2010 FIFA World Cup Online Media Analysis Refresh

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    2010 FIFA World Cup South Africa

    Changes in Public Perception Mar09 to Mar10

    May 2010

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    Refreshed online media analysis andcompared results to 2009 How haveglobal perceptions of South Africachanged over the last year as the eventdraws near?

    Summarized actions taken by SouthAfrica to address key concerns andprepare to host the historic event

    Online Media Refresh, Mar 2010 Mobile Survey, Aug 2010

    Conducted an analysis of online mediacoverage around the global perceptionsof South Africa hosting the 2010 WorldCup

    Identified key issues facing the countryand developed case examples of howother countries managed publicperception surrounding similar globalevents

    Mobile survey to be conducted in SouthAfrica, Brazil, Germany, China, the US,and the UK pre/post the 2010 WorldCup Analyze the impact of the event on

    South Africa and its performance asthe host nation (how well theyaddress the challenges)

    Coming

    Soon

    Grail Researchs Coverage of the 2010 FIFA World Cup

    Note: Link to report - Online Media Analysis, Mar 2009

    Online Media Analysis, Mar 2009

    http://www.grailresearch.com/pdf/ContenPodsPdf/Online_Media_Analysis_of_the_2010_FIFA_World_Cup.pdfhttp://www.grailresearch.com/pdf/ContenPodsPdf/Online_Media_Analysis_of_the_2010_FIFA_World_Cup.pdf
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    2010 FIFA World Cup South Africa

    Executive Summary

    South Africa seems to have made significant progress in turning around public perceptions on its ability to host the2010 FIFA World Cup. This is a unique opportunity for the country. We wish South Africa the best of luck and will be

    back with more analysis in August after the event

    The 2010 FIFA World Cup is a historic event for South Africa and the African continent. It is the first event ofits kind to be hosted by an African nation

    South Africa invested more than $3.7 Bn to construct and renovate stadiums, upgrade infrastructure, andcreate a safe environment for the games and the estimated 450,000 spectators

    Grail Research conducted an analysis of global online media sources in March 2009 to understand theperception of South Africa as the 2010 FIFA World Cup host nation

    Key issues observed were: Security Concerns, Infrastructure Readiness and Impact on Tourism

    Through a refresh of the online media analysis in March 2010, we observed significant improvement inpublic perception. This may be attributed to actions taken by the country in preparation for the event

    South Africa has taken a number of steps to strengthen security and has received international acclaimfor the measures put in place for the event

    10 stadiums for the 2010 World Cup matches are complete (or close to completion); South Africa hasexpanded and upgraded its airport capacity and road-transport infrastructure to accommodate the influxof tourists

    The International Marketing Council of South Africa and South Africa Tourism have launched multiplecampaigns to promote the 2010 FIFA World Cup along with tourism for the region

    The FIFA Confederations Cup in June 2009, a preliminary event, was a success and South Africademonstrated to the world that it is ready for the World Cup

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    Table of Contents

    Online Media Analysis the Approach

    Analysis of Key Issues Related to the 2010 World Cup

    Steps Taken by South Africa to Address the Key Issues

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    We have conducted several online media studies

    across sectors, in the past:

    1. Analysis of user/expert opinion on a new web browserwithin the first week of launch

    2. Analysis of user/expert opinion of a new mobile product togauge its reception and success in the market

    3. Similar studies in other research areas including:

    healthcare, beverages, automobiles and technology

    Provides organizations with:

    1. Immediate and real-time public reactions to an event/issueat a global level

    2. Insight into the most significant areas of public concernregarding an event/issue

    3. Longitudinal view of the change in perception over time

    1. Gain insight into public perception about an event/issue

    2. Deepen the understanding of public perception on the basisof regions or themes

    Listen and learn through online media to gain insight into public perception about an issue and track itlongitudinally over time

    What can be learned by analyzing online media?

