WHAT THE EVENT IS ALL ABOUT

1. WHAT THE EVENT IS ALL ABOUT

2. What’s the real score for 2014 It’s been with us for the last 17 years (1994 - 2013) Public clamor and expectations (hotels have been booked for February already) Estimates indicate some P500-M is infused into local economy during 4-day fiesta (@100,000 spectators) If nobody does it, somebody else will do it!

3. DOT proposes to take the lead in pursuing the conduct of the 2014 ballooning event • RD Tiotuico consulted Usec MVJ about the sudden cancellation; was told to seek advise from SRRJ • RD Tiotuico wrote SRRJ letter to pursue the event • SRRJ approved proposal with funding support on Dec. 3, 2013 • Proposal now elevated to TPB for funding allocation • Presentation to Usec MVJ and COO Chicoy on Jan 15, 2103 with agreement on the P5.6-M funding support / suggestion to revise logo design • RD Tiotuico signed contract with Mr. Steve Kim, a balloon pilot from Korea to undertake the project with 30 target number of balloons

4. What’s up for 2014? • Title of Event: PHILIPPINE INTERNATIONAL FRIENDSHIP BALLOON FESTIVAL (PFBF) • Dates and Location: April 10 – 13, 2014, Clark Freeport Zone Presented by: Philippine Friendship Balloon Festival, Inc. (PFBFI) • Partners: DOT / TPB, CDC, CIAC, 600th ABW (PAF)

5. Tagline “It’s more than just hot air…” (more vibrant activities on the ground: street dancing, cultural shows (Nayong Pilipino), live bands, quiz bee, cookfest, clowns, lechon festival, Robotics, car shows (limo and model cars, airsoft, Clark tours, etc.)

6. Objectives • To promote and develop Clark and Pampanga as the ballooning capital in Asia; • To foster unity and friendship among balloon pilots and balloon followers; • To attract more visitors into Clark and the province of Pampanga thru marketing and development of major activities such as ballooning and other air-sporting activities; and • To generate economic activity in and around Clark thru travel and tourism.

7. Support Organizations • Nayong Pilipino • Hotel and Restaurants of Pampanga (HARP) • Pampanga Agents Travel Society (PATS) • Alliance of Travel and Tour Agencies of Pampanga (ATTAP) • Assn of Tourism Officers of Central Luzon (ATOCEL) • Angeles City Tourism Office (ACTO) • Subic Clark Alliance for Development (SCAD) • Manila North Tollways Corporation (MNTC) • Clark Investors and Locators Assn (CILA) • Metro Angeles Chamber of Commerce (MACCII) • Angeles City Four Wheel Drive Club, Inc. (ACFWDC) • Angeles City Four Wheelers Club, Inc. (ACFWC) • Kite Team Philippines • Angeles Aviators (RC Aeromodelers)

8. Event Manager: Up for bids under www.philgeps.gov.ph Presented by: Philippine Friendship Balloon Festival, Inc. (PFBFI) Incorporators: Michael Palispis (ATOCEL), Mitch Otsuru (HARP), Gilda Padua (Ties That Travel / ATTAP), Carlo Ponti Zialcita (PRA), Lerma Quiambao (LQM Travel / PATS), Danilo Cerdena (Blue Voyage / PATS), Prisca Narciso (Metro Angeles Travel / PATS), Jose Moster (HARP) and Marcia Hernandez (Global Access / ATTAP)

9. Major Sponsors (TO BE CONFIRMED) • Philippine Airlines (airline tickets / cargo shipment) • San Miguel Corp. (food plaza / live bands etc) • Globe or Smart • Petron (fuel for balloons / chase crew) • Ginebra San Miguel • San Miguel Purefoods (hot dogs) • SMC Global Power • Marquee Mall / Ayalaland • Eurotel Intl / Widus Hotel & Casino / Century Resort Hotel (pilots’ billeting) • SM Supermalls

10. Event Components Air Show • Hot Air Balloon Friendship Flight (early morning) • Night Glow • Sky Diving Exhibition • Kite Flying Demonstration/ Lights in Flight (night kite flying) (Note: Korean Air Force Aerobatics Jetfighter Team is interested)

11. Special Events • Live bands • The Best of Central Luzon Festivals • Bartending / Flairtending Competition • Corporate Game Shows (airlines / ticketing offices) • Cultural Presentations • Arts and Crafts Demo • It’s More Fun Quiz Bee • Cook-off Competition / Lechon Festival • Car Shows • Fun Run • Airsoft Competition • Nightly Fireworks Display (DOT – R3)

