it is the best of nine races. the first team to 5 is the winner. the only difference is oracle usa does not have to compete in the cup. they are already in the final perio. that is the tradition. once you are the defender, you are in the final automatically the next time. >> let us a a 18 denies the auricle tame -- raises the auricle came from some members second? how many races are in that group? >> a minimum of five. it is a best of nine. the same two teams going against each other, nine races in total on the calendar. the first team to win 5 is the winner. >> then the july 4 through

september 4, how many races are in that? >> i think somewhere around 45 races. it is all of the challengers going against each other, but head to head. again, the exact format has not been finalized yet but there will be some sort of a round robin which will narrow itself down to an elimination round, which will lead to a head-to- head match. then the winner of that final head-to-head will be the winner to go on to compete for the oracle cupp. i think we can keep going. this is interesting for a number of reasons. this helps to give you an idea of what the event looks like, about the grounds and fans. this was the setup that we had in portugal. you can see the harbor, a lot of normal activity in the background.

this pier area was set up specifically to have the craning process. it was a huge crowd draw. you can see these fans stop to watch the training process, but not in any danger. the larger area -- i am going to step away from the microphone. this is where we did our press activity. this is where we did the champagne and the announcements. this was one of our hospitality areas. this is an area we were running our underwater hospitality program. this is the oracle team. the team continued all the way down here. maybe we can see more of that in

the next slide. this is a camera angle showing how close the fans are able to get. if you recall the previous slide, they were segregated. this is just a good shot from the camera angle. here is an example of what pit row looks like, if you compare it to motorsports. it is a big draw for these fans to see these crews working on the boats in a much more personal way. this is one of the core assets we have, allowing people this up close and personal access. again, an example of a beautiful day we had in england at the last event with spectators and on-air commentary, at the sign time, looking over their shoulder to see the event.

we also have the america's cup experience. this will be coming to san francisco. it is a simulated experience where we can bring 30 or 40 people into the room at one time and they can watch an imax movie where they can get an interactive experience of what it is like to be on a boat. we are working to make it even more dynamic as we go forward. this is about a youth movement, about attracting a younger audience, about having an event for the first time. we also have a series of nighttime concerts'. certainly, in 2013, when we're here for the better part of

three months, a tremendous amount of programming and content being provided in the area, from smaller events to the big, mass spectator events. this is one of our three live concert. as you can see, it was quite a popular event. i think that is the end of this overview. as you know, everything is on americascup.com, it is also on our youtube page. we would encourage everyone to have a look at what is going on and visit us in san diego for a face-to-face look. thank you. >> next up, we are going to hear from kerry. -- carrie.

>> good morning, everybody. i had the pleasure of being in portugal. it was absolutely tremendous. both my chairman and myself were there. we were very heartened by how exciting the racing was. i am not sure if anybody had a chance to catch the fleet race in plymouth, but tom covered a bit of the action from the collision in the starting line to a couple of capsizes. jimmy, who was driving one of the oracle boats, stepped out of the water and said, this is just like san francisco. that type of promotion really is a calling card, a road to san francisco for the next two years.

what the event of a party has been able to pull together and started to come to bear. we are really excited to be able to bring this to fruition. they are doing their part. the city is doing their part. we are also incredibly proud of how the city has stood up and its commitment in pushing for the environmental review at a really impressive pace while staying true to that which we feel is important, part is a patient and inclusion. we are not only excited about what is coming to bear around the world and in san >> the organizing committee we are doing our part as well. we received our tax exempt status. we were originally a 501 c 3 and get our status. all the donations are tax exempt

and that is significant when you are out in the marketplace raising tens of millions of dollars to cover city expenses. we have a milestone to meet. when the environmental review process is over at the end of this year and that is to demonstrate we have raised the first $12. we are doing the work with our committee. we have raised over $2 million in cash and commitments to cover the operational expenses and make sure we could hire staff as we have done. we are about to hire another person in the next 30 days. we feel we are well positioned to meet that only. we will have a full report when we are asked to come forward. the generosity that committee members have shown and how well received we have been on the other side of our obligation which is to introduce the event authority to corporate response

