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Introduction

    Organization
       Advisory Group

          Government Procurement Business

               Services                           Gove
                                                       r
                                                  Cont nment
                                                      ractin
                                                            g
                  SWOT Analysis
                                                                8(a)
                    Outstanding Strengths

                                                  GSA Schedule
                      Our Driving Forces                      s


                          Strategy

                           Contract Forecast

                           Projected Income Statements
                           www.northeastusa.com                        1
Introduction (1/2)
Entity Name                                                   Foundation

▪ Northeast Siding, Inc                                        ▪ 8. 21. 1996 Incorporated
  (Doing Business As)                                           in Maryland, U.S.A.
▪ Northeast Construction, Inc. (NCI)                           ▪ 8. 1. 2008 Reincorporated in
                                                                Richmond, VA. U.S.A.

                                                              Business

                                                        ▪ Design / Building Services
                                                        ▪ Government / Military Housing & Commercial
                                                          / Residential –Roofing / Siding / Gutter
Organization

▪ David Cheon, CEO & President, Minority-Owned business, Founder

▪ John Phillips, Senior Advisor, Retired Major General, Former Deputy Under Secretary of Defense

▪ Eddy Mun, V.P. of Construction

▪ Joon Nam, Operations Manager, MBA
                                       www.northeastusa.com                                          2
Introduction (2/2)
Contact Us
 ▪ Richmond Headquarters                          ▪ Northern Virginia Office

   Address : 8747 Whitepine Rd.                      Address : 6417 Loisdale Rd. Suite 200
             RIchmond.VA 23237                                   Springfield. VA 22150

   Phone : 804-271-7711     Fax : 804-271-7731       Phone : 703-971-8071        Fax : 703-971-8073




Website & E-mail

 ▪ Web Site: www.northeastusa.com

 ▪ Email : info@northeastusa.com
                                          www.northeastusa.com                                        3
Organization
                                                                    President



                                     Board Members                                                  Advisor



Business Develop Manager / Auditor                           General Manager & COO


    Government Procurement
                                                                                                           Estimating Team
      Marketing Manager


    Estimate & Project Manager

                                     Construction Manager
                                       & Vice president                                  Assistant Office Manager


                                                        Administration Assistance                                   Purchasing Agent



   Service & Warranty Manager                                  NOVA Construction Manager                            Accounting Agent



    Richmond Field Manager             Asst. Business Development Mngr.



            Hampton                                                   Field Manager



                                                                    Service & Warranty



                                                     www.northeastusa.com                                                              4
Advisory Group

                 Name                 Phone                    Email

      Cpa      Mason Brugh          800-446-2534        Mason@constructioncpa.com
    Shelton

  Banker       Dai Barth            804-697-6848        Dai.barth@wachovia.com
  Wachovia

Insurance      Hunter Avery         804-780-0611        Hunter.avery@rutherfoord.com
 Rutherfoord

     Bond      Courtney Seed        804-673-5582        Cseed@hanover.com
    Hanover

  Lawyer       Herman C. (Dan)      804-272-2203
  Richmond     Daniel, Ⅲ, PC




                                 www.northeastusa.com                                  5
Government Contracting Business
Why Government Contracting?
1. The Federal Government is one of the largest single sources of U.S. contracting opportunities for small businesses.
2. The world’s largest buyer of goods and services is the Federal Government, with purchases totaling more than $500
billion per year.
3. Small business set aside (SBSA) is the reservation of an acquisition exclusively for participants by small business
concerns, 8(a) set aside award.
4. 8(a) sole source / without competition
5. Set-Aside opportunities for small business

Small Business – 23%, Small Disadvantaged Business (8a) - 5%


  Of the $375 billion worth of goods and services in Fiscal Year 2009, 23% of all prime contracts are to be set aside for
small businesses. With the stimulus package predicted to create 166% growth in federal spending levels for the 2010
fiscal year, $787 billion, in stimulus money created by the American Recovery and Reinvestment Act, there has never been
a more opportune time for businesses to enter the federal marketplace.




                                                 www.northeastusa.com                                                    6
Government Contracting Business
Why Government Contracting?