12. It’s fiesta time! Trade booths (merchandising) Food Plaza (close to 400 tented booths)

13. Highlights • Expected to participate in the event are some 20 – 30 balloons from ASEAN, Europe and USA • DOT will seek the support of DOT overseas offices in extending invitation to balloon pilots nearest to our country • Will provide incentives for balloon pilots to participate: free airline tickets / free cargo shipment / free accommodation / food and souvenir items / awards / honoraria • Will solicit support from San Miguel / Petron / PAL / HARP / CILA for freebies • Will coordinate with CAAP / Bureau of Customs / NAIA / Immigration / DOT NAIA • Will solicit support of transportation groups / forwarder for delivery of cargo and pilots to Clark • Creation of an inter-agency committee (DOT, TPB, CDC, CIAC, 600th ABW, BOC, BID, CAAP, etc.) to handle operational plans (early release of balloon cargo, storage, etc.) • Mr. Steve Kim (a Korean veteran of ballooning for 30 years) – balloon event director

14. Who’s job is it? • Event Manager - Overall management of the ground events, secretariat, stalls, daily program, sponsorship packages, financial, website, ingress / egress, live coverage, concerts (San Miguel), press conferences, souvenir program, tickets, inter-agency committee organization • DOT R3- Philgeps , meals, promotions, secretariat, souvenir items, rooms for pilots, meals, fuel, manpower, uniform T-shirt, IDs, media screening, fireworks, plaques • HARP – Cook-off competition / sell tickets • PATS / ATTAP – More fun quiz bee, sponsors / sell tickets • ATOCEL – Street dancing, cultural, flairtending / sell tickets • Angeles City Four Wheel Drive – Chase crew • CDC – Traffic, safety, emergency, lights / electrical / water, fencing, F/A, portable toilets, parking • CIAC – Airport assistance / security • CAAP – Notice to Airmen (Notam) • PAF – Venue, security, exhibits

15. Income statement(revenues less expenses)

16. Expenses (breakdown) The rest of the expenses (P12-M) will be handled by sponsors and DOT R-3, e.g. battle of the bands, street dancing, cook-off, quiz bee, physical maneuvers, etc.)

17. Budget Proposal for TPB PAL may sponsor pilot’s airfare and balloon cargo. We may use the remaining funds for promotional and media programs.

18. What’s the deal?

19. It’s more than just hot air • Partnership by government and private sector • More activities on the ground • Air-conditioned tents • Event to be owned by the community

20. Entrance Fee P100 / person(some 100,000 people watch the event - equivalent to P10-M in gate receipts!)Children 3ft. below in height - FREEParking fee (cars and buses)P50 / car and P100 / bus

21. Sustainability is the key • Creation of a non-stock non-profit corporation composed of prominent members of tourism community (SEC-registered already as of Jan 17, 2014) • Key players: tourism stakeholders and major players • All monies earned from the operation of the project is retained by the organization • Nothing goes to pockets of trustees or directors (volunteerism) • The organization may commission services of job-order staff with salaries or wages • Revenues to be used for the same event in the future • To cancel the event is a national disaster • Other LGUs are interested to host the same event due to media and economic values it generates (Clark may no longer be viable in the future due to increased flight operations)

22. Issues and Concerns Does the former organizer have a proprietary ownership over the hot air balloon event? I believe no person can claim ownership over an event that is universal in nature like ballooning. The name / title of the event may be registered with DTI or patent office for proprietary reason but the event itself cannot be claimed by a single person. This is just like such events like Sto. Nino Festival or Lechon Festival. The same event with the same title is held in a number of places in the country. Our event title PFBF is already registered with DTI. In fact it was the DOT thru former Secretary Dr. Mina Gabor who first owned the event. It was then turned over to the private sector after three years. Now we are taking the cudgels in the meantime though in some countries, ballooning takes place twice a year.

23. Issues and Concerns Who is organizing the event? Initially, the Department of Tourism – Region III is taking the lead in preparing for the 2014 ballooning event to establish the foundation for a well-oiled machinery like crafting proposals, work program, budgetary requirements, organizational structure, among other details. Right now, a non-stock, non-profit private corporation has been registered with SEC to handle the business side and operation of the project for sustainability. No single cent will get into the pocket of a single person. Income will be used for future events. In other ballooning countries the event is organized by both government and private sector. The event in Albuquerque, New Mexico, USA is run by private non-profit organization (www.balloonfiesta.com) with government support. The Vietnam Intl Hot Air Balloon Fiesta is run by BinhThuan Province People’s Committee, Department of Culture, Sports & Tourism and ChienThang Company Limited (www.thevietnamguide.com). Saga Balloon Intl Balloon Fiesta is run by private corporation with support from Saga-City Promotions Office (http://www.sibf.jp/).

32. What needs to be done • Endorsement from DOT to CAAP for issuance of NOTAM / permit to fly from PAF hangar site; • Endorsement from DOT to PAF for issuance of permit to use their site as the venue; • Financial support from DOT / TPB as start-up capital; and • Technical support from DOT (marketing and media values).

33. If given the chance, the event will enhance the image of this country as a destination for ballooning and air-sporting events! More fun, more tourists! If nobody does it, someone else will do it!Thank You!