source. we have introduced them to over 60 corporations the last year or so, and many of them are turning into partnerships. so, we are excited about the p.w.c. partnership. we helped facilitate those conversations and our role is to take them to the best partners in san francisco and find the right fit for them. we continue to introduce them to c.e.o.'s and executives and foster those conversations. they are important to find the right partners that help them and us be successful. having been in portugal and experienced it in plymouth folks are finding everything that has been committed is coming to bear in terms of what it means and access, public access, unique opportuniti opportunities, and just san francisco on the global stage. we are also working on some other commitments including being the host committee. we are helping put together the

one-stop center with the city. we are having teams that will relocate here from all over the world. certainly starting with oracle racing and the members of the event authority. we are trying to make sure they get documentation they need, whether it is federal, state or local government introductions or entities they need to work with. being available to help them with housing or school referrals. putting that together. we are in the planning phase of that and trying to understand what the time line is they will need in order to have those needs met and working closely with the city so we don't recreate the wheel and we leverage existing access whether 311 or neighborhood services, working with congresswoman pelosi's office and having direct connections to the federal agencies that ned to deliver some -- need to deliver pieces. i think that is generally what you need to know is going on with the organizing committee.

we will add more members. we are also helping for the advancement of the sustainability plan and community benefits package. >> can you go over the money part again? what is your total obligation and time line? >> the host city agreement calls for $32 million to be raised by the local organizing committee. it is broken up in terms of deliverables. the first $12 million is due by the end of the environmental review process. i defer to the city on exactly what the time of that will be. i think we are on track to meet the commitments of the host city agreement at the end of this year. we are out in the marketplace raising those fund as and we ha a great operational model with the event authority on -- we provide corporate sponsor introductions and they help facilitate our outreach to philanthropists whether individuals or families and are

providing us with the assets that are necessary. so when you ask someone for a seven figure gift we can articulate the benefits that are coming to the city for that, helping us pay for environmental review and pay for the transit and doing it the san francisco way. the folks who made early commitments to us before we had our tax exempt status are really proud of the way it is unfolding. as more definition comes to the plan and people have a better understanding of the community benefits, what are the youth opportunities, what are the workforce and job plans and that is unfold being the next three -- unfold bei folfold ing the n months so we are going out to sell those opportunities for folks to help us facilitate our obligations. generally i say i'm raising $40 million if you count the $32 million specified in the host

city agreement. there is a bond provision and other obligations, whether taxes or utilities, garbage. then i have the operational expenses. so if you roll it all up, a little bit of contingency, i think we are generally comfortable saying we are raising $40 million. >> of the 32 you have raised what do you have so far? >> we told you this summer when we got the status we raised just over $2 million, gifts from 10 members of the committee helping us get started with staff. we are now in a quiet phase. when we are done with that and come to the board of supervisors we will demonstrate that aware able to raise $12 million and we are well on track. i won't tell you what portion is that. we are well under way and we will be there. >> you saw the articles in july that said you were returning behind. >> yes. we are not running behind in the least bit. it is not in my benefit to tell you exactly where we're at in

that milestone until i'm done with the meetings that we have on schedule right now. i'm out every week meeting with two or three members of the committee and we are going beyond the committee having conversations about what their commitment would mean to our effort and i will tell you confidently we are on target and that is resonating. >> it is not in your benefit to tell us? why? >> when you run a fund-raising campaign you want to have one-on-one private conversations with donors about what they are able to give and the timetable and you have those private conversations to help facilitate the conversations. >> how many members of the committee are there? >> i think we are about 50 committee members and we are having conversations with folks that are outside. that doesn't include the honorary committee members which is almost all the elected officials. >> the two million is from 10 members? >> a handful and they were not seven figure gifts.

