SPACEPORT AMERICA OVERVIEW

August 1, 2014

CHRISTINE ANDERSON Executive Director New Mexico Spaceport Authority

SPACEPORT AMERICA IS THE WORLDS FIRST PURPOSE-BUILT COMMERCIAL SPACEPORT

OWNED AND OPERATED BY A STATE OF NM AGENCY (NMSA)

$218.5M STATE INVESTMENT FOR DEVELOPMENT

1300+ JOBS GENERATED TO DATE

TWO LAUNCH TENANTS: VIRGIN GALACTIC AND SPACEX PLUS OTHER CUSTOMERS

20 LAUNCHES TO DATE

OVER 50% OF OPERATIONS BUDGET HAS BEEN COVERED BY REVENUE FOR PAST 3 YEARS

Goal: to be self-sustaining and a NM economic engine while inspiring visitors, particularly students

QUICK FACTS

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58-31-1 ET SEQ. NMSA 1978 ESTABLISHED NEW MEXICO SPACEPORT AUTHORITY (NMSA) ON JULY 1, 2006 TO PLAN, DESIGN, DEVELOP,

FINANCE, CONSTRUCT, EQUIP AND OPERATE A SPACEPORT IN NM

BROAD POWERS INCLUDING: Make and execute all contracts as necessary Charge for services Issue bonds Borrow money and secure debt via mortgage of state buildings

MONEY IN SPACEPORT AUTHORITY FUND IS APPROPRIATED AND NON-

REVERTING, PER 58-31-17 (A)

SPACEPORT DEVELOPMENT ACT

NMSA BOARD OF DIRECTORS

Rick Holdridge - Chair

Irvin Diamond

Paul Deason Christine Anderson

David Buchholtz

Sid Gutierrez Jerry Stagner

Laura Conniff

Lt. Gov. John Sanchez

BOD AUDIT COMMITTEE Irvin Diamond, CPA

Jerry Stagner

David Buchholtz, Esq.

NMSA STAFF Doreen Sieburg, CFO

Belinda Lucero, ASD

Aaron Prescott

ANNUAL INDEPENDENT AUDIT

NMSA FINANCIAL OVERSIGHT & SUPPORT

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TOURISM

2 major lines of business both are needed for long-term success

BUSINESS MODEL

VERTICAL AND HORIZONTAL SPACE LAUNCH

TOURISM

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CHALLENGE: BUILD A SPACEPORT HERE

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SUCCESS!

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GATEWAY AT SUNRISE

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GATEWAY TO SPACE

GATEWAY AT SUNSET

SPACEPORT AMERICA IS A SELF-CONTAINED CITY

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WASTEWATER TREATMENT PLANT

1.3M GAL WATER STORAGE & BOOSTER STATION

COMMUNICATIONS SYSTEM AWOS III WEATHER STATION

FUEL STORAGE DEPOT 12,000 FT SPACEWAY 16-34

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EMERGENCY RESPONSE VEHICLES

SPACEPORT AMERICA ATTRIBUTES

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FAA Licensed Spaceport 18,000 acresroom for many tenants Great weather with low humidity High elevation Suborbital trajectories proven Orbital trajectories possible Horizontal and Vertical Launches supported Affordable launch costs Customized service based on customer needs

20 Vertical launches to date from Spaceport America

Preparing for SpaceX F9R Preparing for Virgin Galactic first flight UP Aerospace scheduled for October 2014 Others in discussion Gateway Gallery to open January 2015 New Security/Front Gate to be completed in February 2015 Visitor Center Departure Point to open in December 2015

STATUS

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VISITOR EXPERIENCE (VE) OVERVIEW

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FUN, IMMERSIVE, INTERACTIVE

SCIENCE, TECHNOLOGY, ENGINEERING & MATH EDUCATIONAL FAMILY EXPERIENCES

HIGHLY PERSONALIZED

BROAD INDUSTRY PARTICIPATION

UNIQUE GLIMPSE INTO THE FUTURE OF TRANSPORTATION

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VISITOR EXPERIENCE COMPONENTS

To be completed in FY16

SHUTTLE TRANSPORTATION Mobile theater

1-hour inbound / outbound journey to & from Spaceport

FLIGHTLINE TOUR/GATEWAY GALLERY 1-hour escorted Spaceport property tour, including Virgin Galactic Gateway To Space (4,000 sq.ft.)

SPACEPORT VISITOR CENTER Starting point for Visitor Experience in T or C

6,000 sq.ft. transportation & story hub near highway

VISITOR CENTER DESIGN

VISITOR CENTER SHOW CONTENT

VISITOR CENTER CONSTRUCTION

GATEWAY GALLERY DESIGN

GATEWAY GALLERY SHOW CONTENT

GATEWAY GALLERY FIT-OUT

HOSPITALITY MANAGER RFP

VISITOR EXPERIENCE STATUS

FUNDED NOT FUNDED

$20M* NMFA LOAN SOUGHT 2012

RFP FOR THIRD PARTY DEVELOPER WITH NMSA LEASE BACK 2013

$20M* PRIVATE LOAN SOUGHT 2013 $6.5M NMFA LOAN NOW BEING SOUGHT 2014

T OR C VISITOR CENTER FINANCING

*Included Visitor Center in T or C and On-site Visitor Complex

APPROX. $6.5M TO CONSTRUCT T OR C VISITOR CENTER; INCLUDING LAND PURCHASE, CONSTRUCTION, LANDSCAPING, CONSTRUCTION AND ARCHITECTURAL ADMINISTRATION, ARCHAEOLOGICAL MITIGATION AS REQUIRED.

PROPOSED SOURCES OF LOAN PAYMENT: GRT EXCESS PLEDGED REVENUE AND/OR VG LEASE PAYMENTS

SARSD BOARD APPROVED USE OF GRT EXCESS PLEDGED REVENUE ON JUNE 27, 2014

NMSA BOARD APPROVED USE OF GRT EXCESS PLEDGED REVENUE AND/OR VG LEASE PAYMENTS ON JULY 1, 2014

NMFA LOAN

NMFA LOAN DETAILS

TOTAL LOAN AMOUNT OF$7,271,770 $6.5 M project amount, $717,231.14 reserve account $54,538.28 NMFA fee

INTEREST RATE OF 3.392% 13 YEAR TERM

ANNUAL DEBT SERVICE PAYMENTS OF ~$717,230 Primary Coverage: GRT Excess Pledged Revenue Secondary Coverage: VG Lease

Jun 23, 2014 3:08 pm Prepared by New Mexico Finance Authority (Finance 7.009 DBCLessons:NNMSPACE-PPGRT) Page 1

SOURCES AND USES OF FUNDS

New Mexico Spaceport AuthorityTBD-PP Visitor Center & Parking

Sources:

Bond Proceeds:Par Amount 7,271,770.00

7,271,770.00

Uses:

Project Fund Deposits:Project Fund 6,500,000.00

Other Fund Deposits:Reserve Account 717,231.14

Delivery Date Expenses:NMFA Fee 54,538.28

Other Uses of Funds:Additional Proceeds 0.58

7,271,770.00

NMFA LOAN PROCESS

JUNE 27, 2014

JULY 1, 2014

AUGUST 28, 2014 ?

SEPTEMBER 11, 2014 ?

SEPTEMBER 16, 2014 ?

Time is of the essence

SARSD BOARD APPROVAL

NMSA BOARD APPROVAL

NMFA BOARD APPROVAL

NMSA BOARD APPROVAL

SBOF BOARD APPROVAL