Creating a Knowledge Worker EconomyMarch 22, 2006

Gerald Ephault, Regional Manager

Pocono Northeast

Overview

Support entrepreneurs and established manufacturers

Promote infrastructure initiatives

State-funded

Created in 1983

Four centers statewide

Services

Links to research universities

Links to venture capitalists and private investors

Links to professional service providers

Funding

Project Selection Criteria

Job creation and retention

The opportunity for PA companies to achieve industry-leading positions

Building PA's high-tech identity

Developing Early-Stage Firms Ben Franklin’s Role

Seed Capital

Advanced Technology R & D

Strategic Business Advice / Mentoring

Incubator Space

Linkage to Other Resources

Paperless Practice, Inc.Scranton

BF Investment 2002-2005: $430,000

Founded to provide interactive marketing solutions to the optical market for eyeglass frame selection, color contact try-on, and targeted consumer advertising.

With BF’s strategic and marketing help, Winkcast™ systems now provide customers with:

An opportunity to gather information on products and services specific to their needs, simultaneous with

An opportunity to collect real-time consumer and marketing information

Winkcast™ also provides unique marketing and advertising tools to other industries:

Retail

Lodging

Banking

Enhancing Established Manufacturers

Process enhancement

Product improvement

Technology application

Links to university research

Noble Biomaterials, IncScranton

Manufactures specialized textiles with anti-microbial, thermodynamic, and therapeutic uses for consumer, medical, and military marketsBF investment 1995-2000: $166,000Formed from merger of BF client Noble Fiber with BF client Sauquoit IndustriesOne of Inc. magazine’s top 500 fastest-growing private companiesCredits BF with 44 jobs created and 24 jobs retainedX-Static® product used by Johnson & Johnson, Adidas, and Puma, and by NASA, the US Army and Marine Corps, and by Olympians in their apparel.

BF Impact Since 1983, BF Northeast has:

Started 337 new companies

Developed 580 new products & processes

Created 9,373 new jobs

Retained 17,266 existing jobs

BF Impact Statewide Nexus Study 1989-2001

Boosted Pennsylvania’s economy by $8 billion

Generated 93,105 job-years at a cost to the Commonwealth of $3,342 per job-year

Created jobs that paid 28% higher salaries than the average statewide salary

Every public dollar invested in BFTP yielded nearly $23 of additional state income

PA garnered more than $400 million additional tax revenue, far exceeding program’s costs

BF Investments in Northeastern Pennsylvania

19 County Region: 1983-2005: $588,015,213

Investment of State Funds: $ 136, 676,903

Private Sector , Schools, Federal, Other Match: $ 451,338,310

8 County Pocono Northeast Region: $ 75,981,717

Investment of State Funds: $ 16,170,158

Private Sector , Schools, Federal, Other Match: $ 59,811,559

Pocono Region 2005 IMPACT Results: Client Revenue Generated: $161,595,070

Client Capitalization: $ 36,487,475

Commercial Lenders: $14,728,200

Private Equity: $ 3,127,000

Venture Capital: $13,650,000

Federal: $ 3,565,400

Company Partners: $ 1,416,875

Northeast Region Investments

ADVANCED FIBERS & POWDERS AMERICAN AEROGELAROMAWORKSCARBONDALE TECH TRANSFER CENTERCENTRE INGREDIENTSCHAPERONE TECHNOLOGIESDIGITAL AMPLIFIERESU TECHNOLOGY TRANSFER CENTERGALAXY BRUSHESHAZLETON CAN-BE INCUBATORIMBM – UNIVERSITY OF SCRANTONINNOVATION CENTER @WILKES-BARREINTELLIGENT ENERGY

KOVATCH KMELEMARK, INC.LOCKHEED MARTINMEGAPHASENEPA – KIZPAPERLESS PRACTICERCI WOOD PRODUCTSSCRANTON ENTERPRISE CENTERSKILL SURVEYSOLID CACTUSSUBSTITUTE PERSONNEL SOLUTIONSTMG HEALTHTOBYHANNA ARMY DEPOTTORRES & TOWERSWORK & PLAY NEPA

Wall Street WestWorkforce Innovation in Regional Economic Development (WIRED)

Northeast PA as Back-up Center to NYC’s Financial Sector$15,000,000 over 3 yr. period – US Department of Labor$7,000,000 over 3 yr. period – PA$22,000,000 Investment

Gap Analysis – Financial Sector e.g., Banking, Insurances, IndustriesTraining & SolutionCurriculum DevelopmentDual Enrollment Credit ProgramInternship – KIZ’s & Regional Education Partnership

Jobs ThroughTechnology