Ohio

1
Ohios Polymer Industry

• Critical Data for Evaluating an Investment
  Location

2
Industry Overview

• Worldwide, polymers are the fastest growing basic
  material, leading to growth opportunities for
  manufacturing and research operations within the
  industry.
• Polymers is a 49 billion industry in Ohio, and
  is one of the states most expansive economic
  sectors.
• Ohio ranks 1st in the nation in the production of
  polymer products, machinery for the polymer
  industry, motor vehicle components, and more than
  100 other industrial products.
• Ohio also ranks 1st in the nation in the plastic
  resins and synthetic rubber industry.
• The industry has over 2,800 facilities in Ohio
  and employs 140,000.
• Ohios plastics and rubber industry ships
  products valued at a total of 17.8 billion.
• Between 2005 and 2007, 116 major investments by
  106 companies in Ohios polymers industry were
  recorded (Ohio Department of Developments Policy
  Research and Strategic Planning office).
• Planned expenditures for these investments total
  1.8 billion.
• 3,860 new jobs are anticipated as a result when
  the projects are completed.
• Ohios polymer industry assets coupled with its
  location assets lend to it being an experienced
  national leader in polymers. Ohio provides
• A robust industry presence that lends to
  relationship and supply chain opportunities
• A skilled workforce supplemented by ample
  workforce development resources
• Public-private partnerships to fuel industry
  growth
• Low-cost access to high profit markets though
  Ohios strategic location and transportation
  network
• Lowest tax rates in the Midwest

3
Existing Operations

• Ohio's large concentration of polymer companies
  has resulted in essential assets already in place
  for companies joining Ohio's polymer community.
• 33 companies on Fortune magazines U.S.-1,000 or
  Global-500 lists have polymer operations in Ohio.
  
• Seven of have their world headquarters here
• A Schulman, Cooper Tire Rubber, Eaton, Goodyear
  Tire Rubber, Rexam, Parker-Hannifin, and
  PolyOne.
• Eaton (Cleveland) manufactures rubber and plastic
  products as parts of electrical, fluid power, and
  motor vehicle equipment.
• A. Schulman (Akron) is a leading international
  supplier of high-performance plastic compounds
  and resins.

4
Existing Operations

• Goodyear is the largest polymer industry employer
  in Ohio with over 4,000 people.
• Other companies employing at least 1,000 include
• Cooper Tire Rubber, Du Pont, Eaton,
  International Automotive, Plastech Engineered
  Products, and Yamashita Rubber.

• More than 200 Ohio companies produce equipment
  for the polymer industry, including many world
  leaders, ranging from the global plastics
  equipment supplier, Milacron, to the specialty
  inspection equipment manufacturer, Pressco
  Technology.
• Ohios more than 200 materials-supplier companies
  also include many world leaders.
• 79 Ohio counties had at least one industry
  establishment in 2005.
• The majority of operations are concentrated in 11
  counties Ashtabula, Cuyahoga, Franklin, Geauga,
  Hamilton, Lake, Lorain, Montgomery, Portage,
  Stark, and Summit.

5
Workforce

• Ohios polymer industry employs over 140,000
  workers encompassing a wide range of skills.
• Within the states polymer industry, the rubber
  sector employs 12.3 of the nations rubber
  workers and the plastics sector employs 7.8 of
  the nations plastic products workers.
• Plastics and rubber products (NAICS 326) employs
  68,900, which is over 13,000 more workers than
  2nd place California.
• People working in Ohios plastic and rubber
  products industry averaged 36,600 in pay during
  2005 (the national average is 37,000).
• Workforce Development
• 7 of Ohio's universities have polymer research
  programs, placing best-of-class research at a
  companys fingertips.
• The University of Akrons polymer research
  program is ranked 2nd nationally.
• Case Western Reserve Universitys polymer
  research program is ranked 6th nationally.
• The University of Dayton has one of the largest
  polymer and composites related research
  institutes in the U.S.
• The Ohio State University has a large and diverse
  polymer research related program.

6
Public-Private Partnerships

• Ohios Third Frontier Program is a 10-year, 1.6
  billion program that has awarded more than 40
  million in grants to the Ohio polymer industry.
  Sixty collaborating partners have pledged an
  additional 70 million to Ohio polymer projects.
• Ohio Governor Ted Stricklands 1.57 billion
  economic stimulus package has also allocated 50
  million for the development of bioproducts such
  as polymers.
• PolymerOhio is an industry-connecting and
  networking group that is focused on enhancing the
  global competitiveness and growth of Ohios
  plastics, rubber and advanced materials industry.
  It has identified unique university partnerships
  related to the polymer clusters.
• The Ohio BioProducts Innovation Center (OBIC) is
  a research alliance working toward the
  development of renewable specialty chemicals,
  polymers/plastics, and advanced materials. OBIC
  is headquartered at the Ohio State University.
• The National Composite Center (NCC) is located at
  the University of Dayton. The center serves the
  aerospace, defense, ground transportation,
  industrial, and nanotechnology markets.
• Center for Multifunctional Polymer Nanomaterials
  and Devices (CMPND) offers state-of-the-art
  resources for nanotechnology research and
  commercialization at the Ohio State University,
  the University of Akron and the University of
  Dayton.
• Liquid Crystal Display (LCD) technology was
  originally developed at Kent State University in
  Kent, Ohio. The possible applications of this
  technology to flexible plastics include solar
  cells and electronic eyewear and signage.

7
Proximity to Industry and Population

• Ohios strategic location favorably impacts costs
  to receive incoming materials and to ship
  finished products.
• Ohio provides timely access to the many cities
  and ports throughout the United States.
• 62 of the nations manufacturing operations and
  retail stores are within 600 miles of Ohios
  borders.

• Ohio is within 600 miles (1,000 kilometers) of
  60 of the U.S. population and 50 percent of the
  Canadian population.

8
Transportation Network

• Supplementing Ohios market access is a robust
  transportation network consisting of
• 8 interstate highways, accounting for the 4th
  highest total interstate miles in the nation with
  1,574 total miles.
• 36 freight railroads, also accounting for the 4th
  highest total miles in the nation with 5,354
  total miles.
• Served by two Class 1 carriers in Norfolk
  Southern and CSX, along with many short-line
  operators.
• Norfolk Southern has invested in a new
  intermodal facility adjacent to Rickenbacker
  International Airport.
• CSX is also planning to build a new intermodal
  facility (proposed 113 million project) on the
  south side of Columbus, Ohio.
• 180 public airports
• 5 cargo airports
• 25 waterfront ports and 700 miles of navigable
  waterways leading to the St. Lawrence Seaway
• Ohio ranks 5th nationally in volume of waterborne
  domestic tonnage (102 million short tons)

9
Cost of Doing Business

• Ohios energy costs compare favorably with many
  other U.S. states, particularly those with the
  highest concentrations of polymer activity.
• Ohio has the lowest tax rates in the Midwest, and
  one of the lowest overall nationally.
• Ohio offers a competitive cost of living with a
  stable, below-national average ranking for the
  state's major metropolitan areas
• Given these extensive assets, it is no surprise
  that Ohio was awarded its second consecutive
  Governors Cup by Site Selection Magazine for
  having the most documented new business locations
  and expansions in the nation in 2007.
• For more information on what makes Ohio the State
  of Perfect Balance, please visit
  www.OhioMeansBusiness.com.