AnnuAl RepoRt - Georgia Department of Economic Development

georgia.org

AnnuAl RepoRt - Georgia Department of Economic Development

ga’09

Annual Report


Dear GDEcD partners,

It’s no secret that the state’s fiscal year 2009 spanned a time of unprecedented economic challenges.

Yet in the face of a global business climate in which companies had less access to credit than ever,

Georgia’s solid portfolio of assets still attracted more projects than the previous year. Global giants

like NCR, Newell Rubbermaid and First Data infused the state with new jobs and investment, as did a

multitude of other entrepreneurial companies across the state.

Like our corporate and community partners, the GDEcD team set its sights on a growth strategy

and marketed Georgia harder than ever, knocking on more doors, pursuing more leads and building

the relationships essential to bringing jobs to Georgians. Collaboration between and among staff in

our 10 international offices, our regional representatives, the Atlanta team, and our many economic

development partners helped bring more than 17,000 jobs to Georgia in FY09, mitigating the effects of

the recession and giving our citizens hope for the future.

Among the bright spots of this past year were:

• NCR’s commitment to bringing its global headquarters to Atlanta, part of this Fortune 500 company’s

massive expansion in Georgia that will create more than 3,000 jobs.

• Kia’s new auto manufacturing plant in West Point, which, with its suppliers, will create more than 6,000

jobs, giving the community and the state a significant economic boost.

• The 2009 BIO International Convention, the world’s top gathering for the biotechnology field, during

which thousands of industry professionals visited 32 Georgia exhibitors.

The Film, Music and Digital Entertainment Division, buoyed by the 2008 Georgia Entertainment Industry

Investment Act, attracted a record amount of investment to Georgia from production companies ready

to capitalize on this aggressive incentive and take advantage of Georgia’s skilled crews and diverse

locations. Communities all over the state benefited from the star power and the economic power these

productions generated.

Despite a worldwide cutback in travel, tourism in Georgia held its own, attesting to the richness of the

state’s travel destinations and to the hard work and commitment of the Tourism Division staff and its

partners. New and renewed initiatives ensured support for the state’s communities and tourism partners.

Among these programs were aggressive grassroots and social media initiatives, educational workshops

and seminars, and increased outreach through public relations.

All in all, I’m proud of the value our GDEcD team of professionals delivered in FY09, particularly under

trying economic conditions. We brought value to companies, to entertainment productions, to travelers,

and thus, ultimately, to the citizens of Georgia. It’s a value proposition we will continue to build on for

the future as we go about our mission to bring jobs and investment to Georgia.

Sincerely,

Ken Stewart

Commissioner

Georgia Department of Economic Development

1


global

commerce

Fiscal 2009 saw companies from

Georgia’s strategic industries grow

and thrive, thanks to the teamwork

of the Global Commerce Division

and its economic development

partners around the state.

327

announcements

16,967

jobs created

$2.55

billion in

investment

• 47% of jobs announced in rural Georgia

• 40% of projects created by entrepreneurs & small businesses

• 46 international projects created 28% of total investment

• 219 trade deals in 42 countries

• #1 in entrepreneurial activity (Kauffman Foundation)

• 129 Entrepreneur Friendly communities

• #1 in workforce (CNBC)

• 80 million media impressions around the world

2

3


HEADQUARTERS

NCR

“The decision to consolidate

functions in

Georgia and build a

technology-focused

corporate headquarters

campus is right

in line with our business

strategy to drive

growth, improve our

innovation output,

increase productivity

and continually upgrade

our focus on the

customer.”

–Bill Nuti, Chairman & CEO, NCR

In fiscal 2009, Fortune 500 technology company

NCR announced three major locations in Georgia. In

fall 2008, the company announced it would establish

a global Center of Excellence and its Worldwide Customer Service

headquarters in Georgia, resulting in 916 new jobs in Peachtree City and

Duluth. And in June 2009, the company announced it would relocate

its corporate headquarters to Duluth, adding 1,250 jobs, and establish a

new manufacturing facility in Columbus, encompassing 870 jobs.

