Art Van Has a New Brand

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www.crainsdetroit.com Vol. 25, No. 38 SEPTEMBER 28 – OCTOBER 4, 2009 $2 a copy; $59 a year

Page 3 Crittenton family medicine “ (The(The recession’s)recession’s) residency denied funding impactimpact isis farfar lessless becausebecause Kojaian splits ‘Big 4’ ready to move toward of our market share. regional transit authority We’re able to increase our advertising and open Special Section our advertising and open newnew stores.stores. with Lehman Automation ” Alley ArtArt VanVan Elslander,Elslander, Art Van Furniture Awards, Art Van Furniture Developer, bankrupt firm Page E1, divide joint-venture properties following Page 12 BY DANIEL DUGGAN ly to Lehman’s bankruptcy. In CRAIN’S DETROIT BUSINESS the end, he said, it was just too difficult to deal with a business Bloomfield Hills developer partner in a massive Chapter 11 Michael Kojaian has parted ways bankruptcy pro- with bankrupt Lehman Brothers Inside NATHAN SKID/CRAIN’S DETROIT BUSINESS ceeding. Holdings Inc., ending a 13-year re- WHO OWNS “On Sept. 15 Time Inc. Detroit project lationship that helped the local WHAT? (2008), the nature draws attention, Page 18 developer finance much of his of a very good re- real estate empire. Property list: lationship In settling the split-up, Kojaian Lehman’s changed,” he said Crain’s health summit will have full ownership of at and Kojaian’s of the date Art Van has holdings, least 14 buildings and parcels of speakers stress value of Page 22 Lehman filed for land that were previously under bankruptcy. “At wellness programs, Page 20 joint ownership. He also paid $8 that point, they million in cash, according to couldn’t provide capital any- court documents. more. And we weren’t sure who This Just In a new brand Lehman Brothers will, in turn, was calling the shots.” have full ownership of 15 build- Loans attached to some of the Business groups back ings and parcels of land, includ- properties ended and refinanc- Retailer seeks growth with mattress chain ing five occupied office developing was needed. prison boot camp plan ments across metro Detroit, Kojaian said the long settle- including the Travelers Towers Business organizations BY DANIEL DUGGAN ment talks began so that both in Southfield and One Woodward and other groups on Friday WEB EXTRA CRAIN’S DETROIT BUSINESS groups could go separate ways Ave. in Detroit. and control their own properties. called for Senate action on a Interview: What bill that they said could save With 2008 revenue down 31 percent from its peak in Kojaian, president of Kojaian “This turned out to be an ex- was it Ventures and chairman of Santa the state $40 million to $50 like 2000, furniture retailer Art Van Furniture has no plans tremely good economic outcome million a year in new prison when to stop growing the chain of stores. Ana, Calif.-based Grubb & Ellis Co., for Kojaian Ventures,” he said. costs. Art The company has continued its advertising pro- said the deal was the result of an “We were allowed to cherry-pick The legislation would keep Van grams, opened a new store in west Michigan and is amicable split. and separate properties that open a prison boot camp near Furniture had launching a new line of 12 standalone mattress stores Over the past 13 years, Kojaian were in the joint-venture rela- Chelsea that is slated to close only one store? across Michigan over the next year. had more than 100 deals with tionships. We now control our Art Van if a boot camp program ends “Are we impacted? Sure, we’re impacted,” said Art Lehman as either lender or equi- own entities.” Elslander Van Elslander during an interview with Crain’s. ty partner. At any given time, Under the terms of the deal, Wednesday as scheduled. reminisces The groups, an informal “But our impact is far less because of our market there might be 50 deals in place, partially disclosed in filings as on video, he said. coalition that has advocated www.crains share. We’re able to increase our advertising and part of Lehman Brothers’ bank- corrections reforms, say the detroit.com open new stores.” Kojaian stressed that the deal ruptcy case, Kojaian and ending the relationship was con- closure would mean moving /multimedia See Art Van, Page 21 See Kojaian, Page 22 camp inmates to more expen- sensual on his part and due sole- sive prison settings that would add new expense to the state’s correctional budget. Members of the coalition include the Detroit Regional Foundations fund efforts for accurate census Chamber; Presidents Council, State Universities of Michigan; BY SHERRI BEGIN WELCH pass-through to other non- to MNA for the census Michigan Association of Real- CRAIN’S DETROIT BUSINESS profits for census promo- campaign. tors; Center for Michigan; Grand tion initiatives. We think 2010 is For every person Rapids Area Chamber of Com- Michigan nonprofits are being asked to play Those foundations are “ missed in the official merce; Small Business Associa- an unprecedented role to make sure each per- the Troy-based Kresge different than any other count, an estimated tion of Michigan; Michigan son in the state gets counted in the 2010 census. Foundation, the W.K. Kel- $12,000 in federal funding Manufacturers Association and In the absence of the typical $500,000 or so in logg Foundation in Battle census we’ve had in the will be lost over the next state funding for census promotion, four foun- Creek, the Charles Stewart decade, he said, or about See This Just In, Page 2 dations have stepped up with $300,000 in grants Mott Foundation in Flint history of this country. $1.2 million for every made to the Michigan Nonprofit Association for and the Chicago-based ” 1,000 people not counted. Joyce Foundation. Sam Singh, Public Policy Associates An accurate census “While the current count also is critical in (state) budget discussions are important, they making sure Michigan has the congressional won’t be as long-lasting as the consequences of representation it is due. The state lost one con- the census,” said Kyle Caldwell, president of gressional seat in the 2000 census and is expect- the Michigan Nonprofit Association. ed to lose at least one, and possibly two more, Federal funding for the region and state for this year. the next decade will hinge on the census count, “We think 2010 is different than any other

NEWSPAPER said Sam Singh, former president of MNA and a consultant with Public Policy Associates, on loan See Census, Page 22 20090928-NEWS--0002-NAT-CCI-CD_-- 9/25/2009 6:23 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS September 28, 2009

The refitted fleet should be more Coast Guard could not adequate- months ago for 1,750 square feet Lipson Neilson opens 4th office THIS JUST IN effective in combat than the cur- ly maintain the shipping lanes,” of office space for two of its port- rent one and greatly reduce “obso- wrote James Weakley, president of folio companies. Bloomfield Hills-based Lipson, ■ From Page 1 lescence” or outmoded parts and Rocky River, Ohio-based Lake Car- “We are creating a critical Neilson, Cole, Seltzer & Garin P.C. systems within vehicles, said Pe- riers’ Association, in a statement mass of entrepreneurship here,” opens its fourth office next week, the Michigan Chamber of Commerce. ter Keating, vice president of com- lauding Oberstar’s provision. said Randal Charlton, executive di- this one in Grosse Pointe Farms, House Bill 5311, sponsored by munications at GDLS. The trade group represents 18 rector of the Wayne State Universi- where Managing Partner Jeffrey Alma Wheeler Smith, D-Salem Town- — Chad Halcom U.S. vessel operators on the Great ty-affiliated tech park and incuba- Neilson will practice along with ship, is supported by the Michigan Lakes with a total of 65 ships. tor. “Bizdom U. has a different two of the firm’s other attorneys. Department of Corrections. It passed — Bill Shea approach to entrepreneurship Neilson, co-founder of the firm the House Sept. 10 in a 65-40 vote Icebreaker funds in budget bill than we do, but both approaches and longtime Grosse Pointe-area and is in the Senate Judiciary are valid. This gives entrepre- resident, said he will join Kay Bul- Congress could approve con- First new CEO named ter and Mark Phillips at the new of- Committee, chaired by Wayne struction of a new U.S. Coast Guard neurs more choices.” — Tom Henderson fice along Kercheval Avenue, Kuipers, R-Holland. icebreaker for the Great Lakes, at Sterling Group — Amy Lane though he expects the firm’s oth- which could extend the shipping A new CEO has been appointed Construction begins er attorneys will make use of the season and improve safety for ves- for the first time in the 20-year location as needed. General Dynamics wins sels carrying commodities used lo- history of the Detroit-based Ster- for retirement community He called the expansion an op- cally, such as iron ore and coal. ling Group real estate investment Construction is under way on a portunity “to become more en- Abrams tank contract U.S. Rep. James Oberstar, D- and consulting company. 60-unit retirement community in gaged in the area,” cultivating Minn, added a provision in the Sterling Heights-based General Gary Torgow, who has held the Dexter. clients looking for local repre- Coast Guard Authorization Act Dynamics Land Systems won a $7 positions of CEO and president Chelsea-based United Methodist sentation and a work location for budget bill that would give the million contract for design and en- since he founded the firm in 1988, Retirement Communities is devel- attorneys who have business in service $153 million to build a gineering work on a fleet of M1A2S has named Danny Samson to the oping the Cedars of Dexter, made the area. new heavy icebreaker. He chairs Abrams tanks for Saudi Arabia, top position. Torgow will remain up of individual cottages to be Founded in 1985, Lipson Neil- the House Committee on Trans- the company announced Friday. as chairman. Samson, with the sold in the range of $279,000 to son has about 20 attorneys in portation and Infrastructure, The contract award earlier this group for six years, was most pre- $329,000 with sizes ranging from Bloomfield Hills and five in Las which passed the bill last week. month expands on a previous for- viously vice president. 1,500 to 1,900 square feet. The 14- Vegas. A satellite office in Grand The lakes are currently served eign military sales contract of $58 — Daniel Duggan acre, $20 million development Rapids is staffed as needed. million awarded late last year by the Coast Guard’s heavy ice- will include a clubhouse, a swim- The firm practices business through the U.S. Army Tacom Life breaker Mackinaw, a $92 million Bizdom U. signs TechTown lease ming pool and other amenities. and tax law, litigation, estate Cycle Management Command in ship that went into service in United Methodist Retirement planning, employment and pro- Warren. Design and engineering 2006 and is based in Cheboygan. Bizdom U., the Detroit-based Communities also has properties fessional liability, family law and work will take place in Sterling Several other smaller Coast training program/boot camp for in Chelsea and Detroit. distressed business assistance. Heights. Guard ships, such as the Holly- entrepreneurs founded in 2006 by — Daniel Duggan — Chad Halcom The contract calls for GDLS to hock in Port Huron, also handle Quicken Loans Chairman Dan do design and development work, lighter ice-breaking duties in the Gilbert, has signed a two-year refits, upgrades, and testing for a shipping channels. lease for 2,400 square feet of space CORRECTION fleet of 315 or so tanks maintained “In March and April of 2008, in TechTown that it will use for a Ⅲ A story on Page 29 of the Sept. 21 edition should have said that bank- by the Royal Saudi Land Forces, as our members suffered more than training facility. ruptcy is a separate practice department from litigation at Detroit- well as delivering a smaller com- $1.3 million in ice-related dam- That is in addition to a two- based Honigman Miller Schwartz and Cohn L.L.P. Also, 11 partner attor- plement of new tank vehicles. ages to their vessels because the year lease Bizdom U. signed two neys were cut by the firm, not 14 as stated in the story. 20090928-NEWS--0003-NAT-CCI-CD_-- 9/25/2009 6:47 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 3 Crittenton in fight over funding Finance Monthly

them over the funding.” Money for 3-year-old residency program denied Orfgen said the loss of GME funding has pushed Crittenton BY JAY GREENE the program as a new program in Crittenton received a letter from into the red this year. CRAIN’S DETROIT BUSINESS April 2006. CMS saying its GME funding re- “We hope to bring it back to Crittenton hired a consultant quest had been even by the end of the year, but Crittenton Hospital Medical Center who concluded the hospital would denied. you just can’t write off $4 million in Rochester Hills thought it was be eligible for graduate medical ed- “It is costing forever,” Orfgen said. In 2008, after doing the right thing more than ucation funding for the residency us $3.5 million writing off the GME losses, Crit- three years ago by agreeing to take program through the Centers for to $4 million” to tenton earned about $200,000 on on a family medicine residency Medicare and Medicaid Services. pay the annual net revenue of $210 million. program that had been terminated Now in its third year, Crittenton costs of the fam- “It has a very psychological ef- by the Detroit Medical Center. CEO Lynn Orfgen said the pro- ily medicine fect on operations. If we were get- The 349-bed community hospital gram’s 20 family medicine resi- program, Orf- ting the funding we should, we worked with the Wayne State Uni- dents have “had a positive impact gen said. “(The would be doing quite well and oth- Suppliers face wary bankers, versity School of Medicine to receive on the whole medical staff. They U.S. Department Orfgen er plans we might have would be accreditation for the program have incredibly adapted to it and of Health and Hu- easier to do,” said Orfgen, adding shrinking industry, Page 8. through the Chicago-based Accredi- embraced it.” man Services) doesn’t deem this as that the hospital has not delayed tation Council on Graduate Medical Everything seemed to be going a new program. They call it a Education. The ACGME approved smoothly until December, when transfer and we are battling with See Crittenton, Page 22 Company index These organizations appear in this week’s Crain’s Detroit Business: AFSCME ...... 4 Art Van Furniture ...... 1 Avon Plastic Products ...... 9 Local proton beam planners march on Azure Dynamics ...... 20 Barris, Sott, Denn & Driker ...... 22 Bieri ...... 11 lated radiation therapy — facili- Blue Cross Blue Shield of Michigan ...... 17 McLaren rivals THREE PROPOSALS ties. Worldwide, there are 30 oper- Business Leaders for Michigan ...... 19 ating proton beam centers, includ- Worldwide, there are 30 operating proton beam cancer centers, including Center for Michigan ...... 19 say need supports seven in the U.S. Here’s a look at plans for advanced radiotherapy cancer ing seven in the U.S. Coalition on Temporary Shelter ...... 22 centers in Southeast Michigan: Gayar disputed AHRQ’s study Commercial Alliance ...... 9 Ⅲ and said McLaren plans to conduct Community Central Bank ...... 10 multiple centers McLaren Health Care: $50 million economic downturn. clinical and basic science studies CORE Partners ...... 22 proton beam cancer center in Flint, a Ⅲ Henry Ford Health System and to prove the value of proton thera- Crestmark Bank ...... 8 BY JAY GREENE joint venture with ProTom Crittenton Hospital Medical Center ...... 3 University of Michigan Health py. CRAIN’S DETROIT BUSINESS International of Flower Mound, System hospital consortium: Detroit Area Community Info System ...... 22 Texas. Construction could begin Carbon-ion cancer center that could “Do you need a randomized Detroit Economic Growth Corp...... 17 Hospitals planning advanced ra- during the second quarter next year. cost $300 million. The collaborative study to prove an airplane goes Detroit Metro Convention and Visitor’s Bureau . . . . 18 diotherapy cancer centers in Ⅲ William Beaumont Hospitals: also includes Barbara Ann faster than a train?” Gayar said. Detroit Metropolitan Airport ...... 17 Southeast Michigan have not can- $160 million proton beam center in Karmanos Center and St. Louis- “Everyone knows the physical Detroit Regional News Hub ...... 18 celed their projects on the heels of a joint venture with ProCure based Ascension Health, parent characteristics are better with the Dickinson Wright ...... 17 news last week that McLaren Health Treatment Centers of Bloomington, company of St. John Health System proton than the photon.” Fisker Automotive ...... 20 Care is developing a plan to build a Ind. Project on hold because of the in Warren. While AHRQ said proton beam Fori Automation ...... 9 Gorman Furniture ...... 21 $50 million proton beam cancer therapy “can deliver higher radia- Grant Thornton ...... 10 tion doses to cancer cells with less center in Flint. Texas. Lakes, next to 458-bed McLaren Re- Guardian Industries ...... 20 Officials for William Beaumont “This is a new generation of pro- gional Medical Center. exposure to surrounding tissues Hennessy Capital ...... 8 Hospitals and a hospital consor- ton beam technology where the But cost and clinical effective- than conventional photon-beam Henry Ford Health System ...... 3 tium led by Henry Ford Health Sys- cost is lower and the smaller beam ness questions about proton beam radiation,” the report said it is not Hilco Industrial ...... 10 tem and the University of Michigan allows more accurate scanning,” technology have been raised by the known whether the higher preci- Hydra Professionals ...... 9 Health System said they believe said Dr. Hesham Gayar, chairman Economic Alliance for Michigan and sion translates to better clinical Kojaian Ventures ...... 1 there will be enough oncology pa- of radiation oncology at McLaren’s the U.S. Agency for Healthcare Re- outcomes. Kresge Foundation ...... 1 tients in the region to support Great Lakes Cancer Institute in Flint. search and Quality. “There still is no generally ac- Mattress and Futon Shoppe ...... 21 McLaren Health Care ...... 3 their separate projects. Construction could begin on the In a September report, AHRQ cepted medical evidence that this Meet Therese ...... 13 super-expensive technology will McLaren plans to build its three- 18-month project during the sec- said evidence is lacking about the Michigan Business Connection ...... 10 room, 10,000-square-foot proton ond quarter next year, said Kevin effectiveness of proton beam thera- do any better with cancers than Michigan Credit Union League ...... 8 beam therapy center in a joint ven- Tompkins, McLaren’s vice presi- py compared with cancer treat- the traditional radiation therapy Michigan Nonprofit Association ...... 1 ture with ProTom International, a dent of marketing. The proton ments provided by conventional — Miller, Canfield, Paddock and Stone ...... 20 company based in Flower Mound, beam center would be at Great or photon-based intensity modu- See Cancer, Page 21 O’Keefe & Associates ...... 9 Peoples State Bank ...... 9 Plante & Moran ...... 10 Pure Sleep ...... 21 Regional Transit Coordinating Council ...... 3 R.J. Montgomery ...... 10 Sullivan, Ward, Asher & Patton ...... 17 ‘Big 4’ ready to move toward regional transit authority Summit Place Mall ...... 11 Tel-X ...... 9 BY BILL SHEA $10.5 billion over 25 years. financing the system. “We always have the age-old University of Michigan Health System ...... 3 William Beaumont Hospitals ...... 3 CRAIN’S DETROIT BUSINESS Those local leaders — jointly the Detroit’s subsequent mayoral concern on this transportation Regional Transit troubles delayed getting Hertel’s stuff: the money, who’s going to get Willis HRH ...... 20 Willow Run Airport ...... 17 After months of delays, the elect- Coordinating recommendations in front of the it and who’s going to pay for it,” ed executives of Wayne, Oakland Council but four leaders, and it was only at the Beckham said, adding that he’s not and Macomb counties and Detroit dubbed the Big 4 end of the summer that he finally yet seen the latest draft of the bills. Mayor Dave Bing could meet in — hired former had a sit-down with Bing. Detroit-based Miller, Canfield, October to sign off on the wording state legislator That meeting, which Hertel Paddock and Stone P.L.C. is drafting Department index of legislation that would establish and state fair- called “extremely positive,” got the legislation pro bono, Hertel BANKRUPTCIES ...... 21 a regional mass transit authority. grounds direc- the regional transit effort back on said. Big 4 deputies are scheduled The Legislature would then tor John Hertel track. to work on the bill Oct. 7. BUSINESS DIARY ...... 16 need to approve the bills, which in 2006 to run The city wants to ensure that a Any regional authority likely CALENDAR ...... 16 set up the legal entity needed to their regional regional system doesn’t jeopardize won’t include opt-out provisions, CAPITOL BRIEFINGS...... 19 Hertel qualify for federal transportation mass transit ef- the funding it gets now for trans- which would allow communities CAREERWORKS ...... 13 dollars that would help finance fort. In December, they approved portation, and Bing made that to divorce themselves from partici- CLASSIFIED ADS ...... 16 and operate a regional system of the initial plan and directed Hertel clear to Hertel, said Charlie Beck- KEITH CRAIN...... 6 buses and trains that could cost to develop ideas for governing and ham, Bing’s chief administrator. See Transit, Page 20 LETTERS...... 7 OPINION ...... 6 State budget Breaking news OTHER VOICES ...... 6 Get breaking news in your inbox as it happens. THIS WEEK @ The Michigan Senate has passed a temporary budget PEOPLE ...... 12 to avoid a government shutdown. Will the House follow Sign up for daily, weekly, or specialty e-mails WWW.CRAINSDETROIT.COM suit? We’ll have continuing coverage. at www.crainsdetroit.com/getemail. RUMBLINGS ...... 23 WEEK ON THE WEB ...... 23 20090928-NEWS--0004-NAT-CCI-CD_-- 9/25/2009 5:12 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS September 28, 2009 For unions, mayoral election may be more about the show than outcome

BY NANCY KAFFER CRAIN’S DETROIT BUSINESS We’re going to fight to win, but I don’t Back in June, the American Fed- “ eration of State, County and Municipal think (the Detroit mayoral) Employees offered its endorsement for the upcoming Detroit mayoral election is the measuring stick. election to incumbent Dave Bing. Just three months later, things ... If we demonstrate power, it’s a had changed. win, period. Amid tough wage and benefit ” negotiations, the union withdrew Al Garrett, AFSCME Michigan Council 25 that endorsement, extending its approval instead to challenger Tom Barrow. In the following But Al Garrett, AFSCME Michi- 35,000 or 40,000 old people who vote weeks, Barrow raked in a slew of gan Council 25 president, said that with absentee ballots, then there endorsements from other labor in this election, Barrow doesn’t are the hard-core voters. unions. have to win for the union to come “There are some union mem- Barrow finished second in the out ahead. bers, but the typical voter is 65 August prima- “I think we don’t expect to gen- years old, female and votes in ry, but with just erate the votes alone to win this every election. … If the electorate 10,302 votes — election,” he said. “There’s a vast was larger, union endorsements 68,623 ballots difference from where Barrow was might make a difference. But this were cast for and where Bing is. If we were to electorate is this defined group of Bing. For Bar- generate a 40 percent change in the people that keeps voting in every row to defeat vote, that would be significant, but election.” Bing would re- it doesn’t translate to a win. We For that voter, the endorsement quire a massive hope to show we can impact an of one’s own pastor is the most electoral shift. election where there is less of a critical, Mitchell said. And a union Barrow gap.” “The city continues to lose pop- coffee!! endorsement is- Garrett claims that AFSCME ulation, and the major factor in n’t likely to can touch 23,000 Detroiters. municipal elections or elections opportunity!! change those “That’s members of AFSCME or in other urban areas, especially numbers sub- family members residing in the areas with a high African-Ameri- stantially. city of Detroit, and the AFL-CIO can population, is really the local insterested?? “Any support numbers are probably twice that church,” Mitchell said. “Fifty-sev- you get is sup- of ours,” he said. en percent of the voters (in a De- franchise?? port, and unions The union’s sanction promises troit election) will be female as op- are good for more than votes, Garrett said. posed to 52 percent statewide. money,” said “It means some dollars, it means This is a stable population of old- Call Jobi Schaeffer pollster Mark soldiers on the ground, phone er women, and part of that stabili- Grebner, a part- Bing banking,” he said. “We’re going to ty is that they tend to go to (517) 913-1987 or ner in Lansing-based Practical Polit- fight to win, but I don’t think this church.” [email protected] ical Consulting. “But they’re going election is the measuring stick. ... Detroit’s population has shrunk to what, help Tom Barrow get 20 If we demonstrate power, it’s a to about 770,000, according to the percent of the vote? They should win, period.” most recent American Community www.biggby.com be proud if they can get 20,000 Garrett said that with a career Survey, an annual survey per- votes.” politician, a strong union showing formed by the U.S. Census, said As Detroit’s population has could change the outcome of nego- Kurt Metzger, director of the De- dropped, so has the number of tiations — though he says the troit Area Community Information Sys- union members living inside the union objects to Bing’s accessibili- tem. city, an exodus hastened by a 1999 ty and transparency, not the may- “I think conservatively you decision to lift a requirement that or’s proposed concessions. With could say that the city has lost city workers live in Detroit. Bing, who has said he’ll serve only 130,000 to 140,000 people in the last Before the current round of mu- one full term, a strong showing eight years,” he said. “When you nicipal layoffs, Detroit had about could change the tone at the bar- look at the age structure, kids have 13,500 workers, said Edward Car- gaining table. left in large numbers, meaning denas, Detroit Mayor Dave Bing’s In races won or lost by smaller parents with kids, oftentimes mar- press secretary. About 11,800 of margins, the union’s blessing is ried couples with kids. The fact those employees belong to unions; more potent, Mitchell said. that people who leave tend to be roughly 7,400 unionized city work- “It’s much more important for the ones who care more about ers live in Detroit. city council candidates than may- things and have more of the eco- Union endorsements didn’t tip oral candidates,” he said. “Union nomic base from which to leave … the outcome of the past three De- endorsements could be enough to I think obviously the city is losing troit mayoral elections. In 2001 and pull a candidate over the finish its middle class.” 2005, unions backed Gil Hill and line. When a candidate is very well Those who remain, Metzger Go Green. Freman Hendrix. Both lost to for- known, it’s a different story, but in said, are often disconnected from mer Mayor Kwame Kilpatrick. council races and charter commis- the politics. This spring, unions supported sion races, you want to get on “When you think about how . then-Interim Mayor Ken Cockrel slates, you want to get endorsed by many people are just trying to Green Jr., defeated by Bing in a May spe- newspapers … but the bigger the keep the lights on and the heat on, Learn how you can reduce building cial election. race, the less union endorsement I don’t think they give a freaking “Union endorsements are still matters.” damn about elections,” he said. RSHUDWLQJFRVWVREWDLQ¿QDQFLQJ important; however, union work- Grebner says there’s another “What you’ve got is a city that’s IRUJUHHQUHWUR¿WVDQGLPSURYH ers tend to only follow union en- factor at work. becoming poorer, with an unem- your workplace at our dorsements if the offices have a di- “We’ve now had three elections ployment rate of 45 percent to 50 Project Green Institute rect impact on union jobs,” said in the last eight months, and we percent in real terms. … People Steve Mitchell, chairman of Lans- had terrible turnouts every time,” don’t see politics as the answer. A in Ann Arbor or online at JSVig.com. ing-based Mitchell Research and he said, comparing the roughly larger and larger share of the pop- Communications Inc. “When munic- 95,000 Detroiters who voted in the ulation is totally removed from Contact Joshua Brugeman to ipal unions endorse, it means they May special election to the approx- government, because they’re just schedule a consultation. can generally deliver at least the imately 210,000 voters who cast trying to make it through the [email protected] members of the unions. It doesn’t ballots in 2005. day.” 734.283.3002 mean other people are going to fol- “What this tells me is that this is Nancy Kaffer: (313) 446-0412, www.jsvig.com low suit.” the hard-core electorate. There are [email protected]. DBpageAD.qxd 7/2/2009 12:53 PM Page 1

