20140217-NEWS--1-NAT-CCI-CL_-- 2/14/2014 3:55 PM Page 1
$2.00/FEBRUARY 17 - 23, 2014
Window closing for XP support Hackers probably have that date Once Microsoft stops circled on their calendars, according to Jay Mellon and other information providing security technology experts here and nation- wide. The patient ones probably are help, many businesses waiting until then to exploit undis- will be on their own covered flaws in the Windows XP soft- ware, because Microsoft has said it By CHUCK SODER won’t step in to fix them after April 8. [email protected] “The hammer’s going to drop on the other side of that date,” said Still use Windows XP? You’ve got Mellon, a partner at AtNetPlus, an a target on your back. information technology services Microsoft says it will end almost firm in Stow. all support for XP on April 8. Mellon’s business and other local That pronouncement means no IT companies are on a last-minute more security updates for the many, push to make sure their clients that many local businesses that still rely still use the 13-year-old operating on the second-most widely used system are as ready as they can be operating system for desktop and come April 8. laptop computers. See WINDOW Page 38 Solon complex soon will get a makeover U.S. operations in L’Oreal’s proper- SCOTT POLLACK Cosmetics company ties on Carter Street. Cosmax USA, as the company By JAY MILLER Cosmax will occupy calls its new U.S. venture, plans to [email protected] operate a skin care and makeup fac- L’Oreal’s property tory to supply cosmetics to cus- WILL SUPPORT tomers that sell name-brand prod- f the political football — or baseball or bas- By STAN BULLARD ketball — that is the sin tax for Cleveland’s ucts in the United States, said [email protected] sports playgrounds batters the community Sok-Min Yu, managing director of BE DISPLAYED? this year, will Cuyahoga County voters be the new operation, in an email to Iwilling to renew another tax on their cigarettes Before the city of Solon says its fi- Crain’s from South Korea. The com- in 2015? nal goodbye to the operations of pany is a contract manufacturer Arts group will use this year to gain That’s the question already on the mind of the cosmetics maker L’Oreal’s, it’s say- and supplier for private-label firms local arts community, which, like the Browns, ing hello to its replacement, Cos- and name brands such as L’Oreal backing for extension of cigarette tax Cavaliers and Indians, is supported by a sin tax. max Inc., a South Korean cosmetics and Maybelline. See SUPPORT Page 8 company that plans to launch its See MAKEOVER Page 7
ALSO INSIDE 07 7 LOCAL BREW Cleveland Coca-Cola plant NEWSPAPER reveals community branding Entire contents © 2014
74470 83781 by Crain Communications Inc. ■ Vol. 35, No. 7
0 Page 5 20140217-NEWS--2-NAT-CCI-CL_-- 2/14/2014 10:42 AM Page 1
2 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014
700 W. St. Clair Ave., Suite 310, Cleveland, OH 44113-1230 Phone: (216) 522-1383 Fax: (216) 694-4264 www.crainscleveland.com Publisher/editorial director: John Campanelli ([email protected]) Editor: Mark Dodosh ([email protected]) Managing editor: Scott Suttell It pays to tend ([email protected]) Sections editor: Amy Ann Stoessel ([email protected]) Assistant editor: Kevin Kleps ([email protected]) Sports Senior reporter: Stan Bullard ([email protected]) Real estate and construction to your fl ock. Reporters: Jay Miller ([email protected]) Government Chuck Soder ([email protected]) Technology Dan Shingler ([email protected]) Energy, steel and automotive Tim Magaw ([email protected]) Health care and education Michelle Park Lazette ([email protected]) Since 2003, employee Finance Rachel McCafferty ([email protected]) out-of-pocket expenses have Manufacturing and energy 1 Research editor: risen nearly 90 percent . Deborah W. Hillyer ([email protected]) Cartoonist/illustrator: Rich Williams Art director: Rebecca R. Markovitz The obvious question then is how well do your ([email protected]) benefi ts cover your employees? If you don’t like Events manager: Jessica Snyder ([email protected]) the answer, you may fi nd a better one with Afl ac. Special events coordinator: Kim Hill ([email protected]) Marketing strategist : Michelle Sustar Afl ac can help protect your employees with cash ([email protected]) to cover their bills in the event of sickness or