5 Our current understanding of the Port’s strengths, weakness, threats and opportunities INTERNAL NEGATIVE EXTERNAL POSITIVE STRENGTHS • 2nd busiest U.S. container port • 18th busiest port in the world • State-of-the-art facilities - 10 piers, 80 berths, - 71 post-Panamax cranes - Security: Sonar, military-grade radar, X-ray devices • 30,000 local jobs; 316,000 in SoCal • Dedicated to green, sustainable and efficient development WEAKNESSES • 90% of business from East Asia • 71% of business from imports • High dependence on U.S. consumer spending - More than any other major U.S. seaport • Expansion constraints - Urban development - Environmental regulations THREATS • Increased foreign and domestic competition • 2014 completion of Suez and Panama Canal expansion • New York, Savannah, Charleston are aggressively pursuing anticipated “post Panamax” traffic • Diversion of Asian traffic to Gulf and East coast ports OPPORTUNITIES • Agreement w/Panama Canal Authority to promote more Latin America business • $4 billion investment for POLB improvements over next decade to increase volumes and efficiencies - Middle Harbor Modernization » Move twice the cargo with half the pollution • Gerald Desmond Bridge • Pier “S” development