Financing and Incentives BIRCH CREEK DISTRIBUTION CENTER

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1 Financing and Incentives DISTRIBUTION CENTER SM

2 DISTRIBUTION CENTER FINANCING AND INCENTIVES New Jersey Economic Development Authority (EDA) Gloucester is a bustling county located just south east of Philadelphia in the metro Philadelphia market. With over 12,000 businesses both small and large, Gloucester County is no doubt the prime location for the long term, sustainable growth for your business needs. The New Jersey Economic Development Authority (EDA) offers a full range of programs to help support and attract companies to New Jersey. For the latest information on available financing and incentive programs, contact the Office of Economic Development at or view the EDA or Gloucester County web sites at or Financing & Incentives - Large Corporations The New Jersey Economic Development Authority (EDA) offers a full range of programs to help support large corporations in New Jersey. Our incentives continue to appeal to existing large companies in the State, as well as those considering New Jersey as a future home. Low-interest financing through bonds, direct loans, loan participations/guarantees, grants, and tax incentives rank among the key reasons for large corporations to conduct business in New Jersey. Financing Goal? To purchase or renovation an existing building, or to construct a new building EDA Can Offer: Loans up to $750,000; loan guarantees up to $1.5 million Grants and loans for brownfields or portfields investigation and cleanup To purchase or renovate machinery or equipment To expand by building a facility located in an urban municipality Loans up to $750,000; loan guarantees up to $1.5 million Tax-exempt bond financing, starting at $750,000 Loans of up to $2 million for fixed assets to businesses in one of New Jersey s urban areas Loans of up to $3 million with favorable rates for fixed assets to businesses in one of New Jersey s nine designated urban areas (Atlantic City, Camden, East Orange, Elizabeth, Jersey City, Newark, New Brunswick, Paterson, Trenton) To obtain additional capital to cover operating expenses To add employees at a NJ facility or relocate employees to NJ Loans up to $1.25 million; loan guarantees up to $1.5 million Tax-incentives for creating at least 25 new jobs in New Jersey (10 if in the technology or biotechnology industries) To make whole-building energy improvements Financing, in the form of low-interest loans, for up to 80% of total eligible project costs (not to exceed $2.5 million or 100% of total eligible project costs from all public State funding sources) for NJ-based commercial, institutional or industrial entities (including 501(c)(3) organizations) that have received an approved Energy Reduction Plan under the New Jersey Board of Public Utilities' Pay for Performance program. Financing & Incentives - Small-Mid Sized The New Jersey Economic Development Authority has always made it a priority to support business growth in New Jersey for businesses of all size, but small business has been a core focus. We re talking about companies with anywhere from 5 to 100 employees, that have been in business from 1 to 5 years. And we re partial to business sectors critical to the State s economy, especially : Our efforts can provide businesses like yours with low-interest financing through bonds, loan participations, loan guarantees and direct loans with your choice of variable or fixed interest rates. Best of all, the EDA can provide you with longer repayment schedules than those offered by traditional lenders. Women and minority-owned businesses Technology and life sciences Manufacturing Logistics, including warehousing, distribution and port operations Financial services Arts, culture, and tourism Retail Our efforts can provide businesses like yours with low-interest financing through bonds, loan participations, loan guarantees and direct loans with your choice of variable or fixed interest rates. Best of all, the EDA can provide you with longer repayment schedules than those offered by traditional lenders.