Other headquarters

Company Jobs/Investment Location

Newell Rubbermaid 200 Fulton Co.

Wendy’s/Arby’s Group 120 / $3.5M Fulton Co.

Little League $5.5M Houston Co.

Powertech America, West Point

ADVANCED MANUFACTURING

Powertech America

Pirelli Tire, Floyd County

Transmission manufacturer Powertech

America is one of many major Kia suppliers

the Global Commerce team helped locate in

Georgia. Powertech is creating 355 jobs and investing $150 million at its

213,000-square-foot facility on the Kia site in West Point.

Other advanced manufacturing

Company Jobs/Investment Location

Toyo Tire 400 / $270M Bartow Co., 3 rd expansion in GA

Pirelli Tire of N. America $15M Floyd Co., 2 nd expansion in GA

Blue Bird 106 / $9.7M Peach Co., 3 rd expansion in GA

GreenTech Manufacturing 320 / $20M Coffee Co., new location

4

Chairman & CEO Bill Nuti and Governor Sonny Perdue announce NCR’s

global headquarters relocation at Georgia’s Capitol in June, 2009.

5


BIO 2009

Georgia’s pavilion housed 32 partners who collaborated to help the

state put its best foot forward in this high-wage industry. Emory and

Georgia Tech announced new research enterprises during the convention,

and the state and its partners collected hundreds of leads for new

growth opportunities.

BIOSCIENCES

“The Georgia Department

of Economic Development

provided exceptional

support we found

extremely beneficial.

Typically, this type of

event would not be practical

for a company of

our size. However, with

GDEcD as a partner, we

were able to maximize

publicity and awareness

for our company.”

– Dr. Bob McNally, CEO, GeoVax

GDEcD seized the opportunity presented by the

2009 BIO International Convention’s first-ever visit

to Georgia to market the state as the crossroads

of global health. The state’s unique business assets, global reach, vast

reserves of talent and spirit of collaboration continued to attract bioscience

companies and investment during the year, and were showcased

during the convention to the 14,000 biotechnology industry professionals

who attended. In recognition of Georgia’s dynamic business advantages

for the bioscience industry, the BIO International Organization

named Governor Sonny Perdue “Governor of the Year.”

other bioscience projects

Company Jobs/ Investment Location

Cancer Treatment

Centers of America

500 / $150M Coweta Co.

Athens Research & Tech $5M Clarke Co.

St. Joseph’s Translational

Research Institute

20 / $18M Fulton Co.

Governor Sonny Perdue visits Sciele’s

exhibit at the Georgia Pavilion during

the BIO 2009 conference in Atlanta.

Exhibiting partners at the Georgia Pavilion

Georgia Companies

Abeome Corporation

Aderans Research Institute, Inc.

Altea Therapeutics Corporation

CryoLife, Inc.

GeoVax Labs, Inc.

Kemira Chemical

Optima Chemical Group, LLC

Sciele Pharma, Inc.

Shionogi & Co., Ltd.

St. Joseph’s Translational

Research Institute

UCB, Inc.

United Parcel Service

Zirus, Inc.

Georgia Research Institutions

Emory University

Georgia Institute of Technology

Georgia State University

Medical College of Georgia

Morehouse School of Medicine

University of Georgia

Yerkes National Primate

Research Center

Agencies & Organizations

Atlanta Convention and

Visitors Bureau (ACVB)

Atlanta Development

Authority (ADA)

Centers for Disease Control

and Prevention (CDC)

Centers for Disease Control

and Prevention Foundation

Georgia Bio (GaBio)

Georgia Department of Economic

Development (GDEcD)

Georgia Innovation Crescent

Georgia Quick Start

Georgia Research Alliance

Venture Lab

Georgia Work Ready

Metro Atlanta Chamber

National Health Museum

6

7


ADVANCED COMMUNICATIONS

& INFORMATION TECHNOLOGY

Cbeyond

ENERGY

Suniva

AGRIBUSINESS/FOOD PROCESSING

Chicken of the Sea

“State and local officials

in Lyons presented us

with a tremendous opportunity

that ensures

our ability to compete

in the marketplace for

the long term.”

