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Jose Blanco Source Logistics

Jose Blanco Source Logistics. Current Board of Directors Member, Source Logistics Former Regional Vice President and CIO, AIG Investment Corporation (AIGIC) Former CFO for a $500 million HR outsourcing company Taught graduate-level finance course at St. Mary’s College of California

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Jose Blanco Source Logistics

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  1. Jose BlancoSource Logistics • Current Board of Directors Member, Source Logistics • Former Regional Vice President and CIO, AIG Investment Corporation (AIGIC) • Former CFO for a $500 million HR outsourcing company • Taught graduate-level finance course at St. Mary’s College of California • Consulted for medium-sized financial services, insurance, healthcare and advertising firms in the United States and abroad

  2. LAREDO AS THE STRATEGICGATEWAY TO AND FROM THE US 2

  3. U.S.-Mexican Trade Trends • U.S.-Mexican Trade has grown from $81B in 1993 to $332B in 2006, or 11.46% annually • 80% of all Trade is via Truck • The commitment to the NASCO Corridor will enhance the importance of key Texas/ Mexico Ports of Entry • The levels of trade between both countries is expected to grow 5 to 8% annually, SOURCE: U.S. Department of Transportation, the Texas Department of Transportation and the City of Laredo

  4. Laredo as a Land Port Laredo has distinguished itself as the leading land Port for Mexican exports to the U.S. SOURCE:U.S. Department of Transportation, the Texas Department of Transportation and the City of Laredo

  5. U.S. – Mexican Trade Is and will be truck based SOURCE: U.S. Department of Transportation, the Texas Department of Transportation and the City of Laredo

  6. Laredo: Key Point of Entry Laredo is the entry point as the NASCO Corridor fully develops

  7. John WestonCaseStack, Inc. • Current Vice President of Sales and Marketing, CaseStack, Inc. • Former Vice President of Marketing, Sales and Pricing, FedEx Freight • Former Director of Business Development, Catalina Marketing Corporation • Former Business Development Director of Marketing and Sales, Mars.

  8. Consolidation Expansion - Laredo Increasing the Scope of the CaseStack Consolidation Program

  9. CaseStack Consolidation Core Competency Consolidation Programs Wal-Mart Other Retailers 5 Warehouse Program 1 Warehouse Program Laredo Toronto (Jan ’09) US > MX Southbound (future)

  10. Benefits For Wal-Mart Suppliers • Full Truck Load Pricing • Simplified Supply Chain • Improved MABD Compliance • Improved Product In Stock • Sustainability – Best Practice

  11. Benefits For Wal-Mart • Reduced Order Lead-time (7 – 10 days) • Improved – Consistent MABD Performance • Improved In-Stock Compliance • Reduced Inventory at DC’s and Stores • Increased Turns • Decrease Inbound Trucks at DC’s • Sustainability – Best Practice

  12. Retailer-Driven Consolidation Annual Consolidation Savings

  13. Laredo Consolidation Program: Gateway from Mexico Designed for Mexican manufacturing companies Most efficient supply chain into Wal-Mart from Mexico

  14. Marcelo SadaSource Logistics • Current President and CEO, Source Logistics • Founded Source Logistics in 1999 • Handles shipments from Central America, Argentina, Brazil, Columbia and Peru

  15. Source Logistics and the Strategic Alliance with CaseStack

  16. History • Created in 1999 with the goal in mind to be the first and only logistics company with its niche Concentration on consumer goods coming into the Hispanic Market of the US • Strategic locations across the US entry ports • Committed to listen, develop and implement complete logistics solutions for our market • Customer driven company

  17. Hispanic Population Figures • According to the 2000 US Census Bureau, the Hispanic population is 13 percent of the total U.S. population, and has increased 288% over the past 20 years. • Hispanics are the largest and fastest growing minority group. • Hispanic buying power is expected to reach $1 trillion by 2010* • 5th largest Hispanic population in the world. • Hispanic products are making a crossover to the Anglo market. • *information from Hispantelligence

  18. Hispanic Market Distribution Trends • Current trends are making the distribution of products harder for manufacturers, and most companies have to rely on 3PLs to achieve their goals in supplying their customers • Limited Capacity at Distributor’s warehouses • More new products going into the same retail Space • Increased amount and variety of Hispanic products • Inventory expenses go to the manufacturers • Distributors and Retailers are going away from the financing of inventories • Smaller and more Frequent shipments • Diversification of the Hispanic Market across the US and crossover to the Anglo Market • Decentralization of the distributor location • Higher fuel and transportation cost makes stocking inventory more advantageous

  19. Strategic Alliances / Parties Source Logistics due to its niche concentration and knowledge of the Hispanic Market (abroad and in the U.S.) has earned great reputation, name-brand recognition and trust to become the number one choice for Hispanic companies. Case Stack, has become an industry leader in logistics solutions, including a strong consolidation program for major retailers as Wal-Mart among others.

  20. Alliance That Make Sense • Solutions for Hispanic Companies = Source Logistics • Consolidation Pool Program = CaseStack • Hispanic Consolidation Pool Program out of Laredo, TX

  21. Mexico Logistics Symposium Our Sincere Thanks to: The Arkansas World Trade Center League of United Latin American Citizens Bancomext AG International CaseStack Source Logistics University of Arkansas For more information on the CaseStack consolidation program, please contact John Weston at 310-473-8885 or jweston@casestack.com

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