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Raymond IsWell-Positionedto WeatherFinancial Storm

For more than

two years,economists have

warned that a majoreconomic downturn

was imminent.Now, it is here. Butat Raymond, due toour excellent reputation, strong companyvalues, teamwork, business savvy andconscientiousness in providing ourcustomers with world-class service, weare well-positioned to weather thisfinancial storm.

The first warnings signs of economicslowing began when residential housingconstruction steadily declined in 2006.That slowdown continued throughout2007 and was manifested by not only adrop in new residential housing starts,but a steady decline in housing prices inmany parts of the U.S.

While profit margins are starting todrop in the construction business, let meassure all Raymond employees that thisis no time to be paralyzed with fear - orto sound the alarm. Rather, this is thetime for all employees to focus onRaymonds core principles andprocedures, exercise strong due diligencein each of our jobs and continue topractice excellent risk management in allaspects of our business.

I recently met with the leadership of sixother major companies to share thoughtsabout the slowed economy and how itmay affect our respective businesses and

workforces. I was struck with oursolidarity of opinion on one importantmatter. We all agreed that while we are

A Message fromChief Executive OfficerTravis Winsor

TRAVIS WINSOR

Chief Executive Officer

(Continued on Page 3)

Raymond Wins Coveted Hoag Memorial Contract

How do you win one of the largestcontracts in your companys history?

Answer: you build trust andcredibility through relationshipmanagement and by exceeding yourclients overall expectations. And thenyou follow up by designing your bestproposal ever into a scintillating 3-Dpresentation that impresses your clientsentire decision-making team.

The Raymond Group had all of theseelements working for it and more - asthe company won a multi-million-dollardesign-assist contract for the highlycompetitive and coveted Hoag MemorialHospital Presbyterian South Project inNewport Beach, Calif.

The project is slated to start this month,with a completion date targeted forAugust 2012. Raymond will provideHoag with Design-Assist andConstruction Service elements in buildingthe 365,000-square-foot medical facility.

When completed, the new medicalbuilding will house a surgical unit, anintensive care unit, a critical care unit withbeds, a heart and vascular cathode lab andrecovery facilities.

Raymond Vice President of SouthernCalifornia Operations Steve Regalbuto saysWe won the Hoag Project bid partiallybecause of our companys exceptionalperformance in building the HoagMemorial Womens Pavilion from 2002through 2004. And, our presentation forHoags latest expansion project was simplyone of the best in our offices history.

Regalbuto credits the Orange officedesign team and Raymonds newDirector of Marketing Tracy Kuhar-Chandler for collaborating in - and thenpresenting - a masterful andcomprehensive proposal. OurEngineering Department put together acomputerized three-dimensionalrendering of the project that showed indetail, the components of an ICU roomsconstruction, its design elements,framing system and interface, with all ofthe M.E.P. installations, he says.

Since 2002, Raymond has used 3-DModeling utilizing a variety of differentapplications to create a more in-depthoverview of a project and its design, as

well as to detail the various subcontractors(Continued on Page 4)

WORLD-CLASS MEDICAL CARE: The Raymond Group recently won a multi-million-dollar design-assistcontract for the highly competitive and coveted Hoag Memorial Hospital Presbyterian South Project inNewport Beach, Calif. Artists rendering depicts the new facility, which will house a surgical unit, an intensivecare unit, a critical care unit with beds, a heart and vascular cathode lab and recovery facilities.

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Raymond-North Hits High Note Exquisitely with Yoshis San Francisco

Its been nearly 40 years since seminalrock acts such as Janis Joplin (with BigBrother and the Holding Company),

The Who, Jeff Beck and the GratefulDead first performed at the legendaryFillmore West nightclub in San Franciscoin the summer of 1968.

Music is alive and well in the FillmoreDistrict, thanks to the vision and designof architectural firm Morimoto MatanoKang Architects and the skills of (generalcontractor) Quology Construction, Inc.of Santa Clara and Raymond-North ofConcord, who collaborated in buildingthe exciting restaurant and nightclub

Yoshis-San Francisco, where the finest inJapanese cuisine and world-class jazz arealways on the menu.