    ONLINE

    COMMUNITIES

    PRODUCT

    REVIEWS

    B LOGS FORUMS

    EDUCATION SOCIAL

    NETWORKING

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    Our Approach to Analyzing Online Media

    Conducted research across blogs and otheronline media sources related to the 2010

    FIFA World Cup Reviewed ~4,000potentially relevant articles to select andanalyze about 200

    Focused analysis on English-based sources

    Considered articles between March 2009 March 2010 for the refresh (the March 2009analysis considered articles betweenJanuary 2008 February 2009)

    Objective: Analyze online media to evaluate public perception of South Africa as the 2010 FIFA World Cuphosting nation

    Compare and AnalyzeSearch Categorize

    Categorized comments, opinions andreviews into different themes

    Iterated to refine these themes into finalcategories, namely security concerns,infrastructure readiness, impact ontourism and political agitation risk

    Compared data within each categorybetween the March 2009 study and the

    current study for interesting shifts andinsights

    Identified actions taken by South Africa thatmay have had an impact on the globalperception

    Number of unique URLs onthe Web

    # of sources visited and

    reviewed

    # of sources usedfor final analysis

    ~2MM**

    ~4,000

    200

    ~1 Tr*

    # of sources discussing World Cup2010

    Note: *Data as of July 2008 from Googles off icial blog; **Number estimated using Google search engine

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    Table of Contents

    Online Media Analysis the Approach

    Analysis of Key Issues Related to the 2010 World Cup

    Steps Taken by South Africa to Address the Key Issues

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    Global perception of South Africa hosting the 2010 World Cup has improved over the last year. People aremore confident about security arrangements and infrastructure readiness the two biggest issues observedin the March 2009 study

    Mar 10Mar 09

    -100% -50% 0% 50% 100%

    Impact on Tourism 67%-33%

    Infrastructure Readiness

    Security Concerns -57%

    -53%

    43%

    Overall

    47%

    -52% 48%

    Total # of Opinions (121)

    -23%

    -100% -50% 0% 50% 100%

    Total # of Opinions (95)

    -56% 44%

    -70%

    -58%

    77%

    42%

    30%

    Positive Opinions

    Negative Opinions

    Analysis of Key Issues

    Summary

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

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    Mar 09(# 46)

    Mar 10(# 69)

    South Africa has taken several measures to boost security during the World Cup. They will have in place a

    dedicated police force of 41,000 officers, 40 helicopters for aerial surveillance, special riot police teams and a

    24x7 multi-lingual hotline

    Interpol, the global police organization, has given its assurance that the strictest security measures are in

    place for the 2010 FIFA World Cup in South Africa MediaClubSouthAfrica.com

    South Africa successfully hosted the 2009 FIFA Confederations Cup and other sporting events (the 2009

    Indian Premier League) without any security lapses or issues

    Analysis of Key Issues

    Security Concerns

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

    Actions Taken by South Africa to Address Security Concerns

    Crime will increase during WC

    SA has serious security concerns

    Current security situation is not very bad

    Increased security will ensure safety

    -75%

    -60%

    -45%

    -30%

    -15%

    0%

    15%

    30%

    45%

    -13%

    -43%

    29%

    15%

    -11%

    -58%

    20%

    11%Pros

    Cons

    There is no need for anyone to be afraid of coming to South Africa to watch or play in the World Cup. I believeit will be a fantastic experience (January 2010)

    Years of security planning for the World Cup in South Africa mean there is little chance of a surprise attacksimilar to the one on Togo's soccer team at the African championship in Angola (January 2010)

    Fans will be vulnerable no matter how much the South Africans beef up their security and even one life lostwill spell disaster for the World Cup (January 2010)

    The biggest problems that fans will face in South Africa are violent crime from the local population, theft,corruptionjust to name a few (November 2009)

    %o

    fOpinion

    s

    Time of Analysis

    # of OpinionsWhat are people saying?

    Perception of security in South Africa has witnessed a shift over the last year, indicating that measures takenby the country are having a positive impact