3 DISTRIBUTION CENTER FINANCING AND INCENTIVES Financing & Incentives - Small-Mid Sized (Continued) Why Does Your Need Financing? EDA Can Offer*: To cover my operating expenses Loans up to $750,000; loan guarantees up to $1.5 million for a total EDA exposure of $2.25 million To purchase or renovate a building, machinery or equipment to accommodate my business growth and expansion To grow my business located in an urban municipality Loans up to $1.25 million; loan guarantees up to $1.5 million for a total EDA exposure of $2.75 million Loans of up to $2 million for fixed assets to businesses in one of New Jersey s urban areas Loans of up to $3 million with favorable rates for fixed assets to businesses in one of New Jersey s nine designated urban areas (Atlantic City, Camden, East Orange, Elizabeth, Jersey City, Newark, New Brunswick, Paterson, Trenton) To grow my business by adding employees Incentive grants to businesses creating at least 25 new jobs in New Jersey (10 jobs if in the technology or biotechnology sectors) For training that will help me start and grow my business or get a better understanding of how to run my business more efficiently Access to entrepreneurial and technical training for new and aspiring business owners Financing & Incentives - Manufacturing es The New Jersey Economic Development Authority (EDA) offers a multitude of programs to support manufacturing companies located in New Jersey, as well as to attract those companies outside of New Jersey that are seeking to relocate or expand. We have created special programs to help manufacturers reduce costs.from low-cost, long-term bond financing, to loans, guarantees and incentive grants, the EDA can serve as a one-stop service center for the financing and growth needs of your manufacturing business. What s Your Financing Goal? To purchase a new location, expand an existing facility, or construct a new facility EDA Can Offer*: Loans up to $1.25 million; loan guarantees up to $1.5 million for a total EDA exposure of $2.75 million Grants and loans for brownfields investigation and cleanup To cover my operating expenses To buy or renovate my machinery and equipment Loans up to $750,000; loan guarantees up to $1.5 million for a total EDA exposure of $2.25 million Loans up to $1.25 million; loan guarantees up to $1.5 million for a total EDA exposure of $2.75 million to a maximum of $10 million To grow my business located in an urban municipality Loans of up to $2 million for fixed assets to businesses in one of New Jersey s urban areas Loans of up to $3 million with favorable rates for fixed assets to businesses in one of New Jersey s nine designated urban areas (Atlantic City, Camden, East Orange, Elizabeth, Jersey City, Newark, New Brunswick, Paterson, Trenton) to a maximum of $10 million To relocate and grow my business in New Jersey Tax-incentives for creating at least 25 new jobs in New Jersey (10 jobs if in the technology or biotechnology industries) To make whole-building energy improvements Supplemental financing, in the form of low-interest loans, of up to 80% of total eligible project costs (not to exceed $2.5 million or 100% of total eligible project costs from all public State funding sources) to New Jersey-based commercial, institutional or industrial entities (including 501(c)(3) organizations) that have received an approved Energy Reduction Plan under the New Jersey Board of Public Utilities' Pay for Performance program.

4 DISTRIBUTION CENTER CLEAN ENERGY SOLUTIONS Financing & Incentives - Manufacturing es (Continued) So, whether you are an early-stage company, a research and development firm, a manufacturer, a service provider or other established life sciences or technology business, the EDA may have the financing, real estate development and technical assistance tools to meet your specialized needs. Technology Life sciences Clean energy Information and communication technologies Our efforts can provide businesses like yours with low-interest financing through bonds, loan participations/guarantees, grants, and tax incentives. CLEAN ENERGY SOLUTIONS In order to promote a green economy in New Jersey, the EDA has created Clean Energy Solutions (CES). This suite of financing programs includes interest-free loans and grants to ensure that commercial, industrial and institutional entities have the resources they need to grow and prosper while simultaneously reducing New Jersey s carbon footprint. Ultimately, CES supports New Jersey s commitment to clean and renewable energy. Whether you are a New Jersey-based company going green, a manufacturer of clean energy systems or products, or an innovative company developing new green technology, Clean Energy Solutions may be able to help. Be sure to check back throughout the year, as CES will be expanding with new programs. What s Your Financing Goal? What Your Company Looks Like Options That May Be Available* To raise growth capital and advance newly discovered energy efficiency, renewable energy or supply chain products in becoming competitive with traditional sources of electric generation Technology company with Class I renewable energy or energy efficiency products or systems that has achieved "proof of concept", achieved successful independent beta results, and has begun generating commercial revenues Edison Innovation Green Growth Fund (EIGGF) To make whole-building energy improvements A combined heat and power (CHP) facility installation/upgrade or fuel cells project To purchase fixed assets, including real estate and equipment. To identify a manufacturing site, support site improvements, construct a facility, and/or purchase equipment. New Jersey-based commercial, institutional or industrial entity (including 501(c)(3)organizations) that have received an approved Energy Reduction Plan under the New Jersey Board of Public Utilities' Pay for Performance program or New Jersey's Clean Energy 's standalone small scale CHP & Fuel Cells program offering incentives for up to 1 MW. Also eligible are those entities participating in the New Jersey Board of Public Utilities' Large Energy Users Pilot. A commercial, institutional or industrial entity (including public and not-for-profit entities) A New Jersey-based commercial,- institutional or industrial entity, "going green" with an end-use energy efficiency project, combined heat and power (CHP or cogen) production facility, or state-of-the-art efficient electric generation facility. A manufacturer of Class I renewable energy or energy efficiency systems, products or technologies. Energy Efficiency Revolving Loan Fund (EE RLF) Clean Energy Solutions Large Scale CHP - Fuel Cells Clean Energy Solutions Capital Investment (CESCI) Loan/Grant Clean Energy Manufacturing Fund (CEMF)

5 DISTRIBUTION CENTER OTHER INCENTIVE PROGRAMS OTHER INCENTIVE PROGRAMS OFFERED BY THE NEW JERSEY ECONOMIC DEVELOPMENT AUTHORITY INCENTIVE NAME DESCRIPTION ELIGIBILITY/QUALIFICATION BENEFIT Employment Incentive BEIP is a powerful incentive for encouraging businesses to locate and expand in New Jersey. Must be an economically viable expanding or relocating business that creates jobs in New Jersey. To qualify for a BEIP grant, businesses must create at least 25 new jobs within a 2-year period; emerging high technology and biotech companies eligibility threshold is 10 new jobs. A business must also demonstrate that the BEIP grant is a material factor in moving the job expansion or relocation forward in New Jersey and that it is economically viable. Up to 80% of the total amount of employees state income taxes withheld by the company during the calendar year from the new employees hired, is awarded for up to 10 years, to a maximum of $50,000 per employee over the course of the grant. Approved businesses receive annual cash grants based on the number of new jobs they have created in the State of New Jersey. Grant (BRRAG) The BRRAG program helps companies preserve jobs, expand operations and reinvest in the State of New Jersey. A business relocating operations within New Jersey and retaining jobs, or a business maintaining jobs at a current location and making a qualified capital investment. See list of qualifications on-line. You can apply for grants of corporate business tax credits through the BRRAG program. Up to $2,250* per year for up to six years, per job retained in the state. Award amount is dependent on application of bonus credits, which may be available for relocation of jobs to urban centers and/or capital investment at twice that of the value of awarded credits Grant (BRRAG) Tax Credit Certificate Transfer Exchange unused tax credit s for private funding. A BRRAG tax credit may be applied against liability arising in the tax period for which the tax credit is issued. Therefore, eligibility for this program will require the selling business to certify that to the best of its knowledge, it cannot use the tax credits originally issued for tax period in which the credits are allowable. Raise cash by selling your unused BRRAG tax credits to affiliated or unaffiliated New Jersey businesses for at least 80% of their value. Grow New Jersey A business creating or retaining jobs in NJ and making a qualified capital investment at a qualified business facility. A company must make capital investments of at least $20 million at a qualified business facility at which it will employ at least 100 full-time employees in retained full-time jobs, or create a least 100 new full-time jobs in an industry deemed by the EDA to have significant impact on the State economy. Project must be located in a Qualified Incentive Area. See additional eligibility requirements at Up to $8,000 per each new or retained full time job per year up to 10 years. Qualified eligible businesses may receive tax credits of $5,000 per year for a period of ten years for each new or retained full-time job to be located at the qualified business facility as long as the number of full time jobs meets or exceeds the minimum requirement. See other bonus awards available. Sales and Use Tax Exemption (STX) The Sales and Use Tax Exemption program (STX) is often used in conjunction with the BRRAG Tax Credit. An approved company can receive a sales tax exemption certificate, which applies only to property purchased for installation at the approved project site. A company with 1,000 employees that needs to make purchases for construction and renovation of a new business location can apply for a sales tax exemption certificate for purchases that apply only to property purchased for installation in approved construction/renovation project; Used to purchase machinery, equipment, furniture and furnishings, fixtures and building materials other than tools and supplies for placement at the project location without the imposition of 7% sales and use tax until the new facility is functional.

