GLG News by Asphalt Experts

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Tobacco - The Regulatory Cash Cow

January 7, 2009

Coming Down on Tobacco | www.nytimes.com

1) Tobacco regulation has not reduced number of smokers 2) Increased taxes a key feature of regulatory schemes 3) Global rules are to benefit who - governments or smokers?

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Global Economic Downturn Primary Reason for Drop in Fuel Prices

January 6, 2009

GETTING THERE: Drop in gas prices only temporary | www.gazette.com

1) Basic Transportation infrastructure hasn't changed 2) Investment in alternative fuels needs to continue 3) Current volatility in supply costs has wiped out ethanol industry in US

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

The Ghost of Christmas (Just) Past

January 2, 2009

Retailers' holiday sales drop at least 5.5 percent | www.msnbc.msn.com

1) Retailers are going into extended period of struggling to survive 2) Consumer credit, the primary spending mechanism for mid and big ticket items, is broken 3) "Trading Down" is the consumer trend for 2009

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Fuel prices - the secondary market for most consumers second-most valuable property

December 11, 2008

Why Walmart's Winning: Gas Prices Pump up Retailer's Sales | adage.com

1) After a home, the auto is the second most expensive item most people own. 2) The up and down volatility in fuel prices is lowering demand, regardless of price 3) Fuel prices do impact mid and lower-mid income earners most dramatically

Gene Plavnik, President

Gene PlavnikPresidentHeat Technologies Inc What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Oil and Gas Exploration - It Is Not So Bad, After All

December 10, 2008

ABB Wins Offshore Contracts Worth $150M | www.oilandgasonline.com

1. There is global economic slowdown. 2. During the growth period a very strong equipment upgrade push/momentum was created. 3. This momentum eventually will be reduced, but it may take a while.

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Retail sales drop shouldn't be a surprise to most retailers.

December 5, 2008

Retailers see sales drop in dreary November | www.usatoday.com

1) Credit restrictions are going to inevitably lead to lower retail sales. 2) Economic news and what they experience has consumers nervous 3) Sales made at discount prices reduce top-line revenues, and"Super-Specials" on Black Friday create expectations of better sales.

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Circuit City Retrenchment delaying the inevitable

November 10, 2008

Circuit City Plans to Close 155 Stores | www.nytimes.com

Pulling out of Major markets a bad idea for long run outlook Last store remodel/refit wasn't successful Tried to become like Best Buy, but didn't try to better them

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Adjusting Menu Selection a Good Short Term Fix

October 27, 2008

Restaurants may change menus, hike prices | www.msnbc.msn.com

Customers are resisting higher prices Food prices will come down, but not rapidly Market the selections as new variety

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Soft Serve Won't Fix Soft Sales at Krispy Kreme

October 10, 2008

Krispy Kreme hopes ice cream heats up sales | www.msnbc.msn.com

The namesake product is out of synch with consumer trends Soft Serve Ice Cream adds a daypart, not a full profit center Quality as criteria in site selecton and Distribution key to success

Ronald Santicola, President

Ronald SanticolaPresidentCondevco LLC What is a GLG Leader?|The Gerson Lehrman Group&reg; (GLG) Leader Program<sup>SM</sup> is our premium Member Program<sup>SM</sup>. Those identified as GLG Leaders are in the top 5% of GLG CouncilRank and have an exclusivity agreement with GLG.

Sales Restrictions Won't Drop Tobacco Sales Volumes

October 3, 2008

PM USA v. Pharmacy Smokeout | www.cspnet.com

Legislation Restricts Drug Stores Unfairly Legislation Doesn't Make It Harder to find Cigarettes, just more Inconvenient  Smokers will easily adapt to Law; no consumption reduction

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