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    -60%

    -40%

    -20%

    0%

    20%

    40%

    60%

    9%

    -22%

    -33%

    28%

    17%

    -15%

    -38%

    38%

    South Africa initiated several programs to improve its infrastructure and provide world class facilities to visitors

    and spectators of the 2010 World Cup

    Five new stadiums have been constructed or are at an advanced stage of completion by the end of 2009

    Public transportation systems have been added and/or improved. An example is the Rea Vayabus rapidtransit system in Johannesburg

    The country also invested in improving its air-transport infrastructure airports in Cape Town and othercities have been refurbished or expanded

    Analysis of Key Issues

    Infrastructure Readiness

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

    Actions Taken by South Africa for Infrastructure Readiness

    Pros

    Cons%

    ofOpinion

    sI have been to South Africa and its an amazing country. Its infrastructure is first world; the roads compare to those found

    in major European nations, airports are even better than most European ones, underground tunnels are underconstruction, amazing tourist facilities and even their own resort that rivals Las Vegas (Sun City) ( January 2010)

    Major concern for a lot of people has been if the stadiums will be ready by the time the world cup starts in June next year.At the moment, luckily, it looks like they dont need to worry anymore (September 2009)

    The decision to put the World Cup in Africa was then, and still is a ridiculous gamble! The infrastructure, transportationand pitches in SA are today inadequate to hold the tournament (November 2009)

    the anticipated roll-out of an ambitious transport infrastructure intended to facilitate the effective flow of traffic in themajor cities during 2010 appears, at this stage, that it will at best have a 'barely ready' status by June next year(November 2009)

    Completion of infrastructural plans for WC is doubtful

    Existing infrastructure in SA is very poor

    Infrastructural progress is as per schedule/satisfactory

    New infrastructure will leave a legacy for SA after WC

    Mar 09(# 36)

    Mar 10(# 34)

    Time of Analysis

    # of OpinionsWhat are people saying?

    There has been some improvement in perception of infrastructure readiness' in South Africa to host the 2010World Cup, but opinions continue to be mixed

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    -40%

    -20%

    0%

    20%

    40%

    60%

    80%

    -11%-5%

    -17%

    56%

    11%

    -8%

    -15%

    39%

    23%

    15%

    South Africa launched aggressive marketing campaigns covering all media TV, print, web, and outdoor to

    promote tourism in the country around the 2010 World Cup

    They also launched a new campaign that is broader than the World Cup South Africa, Its Possible showcasing a range of experiences that visitors can have on a vacation to South Africa

    The country is also offering targeted promotions such as free trips to South Africa for tourists to the country,

    and has relaxed requirements for obtaining a visa

    South Africa is providing free visas (on entry) to football fans who have tickets to the 2010 FIFA World Cup, inorder to alleviate after-effects of the financial crisis of 20082009

    Analysis of Key Issues

    Impact on Tourism

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

    %o

    fOpinions

    Next years football World Cup being held in venues across South Africa is anticipated to boost tourism to neighboring

    African nations, including Zimbabwe which is eager to regenerate its tourism industry (February 2010)

    As South Africa gears itself up for the upcoming World Cup in June, the country has seen a sharp increase in businessesholding conferences in the area. The World Cup in June and July is expected to attract football fans from all over theworld as they bid to watch their country in action (February 2010)

    the BBC's Jonah Fisher, in Johannesburg, says FIFA are clearly disappointed at the number of people planning totravel to the tournament (January 2010)

    Personally, I don't know anybody who is going and the general mood is definitely not positiveMost people change theirplans about visiting SA when they are reminded of the WC i.e., they go to Namibia or change their dates (June 2009)

    What are people saying?

