2010 Fox Cities Economic Outlook Survey

Survey Composition

Composition of Surveyed Businesses

Service25%

FIRE10%

Trade20%

Other20%

MFG25%

Survey by Number of Employees

1 to 1036%11 to 50

33%

51 to 10018%

500 +4%

101 to 5009%

Was your firm’s local employment: ahead, the same as or behind the

previous year?

Actual Employment Previous Year

44%

32.5%

21.5%

52%

42.5%40.5%

3%

24%

36.5%

1% 1% 1.5%0%

10%

20%

30%

40%

50%

60%

Ahead Same Behind NA

2006 2007 2008 2009 2010

How would you rate the availability of qualified

workers for the positions that you filled?

Availability of Qualified Workers61%

48.5%

64.5%

32%36.5%

15%

5.5%

12.5%

7%1.5% 2.5%

13.5%

0%

10%

20%

30%

40%

50%

60%

70%

Excel/Good Avg. Below/Poor NA

2006 2007 2008 2009 2010

Average Unemployment Rates 1996-2009Average Unemployment Rates 1996-2009Wisconsin Department of Workforce Development

7.8%

2.9%

8.4%

3.6%

9.6%

5.4%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

Fox Cities WI US

Unemployment Rates 2009Unemployment Rates 2009Wisconsin Department of Workforce Development

6.9%

7.5%

8.3%

7.7%

9.7%

8.5%

6.00%

7.00%

8.00%

9.00%

10.00%

Jan Feb Mar Apr May Jun Jul Aug Sept Nov Dec

Fox Cities WI US

Was your gross sales activity:ahead of, the same,

or behind the previous year?

Actual Gross Sales in Previous Year

61%

48%

32.5%32%

14%

13.5% 5.5%

45.5%

31.5%

1.5%7%

8%

0%

10%

20%

30%

40%

50%

60%

70%

Ahead Same Behind NA

2006 2007 2008 2009 2010

Were your profits:ahead of, the same as

or behindthe previous year?

Actual Profits in Previous Year67.5%

33%35%

14%

19.5%17.5%

15.5%

36%40.5%

3%9.5% 9%

0%

10%

20%

30%

40%

50%

60%

70%

Ahead Same Behind NA

2006 2007 2008 2009 2010

What was the average change in salary for your

Fox Cities Employees?

Average Change in Salary in 2009

15.5%29%

64.5%69%

47%

25%

8.5% 7%2%4.5%

6.5%

0%2.5%

11%

8.5%0%

10%

20%

30%

40%

50%

60%

70%

80%

less than 3% 3-4% 5-6% More than 6% NA

2006 2007 2008 2009 2010

Forecast Change in Salary in 2010

13%

45%

57%

72%

29.5%29%

8% 8%3%3%

4%3%4%

13.5%8.5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

less than 3% 3-4% 5-6% More than 6% NA

2006 2007 2008 2009 2010

2009 Forecasts vs.

2009 Actual Performance

22% 21.5%

41%

32.5%

39%

33%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

EmploymentIncrease/Ahead

Gross SalesIncrease/Ahead

Net ProfitsIncrease/Ahead

2009 Forecast 2009 Actual

2009 Forecast vs. 2009 Actual

Turning now to the coming year, do you anticipate your

local employment to:increase, remain the same

or decrease?

Forecast of Local Employment in Coming Year

49%

22%

40%

50%

59.5%56%

1%

17.5%

3.5%0% 1% .5%

0%

10%

20%

30%

40%

50%

60%

70%

Increase Remain Decrease NA

2006 2007 2008 2009 2010

Do you expect your gross sales volume to…

increase, remain the same, or decrease?

Forecast of Gross Sales in Coming Year

88.5%

41%

73%

10.5%

30.5%19%

1%

22.5%

4% 1%6%4%

0%10%20%30%40%50%60%70%80%90%

100%

Increase Remain Decrease NA

2006 2007 2008 2009 2010

Do you expect profits to: increase,

remain the same or decrease?

