State of the Economy St. John's Metro

State of the Economy St. John's Metro September 2017

Published by: Economic Development, Culture & Partnerships Division Department of Community Services City of St. John's Email: business@stjohns.ca Economic Updates (monthly), Economic Reviews and Outlooks (biannual) are also available in the publications section of the website www.stjohns.ca or can be subscribed to by visiting the e-updates section. NOTE: Although every effort has been made to ensure the completeness and accuracy of the information contained in this publication, the City of St. John s does not guarantee, warrant or make any representations, express or otherwise, that the information contained herein is complete and correct. All numbers are nominal unless otherwise stated. Publication date: September 2017 2

Table of Contents St. John s Census Metropolitan Area (CMA).. 5 Economic Indictors.. 6 St. John s CMA Economic Indicators...... 6 Labour Force Characteristics. 7 Business Approvals..... 8 Economic Growth and Oil Production...... 9 Oil Production........ 10 Major Projects in Newfoundland and Labrador......... 11 Private Sector Projects......... 12 City of St. John s Projects........ 13 Public Sector Projects... 14 Real Estate.... 15 Development Areas..... 15 Housing Starts...... 16 Average MLS Housing Prices.... 17 Industrial Market Rental Rates...... 18 Office Market Rental Rates.... 19 Office Vacancy Rates........ 20 Commercial and Residential Permits...... 21 St. John s CMA Non-Residential Construction... 22 Labour.... 23 Labour Force Participation Rate.... 23 Annual Unemployment Rate...... 24 Average Weekly Earnings...... 25 3

Table of Contents Demographic.... 26 Population Census 2016... 26 St. John s CMA Population Projections...... 27 Demographic and Opinion Survey... 31 Other... 41 Businesses Insolvencies...... 41 Consumer Insolvencies.... 42 Businesses by Employment Size and NAICS...... 43 Retail Sales. 44 Number of Businesses by Employee Size.... 45 Out of Province Student Data.. 46 Accommodation Statistics.... 47 Convention and Cruise Data..... 48 Airport Passenger Data..... 49 Port Data....... 50 Outlook for 2017...... 51 Other Links..... 52 4

St. John's Census Metropolitan Area (CMA) St. John s Census Metropolitan Area (CMA) is a geographic area defined by Statistics Canada that includes St. John s and several neighbouring communities. St. John s CMA may also be referred to as St. John s metro throughout this document. Source: Department of Finance, Newfoundland & Labrador Statistics Agency 5

St. John's CMA¹ Economic Indicators 2016e 2017f % Change Real GDP (2007$M) 13,076 12,629 3.4% Retail Trade ($M) 3,947 3,912 0.9% Household Income ($M) 10,889 10,752 1.3% Consumer Price Index (2002=100) 132.2 136.1 2.9% 1 St. John s Census Metropolitan Area (CMA) is a geographic area defined by Statistics Canada that includes St. John s and several neighbouring communities. St. John s CMA may also be referred to as St. John s metro throughout this document. Please refer to the following website for a map of St. John s CMA http://stats.gov.nl.ca/maps/ Table shows change from previous year. e: estimate; f: forecast Source: Statistics Canada; Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador. 6

Labour Force Characteristics The St. John's metro unemployment rate is forecasted to increase by 0.3 percentage points to 8.1% in 2017. 2016e 2017f % Change Labour Force (000s) 126.3 124.1 1.7 Employment (000s) 116.4 114.0 2.1% Unemployment Rate 7.8% 8.1% 0.3 ppts Participation Rate 69.6% 68.1% 1.5 ppts Table shows change from previous year. e: estimate; f: forecast Source: Statistics Canada; Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador. 7

Business Approvals This table represents the number of both general and home based business approvals in the City of St. John s. 2013 2014 2015 2016 Home Based Businesses 51 59 43 57 General 89 89 102 74 Total 140 148 145 131 Source: City of St. John s 8

Economic Growth and Oil Production Real GDP growth in the St. John s CMA is sensitive to changes in oil production. The majority of oil industry activity is resident in the area, therefore most of the province s oil-related Real GDP is allocated to the CMA. Real GDP Growth With and Without Oil & Gas St. John's CMA (%) 10 5 6.3 4.4 2.0 3.1 0.6 0-5 -0.4-0.1-0.3-1.2-2.5 With Oil & Gas Excluding Oil & Gas -10 2012 2013 2014 2015 2016 Source: Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador, March 2017 9

