Metropolitan Birmingham

2016 Economic and Demographic Profile

Metropolitan Birmingham

Population 1,151,476

Households 451,974

Average Household Income $ 69, 052

Median Age 38.5

Bachelor's Degree Attainment 29%

Employment 511,300

Source: ESRI, Sept 2015; Employment, BLS 2014 Annual Average Employment

Demographic Snapshot

Metropolitan Birmingham Major Cities City Population County

Birmingham 212,247 Jefferson Hoover 84,353 Jefferson Vestavia Hills 34,124 Jefferson

Alabaster 31,545 Shelby Bessemer 26,949 Jefferson

Homewood 25,802 Jefferson Pelham 22,699 Shelby

Mountain Brook 20,734 Jefferson Trussville 20,702 Jefferson Helena 17,833 Shelby

Center Point 16,777 Jefferson Hueytown 15,815 Jefferson

Jasper 14,109 Walker Gardendale 13,729 Jefferson

Pell City 13,573 St. Clair Calera 12,972 Shelby Moody 12,457 St. Clair

Irondale 12,444 Jefferson

City Population County Leeds 11,939 Jefferson Chelsea 11,758 Shelby Fairfield 10,988 Jefferson

Pleasant Grove 10,325 Jefferson Clay 9,700 Jefferson

Fultondale 8,908 Jefferson Clanton 8,727 Chilton

Pinson 7,143 Jefferson Oneonta 6,627 Blount Montevallo 6,601 Shelby

Tarrant 6,257 Jefferson Midfield 5,263 Jefferson

Brent 4,881 Bibb Margaret 4,506 St. Clair

Adamsville 4,435 Jefferson Columbiana 4,213 Shelby Springville 4,194 St. Clair

Argo 4,187 St. Clair Source: U.S. Census Bureau

Metropolitan Birmingham Historical Population Growth

1890s, A Young Industrial Center

Early 1900s, The South’s Primary Industrial Center

Birmingham skyline in 1907 Birmingham’s first commercial shipment of steel was produced at TCI in 1900.

1907, U.S. Steel purchases Tennessee Coal and Iron (TCI)

Birmingham becomes the South’s primary industrial center

Primary Industries: iron and steel, rail transportation, mining

Birmingham annexes suburbs, population grows to 132,685

Jefferson County 1910 population: 226,476

Tennessee Coal Company in 1910

Vulcan in 1904

1920s, Health Care and Financial Services

1940’s, Medical Academics and Research

Medical College of Alabama moves to the Jefferson-Hillman Hospital in 1945, becomes part of the University of Alabama at Birmingham (UAB)

Southern Research Institute was established in 1944 as the first independent scientific research center in the Southeast.

Southern Research Institute Groundbreaking, 1944 Jefferson-Hillman Hospital, 1944

1960s, Major Interstate Hub Established

Interstate Construction, 1967

Birmingham, 2014

With six interstate spokes, metropolitan Birmingham has one of the most comprehensive interstate networks in the Southeast.

More than 60 Years of UAB Growth

Birmingham from Vulcan, 1954 postcard Birmingham from Vulcan, 2014

Jefferson-Hillman Hospital Former Jefferson-Hillman Hospital

Jefferson-Hillman Hospital

Metropolitan Birmingham Target Sectors

Birmingham’s economy reflects the region’s economic growth and

development over the past century.

Core Strength

Finance and Insurance Health Care Services Trade and Distribution

Emerging Growth

Advanced Manufacturing Biological and Information Technology Arts, Entertainment and Tourism

Historical Foundation

Metals and Steel Manufacturing

Birmingham’s GDP Accounts for 31% of the State’s Total

2014 Metro GDP as a Percentage of Alabama Total GDP

Source: U.S. Bureau of Economic Analysis

31%

12%

9% 8%

5%

3%

3%

3%

8%

17%

Birmingham

Huntsville

Mobile

Outside Metro Area

The 50th Largest U.S. Metropolitan Economy

Source: U.S. Bureau of Economic Analysis

$62

$24 $18

$17

$10

$6

$5

$5 $16

2014 GDP $Billions

Current Dollars

Alabama’s Largest Metropolitan Economy

Alabama’s Economic Center

Birmingham Tuscaloosa Montgomery Mobile Huntsville

Source: U.S. Bureau of Economic Analysis

$-

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

$70,000 $62,187

$23,738 $18,284

$16,703 $10,359

2014 GDP $Billions Current Dollars

2016 Major Employers

* Includes University of Alabama Health Services Foundation employment ** Not located in metropolitan Birmingham Source: Birmingham Business Alliance, Oct. 2015

Company Employment Service Description University of Alabama at Birmingham* 23,000 Education and health care services

Regions Financial Corp. 7,134 Financial services, banking, corporate headquarters

