Stellar Heavy Civil

Administration and EconomicsBCN 4753

James Sorce

Company Officers

Graham Clark – PresidentDavid Stopyra – C.E.O.Luke Tatham – C.O.O.

Brian Lyles – Senior Project ManagerSteven Kidd – Chief Estimator

Goals

• New Division of Stellar• Satellite Office – Raleigh, North Carolina• Growing Heavy Civil Market • Start Small• Use Existing Capitol from Stellar

Commercial • Use Experience in Commercial Construction• Expand to Became a Major Player in the

Heavy Civil Market in the Southeast US

Background

• Started in 1985 • Located in Jacksonville, F.L.• International Company• Ranked 100 in the ENR top 400• Ranked in the top 25 Design Build

Firms • Does more than just construction

Stellar Commercial

• Dry and Low temperature Storage Facilities

• Nations largest ammonia refrigeration facilities

• Power and Utilities • Many projects

worldwide• Most famous -

Worlds largest chiller in Dubai

Plan• Open a new Division

of Stellar to focus on Heavy Civil Construction

• Purchase a small site work company with local knowledge and equiptment

• Primarily Smaller projects to build reputation

• Focus on small general area on start up

Location • Raleigh, N.C.• 15th of 258 fastest growing city’s in the nation• 5th fastest growing state in the nation• Satellite office that will become Stellar’s main

office for all Heavy Civil Construction • Centrally located• Growing City/Area• Abundance major roads and interstates

Short Term

• Target small to medium scale projects within 100 miles of the Raleigh area

• To become a top contractor in the North Carolina area in Heavy Civil work

• Grow and expand rapidly

Growing Market

• Residential market has 16.6 billion in new contracts

• Street and highway expected to increase 11% or by 1.1 billion

• Sewer and waste expect to increase 35% or by 359 million

Long Term

• Continual growth• Become a major

player in the Southeast US Heavy Civil Market

• Large projects• Be listed on the ENR

top 400 for Heavy Civil Construction

• Establish more efficient methods

Financials

• 2006 sales totaled over a half a billion • 2007 mid year sales nearly a quarter

billion • Take 2% of our 2007 annual sales to

start the Heavy Civil division (roughly 10 million dollars)

• This allows for purchases of equipment, office space, etc.

Marketing Strategy

• The Stellar name• Word of mouth• Start small• Perform well• Take on all

different projects• Get on city bid list• Win contracts with

familiar customers

Legal Issues

• Large insurance policy to protect against loses and/or any breakages that might occur.

• Large bonding capacity• Most of the work done in-house• Minimal outsourcing of resources

Competition

• Kiewit – Omaha, N.E.• Balfour Beatty – Atlanta, G.A.• Barnhill Contracting Company –

Tarboro, N.C.• Gray Construction - Lexington, K.Y.• The Facility Group – Smyrna, G.A. • Crowder Construction – Charlotte,

N.C.

In Conclusion

• Growing and stable market to enter• Background and attention to detail • Large amounts of start up capital• International experience and large

commercial projects• Name