Oil Production The Hebron project is scheduled to begin oil production in 2017. Exploration continues with recent discoveries, including Bay du Nord. Source: Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB), January 2017 10

Major projects in Newfoundland & Labrador These major projects in NL are making significant investments and contributing to the local economy. Project Hebron Offshore Oil Development (2008-2024) Lower Churchill Phase 1, Muskrat Falls Hydroelectric Generation Facility (2012-2019) Vale Long Harbour Nickel Processing Facility (2009-2018) Husky Energy West White Rose Project (2017-2022) Canada Fluorspar St. Lawrence Mine (2016-2018) Iron Ore Company of Canada Wabush 3 Mine (2017-2018) Value $14.0 B $9.4 B $4.3 B ($US) $3.2 B $250.0 M $79.0 M Note : This is not a complete list of Major Projects. Source: Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador, Project Proponent 11

Private Sector Major Projects Millions of dollars in ongoing private sector developments in the City of St. John s. Project $10Million St. John's International Airport 2014-2020 Capital Plan $245.0 Galway and Glencrest Development 2013-2017, Phase One $102.0 Alt Hotel, 123 Water Street $35.0 Star of the Sea Condos, 40 Henry Street $22.0 St. John s Harbour Upgrade Project, Irving Oil $20.0 Best Western Plus St. John s Airport Hotel $17.0 MIX residences, 345 Duckworth Street $15.4 Sandman Hotel, 227 Kenmount Rd. $10.6 Micro Boutique Living, 12 Water Street $10.0 Note: Table is not a complete list of all projects. Source: City of St. John s, Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador, Project Proponent 12

City of St. John s Projects City of St. John s continues to make capital investments. Project Water Transmission Main Replacement Program (2013-2017) $3Million $34.0 Bay Bulls Big Pond Water Treatment Facility Upgrade $12.0 Kenmount Terrace Park $10.0 City of St. John s Street Rehabilitation Program 2016 $9.8 Metrobus Capital Works $6.1 St. Patrick s Housing Project $4.6 Community Market, 245 Freshwater Rd. $3.7 Note: Table is not a complete list of all projects. Source: City of St. John s 13

Public Sector Projects Millions of dollars in public sector investments are ongoing in the City of St. John s. Project >$15 Million Memorial University Core Science Facility (2016-2020) $325.0 Team Gushue Highway Extension (2010-2017) $61.3 Atlantic Region Coast Guard Headquarters (2015-2018) $40.0 Memorial University Battery Facility (2013-2017) $25.6 Colonial Building Restoration (2009-2018) $22.2 St. John s Port Authority Pier 17 West Expansion (2017-2018) $12.8 Note: Table is not a complete list of all projects. Source: City of St. John s, Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador, Project Proponent 14

Development Areas Growth areas offer significant residential and commercial development. Harvey s Power Centre, east side of Torbay Road Field Power Centre, west side of Torbay Road Glencrest Industrial Centre, Phase One Galway residential and retail For location and further information: http://teamcapitalnl.ca/listing/harvey-power-centre/ http://teamcapitalnl.ca/listing/661-699-torbay-rd-field-power-centre/ www.glencrest.ca www.galwaynl.ca Map: City of St. John s 15

Housing Starts St. John s CMA housing starts decreased by 15% to 833 units in 2016. In the City of St. John s, housing starts declined to 294 units. Housing Starts - City of St. John's and St. John's CMA 2006-2016 2500 CMA St. John's 2153 2000 1500 1275 1480 1863 1703 1816 1923 1734 1230 1000 500 579 713 670 751 701 949 1,001 759 503 985 398 833 294 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Note: CMA housing starts include St. John's housing starts. Source: Canada Mortgage and Housing Corporation (CMHC) 16

Average MLS ¹ Housing Prices The average MLS almost doubled from 2007 to 2014, then decreasing to $305,763 in 2016². Average MLS Housing Price in St. John's CMA 2007-2016 Thousands $ 350 325 300 275 250 225 203.1 236.0 274.2 291.0 307.5 322.7 335.0 319.3 305.7 200 169.5 175 150 125 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1 MLS (Multiple Listing Service) is a registered trademark of the Canadian Real Estate Association (CREA). ² CREA has made changes to the way the historical series is aggregated so prices are different from previous editions of the State of the Economy. Source: CMHC, adapted from MLS data. 17