    Cons

    Pros

    Global economic crisis will reduce # of WC tourists

    Tourism industry will experience high growth due to WC

    Global economic crisis will not impact # of WC tourists

    Other than WC, SA has a lot to offer to tourists

    Tourism is not shaping up well

    SA should undertake more promotional activities Increase in tourism due to WC is not sustainable

    Security concern may affect tourism

    Mar 09(# 13)

    Mar 10(# 18)

    Time of Analysis

    # of Opinions

    Actions Taken by South Africa to Promote Tourism

    South Africa has taken several measures to promote tourism and maximize the impact of the 2010 FIFA WorldCup. However, concerns persist that the global financial crisis will curb tourism and travel to the country

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    Analysis of Key Issues

    Perceptions in South Africa vs. Rest of the World, Mar 10

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

    Comparison of Public Perceptions Mar 10

    -100% -50% 0% 50% 100%

    60%-40%

    64%-36%

    55%-45%

    Total # of Opinions (44)

    Positive Opinions

    Negative Opinions

    South Africa Rest of the World

    -100% -50% 0% 50% 100%

    -61%

    Total # of Opinions (77)

    Infrastructure Readiness 35%

    Impact on Tourism 75%-25%

    Security Concerns 39%

    -65%

    South Africans are more optimistic about their nations ability to address security concerns and prepare for the2010 World Cup; however, they are less optimistic about the impact on tourism, relative to people from othernations

    A l i f K I

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    Analysis of Key Issues

    Change in Perceptions in South Africa Mar 09 vs. Mar 10

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

    -100% -50% 0% 50% 100%

    Total # of Opinions (44)

    -40%

    Infrastructure Readiness

    55%-45%

    -36% 64%

    Security Concerns

    60%Impact on Tourism-22%

    -20%

    -100% -50% 0% 50% 100%

    Total # of Opinions (38)

    78%

    80%

    -64% 36%

    Analysis of Change in Perceptions in South Africa

    Mar 09 Mar 10

    Positive Opinions

    Negative Opinions

    Interestingly, as the 2010 World Cup draws near, South Africans seem to be less optimistic about their nationsreadiness to host the event and its impact on tourism in the country

    A l i f K I

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    Analysis of Key Issues

    Change in Perceptions in Rest of the World Mar 09 vs. Mar 10

    Source: Grail Research Analysis of Various Blogs, Forums and Articles

    Analysis of Change in Perceptions in the Rest of the World

    Mar 09 Mar 10

    -100% -50% 0% 50% 100%

    Impact on Tourism 75%

    35%-65%

    -25%

    Security Concerns 39%

    Infrastructure Readiness

    -61%

    Total # of Opinions (77)

    19%

    -100% -50% 0% 50% 100%

    -25%

    28%

    75%

    -81%

    -72%

    Total # of Opinions (57)

    Positive Opinions

    Negative Opinions

    Perception of people in other countries regarding South Africas readiness to host the event seems to haveimproved over last year, potentially due to the countrys advertising and marketing campaigns

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    Table of Contents

    Online Media Analysis the Approach

    Analysis of Key Issues Related to the 2010 World Cup

    Steps Taken by South Africa to Address the Key Issues

    St T k t Add K I

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    The government has deployed a dedicated force of 41,000 officers for the World Cup. It is spending ZAR 665 MM (~ USD 80 MM) to upgradeand procure security equipment such as an unmanned surveillance aircraft, helicopters and crowd-control equipment

    A 24x7 multi-lingual helpline has been set up to assist visitors with any security or health emergency issues during the event

    South Africa plans to closely work with its neighbors and deploy its National Defense Force to ensure border security during the event

    President Zuma of South Africa indicated that "Additional funds of more than ZAR 1 Bn have been allocated for safety and security matterswhile he was addressing media on security issues for the event

    The security plan developed by South Africa for the 2010 FIFA World Cup has been approved by experts from the 32 participating nations and188 Interpol member countries

    According to a security expert from Germany's Parliament, South Africa has taken security precautions of the highest standard for the 2010FIFA World Cup

    Source: Grail Research Analysis; Brand South Africa; Official Website for 2010 FIFA World Cup; IOL; Times Live; Mail and Guardian Online; SouthAfrica.info

