Today Gov. Sonny Perdue announced Georgia’s top economic development successes of 2005, resulting in an improved climate for business and tourism.

“Looking back on the economic development achievements of 2005, I’m proud that Georgia has improved its climate for new businesses and tourists,” said Perdue. “Georgia’s economic development team worked relentlessly in 2005 to recruit and retain jobs and investment, which resulted in some exciting news this year.”

As of November 2005, the state has announced 436 new economic development projects, resulting in 31,975 new jobs and $5,664 million in investment. Final 2005 figures will be available after the new year.

Georgia’s top economic impact successes of 2005 are as follows:

• Legislation passed in the 2005 session that stimulates jobs and investment. The 2005 legislative session was the most business-friendly ever, as Governor Perdue signed into law several bills that are reaping benefits for Georgians. The Strategic Industries Tax Credit (HB389) encourages businesses to expand in Georgia instead of going elsewhere, and the Corporate Tax Reform Bill (HB191) has been instrumental in persuading companies to locate or keep jobs and investment in the state. Another tax relief law, the Entrepreneur and Small Business Growth Initiative (HB 282), gives a leg up to small businesses. The impact of these measures became apparent with the 16.5 percent jump in the number of projects announced for Georgia from last October to this. Additionally, the Georgia Entertainment Industry Investment Act (HB 539) has stimulated a 65 percent increase in leads and requests from production companies.

• The in-state expansion of some of Georgia’s signature companies. Georgia companies like Aflac and Perdue Farms chose to build on the success they have experienced in the state by announcing the expansion of their operations here, meaning 2,000 new jobs for Georgians with Aflac in Columbus, and 1,000 new jobs with Perdue Farms in middleGeorgia. Established companies around the state like Flowers Foods, Lowe’s, Chico’s, Applewood and Greenway Medical also chose to expand to expand their thriving operations in Georgia.

• The steady climb of Georgia’s business climate in national rankings. Georgia rose from 12th in 2003, to seventh in 2004, to third best state in the nation in 2005 to do business, according to Site Selection magazine, an influential national economic development trade publication. The magazine also ranked Georgia’s business climate second in a nationwide survey of corporate site seekers. In a survey published in Expansion Management magazine, site seekers recently recognized Georgia’s workforce training programs as the best in the nation. Quick Start, which provides customized training free of charge to qualified companies, and Georgia’s system of technical colleges were specifically credited with earning Georgia the top ranking. The state has also experienced steady growth in national rankings of exports (11th), biotechnology companies (8th), telecommunications employment (5th) and entrepreneurial environment (10th).

• The increasing amount of business attracted to the state by its outstanding logistics. Companies like Home Depot, Bass Pro Shops, Best Buy, Target, Solo Cup, IKEA and many others have chosen Georgia’s logistics corridors for their new distribution operations. Eighty percent of the U.S. market can be reached in two hours by air and in a two-day truck drive from Georgia. The state’s top-ranked highway and rail systems, Hartsfield-Jackson Atlanta InternationalAirport, and the vigorous growth of Georgia’s deepwater ports and inland barge terminals have created tremendous momentum for the state in the logistics field. The ports alone support almost 276,000 jobs throughout the state annually and pump $10.8 billion in income, $35.4 billion in revenue and some $1.4 billion in state and local taxes into Georgia’s economy.

• International outreach resulting in significant high-technology locations. International missions undertaken by the state of Georgia have continued to spread the word about the state’s deep resources for high technology. International business connections have resulted in announcements by both Pirelli and Samsung that they would locate North American research and development headquarters in Georgia. Two Israeli high-tech companies, dbMotion Inc. and Resolute Networks Ltd., announced Georgia expansions during Governor Perdue’s visit to the country. In September the state announced an agreement with the Lorraine region in France that will take advantage of Georgia Tech’s European campus there and provide a cooperative economic development arrangement that connects Georgia toEurope’s high-tech industries.

• The first company attracted by the state’s new seed fund for biosciences. Georgia’s new $3 million seed capital fund for life science companies attracted its first project in May when CytoDome, a start-up, early-stage biomedical technology company developing a promising new treatment for an especially aggressive form of cancer, announced the move of its headquarters to Georgia. The company is working on a new drug delivery technology focused on an aggressive form of brain cancer that thus far has no effective treatment. The Biosciences Seed Fund invests only as part of a larger deal involving private investors. The company must bring in at least three dollars of private investment for each dollar from the state fund.