Industrial Market Rental Rates Industrial market rental rates remained on par with the previous year at $14.36 per sq. ft. and the vacancy rate increased to 18.7% in January 2017. $16.00 $14.00 First Quarter Gross Rental Rate and Vacancy Rate, Industrial St. John's CMA 2007 2017 16.0% 18.7% 20.0% 18.0% $12.00 16.0% 14.0% $10.00 9.9% 9.9% 12.0% $8.00 $6.00 $4.00 3.6% 5.2% 6.3% 7.3% 5.6% 5.9% 4.9% 10.0% 8.0% 6.0% 4.0% $2.00 2.0% $0.00 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 0.0% Source: Cushman & Wakefield Atlantic 18

Office Market Rental Rates Office market rental rates decreased slightly to $34.95 per sq. ft. in the first quarter of 2017 and have increased 84% over the last ten years. First Quarter Gross Rental Rate St. John's 2007-2017 $40 $30 $24.57 $27.50 $29.11 $31.05 $33.10 $34.63 $35.09 $34.95 psf/yr $20 $19.05 $18.58 $20.70 $10 $0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Source: Cushman & Wakefield Atlantic 19

Office Vacancy Rates Overall office vacancy rates rose in 2017, reaching 19.8%, an increase of 48% from Q1 2016. An additional 358,028 sq. ft. of office space has been completed and occupied over the last couple of years. % 22 20 18 16 14 12 10 8 6 4 2 0 5.7 3.9 1st Quarter Office Market Overall Vacancy St. John's CMA (%) 2007 2017 2.4 4.6 4.1 3.7 1.1 0.1 0.4 0.8 0.0 0.0 0.1 0.7 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 5.3 4.6 9.3 6.4 13.4 19.8 9.9 12.8 * Class A buildings in St. John's are: Baine Johnson Building, Fort William Building, Cabot Place, lll Fifty One Water Street, Fortis Place and Scotia Centre. Source: Cushman & Wakefield Atlantic, Altus Group 20

Commercial & Residential Permits The value of commercial building permits in St. John s was $131 million in 2016 while residential and repair permits were $98.2 million. Value of Construction from Commercial and Residential Building Permits City of St. John's, 2007-2016, $Millions 300 Com Res 200 $Millions 100 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Com = Commercial Permits; Res = Residential and Repair Permits Source: City of St. John's 21

St. John s CMA Non-Residential Construction Investment in non-residential* building construction in the St. John s CMA reached $51 million in the second quarter of 2017, down 28% from the second quarter of 2016. Source: Statistics Canada. * The investment in non-residential building construction represents the spending value for enterprises and governments, for industrial, commercial and institutional buildings. It excludes engineering work (bridges, roads, electrical dams, etc.). 22

Labour Force Participation Rate St. John s CMA labour force participation rate increased slightly (0.3 ppts) to 69.6% in 2016 and remained higher than the national rate (65.7%). Labour Force Participation Rates (%) St. John's CMA vs Canada 74 72 69.6 70 68 % 66 64 65.7 62 60 St. John's CMA Canada Source: Statistics Canada; Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador. 23

The annual unemployment rate in the St. John's CMA was 7.8% in 2016. The rate in Canada was 7.0%. 16 Annual Unemployment Rate Annual Unemployment Rate (%) St. John's CMA 2000-2016 14 12 10 8 6 9.5 9.2 9.2 9.9 9.0 8.8 8.1 6.9 7.8 8.3 7.7 6.6 7.2 6.1 6.0 6.5 7.8 4 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Statistics Canada; Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador. 24

Average Weekly Earnings Average weekly earnings increased 4% in 2017 to $991. The consumer price index increased 2.2% to 134.9 between January 2016 to January 2017. Average January Weekly Earnings St. John's CMA 2007-2017 $1,100 $1,000 $900 $800 $748 $805 $860 $913 $949 $1,003 $998 $953 $991 $700 $781 $600 $640 $500 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Source: Canada Mortgage and Housing Corporation (CMHC), adapted from Statistics Canada (CANSIM) 25