    South Africa has taken a number of steps to strengthen security and has received international acclaim for themeasures that have been put in place for the 2010 World Cup

    Steps Taken to Address Key Issues

    Security Concerns

    Security Measures

    St T k t Add K I

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    South Africas Department of Transport developed a 2010 TransportAction Plan that included a number of national road projects:

    The N1 and N2 Toll Highway in the Western Cape

    The Gauteng Freeway Improvement Scheme that will also includeintelligent transport systems for traffic management

    Transportation projects are also being implemented at the city level:

    Bus Rapid Transit (BRT) system the Rea Vaya (We are going)project in Johannesburg is in its final phase

    Two other BRT systems from Tshwane to Pretoria and NelsonMandela Bay to Port Elizabeth are in progress

    "We have emphasized that the FIFA World Cup is not only about sport,it's also about transport Minister of Transport, South Africa

    Source: Grail Research Analysis; Brand South Africa; SA 2010; IOL; South Africa Tourism; China.org; iAfrica; Reavaya website (for picture)

    The Airport Company South Africa (ACSA), has allocated ZAR 19.5 Bn(~ USD 2.3 Bn) to expand airport infrastructure. Some projects include:

    The OR Tambo International Airport was revamped and extended toinclude a new terminal, which opened in April 2010

    The Cape Town International Airport and Durban InternationalAirport have been upgraded

    A new international airport King Shaka International Airport inDurban is expected to begin operations in May 2010

    Domestic airports in Bloemfontein, East London, Upington, andKimberley are being upgraded to accommodate larger traffic

    According to the ACSA, work at all the airports was close to 90%complete in March 2010

    Infrastructure Readiness

    Road TransportAir Transport

    South Africa has expanded and upgraded its airport capacity and road-transport infrastructure to cater to theinflux of tourists for the 2010 FIFA World Cup

    Steps Taken to Address Key Issues

    Infrastructure Readiness Transportation

    St T k t Add K I

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    Source: Grail Research Analysis; Brand South Africa; SA 2010; IOL; South Africa Tourism; China.org; iAfrica

    The government conducted a national audit in December 2009 toensure accommodation availability for visitors during the World Cup

    According to the survey, there are over 200,000 rooms available forthe event, enough for the expected visitors (~450,000)

    An online booking portal, www.Rooms4U.travel, using data from thisaudit, has been created as a joint initiative between tourism andhospitality organizations

    In March 2010, the National Department of Tourism commissioned astudy to check and ensure fair pricing of hotel rooms in the country

    The study showed that 74% of all hotels in the country will becharging a premium less than 50% above their highest rate for 2010,and half of all establishments will not be charging a premium at all

    South Africa revamped five existing stadiums for the World Cup:

    Soccer City Stadium (Johannesburg), Ellis Park Stadium(Johannesburg), Loftus Versfeld Stadium (Pretoria), Royal BafokengSports Palace (Rustenburg), and Free State Stadium (Bloemfontein)

    It also built five new stadiums with a combined capacity of ~276,000:

    Moses Mabhida Stadium (Durban), Cape Town Stadium (CapeTown), Mbombela Stadium (Nelspruit), Peter Mokaba Stadium(Polokwane), and Nelson Mandela Bay Stadium (Port Elizabeth)

    Based on FIFA inspection in March 2010, stadiums are expected to beready well in advance of the event. Johannesburgs Soccer City Stadium(venue for opening and closing games) is already complete

    Infrastructure Readiness

    AccommodationStadiums

    The stadiums for the 2010 World Cup matches are complete (or close to completion); and lodging capacity inthe country is expected to be sufficient to meet the needs of travelers at the time of the event

    Steps Taken to Address Key Issues

    Infrastructure Readiness Stadiums and Accommodation

    Steps Taken to Address Key Issues

    http://www.rooms4u.travel/http://www.rooms4u.travel/
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    South Africa established the International Marketing Council (IMC) of South Africa in 2002 to help create a positive and compelling brand imageof the country. IMC has launched various campaigns to improve the South African brand, including:

