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Canadian and U.S. Public OpinionIn the Face of Iraq

Presented to PMRS – Ottawa ChapterApril 24, 2003

Richard Bennett – Senior ConsultantGPC Research

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Introducing GPC International

Fleishman-Hillard is GPC International’s parent company, located in St. Louis

GPC Research is part of GPC International GPC Research is located in Ottawa and is a full

service market research company 60 CATI station field center New focus group facility

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Research Methodology

Research is a result of a partnership between Wirthlin Worldwide and FH/GPC

Trade Winds I and II National Quorum 1000 American adults were interviewed by

phone March 21-24 (War in Iraq underway) and April 9-12, 2003 (US enters Baghdad)

Unique sample of respondents in each survey Results are projectable to the entire U.S.

population within a ±3.1% margin of error at 95% confidence level

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Aim and objectives

Explore American attitudes towards international products and companies since the start of the war with Iraq Interest in and knowledge of war/terrorism Investment purchasing Changes in purchasing behaviour Awareness of foreign brands Foreign product substitution Support for International organizations Demographics

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Key Highlights

1. Tuned-in and turned-on2. Good old days are long gone3. “Freedom Fries” are just the beginning4. UN, NATO, persona non grata5. In the end, it’s still about the Economy

Unless indicated all charts are based on total sample

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1. Tuned-In and Turned-On

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Interest in the War in Iraq

How interested are you in following the events that are happening in the war in Iraq and the war on terrorism?

3

24

73

3

26

71

Not at allinterested

Moderatelyinterested

Very interested

Apr-03Mar-03

8

Informed about the War in Iraq

How informed do you feel you are about the events that are happening in the war on Iraq and the war on

terrorism?

5

43

52

5

43

52

Poorlyinformed

Moderatelywell informed

Very wellinformed

Apr-03Mar-03

43% are both “very interested” and “very well informed”

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2. Good Old Days Are Long Gone

10

Military action and further acts of terrorism will lead to…

Do you think military action will lead to fewer/ more acts of terrorism against US citizens?

40

5

53

42

4

52

Fewer acts ofterrorism

No difference

More acts ofterrorism

Apr-03Mar-03

11

When will “things”get back to normal

How long do you think it will take for things to get back to normal?

24

20

21

27

6

12

21

29

33

5

Less than 6months

6-12 months

2-3 years

More than 3years

Never go back

Apr-03Mar-03

62

12

Doing things differently due to concerns over terrorism

Have you modified your behaviour with respect to any of the following based on concerns about terrorist attacks

in the US?

9

13

16

25

90

87

84

75

Traveling toand from work

Visitingshopping

malls

Drop off/ pickup kids from

school

Traveling forbusiness or

pleasure

Yes No Apr-03

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Business and Personal travel postponed

Have you cancelled or postponed a personal or business trip to…?

4

3

4

96

97

96

Canada

Germany

France

Yes No Apr-03

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Americans are also avoiding

Are you more/ less likely to engage in the activity or find the activity more/ less appealing?

8

11

13

36

49

47

59

54

54

47

44

30

33

10

4

Flyingcommercially

Planning vacations

Making largepurchases

Buying from Britainand Spain

Buying American

More About the same Less Apr-03

15

3. “Freedom Fries” are just the beginning

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Favouring products and companies from different countries

Have recent events caused you to become more or less favourable towards the companies and products that

come from…?

60

41

29

18

13

14

32

35

29

22

25

25

35

52

64

Britain

Spain

Canada

Germany

France

More favourable Neither Less favourable Mar-03

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Likelihood of trying a substitute product

How likely are you to try a substitue product for one you've previously bought that is made in or by a company from…?

13

17

15

19

23

19

36

31

32

25

23

22

19

20

22

22

16

19

31

31

31

33

37

39

Canada - March

Canada - April

Germany - March

Germany - April

France - March

France - April

Very Likely Somewhat Likely Not too likely Not at all likely

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Product substitution plays out – a little

Have you substituted a product for one you've previously bought that is made in…?

8

9

15

91

92

85

Canada

Germany

France

Yes No Apr-03

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And the future holds….

How long do you expect that you will continue to substitute for these products?

5

3

9

9

12

63

DK/ NS

<3 months

3 to < 6months

6 months to <1 year

1 year to < 2years

> 2 years

Apr-03

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Canadian brands affected (TOM)

Tell me all the Canadian brands, products or companies that you are aware of in the US?

67

1711

111

222

233

34

DK/ NS

Other

TD Waterhouse

LearJet

Canadian Club

Moosehead

Bombardier

Molson

Lumber

GM

Ford

LaBatts

Water

Canada Dry

Air Canada

Asked of those who mentioned they substituted a product for one they previously bought (n=80)

Apr-03

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Products associated with Canada (SOM)

Tell me which country you most closely associate the following product wih?

12

13

13

17

24

30

49

68

79

90

Bombardier

Sun Life

TD Waterhouse

Ski-doo

Labatts

Molson

Moosehead

Canada Dry

Canadian Club

Air Canada

Apr-03

22

Concern over boycotts hurting the US

How concerned would you say you are the US boycotts of French, German or Canadian products will hurt the US employees of these companies and employees of their

suppliers?

16

25

39

19

Not at allconcerned

Not tooconcerned

Somewhatconcerned

Veryconcerned

Apr-03

58

23

4. UN, NATO, persona non grata

24

Support for International Community

Have recent world events made you more/ less supportive of these international organizations?

16

29

31

26

15

8

25

19

10

17

NATO

United Nations

Much less Somewhat less No impact Somewhat more Much more

Apr-03

25

Support for Economic Cooperation and Free Trade with…

Has recent world events made you more/ less supportive of economic and free trade with…?

13

33

35

34

18

12

24

14

10

6

Canada

France andGermany

Much less Somewhat less No impact Somewhat more Much more

Apr-03

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5. In the end, it’s still about the Economy

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Investor confidence continues to decline

How confident are you in the security of your investments?

6

7

14

45

28

9

11

15

40

25

DK/ NS

Not at allconfident

Not tooconfident

Somewhatconfident

Very confident

Apr-03Mar-03

65

73

28

Investments also decline

Which types of long term financial services investment products do you own?

20

15

24

24

26

32

38

39

45

45

27

13

19

20

20

32

31

35

38

42

None

Annuities

Other mutual funds

MM funds

Bonds

Stocks

Life Insurance

MF's which invest in stocks

IRA (Roth/ Regular)

401k/ 401b

Apr-03Mar-03

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Sentiments affect investment decisions

I f you were buying stocks now, how much influence would the fact that a company were French, German or

Canadian have on your decision whether or not to purchase the stock?

25

19

27

28

No influenceat all

Very littleinfluence

Someinfluence

A great dealof influence

Apr-03

55

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Key Highlights

1. Americans are tuned-in and turned-on• American consumers (esp. higher educated-

higher income) are interested and informed about the war and terrorism and are fighting it on the home front

2. The good old days are long gone• The war and terrorism has changed the way

Americans think and act. They are traveling, investing and purchasing less and they say it may be a while before things are back to normal

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Key Highlights

3. “Freedom Fries” are just the beginning• The intention to substitute for French, German

and Canadian products is real, the follow through has yet to happen but the resentment remains strong. Fortunately brand awareness of Canadian products is very weak

4. UN, NATO, persona non grata• Support for International institutions and

countries opposed to the war in Iraq is low5. In the end, it’s still about the Economy

• Investor confidence is weakening, LT financial investments are in decline and where a company is from may affect an investors decision to invest

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QUESTIONS

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