City of St. John s St. John s CMA 2011 Census 2016 Census % Change 2011 Census 2016 Census % Change Total Population 106,172 108,860 2.5% Total Population 196,965 205,955 4.6% Ages 0 14 14, 705 15,080 2.6% Ages 0 14 31,250 32,465 3.9% Ages 15 64 75, 875 75,815 0.1% Ages 15 64 140,660 142,940 1.6% Ages 65+ 15,595 17,965 15.2% Ages 65+ 25,055 30,555 22.0% Occupied Private Dwellings 47,627 5.8% Occupied Private Dwellings 85,015 7.7% Source: Statistics Canada, 2011 and 2016 Census of Population. 26

St. John s CMA Population Projections The percentage of the population of Newfoundland and Labrador living in St. John s CMA continues to grow. Source: Government of Newfoundland and Labrador, Department of Finance, Economic Research and Analysis Division, Population Projections, medium scenario, 2014. 27

St. John s CMA Population Projections It is forecasted that the number of households will increase at a greater rate than the population. Source: Government of Newfoundland and Labrador, Department of Finance, Economic Research and Analysis Division, Population Projections, medium scenario, 2014. 28

St. John s CMA Population Projections An Aging Population: The portion of the population aged 65 and over grows while the 20-64 age group declines. Source: Government of Newfoundland and Labrador, Department of Finance, Economic Research and Analysis Division, Population Projections, medium scenario, 2014. 29

St. John s CMA Population Projections Population growth forecasted in the City of St. John s and St. John s CMA. Source: Government of Newfoundland and Labrador, Department of Finance, Economic Research and Analysis Division, Population Projections, medium scenario, 2014. 30

Demographic and Opinion Survey The City of St. John's and partner municipalities undertook a residential survey administered in 2016 to gather information and perspectives from residents. People who visit downtown St. John s on a monthly basis or more (Excludes those who live downtown) 72.2% 74.1% St. John s CMA City of St. John s Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 31

Demographic and Opinion Survey Purpose of visits to downtown St. John s Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 32

Demographic and Opinion Survey St. John s CMA City of St. John s Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 33

Demographic and Opinion Survey St. John s CMA City of St. John s Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 34

Demographic and Opinion Survey Number of Persons in Household St. John s CMA City of St. John s 11.3% 15.7% 33.1% 35.7% 20.9% 20.0% 25.1% 20.9% 7.4% 5.7% 2.0% 1.7% 44.4% of households in St. John s CMA and 51.4% of households in City of St. John s have two or fewer people. Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 35

Demographic and Opinion Survey People that reported a household income of under $100,000 St. John s CMA City of St. John s 45.8% 51.1% People that reported a household income of under $50,000 St. John s CMA 20.4% City of St. John s 25.3% Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 36

Demographic and Opinion Survey Employment Status St. John s CMA City of St. John s Retired or do not work 25.7% 28.1% Employed (Full time, part time, casual/seasonal, etc.) 63.4% 60.6% Of those employed Type of Employment St. John s CMA City of St. John s Employed full time 53.5% 50.9% Self employed 13.1% 13.5% Employed directly or indirectly in the oil and gas, mining, and energy sectors 15.5% 12.9% Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 37

Demographic and Opinion Survey Living in your Community St. John s CMA City of St. John s Have lived in current community for 20+ years 45.7% 50.8% Have lived in current municipality less than five years 14.1% 13.9% Indicated they may move within the next five years 21.2% 22.4% Of those who said they may move in next five years, would stay within their current municipality 45.6% 45.7% Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 38

Demographic and Opinion Survey People that get to work by automobile St. John s CMA City of St. John s 93.7% 88.8% People that can get to work in under 20 minutes St. John s CMA People that can get to work in under 15 minutes City of St. John s 70.4% 66.4% Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 39

Demographic and Opinion Survey Residents were asked about their quality of life and city services. Source: Newfoundland & Labrador Statistics Agency, St. John s CMA Demographic Profile Survey 2016. Results for St. John s CMA are accurate at a 95% confidence level with a margin of error of +/- 1.6%. Results for City of St. John s are accurate at a 95% confidence level with a margin of error of +/- 2.3%. Percentages may not sum to 100% due to rounding and/or non-response. The survey was administered between February and July, 2016 to municipalities in the St. John s Census Metropolitan Area (CMA). 40

Businesses Insolvencies The number of proposals and bankruptcies filed by businesses in the St. John s CMA. Source: Office of the Superintendent of Bankruptcy Canada 41