6 DISTRIBUTION CENTER OTHER FINANCING PROGRAMS OTHER FINANCING PROGRAMS OFFERED BY THE NEW JERSEY ECONOMIC DEVELOPMENT AUTHORITY INCENTIVE NAME DESCRIPTION ELIGIBILITY / QUALIFICATION BENEFIT Employment Incentive BEIP is a powerful incentive for encouraging businesses to locate and expand in New Jersey. Must be an economically viable expanding or relocating business that creates jobs in New Jersey. To qualify for a BEIP grant, businesses must create at least 25 new jobs within a 2-year period; emerging high technology and biotech companies eligibility threshold is 10 new jobs. A business must also demonstrate that the BEIP grant is a material factor in moving the job expansion or relocation forward in New Jersey and that it is economically viable. Up to 80% of the total amount of employees state income taxes withheld by the company during the calendar year from the new employees hired, is awarded for up to 10 years, to a maximum of $50,000 per employee over the course of the grant. Approved businesses receive annual cash grants based on the number of new jobs they have created in the State of New Jersey. Grant (BRRAG) The BRRAG program helps companies preserve jobs, expand operations and reinvest in the State of New Jersey. A business relocating operations within New Jersey and retaining jobs, or a business maintaining jobs at a current location and making a qualified capital investment. See list of qualifications on-line. You can apply for grants of corporate business tax credits through the BRRAG program. Up to $2,250* per year for up to six years, per job retained in the state. Award amount is dependent on application of bonus credits, which may be available for relocation of jobs to urban centers and/or capital investment at twice that of the value of awarded credits. Grant (BRRAG) Tax Credit Certificate Transfer Exchange unused tax credit s for private funding. A BRRAG tax credit may be applied against liability arising in the tax period for which the tax credit is issued. Therefore, eligibility for this program will require the selling business to certify that to the best of its knowledge, it cannot use the tax credits originally issued for tax period in which the credits are allowable. Raise cash by selling your unused BRRAG tax credits to affiliated or unaffiliated New Jersey businesses for at least 80% of their value. Grow New Jersey A business creating or retaining jobs in NJ and making a qualified capital investment at a qualified business facility. A company must make capital investments of at least $20 million at a qualified business facility at which it will employ at least 100 full-time employees in retained full-time jobs, or create a least 100 new full-time jobs in an industry deemed by the EDA to have significant impact on the State economy. Project must be located in a Qualified Incentive Area. See additional eligibility requirements at Up to $8,000 per each new or retained full time job per year up to 10 years. Qualified eligible businesses may receive tax credits of $5,000 per year for a period of ten years for each new or retained full-time job to be located at the qualified business facility as long as the number of full time jobs meets or exceeds the minimum requirement. See other bonus awards available. Sales and Use Tax Exemption (STX) The Sales and Use Tax Exemption program (STX) is often used in conjunction with the BRRAG Tax Credit. An approved company can receive a sales tax exemption certificate, which applies only to property purchased for installation at the approved project site. A company with 1,000 employees that needs to make purchases for construction and renovation of a new business location can apply for a sales tax exemption certificate for purchases that apply only to property purchased for installation in approved construction/renovation project; Used to purchase machinery, equipment, furniture and furnishings, fixtures and building materials other than tools and supplies for placement at the project location without the imposition of 7% sales and use tax until the new facility is functional. The financing and incentive programs listed in this document were compiled from the New Jersey Economic Development Authority (EDA) and Gloucester County web sites on October 10, To review a full description of all EDA and Gloucester County s available and specific requirements, terms, conditions and the latest details of each program, please contact the office of Economic Development at or please see or North Front Street, Suite 302 Harrisburg, Pennsylvania office fax Howard Boulevard, Suite 104 Mount Laurel, New Jersey office fax