>> [inaudible] >> not yet. we are having conversations and when we report back at the end of this year i would expect that a couple of those donations will come from outside the committee because conversations we are having right now are with folks on the committee and outside. >> what point does the city see this money? >> we are working with the city on an m.o.u. on the payment schedule. we need to demonstrate we will have $12 million raised and the started july 1 and end june 30. i think you will see payments beginning when we announce that we have met the target and we will pay over the rest of the year. >> what if you are not able -- what if things are drying out and you can't meet it? >> the city has the right to terminate if we don't demonstrate we have $12 million. it is very straightforward and the city has confidence if we

can't do what we said they have the right to terminate. >> they have the right. how likely is it that they would? >> you will need to ask the city that question. it is their right to terminate. we have been working with the city and the city's performance is an incredible asset to us. their ability to show that they are doing things in an unconventional way in terms of all hands on deck and marsh marshalling all the resources to have the environmental review done on a very aggressive schedule in a way that shows community engagement. those that are on deck is really a testimony to the city family's dedication to the effort. it is that type of performance that gives our donors the confidence it will be done in the san francisco way. >> [inaudible].

>> mike martin with the city office of economic and workforce development. good morning, thanks for coming in today. i want to follow up sort of the prior two speakers by saying a lot of our focus today was on taking a step outside of any specific step forward or announcement to give a preview of what is coming this fall. from our perspective i think we've started to see the pictures of what this event is coming together on the water and i think it really sort of symbolizes what we are feeling at the city in terms of putting together the rest of the want picture. when we say the rest of the event picture i think it goes beyond what is happening on the day of the events. but it is things like how we are going to approach the economic benefits, secure those for san francisco in a way people really wanted to see them. how aware going to move ahead

involving the youth of san francisco and bay area. how are we going to approach putting on an event of this scale in a way that is in the san francisco way. we have heard clearly over the course of this year what it means to sort of bring this event to this very beautiful natural resource in san francisco bay. so, i think that from my perspective what we have been coordinating at the city is a lot of environmental review processes in the development of the implementation plan around the event. i want to give some sense of the process going forward. on our website we have had an inter te interactive p.d.f. file of summaries of the implementation plans that are called for under the agreement. there are 11 of them. they range from things to do with waste management and management of the park events but also things like water and air traffic plan, youth involvement and workforce development plan.

what we will see going forward the tphebnext i would say eights is although most of the plans are not due until after the ceqa process we will try to give them visibility ahead so people can understand as this picture comes together what is it looking like in more dill. i think these plans will -- detail. i think they will have more to do with performance strategies of how we will deliver on things like addressing the park land in a way that safeguards those resources, that deals with the challenges of water traffic for the events. i think we have had a great set of dialogues with the national park service for their land and coast guard. this week on that website will be posted what is a very sort of high-level time line of the types of public communication and processes that will come forward the next several months, which would include, i think,

the backbone of this year being the environmental review process. we issued a draft environmental impact report in july and received over 1,300 comments to that e.i.r., 2,000-plus pages of commentary. we appreciate that and we have been working hard to develop our comprehensive responses and integrate those responses into the implementation plans as well. that comment and response period will be published the full compendium of responses in november and that will be sort of the next step in the environmental review process. following that, the publication of that document the planning commission would have a hearing to review those responses, to hear public comment and to decide whether or not to certify the e.i.r. as complete. surrounding that sort of srae

process oriented time line we are working hard to develop not only the direct picture of how we will put on the events but how well bring the benefit to these events to san francisco as i described earlier. i think kerry hit it on the head the things that resonate about making this a san francisco event have to do with really focusing on things like environmental sustainability, focussing on where we can integrating potential legacy benefits for environmental issues such as finding ways to use the spotlight of the events to improve practices around the bay in terms of how people manage marinas and boat yards and use their boats in the bay. making sure there are ways to involve the youth of san francisco in terms of intern ship, education, other ways to get people on the water with sailing. then also i think to do our best

to capitalize not only on the direct economic impact of the teams and event authority but indirect impacts. how we make sort of heightened benefits of having it in san francisco, bringing spectators to see what a great place this is to come. i think we saw last weekend a picture postcard weekend where you could imagine someone coming to san francisco and having a fantastic experience in experience the events but also experience the neighborhoods of san francisco, the different things that make the city great. i think that is the picture aware going to be working hard this autumn to pull together. along with the hard work of our partners at the event authority and cup organizing committee we will put together that mosaic of what it is to bring america's cup events in 2012 and 2013. one last, i guess, strategic note is by seeing these events