The $10-million nightspot, located at1300 Fillmore St., occupies the groundfloor of the new 12-story Fillmore

Heritage Center mixed-use project,which also includes for-sale (priced at$500,00 and up) condominiums and asoon-to-be-built jazz museum. Theproject is considered the centerpiece ofthe Fillmore Districts ongoing urbanrevitalization effort.

Yoshis (owned by Kaz Kajimura andhis ex-wife Yoshi Akiba) has been afamous jazz club in Oakland in JackLondon Square for about 30 years, saysRaymond Project Manager Nick Grage.The new Yoshis in San Francisco is atthe heart of the Fillmore JazzPreservation District and with a 420-seatroom, is a larger, updated version of itsOakland counterpart.

ASan Francisco Chroniclereporterrecently described the San Francisconightspot as having curving walls,

wave-like soffits and a mix of light anddark wood. The club itself, washed inpale lavender light glowing from insidePlexiglas entry panels, is a two-story fan-

shaped amphitheater with a semi-circularstage and seating for about 100 (persons)in the mezzanine. There are no polesblocking anyones view of the stage.

The jazz club can accommodate morethan 100 persons on each of its twolevels, while the restaurant seats about100 patrons. A Raymond crew rangingfrom 10 to 25 craftsmen and headed byCarpenter Foreman Mike Voss, built thefacilitys ornate walls and multi-heightceilings as part of Raymonds overalldrywall and framing responsibilities.

The project took about 13 months,Grage says. Mike was Raymonds pivotalperson in making the architects visioncome to life. Our crew did a masterful

job on the complicated interior work,including building the serpentine soffitsand curved walls. Mike had to figure outhow to make everything fit and

coordinate with the other trades workingon the project. The design is socomplicated you can barely find a 90-degree wall anywhere inside the facility.

While Raymond earned a modest$845,000 for its portion of the work, thecompanys rewards didnt stop there. OnMarch 11, Raymond-North receivedaccolades from the Northern CaliforniaDrywall Association - an award for itssuperior craftsmanship on the project.Twelve members of the Raymond teamcelebrated their award-winning successby attending the March 1 show featuringmulti-Grammy-winning trumpeter

Arturo Sandoval and his Mambo ManiaBig Band and singers and dancers.Sandoval and his band performedvarious selections written by Perez Pradoand Tito Puente that paid tribute to the1950s Mambo dance craze.

AWARD-WINNING WORK: Photo shows Raymonds framing work in progress on the new Yoshis-SanFrancisco jazz club and restaurant in that citys legendary Fillmore District. The $10-million nightspot occupies

the ground floor of the new 12-story Fillmore Heritage Center mixed-use project, considered the centerpiece othe Fillmores ongoing urban renewal effort. That building includes for-sale condominiums and a soon-to-be-built jazz museum. Raymond-North on March 11 received an award from the Northern Calif. DrywallAssociation for its superior craftsmanship on the project.

Leadman Carpenter Leach Retires, Ends Stellar 19-Year Raymond Career

Leadman carpenter David Leach ofRaymonds Orange office, retiredFeb. 29, ending a 19-year Raymond

career. David has worked for me on anumber of projects and has always beenan outstanding team player andcraftsman, said Orange ConstructionSupt. Hector Zorrero. He will begreatly missed.

Orange Project Supt. Dwight Karrsupervised Leach during variousassignments on and off for the last 18years. David is someone whos always

cheerful and smiling. Hes a really goodguy and a top-notch carpenter. Hes justa great person to have on your crew.

At Leachs retirement party, Carr read alyric written by singer-songwriter RandyStonehill called Ive Done My Thirty.

It reads in part: Now 30 aint like 15and its not like 25. My backs a littlestiffbut I still got energy and I gotmost of my hair... Even thoughDavid didnt work 30 years here atRaymond, Im pretty sure he appreciatedthe sentiment of that lyric, Karr said.