Honda Manufacturing of Alabama** 4,800 Manufacturing (advanced), automobile manufacturer

St. Vincent's Health System 4,786 Health care services, hospital network serving metro Birmingham

Baptist Health System, Inc. 4,633 Health care services, management

Children's of Alabama 4,543 Health care services, regional specialized health care

AT&T 4,517 Telecommunications, regional operations

Alabama Power Co. 3,982 Utilities services, electrical, corporate headquarters

Blue Cross-Blue Shield of Alabama 3,570 Financial services, Insurance, employee benefits, corporate headquarters

Mercedes-Benz U.S. International, Inc.** 3,500 Manufacturing (advanced), automobile manufacturer

U.S. Postal Service 2,800 Government, mail processing and delivery

BBVA Compass 2,765 Financial services, banking, financial services, North American headquarters

Buffalo Rock Co. 2,200 Manufacturing, food products, independent Pepsi bottler

Southern Company Services 2,116 Utilities services, shared services division of Southern Company

U.S. Steel 1,900 Manufacturing, pipe mill

Trinity Medical Center 1,893 Health care services, hospital

Social Security Administration 1,800 Financial services, social security benefits, business processing center

Brookwood Medical Center 1,636 Health care services, hospital

American Cast Iron Pipe Co. 1,600 Manufacturing, primary metals manufacturer of ductile iron products

Birmingham Veterans Affairs Medical Center 1,525 Health care services, regional comprehensive medical facility

Wells Fargo 1,466 Financial services, banking, Customer operations center

Protective Life Corp. 1,464 Financial services, insurance (life), corporate headquarters

McDonalds (CLP Corp. franchisee) 1,300 Management, retail, Alabama's largest McDonald's franchisee

State Farm Insurance 1,112 Financial services, insurance, regional operations center

Golden Living, multiple locations 1,100 Health care services, skilled nursing facilities

Metals and Steel Manufacturing

Metropolitan Birmingham’s manufacturing sector employs nearly 39,000.

Primary metals manufacturing employs 7,200 – nearly 19 percent of metropolitan Birmingham’s total manufacturing employment.

According to U.S. Cluster Mapping, Jefferson County ranks among the top ten U.S. counties for employment in upstream metals manufacturing.

Metropolitan Birmingham has nearly five times the percentage of employment in primary metals manufacturing than the national average.

Birmingham continues to be a metals manufacturing center – home to three of the nation’s seven ductile iron pipe makers.

American Cast Iron Pipe Company (ACIPCO) is one of the largest manufacturers of iron pipe in the world.

O’Neal Industries is the largest family-owned group of metals service centers in the U.S.

In 2013, German steel giant, ThyssenKrupp chose Bibb County as the location of a $13 million materials processing and distribution center.

4.76

3.90

1.00

Metals and Steel Manufacturing Location Quotients

Birmingham Pittsburgh U.S

Finance and Insurance

Nearly 40 major back-office operations, 80 percent of which specialize in finance and insurance processing

A highly specialized workforce in insurance related services, with a U.S. Cluster Mapping L.Q. of 2.43

A top 10 U.S. banking center with nearly $220 billion in assets

The corporate headquarters for Regions Financial Corporation, BBVA Compass Bancshares, Infinity Auto Insurance, North American headquarters for Protective Life Corporation a regional headquarters for State Farm Insurance

Nearly 20 new or expanding back-office and data center operations since 2011, creating more than 2,700 jobs and $60 million in capital investment

Metropolitan Birmingham serves as the location of:

Recent back-office expansions in the Birmingham market:

Major back-office operations

(Dai-ichi Life)

Trade and Distribution

Served by five interstate highways; one of only three Southeastern cities with six interstate spokes

Accessible to 78 percent of the U.S. population via a two-day freight drive time

Served by three Tier 1 rail providers

Accessible to more than 50 percent of the U.S population via a three-day rail delivery time

25 miles from Port Birmingham, which is part of Alabama’s inland waterway system and enables the shipment of commodities to and from all parts of the world

260 miles north of the Port of Mobile via Interstate 65

Home to Foreign Trade Zone 98

Birmingham is:

Center of Advanced Health Care Services

St. Vincent’s Hospital

Baptist Medical Center

Brookwood Medical Center

Children’s of Alabama

Grandview Medical Center

Birmingham’s Education and Health Services sector comprises more than 70,000 employees.

The Birmingham region is supported by 21 hospitals dispersed throughout the seven-county region.

The University of Alabama at Birmingham (UAB) is Alabama’s largest single employer with more than 23,000 employees and receives more than $450 million annually in federal research funding.

UAB has a dozen healthcare graduate programs ranked among the top 25 by U.S. News and World Report.