Based upon achievement and strengths Northeast obtained during last 14 years, the Company expands our business area

to government business and implements plans to government procurement business.

 Superior past performance in Military Housing projects

 Good reputation from our clients

 Excellent Safety, Quality Control in compliance with the related acts and regulations

 Sufficient Manpower – Met or exceeded subcontracting requirement




                                                www.northeastusa.com                                           7
Government Contracting Business
8(a) Program
 The 8(a) program name originated from Section 8(a) of the Small Business Act, amended by congress, and enables
SBA to help small companies owned and operated by socially and economically disadvantaged persons develop their
businesses.
 One of the business development tools of the 8(a) program is the award of Federal contracts. Under the program, SBA
acts as a prime contractor and enters into contracts with other Federal Government departments and agencies. In its role
as a prime contractor, SBA awards subcontracts for their performance by certified companies.


      Northeast Siding, Inc. (doing business as Northeast Construction, Inc) is certified by the U.S. Small Business
     Administration (SBA) as an 8(a) business through 2018.


     ▪ Mentor Protégé                                     ▪ Joint Venture

     ▪ Set Aside                                          ▪ Sole source




                                                www.northeastusa.com                                                   8
Government Contracting Business
Government Procurement Business through 8(a) certificate
  Builders’ License obtained and added to contractor license

  Pertinent Data

   – Duns #: 008717363

   – Cage Code: 465Z0

   – Current Bonding Capacity: $15,000,000.00 (aggregate)

   – NAICS Codes:

       236210 Industrial Building Construction,     Primary Code under 8(a)
       236116 New Multifamily Housing Constructions
       236220 Commercial & Instructional Building
       236118 Residential Remodelers
       238160 Roofing Contractors
       238170 Siding Contractors
       332322 Sheet Metal Work Manufacturing
       444190 Other Building Material Dealers


                                              www.northeastusa.com            9
Government Contracting Business
GSA Schedule

  GSA is a centralized management agency that sets Federal policy for Federal procurement, such as real property
 management and information resources management. Under the schedules program, GSA establishes long-term
 government-wide contracts with firms to provide authorized ordering offices with access to millions of services and
 products that they may order from GSA Schedule contractors.

  Northeast is in the process of enrolling in GSA schedule 56 by May, 2010. After we obtain GSA schedule 56, we will
 enroll Multiple Award Schedules (MAS) contracts, preferred and widely used government method.

  ▪ Building and Building Materials / Industrial Services and Supplies (SIN 563 4)

  ▪ Facilities Maintenance and Management (FAC 03)


SWaM Status Notification (#685433) in Virginia State

 The SWaM Procurement Initiative was established to enhance business opportunities for small, women- and minority-
owned businesses and to ensure a level playing field for all small businesses in the Commonwealth of Virginia. SWaM is
the acronym for Small, Women- and Minority-owned businesses.
 Northeast is certificated as a minority-owned business by the Department of Minority Business Enterprise (DMBE) on
May, 2010. and is enrolled as an EVA vendor in commonwealth of Virginia.


                                              www.northeastusa.com                                               10
Services
Services
  Northeast provides our clients with design and building services along with superior installation services of exterior
 material such as roofing/siding/gutter and maintenance.

    Design / Building Services
  ▪ Installing Exterior Materials such as Siding/Roofing/Gutter

  ▪ Installing Window/Doors

  ▪ Rehabilitation

    Disaster Recovery

    Green Energy




                                               www.northeastusa.com                                                  11
Services
Disaster Recovery
 Northeast Construction Inc. provides clients with the professional and immediate recovery operations of emergency and
major disasters, such as hurricanes, tornados, windstorms, and hail.
 We do our best to mitigate damages and protect your interests while working through your loss. No matter the extent of
your emergency, our specialists and resources are ready at a moment’s notice to remediate damage, rebuild or renovate,
and protect your interests, ensuring compliance with regulations.


 We are specialized in commercial, residential and military housing exterior disaster restoration, such as roofing and siding.
Our emergency response team provides comprehensive damage assessments, temporary roofing systems, and timely
restoration.