injury. Advertising director: Nicole Mastrangelo With a one-day average turnaround2 for online ([email protected]) Account executives: claims, Afl ac helps protect their pocketbooks and Dawn Donegan ([email protected]) Andy Hollander ([email protected]) their peace of mind. Lindsie Bowman ([email protected]) John Banks ([email protected]) Michael Jansen ([email protected]) Employers like you are discovering a few things Office coordinator: Denise Donaldson too, like how easy it is to add voluntary coverage ([email protected]) from the industry leader3 to your benefi ts at no Digital strategy director: Nancy Hanus ([email protected]) direct cost. For many employers, Afl ac may even Audience development director: be a pre-tax deduction, so when we say it pays Eric Cedo ([email protected]) to tend to your fl ock, it just might. Web/Print production director: Craig L. Mackey ([email protected]) Production assistant/video editor: Steven Bennett ([email protected]) Call your local agent and visit Billing: Michele Ulman, 313-446-0353 afl ac.com/business ([email protected]) Credit: Todd Masura, 313-446-6097 ([email protected]) Crain Communications Inc. Keith E. Crain: Chairman Rance Crain: President Merrilee Crain: Secretary Mary Kay Crain: Treasurer William A. Morrow: Executive vice president/operations Chris Crain: Executive Vice President, Director of Strategic Operations Dave Kamis: Vice president/production & manufacturing 12013 Employer Health Benefi ts Survey, The Henry J. Kaiser Family Foundation, August 20, 2013, http://kff.org/report-section/2013-summary-of-fi ndings/ Accessed 11/19/2013. 2Afl ac Company Anthony DiPonio: Statistics, October 2013, One day processing turnaround based on business days after required documents are received. Online claims available for Accident, Sickness, Cancer & Wellness claims. Chief Information Officer 3 Eastbridge Consulting Group. U.S. Worksite/Voluntary Sales Report. Carrier Results for 2012. Avon, CT: April 2013. Coverage is underwritten by American Family Life Assurance Company of Mary Kramer: Group publisher Columbus. In New York, coverage is underwritten by American Family Life Assurance Company of New York. Worldwide Headquarters | 1932 Wynnton Road | Columbus, GA 31999 Z131178 11/13 G.D. Crain Jr. Founder (1885-1973) Mrs. G.D. Crain Jr. Chairman (1911-1996)
AFL3030 B2B FLOCK JR.indd 1 1/30/14 11:50 AM 20140217-NEWS--3-NAT-CCI-CL_-- 2/14/2014 10:43 AM Page 1
Quite a Thrill. Quite a Thrill.
2014 ATS 2.0 TURBO/AWD * CLASSIC CADILLAC MONTHLY LEASE $299 39 Month lease requiring $2,999 Cash orTrade due at signing. 10,000 miles per year and 25¢ charge per mile over. Plus tax, title, license and doc. fee (MSRP: $38,160 - ST#W11244) Save an extra $1,000 if you own OR lease a ‘99 or newer GM vehicle. Trade-in not required
These deals will provide some thrills, too.
CADILLAC CADILLAC AWD CADILLAC 2014 SRX FWD 2014 CTS 2.0 TURBO 2014 XTS FWD MONTHLY LEASE $319 MONTHLY LEASE $439 MONTHLY LEASE $429 39 Month lease requiring $2,999 Cash or Trade 39 Month lease requiring $2,999 Cash orTrade 39 Month lease requiring $3,999 Cash or Trade due at signing. 10,000 miles per year and 25¢ due at signing. 10,000 miles per year and 25¢ due at signing. 10,000 miles per year and 25¢ charge per mile over. Plus tax, title, license and charge per mile over. Plus tax, title, license and charge per mile over. Plus tax, title, license and doc. fee (MSRP: $38,430 - ST#W11175) doc. fee (MSRP: $48,025 - ST#W11199) doc. fee (MSRP: $46,660 - ST#W11317) Save an extra $1,000 if you own/lease a ‘99 or newer GM vehicle. Trade-in not required Save an extra $1,000 if you own/lease a ‘99 or newer GM vehicle. Trade-in not required Save an extra $1,000 if you own/lease a ‘99 or newer GM vehicle. Trade-in not required BMW BMW BMW 2014 320i xDrive 2014 X3 xDrive28i 2014 528i xDrive MONTHLY LEASE $299 MONTHLY LEASE $489 MONTHLY LEASE $489 36 Month lease requiring $3,995 Cash or Trade 36 Month lease requiring $3,995 Cash 36 Month lease requiring $3,995 Cash due at signing. 10,000 miles per year and 20¢ or Trade due at signing. 10,000 miles or Trade due at signing. 10,000 miles charge per mile over. Plus tax, title, license and per year and 20¢ charge per mile over. per year and 20¢ charge per mile over. doc. fee. Additional charge for certain ext. colors. Plus tax, title, license and doc. fee Plus tax, title, license and doc. fee
