FOR IMMEDIATE RELEASE

Thursday, June 13

, 2002

JENNIFER BOES, 302.672.6811

(Dover) -- The Governor's Strategic Economic Council envisions a Delaware with biotechnology and agriculture growing and prospering together, with continuing strength in financial services, with an expanded tourism industry and with venture capital available for promising start-up companies.

Governor Ruth Ann Minner and Stacey J. Mobley, DuPont Senior Vice President and chair of the Governor's Strategic Economic Council, officially presented the SEC's "Vision for Delaware's Economy" report to Delaware business leaders, economic development officials, and legislators Wednesday. They were joined by Lieutenant Governor John C. Carney and Delaware Economic Development Office Director John D. Wik, both members of the SEC.

"We must develop a strategy to both support traditional industries and aggressively pursue new opportunities in emerging fields such as information technology and biotechnology," Gov. Minner said. "This report will serve as the blueprint for our path forward in the new economy."

The SEC identified six areas that have the potential to generate significant economic growth for Delaware: (1) Biotechnology and Agriculture, (2) Information Technology, (3) Banking and Financial Services, (4) Tourism, (5) Transportation, and (6) Venture Capital. SEC subcommittees were formed to further research each of these areas and devise initiatives to drive their advancement, with experts in each area participating.

"The State of Delaware has historically partnered with its business community to devise initiatives that will drive significant economic growth," Mobley said. "This was the case with the creation of the Financial Center Development Act, which led to Delaware's leadership position in credit card banking. The innovation of the SEC has opened the door to a number of very promising long-term possibilities."

"Our state has a long tradition of innovation and foresight with respect to economic development," Lt. Gov. Carney said. "The work of this council will enable us to maintain that tradition. As a member of the Biotechnology and Agriculture subcommittee, I'm particularly excited about the promise those areas hold for Delaware's future economy."

The SEC presented a total of 32 strategic initiatives for the Governor to consider, each focusing on a specific area of growth.

In the area of Biotechnology and Agriculture, the SEC proposed nine initiatives including the development of a comprehensive program to strengthen Delaware's standing in human health research, as well as the creation of a Farm Asset Revolving Fund that would enable farmers to pursue new opportunities, particularly in biotechnology.

Among the four initiatives for Information Technology, the SEC endorsed the creation of an information technology logistics center and transportation hub to track goods through the entire shipping process -- from air, to sea, to land. The center would use advanced information technologies to significantly reduce product loss for multi-national companies.

Banking and Financial Services includes 10 initiatives that target new sectors or serve to retain Delaware's existing financial base. One opportunity concerns the Federal government's recent expansion of the services a financial holding company (FHC) can offer. The SEC suggests that State regulations and tax structures be revised to attract FHCs that have recently formed or expanded as a result of the Federal government's decision.

In the area of Tourism, the SEC has proposed the creation of "Handmade in Delaware," a formalized, resident-based crafts industry and product line promoting the works of Delaware craft artists. This is one of five initiatives proposed for this industry sector.

Transportation includes three initiatives, including the facilitation of partnerships with private industry to leverage DelDOT's annual capital improvements budget, two-thirds of which must go to maintaining existing infrastructure. Private investment would enable the State to increase the number of transportation improvement projects it is able to undertake.

In Venture Capital, the SEC suggests the development of a targeted strategy to expand the State's venture capital offerings. The strategy would explore the conservative use of pension funds, an approach currently utilized by Pennsylvania.

In the report, the SEC also identified five key initiatives that will enhance Delaware's overall economic success: implementation of the Governor's Livable Delaware growth management plan; continued improvement in Delaware’s public school system; support of State workforce development programs; proactive marketing of the state to targeted industry sectors; and tailoring economic development strategy to reflect the individual strengths of each county.

Over the next several months, the Minner administration will review the SEC report and its supporting documents to determine which initiatives it will pursue. DEDO will closely align its business support, retention and recruitment efforts with the initiatives selected from the report.

"Delaware has all of the elements for success in a global economy, a highly-skilled workforce, a strong high-tech industry base, and an accessible location to name a few," DEDO Director Wik said. "The SEC's initiatives will help direct our approach in stimulating economic growth in the six areas of opportunity."

Governor Minner created the SEC as one of her first initiatives upon taking office, appointing 22 top executives from the areas of business, government, and academia. She directed the Council to study the breadth of the Delaware economy and then recommend strategic initiatives for its growth.

The full SEC report, subcommittee reports, and supporting documents are available online at www.state.de.us/dedo.