 Please contact us to get our emergency service as quickly as possible. Typical response time for a loss range from one to
twelve hours.


Email: info@northeastusa.com
Phone: 804.271.7711.
Services
Quality Control
Three phases of on-site quality inspections are conducted to ensure all project materials and remedial activities comply
with the contract specifications.

 ▪ Phase-1: Preparatory Quality Control Inspections
Preparatory inspections will be conducted prior to beginning work and will include: review of submittal requirements;
review of other contract specifications regarding performance and scope of work; and physical examination of materials
and equipment.

 ▪ Phase-2: Quality Control Inspections
Initial quality control inspections will be conducted once a portion of work, is completed generally a quarter of entire
project, to ensure the quality of workmanship; to review control processes; and identify defective or damaged materials,
omissions, or dimensional.

▪ Phase-3: Follow-up Quality Control Inspections
Quality control inspections will be performed daily during job progress to ensure continued compliance with contractual
requirements and specifications. These inspections will focus on the specific features of work, deficiency identification
and compliance during a particular stage of work.

To comply with three-phase quality control inspections, the Company requires all on-site field managers to submit daily
reports detailing all field testing controls and activities, along with photos and to hold weekly quality control review
meetings with quality control manager to review performance during the previous one-week period.
Services
Safety

 To maximize the effectiveness and efficiency of quality control, Northeast provides all field managers with continuous

training in applicable OSHA regulations programs, such as OSHA 10 hour and OSHA 30 certification, as well as first-aid

and CPR.

Our warranty/quality control manager, who has professional knowledge and experience, along with certification, is in

charge of all safety training and provides continuous training, not only for safety but also new technologies and products.
Services
     Military Housing




 ▪ Fort Belvoir, VA (U.S. Army)               ▪ Andrews AFB                         ▪ Bolling AFB

- Total Contract amount : $17M                - Contract amount : $3.5M             - Clark& Pinnacle, Military Housing

- Partnership between Pinnacle and Clark      - Partnership between Clark Realty         Bolling AFB,

- 2,070 military homes such as                and the Department of the Air Force   - Installing Roofing (Spanish Type

     G.W./Rossell/Woodlawn/                   - Siding/Roofing/Gutter                    Roofing) & Siding : $3.4M

Villages / Gerber/Fairfax/Jadwin/ Hereford/   - 200 New Homes and 215               - Estimated Project Time: 3 years

- Completion: Dec, 2011                            Renovated Homes                  - Contract Date : 12 . 15. 2008




                                                  www.northeastusa.com                                                15
Services

Commercial

 - Winsormeade of Willamsburg, Clancy&Theys            - River House Apt., Marlyn Development

 - Rivermont APT., Boyd Homes                          - Cascades @ Woods corner, Marlyn Development, HUD

 - Alltech Nutrigenomics Center, Turner Construction   - Tanglewood Lake Apt., Marlyn Development, HUD

 - Village of Leesburg, Clark,                         - Phoebus Sqaure Apt ., Marlyn Development




                                           www.northeastusa.com                                          16
Services

 Residential Project

Design / Building services Single house and Town houses




                                      www.northeastusa.com   17
SWOT Analysis
Strengths
                                                                ▪ Growth through 8(a) program until 2018
▪ Past Performance in Military Housing Projects
                                                                ▪ Government policy to enhance small business, such
▪ Good Reputation

▪ Strong Relationship with General Contractor                     as GSA, FedBIZOPP, 8(a) small business

                                      Opportunities             ▪ U.S. Various U.S. Government Procurement Programs



                                                                                           Threats
                                                                              ▪ Inexperience in Government Contracts

Weaknesses              ▪ Lack of knowledge of Government Contracting         ▪ High Competition

                        ▪ Professional Management skills being honed to

                         meet requirements of designation




                                                  www.northeastusa.com                                           18
Outstanding Strength