LEXUS NAV LEXUS LEXUS NAV 2014 IS250 AWD 2014 ES350 NAV 2014 RX350 AWD MONTHLY LEASE $299 MONTHLY LEASE $329 MONTHLY LEASE $399 27 Month lease requiring $3,995 Cash orTrade 27 Month lease requiring $3,995 Cash orTrade 27 Month lease requiring $3,995 Cash orTrade due at signing. 10,000 miles per year and 25¢ due at signing. 10,000 miles per year and 25¢ due at signing. 10,000 miles per year and 25¢ charge per mile over. Plus tax, title, license charge per mile over. Plus tax, title, license charge per mile over. Plus tax, title, license and doc. fee (MSRP: $44,423) and doc. fee (MSRP: $44,223) and doc. fee (MSRP: $50,500)
CADILLAC BMW LEXUS CLASSIC MENTOR 440 255 6955 WILLOUGHBY HILLS 888 439 8833 WILLOUGHBY HILLS 800 525 7594 DRIVECLASSIC.COM Offers end 2/28/14. 20140217-NEWS--4-NAT-CCI-CL_-- 2/14/2014 3:30 PM Page 1
4 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014
FOR LEASE 16900 ROCKSIDE RD, MAPLE HEIGHTS, OHIO
%8,/'7268,7(;3$16,21255(129$7,212)(;,67,1*35(0,6(6
Rockside Rd 455’ $SSUR[LPDWHO\DFUHV 40’ +/- 81.5’ 6) DYDLODEOH 130’ +/- =RQLQJ 2,2IÀFH,QGXVWULDO 'LVWULFW
7KHDSSUR[LPDWHO\ +/- 17,000 SF Building 6)EXLOGLQJRQVLWHFDQEH 770’ XSJUDGHGWRÀWDYDULHW\RI 770’ XVHV ([FHOOHQWORFDWLRQ *HQHURXVWUXFNFRXUWDQG SDUNLQJDUHD
/HDVHUDWHQHJRWLDEOH 455’ For more information contact our licensed real estate salespersons: Terry Coyne 216.453.3001 [email protected] Kristy Hull 216.453.3055 [email protected]
Visit 1350 Euclid Ave, Suite 300 TerryCoyne.com Cleveland, Ohio 44115
MCKINLEY WILEY Billy Fronimo, left, and Nick Semertsidis are managing partners of Cleveland Comfort. They are shown at one of their properties in Old Brooklyn. CBS in partnership with area Credit Unions It’s a different way of
The Power of Collaboration SM finding a place to stay “This is not for the Alternative lodging, sparked by such average guest.” sites as Airbnb and Homeway, is quickly – Billy Fronimo, managing gaining popularity in Northeast Ohio partner, Cleveland Comfort Local Real Estate Financing in Lakewood to see what the local short-term rental market was like. It By RACHEL ABBEY McCAFFERTY nightly, weekly or monthly fee. Up to 7.5 Million for Investment or Owner Occupied Properties rented frequently, he said, so he [email protected] However, under the Couchsurfing started adding more properties in system, no money changes hands. Contact Jonathan for more information! order to book multiple guests at the Billy Fronimo and Nick Semert- In Northeast Ohio, the popularity of same time. sidis are in the lodging business. short-term alternative lodging is The short-term rentals in Froni- Jonathan Mokri But contrary to what you might climbing. mo’s portfolio — he also has long- 440.526.8700 think from the name of their web- Cleveland-area Airbnb listings term rentals — were something [email protected] site — Cleveland Comfort — they surged 134% from December 2012 www.cbscuso.com he’d thought about for a couple don’t run a hotel, inn or bed and to December 2013, a media repre- years. They’re in safe neighbor- breakfast. sentative for Airbnb said in an email, hoods, he said, and near down- The two men are among a grow- though she could not provide the town. ing legion of residential property number of hosts. Guests to Cleve- “I knew I had the right real estate owners who are renting out rooms land via Airbnb shot up 240% over and the right areas,” he said. in their apartments or homes — that period. As of Feb. 14, there were While he said the pricing is com- and in the case of Fronimo and Se- 116 rentals listed on Airbnb in the parable to or less than a hotel room, mertsidis, entire houses — to out- Cleveland area, about half where the Fronimo doesn’t view Cleveland of-town visitors who are looking for entire home was available and half Comfort’s rentals as real competi- alternatives to the Marriotts and with just a private room. tion to the hotel business. Holiday Inns of the world. Semertsidis, a managing partner “This is not for the average Internet sites such as Airbnb and of Cleveland Comfort, said he guest,” he said. Couchsurfing have made it possible thinks the opportunity to live like a Instead, the homes and apart- for people who are interested in local is part of the appeal to people ment-style spaces he runs see a lot short-term lodging but don’t want who choose to stay in a home