• A dynamic international business strategy resulting in promising new business relationships for Georgiacompanies. Georgia’s efforts to acquire the Secretariat of the proposed Free Trade Area of the Americas (FTAA) have resulted in improved relations with countries throughout the Western Hemisphere. These relationships are paying off by helping the state’s communities and businesses connect with international markets and foreign customers. The FTAA effort fostered trade missions to Canada and countries in Central and South America, as well as return visits to Georgiaby officials from those same countries. Georgia opened new trade offices in Chile and Brazil in 2005, and welcomed four new consulates to the state.

• The explosion of exciting tourism destinations and developments. New tourism destinations like the Georgia Aquarium, the expanded High Museum and Atlantic Station in Atlanta and the Jepson Center for the Arts in Savannahhave put Georgia in the national and international spotlight. Furthermore, the formation of Georgia’s new Tourism Foundation, created by Senate Bill 125, provides the industry a firm grounding for future successes. In March, the HBO movie “Warm Springs” brought unprecedented attention to the Georgia town that was President Franklin Delano Roosevelt’s second home. Calls requesting information about visiting the town and landmark have increased by 30 percent, and the Roosevelt Warm Springs Institute for Rehabilitation has seen a 200 percent increase in walk-up, self-guided tours. Governor Perdue hosted the Southern Governors Association in August with a focus on heritage tourism, and announced a new interactive travel web site that will offer visitors extensive information on the South’s music history, mapping southern attractions for tourists interested in southern music. Governor Perdue also announced that SGA has developed a relationship with Southern Living magazine, which will feature a variety of music heritage tourist destinations in the South in spring 2006 issues.

• The Tour de Georgia’s increasing popularity and economic impact. The Tour de Georgia, America’s only internationally-sanctioned professional cycling stage race in 2005 and a rolling festival of community events throughout the state, continued its explosive success with a record $36.2 million in direct economic impact for Georgia in just its third year. Attendance has mushroomed 225 percent since the race’s first year, to an estimated 800,000 people who watched at least a portion of the 655-mile, six-day event in 2005. In addition, the announcement by world-renowned cyclist Lance Armstrong that the Tour de Georgia would be his final U.S. professional competition helped generate more than four million in national and international publicity for the state, guaranteeing Georgia’s place on the international sports stage.

• The dramatic increase in amount of entertainment industry activity in the state. The state’s film, video and music office has fielded almost 300 leads and requests from July to mid-November, a 65 percent increase over the previous six-month period. Five productions were filmed in the state compared to just two feature films in 2004. Much of this activity can be attributed to the Georgia Entertainment Industry Investment Act, which awards tax credits for productions filmed in Georgia. The six major Emmy awards picked up by the HBO movie Warm Springs, filmed here in 2004, also helped focus attention on the state. The state is also beginning an active campaign to attract interactive gaming and multimedia productions to Georgia.

• The increasing number of Entrepreneur-Friendly communities in Georgia. Thirteen counties have won “Entrepreneur Friendly” designation from GDEcD’s Entrepreneur and Small Business Office, and 45 more are actively engaged in the program, which recently celebrated its first anniversary. Strategies to develop and nourish the entrepreneurs and small businesses in a community are often vital to its economic growth, as Coffee County realized after experiencing over 20 percent growth in population despite losing a thousand jobs overseas. The county attributes its growth mainly to fostering its small business sector, and became Georgia’s first Entrepreneur Friendly community after completing a structured program that instituted guidelines and strategies building a local environment to support entrepreneur and small business development. States including South Carolina and Michigan are studying Georgia’s program as a model to develop their own programs.

• The launch of Georgia’s aggressive new marketing strategy to increase investment. Every corner of the state will feel the impact of the state’s branding initiative, which was spearheaded by the Georgia Department of Economic Development. The new Georgia brand strengthens and unifies the state’s voice, encouraging business leaders and consumers to “put their dreams in motion” by bringing their business to Georgia. Georgia residents will see this theme embodied in the state’s colorful new peach logo, and in fact will become part of the campaign by sporting license plates carrying the state’s new image.

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