Differentiated Strategy
                                                 Decisive Investment
  ▪ A diversification in our
   revenues                                          ▪ Northeast invested in computer and real
  ▪ Utilize the differentiated                         time communication systems between
   strategy and credit                                 office and field to overcome any
  ▪ Military Housing Projects over                     documentation or communication
   Residential projects from 2004                      disadvantages it may have experienced in
                                                       the past.
       Good Creditability
  ▪ Do best to satisfy clients and keep
   long term relationship
  ▪ Consider credibility more than money




                                     www.northeastusa.com                                        19
Our Driving Force




            www.northeastusa.com   20
Strategy



Long Term Goal                                                               Short Term Goal
▪ To become a nationwide General Contractor                              ▪ To team in a joint venture
                                                                           with one of our major clients
   8(a)
▪ Contact federal agencies
                                                                               ▪ Maximize 8(a)
▪ Utilize a retired Major General, John Philips                                  opportunities
▪ Joint Venture
▪ Mentor protégé program
                                                                                ▪ Support
                                                                                  8(a) business
   Non- 8(a)
▪ Maintain core business

▪ Pursue 8(a) and non-8(a) business growth simultaneously

                                                  www.northeastusa.com                             21
Contract Forecast




           www.northeastusa.com   22
Projected Income Statement                                           * estimate

                                      2010*         2011*         2012*
A. Contract Revenue, non 8(a)   $13,041,223   $15,388,643   $20,774,668
   Contract Revenue, 8(a)*       $5,000,000   $10,000,000   $20,000,000
Total Contract Revenue          $18,041,223   $25,388,643   $40,774,668
Cost of Sales
B.Variable Labor                  $278,718      $445,949       $891,899
C. Material                      $9,025,732   $12,636,025   $19,333,118
D. Subcontract                   $5,070,075    $6,489,696    $9,994,131
E.Equipment                       $518,824      $778,236     $1,556,472
F.Other                           $792,006     $1,188,010    $2,376,019
                                $15,685,356   $21,537,916   $34,151,640

G. Gorss Profit                  $2,355,867    $3,850,727    $6,623,029
General and Administrative
Expenses                         $1,108,321    $1,662,482    $2,743,095

Income from Operation (Loss)     $1,247,546    $2,188,246    $3,879,934

Other Income and (Expense)          $14,160       $35,000       $50,000
Income before Income taxes       $1,261,706    $2,223,246    $3,929,934

Provison For Income Taxes
 Current-expenses (Benefit)       $207,441      $331,906      $531,050
 Deferred-expenses (Benefit)       $77,807       $93,368      $112,042
                                  $285,248      $425,274      $643,092

Net Income (Loss)                 $976,458     $1,797,971    $3,286,842

 Retained Earnings- Beginning    $1,626,357    $2,602,815    $4,400,786
 Retained Earnings- Ending       $2,602,815    $4,400,786    $7,687,628


                                                     www.northeastusa.com      23

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E Brochure Of Northeast Construction