–Shue Wing Chan, President,

Chicken of the Sea International

Solar cell manufacturer Suniva will create 100 green

jobs to manufacture high-efficiency, low-cost solar

cells. The Gwinnett County production facility will

grow in stages, bringing its capacity to 175 megawatts by early 2010.

Georgia will be home to the first domestic Chicken

of the Sea canning operation in decades when the

new facility in Lyons opens. The company will create

200 jobs and invest $20 million in a 200,000-square-foot facility, where

workers will process frozen tuna loins into shelf-stable Chicken of the

Sea canned tuna to be shipped throughout the U.S.

Other agribusiness/food processing

Company Jobs/ Investment Location

Kellogg 220 / $30M Richmond Co.

MillerCoors 25 Dougherty Co.

Lance 70 / $10.5M Muscogee Co.

Innovation/Small

Enterprise FY09

• 65% of small businesses

called on were in Georgia’s

strategic industries.

• The Georgia Centers of

Innovation increased

innovation activity by 55%.

• New R&D legislation allows

qualified tech startups to

take a credit against their

with-holding tax liabilities.

• iResearchGeorgia.org

was launched to

streamline company access

to university research.

Communications and IT provider Cbeyond is

doubling the size of its operations in Cobb

County, adding 600 jobs and building out a

new call center and training facility. Cbeyond started with 15 employees

in Georgia, and this expansion will see employment top 1,300 over the

next several years.

“I chose Atlanta for its abundance of embedded technology talent,

its airport, its affordability, its natural beauty, the weather, diverse

and harmonious culture—and the incredible golf courses.”

–- Jim Geiger, CEO, Cbeyond

Other advanced communications/IT

Company Jobs/ Investment Location

First Data 1,000 / $50M Fulton Co.

Verizon 600 / $27M Fulton Co.

YesVideo Inc. 300 Gwinnett Co.

8

9


Logistics

General Mills

Global outreach

“General Mills is pleased

to be growing our presence

in Georgia with

the new distribution

center in Social Circle.

Our Covington team

demonstrates day after

day the dedication of

Georgia employees, and

we are excited by the

strategic location that

Social Circle offers.”

– Kevin Schoen, Vice President

of Logistics, General Mills

Global food company General Mills is growing its

Georgia operations by adding a new 1.5 millionsquare-foot

distribution center in Social Circle. The

company is investing $42 million and creating 112 jobs via a third-party

logistics provider. The project showcases Georgia’s logistics strengths:

great location, outstanding workforce and business-friendly environment.

Other logistics locations

Company Jobs/ Investment Location

Chico’s FAS 189 / $15M Barrow Co.

Big Tex Trailers 130 / $7M Crisp Co.

International

Trade FY09

• 54% of trade deals were

assisted by GDEcD’s international

offices.

• 52% of deals assisted were

for companies with fewer

than 20 employees.

With the Global Georgia initiative, Governor Sonny Perdue made Georgia’s

international promotion and business development a priority.

Georgia’s 10 international offices extended the outreach of the state to

markets around the world, as Georgia sought foreign direct investment

to generate economic growth and jobs and helped Georgia companies of

all sizes to enter new markets. International leads increased 129%, from

1,193 in FY08 to 2,734 in FY09. GDEcD hosted 51 incoming delegations

representing 20 countries and 31 outbound missions to 15 countries, including

four Governor-led missions.

With an annual budget of $2.4 million in FY09, Global Georgia’s

initiative followed four main strategies:

• Raise Georgia’s visibility in key markets

through targeted marketing initiatives.

• Build and develop relationships with

in-market key decision-makers.

• Target each country’s top 3 industries.

• Focus on Georgia’s strategic industries.

Public

Relations

Advertising

Direct Marketing

Travel

Events

Web

Resources

Marketing Collateral

Membership

• 23% of Trade’s key clients

closed deals, averaging 2.3

deals each.

