News Room

FOR IMMEDIATE RELEASE
May 29, 2007

Columbus, OH -- Lt. Governor Lee Fisher today announced that the Ohio Tax Credit Authority has approved Job Creation Tax Credits for companies involved in business location or expansion projects that, if located in Ohio, are expected to contribute more than $25 million to Ohio's economy, create 360 positions and retain 14 positions for Ohioans.

"Job creation for Ohio's workforce is critical to advancing our state's economy," said Lt. Governor Fisher who also serves as Director of the Ohio Department of Development. "Payless, Exel and Alphaport have committed to investing in Ohio and bring jobs that will contribute to the future success of our communities and our hardworking citizens."

Exel, Inc. (Exel), to be located in Columbus (Franklin County), has been awarded a 45 percent tax credit for a five-year term to consolidate operations. The value of the tax credit is estimated at $84,956 over the term, and the company would be required to maintain operations at the project site for 10-years. Exel is a leader in supply chain management, providing customer focused solutions to a wide range of manufacturing and retail industries. The company provides these services to a diverse group of industries including automotive, technology, chemical, consumer, healthcare and retail. Exel has 25,000 employees in the United States and Canada and is part of the Deutsche Post World Net Group and a sister company of DHL. Exel proposes to consolidate two small Wisconsin customer service call center facilities and one Grove City facility into one facility in Columbus. Exel will invest in building leasehold improvements and new machinery and equipment. Ohio is in competition with Kentucky and Wisconsin for this more than $690,000 project, which is expected to create 45 jobs and retain 22 positions within the first three years of the project's initial operations.

Alphaport, Inc. (Alphaport), to be located in Cleveland (Cuyahoga County), has been awarded a 45 percent tax credit for a seven-year term to expand operations. The value of the tax credit is estimated at $133,788 over the term, and the company would be required to maintain operations at the project site for 14-years. Alphaport was founded in 1999 and is a woman-owned technology business that provides a range of engineering, assurance technology and knowledge management services. Alphaport's nine employees create 21st century solutions to expand employment opportunities within the inner city of Cleveland and the State of Ohio, simultaneously ensuring the legacy information and lessons learned of imminent and recent retirees are passed and managed, retained, and transferred in accordance with corporate and government needs. Alphaport proposes to lease expand into a new, 6,500 square-foot headquarters facility that will provide room for the company's administrative and engineering staff working on military, industry, government and academia service and manufacturing projects. The company will invest in renovation and leasehold improvements, machinery and equipment and infrastructure improvements. Ohio is in competition with Alabama for this $60,000 project, which is expected to create 15 jobs and retain nine positions within the first three years of the project's initial operations.

Payless ShoeSource Distribution, Inc. with a facility soon to be located in Brookville (Montgomery County), has been awarded a 45 percent Job Creation tax credit for an eight-year term to establish a new distribution center. The value of the tax credit is estimated at $1,034,461 over the term, and the company would be required to maintain operations at the project site for 16 years. Payless ShoeSource, Inc. is a publicly held company and its wholly-owned subsidiaries include Payless ShoeSource Distribution, Inc., the entity that is primarily responsible for distribution for the retailer. Payless ShoeSource, Inc. was founded in Topeka, Kan., in 1956 with the strategy of selling low-cost, high-quality family footwear. Today, Payless is the largest footwear specialty retailer in the Western Hemisphere and is dedicated to democratizing fashion and design in footwear and accessories and inspiring fun, fashion possibilities for the family at a great value. The company has 4,572 retail stores and more than 27,000 global associates. Payless proposes to invest in machinery and equipment and lease a new 600,000- square-foot facility to be constructed by Clayco Construction, Payless' consultant and construction partner for this project. The facility that will serve as the company's distribution center for approximately 2,900 retail stores. This more than $25 million project is expected to create 300 positions within the first three years of the project's initial operations.

The Job Creation Tax Credit is a refundable tax credit against the business corporate franchise or income tax. The credit equals a percentage of new state income tax withheld on new, full-time employees in Ohio.

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Media contacts: Melissa Ament at (614) 466-6619 or Maria Smith at (614) 466-2382