The UAB Hospital is the third largest public hospital in the U.S. and ranks among the top service providers in the country by U.S. News and World Report, America’s Best Hospitals.

The Lakeshore Foundation is one of the nation’s premiere fitness, recreation and education facilities for persons with physically disabling conditions.

Founded by renown Orthopedic Surgeon Dr. Jim Andrews, Birmingham based American Sports Medicine Institute is the nation’s largest accredited Orthopedic Sports Medicine Fellowship Program.

Birmingham based HealthSouth Corporation is the nation’s largest owner and operator of inpatient rehabilitative hospitals.

The University of Alabama at Birmingham

The fourth largest academic medical center in the U.S.

National Cancer Institute-designated Comprehensive Cancer Center

University Hospital is the largest hospital in Alabama and the third largest public hospital in the nation

2015 Enrollment of 18,333, encompasses 83 downtown city blocks

Employs more than 23,000, with a statewide economic impact exceeding $5 billion annually

323 physicians in 65 specialties recognized among the top five percent of clinicians by the “The Best Doctors in America”

10 health care delivery programs ranked among the top 25 by U.S. News & World Report in 2016

Ranks 44/965 in 2013 National Science Foundation total R & D expenditures (with $443,590,000 annual expenditures); received $246,184,876 in National Institutes of Health awards in 2014

Consistently recognized among the nation’s most diverse campuses by the Princeton Review

UAB Campus

Biological and Information Technology

Metropolitan Birmingham has more than 700 technology based companies.

With more than $454 million in external funding, UAB ranks 41st in federal funding and 23rd in funding from NIH.

The Institute for Innovation and Entrepreneurship has generated some $64 million in revenues and spun off almost 60 start-up companies.

Receiving $4.87 billion annual R&D expenditures, Alabama ranks 12th among U.S. states in R&D intensity (R&D expenditures as a percentage of total state GDP).

Southern Research Institute (SRI), a contract research organization, has seven drugs approved by the Federal Drug Administration and seven compounds currently in preclinical development or clinical trials.

With 150 graduate companies, Innovation Depot is the largest technology business incubator in the Southeast and was named the top technology incubator in the country by the National Business Incubation Association.

Shelby Biomedical Research complex

Company Employment Service Description

2016 Major Information Technology Employers

AT&T 4,517 Telecommunications, regional operations

SunGard Workflow Solutions 750 Computer software and consulting services for banking industry

Computer Sciences Corp. 550 Innovative business solutions

DST Health Solutions 450 Managed care information technology and service

McLeod Software Corp. 304 Transportation management software

Charter Communications 300 Telecommunications, internet & telephone, business services

Medfirst Consulting Healthcare 279 IT healthcare support & training Co.

NCP Solutions 275 Corporate headquarters, communications, print, digital media

YP/LM Berry Co. 250 Web applications

SouthernLINC Wireless 243 Integrated Digital Enhanced Network

Command Alkon 195 Software, hardware for construction industry

URS Corp. 170 Fully integrated engineering, construction and technical services

Greenway Health 168 Electronic health records

IBM Corp. 155 Software and consulting services

Daxko, LLC 151 Member-based nonprofits software

Geographic Information Services 150 Mapping, spatial analysis

Presidio Networked Solutions, Inc. 150 Managed services and network solutions technology

Accenture 135 Management consulting, technology services and outsourcing

Teklinks, Inc. 130 IT and networking consulting

Jack Henry and Associates 116 Provider of core information processing solutions for banks

Computer Technology Solutions, Inc. 110 IT consulting, network design

TekSouth Corp. 110 IT solutions for Federal and commercial clients

EPL, Inc. 110 Software development for credit unions

Birmingham Technology Capital

R&D Capacity

Alabama: • $4.8 billion total annual R&D expenditures (Ranked 12th in USA) • Ranked 7th in Business Innovation Research (SBIR)

Source: National Science Foundation Science and Engineering Indicators

Job Creation: Birmingham Region

Source: 2000-2010 data, U.S. Cluster Mapping - Institute for Strategy and Competitiveness, Harvard Business School.

~ 10,000 new jobs created

~ 50% are technology-driven

Technology and Innovation Drives Birmingham Growth

Birmingham Fuels Alabama’s Biotech Job Market

Rank

1 California 23,722

2 Illinois 15,863

3 Florida 1,659

4 Minnesota 1,167

5 Massachusetts 919

6 Washington 870

7 Utah 851

8 Alabama 434

9 Delaware 375

10 Vermont 365

Jobs Created, 2000-2010

Top StatesBiopharma Jobs Created

Rank

1 Rhode Island 1,921

2 Ohio 1,059

3 West Virginia 1,000

4 Michigan 987

5 Alabama 823

6 South Dakota 625

7 Utah 489

8 New Jersey 403

9 Tennessee 369

10 Vermont 182

Top StatesMedical Devises Jobs Created

Jobs Created, 2008-2010

With 434 new Biopharmaceutical jobs created between 2000 and 2010, Site Selection ranks Alabama eighth among the U.S. states in Biopharmaceutical job growth.