TRADE DEALS FY07 FY08 FY09

Deals 153 168 219

Value of Deals $14.9M $17.4M $29.1M

Companies Served 221 274 725

1

2

3

4

5

6

7

8

9

10

11


tourism

The Tourism Division promotes Georgia as a

premier travel and tourism destination, bringing

revenue to the state that filters through the

economy and improves the quality of life for

Georgia’s citizens. Tourism staff members are

located throughout the state and are supported

by sales representatives in Germany and the

United Kingdom.

The 2008-09 recession demanded that the

division adopt new strategies to encourage travel

in Georgia. Among these were:

• Encouraging Georgia residents and those in

nearby states to plan their vacation in Georgia.

• Assigning each staff member grassroots

marketing, promotion and community outreach

initiatives to carry out.

• Ramping up public relations activities.

• Developing newsletters for consumer and group

markets.

• Connecting with potential travelers through popular

social media tools such as Facebook and Twitter.

• Making the tourism website, www.ExploreGeorgia.org,

easier to search, and adding a function that suggests

trips based on a user’s traveling preferences.

We continue to focus on our international markets in

Germany, UK, South America, Canada and the emerging

Asian markets. By ensuring strong Georgia brand

awareness in these areas, we will continue to outpace

our competition as tourism and travel rebounds.

$20

billion in direct

economic impact

$34.8

billion in total

economic impact

12

13


FY09 Georgia

Tourism Grants

The Tourism Division’s regional team fanned out across the state to

grow the industry in FY09:

Georgia’s 11 Visitor Information Centers (VICs) participated in over

1,800 community promotions.

• The regional representative team made 1,000+ site visits.

• The tourism team conducted, hosted or presented over 400 seminars,

workshops or training sessions.

• The tourism team worked on almost 200 tourism site projects and

partnered with numerous state agencies on programs meant to

keep Georgia tourism healthy and sustainable.

79%

21%

Product development successes

Company Jobs/ Investment Location

National Infantry Museum 25 / $100M Columbus

Marketing Georgia

The GDEcD tourism sales team markets the state to domestic and international

consumers, travel agents, group tour operators, travel media,

receptive tour operators, international consumers and international tour

operators.

The team goes well beyond trade show participation: it embarks on

sales missions and partnerships with eight national tour operator associations

as well as with AAA offices in 11 states. Direct mail, collateral

and familiarization tours are among the team’s tactics to keep Georgia

on the mind of those who influence travel decisions.

• 7,959 people signed up to receive the tourism newsletter during 13

consumer shows.

• Sales staff met with 143 tour operators during five international

travel shows, and 234 tour operators during eight domestic group

tour shows.

Co-op

Technology

In FY09, more than $1

million in co-op marketing

and technology grants

was awarded to tourism

entities around Georgia.

This funding impacted

109 communities and had

a projected economic impact

of over $246,532,187.

Aviation Museum

and Discovery Center

5 / $8M Marietta

Falling Waters Lodge 7 / $10M Gilmer Co.

Shannon Vineyards 10 / $20M Statesboro

Information specialists at Georgia’s 11 Visitor Information Centers are on

the front lines of the tourism industry in the state, encouraging travelers

to stay and see Georgia. In FY09, VIC successes included:

• Generating $2,084,325 for state revenues through the hotel reservation

program.

• Distributing 525,120 Georgia travel guides.

• Winning an international tourism industry award for the third consecutive

year. This year’s Mercury Award, presented by the National

Council of State Tourism Directors, recognized Georgia’s VICs for

creating an innovative program to partner with tourism entities in

promoting their products at the VICs.

14

15


TOURISM foundation

The Georgia Tourism Foundation encourages new public-private partnerships

that merge and strengthen Georgia’s tourism marketing efforts,

in order to attract more visitors and increase the industry’s economic

impact throughout the state. This non-profit, public-private organization

brings together leaders of the state’s premier tourism destinations

to consolidate marketing efforts, pool resources and more effectively

promote to vacationers Georgia’s natural beauty, cultural heritage and

rich attractions.

Foundation programs included:

2009 Techno-Tourism Conference

The third annual Techno-Tourism Conference took place in April in Marietta.