HIGH-FIVE FOR RETIREMENT: RaymondsOrange Area Supt. Bardo Ponce (left) congratulatesleadman carpenter David Leach at his Feb. 29retirement party.

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Ace Deal-Maker, Chief Estimator Hanson Retires from Raymond after 16-Year Career

Theres an old saying in the constructionbusiness that even the best projectmanagement team and techniques in the

world cant pull out (save) a bad estimate.For more than 15 years, Raymonds

Chief Estimator Al Hanson has appliedthis saying as a working mantra, while

successfully handling scores of estimatingjobs for the companys Orange, Calif.office and headquarters.

An effective estimator has to accuratelyquantify the various components of a

job, Hanson says. That includeslooking at pricing, materials and laborneeded, evaluating the projects risks,determining the gross profit margin of the

job, bidding the job and negotiating withthe customer and then doing thehardest part closing the deal.

Hanson closed the last deal of hiscareer when he retired Jan. 31. In so

doing, he ended an illustrious career thatbegan in 1960 as a plasterer withanother California building contractor.

After becoming a journeyman plastererand serving a two-year stint with theU.S. Army, Hanson started hisestimating career. With 25 years ofestimating experience under his belt,Hanson was offered and seized theopportunity to join Raymond.

Al is truly a legend in the wall andceiling industry, says Raymond CEOTravis Winsor. The skill and knowledgehe brought to Raymond are almostimmeasurable. He made his job look easy;

which it certainly isnt. He was one ofthose people you could always dependupon. As our company grew in size andindustry stature, Al was one of theconstants around here. Als a big reason forRaymonds success and he will be missed.

When I came to Raymond in 1992, Ireally found a home, Hanson recalls.Raymond has great people and its a greatplace to work. The best part is you getfreedom to do your job and respect whenyou do it well.

Hanson soon learned the benefits ofbeing a Raymond employee. WithRaymond, you have a company with atremendous reputation behind you. Fromarchitects to builders, owners and generalcontractors, people literally seek outRaymond for their jobs. That made my

job as an estimator a whole lot easier.Over the years, Hanson took the lead

role in estimating and closing bids onmany of Raymonds key special jobs andmajor projects. Two of those were theDisney California Adventure and GettyVilla projects both jobs in the $10-million to $15-millon range. He citesRaymonds move to taking on themingprojects, such as Raymonds work on theIndiana Jones Ride at Disneyland in

Anaheim, and the opening of RaymondsLas Vegas offices (both in the mid-90s)as other critical landmarks in his

estimating career and the companysevolution as an industry leader.

Roy Woody succeeded Hanson as theOrange offices chief estimator. He saysAl was the one guy everyone looked upto and trusted. If there was anythingdifficult about an estimate or bid, Al was

the go-to person. He was very thoroughand good at getting things done on time.

And as I took over the lead job, Al wassomeone whose shoulder I didnt ever haveto look over.

Hanson says Raymond forged acompetitive edge in the industry becauseof its early adaptation of evolvingtechnology. We were one of the first inour industry to use computerizedestimates, he recalls. We started usingQuick Bid in the mid-90s, which makesit much easier and faster for us tocomplete bids and gives our customers a

clearer picture of each jobs components.Hanson says that early in his career, he

acquired the fine points of his craft frommentors and by learning day-to-day, on-the-job. But today, the biggest differencebetween Raymond and many of itscompetitors is our focus on training. Alot of companies talk about training. ButRaymond does it. In fact, were anindustry leader.

Today, Raymond also is one of the topspecialty contractors in the U.S., Hansonsays. Raymond has always had a strongbrand name and been a fierce competitor,but weve risen to new heights andcapabilities under CEO Travis Winsorsleadership, he says.