  • 1. Introduction Organization Advisory Group Government Procurement Business Services Gove r Cont nment ractin g SWOT Analysis 8(a) Outstanding Strengths GSA Schedule Our Driving Forces s Strategy Contract Forecast Projected Income Statements www.northeastusa.com 1
  • 2. Introduction (1/2) Entity Name Foundation ▪ Northeast Siding, Inc ▪ 8. 21. 1996 Incorporated (Doing Business As) in Maryland, U.S.A. ▪ Northeast Construction, Inc. (NCI) ▪ 8. 1. 2008 Reincorporated in Richmond, VA. U.S.A. Business ▪ Design / Building Services ▪ Government / Military Housing & Commercial / Residential –Roofing / Siding / Gutter Organization ▪ David Cheon, CEO & President, Minority-Owned business, Founder ▪ John Phillips, Senior Advisor, Retired Major General, Former Deputy Under Secretary of Defense ▪ Eddy Mun, V.P. of Construction ▪ Joon Nam, Operations Manager, MBA www.northeastusa.com 2
  • 3. Introduction (2/2) Contact Us ▪ Richmond Headquarters ▪ Northern Virginia Office Address : 8747 Whitepine Rd. Address : 6417 Loisdale Rd. Suite 200 RIchmond.VA 23237 Springfield. VA 22150 Phone : 804-271-7711 Fax : 804-271-7731 Phone : 703-971-8071 Fax : 703-971-8073 Website & E-mail ▪ Web Site: www.northeastusa.com ▪ Email : info@northeastusa.com www.northeastusa.com 3
  • 4. Organization President Board Members Advisor Business Develop Manager / Auditor General Manager & COO Government Procurement Estimating Team Marketing Manager Estimate & Project Manager Construction Manager & Vice president Assistant Office Manager Administration Assistance Purchasing Agent Service & Warranty Manager NOVA Construction Manager Accounting Agent Richmond Field Manager Asst. Business Development Mngr. Hampton Field Manager Service & Warranty www.northeastusa.com 4
  • 5. Advisory Group Name Phone Email Cpa Mason Brugh 800-446-2534 Mason@constructioncpa.com Shelton Banker Dai Barth 804-697-6848 Dai.barth@wachovia.com Wachovia Insurance Hunter Avery 804-780-0611 Hunter.avery@rutherfoord.com Rutherfoord Bond Courtney Seed 804-673-5582 Cseed@hanover.com Hanover Lawyer Herman C. (Dan) 804-272-2203 Richmond Daniel, Ⅲ, PC www.northeastusa.com 5
  • 6. Government Contracting Business Why Government Contracting? 1. The Federal Government is one of the largest single sources of U.S. contracting opportunities for small businesses. 2. The world’s largest buyer of goods and services is the Federal Government, with purchases totaling more than $500 billion per year. 3. Small business set aside (SBSA) is the reservation of an acquisition exclusively for participants by small business concerns, 8(a) set aside award. 4. 8(a) sole source / without competition 5. Set-Aside opportunities for small business Small Business – 23%, Small Disadvantaged Business (8a) - 5% Of the $375 billion worth of goods and services in Fiscal Year 2009, 23% of all prime contracts are to be set aside for small businesses. With the stimulus package predicted to create 166% growth in federal spending levels for the 2010 fiscal year, $787 billion, in stimulus money created by the American Recovery and Reinvestment Act, there has never been a more opportune time for businesses to enter the federal marketplace. www.northeastusa.com 6
  • 7. Government Contracting Business Why Government Contracting? Based upon achievement and strengths Northeast obtained during last 14 years, the Company expands our business area to government business and implements plans to government procurement business. Superior past performance in Military Housing projects Good reputation from our clients Excellent Safety, Quality Control in compliance with the related acts and regulations Sufficient Manpower – Met or exceeded subcontracting requirement www.northeastusa.com 7
  • 8. Government Contracting Business 8(a) Program The 8(a) program name originated from Section 8(a) of the Small Business Act, amended by congress, and enables SBA to help small companies owned and operated by socially and economically disadvantaged persons develop their businesses. One of the business development tools of the 8(a) program is the award of Federal contracts. Under the program, SBA acts as a prime contractor and enters into contracts with other Federal Government departments and agencies. In its role as a prime contractor, SBA awards subcontracts for their performance by certified companies. Northeast Siding, Inc. (doing business as Northeast Construction, Inc) is certified by the U.S. Small Business Administration (SBA) as an 8(a) business through 2018. ▪ Mentor Protégé ▪ Joint Venture ▪ Set Aside ▪ Sole source www.northeastusa.com 8