The conference, whose theme was “Social Media Marketing…Affordable,

Effective & Essential,” offered attendees strategies and tactics

to attract visitors through social media.

Georgia Applause initiative

Georgia Applause brings together the managers and directors of more

than 150 theaters around the state to collaborate and share resources.

The Tourism Foundation has formed a public-private relationship with

the Fox Theatre Institute to provide preservation and operations expertise

supporting economic revitalization in local communities.

Agritourism initiative

The Georgia Tourism Foundation launched the Georgia

Made Georgia Grown Products Web site to nurture,

support and market the growers, producers, artists

and craftspeople in the state, from Babyland General

Hospital in Cleveland to Lane Southern Orchards in Fort

Valley. The site, www.gamadegagrownproducts.org,

was a finalist in the U.S. Department of Commerce’s Excellence in Economic

Development awards. In addition to exhibiting at Ag Awareness Day at the

Capitol, the Tourism Foundation and GDEcD conducted a public relations

campaign in spring 2009 to educate visitors to the state’s 11 visitor information

centers about agriculture and agritourism in Georgia.

16

17


film, music & digital

entertainment

Fiscal year 2009 was a record-breaking year for

entertainment productions in Georgia, thanks

to the impact of the Georgia Entertainment

Industry Investment Act passed in 2008. Robert

Duvall, Sandra Bullock and Miley Cyrus were

just some of the Hollywood elite who brought

star power to Georgia during the year.

The Investment Act is also encouraging the

production of original entertainment content

within the state, putting Georgians to work

and creating maximum value for the state. An

estimated 27,000 people work in over 1,600

entertainment industry-related companies in

Georgia. This industry is growing exponentially,

with a dozen new supply chain companies

locating in the state and existing entertainment

industry companies expanding their services

and hiring additional staff.

$590

million total investment

$1.1

billion economic impact

• 14 Hollywood studio feature films

• 12 independent feature films

• 93 television projects

• 250 TV commercials

• 36 music videos

• 41 video game productions

18

19


Film & Television

FY09 Film and TV production activity

FY09 productions represented a 400% increase over the previous fiscal

year, bringing in more than $590 million in investment, representing an

economic impact to the state of over $1 billion. More than 100 significant

feature films and television series, movies, specials, pilots and episodes

were produced in Georgia, ranking the state number one in the Southeast

and among the top five states in the nation for film and TV productions.

Every major Hollywood studio and numerous television networks

brought projects to the state, allowing communities all over Georgia to

reap the benefits of their economic impact.

Movies filmed in Georgia during FY09 include:

• Five Killers, starring Ashton Kutcher, Katherine Heigl and Tom Selleck.

• The Blind Side, featuring Sandra Bullock, Kathy Bates and Tim McGraw.

• The Joneses, starring Demi Moore and David Duchovny.

• Get Low, with Robert Duvall, Sissy Spacek and Bill Murray.

• Zombieland, with Woody Harrelson.

59

Rome

75

Blue Ridge

Ellijay

575

Acworth Alpharetta

Kennesaw

Norcross

Dallas

Athens

Vinings

Powder Springs

Between

Austell Decatur

Douglasville

Monroe

Avondale Estates

Atlanta

20 Villa Rica

Stone Mountain

Lithonia Conyers Rutledge

Carrollton

Covington

Madison

20

Newborn

Peachtree City

Newnan Senoia

Griffin

75

Forsyth

Toccoa

85

Macon

Bowersville

Crawfordville

Augusta

Mayfield

A movie starring Miley Cyrus, entitled The Last Song, began filming in

June 2009 on Tybee Island and around Savannah.

“Shooting in Georgia is like coming home.

Great crews, great locations and easy livin’.”

–- Tim Bourne, film producer, Alcon Entertainment

(The Blind Side, The Lottery Ticket)

Columbus

Fort Valley

Montezuma

Perry

Unadilla

Vienna

Cordele

Warner Robins

Hawkinsville

Dublin

16

95

Savannah

Albany

Blakely

Colquitt

75

Scenes from The Blind Side

95

Valdosta

20

21


music

Georgia’s

music

industry

• 9,500 workers were

employed in over 1,000

companies.