As Hanson and Deborra, his wife of24 years, segue into retirement, theylook forward to days of fresh-waterfishing, bird watching and motor-homeexcursions. Hanson takes pride inknowing that his son, Wes, now a two-year Raymond employee, is following inhis footsteps as a project estimator.

ENJOYING RETIREMENT: Recent Raymond retiree AlHanson shows his skill at fresh-water fishing. Hansonretired as chief estimator at the companys Orangeheadquarters, after a 16-year career with Raymond.

not enjoying a vibrant economy, that ifwe keep our respective companies focusedon what we do best, we can not onlysurvive, but flourish during this economicdownturn. While we can never take ourcustomers or our market share forgranted, it is my opinion that if wecontinue to do things The RaymondWay, we will navigate safely throughthese uncertain financial waters.

At Raymond, I ask each employee tocontinue to focus on meeting ourcustomers needs by providing them

world-class service at a competitiveprice. I pledge that our company will

continue to invest in our employeesthrough focused training to make ouremployees more productive in theircurrent jobs and better prepared toprogress in their careers.

Throughout Raymonds operations we must make risk management not justa buzzword - but our daily mantra andan important part of all of our jobs.

And through our ongoing commitmentto excellence, creativity and collaborativeteamwork, we will continue to improveour productivity and efficiencies as webetter serve our customers TheRaymond Way.

Sincerely,Travis WinsorChief Executive Officer

A Message from CEO Travis Winsor(Continued from Page 1)

Michael Potter Promoted

San Diego Area Manager

For the past nine years, MichaelPotter has worked with theOrange/Los Angeles team as a senior

estimator/project manager. Potterrecently was promoted and will beoverseeing Raymonds San Diego Officeoperations as its area manager, saidRaymond CEO Travis Winsor. Wecongratulate Michael and wish himcontinued success in his new position.

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EMPLOYEEANNIVERSARIES J A N U A R YEric Butler, 1 year,Don Crawford, 1 year,Dan Huff, 13 years,John Johnson, 7 years,John Nicholas, 2 years,Buster Peterson, 6 years,Rigo Plascencia, 14 years,Michael Potter, 9 years,Mary Raymond, 23 years,Chistopher Rosas, 1 year,Forrest Shaffer, 3 years,James Watson, 18 years,Travis Winsor, 11 years,Roy Woody, 7 years,, ,

F E B R U A R YEric Ball, 2 years,Michelle Chang, 2 years,Steve Flanagan, 1 year,Jerry Horton, 4 years,Larry Huiner, 27 years,Andrew Lin, 1 year,Dennis McCarthy, 12 years,Roberta Menagh, 17 years,Bryan Newport, 10 years,Tuan Pham, 4 years,Roger Sharp, 9 years,Dale Sullivan, 1 year,David Wood, 4 years,Jeff Woody, 1 year,Mark Yoder, 10 years,

M A R C HLatonia Coleman, 2 Years,Ron Deis, 16 years,Jason Esparza, 2 Years,Darlene Hunter, 2 Years,Justin Mayer, 2 Years,Roger Mullins, 1 year,Becky Pagenkopp, 2 years,Erleen Richards, 4 years,Dominique Schornick, 2 Years,Jeff Shriver, 23 years,Tim Stiller, 21 years,Veronica Wallace, 2 years,

EMPLOYEE BIRTHDAYS J A N U A R YSam Boulton,Pete ByrneTyler GartnerDarrell JonesTracy Kuhar-ChandlerAndrew LinSheryl MitchellBardo Ponce Janice RichmondFrancisco SanchezTerry Shaffer

F E B R U A R YAmy BarrettDenise BlackDavid EwellSarah HendricksonKen JensmaCorbett MartinPaul MullenGlenna QuibaMaggie RamosDominique SchornickForrest Shaffer

M A R C HTom CenterKevin EricksonEric GoffPhilip Iwuchukwu

Melissa LizonCorey McAnearPedro MoralesJohn NicholasTuan PhamRigo PlascenciaTim ReedRoni RobertsMel TousseauAnn WeinbergerRoy WoodyRon ZerbeHector Zorrero

2008 by The Raymond Groupwww.Raymond-co.com

roles in the project including how theywill work together and interface. BIM(Business Information Modeling) is a shiftin cost to the design phase of theconstruction process that should result inan overall cost and time savings to the

construction installation phase.The general contractor and all of the

projects subcontractors will save time,expense and worry. Our 3-D study of theexterior and interior disciplines will includea Clash Detection process that willminimize disruptions and interferences thatcommonly cause delay, he says.