Forecast of Profits in Coming Year87%

39%

65.5%

9%

32.5%25.5%

1%

22%

4.5% 4% 6.5%4.5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Increase Remain Decrease NA

2006 2007 2008 2009 2010

Is your firm planning a local capital expansion?

Planning Capital Expansions

Planning Capital Expansions 2009 Survey

Yes15%

No85%

Planning Capital Expansions 2010 Survey

Yes14%

No86%

2009 Forecasts vs.

2010 Forecasts – Are we more optimistic?

22%

40% 41%

73%

39%

65.5%

0%

10%

20%

30%

40%

50%

60%

70%

80%

EmploymentIncrease/Ahead

Gross SalesIncrease/Ahead

Net ProfitsIncrease/Ahead

2009 Forecasts 2010 Forecasts

2009 Forecasts vs. 2010 Forecasts

How would you rate the vitality of the national economy at this present

time?

National Economic Vitality

43.5%

2%4.5%

52%

13%

22.5%

3.5%

84.5%

73%

1% 0.5%0%0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Excel/Good Avg. Below/Poor NA

2006 2007 2008 2009 2010

How would you rate the vitality of the

Fox Cities economy at this present time?

Fox Cities Economic Vitality

69%

13%13.5%

31%38%38.5%

0.5%

47.5%48%

0% 1.5% 0%0%

10%20%30%40%50%60%70%80%90%

100%

Excel/Good Avg. Below/Poor NA

2006 2007 2008 2009 2010

Economic Vitality Perceptions 2000-2010 Surveys

39.5%

13.% 13.5%

57%

69%

56%

47%

26%25%

70%

96%

94%

41%

7%11%

39.5%46% 43.5% 44%

18%

2%4.5%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Fox Cities National

By the end of the year, do you anticipate the Fox Cities

economy will have….grown, stabilized, or declined?

Economic Projection73%

12.5%

27.5% 28%

60.5%

69%

0%

27%

3.5%0% 0% 0%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Grown Stabilized Declined NA

2006 2007 2008 2009 2010

When do you feel the economy will rebound?

Recovery by Quarter

1.8%

8.5%

32.3%

21.5%

38.9%

1.2%0%5%

10%15%20%25%30%35%40%45%50%

1st Qtr 2nd Qtr 3rd Qtr 4th Qtr 2011 NA

Compared to other US Cities of similar size, how would

you rate the Fox Cities as a place in which to do

business?

Fox Cities Compared to Other Places in which to do Business

95%

71%75%

4%

23%18%

0% 4%6.5%

1% 2%0.5%0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Much/Better Same Worse/Much NA

2006 2007 2008 2009 2010

Compared to other US Cities of similar size, how would

you rate the Fox Cities as a place in which to live?

Fox Cities Compared to Other Places in which to Live

98%89.5%

92.5%

2%9%

5.5%1% 1%

1.5% 0% 0.5%0.5%

0%10%20%30%40%50%60%70%80%90%

100%

Much/Better Same Worse/Much NA

2006 2007 2008 2009 2010

2010 Economic Outlook Summary

There were fewer businesses that realized an increase in employment, sales and profits during 2009 versus 2008.

The number of businesses expecting an increase in employment in 2010 is up significantly from last year’s survey.

Most businesses, however, expect employment levels to remain the same. With fewer firms forecasting a decrease in employment for 2010.

Salary increases in 2009 were primarily less than 3 percent. And projections for 2010 salary increases also is expected to be less than 3 percent.

Forecast in gross sales and profits is significantly more optimistic than last year, with a greater number of businesses anticipating an increase.

The number of planned capital expansions is about the same as last year.

2010 Economic Outlook Summary

Faith in the local economy remains stronger than the national economy and up slightly from 2009.

The majority of the businesses believe that the Fox Cities economy will stabilize in 2010.

The vast majority of the businesses still believe the Fox Cities is a better place to conduct business and reside than in other comparable markets.

The majority of businesses believe that the Fox Cities economy will rebound in 2011.

2010 Economic Outlook Summary

2010 Fox Cities Economic Outlook Survey