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Page 6 CRAIN’S DETROIT BUSINESS September 28, 2009 OPINION OTHER VOICES Crittenton program Taubman Center helps CCS deserves fed funding be agent of change for Detroit The College for Creative Studies ne of the big problems in health care delivery nation- last week dedicated its new A. Al- wide is a shortage of primary care and family physi- fred Taubman Center for Design Education, a $145 million econom- O cians. It drives people without primary care doctors to ic development project that trans- seek expensive treatment in hospital emergency rooms. formed General Motors’ historic So the federal rejection of funding for a family medicine Argonaut Building into an educa- residency program at Crittenton Hospital in Rochester Hills tional complex devoted to creativi- makes absolutely no sense. ty. Thanks to GM’s generosity, the The fully accredited program is in partnership with the former home of Boss Kettering’s Wayne State University School of Medicine. WSU needed a engineering labs and Harley Earl’s new teaching home for its family-practice residency after the design studios now houses CCS’s Detroit Medical Center terminated its family medicine resi- undergraduate and graduate de- dency program. gree programs in design; a design research center; WSU faculty and residents have been at Crittenton for three 300 beds of stu- years. But as Jay Greene reports on Page 3, the expected funding dent housing; its — $3.5 million to $4 million annually — from the federal Centers community out- for Medicare and Medicaid Services hasn’t come through. reach programs; A rule change earlier this year regarding the transfer of a conference center; dining COURTESY OF COLLEGE OF CREATIVE STUDIES residency slots has jeopardized the Crittenton program, and a Drafting tables fill studio space in the College for Creative Studies’ new A. Alfred commons; retail Taubman Center for Design Education. least 10 others nationwide that are seeking graduate medical and gallery education dollars from the federal government. spaces; and the sign research on issues of sustain- Henry Ford The feds may think the Detroit Medical Center should have able communities, human-technol- Richard Rogers Academy: transferred the residency slots to Crittenton. Instead, the DMC ogy interface, color and materials, School for Creative Studies, a new and rapid prototyping technolo- used the funding for other residency slots in higher-demand charter school focused on art and gies. It will promote new products, programs. design, operated jointly by CCS new technologies and new forms of WSU and Crittenton contend the Oakland County program and the Henry Ford Learning In- communication. stitute and funded by the Thomp- is entirely new and not a transfer. The result will be more jobs, son Educational Foundation. It This is a perfect example of an opportunity for Southeast more entrepreneurial businesses also has space for creative busi- and more reasons for talented peo- Michigan’s congressional delegation to apply pressure to cor- nesses. ple to stay in Detroit. rect this short-sighted, bureaucratic response. It works There is nothing like it any- The center is housed in the former With the Taubman Center, the against a national goal of training more family doctors. where else in the world. And it’s in Argonaut Building, once a design and Detroit. engineering center for General Motors College for Creative Studies rede- A huge building in the New Cen- Corp. fines itself as an agent of economic ter area that was dark for 10 years change and deepens its commit- Public sector needs to learn lesson has been given a new future, as a vitality. ment to its community. place to nurture the dreams and The Taubman Center will an- Linking up with other efforts, While Michigan lawmakers agonized over painful budget like the New Economy Initiative cuts last week, elected leaders in Oakland County made history. futures of young creative people. It chor a “creative corridor” in the can signal a better future for De- city that will drive a creative econ- and TechTown’s entrepreneurship The county became the first in the country to approve a troit as well. omy consisting of industries in project, the Kresge Foundation’s three-year, line-item budget. The Taubman Center will be a which art, technology, business Kresge Arts in Detroit program, Oakland County Executive L. Brooks Patterson and the De- powerful educational model, with and culture converge. According the Hudson-Webber Foundation’s mocratic and Republican county commissioners may not have middle school, high school, college to the United Nations, those indus- vision to attract more young professionals to the greater down- agreed on all of the cuts required to balance the budget, but in and graduate students all studying tries are growing faster globally than either the manufacturing or town, and many other develop- the end, commissioners voted on across-the-board pay cuts of in the same facility, sharing resources, learning from one anoth- service sectors. ment initiatives, the Taubman 2.5 percent for 2010 and 2011. er, and interacting with profes- Detroit has a remarkable histo- Center is a big step forward in So good for Oakland County, but even with pay cuts or fur- sionals, too. ry of innovation, and this building building creative density in the loughs, the big time bomb in Michigan is public employee (and It will provide pathways for in- was at the heart of it. We also have central city, increasing education- retiree) benefits and pensions. ner-city students to careers in cre- a strong pool of creative workers al opportunity, and energizing De- troit’s economy. It’s already a factor in budget cuts on Macomb County. ative professions and increase mi- today. We can build on these assets to reassert our position as a world Richard Rogers is president of The public sector — from the state government down to lo- nority representation in those fields. The project is generating leader in creative business. the College for Creative Studies. cal — needs transformative change that mirrors what’s play- 200 jobs and bringing 2,000 people The Taubman Center will at- Crain Communications Inc. Chair- ing out in the private sector. If not, look for more political a day and a 24/7 ambience to New tract, develop and retain talent for man Keith Crain is chairman of the paralysis and more communities facing insolvency. Center, to give that area renewed creative industries. It will spur de- CCS board of trustees.

KEITH CRAIN: Maybe they should try something different

Yesterday, the Detroit Lions decades. With mediocre dire straits, and it wouldn’t it be a great gesture if I’m sure there are a bunch of cre- played at Ford Field. Whether they results at best, the com- would seem appropri- they offered those tickets for say, ative lawyers who could find a won or lost isn’t the point. A lot of munity has supported ate that the William $5 apiece? loophole somewhere to allow it. long-suffering fans were unable to the team and even built Clay Ford family might Not only would a lot of folks who Sort of like when the Fords got the see the game. it a new stadium and let want to do whatever simply can’t afford to buy regular- Ford auto company to pay millions Based on the National Football them, the Fords, receive might be necessary to ly priced tickets have a chance to each year for naming rights to a League rules, there were thousands $20 million or so a year help out the citizens of go to Ford Field, it would allow all stadium that would have been of unsold seats in the stadium so the from Ford Motor Co. for Detroit. It only seems the rest of the Lions fans to watch called Ford Field anyway. local television stations weren’t naming rights, some- fair, after everything the game on television. Detroiters love their football able to carry the game. Although thing I never under- that Detroit has done William Clay Ford would become team … they have for years. So this might have happened in sever- stood. It would have for the Fords. a hero overnight. Who knows? The maybe there is a simple way for al other NFL cities, it doesn’t make seemed unlikely the Ford Motor Co. The simplest idea might be to Lions might even develop some new the Fords to let unemployed fans much difference to Detroiters. should have paid unless Chevrolet radically lower the prices of 10,000 fans for the next 40 years. watch their team. Detroit has been very good to the wanted to call it Chevy field. or 20,000 tickets every game. The So maybe there’s a rule that pro- It’s good business for the Lions, William Clay Ford family for many But the Detroit economy is in seats could be in the end zone, but hibits a team from doing this. But and it’s good business for the Fords. 20090928-NEWS--0007-NAT-CCI-CD_-- 9/25/2009 2:32 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 7 LETTERS Column on Obama, health care reform irresponsible Editor: There is no better way for the Sept. 21). surance lobbies are just too strong. and our families become unafford- Keith Crain’s Sept. 21 column, president to spend his charm than I have five children, four of President Obama was very clear able. As usual, only the rich will be “Our president is wasting his addressing the health care crisis in whom are married with families. in his speech before the joint able to afford it. charm,” is irresponsible journal- America. It is not waste, it is con- Their health care costs continue to House and Senate that Medicare But most important is the moral ism. Crain claims that “most every science. escalate and they must take poli- benefits would not be touched. issue at stake. Why does every poll shows the majority of citizens William G. Anderson, D.O. cies with $3,600 deductibles per Out-of-pocket health care costs other country provide citizens feel strongly that they like the Detroit person per year in order to afford for my husband and me are $17,000 with basic coverage? country’s health care system.” My any kind of decent health care. a year, and that is with Medicare, Reform is moral issue “To whom much is given — reading this summer and anyone’s And, please don’t tell me what supplemental insurance and pre- cursory research on the Web will Editor: Medicare recipients like and don’t scription coverage, and our doc- much is expected.” The poor will unearth no such hard data. I am so glad that Keith Crain like. My husband and I receive tors still have to fight with insur- always be with us, and a nation Furthermore, the percentage of thinks that the majority of U.S. cit- Medicare, and everyone I know in ers for coverage. We will both will be ultimately judged by how Americans without health care is izens feel strongly that they like our age group wants reform. need to work until we can’t. they were cared for. more than 15 percent. That is a lot their health care system (“Our In fact, I would love the single- As we age, and you will too, Rachel Brennan of people. The material lives of president is wasting his charm,” payer system but as usual the in- Keith, the health care costs for us West Bloomfield Township these citizens — many of whom are children who cannot vote in polls — should be considered qual- itatively in a serious discussion about health care reform. Business leaders need to be thinking and writing about health care reform using cold facts, not cold hearts. Liz Rohan St. Clair Shores Satisfied? Ask the poor, elderly, veterans Editor: I read Keith Crain’s Sept. 21 column, “Our president is wasting his charm,” and I cannot begin to imag- ine who those “majority of U.S. citizens” are who “like the country’s health care system and don’t want the government involved.” Obviously the old people who de- pend on Medicare, veterans and poor people who have no care were not included in the polls you read. We already have the government involved: Medicare, Medicaid, Fed- erally Qualified Health Centers and Veterans Administration care. The government also pays for the uninsured via disproportionate share payments to certain health care facilities. Perhaps you missed these. I have lived and practiced in the inner city of Detroit for more than 40 years and for many years in the rural South. I have seen people that fit in the categories that I have noted above. The vast majority of seniors say, “Don’t mess with my Blue SM Medicare.” The poor ones say, FACT: Over 100,000 Healthy Living members have lowered “Please find a way that I can get health care.” The veterans say, their insurance costs by improving their health. “Leave my government involved- care alone.” America has the best health care We’re helping create healthier workplaces system in the world — the problem is access. Every major city in the by rewarding employees who commit to healthy U.S. has a paucity of doctors who living with lower co-pays and deductibles. Our will care for the uninsured and Blue SM even fewer who accept Medicaid. I Healthy Living product is one of the many speak as one who has taken a poll innovative ways we are improving the health of of the elderly and the poor in inner-city America, not from the af- everyone in Michigan. And it’s one more example fluent suburbs where there is ade- of how the Blues will be ready for whatever the quate insurance from the Blues and other private insurers. future of health care brings.

Crain’s Detroit Business welcomes letters to the editor. All letters will be considered for publication, provided they are signed and do not defame individuals or organizations. Letters may be edited for length and clarity. Write: Editor, Crain’s Detroit Business, 1155 Gratiot Ave., Detroit, MI 48207-2997. MiBCN.com/HealthyBlueLiving E-mail: [email protected] 20090928-NEWS--0008-NAT-CCI-CD_-- 9/25/2009 2:33 PM Page 1

Page 8 CRAIN’S DETROIT BUSINESS September 28, 2009

A CONVERSATION WITH Monthly

David Adams, Michigan Credit Union League

David Adams is president and CEO of the Livonia-based Michigan Credit Union League, a trade organization that represents 345 state credit unions and their 4.4 million members. He spoke with Crain’s reporter Tom Henderson about issues facing his member organizations.

Lost in the cash-for-clunkers hoopla was the successful credit union program “Invest in Michigan,” which offered members the same rates General Motors and Chrysler offer the employees of their suppliers. Is the program still in effect? Absolutely. With GM, we expect that we’ll extend the contract that runs through December until the end of 2010. Chrysler had temporarily suspended it when they went all in for cash for clunkers, but we expect a Chrysler discount for credit union members to be reimplemented soon. Nationwide, 200,000 cars and trucks were sold through the program. Our members in Michigan have had a 32.6 percent growth in auto loans since the program was initiated in January. Credit unions continue to consolidate through merger. Why? Nationally, we lose four to five percent of our credit unions every year. The main driver is that technology offers economies of scale. All deposit institutions are under a lot of pressure on their bottom lines with shrinking net margins. That causes credit unions to combine together to create a larger NATHAN SKID/CRAIN’S DETROIT BUSINESS institution that can drive down costs. Tel-X Corp. owner Ron Cochell shows a stack of fliers he’s received for liquidation auctions of suppliers that didn’t make it through the downturn. He said he But the big difference between banks would love to buy machinery at the auctions, for pennies on the dollar, but financing has been impossible to find. and credit unions is when credit unions merge, the surviving entity is still based in Michigan. They don’t get gobbled up by out-of-state institutions, like you see with banks. How about assets and membership? Credit union assets have grown, while assets for FDIC-insured institutions have shrunk. For the 12 months that ended June 30, assets in Michigan Stymied credit unions grew by 8.7 percent, loans were up by 5.8 percent and membership was up 0.2 percent. The reason membership growth wasn’t Cash-poor suppliers swim against tide of wary bankers, shrinking industry higher was because of a declining state population. BY RYAN BEENE Semanco, president and CEO of ceivables, but they’re not buy- AND TOM HENDERSON Huntington Woods-based Hen- ing new inventory. So their Why don’t new credit unions open more CRAIN’S DETROIT BUSINESS nessey Capital L.L.C., an asset- need for cash goes down. Now? often? Credit unions are not-for-profits. If suppliers There are no outside shareholders, so “ based lender who says Their cash needs are you can’t form credit unions the way can’t find he auto industry has his phone has been up.” you can banks. You just need a group shown signs of recovery ringing off the hook Their cash needs are of investors to say, ‘Let’s start a bank reasonable T since early August. The with calls from suppli- up, but where’s the in Alpena,’ and they can start one. cash-for-clunkers program de- ers trying to ramp up cash? Credit unions are formed when people financing, pleted inventories, and factories production but who It’s a tough problem pool their deposits. There’s no seed up and down the supply chain can’t get funding from to solve. capital, which makes it difficult to they’re have ramped up to fill new or- traditional banks. start one. There is one small credit going to ders. “If suppliers can’t union forming to serve the Indian tribe Some economists, including find reasonable financ- Still prudent in Mt. Clemens, but other than that, have Fed Chairman Ben Bernanke, ing, they’re going to Semanco not to lend we haven’t had a credit union form in think the longest recession have more trouble in Michigan in 25 years. more since World War II may techni- the upturn than they Experts say those in cally be over. did in the downturn,” MORE ON the industry can’t ex- trouble But now is not the time for said David Tull, presi- THE STORY pect financing to return If you know someone celebration in the supplier dent and CEO of Troy- to normal anytime soon. interesting in banking, in the world. From a finance perspec- based Crestmark Bank, Web extra: Funding operations will finance, technology Federal program continue to be a major tive, these are more dangerous the area’s other major would fund auto or biotechnology upturn than they times than the months follow- asset-based lender. hurdle. Tom Henderson suppliers, Even before the credit ing the credit freeze of last fall “More companies fail www.crains should interview call did in the and the ensuing bankruptcy fil- detroit.com woes of last fall, many (313) 446-0337 or in an expansion, espe- ings by then-General Motors Corp. cially an expansion af- Lending: suppliers had been cut write thenderson loose from longtime @crain.com. downturn. and Chrysler L.L.C. ter a downturn,” he Suppliers’ ” “Pent-up demand can do more said. “In a downturn, options limited, bankers or had seen Page 9 David Tull, Crestmark Bank harm than good,” said Michael they’re collecting on re- See Suppliers, Page 9 20090928-NEWS--0009-NAT-CCI-CD_-- 9/24/2009 5:15 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 9 Finance Monthly Suppliers: Cash-poor suppliers swim against tide ■ From Page 8 Supplier working lines of credit cut. Bankers, analysts and industry observers say it makes sense for Number of suppliers exacerbates funding problems banks to remain largely on the BY RYAN BEENE with which they do business. more than 2,000 at the end of 2008. sidelines for now and not try to CRAIN’S DETROIT BUSINESS Even during the peak automo- The problem is, as long as the lending pick winners and losers. tive sales years earlier this supply base consolidation con- Even if local loan officers of na- Even some healthy suppliers decade — when more than 16 tinues, it’s close to a crapshoot tional and large regional banks are having trouble finding fi- million vehicles were being sold for lenders to try to pick winners wanted to start doing more sup- nancing, and here’s one reason annually — the supply base as a and losers. ply-chain loans, in some cases why: There are way too many whole was building parts only at “People have gotten burned by they remain under pressure to suppliers still standing. 70 percent 80 percent capacity. auto, that’s true for banks and options limit auto exposure. “Either through liquidation or Now, with car and truck pro- private-equity funds, and every- For example, at a presentation to acquisition, the supply base, in duction cut about in half, the body’s not that interested in Barclay’s earlier this month, Com- numbers, probably has another supply base is using only about making an investment in it to- erica Inc. Chairman Ralph Babb halving to go,” said Bill Wildern, 30 percent to 50 percent capacity, day,” said Pat O’Keefe, founder showed the same slide he shows CEO of Farmington Hills-based Wildern said. and managing director at Bloom- limited analysts, highlighting Comerica’s Hydra Professionals L.L.C., a compa- Every major original equip- field Hills-based O’Keefe & Associ- sharply reduced exposure to auto ny that specializes in managing ment manufacturer has publicly ates, a turnaround and corporate BY RYAN BEENE manufacturers and suppliers — troubled supplier situations. stated plans to cut its supply base, finance consultancy that works AND TOM HENDERSON from $2.7 billion at the end of 2005 “Roll the clock forward five years whittling lists down to only the with many tier-two and tier- CRAIN’S DETROIT BUSINESS to $1.3 billion in May this year. or so and one out of every two sup- strongest firms. Ford Motor Co., for three suppliers. Garden City-based Tel-X Corp. is pliers probably won’t be there.” example, said in August it plans “The fear is that if you’re a se- What are the options for auto one of those caught in the Comeri- The automotive supply base to cut its global roster of suppliers cured lender, you’ll end up back- suppliers who need to fund opera- ca squeeze. has two major problems working eligible to receive new business to ing a loser, and historically, if you tions? There are a few, but all are The supplier, traditionally a against it: massive overcapacity, 850 by the end of this year, with back a loser, it’s bloody,” he said. limited in scope. maker of prototype parts that is and customers working to re- the long-term goal of having only Ryan Beene: (313) 446-0315, Among the potential choices are now diversifying into defense and duce the number of suppliers 750 suppliers. That’s down from [email protected] private-equity firms, which want alternative energy, continues to an ownership interest, and com- pick up work from General Dynam- Tel-X then turned to Hennessey aries of reasonable risk-taking pa- VW, GM, Ford or Chrysler. It was munity banks, credit union con- ics and A123 Systems Inc., the Capital, to fund equipment to help rameters,” said Julie Wester- automotive,” said Paul Meloche, sortiums and asset-based lenders, Massachusetts-based battery the company diversify. In its due mann, a corporate communica- Fori’s vice president of sales. all of whom have less money to company — which went public diligence, Hennessey determined tions officer in the Chicago office The initial payment terms from lend than national and large re- last week — that has promised to that the company’s collateral ex- of Bank of America. Volkswagen required Fori to car- gional banks. build a big plant in Southeastern ceeded what it owed Comerica. It ry the cost of the job until after in- Michigan. asked Comerica to allow Hen- stallation in 2010. But Fori was Despite all this and what com- nessey to use some of Tel-X’s as- Financing alternatives able to get better payment terms, Private equity pany officials say was a good pay- sets to fund the equipment loan, Some banks are culling even sourced the job through its Ger- Private-equity firms rushed into ment history, Tel-X was told last but Comerica refused. relatively healthy suppliers from man operation, and was able to se- automotive investments several year that the note on its $1.7 mil- “Bankers are very selective in their ranks — companies that cure German bank years ago, driving up multiples lion mortgage for its building on extending credit to auto, for good have paid their bills and serviced financing.Michigan workers at and, ultimately, losing a lot of Ford Road would not be renewed. reason,” said Terry McEvoy, an their debt on time and remained Fori’s Shelby Township head- money for investors. Think Cer- A seven-year note, which had analyst for New York-based Op- profitable. It’s a pain-free way to quarters and assembly facility are berus Capital Management L.P. The followed an initial five-year note, penheimer & Co. Inc. cut auto exposure instead of re- to build the lines, which will be New York firm swooped in to res- was scheduled to be renewed last “For public banks, sharehold- newing credit lines when agree- disassembled, shipped to Chat- cue Chrysler, only to have the au- January, but the bank told owner ers want to see less exposure. And ments reach their maturity. tanooga and reassembled. tomaker land in Chapter 11 bank- Ron Cochell to pay off the note in there’s pressure from the invest- “I think it happens a lot, and “When we told the U.S. banks ruptcy, with Cerberus losing its full. ment community,” he said. “Be- the reason a bank can do that is this was the arrangement we shirt in the process. Private equi- Comerica, through Vice Presi- cause of the scarcity of capital to- because if the company is prof- were able to make with the Ger- ty is much scarcer these days. . dent of Corporate Communica- day, banks don’t want to be in a itable, and they’ve maintained man banks, their comment was Private equity doesn’t want sim- tions Wayne Mielke, declined to position of making bets on win- their borrowing base formulas ‘we could never have done that,’ ” ply to be a lender. It wants equity comment. ners and losers. Do you want to and they’re healthy, another fi- said Rein Roth, Fori’s CFO. and often brings in new manage- Cochell said he has met with make a bet on who will survive nancial institution might take Avon Plastic Products Inc., a ment teams or additions to manage- area regional banks, community and who won’t?” them on,” said Pat O’Keefe, Rochester Hills-based supplier of ment. That’s where Shelby Town- banks and a credit-union consor- Several major local lenders — founder and managing director at injection-molded plastic interior ship’s Fori Automation Inc., which tium but has been told he’ll need Pittsburgh-based PNC Financial Bloomfield Hills-based O’Keefe & parts to automakers and tier-one had just landed a big contract with to show a year of profits first. Services, the parent company of Associates, a turnaround and cor- suppliers that posts roughly $5 Volkswagen AG, backed out. The Cochell said the company has National City Bank; Dallas-based porate finance consultancy that million in annual sales, has been company wasn’t for sale. been close to break-even, plus he Comerica Bank; and Southfield- works with many tier-two and forced to switch to borrowing In 2007, the state’s 21st Century In- has a handful of tenants in his based Fifth Third Bank Eastern tier-three suppliers. “So where from an alternative lender. vestment Fund committed up to $10 120,000-square-foot manufactur- Michigan — declined to comment you’ve got banks that are looking The company gradually moved million in Relativity Fund L.P., based ing facility, which is also the com- or didn’t respond to requests to to reduce their loan portfolios — from a traditional lender, with in Arlington, Va. The auto-supplier- pany headquarters, and collects discuss how much they have re- and reduce them in auto — by not which it had done business for focused fund hasn’t been able to fin- rent on a cell phone tower on the duced their lending to the auto renewing, they force the company more than 20 years, to a Milwau- ish raising the $300 million it is aim- property. sector and why it is considered to go out and find an alternative kee-based asset and receivables ing for and has yet to make an Cochell said Comerica gave prudent to do so. source of financing.” lender in 2006, and most recently investment with state money. him a six-month extension in Jan- Sarah McClelland, president of Take Fori Automation Inc. The to Huntington Woods-based Hen- Managing director Joyce John- uary and another in June, raising the Michigan market for JPMorgan Shelby Township-based supplier nessey Capital, said Gene Giz- son-Miller told Crain’s in July that his interest both times, and re- Chase and head of its central mid- of automotive assembly, testing zarelli, Avon’s CEO. the company looked at eight deals quired him to put $100,000 into a dle market of Michigan, Ohio and and welding equipment was on a While Giz- last year and 10 this year and low-interest-bearing account to Kentucky, said that while Chase roll. Or so it seemed, until compa- zarelli con- hoped to close on one soon. cover possible shortfalls in his doesn’t have much auto exposure, ny officials encountered what cedes that bor- payments. it continues to support existing they thought was a no-brainer: rowing from a Terry McHugh, president and customers and has in some cases getting working capital to fund a traditional Community banks CEO of Commercial Alliance L.L.C., a approved increased funding as big contract — nearly $20 million lender is typi- “A lot of suppliers have come Troy-based consortium of eight customers get new orders. — for the new $790 million Volkswa- cally prefer- knocking on my door. They’ve credit unions formed to do com- She said the bank is very care- gen AG factory in Chattanooga, able, its rela- been calling on all the community mercial lending, said he was im- ful about picking up new auto cus- Tenn. It turned into a lack-of-fi- tionship with bankers. You get a lot of knocks on pressed by Tel-X and its efforts to tomers. “Clearly, we are being nancing nightmare that nearly Hennessey is the door, but are lucky if you get diversify and came very close to highly selective. There’s a lot of killed the deal. strong. one deal,” said Michael Tierney, Gizzarelli approving a loan that would have volatility in the industry, but And that’s even though Fori “At least it’s president and CEO of Madison paid off Comerica. we’re absolutely looking at had done everything recommend- allowed a company like Avon to Heights-based Peoples State Bank. But in the end, because of un- adding new customers.” ed of those in the supply chain: di- continue to survive and have the He said his bank has done three certainty in the auto sector, he de- She said Chase doesn’t release versifying across geographies; opportunity to pick up business or four supplier deals, including cided to hold off. figures on its auto exposure, but across a broad spectrum of au- and diversify,” he said. “It’s alone recently approved for a “The message we sent them its exposure is less now than it tomakers and tier-one suppliers; lowed us to stay in the game.” Belleville firm that couldn’t get its was: you’re fighting a great fight, has been in the past. and across a wide range of vehicle Ryan Beene: (313) 446-0315, current banker to fund a big order you’re doing everything you can, “We continue to lend to this sec- models. [email protected] from Ford Motor Co. but we need to have a year of prof- tor and work with our clients U.S. banks didn’t care. Tom Henderson: (313) 446-0337, its,” he said. when we can within the bound- “The banks didn’t care if it was [email protected] See Lending, Page 10 20090928-NEWS--0010-NAT-CCI-CD_-- 9/24/2009 5:30 PM Page 1

