioned off and re-exported overseas. We are proud to be partnering with Ritchie Brothers to expand their business and geographic scope of their auction activities beyond their Davenport, FL site just outside Orlando, as well as Uni International Transportation and Logistics which arranged the ocean transportation. It’s also great to see our FTZ being used to help support our business development efforts, which was one of our key objectives when we took over the management and administration of the FTZ from the Tampa Hillsborough EDC and brought this responsibility in-house. This new business also shines a spotlight our capabilities and expertise in handling RoRo cargo, one of our targeted areas for growth and diversification. And speaking of diversification, let me call your attention to the centerpieces on your tables. Interesting aren’t they? These are various bulk commodities that move through your port. Prilled Sulphur Phosphate Rock Bauxite Citrus Pellets Plastic Granite Wheat Steel Pipe Copper (Containerized) Hardware (Containerized) Waste paper (Containerized) Bulk cargo is the foundation of this port. They were our foundation years before the 2008 recession when we had record numbers of tons of bulk material and during the recession when we had less – this year we have 37 million tons – up over the last year. Ladies and Gentlemen, bulk will always be the category that made Port Tampa Bay what it is today. And while it is a mature cargo for us, it is still growing. Our largest tenant Mosaic and a friend of this community as you all know, will tell you the demand for fertilizer products is as great as ever since phosphate mining began in this area of Florida. Because the demand for food is as great as ever. And not just fertilizer products – granite, limestone and others. Our petroleum business – Many of you know that Port Tampa Bay supplies Florida with almost 50% of our fuel. And this port is strategic for the entire state especially during hurricane season. And yes that demand for fuel too is growing. Speaking of Hurricane season. This year Port Tampa Bay was designated by the National Weather Service as the first port in the nation as a Storm Ready Port. We are proud to be the first port named and being part of the WeatherReady Nation which is about building community resilience in the face of increasing vulnerability to extreme weather and water events. I am also happy to announce that we are partnering with my friend Joe Lopano and the Tampa International Airport on a topic that is near and dear to both of us and that is safety, security and risk mitigation. They are our top priorities in the day to day operations of what we do. On February 19th right here at Cruise Terminal 2 we will hold the 3rd annual Tampa Bay Safety and Risk Mitigation Summit, to help benefit port and airport personnel, partners, community leaders and first responders. We will have a variety of national and regional thought leaders including Gil Kerlikowske, Commissioner of the US Customs and Border Protection, Bryan Koon Executive Director of Florida Emergency Management, and Alison Levine who led the first all US women team to climb Mt. Everest and many, many more fantastic speakers and panelists. I would also like to thank Captain Greg Case, the Captain of our port who is also co-hosting this great summit. I want to call your attention to two new major assets that the port added to its arsenal in terms of protecting and safeguarding Florida’s largest port complex our new mobile command unit and the new Hillsborough Co. Sheriff’s boat. Raising the Profile As one of the most famous marketing companies in the world, Proctor and Gamble used to say, “it’s one thing to spend time and resources in R & D developing fantastic new products, but it means nothing if you’re not out there telling people about it”. Two years ago in this room, we launched our new brand, Port Tampa Bay. We received accolades from our industry and our community. We didn’t just do this in a vacuum or without thought as to where we were going. We knew it was going to take a lot of effort to change minds. Relationships and trust are a huge factor in our industry just like many industries. The business world is built on them. When I look around the room and see some of our strong relationships with Doug Wray and Sal Kass at Ports America who is investing with us on our new cranes, or David Hale who is creating new jobs at Tampa Tank’s second location in Port Redwing. Mosaic. ZIM. MSC. And our cruise lines – Carnival. Royal Caribbean. Norwegian and Holland America. Relationships are important. But at some point, shippers and shipping companies moving cargo and doing it the same way over and over again have got to Re-Route their thinking. They have got to consider changes in the market. Changes in population and rate of growth. Changes in capability. Changes in cost and how to achieve greater efficiencies. For Florida, the market is changing and a new player in the center of the state is emerging that will have the capability to deliver more efficiently. For certain types of cargo we have always been strong like liquid bulk, dry bulk and certain break-bulk items like steel. For others, like retailers and the automotive market, we need to make them see how we can save them money and create value for their customers by adding us to their supply chain. That’s at the core of Port Tampa Bay’s activities. Creating that value. Earning that trust. Showing them how they can save money by ReRouting their thinking. In 2016 we will continue our strategy of raising the profile by raising top of mind awareness among our key audiences through outreach, events, engagement, advertising, public relations, e-marketing, web, social media and other brand marketing channels. In terms of business development, the term “on the road” takes on a whole new meaning when you consider where our business development team goes and who they need to reach around the globe. Like my friend and colleague Joe Lopano, “on the road” means “around the globe” talking to international cargo owners. Many Carriers are in Europe. Of course we are natural as a Latin American gateway so cargo owners – we refer to them as BCOs – are in Central and South America as well as Asia. Especially with the new opportunities of the Panama Canal expansion coupled with our cranes and ability to handle bigger ships. You can see we have a clear plan and vision. I am happy to have the opportunity to lay that out for you as we have today. For this port – I can tell you this: we will take the actions to leverage our maritime assets to grow and maintain economic vitality and job growth for the region. That’s our mission. It’s our charge to make a Generational Impact that will set the stage for our children and grandchildren years after we are gone. Video (2 min) – New Frontiers. MUSIC VO: Fueled by Growth, location and new infrastructure, Port Tampa Bay looks enthusiastically to 2016. To new cargos A new Masterplan To new infrastructure To New Frontiers Staff #1 Staff #2 Staff #3 Rick Barkett David Hale Mayor Buckhorn Staff #4 LOGO DISSOLVES UP FADES MUSIC AND VIDEO…. PAUL Earlier I had referenced John F. Kennedy and his call for a New Frontier, we need you to be our pioneers! You will recall he said, “the times demand new invention, innovation, imagination, decision.” So whether it is the expansion of the airport, or here at Port Tampa Bay, the growth of our market or the growth of tourism, this truly is Florida’s time, it is Tampa Bay’s time. Thank you for joining us today. On behalf of our great staff, our Board of Commissioners and our Maritime Community, Tampa Bay, thank you for coming out to this year’s State of the Port address. I wish you a happy and prosperous 2016. END