  • 9. Government Contracting Business Government Procurement Business through 8(a) certificate Builders’ License obtained and added to contractor license Pertinent Data – Duns #: 008717363 – Cage Code: 465Z0 – Current Bonding Capacity: $15,000,000.00 (aggregate) – NAICS Codes: 236210 Industrial Building Construction, Primary Code under 8(a) 236116 New Multifamily Housing Constructions 236220 Commercial & Instructional Building 236118 Residential Remodelers 238160 Roofing Contractors 238170 Siding Contractors 332322 Sheet Metal Work Manufacturing 444190 Other Building Material Dealers www.northeastusa.com 9
  • 10. Government Contracting Business GSA Schedule GSA is a centralized management agency that sets Federal policy for Federal procurement, such as real property management and information resources management. Under the schedules program, GSA establishes long-term government-wide contracts with firms to provide authorized ordering offices with access to millions of services and products that they may order from GSA Schedule contractors. Northeast is in the process of enrolling in GSA schedule 56 by May, 2010. After we obtain GSA schedule 56, we will enroll Multiple Award Schedules (MAS) contracts, preferred and widely used government method. ▪ Building and Building Materials / Industrial Services and Supplies (SIN 563 4) ▪ Facilities Maintenance and Management (FAC 03) SWaM Status Notification (#685433) in Virginia State The SWaM Procurement Initiative was established to enhance business opportunities for small, women- and minority- owned businesses and to ensure a level playing field for all small businesses in the Commonwealth of Virginia. SWaM is the acronym for Small, Women- and Minority-owned businesses. Northeast is certificated as a minority-owned business by the Department of Minority Business Enterprise (DMBE) on May, 2010. and is enrolled as an EVA vendor in commonwealth of Virginia. www.northeastusa.com 10
  • 11. Services Services Northeast provides our clients with design and building services along with superior installation services of exterior material such as roofing/siding/gutter and maintenance. Design / Building Services ▪ Installing Exterior Materials such as Siding/Roofing/Gutter ▪ Installing Window/Doors ▪ Rehabilitation Disaster Recovery Green Energy www.northeastusa.com 11
  • 12. Services Disaster Recovery Northeast Construction Inc. provides clients with the professional and immediate recovery operations of emergency and major disasters, such as hurricanes, tornados, windstorms, and hail. We do our best to mitigate damages and protect your interests while working through your loss. No matter the extent of your emergency, our specialists and resources are ready at a moment’s notice to remediate damage, rebuild or renovate, and protect your interests, ensuring compliance with regulations. We are specialized in commercial, residential and military housing exterior disaster restoration, such as roofing and siding. Our emergency response team provides comprehensive damage assessments, temporary roofing systems, and timely restoration. Please contact us to get our emergency service as quickly as possible. Typical response time for a loss range from one to twelve hours. Email: info@northeastusa.com Phone: 804.271.7711.
  • 13. Services Quality Control Three phases of on-site quality inspections are conducted to ensure all project materials and remedial activities comply with the contract specifications. ▪ Phase-1: Preparatory Quality Control Inspections Preparatory inspections will be conducted prior to beginning work and will include: review of submittal requirements; review of other contract specifications regarding performance and scope of work; and physical examination of materials and equipment. ▪ Phase-2: Quality Control Inspections Initial quality control inspections will be conducted once a portion of work, is completed generally a quarter of entire project, to ensure the quality of workmanship; to review control processes; and identify defective or damaged materials, omissions, or dimensional. ▪ Phase-3: Follow-up Quality Control Inspections Quality control inspections will be performed daily during job progress to ensure continued compliance with contractual requirements and specifications. These inspections will focus on the specific features of work, deficiency identification and compliance during a particular stage of work. To comply with three-phase quality control inspections, the Company requires all on-site field managers to submit daily reports detailing all field testing controls and activities, along with photos and to hold weekly quality control review meetings with quality control manager to review performance during the previous one-week period.
