United States Exporters Competitive Maritime Council (ECMC) WASHTO Committee on Highway Transport. Reno, Nevada October 21, 2010

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United States Exporters Competitive Maritime Council (ECMC) WASHTO Committee on Highway Transport Reno, Nevada October 21, 2010

PURPOSE To represent the interests of United States Exporters and Suppliers with respect to project cargo, export trade, and transportation issues. To focus attention and seek positive results, ECMC establishes working groups to foster and support initiatives of critical interest to the international shipping community as a whole. Our Current Working Groups / Initiatives SUBSTANDARD VESSEL CLAUSE (Policy which guarantees that vessels comply fully with the International Safety Management (ISM) Code) SUBSTITUTION ISPS CLAUSE FOR CHARTER PARTIES (Policy relating to the International Code for the Security of Ships and of Port Facilities and the relevant amendments to Chapter XI of SOLAS (ISPS Code) in relation to the Vessel) SPECIALIZED FREIGHT MOBILITY INITIATIVE

We seek methods of change and clarification within existing commercial and statutory regulations relating to transport issues. We are NOT LOBBYISTS We are an industry group that will offer expert opinion to facilitate positive change in the transportation function within established parameters. WHY HAS ECMC PROPOSED A SPECIALIZED FREIGHT MOBILITY INITIATIVE? CONFIDENCE BY SHIPPERS IN THE CURRENT PERMITTING AND HIGHWAY TRANSPORT MANAGEMENT SYSTEM FOR SUPERLOADS IS VIEWED AS FAILING AND ECMC BELIEVES A STRUCTURED APPROACH TO REVERSE THIS TREND IS REQUIRED

WHAT WE AS SHIPPERS NEED As shippers, we must GUARANTEE to our customers, that an oversize load being planned for installation into a plant three or four years from now can in fact be transported into that plant from a manufacturing site or a port of import/export. IF WE CAN T GURANTEE THE TRANSPORT, WE CAN T GUARANTEE THE INSTALLATION. IF WE CAN T GURANTEE THE INSTALLATION, THE DOMINO EFFECT TAKES OVER NO US MANUFACTURING AND SUPPORTING SERVICES REVENUE NO US JOBS REVENUE NO US TAX REVENUE LOSS OF GLOBAL COMPETITIVENESS A REASONABLE LOOK AT ALTERNATIVES IF WE MUST GUARANTEE TRANSPORT OF A SUPERLOAD AND INITIALY HAVE NO HIGHWAY ROUTE : WE INVESTIGATE BARGE TRANSPORT IF WE HAVE NO REASONABLE WAY TO GET TO / FROM A BARGE LANDING SITE.WE LOOK AT RAIL IF WE HAVE NO REASONABLE WAY TO GET TO / FROM RAIL WE REVIEW THE HIGHWAY OPTION AGAIN IF WE STILL CANNOT OBTAIN THE GUARANTEE OF HIGHWAY TRANSPORT, WE LOOK OTHER PLACES GLOBALLY FOR SOURCING IF THE FREIGHT IS DESTINED TO A US MANUFACTURING, REFINING OR POWER PLANT SITE LOCATION AND WE HAVE NO GUARANTEE WE CAN GET THE FREIGHT TO THAT SITE THERE IS NO TRANSPORT AND AGAIN THE DOMINO EFFECT TAKES OVER - NO REVENUE

PROOF OF CONCEPT I-10 CORRIDOR: Improve over the road freight mobility Improve transportation safety, asset utilization; permitted loads; infrastructure. Single source user payment system for permits and disbursement to States. User friendly Web based platform Cost free geographic information modeling capability BENEFITS Reallocate State resources from routing and permitting activity More efficient use of resources and improved quality Increased predictability in routings Reduction in duration Increased utilization/capacity of the transport equipment Reduction in fuel consumption

BENEFITS Increased safety Preliminary route work is in place Improved cash flow for States Improved customer service levels Improved compliance with State permitting rules and regulations STAKEHOLDERS Industrial Manufacturing Base Engineering, Procurement and Construction Department of Transportation State Highway Administrations Ocean Ports and Terminals US Department of Commerce Specialized Carriers and Riggers US Federal Highway Administration US Department of Transportation

SUMMATION ECMC STANDS READY TO PARTICIPATE IN ANY DISCUSSION WHICH WILL RESTORE SHIPPER AND RECEIVER CONFIDENCE IN THE TRANSPORT OF OVERSIZE/OVERWEIGHT GOODS ON THE US NATIONAL HIGHWAY SYSTEM. ECMC BELIEVES OUR HIGH WIDE HEAVY INITIATIVE PROMOTES NOT ONLY THE ECONOMIC STABILITY OF THE UNITED STATES, IT PROMOTES SAFETY FOR THE GENERAL MOTORING PUBLIC ON OUR NATIONS HIGHWAYS AND WILL ULTIMATELY INCREASE THE UNITED STATES COMPETITIVE ADVANTAGE GLOBALLY. THANK YOU