• Payroll grew by $5 million.

• State tax revenue grew

by $5 million.

Thirty-six music videos were produced in Georgia in FY09, and 37

Georgia music artists were nominated for 2008 GRAMMY awards,

with five winners bringing home the coveted trophies.

Many Georgia music artists are also transitioning into producing or

starring in feature films, and appearing in dramatic television series

or reality shows. Movie soundtrack composition and film/TV music

scoring qualify for Georgia’s incentives if the projects were produced

in the state. Georgia’s music industry is currently ranked number four

in the nation.

Investment Economic Impact

digital entertainment

Qualified Entertainment

Project Spend

$465 M

$590 M

$1.1 B

Georgia’s 30 percent tax credit, the biggest in the nation for video game

development, is stimulating increased interest in Georgia, and has motivated

several companies to locate here. Among the projects GDEcD has

assisted are:

• CCP, a video game company based in Iceland, which expanded its

Stone Mountain operations and announced plans to hire 200 additional

workers beginning in 2010.

• Electronic Arts, the nation’s largest video game publisher, which

operates an R&D lab in Savannah and has recently launched

EA-Atlanta to provide a back-end digital distribution portal for

the parent company.

•French video game company Metaboli , which purchased Turner

Studios’ GameTap franchise and set up shop in Atlanta.

$136 M

$242 M

$261 M

2007 2008 2009

Currently, more than 60 video game businesses operate in the state.

Georgia’s video game workforce is estimated at over 1,600 workers, and

15 of the state’s colleges and universities offer video game development

courses or curriculums, including some graduate degree programs.

Investment

Economic Impact

22

23


GDEcD board of directors

Tom Ratcliffe (Secretary)

First Congressional District

Hinesville

Charles Tarbutton (Vice Chairman)

Twelfth Congressional District

Sandersville

Georgia Allies

The Georgia Allies supports the work of the Georgia Department

of Economic Development by helping foster the

professional relationships important to attracting, retaining,

and growing world-class capital investment and quality

jobs across Georgia. This public-private partnership, dedicated to

Georgia’s success, allows the state to pool resources and maximize its

marketing efforts and outreach.

The group matches attributes of Georgia to the needs of specific

businesses through the use of resources like www.GeorgiaFacts.net,

Georgia events like the Red Carpet Tour and the Georgia Quail Hunt,

and other global marketing collaterals and events. In FY09, 221 existing

Georgia businesses decided to stay in the state and expand, and

106 companies relocated or began new operations in the state. The

work of the Georgia Allies contributed significantly to these numbers,

and laid the foundation for future locations and expansions in Georgia.

Rick Singletary

Second Congressional District,

Thomasville

Harriette Watkins

Third Congressional District

Fairburn

Paul Wood

Fourth Congressional District

Tucker

J. Thomas Wiley

Fifth Congressional District

Savannah

Phil Jacobs

Sixth Congressional District

Atlanta

Price Harding, III

Seventh Congressional District

Roswell

Ben Hinson

Eighth Congressional District

Macon

Phil Wilheit

Ninth Congressional District

Gainesville

Tom Griffith

Tenth Congressional District

Bogart

Thirteenth Congressional District

Vacant

Richard Anthony

Member-at-Large

Columbus

H. “Monty” Osteen

Member-at-Large

Augusta

Brian Foster

Member-at-Large

Savannah

Mike Garrett (Chairman)

Member-at-Large

Atlanta

M.S. “Tee” Tolleson

Member-at-Large

Elko

Sam Way

Member-at-Large

Hawkinsville

Gardiner Garrard

Member-at-Large

Atlanta

Jim Hammock

Member-at-Large

Dublin

Larry Hutcheson

Eleventh Congressional District

Temple

24


Georgia Department of Economic Development

75 Fifth Street, N.W., Suite 1200

Atlanta, GA 30308

For more information, please visit

georgia.org or call 404.962.4000

More magazines by this user
Similar magazines