More than 60% of Alabama’s Biopharmaceutical jobs were created in metropolitan Birmingham between 2000 and 2010.

270 new Biopharmaceutical jobs were created in metropolitan Birmingham between 2000 and 2010, ranking 37th among the nation’s 386 metropolitan areas.

With 823 new Medical Device jobs created between 2008 and 2010, clustermapping.us ranks Alabama fifth among the U.S. states in Medical Device job growth.

Metropolitan Birmingham, Recent Biotech Related Expansions:

Source: Site Selection, July 2014

Advanced Manufacturing

Metropolitan Birmingham OEM Suppliers

Advanced manufacturing industries comprise nearly 9,600 employees in metropolitan Birmingham; transportation equipment manufacturing employs more than 4,000 and comprises 42 percent of total advanced manufacturing employment. (source: BLS)

Birmingham is at the center of the Southeastern automotive manufacturing corridor; within a 250-mile radius of Birmingham, there are ten automotive OEMs.

Manufacturing plants for Mercedes-Benz and Honda are within 40 miles of downtown Birmingham; Hyundai, Toyota and International Diesel, are within 80 miles.

There are 26 automotive parts manufacturers located in metropolitan Birmingham.

In 2015, the Birmingham region had 1,162 graduates of post-secondary programs that support advanced manufacturing industries.

According to the Bureau of Labor Statistics, metropolitan Birmingham’s annual average pay in the advanced manufacturing sectors is 50 to 90 percent of the national average.

Arts, Entertainment and Tourism

Metropolitan Birmingham accounts for 20 percent of Alabama’s tourism industry .

With nearly $1.8 billion in travel related expenditures, Jefferson County is the state’s second largest tourism center.

Walker County’s travel related expenditures increased nearly 18 percent between 2013 and 2014, more than double the state’s increase of 7.3 percent.

Travel-Related Category Birmingham MSA % of Alabama

Direct Travel-Related Employment 23,328 21%

Total Travel-Related Employment 34,645 21%

Annual Travel-Related Earnings $ 872,954,513 20%

Annual Travel-Related Expenditures $ 2,248,281,101 19%

Annual State Lodging Tax Collected $ 10,937,629 19%

Source: Alabama Tourism Department

2014 Tourism Economy Snapshot

2010 to 2013 YP Population Percentage Change

2010 to 2013 Young Professional Population Change U.S. Alabama Birmingham, City

2013 Age 25 to 34 With a Bachelor's Degree or Higher 14,021,253 150,830 11,795

2010 Age 25 to 34 With a Bachelor's Degree or Higher 12,728,975 149,438 7,977

Percentage Change Age 25 to 35 With a Bachelor's Degree or Higher 10.2% 0.9% 47.9%Source: U.S. Census Bureau 2013 ACS One Year Estimates

2014 Degrees Awarded

1,981 909 792

318 254 151

Attraction and Retention

86 Job-seekers

19 Universities

OnBoard

Birmingham

Talent Recruitment Project

• TRP brings high-caliber talent to Birmingham for opportunities to connect with Birmingham companies.

Workforce Development

OnBoard Birmingham

• 179 early-career professionals representing 40 different BBA investor companies

• Professionals in Law, Finance, Healthcare, Manufacturing/Engineering, IT and non-profit

• Engaging with Birmingham professionals and leaders at events around the city

Quality of Life

Restoration and New Development

Current Construction

Since the passage of the 2009 “Free the Hops” Bill, Birmingham has a seen an explosion of craft breweries. In 2012, Alabama had the nation’s fastest growth in number of breweries, with nearly half of the state’s breweries located in the Birmingham area.

Leading Craft Brewery Growth

Regions Field

Theater District The Alabama Theater first opened its doors in 1927. Of America’s 5,300 original movie and entertainment palaces, only 189 remain. After a 5-year restoration project, the Alabama Theatre reopened in 1987. The theater offers classic films and live performances, and is host to various musical concerts and civic activities.

The Lyric Theatre is a former vaudeville and movie theater constructed in 1914 at 1800 3rd Avenue North on the corner of 18th Street North. After a $11.5 million restoration, the Lyric opened in 2016.

Located on the corner of Fourth Avenue North and 17th Street North, the Carver was opened in 1935. The City of Birmingham, seeking to improve the area where many events of the American Civil Rights Movement took place, purchased the Carver in 1990 and remodeled it for live performance use, with an eye toward remembering the Carver's place in the African-American Community