Consumers Insolvencies The number of proposals and bankruptcies filed by consumers in the St. John s CMA. Source: Office of the Superintendent of Bankruptcy Canada 42

Businesses by Employment Size and NAICS* Source: Statistics Canada, Business Register *North American Industrial Classification System 43

Retail Sales Slower growth in household income resulted in retail sales of $3.9 billion in 2016, on par with 2015. Retail Sales ($B) - St. John's CMA 2007-2016 4.2 4.0 $3.88 $3.91 Billions $ 3.8 3.6 3.4 3.2 3.0 2.8 $3.03 $3.12 $3.25 $3.44 $3.74 $3.91 $3.95 2.6 $2.76 2.4 2.2 2.0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Statistics Canada; Economic and Project Analysis Division, Department of Finance, Government of Newfoundland and Labrador. 44

Number of Businesses by Employee Size 84% of businesses in St. John s CMA have fewer than 20 employees. # of businesses by Employment Size Range St. John's CMA 2016 (n=6,943) 12.7% 2.5% 0.7% 50.3% 33.8% 1 to 4 5 to 19 20 to 99 100 to 499 500+ Source: Statistics Canada, Business Register 45

Out of Province Student Data Approximately 32% of the 17,422 students enrolled at Memorial University in 2016 were from out of province. International student enrolment increased 6.7% over 2015. Number of International and Other Canadian Students Enrolled at MUN, Fall Semesters 2007-2016 4000 3500 3021 3196 3211 3300 3239 3283 3068 3000 2602 2852 2861 2500 2000 2123 2318 2474 1500 1694 1872 1000 500 978 948 1143 1273 1423 Other Canadian International 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: Center for Institutional Analysis and Planning, Memorial University. 46

Accommodation Statistics St. John's average hotel occupancy rate was 60.36% in 2016, down from 62.95% in 2015. Room nights available increased to 939,909 from 892,368 in 2016. The average rate was $148.84 per night in 2016, in 2015 it was $149.72. Note: These numbers reflect all room nights including major hotels, boutique hotels, and B & Bs. An increase in room nights available in 2016 has affected the comparison of occupancy rates slightly. Source: Destination St. John s 47

*Meetings and conventions of greater than 50 people Note: The St. John s Convention Centre was closed from fall of 2014 to spring 2016 for construction Source: Destination St. John s, City of St. John s 2014 2015 2016 Convention Delegates* 24,490 21,215 24,098 Number of ship visits Number of Passengers 2014 2015 2016 17 17 20 17,775 16,756 15,439 48

Airport Passenger Data Passenger traffic increased 4.3% in 2016 to 1.6 million. Airline Passenger Movements at St. John's International Airport 2007-2016 (000's) 1700 1600 1576 1600 Thousands 1500 1400 1300 1224 1319 1371 1447 1487 1505 1200 1100 1185 1223 1000 900 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Source: St. John's International Airport Authority and Transport Canada 49

Port Data The number of vessel arrivals increased to 1,436 in 2016 while total port cargo decreased. Thousands 2000 1800 1600 1400 1200 1000 1483 1403 St. John's Total Port Cargo (metric tonnes) 2007-2016 (000's) 1409 1487 1422 1464 1784 1669 1804 1724 800 1800 1600 1400 1200 1000 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1050 1053 1261 St. John's Port Vessel Arrivals 2007-2016 1322 1316 1300 1601 1545 1358 1436 800 600 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Note: vessel arrivals exclude non-commercial, e.g., Department of National Defence and small commercial vessels entering the Port of St. John s. Source: St. John's Port Authority 50

Outlook for 2017 The economic outlook for St. John s CMA is expected to remain subdued in 2017. There will be a significant decline in capital investment as the Hebron and Long Harbour projects move past peak construction, although capital investment will remain high in a historical context. Government deficit reduction measures are expedited to curtail expenditures in the public sector. Source: Statistics Canada; Government of NL, Department of Finance, Economic Research and Analysis Division. 51

Other Links For more information, visit the following links to access other economic reports. www.stjohns.ca/sites/default/files/files/publication/eco nomic%20update%20july.pdf www.stjohns.ca/sites/default/files/files/publication/economic%20review %202016.pdf www.stjohns.ca/sites/default/files/files/publication/economic%20outlook%202017.pdf 52