Page 10 CRAIN’S DETROIT BUSINESS September 28, 2009

Finance Monthly Seen or not, liquidations decimate auto supply chain

BY RYAN BEENE for smaller companies that have where from close to a normal mar- CRAIN’S DETROIT BUSINESS closed their doors, but also sold ket value for newer equipment to 5 Banks not quick to dump all suppliers cents or 10 cents on the dollar. manufacturing assets of large firms Despite their reluctance to pressed, some banks actually Hiding in the shadows of the Craig Fitzgerald, a partner and that are still in business, such as lend to suppliers, dumping a loosen the terms of supplier cred- high-profile Chapter 11 bankrupt- automotive supplier consultant at BorgWarner Inc., Lear, Ford Motor Co. shaky supplier client isn’t al- it, hoping they either build up cies of companies such as General Southfield-based Plante & Moran and American Axle & Manufacturing ways an easy decision for banks. sales and recover, or stay on life Motors Corp., Chrysler L.L.C. and mas- P.L.L.C., also says the value recov- Holdings Inc. So many suppliers have liqui- support long enough for liquida- sive suppliers such as Lear Corp., Vis- ered from equipment being sold is Other industrial auction, liqui- dated this year that the market is tion prices to rise, Marcero said. teon Corp. is a rash of quiet liquida- dation and appraisal companies down 30 percent to 60 percent from flooded with real estate, machin- “If they are able to service tions of smaller companies also are seeing a boom in business. about two years ago, from what he’s ery and equipment, making poten- their interest, or they look like throughout the supply chain. Richard Montgomery, president seen anecdotally. tial returns for liquidation slim. they’re not going to default, Industrial auctions of auto sup- of Plymouth-based R.J. Montgomery But the number of smaller auto That’s why banks keep some (banks may be flexible with supplier assets such as stamping press- Inc., said his auto supplier liquida- suppliers that have quietly liquidat- suppliers on life support, said pliers by) loosening the es, computerized machining cen- tion and auction business is up 200 ed this year is “probably in the hun- Laura Marcero, a partner and covenants a little bit to give the ters, assembly line equipment and percent to 300 percent compared dreds,” and it’s the primary way supplier consultant with Grant credit a little bit of room,” she robotics are at their highest level in with last year. that consolidation is happening in Thornton L.L.P. in Southfield. said. years. While he’s never worked in a sup- the supply base. With liquidation returns de- — Ryan Beene Hilco Industrial L.L.C., an industrial plier, he’s heard their stories when “They simply call up their cus- asset liquidation company based in his firm came in during the wind- tomers and say ‘next Friday is go- Farmington Hills, has overseen the down phase. ing to be our last day of production, liquidations of more than 100 local “A lot of these guys were just here’s the status of where we are on auto suppliers so far this year, a 30 working on a shoelace,” he said. “I all of your jobs.’ … That is happen- percent to 40 percent increase from hear their stories — it takes a long ing, literally, on a daily basis, and Lending: Options few 2008, said Robert Levy, president of time to get paid sometimes, the cost you’ll never hear about it,” he said. Hilco Industrial. of steel would go up and kill all their “That is the predominant way that ■ From Page 9 “We’re out looking at opportuni- profit.” the consolidation is happening...It’s “It was a big order and they and, relative to traditional banks, ties from companies that are either Montgomery and Levy say that just a quiet liquidation.” were bringing on a lot of new peo- have far fewer resources available. downsizing or closing,” he said. the value that can be recovered Ryan Beene: (313) 446-0315, ple. We looked at it and said, ‘this Crestmark, for example, plans to Hilco has completed liquidations from asset sales varies greatly, any- [email protected] is someone we want to back.’ ” at least double auto supply financ- Tierney said. ing this year to $20 million, but But he turns most requests down. that’s barely a blip in the $1.4 billion They are either from suppliers rely- Comerica Bank alone has trimmed ing on just one manufacturer or since 2005 from its automotive lend- with a recent history of quarterly ing portfolio. losses. “Unless an owner with a high Crestmark and Hennessey have personal net worth wants to put up started taking new customers again his own money as collateral, fund- now that General Motors Co. and ing them is tough,” he said. Chrysler Group L.L.C. have emerged David Widlak, president and from bankruptcy and concerns of CEO of Mt. Clemens-based Commu- another depression have subsided. nity Central Bank, said he has had Crestmark, which provides work- dozens of calls in the past six ing capital based on accounts re- months from auto suppliers who ceivable, had about 30 auto supply have been cut loose by big banks. customers last fall, what President “Some of them have never been and CEO David Tull refers to as typ- late on a payment,” he said. ically “ma and pa shops” — small He said he’s been able to help two but longtime suppliers. Following so far but that deals are hard to fund the failure of those GM pulled the Doing Business in Mexico given the state of the industry. plug on, it has about 25 now. in Uncertain Economic Times The bank’s credit exposure was 09.30 Toronto, Ontario about $20 million last fall and about 10.01 Windsor, Ontario Credit union consortiums 10.02 Troy, Michigan $10 million now, with three new 10.13 Kalamazoo, Michigan The Ann Arbor-based Michigan deals in underwriting. “We will be 10.14 Grand Rapids, Michigan Business Connection L.L.C. was very active in doing deals. We’re in 10.14 Lansing, Michigan formed by five credit unions in growth mode,” said Tull. 2004 to do commercial lending. Michael Semanco, the president What Role Does Health + Safety Play That same year, Troy-based Com- in Saving Money + Avoiding Penalties (WSIB)? and COO of Hennessey Capital, 09.30 Toronto, Ontario mercial Alliance L.L.C. was formed which does asset-based lending on by eight other credit unions for the accounts receivable, inventory and Workplace Safety and Insurance Board (WSIB) same purpose. machinery, declined to put a dollar Updates and New Legislation: Workplace Violence They have had a lot of inquiries figure on projections for growing its 10.06 Windsor, Ontario from the supply chain, but have auto business. Managing COBRA: Is Your Health Plan Compliant? done little new business. “It’s just “I could have had all the business Presented by Michigan Manufacturers Association real tough knowing who’s going to I could have handled between De- 10.22 Lansing, Michigan survive and who’s not,” said Terry cember and April, but I couldn’t af- Annual Labor + Employment Law Seminar McHugh, president and CEO of ford to lend then,” he said, referring 10.29 Troy, Michigan Commercial Alliance “If you loan to all the unknowns at the time. money out to someone who’s had a He has added three customers Latest in Aggressive Healthcare year or two of losses, the regula- since GM emerged from bankrupt- Fraud Investigation + Law Enforcement tors will swoop down on you.” But cy. “We’re never had more busi- 11.03 Kalamazoo, Michigan both he and Bill Beardsley, MBC ness in the pipeline,” he said. “By 11.03 Grand Rapids, Michigan president and chief lending officer, the end of the year, we’ll double say they welcome inquiries from our auto exposure, and maybe go auto suppliers and will take poten- higher.” tial deals to their credit unions. Even so, it’s another example of a drop in the bucket, relative to industry needs. According to Seman- Asset-based lending co, last year Hennessey provided Troy-based Crestmark Bank and $15 million in financing for 32 com- For more information and to register, please contact Huntington Woods-based Hennessey panies in the U.S., more than two- Capital L.L.C. both provide asset- thirds of them in Michigan. Sandy Bera at 248.267.3345 or ILYH'TPSSLYJHUÄLSKJVm, based lending, which can be crucial Through the first half of the year, Virginia Herrick at 313.496.7548 or OLYYPJR'TPSSLYJHUÄLSKJVm, in helping suppliers meet a cash- it had provided $8 million to 15 com- VY]PZP[TPSSLYJHUÄLSKJVT,]LU[Z flow emergency or fill in the gap panies, six of them in Michigan. while it looks for another tradition- Ryan Beene: (313) 446-0315, al banker. But they charge more [email protected]. MICHIGAN s ILLINOIS s FLORIDA s NEW YORK s OHIO s CANADA s MEXICO s POLAND s CHINA than conventional lenders, are Tom Henderson: (313) 446-0337, meant to be a short-term solution [email protected]. 20090928-NEWS--0011-NAT-CCI-CD_-- 9/24/2009 4:54 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 11 Baseball among pitches to boost Waterford Twp. retail corridor

BY DANIEL DUGGAN Richfield, Minn.-based Best Buy Co. jects in the corridor: ballpark would be part of a revital- phase, $8.5 million project remains CRAIN’S DETROIT BUSINESS Inc. moving from its location north Ⅲ Community Network Services ization, but with a less traditional problematic. After conventional of Summit Place Mall to a site at took 28,000 square feet where a retail look to it and more of a lending proved unavailable, the With the interior of the Summit Telegraph and Square Lake roads. Sports Authority was once located. mixed-use component,” he said. company filed paperwork for an ini- Place Mall in Waterford Township A spring move is planned, said Erin Ⅲ A closed 8,500-square-foot Mur- The brightest hope for the corner tial public offering to sell stock. A now closed and nearby big box re- Gunderson, of the company’s media ray’s Auto Parts was leased by Cali- rests on the proposed baseball stadi- date for the IPO has not been set. tailers moving from the area, local relations department. fornia-based DaVita Inc. as a kidney um for the Oakland County Cruisers. Hilliard is confident that a first economic development teams are Local officials worry that the dialysis center. The Frontier League baseball team phase — with a baseball diamond, hoping to stop the downward slide Target on Telegraph won’t remain Ⅲ A closed 36,000-square-foot currently plays in Ypsilanti but is 1,250 permanent seats and tempo- along Telegraph Road near the open now that it has opened a new Steve and Barry’s was leased by the planning an Oct. 29 groundbreaking rary locker rooms and concessions mall. store three and a half miles away Oakland Intermediate School Dis- for a stadium in the area used for — can be workable for $3.5 million. But if there is a future for the at Telegraph and Square Lake. trict. parking near Summit Place Mall, Engaging businesses that want to area, traditional retail isn’t expect- But as retail stores close, there Banks said while the area faces said Rob Hilliard, president and invest in the area and finding ways ed as much as a mix of uses and en- have been new uses for the spaces. challenges, high traffic counts and CEO of Waterford Township-based to support them with public-sector tertainment concepts, such as a pro- Eric Banks, a principal with the proximity to government offices Diamond Heroes of Southeast Michigan support is the near-term goal to get posed minor league baseball park. Royal Oak-based real estate firm will help demand. Inc., the parent company of the team development moving, Vallina said. “We’re very hopeful of the base- CORE Partners L.L.C., has been in- “If and when the timing is right, and the proposed stadium. Daniel Duggan: (313) 446-0414, ball concept; that’s the kind of volved with three recent reuse pro- a redevelopment of the mall and a However, financing for the two- [email protected] thing that can change the entire dynamic of the area,” said Bob Vallina, community planning and development director for Water- ford Township, where Summit Place and most of the retail space near it resides. Vallina is one of many local offi- Even the busiest CPAs need their own cials concerned about the status of the mall, considered one of the cru- wealth management strategies. cial anchors on Telegraph Road near Elizabeth Lake Road along Especially the busiest CPAs. with the Oakland County courts, government and Oakland Intermedi- ate School District offices. On Sept. 10, ownership of the Summit Place Mall closed the en- closed areas, leaving just the Sears, J.C. Penney and Macy’s anchor stores. Three calls were left for the mall’s owner of record, Timana L.L.C., over two weeks with no response. The closing was expected but still disruptive, said Katie Serewicz, creative director for Art Experience, a nonprofit that was a tenant in the mall and now leases space in Pontiac. “It put us out of commission from the middle of August until the middle of this month.” It has been a long slide for Sum- mit Place, starting with the decision in 1990 to add space by enclos- ing the Sears store, said Jim Bieri, president and CEO of the De- troit-based Bieri Co., which specializes in real estate leasing and consulting. The mall added space but couldn’t lease it. “At that point, Bieri they showed weakness, and once a mall like that shows leasing weakness, it starts heading down,” he said. Though Summit Place has remained a strong Class B mall over the years, the Somerset Collection began to draw upscale shoppers from it, leaving mostly the lower economic sector shopping there. You’ve devoted countless hours to addressing your clients’ needs. Because you know Bieri said the surrounding area successful practices don’t just build themselves. The Private Client Group is now a part also has been harmed by over-de- of PNC – and we take the same intensive, individualized approach. We begin by sitting velopment of big box retail stores. down with you to get the full scope of your business and personal ﬁ nancial goals. For many years, he said, retail- Then we craft a solution to help you, your clients and even your ﬁrm get there. ers wanted to be in surrounding Let us put in the long hours – working for you. Rochester Hills, Bloomfield Town- To experience the Private Client Group in Detroit, ship and Auburn Hills, but there call Randi Bellner, Market Executive, at 248.729.8479. wasn’t a foundation of retail development to allow the growth. “So they all went to the area Wealth Planning | Investments | Private Banking | Trust & Estate Services near Summit Place,” Bieri said. NationalCity.com/PrivateClientGroup “Now they can move to those surrounding areas, so they have.” Kohl’s and Sports Authority closed

their Summit Place locations but The PNC Financial Services Group, Inc. (“PNC”) provides investment and wealth management, ﬁduciary services, FDIC-insured banking products and services, and lending and borrowing of funds through its have other Oakland County stores. subsidiaries, PNC Bank, National Association, PNC Bank, Delaware and National City Bank, which are Members FDIC. PNC does not provide legal, tax or accounting advice. Investments: Not FDIC The latest big box casualty is Insured. No Bank Guarantee. May Lose Value. ©2009 The PNC Financial Services Group, Inc. All rights reserved. 20090928-NEWS--0012-NAT-CCI-CD_-- 9/24/2009 4:05 PM Page 1

Page 12 CRAIN’S DETROIT BUSINESS September 28, 2009

PEOPLE

FINANCE senior vice president, The Timken IN THE SPOTLIGHT Aaron Szabo to Co., Canton, Ohio; also, Jay Phillion to field marketing chief quality and purchasing officer, Warren-based MSX International from vice president of corporate quali- Inc., which provides outsourcing and underwriting manager, ty, Continental AG, Auburn Hills. services for the Amerisure Mutual Michael Sharnas to vice president and automotive Insurance Co., general counsel, , Van industry, has Farmington Hills, Visteon Corp. appointed from senior mar- Buren Township, from assistant gen- Frederick keting under- eral counsel. Minturn writer. Donald Hampton to vice president and president and Thomas Pesha to CEO. Gielow Katsaros Lovell Kramer general manager for the Americas, vice president Hayes Lemmerz International Inc., Minturn, 52, had and regional busi- Szabo supervisor of digital and directory SERVICES Northville, from vice president of been executive ness banking services. vice president manager, First Place Bank, South- Anthony Lovell to vice president of North American wheels group. Minturn and CFO. field, from senior vice president and sales and marketing, Citation Corp., senior retail officer, New Liberty MEDIA Novi, from vice president of sales, In- He replaces interim CEO Richard termet Corp., Fort Worth, Texas. Puricelli, who will remain a director Bank, Plymouth. Jennifer White to director of media of the company. Puricelli’s Grace Cunning- outreach and community relations, Pamela Kramer to vice president of PEOPLE GUIDELINES ham to managing Michigan Public Media, Ann Arbor, business development, Assets Interna- predecessor, Richard Leger, left Announcements are limited to the company in mid-April. underwriter, R.B. from station manager of Michigan tional L.L.C., Southfield, from director of sales, Mantiff Dayton Hospitality management positions. Nonprofit Minturn graduated from Western Jones, Farming- Television, Flint. ton Hills, from se- L.L.C., Dayton, Ohio. and industry group board Michigan University with a BBA in appointments can be found at accounting. nior underwriter, NONPROFITS K&K Insurance SUPPLIERS www.crainsdetroit.com. Send Replacing Group Inc., Ft. Katie Brisson to senior program offi- submissions to Departments, Al Deane to chief technology officer, TI Minturn as CFO Wayne, Ind. cer for the New Economy Initiative, Crain’s Detroit Business, 1155 Automotive Inc., Auburn Hills, from is R. Michael Jim Baird elected Community Foundation for Southeast Gratiot Ave., Detroit, MI 48207- Muraske, who to partner, Plante Michigan, Detroit from community in- 2997, or send e-mail to has been with Moran Financial vestment consultant. [email protected]. MSX for 32 Cunningham Advisors L.L.C., Debra Molitor to director of develop- Releases must contain the person’s years, most Southfield, remaining chief investment, The Salvation Army of Washte- name, new title, company, city in recently as vice ment strategist. president- naw County, Ann Arbor, from Michi- which the person will work, former title, former company (if not finance director MARKETING gan Radio account executive, of MSXI University of Michigan, Ann Arbor. promoted from within) and former city in which the person worked. Muraske Americas. John Gielow to director of digital strategy and vice president, Simons Marc Lorelli, shareholder, Brooks Photos are welcome, but we cannot Muraske, also 52, attended Michelson Zieve Inc., Troy, from ac- Kushman P.C., Southfield, appointed guarantee they will be used. Madonna University and worked count supervisor; also, Louie Katsaros to president, Michigan Intellectual toward a BBA. to vice president, remaining account Property Law Association, Troy. Deane Philion

BRIEFLY Two state IUOE units merge vices and organ procurement for ceived “zero” ratings in the latest million drop in industrial rates; a SBA statement. solid organ transplantation. quarterly five-state ratings report 0.82 percent, $10.8 percent drop in In the weeks ahead, federal Michigan’s two local units of the — Bill Shea by BauerFinancial Inc., a Florida- commercial rates; and a 1.56 per- agency procurement officers will International Union of Operating Engi- based financial-institutions rat- cent, $31.1 million increase in resi- take part in more than 200 events neers have merged into a single ings service. dential rates. designed to connect small busi- union local representing more Horiba wins TARDEC contract That’s up from seven local — Amy Lane nesses with contracting opportuni- than 17,500 workers statewide. Horiba Automotive Test Systems banks and 10 state banks that got ties as another element of the ini- Bloomfield Hills-based IUOE Lo- Corp. of Troy has won a contract to zero stars in June. tiative. cal 324, which represents about build the test system for a new lab- Area banks with the lowest rat- Angels’ Place nears $6M capital The SBA and Commerce are also 12,000 heavy equipment operators, oratory under construction at the ing were Citizens State Bank of New campaign and endowment goal reaching out to officials across the mechanics and technicians, folds U.S. Army Tank Automotive Research Baltimore, Clarkston State Bank, government, according to the IUOE Local 547 and its 5,500 or so Development and Engineering Center First National Bank of Howell, Home Southfield-based Angels’ Place statement. members into its ranks. in Warren. Federal Savings Bank in Detroit, has $200,000 left to raise of its 2004 The course is available online at Local 547 represented workers A spokesman for Horiba de- Lakeside Community Bank of Ster- $6 million capital campaign and www.sba.gov/fedcontractingtrain at public schools, universities and scribed the contract as a “multi- ling Heights, New Liberty Bank of endowment goal. ing. community colleges, casinos and million-dollar” agreement, but ex- Plymouth, Oxford Bank and Warren Birmingham attorney Alan — Nancy Kaffer elsewhere. The combined union lo- act terms were not made available. Bank. Miller of Alan R. Miller P.C. has cal will keep Local 324’s name and Horiba will be a subcontractor Only one metro Detroit bank, made a commitment to match gifts its Bloomfield Hills headquarters. for San Diego-based Science Appli- out of 21 state-based banks, got five of up to $100,000, the nonprofit said State Unemployment Insurance — Chad Halcom cations International Corp., which is stars: Dearborn-based Auto Club in a release. Agency plans employer seminars the prime contractor for Trust FSB, a limited-purpose bank A number of organizations and The Michigan Unemployment In- TARDEC’s $40.3 million Ground affiliated with AAA Michigan. donors made lead grants of UM signs contracts for surance Agency has scheduled a se- Systems Power and Energy Labo- BauerFinancial bases its ratings $500,000 or more in the campaign. ries of employer seminars on Survival Flight program ratory. Construction started re- for all banks nationally on the de- They are the R.C. Mahon Michigan’s unemployment insur- cently, following an Aug. 17 tailed quarterly financial data Foundation, the Joliat family, the The University of Michigan has ance tax and benefit programs. groundbreaking ceremony. they are required to file with their Wayne and Joan Webber Foundation signed multiyear agreements with The 10 free half-day sessions will The Horiba test system, slated to federal regulators. and the John P. Dinan Trust. Pentastar Aviation L.L.C. and Penta- be held at locations throughout the go online in 2011, will be used in — Tom Henderson Angels’ Place operates 17 homes star Aviation Charter Inc. at Oakland state in October and November, in- Ground Systems’ Power and Ener- and a nonresidential services pro- County International Airport to run cluding two in Southeast Michi- gy Environmental Laboratory. It gram for people with developmen- the university medical center’s State delays proposed gan. will be the world’s largest environ- tal disabilities in Wayne, Oakland fixed-wing Survival Flight pro- Seminar topics include how UI mental testing chamber for com- Edison rate changes gram. and Macomb counties. benefits are paid and charged to bat vehicles, allowing researchers — Sherri Begin Welch Financial terms were not dis- Changes in Detroit Edison Co. employer accounts, new online to simulate the effect of extreme closed. The service is expected to rates that were scheduled for agency services for employers, terrain on tracked vehicles weigh- begin by month’s end. Thursday have been put on hold how employer tax rates are calcu- ing as much as 44 tons and trucks SBA offers training on winning Pentastar will provide Survival by the Michigan Public Service Com- lated, and how to appeal an agency weighing as much as 33 tons. Flight-dedicated pilots, training, mission. federal contracts determination. The research will support ef- management, maintenance and The PSC directed Edison to wait The U.S. Small Business Adminis- Southeast Michigan sessions forts to incorporate hybrid and storage for the new Cessna Cita- on the changes, pending PSC ac- tration is offering an online train- are scheduled Oct. 30 in Clinton other advanced fuel technologies tion Encore light jet that’s now be- tion in a current Edison rate case ing course to help small business- Township and Nov. 10 in Dear- into military vehicles. ing outfitted as a medical flight that’s due for a final order by late es gain access to contracting born. — Gabe Nelson aircraft, said Mike Baker, the avia- January. opportunities. Registration forms are available tion company’s vice president of The changes reflect a gradual “Recovery Act Opportunities: on the agency’s Web site, safety and compliance. 8 local banks get ‘zero’ rating move to cost-of-service rates, end- How to Win Federal Contracts” is www.michigan.gov/uia. Employ- Survival Flight is the University ing business’ subsidy of residen- part of an initiative announced by ers with questions can also call the of Michigan Health System’s air from BauerFinancial Inc. tial rates. President Barack Obama and be- agency’s customer relations staff transportation service for patients Eight banks in Southeast Michi- The Oct. 1 realignment would ing led by SBA and the U.S. Depart- at (800) 638-3994. who need specialized medical ser- gan and 12 in the state have re- have meant a 1.46 percent, $19.6 ment of Commerce, according to an — Amy Lane 20090928-NEWS--0001-RG1-CCI-CD_-- 9/23/20094:41PMPage1 Automation Alley Awards R Solutions,PageE4 SRT and co-founder, Vice president Bill Wagner Leader oftheYear Solutions Inc.,PageE3 Strategic Staffing President andCEO, Cynthia Pasky Services Inc.,PageE2 Chairman, Kelly Terence Adderley Page E4 Frank DeLaura,CEO, My1HIE L.L.C. founder, PageE4 Frank Hennessey, Hennessey Capital Emerging CEO oftheYear Legend CEO Emerging Technology Company Member oftheYear Chris Hopkins,CEO,PageE5 Communications Inc. Grid4 Page E5 Shari Heiney, executivedirector, Chamber ofCommerce Rochester Regional and CEO,PageE5 Jamey Fitzpatrick,president University Michigan Virtual Technology Company Nonprofit Educational Program