From its sophisticated 3-D rendering,our design team was then able toconstruct a two-dimensional drawing torepresent the project and all of itselements. In addition, Tracy designed agreat visual presentation that included

our companys profile and capabilities as well as a description of how we willcarry out our work on the project.

Besides our design teams vision ofthe project, our presentation detailedhow Raymond will accommodate theprojects special considerations, such asinstalling a Rainscreen System. Thissystem essentially allows drainage behindthe structures walls and finishes, whichin turn, provides a better, healthier, in-door environment for the hospital, itsstaff and patients - while meeting theprojects unique medical, health andenvironmental concerns, he says.

Regalbuto says Raymonds role in theproject includes a Design-Assist ServicesPhase and a Construction Services Phase,the latter of which includes building outthe facilitys exterior skin and interiorconstruction. Raymond will clad thehospitals exterior with a light-weightthin-shell stone, metal and phenolicpanels (composite material fastened on

the exterior) and install windows andcurtain walls. Raymond will perform allplastering and protect the steel frame

with spray-applied fire-proofing.Subcontractor Tower Glass of San Diego

will handle the glass installation andglazing aspects of the job for Raymond.

Raymonds Hoag Project teamincludes: Chief Estimator Roy Woody,Estimators Paul Steele and FranciscoSanchez, Project Director Jeff Shriver,Construction Project Managers SteveReinders and Ray Gilbert, ProjectSuperintendent Eric Westlund and Area

Superintendent Pete Byrne. This teamrepresents some of Raymonds best andbrightest talent, Regalbuto says.Were planning to keep things on-schedule and on or under budget. Ouroverall goal is to add another exceptionalcomponent to Hoag Memorials existingprestigious world-class medical facility.Our presentation team did a superb jobin illustrating the completeness andsophistication of our proposal,Regalbuto says. It was simply one ofbest client proposals Ive ever seen doneout of our Orange office.

To win the bid, Raymond presented

its vision of building the project toJacobs Engineers, KPM Architects andMcCarthy Construction, the projectsgeneral contractor with whomRaymond maintains a strong clientrelationship and had successfullycollaborated in building the Hoag

Womens Pavilion Project in 2002-04.We knew we had our work cut out

for us when we saw the RFP fromMcCarthy, Regalbuto says. McCarthyhad put together an extensive thoroughRFP detailing the projects scope,requirements and format. Our teams

worked together seamlessly andMcCarthys team indicated they werequite pleased with our bid and winningproposal. Were very pleased to have

won the bid for this exciting project.Now, we look forward to bringing thearchitects (KPM Architects) vision tolife. We plan to bring the same highlevel of excellence to implementing the

project, as we did in our teams design,planning and bid preparation proposal.

Raymond Wins Coveted Hoag Contract(Continued from Page 1)

City of Orange Honors Raymond as Outstanding

OUTSTANDING BUSINESS: Raymond receives Outstanding Orange Business Award from the city of Orangeofficials, Feb. 7 at the citys annual State of the City address. From left to right (front row) are: CouncilmemberDenis Bilodeau, Orange County Board of Supervisor Bill Campbell, Raymond employees Vice President ofSouthern California Operations Steve Regalbuto, Director of Marketing Tracy Kuhar-Chandler and Director ofTraining Latonia Coleman and Councilmember Tita Smith. Back row: Mayor Pro Tem Jon Dimitru andCouncilmember Mark Murphy. Delivering the State of the City address was Mayor Carolyn Cavecche.