-- and i think the two questions about how many people have come to them, i think that is helping us form our initial strategies for the 2012 events. and i think that has always been part of our strategy to use the 2012 events as really a testing ground for a lot of the things such as the transportation strategies and people plan or the management of the parks. i think that we want to learn from day to day and week to week how that is to do this size of event so it comes out without a hitch in 2013 so aware excited about not only having the opportunity in 2012 to see this new concept of america's cup racing but to see what it means to have this type of want in san francisco and what we can do to make it better in 2013. i guess the last piece is coming forward over the course of the fall will be more defined plans as to the actual real estate aspects of the transaction, to

do with where the venues will be, spectator venues. i think we heard plenty of comments on those fronts so we are working to develop the appropriate set of answers to make that the whole picture come together. >> do you have an idea how much has been spent on this so far? >> how much the city has spent? under this year's budget there was an proposition of $12 million to match the incoming $12 million. we have spent i would say approximately $3 million to $4 million thus far. that is from a wide range of activities including staff time and environmental review and another consultant related to that. that is where we're at this point. we foresee that over the course of the full set of planning activities we would likely use th that, use a larger amount of that in this fiscal year but it

is not clear until we have gone through those processes further. >> you said you had $12 million to match kerry's? >> it is not a match. >> it is eventually adjust set. >> exactly. >> [inaudible] continue with the event but use public funds? >> the decision is to terminate and that decision with carry with it a decision of how we are going to proceed if there is more expected fund-raising or more time is needed. i don't want to necessarily speculate -- >> it is not necessarily the public funds are going tb us --o be used unless there is another decision to be made. >> the defeinite understanding s the $12 million would be the source of the funds. >> you said you have spent $3 it r million to $4 million and you will spend $20 million?

>> it is 12, not 20. i don't expect to spend $12 million. i think we will be within that amount for the planning process we are looking at at this point. >> you had a couple of weeks to review the public comments that came in to the draft e.i.r. i wonder what your take is. is it doable to answer all those questions? >> i think so. we are pretty confident. what has been helpful is people have been willing to engage with us as we have moved forward learning more about what we need to do. i think we have had good dialogue with interested stakeholders, leading up to the comment and response period and even since the time the draft e.i.r. went out we had a number of productive meetings with people that raised a lot of issues because we need to understand what it is that really drives their concerns and trying to see where we can find solutions. i think that i would say across the broad range of things we saw in the comments and hearing we feel confident we will have a

good set of answers. >> [inaudible] a lot has been talked about the arena. how is that going? >> it is a suppressive discussion. we have heard the concerns that have been raised and i think they have been helpful with us helping us understand their point of view. i think that it is one of those things that it has a lot of different facets because it is not just the specific location, i think people have focused on but how does this event work along the waterfront where there is a focus of public access. we are continuing to work to understand how we can approach that and come to a solution we think all sides will be happy with. >> i would note it also was a commenter on the draft environmental impact report and they detailed these concerns in their letter as well as some

potential solutions. and they also talked about public access that would be additional legacy benefits to san francisco. >> i think something we have been continuing to talk about throughout is a thread throughout all the plans is what is the legacy to san francisco. it really has for us it steps beyond the legacy of the high profile event that is coming but what people with take away and say you know because of the attention and resources and interest in this event that things got better in san francisco. times that is brick and mortar for public access but sometimes just a pwbetter operating platfm or better communication or different ways to involve people and educating themselves about our waterfront which is one of the most exciting parts of this process for me is learning what a fantastic place the northern waterfront is when you are able to focus on it like we have.

it is an exciting part of this and we are going to be talking about that a lot this fall. >> one part of the legacy is a lot of the waterfront is turned over to larry ellison and over 75 to 100 years. have you -- are you working on any plans or what san francisco, what will happen with all of that property that they will wind up with? >> i think to reset that a little bit, in the first place the transaction really relates to the development rights arise from the dollars they put in for the infrastructure that is needed for the events. primarily the real estate transaction centers around piers 32, 30 and c-30. only additional funds are expended beyond the $55 million in the