CRAIN’SDETROITBUSINESS 20090928-NEWS--0002-RG1-CCI-CD_-- 9/23/2009 4:34 PM Page 1

Page E2 CRAIN’S DETROIT BUSINESS September 28, 2009 2009 Automation Alley Awards Celebrating technology

Lotus Bank Congratulates The leaders for 10 years utomation Alley’s annual institutions. We proudly collabo- Automation Alley Gala Award Winners. Awards Gala is meant to rate with our regional partners A celebrate Southeast Michi- from the city of Detroit, Genesee, gan’s most innovative technology Livingston, Macomb, Monroe, leaders. Oakland, St. Clair, Wayne, and The 2009 award winners and fi- Washtenaw counties. Our diverse Banking designed to fuel the growth nalists highlighted in this section membership of more than 1,000 of businesses. exemplify individuals and compa- members represents the brightest nies working hard to improve the and best from a variety of indus- As one of the most well capitalized banks in Michigan, your money is safe and sound. region and its technology econo- tries, including manufacturing, in- my. They were honored at the formation technology, and more.” Business, Professional Practice awards ceremony held Friday at The organization has evolved & Commercial Real Estate Loans. the Roostertail in Detroit. into one of the national largest Equipment Financing. This year, Automation Alley also business associations of its kind. is celebrating its 10th anniversary. Accomplishments, according to Working Capital Financing. Ken Rogers, Automation Alley ex- Rogers, include: Electronic Remote Deposit Capture ecutive director, said the organiza- Ⅲ Hosting 10 international trade offered to qualifying business tion “can mark a decade of success- missions that have garnered $141 accounts. Ask about it today! es that have enabled our members million in contracts for local com- and Southeast Michigan’s technolo- panies. gy community to thrive.” Ⅲ Providing $4.85 million in As in past years, Rogers said, seed funding to 25 startup technol- this year’s selection of winners ex- ogy companies, allowing them to emplifies “exceptional leadership, develop, expand and thrive. Banking Redefined® collaboration, and commitment to Ⅲ Assisting in the creation of 44350 West 12 Mile Road the region.” 350 new jobs in Southeast Michi- Novi, Michigan 48377 In 1999, Automation Alley was gan. 248.735.1000 founded by Oakland County Exec- Ⅲ Diversifying companies www.lotusbank.net utive L. Brooks Patterson with the through consulting opportunities intent of branding Southeast with the U.S. military. Michigan as a global center for in- The finalists and winners of the novation and technology. annual awards are examples of “Today, Automation Alley is a what can come of hard work and regional initiative focusing on fos- innovation. Their efforts are tering partnerships between busi- bringing the region new business- ness, government and educational es, new jobs and new revenue.

with change than some of our good LEGEND CEO ol’ customers,” Adderley said. “That’s one of the advantages we Terence Adderley have, because we have always Chairman been changing.” Kelly Services Inc. No two days are ever the same, Troy Adderley said. He’s proud of the role the compa- elly Services Inc. struggled ny — first under his father and when it first launched its now under him — has played in K engineering division in the providing women access to profes- 1970s. sional technical positions. The company had made a name He’s also proud of the company’s for itself providing “Kelly Girl” history of serving as a beta test site office assistants and had its work for new software developed by Mi- cut out for itself convincing po- crosoft Corp. That relationship al- tential customers that it could lows Microsoft to gain real-world also provide testing of its new products before professional it takes them to employers and en- technical help sures a core group of people — and that cus- trained to use the software when tomers could companies adopt it. Microsoft in get quality engi- 2007 named Kelly its Minority neers on a con- Vendor of the Year. tract basis in Technology can only live up to the first place. its promise with qualified people, Under Chair- Adderley said. man Terence Adderley Like his father, Adderley is a Patricia and Leon Yulkowski, seated in front of the state-of-art UV paint line, review the final layout for their new Oakland County Michigan production facility. Adderley’s lead- strong believer in continued train- ership, the company has launched ing for employees. Kelly provides Who gets the call when the motivator and the innovator have questions? not only a successful engineering free training programs for its con- staffing division, but also a num- tract employees to upgrade their MMTC does. ber of other technical divisions in skills. areas including information tech- Initially, training was in areas Total Door founder, innovator and father - Leon Yulkowski. nology, finance, business and re- such as office clerical, helping as- Total Door president, motivator and daughter - Patricia Yulkowski. cruitment processes, science and sistants transition from typewrit- health care. ers to computers. Later it was in Through manufacturing layout revisions, LEAN implementation and ISO compliance, Most recently, Kelly launched areas such as automation. they have asked many questions and turned to the MMTC for operational improvement assistance since 2006. its health care informatics divi- In 1995, Kelly launched Pin- sion to provide information tech- Point, a state-of-the-art teaching And the partnership continues. nology and health care employees and testing software. And today, to assist hospitals and doctors of- the company provides an online fices shift to electronic health training center for its professional Congratulations to the 2009 Automation Alley Gala award MMTC, where (motivators, innovators and) manufacturers go for solutions. records systems. scientist staff members. nominees from the 2007 Non-Profit of the Year recipient. www.mmtc.org “We’re much more able to deal See Page E3 20090928-NEWS--0003-RG1-CCI-CD_-- 9/23/2009 4:35 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page E3 2009 Automation Alley Awards

From Page E2 Southeastern Michigan, the U.S. Kelly’s flexible workforce is Baltic Foundation and YouthVille De- well-positioned to respond to the troit. needs of today’s employers that She is also a former chair of the need flexible employment, and the Detroit Regional Chamber, and she needs of employees looking for spearheaded the creation of the Lifestyle for Rent flexible employment options, United Way’s 2-1-1 On the Go! pro- Adderley said. gram, which sends volunteers into Under his leadership, the com- Detroit communities to help home- pany now provides staff for more less people secure permanent than 95 percent of Fortune 500 housing and employment. companies, as well as to privately “Her leadership and philan- held regional firms. thropy are to be admired,” said During Adderley’s tenure, Kel- Ken Rogers, executive director of ly’s revenue has grown from more Automation Alley, in an e-mail. than $100 million in 1973 to $5.5 bil- “She’s got such passion for South- lion last year. Kelly employs east Michigan, whether it be vol- 650,000 globally. Adderley has kept unteering or bringing new jobs the company he took public based and companies to the region. Cyn- in Southeast Michigan, where his thia’s 19 years of continued growth father founded it. at Strategic Staffing Solutions are Adderley, a foundation member further proof that she’s deserving and a founding member of Au- of the CEO of the Year award.” tomation Alley, has served as Strategic Staffing is the fourth- chairman of the Workforce and largest woman-owned business in Education Committee of the Oak- Southeast Michigan, according to land County Business Roundtable the 2009 Crain’s Book of Lists, as since its inception in 1993. The well as the fourth-largest staffing committee makes recommenda- company and fifth-largest comput- tions to Oakland County Executive er services company. Pasky twice L. Brooks Patterson on workforce has been named one of Detroit’s readiness issues in the county. Most Influential Women by Short-Term & Long-Term Leases • Furnished & Unfurnished Apartments For the past several years, Crain’s, and has also received En- Adderley has rung the opening trepreneur of the Year honors LIFESTYLE • SERVICE • BENEFITS bell for the Nasdaq market on St. from Ernst & Young L.L.P. Patrick’s Day. Strategic Staffing’s success can EMAIL [email protected] • 888.472.7129 • EXPLORE VILLAGEGREEN.COM And, even in his private life, be attributed to Pasky’s insistence Adderley has put himself and Oak- that employees be recognized for land County on the map. their achievements. Every em- Ann Arbor • Auburn Hills • Canton • Detroit • Farmington Hills The avid car collector won the ployee is eligible to participate in Howell • Lake St. Clair • Livonia • New Hudson • Northville • Oak Park • Rochester Concours Triple Crown in 1994 by the “S3 Club” program, which of- taking best in show at Meadow fers an all-expenses-paid trip to Rochester Hills • Royal Oak • Southfield • Southgate • South Rockwood • Troy Brook Concours d’Elegance in employees who meet annual goals. Rochester, the Concours d’Elegance In 2008, the company flew 34 em- in Pebble Beach, Calif., and the ployees and their guests to Hawaii Auburn Cord Duesenberg Festival for a five-day vacation. in Auburn, Ind., with his 1933 Due- The company also has an open- senberg J. Rollston Torpedo Con- door policy at its offices, removing vertible Victoria. office doors from their hinges in ef- — Sherri Begin Welch forts to promote communication and teamwork. The largest acquisition in S3’s history came last year, when the company bought Calabasas, Calif.- CEO OF THE YEAR based National Technical Systems’ Cynthia Pasky technical resources division. The acquisition brought five offices President and CEO and 180 employees into the compa- Strategic Staffing Solutions Inc. ny and added $20 million to S3’s Detroit revenue last year. or the past 19 years, just like Though acquisitions and expan- clockwork, Detroit-based sions have given the company a F Strategic Staffing Solutions has presence on the national and glob- posted annual revenue growth al stage, Pasky has maintained a while becoming a leader in the ef- focus on improving the fortunes of fort to redevelop Detroit. Southeast Michigan and the city of Since President and CEO Cyn- Detroit. thia Pasky The company, headquartered at founded the IT the Penobscot Building in down- staffing compa- town Detroit, has encouraged ny in 1990, it has clients to locate new offices in the grown from region rather than moving opera- three to 1,700 tions elsewhere. It is developing a 2/D3<>=@B/<2/CB=;/B7=</::3G employees, 200-employee IT center in Detroit opening and ac- for a client that had considered quiring offices outsourcing it to India. >/@B<3@7<5B=;=D3;71675/<4=@E/@2 in more than 20 Pasky co-chairs the urban strategies committee of Business EWbVO "gSO`bÒRWbW]\]T^`SÔ`W\UabcRS\baT]`bVSQVO\UW\U\SSRa]T cities in the U.S. Pasky and Europe. Its Leaders for Michigan, which former- S[^Z]gSà2OdS\^]`bC\WdSàWbg`S[OW\aQ][[WbbSRb]ORg\O[WQ`SOZe]`ZR revenue more than doubled over ly was called Detroit Renaissance Qc``WQcZc[bVObeWZZQ]\bW\cSb][SSbbVSRS[O\Ra]T;WQVWUO\¸aSQ]\][g the past five years, from $67 mil- Inc. before the organization ex- lion in 2003 to $160 million in 2008. panded its focus statewide. Much of the credit belongs to “We’re going to offer what re- Pasky, who has used her success sources we can, whether it’s ideas, 2OdS\^]`b¸a3fSQcbWdS;0/^`]UÒ[ in business to become one of the staff, dollars, lobbying to position \][W\ObSRT]`/cb][ObW]\/ZZSg¸a3RcQObW]\OZ Detroit area’s most prominent our city to stabilize and start to >`]UÒ[]TbVSGSO` boosters. move forward,” she told Crain’s /aYOP]cb]cà^SQWOZbcWbW]\^`WQW\U Pasky sits on the boards of more during a September interview dis- T]`/cb][ObW]\/ZZSg;S[PS`S[^Z]gSSa than a half-dozen organizations, cussing the goals of the organiza- 0CA7<3AAjB316<=:=5Gj63/:B6 including the Community Founda- tion. “Here’s a group of individu- tion for Southeastern Michigan, the als looking to do what’s right for eeeROdS\^]`bSRc]` &$&$ $ Detroit Institute of Arts, Business the state, which is make Detroit Leaders for Michigan, the Downtown right.” Detroit Partnership, the United Way of — Gabe Nelson 20090928-NEWS--0004-RG1-CCI-CD_-- 9/23/2009 4:36 PM Page 1

Page E4 CRAIN’S DETROIT BUSINESS September 28, 2009 2009 Automation Alley Awards EMERGING LEADER OF THE YEAR EMERGING TECHNOLOGY You try to help as Bill Wagner “ COMPANY OF THE YEAR Vice president and co-founder many people as you My1HIE L.L.C. SRT Solutions Ann Arbor can.” Bingham Farms ill Wagner doesn’t work for Michael Semanco, ingham Farms-based Microsoft, but he knows Hennessey Capital my1HIE L.L.C. stands for “my B more about its C# (pro- B one health information ex- nounced C sharp) programming change,” a company on the leading language than almost anyone. edge of health care information. He has written three books on the Founded in 2008, the company language — The C# Core Language has developed a physician-driven Little Black Book health information exchange with (2002), Effective expansive goals: lowering health C# (2004) and care costs, improving the quality More Effective C# of care, reducing duplication of ef- (2008) — and is in fort and allowing doctors to spend the final stages of more time on patients and less on editing the sec- record-keeping and assessing med- ond edition of Ef- Hennessey Semanco ical information. fective C#. The rewards, given the federal He also writes MEMBER OF THE YEAR mandate for electronic medical a monthly tech- record keeping and the $19 billion Wagner nical column on Hennessey Capital in stimulus money to move it for- the language for Visual Studio Mag- Huntington Woods ward, are potentially huge. azine, will begin a regular column “My1HIE is quickly becoming a after the first of the year on C# for leader in the medical technology ennessey Capital L.L.C. was the online Microsoft Development space,” said Ken Rogers, Automa- chosen Automation Alley Center, and is one of only four non- tion Alley’s executive director. H Member of the Year both for Microsoft employees allowed to “The company’s ability to share its strong business model and for its post blogs about the language. patient information is not only a contributions to nonprofit econom- Wagner, 45, has been designated benefit to medical providers, but ic development organization. a Most Valuable Professional by Mi- also to patients.” crosoft, a title designed to alert the “Their staff has devoted much Learning today. Transforming tomorrow. time, energy and expertise to our He predicted that the company technical community to the best “will continue to have a positive and brightest experts on Microsoft programming and services, including presenting, offering guidance impact as the medical industry products. In addition, he has been continues to expand and evolve.” named a regional director by the and demonstrating strong leadership,” said Ken Rogers, Automation The company began with 3,000 software giant, the highest designa- independent practicing physicians tion Microsoft has for nonemploy- Alley’s executive director. These are boom times for asset- in Southeast Michigan, with United ees. The title designates him as an Physicians, Olympia Medical Services early adopter of technology and a based lenders, and have been since the credit marks froze solid last fall. and Continuum Management as par- technical resource. ticipating physician groups. In 2000, Wagner and Dianne “We’ve got a record amount of business in the pipeline,” said Since then, 4,500 physicians Marsh founded Ann Arbor-based have been added — including SRT Solutions, a company that President and COO Michael Se- manco. “You try to help as many Huron Valley Physicians Association, uses a variety of programming lan- Oakland Physicians Network Services guages to build customized soft- people as you can, but you can’t be and the Detroit Medical Center — ware in-house for a variety of an open checkbook or we wouldn’t now involving a total of more than clients, including the University of be talking.” one million patients. Michigan Health System, General Mo- Last year, Hennessey, which At the heart of the information tors Co., Unisys, Thomson Reuters also has offices in Boston, Tampa is a Web-based gateway called My and Siemens Medical. and San Francisco, provided work- Workspace that allows electronic In 2002, SRT created software for ing capital facilities to 32 cus- prescribing, chronic disease reg- Siemens that now is marketed with tomers and committed $15 million istries, electronic documents and its ultrasound machines. The soft- in capital. Through June this year, lab results — all compliant with ware analyzes images of a heart it committed $7.9 million for 15 beating and measures variances in companies. the Health Insurance Portability the movement of tiny parts of heart One area of growth in the last and Account- muscle, alerting doctors to specific half of this year, said Semanco, ability Act — potential trouble areas. will be funding the financing and easy mes- “We do custom development, needs of those in the auto supply saging. leveraging off-the-shelf software chain as they get orders for new The company, where possible,” said Wagner, business to fulfill the OEMs’ post headed up by SRT’s vice president. Marsh is cash-for-clunkers manufacturing CEO Frank De- president. ramp-up. Laura, is the Wagner has helped found two “We’ve added three auto clients largest private technology user groups in South- since General Motors came out of physicians’ ex- east Michigan: the Great Lakes bankruptcy and by the end of the change in DeLaura Area.NET Group, known as year, doubling our auto supply ex- Michigan. It has GANG, and the Ann Arbor.NET posure is a safe bet. And it could go created more than 20 new jobs and Developer Group, known as AAD- higher,” said Semanco. has ambitious growth and hiring ND. He is program chairman for Semanco, a member of the plans. It projects 2009 revenue of the Ann Arbor Computer Society. Crain’s class of 40 under 40 in 2007, $2.1 million and $10 million for SRT provides free meeting space was recruited to the fledgling Hen- 2011. for those and other user groups. nessey Capital by founder Frank — Tom Henderson “We try to help software devel- Hennessey in 2002. Hennessey opers develop the skills they need arranges financing for young com- to become state of the art,” he said. panies that don’t have enough of a SRT has been growing rapidly. track record for traditional bank (My1HIE’s) Until 2005, its cofounders were the financing, and for companies that “ only employees. It employed six at have been cut loose by banks be- ability to share the beginning of 2008, began the cause they’ve had some financial year with 10 and is at 15 now, said setbacks. Or, in the case of auto patient information Wagner. suppliers recently, because Wagner is on the fundraising lenders have tightened lending is not only a benefit committee of St. Joseph Hospital in standards in a down economy. Saline and helped organize the Ann Last year, Hennessey was the to medical providers, Arbor Give Camp, which has donated Michigan Small Business Associa- more than $1 million in software tion’s Financial Services Champi- but also to patients. for area charities. on of the Year. ” — Tom Henderson — Tom Henderson Ken Rogers, Automation Alley 20090928-NEWS--0005-RG1-CCI-CD_-- 9/23/2009 4:36 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page E5 2009 Automation Alley Awards

from the Rochester Regional TECHNOLOGY COMPANY EDUCATIONAL PROGRAM Chamber of Commerce, which OF THE YEAR OF THE YEAR has grown into Oakland Coun- When you have a strong ty’s largest chamber. The non- “ Grid4 Communications Inc. Michigan Virtual University profit chamber, founded in leadership that listens and responds 1955, represents Rochester, Troy Lansing Rochester Hills and Oakland to the needs of the members, you get Township, but about a third of n classic entrepreneurial fash- hanks to Michigan Virtual Uni- the group’s 1,500 members really strong results. ion, Grid4 Communications Inc. versity, a nonprofit founded by come from outside those com- ” started in President and CEO T the state in 1998, students can Sheri Heiney, Rochester Regional Chamber of Commerce I munities. browse courses from more than two Chris Hopkins’ basement. Membership has nearly doubled Rochester last year to watch the as social networking sites, such as dozen community colleges and earn When Hopkins started the com- over the past decade, while budget- parade, which was also broadcast Facebook and Twitter. More than 95 college credits from behind their pany in 2001, along with five col- ed revenue has grown from $135,000 live on WXYZ-Channel 7. percent of the chamber’s communi- keyboards. leagues that included brothers Sheri Heiney, the chamber’s ex- cations are now done electronically. The Lansing-based organization in 1999 to $400,000 this year. Mark and Michael, their office fur- also offers online access to middle Increased funding has allowed ecutive director, said one of the The organization won the 2008 niture was sim- school, high school and test the chamber this year to sponsor chamber’s most important services Outstanding Chamber of the Year ple: garage sale preparatory courses, allowing stu- more than 100 networking events is staying abreast of news and legis- award from the Lansing-based chairs and ta- dents to catch up on course work or and classes, as well as such pro- lation affecting local businesses. Michigan Association of Chamber bles from Cost- even jump ahead. grams as the Young Professionals Legislators and officials from the Professionals. co. To date, more than 64,000 stu- of Rochester group, targeted at city, county and state frequently at- “Our mission is to provide lead- But their goal dents have enrolled in middle people under 40. tend events and speak to chamber ership and resources. When you was ambitious: school and high school courses The chamber’s signature event members, she said. have a strong leadership that lis- delivering cut- through the organization’s Michigan is the annual Rochester Home- The chamber’s six employees pri- tens and responds to the needs of town Christmas Parade, now in its ting-edge Virtual School program, which tar- marily communicate with mem- the members, you get really strong 58th year. About 75,000 spectators bers through the nonprofit’s Web telecommunica- gets gifted students, special-needs results,” said Heiney. Hopkins students, home-schooled children converged on Main Street in site and e-mail newsletters, as well — Gabe Nelson tions technology and students making up for time at prices that small and midsize out of school. businesses could afford. “Michigan Virtual University of- Eight years later, Grid4’s prod- fers students across the state the uct portfolio includes Internet unique opportunity to enroll in a phone service, broadband Internet variety of core academic and en- access and private data network- richment courses,” said Ken ing services. Rogers, executive director of Au- The company’s newest offering tomation Alley. “Their technology is Hosted IP PBX, a unified phone tools and resources are an integral and Internet system that reduces a element of their sophisticated customer’s need to invest in equip- learning environment.” With 40 full-time employees, ment and infrastructure, Hopkins MVU had revenue of $5 million in said. 2008. It hopes to have 40,000 stu- “Our next-generation network dents enrolled in online courses an- is something that the large cable nually by 2014. Jamey Fitzpatrick is and telecommunications president and CEO. providers like AT&T would build The organiza- today if they had to start over. tion laid the They’re encumbered with legacy foundation for infrastructure,” he said. the Michigan Over the past eight years, Grid4 Community Col- has grown into a thriving Internet- lege Virtual Learn- based communications firm with ing Collaborative, 31 employees and revenue of $8 which allows million. community college students to It aims to increase revenue to earn credits on- $20 million within two years while line at other col- Fitzpatrick doubling or tripling the number of leges. Among the participants are employees. community colleges in Wayne, Oak- Grid4 has been a member of Au- land, Macomb and Washtenaw tomation Alley since 2001 and also counties. participates in several local cham- More than 45,000 educators are bers of commerce. enrolled in MVU’s LearnPort pro- The company has long since gram, which offers online courses moved out of the basement, and re- and programs for professional de- cently completed a renovation of velopment; and through a partner- LLP. its 35,000-square-foot office on ship with Michigan State University’s There are no unimportant clients at UHY Crooks Road in Troy. The office Confucius Institute, the MVU started You’re thinking about hiring an accounting firm. And you’re nervous. now includes a state-of-the-art offering the nation’s first online training and technology center Mandarin Chinese courses in 2006. At the first meeting, the top dogs will all be there. But after that, you’ll probably The organization’s efforts con- and has room for more than 50 new tributed to the state of Michigan’s be dealing with a very – junior – associate. employees, Hopkins said. second-place ranking among U.S. At UHY LLP, our philosophy is entirely different. The digs might be more comfort- states in the Folsom, Calif.-based able these days, but Grid4 has Center for Digital Education’s 2008 Our partners stay involved. For us, it’s not about how big your company is, it’s maintained its focus on providing analysis of online learning policies about how big your ideas are. cutting-edge communications ser- and practices. vices to Michigan businesses. — Gabe Nelson In fact, many of our biggest clients today, started out with nothing. And we’ve Though the company has target- enjoyed helping them grow. It’s a thrill for all of us. ed smaller businesses since its inception, several larger companies So if you’re looking for proven financial wisdom and experience, why not give have signed on as well, including UHY LLP a call? You’ll be surprised how fast we call you back. Every time. Detroit-based Compuware Corp., NONPROFIT OF THE YEAR Southfield-based Real Estate One You have our undivided attention. Inc. and Roseville-based National Rochester Regional Coney Island Inc. Chamber of Commerce “We recognize that we are their Rochester lifeline,” Hopkins said. “If they can’t make phone calls or use the he leafy suburbs of Internet, they’re dead in the water. Rochester and Rochester We take that very seriously, and T Hills often place highly in we just get it done right.” rankings of the nation’s best Anthony Frabotta, Partner-in-Charge, MI-UHY LLP 586.254.1040 — Gabe Nelson places to live, boosted by lobbying 20090928-NEWS--0006-RG1-CCI-CD_-- 9/23/2009 4:38 PM Page 1