    Targeted campaigns in cities such as London by branding traditional British taxis with South Africa Alive with Possibility logos

    Media programs in which the IMC hosted editors and journalists from the UK, India, and the US, who then published multiple articles onSouth Africa on their return

    Launch of new web portals, Southafrica.info and MediaClubSouthAfrica.com, to help brand the country and share the countrys success.These portals are also available in different languages, on mobile platforms and social networking sites such as Facebook

    The National Communication Partnership program initiated by the IMC to ensure a coordinated marketing and communication campaign inthe build-up to 2010, in order to maximize tourism and foreign investment opportunities

    To promote the event and alleviate the effect of the financial slowdown, South Africa is providing free visas (on entry) to football fans who havetickets to the 2010 FIFA World Cup

    IMCs marketing and promotion expenditure was USD 13 MM in 2009, an increase of 30% from their 2008 expenses

    Source: Grail Research Analysis; The International Marketing Council of South Africa; South African Tourism; SouthAfrica.info; MediaClubSouthAfrica.com

    The International Marketing Council of South Africa and South Africa Tourism have launched a number ofcampaigns to promote the 2010 FIFA World Cup along with tourism in the region

    Branding South Africa

    Steps Taken to Address Key Issues

    Promoting South Africa

    The Results So Far

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    The Results So Far

    South Africas Success in Hosting Other Sporting Events in 2010

    Source: Grail Research Analysis

    South Africa hosted the Confederation Cup in June 2009. The total attendance was 584,894 spectators, with an average of36,556 spectators each day. This was higher than that witnessed at previous tournaments in S. Korea, Japan and France

    It was very important to have the FIFA Confederations Cup as it gave us the opportunity to test the systems and how thingsshould work. We have learnt so much from the tournament and we can say without hesitation that the FIFA ConfederationsCup was a success Onke Mjo, Volunteer Programme Manager, 2010 FIFA World Cup Organizing Committee, South Africa

    South Africa enjoyed a record attendance of 79% across all of its FIFA Confederation Cup matches making ours the bestConfeds Cup ever. This leads us to believe that South Africa may even be able to host the best FIFA World Cup ever AdamBrown, Senior Operation Manager for Match Event Services

    South Africa successfully hosted the Indian Premier League (IPL) in AprilMay 2009

    The event was very successful, considering that it was shifted to South Africa at a very short notice (3 weeks before theschedule) because of security concerns in India (with the national elections scheduled at the same time and the Mumbaiterrorist attacks a few months prior to the event)

    South Africa was chosen over the UK to host the IPL due to better arrangements and favorable conditions for the event

    The ICC Champions Trophy, SeptemberOctober 2009, was another success, which was organized efficiently by the CricketSouth Africa (CSA) in coordination with the South African Government

    The CSA Boards decision to accept the financial model from the ICC to host the ICC Champions Trophy means that SouthAfrica has yet another jewel in its crown of hosting a major international sports event.We in recent times have successfullystaged two International Cricket Council (ICC) World Cups, for men and women; the inaugural ICC Twenty20 Championship,the 2009 Indian Premier League (IPL), and the ICC Champions Trophy Gerald Majola, CEO, Cricket South Africa

    In 2009, South Africa successfully hosted three major sporting events: the FIFA Confederations Cup, theIndian Premier League, and the ICC Champions Trophy

    FIFAConfederation

    Cup South Africa2009

    DLF IndianPremier League

    2009

    ICCChampionsTrophy 2009

    Having successfully hosted these major sporting events in 2009, South Africa has proven to the world that they

    are ready for the 2010 FIFA World Cup

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    For More Information Contact:

    Grail Research([email protected])

    Copyright 2010 by Grail Research, LLC

    No part of this publication may be reproduced, stored in a retrievalsystem, or transmitted in any form or by any means electronic, mechanical, photocopying, recording, or otherwise withoutthe permission of Grail Research, LLC