This document discusses the rationale for a new U.S.-built, U.S.-flagged, and U.S.-operated cruise ship called SeaAmerica. Existing cruise operators do not serve the conference industry and cannot freely sail between U.S. ports. U.S. shipyards are seeking commercial contracts and financing is available. Favorable U.S. laws like the Passenger Vessel Act support this type of project. Cruises are well-suited for meetings as they provide something new and adventurous within a controlled budget. The proposed ship would have over 10,000 square feet of meeting space and amenities appealing to both business travelers and leisure guests. SeaAmerica aims to take advantage of tax deduct

3. LOBBY

4. DiningRoom

5. Pool Area

6. Boardroom

8. Favorable U.S. Law

10. Existing Cruise Operators can not cruise freely between U.S. ports

11. U.S. Shipyards are seeking commercial contracts

13. President’s Shipyard Revitalization Act

14. IRS conference cruise business deduction

15. U.S. shipboard officers can act as port pilots

17. Sense of adventure

18. High perceived value - $ value

21. 10,000 square feet of multi-purpose meeting space

22. 537 passenger cabins

23. 93% outside cabins

24. 87% balcony cabins

27. MILESTONES

29. 1997 Assembled Management Team, Conducted Market Research

30. 1998 Developed Business Plan, Developed Ship Design Concepts I & II, Developed Strategic Alliances with Kvaerner Masa Marine and Kvaerner Masa Yards, America Marine Officers, V-Ships, Dyer, Ellis & Joseph, Northeast Capital, Initial Meetings with MARAD, Visited Key U.S. Shipyards

31. 1999 Hired American Marine Advisors, Completed Preliminary Designs, PriceWaterhouse Coopers Completed Market Demand Analysis, Raised Seed Capital, Continue Design Development, Issued Shipyard Survey, Down-selected to Ingalls Shipyard, Signed Letter of Intent with ABB, Signed contracts with KMM and Tillberg Design, established line of credit with Equitable Bank

32. 2000 Signed Contract Design Agreement with Ingalls and started Contract Design, formed Strategic Alliance with Harbor Marine Systems, Hose-McCann Telephone Company, renewed favorable credit facility, in negotiations with ABB for financing, signed contract with ABB for contract design, participated in federal legislative and policy issues. Finalized Contract Design , Prepare and Submit Formal Title XI Application,

34. Houston planning meeting

35. David W Turner, SeaAmerica CEO