Page E6 CRAIN’S DETROIT BUSINESS September 28, 2009 2009 Automation Alley Awards CEO OF THE YEAR FINALISTS Symonds has added 30 employ- dent and founder, has become a one- Hopkins out for his opinion, he NxtGen Emission Controls Inc. ees in the past two years and plans stop shop for corporate clients look- volunteers his time, effort, energy Wixom to hire 30 more. The company is ing for Web services such as custom and ideas regularly and offers Dr. Prabhakar Patil NxtGen is a supplier of syngas expanding in Auburn Hills. Web site design, Web site manage- them up in a quiet, persuasive systems for clean diesel and engine Compact Power Inc. ment and Internet marketing. style. As chairman of the Technol- control optimization. NxtGen’s Troy The company has evolved in a ogy Committee, he has brought in technology make existing and new Dr. Prabhakar Patil has been way that combines the creative innovative speakers, such as na- internal combustion engines clean- leading the charge in pushing inter- marketing talents of the staff with tional experts on the stimulus er and more efficient to meet global est in lithium-ion batteries and for technical expertise. Last year had package, and has created new pro- MERGING EADER emission regulations. NxtGen’s Compact Power Inc. as the supplier of E L a heavy focus on Internet market- ject teams that address member technology enables catalytic emis- choice by manufacturers. CPI, a ing, especially social media. Kra- needs. OF THE YEAR FINALISTS sion control systems to work effec- subsidiary of LG Chem, was selected son is known for translating high- tively in low temperature operation to be the production source for sup- tech ideas into terms that Stephen Hyer and lower fuel consumption. The 32- plying General Motors Co.’s Chevro- executives with different levels of IGD Solutions employee firm was formed in 2004 let Volt. The company also has expertise can understand. Clarkston and is now moving forward with rapidly increased its base of local product commercialization, start- employees. It had 15 employees in Stephen Hyer has been recog- ing with retrofit diesel after-treat- 2006 and is at 90 today. Venture-cap- nized as a leading Web provider EMERGING TECHNOLOGY ment systems. ital and private-equity groups have and designer. taken note, and Patil’s vision and Hyer formed IGD prior to his MEMBER OF THE YEAR FINALISTS COMPANY OF THE YEAR FINALISTS credibility are unrivaled. He’s a fre- graduation from University of Michi- quent speaker at events and a guest gan — and he graduated in three Grid4 Communications Hughes Telematics Inc. lecturer at universities. years. Hyer adapts with the times Oakland Township Troy and has proven to have foresight. Hughes Telematics Inc. offers a TECHNOLOGY COMPANY Mark Symonds For example, one of IGD’s growing Grid4 Communications is noted for portfolio of consumer, manufac- Plex Systems services is offering bandwidth bringing normally expensive tech- turer, fleet and dealer telematics OF THE YEAR FINALISTS Auburn Hills management to colleges and uni- nology into line with realistic bud- services. The company’s products versities nationwide, a trend Hyer gets. Automation Alley members, Datamatics Global Services Inc. Mark Symonds took over leader- allow connectivity between dri- predicted three years ago. specifically, have benefited from Livonia ship of the company two years ago vers and in-vehicle systems and The company also provides Web Grid4’s ability to drive down costs. Datamatics provides business and has driven sales growth and content providers and call cen- site and hosting services, cus- Grid4 has been an active Foun- process management and IT ser- increased visibility in the indus- ters. Besides applications that in- tomized applications programs and dation member of Automation Al- vices used to capture data, manage try. Plex Systems has rapidly ex- clude deciphering check-engine search engine optimization and ley, the highest level of member- workflow and automate processes. panded and diversified its markets lights or allowing for emergency analysis. IGD has developed about ship, since 2001, and the company Examples of business process and customer base. In 2008, Plex calls, there are other services, 550 Web site projects for companies has hosted or sponsored events. management include ePayables added 52 new customers and in- such as emissions monitoring or of all sizes and nonprofits. Manager, a Web-based tool for creased revenue by 33 percent. In monitoring family or fleet dri- Duane Hopkins managing invoice processing, and 2007, Symonds made a then-contro- ving. The Atlanta-based company Kevin Krason iQ, a document processing tool. versial decision to switch to all- Innovative Corporate Solutions Inc. with its Michigan office in Oak- IT development and support is subscription pricing for the com- Biznet Internet Solutions South Lyon land Township will have its offered in a range of specialties, pany’s software product that helps Wixom CEO Duane Hopkins is known telematics products in 2010 model and the company serves customers manufacturing companies cut Biznet Internet Solutions, with as a proactive leader. Nominators year Chrysler and Mercedes vehi- costs and increase efficiency. Kevin Krason at the helm as presi- said rather than having to seek cles. See Page E7

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September 28, 2009 CRAIN’S DETROIT BUSINESS Page E7 2009 Automation Alley Awards

From Page E6 students’ leadership capacities in industries ranging from manu- and strategic visions for their facturing to biotech. lives. The 21-month program is de- With U.S. headquarters in Livo- signed to create shared learning nia, the Mumbai-based company experiences and professional con- has 3,800 employees worldwide and nections as students start and a long roster of awards as a service graduate from the program as part provider and outsource provider. of the same group. It uses a mix of face-to-face instruction and com- Online Tech Inc. puter learning. For example, on- Ann Arbor line simulation models enable stu- Online Tech provides data center dents to practice decision-making outsourcing and services to small skills and receive instant feedback and midsize companies primarily and results from their choices. in Michigan. The company now Course topics range from critical has three data centers and more thinking to operating in the inter- than $2.8 million in revenue. national economy. Its data center space comprises more than 40,000 square feet, and it Genesee Intermediate School District has successfully made the case on Flint the value of protecting critical Genesee Intermediate School Dis- data and Michigan’s strategic ad- trict has successfully restructured vantage in operating data centers itself to meet the needs of a chang- — on an annual basis it costs less ing educational landscape. Accord- money to cool servers here than in ing to nomination materials, its warmer climates. GenNET infrastructure is a shin- ing example of how the district is leveraging resources. GenNET, the Genesee Network for Educational Telecommunication, includes a 400- EDUCATIONAL PROGRAM mile fiberoptic network that con- nects and transmits voice, video OF THE YEAR FINALISTS and data to more than 234 buildings in the 21 public school district Davenport University Executive Master region. Among its many uses, Gen- NET allows for online classes, col- of Business Administration laborative programs with higher Warren education institutions and video The Davenport executive MBA conferences with working profes- program is designed to develop sionals. DBpageAD.qxd 8/31/2009 4:04 PM Page 1

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September 28, 2009 CRAIN’S DETROIT BUSINESS Page 13

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EMPLOYMENT Career coach shares tips through book, seminars

CALENDAR BY GABE NELSON companies. A veteran of human published. But it’s about building SPECIAL TO CRAIN’S DETROIT BUSINESS resources and staffing, she gives SEMINAR SCHEDULE relationships, and you don’t do on-air career advice during seg- that by being a self-serving indi- ESD hosts job fair In the current job market, ments for local Fox affiliate WJBK- Recruiter and career coach vidual. The Engineering Society of Detroit finding a new career is as hard as TV Channel 2. Therese Boldt has scheduled the following seminars on job-hunting Any advice for interviews? When there is hosing an engineering and tech- it has ever been. The secret, says Crain’s sat down with Boldt to local recruiter and career coach strategies: are so many people looking for jobs, nology job fair, 2-7 p.m. Thursday, get her advice for job hunters. at Rock Financial Showplace, Novi. Therese Boldt, is applying an en- Oct. 5, 5-8 p.m., Macomb how can applicants set themselves trepreneurial You’re probably pretty accustomed Community College, Warren apart? If you’re unemployed, you The recruitment event is for students, engineers and technicians attitude to the to hearing that “there just aren’t Oct. 10, 9 a.m.-noon, Wayne ought to be volunteering some- search. any jobs out there right now.” When State University Oakland Center, where. You just should. If you’re of all disciplines. Farmington Hills Cost is $15 and includes mem- Boldt has people say that, what do you tell unemployed and you go into an in- written a book them? There are jobs out there, Oct. 19, 5-8 p.m., Wayne State terview and an employer asks bership to ESD. To register, go to University, Detroit www.esd.org, click on the event, offering her and there are careers out there, what you’ve been doing, “nothing” then follow instructions; or call advice to job but what has to happen here in shouldn’t be your answer. If you (248) 353-0735. seekers, titled Michigan is a culture shift. … can say, “Here are some of the pro- Yes! You Can There’s a culture that we have “job,” it’s the best time to reinvent jects I’ve been involved in,” it’s go- yourself and find a new career. Job series by state Rep. Rogers Land a Job built through the industries that ing to help you. (Even) in a Boldt we have large companies, orga- In the book, you’re trying to teach This is your first book. How did you de- State Rep. Bill Rogers, R- Crummy Econ- nized labor. I’m not saying that readers how and where to market cide to become an author? Every- Brighton, is hosting three more omy. She plans to hold three sem- these are bad things, but they themselves. How can job seekers get thing that’s in the book, I did as a segments in a “How to Find a Job inars on job-hunting strategies have produced a mindset that the most out of networking? It’s not recruiter. I had never written a in Michigan” series, being held at next month, sponsored by the “it’s not ultimately up to me; it’s about saying, “Here’s what you book before, but I had an inspired Cleary University in the Johnson Wayne State University School of up to somebody else.” You have can do for me.” That’s self-serving. thought. I knew that there wasn’t Center Building, Howell. Business Administration. (See inset to create the next step in your If I’m networking, I will ask, “How enough of me to go around. There Each segment is free. box.) career. can I help you?” There’s this thing were a lot of people who needed Segment 2, 1-4 p.m. today, will Admission to the seminars is called the law of reciprocity: When what was in my head, and I didn’t focus on how to search and apply How do the current economic cir- $15 and includes a copy of the you do things like that and it’s have enough time in the day to for state jobs. cumstances in Southeast Michigan book, which was funded by from the heart, it comes back. take care of them. So I thought, if I Segment 3, 3-8 p.m. Oct. 6, is a Wayne State. For more informa- change the game for job seekers? Sure, your final motive is to get a can put this in a book, I can help county-wide career fair. tion on the seminars, visit How it changes the game is that job, or in my case, to get your book people on a broader scale. Segment 4, 6-8 p.m. Oct. 12, www.alumni.wayne.edu/event. there are now more resources will teach about using social net- Boldt, founder of West Bloom- available to people building their working sites for job hunting. field Township-based Meet careers than there ever have For questions or to sign up any Therese L.L.C., offers career been. The state of Michigan has or all of the segments, contact coaching and specializes in plac- put forward all kinds of money to Rogers’ office at billrogers@ ing executive assistants with ex- help people get retrained, so house.mi.gov or call (517) 373-1784. ecutives at Southeast Michigan while it may be difficult to find a CAREER MOVES

FINANCE GENERAL SALES Be at the center of auditor oversight ACCOUNTANT TO HANDLE companies accounting. BA in Accounting is required. Send resume to: FUNDRAISING PROFESSIONAL SALES OPPORTUNITIES and investor protection. 26111 Telegraph, Southfield, MI 48034 to direct an established annual fund and If you enjoy networking and meeting a lot planned giving program for an active of interesting business people, then you Catholic campus ministry parish in GENERAL Ann Arbor. Experience in managing fund will love working for the raising programs required. Detroit Regional Chamber. Send resume with cover letter and salary We have excellent membership and Executive Director - A Southeastern Michigan history to [email protected] advertising sales opportunities for high- The PCAOB now operates out of Detroit. non-profit agency which acts as a resource in energy, motivated individuals. We are the providing affordable, effective and comprehensive largest chamber of commerce in the management assistance consulting services for REAL ESTATE country with over 20,000 members. Our The Public Company Accounting Oversight Board offers a unique other nonprofit organizations, K-12 educational positions offer an excellent commissions school systems and governmental agencies in the Full or Part-Time Real Estate Sales opportunity to promote the public’s interest in high quality community is seeking a full-time Executive program and full benefits package. Residential and Commercial Go to: detroitchamber.com for current financial reporting and auditing. Director. This agency is committed to helping Sales, leasing and property management client organizations become more successful by Kessler & Co. 248.643.9099 job postings. Apply directly by emailing improving the business side of their operation your cover letter and resume in Opportunities are now available in Detroit for accountants with at through increased efficiency, financial viability, Word format to sustainability and impact. The Executive Director [email protected] or fax least eight years of recent experience auditing public companies. works closely with the very active, involved and the information to (866) 478-8574. committed board of directors, a small staff as well as volunteer consultants. Demonstrated The PCAOB offers career growth opportunities, competitive competency in southeast Michigan nonprofit funding procurement , management, operations, compensation and benefits, and, above all, a chance to make and finance is required. Five years minimum Call Us For Personalized related experience also required. Working a difference. knowledge of the information technology domain is Service: (313) 446-6068 a decided plus. Your role is central. Your influence far reaching. Interested candidates should email their cover CLOSING TIMES: Monday 3 p.m., letter and resume to: one week prior to publication date. Please call us for holiday closing times. [email protected] Call (800) 810-0870 or log on to www.pcaobus.org for more details. FAX: (313) 446-1757 E-MAIL: [email protected] The PCAOB is a private sector, nonprofit INTERNET: corporation, created by the Sarbanes-Oxley www.crainsdetroit.com/section/classifieds Act of 2002, to oversee the auditors of public Call or email today for information Confidential Reply Boxes Available companies in order to protect the interests of investors and further the public interest on a custom advertising plan! PAYMENT: All classified ads must be in the preparation of informative, fair, and prepaid. Checks, money order or independent audit reports. Crain’s credit approval accepted. Credit cards accepted. [email protected] The PCAOB is an equal opportunity employer dedicated to establishing a diverse workforce in See Atlanta, Boston, Charlotte, Chicago, Dallas, Denver, Detroit, Houston, New York, Los Angeles, 313.446.6068 Crainsdetroit.com/Section/Classifieds San Francisco,Tampa and Washington, DC. for more classified advertisements 20090928-NEWS--0014-NAT-CCI-CD_-- 9/24/2009 4:23 PM Page 1

Page 14 CRAIN’S DETROIT BUSINESS September 28, 2009 CRAIN'S LIST: LARGEST AFTERMARKET PARTS SUPPLIERS Ranked by 2008 automotive aftermarket sales

Aftermarket Aftermarket Total company Total company Company sales sales revenue revenue Address ($000,000) ($000,000) ($000,000) ($000,000) Rank Phone; Web site Top local executive 2008 2007 2008 2007 Automotive aftermarket products Continental Automotive Systems Samir Salman $3,200.0 B $3,200.0 B $7,400.0 B $8,450.0 B Tires, brakes, chassis systems, safety systems and sensors 1. 1 Continental Drive, Auburn Hills 48326 CEO, North America (248) 393-5300; www.conti-online.com

Federal-Mogul Corp. Jose Maria Alapont 2,637.0 2,679.0 6,865.6 6,913.9 Engine replacement parts, brake pads and shoes, 2. 26555 Northwestern Highway, Southfield 48033 president and CEO suspension components, sealants, wipers, spark plugs, (248) 354-7700; www.federalmogul.com lighting, performance additives and lubricants

Affinia Group Inc. Terry McCormack 2,178.0 2,138.0 2,178.0 2,138.0 Brakes, chassis, filters 3. 1101 Technology Drive, Ann Arbor 48108 president and CEO (734) 827-5400; www.affiniagroup.com

TRW Automotive Holdings Corp. John Plant 1,199.6 1,146.6 14,995.0 14,702.0 Antilock braking systems 4. 12025 Tech Center Drive, Livonia 48150 president and CEO (734) 855-2600; www.trwauto.com

NGK Spark Plugs (USA) Inc. Hideyuki Koiso 475.0 475.0 1,900.0 2,000.0 Spark plugs, oxygen sensors, wire sets, power cables 5. 46929 Magellan Drive, Wixom 48393 president and CEO (248) 926-6900; ngksparkplugs.com

TriMas Corp. David Wathen 424.0 488.4 1,021.3 1,068.3 Recreational accessories, RV and trailer products 6. 39400 Woodward Ave., Suite 130, Bloomfield Hills 48304 president and CEO (248) 631-5450; www.trimascorp.com

Visteon Corp. Donald Stebbins 380.0 B 510.0 B 9,544.0 11,266.0 Mobile electronics 7. One Village Center Drive, Van Buren Township 48111 chairman and CEO (734) 710-2000; www.visteon.com

Denso International America Inc. Yoshiki "Steve" Sekiguchi 345.0 C 408.0 C 3,331.0 8,300.0 A/C compressors, compressor clutches, A/C condensers, 8. 24777 Denso Drive, P.O. Box 5047, Southfield 48086 president and CEO expansion valves, receiver driers, accumulators, starters, (248) 350-7500; www.densocorp-na.com alternators, spark plugs, ignition wires, others

Valeo Inc. Françoise Colpron 283.0 360.0 1,489.0 2,000.0 Starters, alternators, wipers, radiators, clutch kits, 9. 150 Stephenson Highway, Troy 48083 national director, North flywheels, lighting, HVAC products, compressors (248) 619-8300; www.valeo.com America

ArvinMeritor Inc. Charles McClure 211.0 C 238.4 C 7,167.0 6,449.0 Ride control products, gas charged lift supports, disc 10. 2135 W. Maple Road, Troy 48084 chairman, president and brakes, brake shoes, air systems, transmissions, drive (248) 435-1000; www.arvinmeritor.com CEO axle carriers, steering gears, drivelines

Trico Products Corp. James Finley 187.0 D 175.0 C 396.0 D 350.0 C Wiper blades, refills, washer pumps, wiper arms 11. 3255 W. Hamlin Road, Rochester Hills 48309 president and CEO (248) 371-1700; www.tricoproducts.com

Dow Automotive Systems Peter Sykes 139.0 112.0 1,672.0 1,735.0 BETASEAL(tm) glass bonding adhesives 12. 1250 Harmon Road, Auburn Hills 48326 president (248) 391-6300; www.dowautomotive.com

Mahle Clevite Inc. Dan Moody 135.0 118.0 B 7,300.0 E NA Engine parts 13. 1350 Eisenhower Place, Ann Arbor 48108 general manager (734) 975-4777; www.mahleclevite.com

TI Automotive Ltd. Bill Kozyra 116.0 120.0 B 2,500.0 F 2,700.0 Electric fuel pumps, fuel modules, repair kits 14. 12345 E. Nine Mile Road, Warren 48090 CEO (586) 758-4511; www.tiautomotive.com

Philips Automotive Lighting David Davoudi 115.0 B 120.0 2,635.0 B 2,710.0 B Automotive lighting 15. 34119 W. 12 Mile Road, Suite 102, Farmington Hills 48331 vice president and general (800) 257-6054; www.nam.lighting.philips.com/us/ manager automotive Aisin World Corp. of America Don Whitsitt 94.7 95.0 NA NA Clutches, water and oil pumps, hydraulics, brake 16. 46501 Commerce Center Drive, Plymouth 48170 president friction, transmissions, accessory products (734) 453-5551; www.aisinworld.com

Transmission Technologies Corp. Lee Davis 49.1 46.7 55.1 57.5 Transmissions and related components 17. 14700 Helm Court, Plymouth 48170 vice president, sales and (734) 456-3700; www.ttcautomotive.com marketing

Extang/Truxedo - THI William Reminder 42.0 40.0 42.0 40.0 Tonneaus and related accessories 18. 1901 E. Ellsworth Road, Ann Arbor 48108-2804 president and CEO (734) 677-0444; www.extang.com

Dart Machinery Ltd. Ted Keating 25.0 25.0 25.0 25.0 Cylinder heads, blocks, intake manifolds, short blocks 19. 353 Oliver St., Troy 48084 general manager and engine kits (248) 362-1188; www.dartheads.com

Sherman & Associates Inc. James Sherman 14.5 14.0 14.5 14.0 Replacement automotive body parts and panels for 20. 61166 Van Dyke Road, Washington Township 48094-1603 president collision and restoration vehicles from 1949 to current (586) 677-6800; www.shermanparts.com year models

This list of aftermarket companies is an approximate compilation. It is not a complete listing but the most comprehensive available. Unless otherwise noted, information was provided by the companies. For companies based in Detroit and divisions of U.S.-based companies in Detroit, figure is for worldwide aftermarket sales. For divisions of foreign-owned companies, figure is for North American aftermarket sales. NA = not available. B Crain's estimate. C Figure is an estimate from the Automotive Aftermarket Suppliers Association Top 100 list. D Figure from the Automotive Aftermarket Suppliers Association Top 100 list. E Mahle Clevite Inc. is part of Germany-based Mahle Group. Figure represents revenue for Mahle Group. F From Automotive News. LIST RESEARCHED BY CAMILLE PIPPEN AND ANNE MARKS DBpageAD.qxd 9/23/2009 2:55 PM Page 1

[

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Capital raising, reﬁnancing/restructuring of debt, acquisitions and divestitures have all been impacted by the current economic and lending conditions. CM&D Capital Advisors has in-depth experience helping automotive aftermarket suppliers overcome these challenges and execute their strategic initiatives successfully. Contact us at 248-433-3694 to learn how we help businesses address their liquidity and transaction needs. Capital Advisors LLC www.cmdcapitaladvisors.com

has been acquired by has merged with Anderson has been acquired by Group GRLC LLC, an acquisition Transaction of the Year Award Turnaround entity created by Management CM&D Capital Advisors LLC acted as investment banker Management Association, Detroit Chapter CM&D Capital Advisors LLC acted as investment banker to Durakon Industries, Inc., a portfolio company of CM&D Capital Advisors LLC acted as investment banker to the management team of Thule Towing Systems, LLC Littlejohn & Co., LLC, in this transaction. to Hastings Manufacturing Company in this transaction. d/b/a Valley Industries, in this transaction.