  • 14. Services Safety To maximize the effectiveness and efficiency of quality control, Northeast provides all field managers with continuous training in applicable OSHA regulations programs, such as OSHA 10 hour and OSHA 30 certification, as well as first-aid and CPR. Our warranty/quality control manager, who has professional knowledge and experience, along with certification, is in charge of all safety training and provides continuous training, not only for safety but also new technologies and products.
  • 15. Services Military Housing ▪ Fort Belvoir, VA (U.S. Army) ▪ Andrews AFB ▪ Bolling AFB - Total Contract amount : $17M - Contract amount : $3.5M - Clark& Pinnacle, Military Housing - Partnership between Pinnacle and Clark - Partnership between Clark Realty Bolling AFB, - 2,070 military homes such as and the Department of the Air Force - Installing Roofing (Spanish Type G.W./Rossell/Woodlawn/ - Siding/Roofing/Gutter Roofing) & Siding : $3.4M Villages / Gerber/Fairfax/Jadwin/ Hereford/ - 200 New Homes and 215 - Estimated Project Time: 3 years - Completion: Dec, 2011 Renovated Homes - Contract Date : 12 . 15. 2008 www.northeastusa.com 15
  • 16. Services Commercial - Winsormeade of Willamsburg, Clancy&Theys - River House Apt., Marlyn Development - Rivermont APT., Boyd Homes - Cascades @ Woods corner, Marlyn Development, HUD - Alltech Nutrigenomics Center, Turner Construction - Tanglewood Lake Apt., Marlyn Development, HUD - Village of Leesburg, Clark, - Phoebus Sqaure Apt ., Marlyn Development www.northeastusa.com 16
  • 17. Services Residential Project Design / Building services Single house and Town houses www.northeastusa.com 17
  • 18. SWOT Analysis Strengths ▪ Growth through 8(a) program until 2018 ▪ Past Performance in Military Housing Projects ▪ Government policy to enhance small business, such ▪ Good Reputation ▪ Strong Relationship with General Contractor as GSA, FedBIZOPP, 8(a) small business Opportunities ▪ U.S. Various U.S. Government Procurement Programs Threats ▪ Inexperience in Government Contracts Weaknesses ▪ Lack of knowledge of Government Contracting ▪ High Competition ▪ Professional Management skills being honed to meet requirements of designation www.northeastusa.com 18
  • 19. Outstanding Strength Differentiated Strategy Decisive Investment ▪ A diversification in our revenues ▪ Northeast invested in computer and real ▪ Utilize the differentiated time communication systems between strategy and credit office and field to overcome any ▪ Military Housing Projects over documentation or communication Residential projects from 2004 disadvantages it may have experienced in the past. Good Creditability ▪ Do best to satisfy clients and keep long term relationship ▪ Consider credibility more than money www.northeastusa.com 19
  • 20. Our Driving Force www.northeastusa.com 20
  • 21. Strategy Long Term Goal Short Term Goal ▪ To become a nationwide General Contractor ▪ To team in a joint venture with one of our major clients 8(a) ▪ Contact federal agencies ▪ Maximize 8(a) ▪ Utilize a retired Major General, John Philips opportunities ▪ Joint Venture ▪ Mentor protégé program ▪ Support 8(a) business Non- 8(a) ▪ Maintain core business ▪ Pursue 8(a) and non-8(a) business growth simultaneously www.northeastusa.com 21
  • 22. Contract Forecast www.northeastusa.com 22
  • 23. Projected Income Statement * estimate 2010* 2011* 2012* A. Contract Revenue, non 8(a) $13,041,223 $15,388,643 $20,774,668 Contract Revenue, 8(a)* $5,000,000 $10,000,000 $20,000,000 Total Contract Revenue $18,041,223 $25,388,643 $40,774,668 Cost of Sales B.Variable Labor $278,718 $445,949 $891,899 C. Material $9,025,732 $12,636,025 $19,333,118 D. Subcontract $5,070,075 $6,489,696 $9,994,131 E.Equipment $518,824 $778,236 $1,556,472 F.Other $792,006 $1,188,010 $2,376,019 $15,685,356 $21,537,916 $34,151,640 G. Gorss Profit $2,355,867 $3,850,727 $6,623,029 General and Administrative Expenses $1,108,321 $1,662,482 $2,743,095 Income from Operation (Loss) $1,247,546 $2,188,246 $3,879,934 Other Income and (Expense) $14,160 $35,000 $50,000 Income before Income taxes $1,261,706 $2,223,246 $3,929,934 Provison For Income Taxes Current-expenses (Benefit) $207,441 $331,906 $531,050 Deferred-expenses (Benefit) $77,807 $93,368 $112,042 $285,248 $425,274 $643,092 Net Income (Loss) $976,458 $1,797,971 $3,286,842 Retained Earnings- Beginning $1,626,357 $2,602,815 $4,400,786 Retained Earnings- Ending $2,602,815 $4,400,786 $7,687,628 www.northeastusa.com 23