Page 16 CRAIN’S DETROIT BUSINESS September 28, 2009

BUSINESS DIARY CALENDAR

CONTRACTS Qualitech, Bingham Farms, a technolo- by Collins Bus Corp., South Hutchin- gy integrator and software reseller, son, Kan., and features Oak Park- TUESDAY The iGroup, Southfield, a modeling RAIN S EALTH ARE was selected by Westbay Management, based Azure Dynamics’ Balance Hy- C ’ H C and talent agency, has retained the SEPT. 29 Lansing, a property management com- brid Electric drive train. Also, Azure services of Identity Marketing and pany, to install a computer network. Dynamics will deliver its shuttle bus- MMBDC 26th Annual Awards: Celebrat- LEADERSHIP SUMMIT OCT. 15 Public Relations, Bingham Farms, for Amerigon Inc., Northville, has been es to both the College of Staten Island ing the Stars of Supplier Diversity 5:30-9 public-relations and marketing. p.m. Michigan Minority Business De- contracted by Marubeni America Corp., and the University of Fairfield. Oliver/Hatcher Construction, Novi, velopment Council. Includes a strolling New York, to provide its Climate Con- Franklin Wind Energy, Franklin, has was contracted by Ashley Capital, signed an agreement with Power Dis- dinner. Max M. Fisher Center, Detroit. Belleville, to renovate 160,000 square trol Seat system for the touring model tribution Center Inc., Brighton, to $150. Contact: (313) 318-8605. feet of warehouse space for the new of the 2010 Nissan 370Z. handle distribution of its wind tur- General Motors Co. lithium-ion bat- RouteOne L.L.C., Farmington Hills, bine products. tery pack assembly facility in Brown- has contracted with Westlake Finan- stown Township. cial Services, Los Angeles, Calif., a Skidmore Studio, Royal Oak, has been Crain’s Detroit Business will host contracted by Oakland County to re- WEDNESDAY the Health Care Leadership BorgWarner Inc., Auburn Hills, has privately held finance company, to tool and publish the county’s econom- been selected to supply turbochargers provide dealers with access to an ex- SEPT. 30 Summit, which includes a ic development magazine, Oakland and exhaust gas recirculation valves panded range of financing solutions. luncheon honoring our 2009 County Magazine, renamed Prosper. Movies in Michigan: What’s in it for for vehicles manufactured by First Au- Alumalight L.L.C., Birmingham, and Health Care Heroes, 8:15 a.m.-5 Web site: www.ocprosper.org. you? 11:30 a.m.-1:30 p.m. Detroit Chap- p.m. Oct. 15 at Rock Financial tomotive Works, Changchun, China. EarthTronics Inc., Muskegon, are pro- ter of the International Association of Hobbs and Black Associates Inc., Showplace in Novi. CareTech Solutions Inc., Troy, an in- moting energy-efficient and environ- Business Communicators. Hear about Ann Arbor, has been commissioned formation-technology and Web prod- mentally “green” lighting fixtures. Michigan film industry happenings. Speakers are to include Paul by Spring Arbor University to design ucts and services provider for hospi- Alumalight overhead lighting systems Includes luncheon, backstage tour and Keckley, executive director of and build the new men’s residence tals and health systems, has signed a will be carried by EarthTronics. free parking with advance registration Deloitte Center for Health building. three-year agreement to provide Web Alumalight will use some EarthTron- via PayPal at iabcdetroit.com. Detroit Solutions; Nancy Schlichting, CEO, services to Integris Health, Oklahoma ics components in its fixtures and will Opera House. $25 IABC members, $35 Henry Ford Health System; and City, Okla. It has also expanded its also sell other products from the com- EXPANSIONS nonmembers. Contact: (248) 546-5490. Steve D’Arcy, global automotive pany. contract with Garden City Hospital by Taylor-based Atlas Oil Co. has opened a leader for PricewaterhouseCoopers supporting Amicas radiology work- The Napa Valley Unified School Dis- new rail fuel transfer terminal in Albu- Membership Maximizer. 5:30-7:30 p.m. and Detroit Medical Center flow technology at the facility; and trict in California has purchased the querque, N.M., that will allow up to Detroit Regional Chamber. Informa- chairman. has signed an agreement to provide nation’s first Nexbus, the only hybrid nine rail tankers to unload ethanol. tional session on chamber services, A roundtable discussion on key Web services to Blessing Health Sys- electric Type A school bus available in Atlas plans to create or acquire 10 to 15 programs and benefits. Comcast Stu- issues in health care is to include tem, Quincy, Ill. North America. Nexbus is produced such facilities over the next several dios, Southfield. Free for chamber Mike Duggan, CEO, Detroit Medical years. members Basic and above. Contact: Center; Kim Horn, CEO, Priority Detroit-based Evangelical Homes of (866) 627-5463. Health; Mark Corriveau, chairman Michigan plans to open its new Mem- of the state House Health ory Support Center on the campus of Committee; and others. Brecon Village in Saline. It will pro- Breakout sessions will cover such MARKET PLACE vide residential and day care services THURSDAY for those suffering from Alzheimer’s, topics as reducing cost and dementia and memory loss. OCT. 1 medical errors, electronic medical records, federal stimulus dollars, ANNOUNCEMENTS & BUSINESS & Emerging Sectors: Alternative Energy. 8 NEW PRODUCTS patient-centered homes, health SERVICES INVESTMENTS a.m.-5 p.m. Crain’s Detroit Business; care as an economic driver and Visteon Corp., Van Buren Township, Oakland County, NextEnergy. 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Learn to boretum Ventures L.L.C.; and Victoria information on their TV and comput- gy Solutions Event. 1-5 p.m. Oct. 21. operate a mini-office outlet from home, online, Blanc, director of research services, to have your next event? training provided. www.live4yourdreams.net er screens. Web site: Crain’s Detroit Asterand plc. University of Michigan, Business; Eco- If it’s a holiday, corporate, birthday, or www.comcast.com. Dearborn. $35. Contact: (313) 446-0300. fundraiser, Mark Ridley’s Comedy Castle in INVESTMENT OPPORTUNITIES DTE Energy Co., Detroit, expanded its nomic Develop- Royal Oak is newly remodeled and smoke-free. advanced metering program to pro- ment Growth En- Investors wanted to buy real estate/properties vide electric customers on Harsens Is- Pure Michigan Campaign, Inside the gine. With Wayne For parties of 50-400, dinner and show can be As low as 25 cents on the dollar. Client’s Strategy. 5:30-7 p.m. Oct. 8. County Executive arranged. 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Without complete With Chris Brogan, president, New the bottom of the page. That’s all savings are not achieved. We have completed cost Credit cards accepted. information, your item will not run. Marketing Lab. Detroit Zoo Ford Edu- there is to it. recovery projects throughout the US for over 1,000 cation Center, Royal Oak. $20 Detroit See Photos are welcome, but we More Calendar items can be found companies saving over 100 million dollars. Regional Chamber members, $30 Ba- Crainsdetroit.com/Section/Classifieds cannot guarantee they will be on the Web at used. sic level members, $40 nonmembers. Call: 248.515.0734 or visit www.auditbills.com for more classified advertisements Contact: (313) 596-0392. www.crainsdetroit.com. 20090928-NEWS--0017-NAT-CCI-CD_-- 9/25/2009 5:11 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 17 Bing: Aerotropolis tax-break zones unfair to Detroit

BY BILL SHEA n’t received enough information done that shows how the aerotrop- CRAIN’S DETROIT BUSINESS DETROIT REGION AEROTROPOLIS: THE DETAILS about the project from George olis would impact Detroit in posi- Jackson, president and CEO of the tive or negative ways. The Detroit Region Aerotropolis now for the aerotropolis, to apply Detroit Mayor Dave Bing oppos- for designation as a Next Michigan Detroit Economic Growth Corp., who “Why won’t they do it? I’m not es newly proposed incentive legis- is an economic development initiative for the 60,000 acres Development Corp. from the sits on the aerotropolis board and against the aerotropolis, just some lation aimed at attracting business between the Detroit Metropolitan Michigan Economic Growth opposes the current legislation. of the provisions,” he said. to the Detroit Region Aerotropolis and Willow Run airports, and its Authority board. The city has made its concerns Schenk said such studies have economic development initiative core is incentives, such as Officials from Wayne and known from the start, and Wayne been done and make the case the between Detroit Metropolitan Airport renaissance zones, to lure new Washtenaw counties, the cities of County hasn’t adequately satisfied aerotropolis will benefit the city, es- and Willow Run Airport and wants to business, especially logistics Belleville, Romulus, Taylor and the issues, Jackson said. pecially by creating jobs. He said a see major concessions before the companies or those reliant on Ypsilanti, and Huron, Van Buren “What they do is dismiss what third of the 4,000 jobs at the airport aviation. Its backers predict the and Ypsilanti townships this year city will support the effort. we’re asking and what our con- now belong to Detroit residents. The City Council, meanwhile, is aerotropolis will create 60,000 signed an inter-local agreement to create the Aerotropolis cerns are and go straight to Lans- The bills, introduced Sept. 10, studying the aerotropolis plan as it new jobs and $10 billion in annual economic impact by the time the Development Corp. The governor ing,” he said. “What I get them are HB 5346-5351 and have been considers a resolution urging the project is built over 25 years. still has to sign the bill authorizing from them are usually overly sim- sent to the House’s transportation concept’s organizers to include both Similar concepts are under way in the corporation, which would use plified answers.” committee for debate. Detroit and its municipal airport. Louisville, Dallas and at several the incentives under the Next Jackson wants an independent Bill Shea: (313) 446-1626, Wayne County, the effort’s pri- major foreign airports. Michigan Development Act to lure analysis and business case study [email protected] mary backer, says it plans to move Legislative approval is needed business to the aerotropolis. forward with its plans, but is will- for renaissance zones. The bills, The new act limits such ing to talk with opponents. introduced Sept. 10, replace corporations to 10, and also is Echoing recent criticism leveled legislation that was withdrawn in centered on the creation of by Oakland County Executive L. December after opposition erupted renaissance zones, which abate REAL ESTATE Brooks Patterson, Bing said in a mainly from Oakland and Macomb almost all local and state taxes. Sept. 11 letter to House Speaker counties. The bills also include anti- Andy Dillon, D-Redford Township, The new legislation, called the poaching language designed to AUCTIONS INDUSTRIAL PROPERTY assuage concerns raised by that the incentives are too broad Next Michigan Development Act, sets up the mechanism for an Detroit and Oakland and Wayne 63± Acres w/ 14-acre Lake INDUSTRIAL BUILDING -- STERLING HEIGHTS and make it impossible for older inter-government corporation under counties. communities such as Detroit to Year-round recreational potential! LONG-TERM FREE RENT the state’s Public Act 7 of 1967, The project’s details are at Bid on any tract or combination of tracts! NEGOTIABLE MOVING COSTS compete for new business. such as the one being organized www.detroitregionaerotropolis.com. The three-page letter outlines Tracts of 25, 11.5 & 10.5 acres $4.95 per sq ft the city’s objections: the tax zones be located in Detroit. Wayne County Executive Robert 3,200 sq ft to 6,400 sq ft The tax-break zones create an The state provide money for the Ficano, who has championed the AUCTION 248-623-7400 “unbeatable competitive advan- city and other older communities to aerotropolis concept as a jobs-cre- th [email protected] tage” because they create a virtu- pay for infrastructure and site ation initiative. Wed, October 14 at 7pm ally tax-free area and barrier to en- 600 East Millbrook Road preparation so they can compete Schenk said he spoke to the City Mt Pleasant, MI try so low that such places without with the Next Michigan Zones. Council on Sept. 16 during a com- the zones can’t match them. If the city gets a zone, that it mittee meeting to debate a resolu- The bills have strayed too far also be given an equal number of tion by Councilwoman Barbara- from the original intent of attract- tax incentives. Rose Collins urging Wayne County ing air-cargo and logistics busi- Limit the eligible businesses to add the city and Detroit City Air- HIGHLAND PARK nesses to the airports. The legisla- to air cargo and logistics. port to the aerotropolis project. INDUSTRIAL SPACE tion’s Next Michigan Zone While saying he recognizes the The resolution’s chief complaint is incentives allow for any type of value of attracting certain busi- that the city isn’t at all involved. FOR LEASE business. nesses to the areas around the air- No council action was taken, $2 Sq. Ft. + Utilities The Legislature makes it too ports, Bing calls the bills “not the and it expects to take up the reso- (517) 676-9800 34,000 Sq. Ft. hard for Detroit to compete for right strategy.” lution again on Oct. 7. www.sheridanauctionservice.com Warehouse Space & Large jobs against the new zones because “The proponents of this package Schenk said he gave the council Heated Office with A/C the bills “disproportionally bene- have not demonstrated a business additional details about the aero- COMMERCIAL PROPERTIES 34’ High Bays fits coalitions with many mem- case for this set of incentives, tropolis concept. “They seemed to 60’ Column Spacing 100+ acres in Lennox Township, Michigan bers” — Detroit is too large to real- structured in this way,” he wrote. be genuinely surprised by the in- SE corner of 28 Mile and Gratiot. All or part. Zoned Large Overhead Door istically pair with smaller Wayne County disagrees. formation,” he said. commercial. Great reduced price. Contact Focus 24/7 Security Realty at 248-945-9180 (ofc) or 248-877-9033 (cell) communities. “We’re not competing against Messages seeking comment Easy access to I-75 & The mayor proposes the bills be Detroit or Oakland County for were left for Collins, council Presi- Davison Fwy. Two properties for sale across from dent Ken Cockrel Jr. and Council- retooled to mandate: businesses. We’re trying to bring Courtland Mall, Flint 313-865-3154 The administrative facilities businesses from out of state,” said woman Sheila Cockrel. 5.25 acres approved shopping center Mon-Fri for companies taking advantage of Matthew Schenk, chief of staff to Schenk believes the council had- $2.1 million Must sell 72 unit franchise motel, INVESTMENT PROPERTY 3.5 acres $800,000 Call David Weiss 248-763-8814 [email protected] Multi-Family Properties Flint - 133 units foreclosure Waterford - 96 units INDUSTRIAL PROPERTY Blues fight class action for lawsuit over fees Lincoln Park - 160 units Palmer Park - 208 units BY CHAD HALCOM more than 550 businesses and oth- fund and its trustees. AVAILABLE NOW Detroit - 37 units foreclosure CRAIN’S DETROIT BUSINESS er organizations are affected. Blue Cross contends in court that 4,000 to 100,000 sq. ft. Grand Rapids - 44 units Administrative-services con- the class isn’t uniform because not Farmington Hills - 16 units Blue Cross Blue Shield of Michigan tracts allow self-insured employ- all the 550-875 plans are adminis- Also 10,000 & 25,000 sq. ft. Call IPO at 248-932-0300 must disclose by Thursday all self- ers, retirement funds, unions and tered the same way, less than 20 of Free Standing Bldgs w/truckwells. insured employers, retirement other organizations to make use of the customers give control of plan 1 Mile from Metro Airport OFFICE BUILDING funds and other entities that used the Blue Cross network and ad- assets to Blue Cross, and not all fees REA CONSTRUCTION its administrative services and ministrative services to process are billed the same way. (734) 946-8730 paid the carrier a contested fee, insurance claims. The other-than- “These hundreds of complex indi- Also Heavy Industrial FOR SALE unless a judge revisits his ruling group fee is one that Blue Cross vidualized inquiries (to potential Land Available Kirts Office Park in a class-action lawsuit. charges its customers to help sub- plaintiff businesses) are unavoid- www.reaconstruction.net Blue Cross wants U.S. District sidize its Medigap coverage plan able to determine both liability and Judge Arthur Tarnow in Detroit to for senior citizens. damages and would make class reconsider his order certifying a Although the lawsuit was treatment unmanageable for the class action for hundreds of self-in- brought under the federal Employ- court,” member-shareholder Fran- sured customers in the 2004 law- ee Retirement Income Security cis Ortiz of Detroit-based Dickinson suit by Pipefitters Local 636 Insur- Act for retiree pension and benefit Wright P.L.L.C. and co-counsel for 800-830 & 1172-1282 Kirts Blvd • Troy, MI ance Fund and its trustees before plans, Tarnow’s use of the term Blue Cross wrote in court briefs. ï 218,723 SqFt Office Park ï an Oct. 1 disclosure deadline. “entities” could broaden the scope Helen Stojic, corporate affairs ï 12+% CAP on In Place NOI ï No hearing is scheduled. of the lawsuit to most Blue Cross director for Blue Cross, said in a ï 51% Occupied ï Tarnow on Sept. 3 certified a self-insured customers. prepared statement that charging Institutional Owner class of plaintiffs against Blue “Employers, employee benefit the fee helps keep its Medigap cov- ï ï Cross consisting of “all entities plans, and anyone who self-insures erage affordable for seniors and is PLEASE CALL which had or have administrative- with those fees would be entities,” provided for by state law. services contracts with Blue Cross said Sharon Almonrode, partner “We believe the court ruling has BARRY SWATSENBARG (and) which were or are assessed and director at Southfield-based misinterpreted the state statute.” 248.324.2000 (an) other-than-group fee.” Plain- Sullivan, Ward, Asher & Patton P.C. Chad Halcom: (313) 446-6796, tiff and defense attorneys estimate and attorney for the Pipefitters [email protected] www.friedmanrealestate.com 20090928-NEWS--0018-NAT-CCI-CD_-- 9/25/2009 6:43 PM Page 1

Page 18 CRAIN’S DETROIT BUSINESS September 28, 2009 Beaumont cuts 353 jobs Time Inc.’s Detroit project BY JAY GREENE “We told our employees today CRAIN’S DETROIT BUSINESS that these cuts are not across the board,” Killian said. “They were William Beaumont Hospitals in Roy- selected where volumes were al Oak announced Friday it elimi- down, or benchmarks told us our nated 353 full-time equivalent posi- staffing was higher than other or- being closely scrutinized tions, or 425 employees, to help cut ganizations our size.” $10 million out of its $2 billion bud- In addition, Beaumont reduced get. paid vacation and sick time by BY BILL SHEA stuff happening here. We’re pretty project’s Web sites. Like most hospitals, Beaumont three days, down to 30 days, he CRAIN’S DETROIT BUSINESS hopeful. We don’t expect it’s all go- While he’s hopeful the effort re- experienced lower than expected said. “This saved about 130 jobs,” ing to be a picnic. The fact they’re sults in more national awareness patient volume in July and August, he said. New York City-based media gi- investing a year here means for Detroit, his worry is said Mike Killian, vice president of With the $10 million budget sav- ant Time Inc. launched its year- they’re not just about mistakes. public relations and marketing. ings, Killian said Beaumont pro- long “Assignment Detroit” last scratching the sur- “They’ll make a mis- The layoffs and job position elim- jects to finish the calendar year week with cover stories by two of face.” take and the gotcha inations affected most departments with net income of $12 million. its magazines — Time and Sports Marge Sorge, who gang will jump all at its hospitals in Royal Oak, Troy “We had a bottom line of $13.8 Illustrated — while another, from runs the Detroit Re- over them,” he said. and Grosse Pointe, and at its outpa- million in June,” he said. “July Fortune, is on newsstands today. gional News Hub with Accompanying the tient medical centers and sub- and August were terrible. We had “The hope is that through all the goal of connecting project is an allied ef- sidiary companies. Beaumont em- reductions on the inpatient and these efforts a narrative arc about journalists to facts, fig- fort to sell advertis- ploys about 17,000, Killian said. outpatient side. We don’t know Detroit will emerge over the next ures, stories and ex- ing. “This is a horrible market,” he why.” year that can somehow make a perts about metro De- “This is happen- said. “We have reason to believe we Some experts have speculated difference. While we do not in- troit, has talked to ing though a coor- are not doing any worse than any- that patient volume was steady tend to be cheerleaders or apolo- several Time reporters. dinated effort by body else. If we don’t do more cost earlier in the year because people gists, we do have a point of view: “I think there’s going all of our sales cutting we will have more financial who were laid off still had health We want Detroit to recover and to be good stories and bad offices, includ- problems by the end of the year.” insurance benefits under COBRA, find its way into the future,” stories, depending on your ing Detroit, In 2008, Beaumont posted a net or Consolidated Omnibus Budget wrote Time Inc. Editor-in-Chief perspective, but most im- across titles; and loss of $214 million. To cut expens- Reconciliation Act, policies. John Huey to introduce the effort. portantly we want them to we’ve received a es by $46 million this year, Beau- But as benefits have run out, The immersion-journalism pro- be fair stories,” she said. great amount of mont previously laid off about 250 people stopped getting elective ject has sparked debate over its “We’re going to help them interest already,” employees. medical care. This has cut patient merits on local online forums and tell the stories.” wrote Ali Ze- “Even though we have done a volume at hospitals and outpatient the Web (and snarky Some of metro Detroit’s lenko, vice presi- spectacular job at cutting costs medical centers in Southeast Dyspathy.com has developed a hu- veteran journalists have dent of communi- this year, many tens of millions of Michigan. morous drinking game aimed at weighed in on what cations for Time/ dollars, revenue is not keeping up Earlier this month, the Michigan any clichés stemming from it). they’ve seen. Fortune/Money/CNN- even with the cost cuts,” Killian Health and Hospital Association told The city’s image-minders are Ben Burns, direc- Money.com, in an e- said. Crain’s Detroit Business that total keeping a keen eye on the cover- tor of the journalism mail. Today’s job reductions also in- margins for Michigan’s 146 hospi- age. program at Wayne The Sports Illustrated cluded eliminating senior manage- tals’ fell to a negative 3.6 percent in “So far, they’ve been pretty State University since issue — the only recent ment positions that were unfilled 2008 from 4.9 percent in 2007. transparent. They’ve made them- 1993 and a former ex- Time Inc. property and selected executive pay cuts of For the first five months of 2009, selves part of the community and ecutive editor at The Crain’s could find 4 percent to 10 percent. MHA said total margins for Michi- introduced themselves to every- Detroit News, is most- downtown Friday — During last year’s layoffs, some gan hospitals were down to 0.9 per- one,” said Renee Monforton, direc- ly positive. had two Detroit-related senior managers had their pay cut. cent compared with 2.3 percent tor of communications for the De- “It’s obviously a advertisements: A two- This round of pay reductions in- during the same period in 2008. troit Metro Convention and Visitor’s gimmick, but it may page spread inside the cluded those executives who were Jay Greene: (313) 446-0325, Bureau. “We want to see balance in be a useful gimmick. front cover for Cadil- previously exempt, Killian said. [email protected] the stories; there’s a lot of good From what I’ve seen of Time Inc. is giving lac’s 2010 SRX, a full it, it looks like good re- Detroit cover treatment page from Ford Motor porting, and we could as it kicks off intensive Co. for its 2010 Fusion always use more good, reporting on the city. and Fusion hybrid, solid, intelligent re- and the inside back porting, because Detroit repre- cover for Ford’s Sync technology. sents the largest problems this “Important to note, though, Looking for the the RIGHT JOB? country faces,” he said. “They’ll that this project was entirely con- have a solid body of reporting of ceived and created by Time Inc.’s how a proud American industrial editors and is a journalistic en- city confronts its problem in the deavor that we are fully commit- You’ve come to the RIGHT PLACE… new 21st century economy.” ted to, regardless of what hap- The project also feels like a pens on the business side,” marketing ploy, Burns said. Zelenko wrote. “It’s creating, artificially, a Time Inc., which has main- AT ESD ENGINEERING & TECHNOLOGY JOB FAIR way to attack a news story. Did tained an advertising office here they need to do that? Probably for years, bought a five-bedroom not,” he said, adding that it fits West Village home for its journal- well with what he called the age ists to use as a base. THURSDAY, OCTOBER 1, 2009 of shouting rhetoric. The Time cover story, written ROCK FINANCIAL SHOWPLACE,NOVI Alan Stamm, a consultant who by Detroit native Daniel Okrent, owns an eponymous marketing is “The Tragedy of Detroit. How a 2 P.M.- 7 P.M. communications firm in Birm- Great City Fell – and How It Can Finding the right job these days is no easy task. At the Engineering Fields represented include: ingham and was an editor at The Rise Again.” :c\^cZZg^c\VaaY^hXêa^cZh! News for 27 years, is encouraged Fortune weighs in today with Society of Detroit (ESD), we’ve done all the hard work for you. Architecture!8]Zb^XVa!8^kâ!8dbejiZg!Design, Energy, by Time’s initial offerings. He “GM: Do Or Die,” while SI’s cover Here’s what you’ll find at our fall 2009 job fair: Electrical!7^dbZY^XVa!:ck^gdcbZciVa!6ZgdheVXZ!IgVchedgiVi^dc, likes the engagement between was about the Detroit Tigers as Biofuels, Manufacturing, Mechanical, Egd\gVbb^c\, Technical writers and readers so far — and “The Righteous Franchise.” HdbZd[i]ZWZhiXdbeVc^ZhhbVaaVcYaVg\Z and others. has actively been discussing it on Bill Shea: (313) 446-1626, local online forums and at the [email protected] 8dbeVc^ZhgZXgjî^c\^cVkVg^Zind[ÄZaYhVcY[dgVaah`âaaZkZah EVgi"i^bZ[jaa"i^bZ_dWdeedgijcî^Zh Cost to attend is $15 DeedgijcînidcZildg`lî]XdgedgViZZbeadnZgh[gdbi]Z and includes a one-year membership to ESD Zc\^cZZg^c\iZX]cdad\nÄZaYh (a $94 value for first time members only) with numerous benefits. Request for Proposals For Investment ;gZZgZhjbZedhi^c\dcdjgcVi^dcVa_dWWVc` Performance Measurement and Monitoring Services For the Police and Fire Retirement System of the City of Detroit For more information about the job fair or to register, The Trustees of the Police and Fire Retirement System of the City of Detroit are s eeking visit www.esd.org proposals from qualified firms to provide investment performance measurement and monitoring services. Interested firms are invited to submit a proposal. The request for proposal will be available on September 11, 2009. Responses are due on October 7, 2009 at 2:00 P.M. EST.

The RFP will be posted on the Police and Fire Retirement System of the City of Detroit s web site at www.rscd.org. The RFP is on the PFRS home page All correspondence and inquiries concerning this RFP should be directed via email solely to Cynthia A. Thomas, Assistant Administrator, at [email protected] . Questions on the RFP must be received by email by September 30, 2009. Responses are due by October 7, 2009 at 2:00 P.M. EST. 20090928-NEWS--0019-NAT-CCI-CD_-- 9/25/2009 5:11 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 19 CRAIN'S LIST: LARGEST BUSINESS-INSURANCE AGENCIES Ranked by 2008 revenue There’s an even

Company Premium Employees in Address Revenue Revenue volume Detroit area Phone; Web site ($000,000) ($000,000) ($000,000) as of Jan. Rank Top local executive 2008 2007 2008 2009 tougher budget Meadowbrook Insurance Group Inc. $113.9 $104.9 $886.0 227 26255 American Drive, Southfield 48034-6112 1. (248) 358-1100; www.meadowbrook.com Robert Cubbin, president and CEO looming for ’11 Brown & Brown of Detroit 67.5 51.5 NA 252 35735 Mound Road, Sterling Heights 48310 2. (586) 977-6300; www.bbdetroit.com Paul Glantz, president, Troy; Jim Peabody, president, Fenton and Eugene LANSING — Never forms … it’s only going LoVasco, president, Sterling Heights mind the teeth-gnash- to increase.” Aon Group 53.5 53.4 NA NA ing over the 2010 bud- Capitol So what should be the 3000 Town Center, Suite 3000, Southfield 48075 get, lawmakers have priority when the 2010 3. (248) 936-5200; www.aon.com Briefings LeAnne McCorry, resident managing director another big job ahead budget is done? for 2011. Bebow sees two Marsh 47.5 49.7 650.0 188 And they don’t have things, the first easier 600 Renaissance Center, Suite 2100, Detroit 48243 4. (313) 393-6800; www.marsh.com time to waste, say than the second. Dan Deighton, managing director and Detroit office head some who last week “Job one, if you’re a were watching the pragmatist, is to begin to Willis of Michigan Inc. 33.0 NA NA NA current budget melt- push for the right ques- 32255 Northwestern Highway, Suite 201, Farmington Hills 48334 5. (248) 539-6600; www.willis.com down. tions to be asked in the William McCarthy, president The 2011 budget 2010 election, so we can Amy Lane year stands to pose elect a new round of lead- 21.5 23.1 NA 140 Valenti, Trobec, Chandler Inc. even greater challenges than fis- ers that are more up to the task,” 1175 W. Long Lake Road, Troy 48098 6. (248) 828-3377; www.vtcins.com; www.gswins.com cal 2010, with Michigan losing he said. Alan Chandler, CEO and president; Terry Griffin, COO and Robert federal stimulus money that’s “Job one, if you’re an idealist, Trobec, CFO been a king-sized prop and rev- is to try to push for reforms in an Cambridge Consulting Group 20.7 19.0 NA 106 enues expected to remain tight. election year.” 101 W. Big Beaver, Suite 600, Troy 48084 7. (248) 743-4300; www.cambridge-cg.com Lawmakers need to complete Kenneth Hale and Albert Papa, co-chairmen the 2010 budget, move right into budget and tax reform and put PSC to add ‘smart grid’ staff Hylant Group 17.6 18.0 213.0 106 the 2011 budget “on an accelerat- The Michigan Public Service Com- 24 Frank Lloyd Wright Drive, Suite J4100, Ann Arbor 48105 8. (734) 741-0044; www.hylant.com ed process,” said Doug Rothwell, mission has been awarded more Mark Miller, regional vice president-Michigan president and CEO of Business than $1 million in federal stimu- Leaders for Michigan, the newly lus money it will use to add staff 14.9 7.7 14.9 79 Michigan Financial Cos. Inc. formed statewide CEO organiza- for upcoming reviews of so-called 28411 Northwestern Highway, Suite 1300, Southfield 48034 9. (248) 827-1300; www.michiganfinancial.com tion. “smart grid” utility projects. Nick Valenti, president and CEO “I think we’re making it A smart grid uses digital tech- tougher on ourselves, because nology to improve an electric sys- Gallagher Benefit Services Inc. 12.0 11.0 NA 55 30150 Telegraph Road, Suite 408, Bingham Farms 48025 each month that goes by where tem’s reliability, security and ef- 10. (248) 203-0626; www.gallagherbenefits.com we don’t make some of the cuts ficiency. The smart grid can Bryan Hirn, area president and reforms that we’ve talked encompass such elements as about the expense keeps adding large generation, transmission Kapnick Insurance Group 12.0 10.8 140.0 48 26100 American Drive, Southfield 48034 up,” Rothwell said. “What we’re and distribution, communication 11. (248) 352-4455; www.kapnick.com facing is an even tougher budget networks and generation of pow- Robert Weiland, executive vice president-corporate; Stephen Peck, president-benefit services situation in 2011.” er at or near where it’s used. Rothwell’s group has called for As utilities take on projects 11.7 10.8 403.0 67 McGraw Wentworth two-year budgeting to force fu- that address these and other ar- 3331 W. Big Beaver Road, Suite 200, Troy 48084 12. (248) 822-8000; www.mcgrawwentworth.com ture planning on state finances eas like energy efficiency, renew- Thomas McGraw, president and principal and give predictability to those able energy, carbon capture and counting on the state for their storage, and smart grid cyber se- Alliant Insurance Services 7.3 18.9 B 50.2 25 101 Southfield Road, Birmingham 48009 own budgets, like school districts curity, Michigan, like other 13. (248) 540-3131; www.alliantinsurance.com and local governments. states, is receiving money to re- Jeffrey Swarbrick, executive vice president The group wants an indepen- view the utility investments. dent council of public and pri- The American Recovery and Ralph C. Wilson Agency Inc. 5.9 5.4 NA 42 26026 Telegraph Road, Suite 100, Southfield 48086 vate-sector economists to provide Reinvestment Act grant will en- 14. (800) 638-1174; www.rcwa.net quarterly revenue and spending able the PSC to hire an expected Stefano Vannelli, president and CEO estimates, and says there should three people for three years. Korotkin Insurance Group 5.0 5.3 NA 44 also be a quarterly survey of a 15. 26877 Northwestern Highway, Southfield 48033 cross-section of Michigan busi- (248) 352-5140; www.korotkin.com nesses to identify sales and hir- Comings & goings Kenneth Korotkin, president ing trends. Ⅲ Former state Rep. Steve To- The Huttenlocher Group 4.7 4.9 52.0 37 To wit, says Rothwell: A sur- bocman, D-Detroit, has been 16. 1007 W. Huron St., Waterford Township 48328 vey released this summer found named co-director of the Michigan (248) 681-2100; www.huttenlochergroup.com about 90 percent of Michigan Political Leadership Program at David Huttenlocher, CEO CEOs forecasting the same or Michigan State University’s Institute J.S. Clark Agency Inc. 4.2 4.5 NA 26 lower employment and Michigan for Public Policy and Social Re- 25900 W. 11 Mile Road, Suite 210, Southfield 48034 capital investment in next six search. He replaces Dianne Byrum, 17. (248) 355-9600; www.jsclarkagency.com Joel Clark, president and CEO months. And 80 percent said they who was elected to MSU’s board believed Michigan’s economy of trustees. Capital Insurance Group 3.7 3.3 29.7 28 would stay the same or worsen Ⅲ Rusty Hills, former senior ad- 1263 W. Square Lake Road, Bloomfield Hills 48302 over the next 18 months. viser to Michigan Attorney Gen- 18. (248) 333-2500; www.capitalinsuranceagent.com Robert Moglia Jr., president; Edmund George, vice president; Tom The go-up-to-deadline budget eral Mike Cox, has become cam- Moglia, vice president and Donn Johnson, vice president fight that Michigan faces again paign manager to former Insurance Advisors 2.5 2.5 20.0 28 this year doesn’t surprise John Michigan Court of Appeals Judge 19. 8884 Commerce Road, Commerce Township 48382 Bebow, executive director of the Bill Schuette, who is running for (248) 363-5746; www.agencyadvisors.com Center for Michigan, a nonpartisan attorney general. Republican Paul Serwinek, president and CEO Ann Arbor think tank. And he Schuette is senior counsel at Goodman Venegas 1.7 1.9 17.5 12 said it underscores the need for Warner Norcross & Judd, L.L.P. 2800 Livernios, Troy 48083 change. Ⅲ Kassie Kretzschmar, director of 20. (248) 740-9090; www.goodmanvenegas.com Moses Paul Venegas, president; Regina Goodman, co-owner “It’s more obvious than ever communications for the Michigan that we’ve got to seriously change Department of Management and Bud- The list business-insurance agencies is an approximate compilation of the largest such agencies in Wayne, Oakland, Macomb, Washtenaw and Livingston how Michigan does the public’s get, has become a major gifts offi- counties. All information was obtained from the agencies. Agencies with headquarters in metro Detroit are listed with total company revenue. Agencies business,” Bebow said. “We don’t cer for Children’s Hospital of Michi- with headquarters outside metro Detroit are listed with revenue of their local operations only. This is not a complete listing but the most comprehensive have enough money to go around. gan. DMB official Patricia Russ has available. NA = not available. “And the need for creativity been named the department’s act- B Crain's estimate. and collaboration among governing communications director. LIST RESEARCHED BY ANNE MARKS ments and schools is only going Amy Lane: (517) 371-5355, to intensify, and the need for re- [email protected] 20090928-NEWS--0020-NAT-CCI-CD_-- 9/25/2009 6:45 PM Page 1

Page 20 CRAIN’S DETROIT BUSINESS September 28, 2009 Health summit speakers stress value of wellness programs

BY GABE NELSON tant point home to employees. sociation of Southeast Michigan, The program incorporates com- SPECIAL TO CRAIN’S DETROIT BUSINESS MORE INFORMATION “We have a huge disconnect be- based in Oak Park, visit the firm’s petition into health promotion pro- tween our behavior and our conse- offices to provide health screen- grams, Landgraf said. For exam- Benefits experts scheduled to Get the quences. I may have a heart at- ings, as well as flu shots, Needle- ple, the company will split speak at Crain’s Health Care Leader- details: tack, but the employer writes the man said. employees into teams, give them All about ship Summit on Oct. 15 at Rock Fi- the check,” Rickard said. “There The firm also sponsors pro- pedometers, and reward the teams nancial Showplace in Novi say com- summit, needs to be a culture revolution so grams to help employees quit that walk the farthest. panies hoping to curb health care Page 16 people understand that their be- smoking or lose weight, and runs a Landgraf said Guardian has costs should look inward and focus havior and the consequences are reward program allowing them to seen lower-than-average increases on policies that promote healthy connected, and they feel the pain.” earn points toward prizes by exer- in health care costs, and though lifestyles. is how to stop the escalation of Rickard, who primarily consults cising. it’s hard to point to one reason, Daniel Rickard, senior vice cost, and that is a direct result of with companies on employee Needleman said she will tell em- health promotion programs are president of human capital at Willis behavior,” Rickard said. health benefits, offers employers a ployers at the Crain’s summit why likely one explanation. He said HRH in Farmington Hills, will He said the key to managing 10-question checklist to review preventative programs are smart companies should invest in speak on a panel about changing company health costs is ensuring when designing plans. He will dis- investments. She said they seem to healthy habits the way they invest employee behaviors, along with that employees are given incen- cuss what makes benefits plans have reduced health care costs for in workplace safety. Paul Landgraf, director of employ- tives for healthy lifestyle habits. If successful. Miller Canfield. “No one would question the val- ee benefits and health at Auburn people with poor driving records Needleman said Miller Canfield “If you do the cost-benefit analy- ue of safety in a plant environ- Hills-based Guardian Industries pay more for car insurance, health has placed an increased emphasis sis, these programs are definitely ment, and yet our health care costs Corp., and Elizabeth Needleman, insurance companies and employ- on wellness over the past several worth the expense,” she said. “And are probably 20 times our workers’ director of human resources at ers should impose penalties for un- years, adding programs aimed at they are not that expensive.” compensation costs in the United Miller, Canfield, Paddock and Stone healthy behaviors, he said. encouraging healthy behaviors Landgraf of Guardian Industries States,” he said. P.L.C. in Detroit. In Alabama, for instance, a state among employees. said more than 90 percent of the The summit will be held from 8 Rickard says the crisis in health employee with a body mass index The firm reimburses employees company’s 8,000 U.S. employees a.m. to 5 p.m. Tickets are $149, care boils down to two problems: classified as morbidly obese will $100 per year for health club mem- typically participate in health which includes a one-year sub- rising costs and how to finance the soon have to pay $25 per month for bership, and reduces their contri- screenings. scription to Crain’s, or $50 for the system. health care, while most employees butions to the company health Guardian tries to promote luncheon honoring Crain’s Health Though much attention has get coverage for free. The policy plan by $150 per year if they get healthy habits through its Health- Care Heroes. been paid to the second problem, has drawn some criticism, but free health screenings at the office. Guard program, which dates back To register, visit www.crains “the piece that we’ve really missed Rickard said it drives an impor- Nurses from the Visiting Nurse As- to 1986. detroit.com/section/crainsevents.

State picks Azure for shuttle buses Electric carmaker Fisker lands federal loan BY GABE NELSON chassis for the buses. SPECIAL TO CRAIN’S DETROIT BUSINESS The bodies will be built by Star- BY RICHARD TRUETT ducted in Pontiac with support Trans Bus, a division of Goshen, CRAIN NEWS SERVICE from its California headquarters. Oak Park-based Azure Dynamics Ind.-based truck maker Supreme While the final assembly of the Corp., a developer of hybrid-elec- Corp. Electric carmaker Fisker Automo- Karma will be done overseas, more tric commercial vehicles, an- Azure Dynamics claims that tive took another big step toward than 65 percent (based on cost) of nounced Thursday the company its hybrid-electric drivetrains in- production of its plug-in hybrid the parts required for it will come has reached an agreement with crease fuel economy by 40 per- luxury cars Friday when the U.S. from U.S. suppliers. The four-door the Michigan Department of Trans- cent while reducing greenhouse Department of Energy announced it Karma is scheduled to appear in portation to provide up to 50 shut- gas emissions by 30 percent. would lend the company showrooms next summer. tle buses to local transportation Several states have already $528.7 million. The funds are part of the energy agencies over the next three started buying buses using the Irvine, Calif.-based Fisker has Fisker Karma department’s $25 billion Advanced years. company’s drivetrains, includ- its vehicle integration office in Technology Vehicles Manufactur- The contract would be worth ing Oregon, Minnesota and Ken- Pontiac. ment. “With it, Fisker Automotive ing Loan Program, designed to $5.6 million if all 50 buses are tucky. Fisker said it will use most of can rapidly develop affordable, help promote development of ener- bought. The 25-foot buses chosen Sandler estimated the compa- the money for two projects: to com- clean cars that satisfy our passion gy-efficient, advanced-technology by MDOT seat 12 passengers, ny has about 75 buses on the plete development of the Karma, for driving and help restore the vehicles. plus two wheelchairs, and cost road. an $87,900 mid-size plug-in luxury U.S. as an auto industry leader.” Other companies that have re- about $110,000. The company, founded in Van- hybrid that goes on sale next year; In the first stage of the program, ceived funds from the program are No local agency has bought a couver, moved to Oak Park in and to fund development of a new Fisker Automotive will use a Ford Motor Co., Tesla Motors and Nis- bus under the contract yet, said 2007 to take advantage of proxim- line of smaller hybrids, called Pro- $169.3 million loan for engineering san North America. Jay Sandler, the company’s vice ity to the American auto compa- ject Nina, which will sell for integration costs as it works with Fisker has signed 45 dealers president of sales. nies, Sandler said. around $39,000 after tax credits. primarily U.S. suppliers to com- and recently hired former He said the city of Charlevoix It is publicly traded on the “This conditional loan repre- plete the Karma. Engineers will Maserati North America CEO Marti will likely make the pilot pur- Toronto Stock Exchange and had sents a significant step in Ameri- also design tools and equipment Eulberg to lead global sales and chase. revenue of $7.7 million in 2008, up ca’s future,” Henrik Fisker, the and develop manufacturing marketing. Ford Motor Co. will supply the from $2.8 million in 2007. company’s CEO, said in a state- processes. This work will be con- From Automotive News

Transit: Area’s ‘Big 4’ ready to move toward regional authority ■ From Page 3 pating in and funding such a sys- County executive, said he wants to elements would be deployed only if “If you want mass federal trans- This time, Hertel doesn’t think tem — something that’s hampered see return-on-investment provi- ridership numbers justified it. portation funds, you have to have there will be serious opposition, regional proposals in the past. sions added to the legislation when The estimated annual base oper- in place an entity,” Hertel said. and he believes there is more than “I believe we have to take a new the deputies meet next month. ating cost of the system, if built en- The RTCC acts as a pass-through enough bipartisan support to get it approach on how we put this togeth- “That’s something we’ll be look- tirely, would be $293 million. The for federal money for the Detroit De- through Lansing. He also said reg- er. The approach had been every- ing for,” he said, adding that plan, the product of a $400,000 re- partment of Transportation and the ular talks with organized labor one having veto. That doesn’t work. there’s nothing in what he termed gional transit study by Kansas City- Suburban Mobility Authority for Region- have been part of the planning. We need a new model, and I think a “pretty bare bones piece of legis- based transportation consulting al Transportation bus systems, but it While some issues, which Hertel what we’ve got is a pretty good pro- lation” that Oakland County finds firm TranSystems Corp., is 406 miles is not the type of legal entity needed declined to identify, remain with posal,” said Paul Gieleghem, chair- objectionable. of improved buses and routes, light to manage a regional transit system. the unions and the Big 4, he ex- man of the Macomb County Board Hertel spent the spring looking rail and commuter trains. Hanging over the system’s pro- pects the authority to have a far of Commissioners. at other regional transit authori- There’s an urgency to get the au- ponents is the memory of the De- smoother birth. While declining to discuss the ties to see their mechanics of gov- thority legislation drafted and ap- troit Area Regional Transportation Au- “We’re very supportive of the specifics of the bill, Hertel made ernance and how they’re funded. proved to avoid it falling victim to thority, which died after legal draft (legislation). We’re ready to clear what he prefers: “My inten- It’s no secret that much of the lo- election-year political jockeying in challenges by local transit unions. move forward on it,” said Vanessa tions are to avoid opt-outs for the cal system would be federally 2010, Hertel said, and there’s addi- The Michigan Supreme Court in May Denha-Garmo, press secretary to regional transit authority,” and funded, with state and local dollars tional impetus to get it done to take 2006 declined to hear an appeal of a Wayne County Executive Robert that the authority board would op- contributing to both capital and advantage of the pending reautho- 2005 Michigan Court of Appeals rul- Ficano. erate by majority vote. operational costs. A key aspect of rization of the federal transporta- ing that found DARTA was not Bill Shea: (313) 446-1626, Gerald Poisson, deputy Oakland the plan has always been that its tion bill being debated in Congress. legally established. [email protected] 20090928-NEWS--0021-NAT-CCI-CD_-- 9/25/2009 5:10 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 21

Art Van: A new brand Cancer: Centers planned www.crainsdetroit.com EDITOR-IN-CHIEF Keith E. Crain ■ From Page 1 ■ From Page 3 PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] As the company celebrates its advanced technology,” said Larry natives for a “heavy particle thera- EXECUTIVE EDITOR Cindy Goodaker, (313) 446- Horwitz, president of the business 0460 or [email protected] 50th anniversary with a large- py” cancer center, which would of- MANAGING EDITOR Andy Chapelle, (313) 446- scale gala this week, Van Elslan- Yost in as CEO coalition. fer both proton beam and carbon- 0402 or [email protected] Art Van Furniture has hired Horwitz said proton beam cen- ASSISTANT MANAGING EDITOR/FOCUS Jennette der said he sees growth through ion treatments. Smith, (313) 446-1622 or [email protected] continued pressure on profitable Kim Yost to take over as CEO. ters can cost upward of $170 mil- The UM-Henry Ford collabora- BUSINESS LIVES EDITOR Michelle Darwish, (313) niches of the industry. He’ll begin on Thursday. lion, and a carbon-ion cancer cen- tive also includes Barbara Ann Kar- 446-1621 or [email protected] COPY DESK CHIEF Gary Piatek, (313) 446-0357 Bedding, in particular, has po- Yost, 55, spent 13 years at The ter, as contemplated by the manos Center and St. Louis-based or [email protected] tential for growth, he said. Brick, Cana- UM-Henry Ford group, could cost Ascension Health, which is the par- ASSISTANT NEWS EDITOR Jeff Johnston, (313) da’s largest $300 million. St. John Health Sys- 446-1608 or [email protected] Last month, he quietly opened ent company of DATA EDITOR Anne Marks, (313) 446-0418 or a 5,000-square-foot store in Can- furniture re- “That compares to the $1 million tem in Warren. [email protected] tailer. Dur- to $3 million cost for current radia- WEB GENERAL MANAGER Alan Baker, (313) 446- ton Township under the brand “We are talking with a few ven- 0416 or [email protected] name Pure Sleep. ing his time tion units,” Horwitz said. dors and trying to understand the WEB EDITOR Christine Lasek, (313) 446-0473, The specialty store will sell there, Yost Marsha Manning, General Motors technology they have and where [email protected] WEB DESIGNER/PRODUCER Ai-Ting Huang, (313) mattresses as the prototype for was a dri- Corp.’s manager of health care ini- they will be in the future,” Camp- 446-0403, [email protected] another 11 standalone stores to ving force tiatives, said scientific evidence bell said. “We want to make sure EDITORIAL SUPPORT Robertta Reiff (313) 446- behind the supporting proton beam therapy 0419, YahNica Crawford, (313) 446-0329 open in the next year. In addi- the option we pick is the right one NEWSROOM (313) 446-0329, FAX (313) 446- tion, Art Van will brand the mat- develop- over conventional treatments is for the patients we serve.” 1687 TIP LINE (313) 446-6766 tress sections in its 31 stores as ment of 30 limited to a small number of head While there are no U.S.-based Yost REPORTERS Pure Sleep. specialty and neck cancers. carbon-ion thera- Ryan Beene: Covers auto suppliers, steel, higher “Our bodies are as different as mattress stores. “We are sup- py centers, “There education and Livingston and Washtenaw thumbprints,” he said. “And He developed a program portive of the CON are installed cen- counties. (313) 446-0315 or [email protected] there’s a need to have the right called “Home Show Canada” standards that al- Our intention is ters in Germany Daniel Duggan: Covers retail, real estate and “ hospitality. (313) 446-0414 or mattress, from a wellness point and created an Asian direct- low for a collabora- to invite as many and Japan with a [email protected] of view. We want to address buying service called First tive model (for one proven track Jay Greene: Covers health care, insurance and the health issues rather than just sell Ocean. Under his time as CEO, center),” Manning record,” Campbell environment. (313) 446-0325 or providers into our [email protected]. someone a mattress.” sales at The Brick moved from said. “It is not nec- said. Chad Halcom: Covers law, non-automotive The impact of Art Van’s expan- $900 million to $1.6 billion in essary to have “Once we (se- manufacturing, defense contracting and Oakland collaborative as we and Macomb counties. (313) 446-6796 or sion on the local market for mat- six years. three centers at a lect) a vendor, we [email protected]. tresses remains to be seen, said He follows Marshall Whal- cost of several can. would obviously Tom Henderson: Covers banking, finance, ing, a former Circuit City exec- hundred million want to negotiate technology and biotechnology. (313) 446-0337 or Earl Eiben Jr., CEO of Taylor- ” [email protected]. based Mattress and Futon Shoppe, utive, who lasted less than a dollars for treat- Tom Campbell, the lowest possi- Nancy Kaffer: Covers small business, the city of which has 14 stores in the area. year in the post before department of a small ble cost,” he said. Detroit, Wayne County government. (313) 446- University of Michigan 0412 or [email protected]. “Art Van has a majority of the ing in August. number of pa- Campbell said it Bill Shea: Covers media, advertising and market share in the area (for Van Elslander said the ini- tients.” is possible the hospitals will make marketing, entertainment, the business of sports, and transportation. (313) 446-1626 or mattress sales),” Eiben said. “So tial idea was to gain from Proponents contend proton a decision on the carbon-ion ap- [email protected]. he really might be competing for Whaling’s national retail expe- beam therapy effectively treats 20 proach in 2010. Nathan Skid: Multimedia reporter. Also covers the his own customers.” rience, but his experience with different types of cancers, includ- Tompkins said McLaren is open food industry. (313) 446-1654, [email protected]. electronics did not translate to Sherri Begin Welch: Covers nonprofits and Eiben, who is launching a new ing prostate, head and neck, rectal, to talking with other hospitals services. (313) 446-1694 or [email protected] venture called Mattress Mountain work in furniture retail. gastrointestinal, spinal and cer- about co-ownership opportunities, LANSING BUREAU with large, 20,000-square-foot — Daniel Duggan tain lung and breast cancers. but said it has enough business to Amy Lane: Covers business issues at the Capitol, telecommunications and utilities. (517) 371- stores, said he expects some local Last year, the state Certificate of generate more than 1,100 cases by 5355, FAX (517) 371-2492, [email protected]. or mattress stores to disappear due economy, weaker retailers will Need Commission approved a regu- 2014. About 40 percent of the cases 115 W. Allegan, Suite 220, Lansing 48933. to the decline in local spending, fade away, giving a chance for lation to limit the number of pro- would be for prostate cancer, he ADVERTISING but the stronger players will sur- the more established companies ton beam centers to a single collab- said. ADVERTISING DIRECTOR Marla Downs, (313) 446-6032 or [email protected] vive. such as Art Van orative of five hospitals. However, But Campbell said the hospital SALES INQUIRIES: (313) 446-6052; FAX (313) The bedding to gain market Gov. Jennifer Granholm vetoed consortium won’t partner with 393-0997 the proposed CON regulation over McLaren. ADVERTISING SALES Jeff Anderson, Matthew J. sector of the Art Van stands share, said Langan, Lori Tournay Liggett, Tamara Rokowski, home retail in- Bernie Moray, anti-trust concerns. “It wouldn’t give us enough ca- Kimberly Ronan, Dale Smolinski “ CLASSIFIED SALES (313)-446-0351 dustry is both CEO of Troy- The governor’s veto allowed all pacity,” Campbell said. “Our in- out as a furniture MARKETING MANAGER Irma Clark the most com- based Gorman existing CON applications for pro- tention is to invite as many EVENTS MANAGER Nicole LaPointe petitive and store that’s putting Furniture Inc. ton beam centers to be considered. providers into our collaborative as MARKETING ARTIST Sylvia Kolaski most profitable, “It’s a time McLaren received a certificate we can.” SALES SUPPORT Suzanne Janik, YahNica Crawford said David Per- of need in July 2008 from the Michi- Still, neither McLaren’s Radi- CIRCULATION Candice Yopp, Manager. more emphasis on when people or MARKETING COORDINATOR Kim Winkler ry, executive ed- merchants who gan Department of Community Health ance 330 technology nor UM’s car- PRODUCTION MANAGER Wendy Kobylarz itor of Greens- are less fortu- for its proton beam center. bon-ion technology have been ap- PRODUCTION SUPERVISOR Larry Williams, bedding. (313) 446-0301 boro, N.C.-based ” nate can’t adver- While McLaren’s original CON proved by the U.S. Food and Drug CUSTOMER SERVICE Furniture Today tise or promote estimated a $168 million center, Administration. David Perry, Furniture Today MAIN NUMBER: Call (888) 909-9111 or write and writer of a themselves well ProTom’s compact Radiance 330 “We will get FDA approval, and [email protected] weekly bedding column. because they can’t afford to,” he system will cost less than one- health insurers will cover this SUBSCRIPTIONS $59 one year, $98 two years. Out of state, $79 one year, $138 for two years. “Art Van stands out as a furni- said. “It gives the rest of us an op- third of that amount because the technology,” Gayar said. Outside U.S.A., add $48 per year to out-of-state rate for surface mail. Call (313) 446-0450 or ture store that’s putting more portunity to expand market proton beam accelerator technolo- Al Cholger, staff representative (888) 909-9111. emphasis on bedding, and push- share. For example, we’re adver- gy has improved, Gayar said. with the United Steelworkers District SINGLE COPIES: (888) 909-9111. ing harder than most,” he said. Beaumont also received CON ap- 2 in Taylor, said consumers will REPRINTS: (800) 290-5460, ext. 125; (717) 399- tising more now than we have in 1900, ext. 125; or ashley.zander@theygsgroup Furniture Today rated Art Van the past.” proval in July 2008 to build a ultimately pay higher premiums .com. as 19th on its national list of bed- $160 million proton beam center in for the proton and particle-beam TO FIND A DATE A STORY WAS PUBLISHED: Moray said Van Elslander has (313) 446-0367 or e-mail [email protected]. ding sales, posting sales of become an icon in the industry, a joint venture with ProCure Treat- technology. $91 million in 2008, down 2.2 per- not to mention good for Michigan ment Centers of Bloomington, Ind. “This will be paid for by people CRAIN’S DETROIT BUSINESS IS PUBLISHED BY Beaumont and ProCure have with insurance plans, and that will CRAIN COMMUNICATIONS INC. cent from the previous year. It as a philanthropist. CHAIRMAN Keith E. Crain also said that Art Van sells more “We admire him for that,” he put their project on hold because drive premium rates even higher,” PRESIDENT Rance Crain mattresses in Michigan than any said. of last year’s collapse of the bond said Cholger. “I haven’t negotiated SECRETARY Merrilee Crain and bank financing markets. a contract in the last 10 years TREASURER Mary Kay Crain other retailer. Van Elslander, at 78 years old, Executive Vice President/Operations The trade publication ranked remains an active part of the Tom Campbell, UM’s associate where rising health care costs and William A. Morrow vice president and director of con- expensive technology haven’t been Group Vice President/Technology, Art Van as No. 17 of its top 100 company’s management and re- Manufacturing, Circulation stores rated by revenue. tains the title of chairman and tracting, said the four hospital the main topic.” Robert C. Adams Vice President/Production & Manufacturing Art Van had 2008 revenue of founder. partners are still developing their Jay Greene: (313) 446-0325, Dave Kamis $440 million, according to the In terms of succession at the business plan and financing alter- [email protected] Corporate Circulation/Audience Development Director Crain’s Private 200 list released company, Van Elslander has two Kathy Henry in May. The company’s reported sons in the business. Gary, 58, is G.D. Crain Jr. Founder (1885-1973) revenue had been well above president and COO and David, 45, Mrs. G.D. Crain Jr. Chairman (1911-1996) EDITORIAL & BUSINESS OFFICES: $500 million until 2007, when it is director of product merchandis- 1155 Gratiot Ave., Detroit MI 48207-2732; (313) was $475 million, according to ing. BANKRUPTCIES 446-6000 Crain’s research. For now, Van Elslander’s still Cable address: TWX 248-221-5122 AUTNEW DET The following businesses filed for Grand River Ave., Novi, doing busi- CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 Tasked with increasing the driving the company he formed Chapter 7 or 11 protection in U.S. ness as Oberweis Ice Cream & Dairy is published weekly, except for the first week of July, the fifth week of August, the fourth week of revenue is a new CEO. 50 years ago. Bankruptcy Court in Detroit Sept. 18- Store, voluntary Chapter 11. Assets November, the third week of December and a 24. Under Chapter 11, a company files and liabilities not available. special issue the fourth week of August by Crain Kim Yost was named to the post “You know, at the time, I was Communications Inc. at 1155 Gratiot Ave., Detroit three weeks ago and begins the job looking to make a living for my for reorganization. Chapter 7 involves TM Billiards Inc., 28582 Dequindre MI 48207-2732. Periodicals postage paid at Detroit, total liquidation. MI and additional mailing offices. POSTMASTER: this week, Van Elslander said, family,” he said. “I went to work Road, Warren, doing business as Send address changes to CRAIN’S DETROIT American Metal Products L.L.C., 7934 BUSINESS, Circulation Department, P.O. Box leaving his position as CEO of The every day, and I guess it just kept Plush Pocket Billiards, voluntary 07925, Detroit, MI 48207-9732. GST # Billingham Road, West Bloomfield Brick, a large Canadian furniture Chapter 11. Assets and liabilities not 136760444. Printed in U.S.A. going.” Township, voluntary Chapter 7. As- Entire contents copyright 2009 by Crain retailer. (See accompanying box.) Daniel Duggan: (313) 446-0414, sets: $615,537; liabilities: $610,694. available. Communications Inc. All rights reserved. Reproduction or use of editorial content in any During a downturn in the [email protected] Commonwealth Creamery Inc., 43168 — Compiled by Gabe Nelson manner without permission is strictly prohibited. 20090928-NEWS--0022-NAT-CCI-CD_-- 9/25/2009 6:21 PM Page 1

Page 22 CRAIN’S DETROIT BUSINESS September 28, 2009 Kojaian: Developer splits properties with Lehman Brothers ■ From Page 1 Lehman were engaged in 29 joint doesn’t. It could turn out to be a ventures, all under different limit- phenomenal play.” DISJOINTED VENTURES ed liability corporations. He’s cutting some However, Farrell also pointed out In total, the portfolio was lever- “ that properties Kojaian is holding Now fully owned by Kojaian Now fully owned by Lehman Brothers aged with $586.1 million in loans, sweetheart deals, onto have large amounts of vacant Farmington Hills Corporate Maple Corporate Center, Troy: according to the court filings. space compared to past years, as Center, Northville: Two buildings; Also called the Entertainment Kojaian took control of half the going from a limited major tenants have relocated such 65,000 and 67,000 square feet, Publications Building, 275,000 entities, paid a cash settlement of as Siemens and Campbell Ewald, cou- Class A square feet, Class A $8 million and released Lehman’s equity position as pled with the daily risk of managing 900 Tower Drive, Troy: 289,000 Travelers Tower I and II, obligations of $20 million in equity. the existing tenant rosters. square feet, Class A Southfield: Building I: 456,000 Lehman took full ownership of manager to 100 An analysis of Kojaian’s com- Interchange West Business square feet; Building II: 339,000 the other half of the entities, but mercial real estate portfolio by Center, Van Buren: Two single- square feet; Class B left options on many so that Koja- percent on a fraction CORE Partners indicates the 46- story 345,000-square-foot One Woodward Ave., Detroit: ian can purchase them back at es- building portfolio is 35 percent va- buildings, class not available 333,000 square feet, Class A tablished prices. of a dollar. cant as of last week. By compari- Seven Mile Crossing, Livonia: 27555 Farmington Road, ” Three buildings totaling 337,000 Livonia: Also called CitiPlace Kojaian would not discuss the Matthew Farrell, CORE Partners L.L.C. son, the portfolio was 15.1 percent transfer of cash. He also declined vacant in 2000. square feet, Class B Center, 264,000 square feet, to list all of the properties involved which he has a small amount of his In the near future, Kojaian ex- Lyon Crossing and Lyon Towne Class B in Kojaian/Lehman ventures. Ko- own equity in the deal and takes pects to buy many of the Lehman- Center retail developments, Lyon jaian was represented by the De- on asset management fees in addi- owned properties back, he said, Twp.: 127 acres troit law firm of Barris, Sott, Denn & tion to his ownership stake. under the purchase options negoti- Driker P.L.L.C. He said it’s not surprising that ated in the settlement. Whether it is a good deal de- Kojaian would be able to pick up He also expects Lehman to pends on the amount of equity Ko- large amounts of equity in the emerge from Chapter 11 and func- jaian had relative to Lehman, say Lehman deal. tion again. people in the industry. “He’s cutting some sweetheart “When Lehman comes out, we Matthew Farrell, executive prin- deals, going from a limited equity will do business again,” he said. cipal with the Royal Oak-based position as manager to 100 percent “It’s very sad what happened to real estate consulting firm CORE on a fraction of a dollar. He’s selec- that firm.” Farmington Hills Corporate Center Maple Corporate Center Partners L.L.C., said Kojaian has tive, taking on the projects that he Daniel Duggan: (313) 446-0414, Source: Photos and data from CoStar Group been known for setting up deals in wants and letting go of the ones he [email protected]

Census: Foundations fund efforts for accurate population count ■ From Page 1 census we’ve had in the history of with other government agencies ation practices since the terrorist housing crisis have uprooted peo- job openings expected in connec- this country,” Singh said. or individuals. attacks of Sept. 11, 2001, said Kurt ple and made them much less con- tion with the 2010 census, said Dei- Finding the people forced out of Additionally, the country’s pop- Metzger, director of the Detroit Area nected to community and much dre Farr, director of emergency their homes by the foreclosure cri- ulation is increasingly immigrant, Community Information System and a less interested in responding to the services. sis will make counting people which could pose language barri- member of the MNA 2010 census ad- census, Metzger said. COTS is serving as a pre-test more difficult, he said. ers to getting those people counted visory board. With strong ties to immigrant, center for people interested in ap- Additionally, the U.S. popula- for the 2010 census. Many in the The U.S. Census Bureau estimates low-income and transient popula- plying for one of the temporary tion, in general, currently has a country illegally also fear they will Michigan may have actually over- tions, nonprofits are probably the census jobs. higher level of distrust of govern- be deported if they fill out census counted by about 20,000 people in best avenue to get to people, he The Census Bureau expects to ment, based on post-Sept. 11 reac- forms, Singh said. the 2000 census, based on follow-up said. They can make the case that hire up to 10,000 temporary field tion and recent health care conver- Singh said some Latino groups surveys. people need to be counted or other- operation employees in Southeast sations, Singh said. on the far left are encouraging But official census counts are wise the program money will not Michigan to help it do follow-ups Those on the far right of the po- their populations to skip filling out not adjusted based on follow-up be there when they need it. with people who did not return litical spectrum are encouraging the census forms since their per- surveys and estimates, said Eric Nonprofits “are also much more forms, said Lynn Turner, partner- their ranks not to participate in ception is they don’t count because Newburger, lead researcher with trusted than government,” Met- ship specialist with the Census Bu- the census because they believe immigration reform has been slow the Census 2010 publicity office. zger said. reau. the government might use private in coming, he said. The bureau estimates the city of The Coalition on Temporary Shelter The bureau plans to start testing data to track people, Singh said. Detroit and the region have not Detroit, however, undercounted in Detroit has been hosting Census in late October and early Novem- Census Bureau employees take only immigrant Latino populations its population in the last census by Bureau informational sessions ber for the jobs, which are expect- an oath to protect the privacy of in- but also Hmong and Middle Eastern about 15,000, with a margin of er- since last fall to dispel myths ed to last six to eight weeks. formation they gather and are not populations that have been deci- ror of about 3,900 people, he said. around the census count and also Sherri Begin Welch: (313) 446- allowed to share private details mated by the government’s repatri- The economic downturn and to draw attention to the temporary 1694, [email protected]

Crittenton: Hospital in fight over funding of residency program ■ From Page 3 any planned capital or service ex- problem. ing of the old DMC program and “Once you have GME funding a health care reform proposal that pansion projects. “He has sent letters to govern- the opening at Crittenton, they felt and built up your (residency) cap, includes a plan to redistribute un- But Crittenton isn’t alone. ment agencies and set up meetings these were connected and consid- you can take a critical look at your used GME residency slots for the At least 10 other hospitals na- with HHS over the past few ered it a transfer of the old pro- GME programming, the needs of purpose of increasing the number tionally have had GME funding de- months,” said Cullen Schwarz, com- gram that creates new slots in the the patients and community, and of primary care physicians. nied for various residency pro- munications director with Peters. region,” Schenk said. “They reallocate those (funded) slots Earlier this year, the Medicare grams over the past year, said “At this point, the representative is thought paying for additional resi- back to family medicine,” Schenk Payment Advisory Commission, an in- Hope Wittenberg, director of gov- exploring a legislative fix for this.” dency slots was not a good thing.” said. dependent congressional agency, ernment relations with the Wash- Orfgen said Crittenton also may Sometime after DMC terminat- On July 1, Crittenton began a recommended that the 1,700 un- ington-based Society of Teachers of file a formal appeal to the HHS. ed the family medicine program, transitional residency program used residency slots for all special- Family Medicine. “We are hoping our legislators can DMC decided to use those federal and is currently training 12 resi- ties be reallocated to family medi- “It seems (HHS) wants more pri- get it done politically,” he said. GME residency funding slots for dents. A transitional residency cine or other high-need specialties. mary care physicians (because of a Maryjean Schenk, chairwoman other residency programs, Schenk program trains doctors who are A health care reform bill in the national shortage), but they are us- of Wayne State’s family medicine said. seeking careers in rehabilitation, U.S. House also calls for redistrib- ing a technicality not to fund pro- department, said CMS told Critten- “We consider the family medi- pathology, ophthalmology and oth- uting the unused residency slots grams like ours that helps train ton that DMC should have trans- cine program at Crittenton to be a er specialties. and allowing GME funding to fol- family physicians,” Orfgen said. ferred the residency slots to Crit- brand new program and eligible Another possible fix to Critten- low the residents. Earlier this year, Orfgen ap- tenton when it closed the family for CMS funding,” Schenk said. ton’s GME funding problem could “CMS could do this in rule-mak- proached U.S. Rep. Gary Peters, D- medicine program. GME funding Another longer-term alternative come from Sen. Max Baucus, D- ing, and it could solve our prob- Bloomfield Hills, who represents follows CMS-approved residency for Crittenton is to seek GME fund- Mont., chairman of the U.S. Senate lem,” Schenk said. northeast Oakland County, for slots. ing for additional residency pro- Finance Committee. Jay Greene: (313) 446-0325, help in resolving the GME funding “When (CMS) looked at the clos- grams. Two weeks ago, Baucus released [email protected] 20090928-NEWS--0023-NAT-CCI-CD_-- 9/25/2009 6:42 PM Page 1

September 28, 2009 CRAIN’S DETROIT BUSINESS Page 23 RUMBLINGS WEEK ON THE WEB FROM WWW.CRAINSDETROIT.COM, WEEK OF SEPT. 19-25

pany had more than 13,500 the First Center in South- News reported. Press followers on the social net- Ann Arbor field, consolidating offices blamed his money woes on working site. For more de- from around the metro Chrysler’s decision to end Restaurant tails, see www.madein- area, making it the largest year-end bonuses. michiganmovement.com. IT center, new lease of the year in Citing the state’s Southfield, according to struggling economy, Univer- Age 60? Need a haircut? data from the Bethesda, sity of Michigan President Week will Hummer HQ get MD.-based CoStar Group. Mary Sue Coleman has asked Ege’s has a deal for you Dr. Thomas Mertz and that her $783,850 salary be 17 physician partners have frozen, the AP reported. Owners of Ege’s The Barber tax credits opened in Nine Michigan and Pole barber shop plan to cele- Clinton Canadian environmental return – twice brate a 60th birthday by giv- $15.7 million sup- Township and transportation activist ing free haircuts to anyone port center by Cali- the groups called on Gov. Jen- nterest was so high for twice next year, once in the else doing the same. Owner A fornia information- Premiere nifer Granholm and the Leg- the Detroit Restaurant spring and again in the fall. Stephen Trachsel is promoting technology service Surgery islature to halt all spending I Week program to boost “There is an absolute as- the well-known Birmingham company Systems in Motion Center of on the proposed Detroit Riv- fine dining in the city that surance this will happen establishment by giving will bring some 1,085 new Michigan in er International Crossing. as of Friday afternoon its again,” he said. “The chefs away free haircuts to any pa- jobs to the Ann Arbor area, a joint ven- The Michigan Court of organizers were scrambling are already excited about tron who is 60. aided by a $7.4 million tax Mertz ture with Appeals ordered the Detroit to repair its Web site. Plus, the chance to create menus He’s also celebrating with credit approved Tuesday Boston-based Ambulatory city clerk to approve ballot organizers already are talk- for both seasons.” an event on Saturday that by the Michigan Economic Surgical Centers of America. language for the Nov. 3 ing about expanding the includes a performance by Growth Authority. St. Joseph Mercy Oakland election allowing city resi- program to twice a year. ‘Made in Michigan’ grows an old-fashioned barber- Also approved was a opened the first phase of its dents to choose whether When the Sept. 18- 27 pro- shop quartet. $20.6 million, 10-year tax new $60 million, two-story City Council should be motion offering $27 multi- into full-fledged company credit to secure a new surgical pavilion in Ponti- elected by districts. course meals was first an- $9.4 million Southeast ac. The 443-bed hospital at The first- and second- nounced, the Web site The “buy local” concept BITS & PIECES Michigan headquarters for continues to gain traction, 44405 Woodward Ave. has round games of the NCAA crashed due to 2,400 unique The Detroit chapter of Hummer, expected to create with Arrow Uniform in Taylor scheduled its first surgery. men’s basketball tourna- visitors going to the site Commercial Real Estate 300 jobs. A location deci- hosting a Tuesday kickoff of General Motors Co. will ment will be played at the within two hours of it going Women announced the win- sion is expected by Oct. 31. a new West Bloomfield begin paying its suppliers Palace of Auburn Hills in live. Again on Friday, the ners of the 2009 CREW Im- The tax credit is contingent Township organization cen- weekly instead of monthly March 2013. Oakland Univer- site wasn’t working. pact Awards. The “new de- on finalization of the sale tered on the idea. in an attempt to improve re- sity will be the host school. “We did not design the velopment” winner was and site selection. About 50 people attended lationships and limit large Henry Ford Health System Detroit Henry Ford West Bloomfield the event by the Made in outflows of cash, spokesman in Detroit will donate $3 mil- Restaurant Hospital; the “redevelop- Michigan Movement. The or- Dan Flores said. lion to help Community Health Week Web ment” winner was the Westin ON THE MOVE ganization was started by The Birmingham of- and Social Services fund a site to han- Book Cadillac Hotel; the “spe- West Bloomfield Township Rita Montgomery fice of advertising agency larger federally qualified dle this cial impact” winner was the resident Neil Yaremchuk in Grezlik, CEO of Detroit- McCann Erickson Worldwide health center location in De- much traf- Marquee of Redford Township. December after he was laid based World Medical Relief said Thursday it has picked troit. Construction is expect- fic,” said Ja- Minneapolis-based off from his position as a Inc., has resigned due to up The Colonial Williamsburg ed to begin in 2010. Grantmakers for Children, son Huvaere, railroad conductor at Con- undisclosed health reasons. Foundation as a client. A Michigan House- Youth and event orga- rail in Detroit. The layoffs COO George Samson was Warren-based adver- Senate conference commit- Huvaere Families has nizer and were precipitated by the named interim CEO. tising agency Campbell- tee approved House Bill named Skill- president of Paxahau Promo- downturn of Chrysler, the Oakland County Trea- Ewald has again won the 4446, which will retain man Founda- tions Group. “We put it up as train company’s biggest De- surer Andy Meisner will re- United States Mint account state regulation of wetlands tion Presi- a standard site, and it just troit-area customer. place after a mandatory review. and combine state natural- dent and buckled.” Frustrated, Yaremchuk Genesee Financial terms were not resources and environmen- CEO Carol Bobby Megargle, co-owner started a Facebook page. County disclosed. The contract is tal-protection functions. Goss as the of 24 Grille in the Westin Two months later, the page Treasurer for one year with four one- The city of Detroit will recipient of Book Cadillac Detroit, said had thousands of followers Dan Kildee year options. lay off 230 employees by Goss the 2009 the average number of ta- and Yaremchuk decided to on the American Axle & Manu- Oct. 2, according to an e- Fred Rogers Leadership bles went from about 80 on register the organization as Michigan facturing Holdings Inc. says mail from Karen Dumas, Award in Philanthropy for a weeknight to 200 during a company. Land Bank it has granted General Mo- Mayor Dave Bing’s director Children, Youth & Fami- the promotion. “We were downsized for a Fast Track tors Co. the right to buy up of communications. lies. “The Rattlesnake Club was variety of reasons, but large- Authority to 7 percent of its stock af- An investigation by Goss was honored for her Meisner sold out five days during ly because people stopped board of ter accepting millions of the Detroit Public Schools’ in- 20-year career in philan- the promotion and even had buying a significant Michi- directors. Kildee, chairman dollars in aid from the au- spector general says the to stop taking Internet gan project,” he said. “The thropy with extensive expe- of the seven-member state tomaker. district overspent millions reservations so they could solution was simple: Start a rience in Michigan and Cal- board, resigned his seat on purchases related to the accommodate some walk- company that could get ifornia and with the earlier this year. OTHER NEWS Fisher Building, Cass Tech, ins,” Huvaere said. Michigan people to start association, as well as her and the Detroit School of Huvaere said interest has buying Michigan products work at Skillman in engag- BUSINESS MOVES The U.S. House has Arts, The News reported. been so high organizers are and services again.” ing communities of color in agreed to give the jobless in Troy-based Automation planning to hold the event As of Tuesday, the com- Detroit. Fifth Third Bank says it Michigan and 26 other states Alley received a three-year, is looking to fill more than another 13 weeks of unem- $1.58 million contract to 70 positions in Southeast ployment insurance bene- support the U.S. Army Tacom Michigan. Positions in- fits. Similar legislation is Life Cycle Management Com- clude financial center man- pending in the Senate. mand in Warren with pro- agers, business develop- A Michigan Lodging and duction needs on military EST FROM THE LOGS ment officers for the small Tourism Association survey parts replacement. B B business division, wealth of tourism businesses that READ THESE POSTS AND MORE AT WWW.CRAINSDETROIT.COM/BLOGS management advisers, track their guests’ travel mortgage loan originators, finds nearly 73 percent re- OBITUARIES State forms nonprofit caucus Greektown neighborhood on TV and tellers. porting an increase in visi- Bruce Brown, longtime Troy-based ArvinMeritor tors from other states over radio and TV newscaster, Michigan has formed Inc. closed the sale of its the summer months. died of colon cancer Sept. Detroit’s Greektown its first nonprofit caucus, Former Michigan con- 15. He was 74. “ neighborhood is the wheel-making business to becoming only the second “ background for a new Lochpe-Maxion S.A., a Brazil- gressman Bill Schuette has William Poplack, or third state in the country national television ian wheel maker, for about officially jumped into the founder of Detroit-based to do so. The Council of commercial produced by $180 million. 2010 race for state attorney Unisource Foods Corp. and a Michigan Foundations, Warren-based longtime arts patron, died Michigan Nonprofit Van Buren Township- general, the Associated advertising agency of respiratory failure Sept. Association and Michigan based Visteon Corp. is ask- Press reported. Campbell-Ewald for Association of United Ways ing for more time to submit Jim Press, Chrysler 17. He was 88. General Motor Co.’s were driving forces, but 72 its reorganization plan, Group’s outgoing deputy Garbis Zennedjian, 86, OnStar service. legislators also have which was due Thursday, CEO, owes almost $1 million owner of Garbis Jewelers in stepped up. ” to the U.S. Bankruptcy Court in back federal taxes and Highland Park, Gallerie Reporter Sherri Begin Welch’s blog Reporter Bill Shea’s blog on sports, the media, in the District of Delaware. has been sued by his credit Internationale in Royal Oak about Southeast Michigan nonprofits can” be found transportation and marketing can be found United Healthcare has union for defaulting on a and later GMB Gallery in at www.crainsdetroit.com/welch at www.crainsdetroit.com/shea leased 46,000 square feet in $609,000 loan, The Detroit Birmingham, died Sept. 22. DBpageAD.qxd 9/21/2009 2:28 PM Page 1

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