or of Cleveland Clinic patients and to stay in a hotel to connect direct- apartment instead of a hotel. It families who are staying for a longer ly with folks who are willing to open gives guests, such as those who period of time or large groups that their homes, condos and apart- might be relocating to the city, the can’t fit easily into a more tradition- ments to strangers. chance to see a neighborhood in- al space. As the names of the websites im- stead of just the touristy parts of ply, sometimes the accommoda- Cleveland. Welcoming the world tions for guests are as simple as an Semertsidis had worked in long- Cleveland Comfort advertises its air mattress or a couch. However, in term rental in the past, but decided homes on its own website, as well many cases, hosts offer visitors to join Fronimo in his short-term as on sites such as Airbnb and Va- rooms or entire properties. rental business last November. cation Rentals By Owner, a Home- People who rent via sites such as Fronimo started Cleveland Comfort Away Inc. site. Airbnb or HomeAway do so for a last June with one unit of a duplex See STAY Page 35
Volume 35, Number 7 Crain’s Cleveland Business (ISSN 0197-2375) is published weekly, ex- Subscriptions: In Ohio: 1 year - $64, 2 year - $110. Outside Ohio: 1 cept for combined issues on the fourth week of December and fifth week of December at 700 West year - $110, 2 year - $195. Single copy, $2.00. Allow 4 weeks for St. Clair Ave., Suite 310, Cleveland, OH 44113-1230. Copyright © 2014 by Crain Communications change of address. For subscription information and delivery concerns send correspondence to Audience Development Department, Crain’s Inc. Periodicals postage paid at Cleveland, Ohio, and at additional mailing offices. Price per copy: Cleveland Business, 1155 Gratiot Avenue, Detroit, Michigan, 48207- $2.00. POSTMASTER: Send address changes to Crain’s Cleveland Business, Circulation De- 9911, or email to [email protected], or call 877- partment, 1155 Gratiot Avenue, Detroit, Michigan 48207-2912. 1-877-824-9373. 824-9373 (in the U.S. and Canada) or (313) 446-0450 (all other loca- REPRINT INFORMATION: 800-290-5460 Ext. 136 tions), or fax 313-446-6777. 20140217-NEWS--5-NAT-CCI-CL_-- 2/14/2014 3:43 PM Page 1
FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 5 INSIGHT Groups work to discredit job data areas that have been the losing, Team NEO, Cleveland State team up to say Cleveland stats SEE FOR YOURSELF rather than gaining, jobs. Those If you want to read the numbers that headlines, the CSU and Team NEO from U.S. Bureau of Labor Statistics are very ‘unreliable’ are in dispute, check out the Current officials believe, send a false signal Employment Statistics for Cleveland that can be interpreted to mean that By JAY MILLER land area a fair shake when it re- pinned a “job loser” sign on the at: tinyurl.com/obsazhx. the local economy is in a dive. [email protected] ports on employment. Cleveland metropolitan area. So The monthly federal labor re- These crusaders from Cleveland they’re challenging the way the U.S. port, called the Current Employ- Several watchers of the local State University and Team North- Bureau of Labor Statistics, or BLS, Those numbers have led to head- ment Statistics, or CES, is best economy are mounting a crusade east Ohio, the regional business at- estimates the number of jobs lines that say the Cleveland area, known for being the earliest report- because they believe the federal traction nonprofit, say federal gained or lost monthly in metro- since at least April 2013, has been ed estimate of unemployment rates government isn’t giving the Cleve- number-crunchers unfairly have politan areas. part of a small group of metropolitan See DATA Page 33 Hyland is sold on making big gains overseas Westlake-based software firm hopes to triple its international revenue in the next ‘few years’
By CHUCK SODER [email protected]
Want a job at Hyland Software? It wouldn’t hurt to learn Swahili. The Westlake-based provider of content management software has big international ambitions: Within a few years, sales from outside the United States should account for about 30% of Hyland’s total revenue, up from 10% to- day, according to Brenda Kirk, vice president of strategy for the company. It’s a big goal, but Hyland now has the infrastructure in THE WHOLE PACKAGE place to achieve it, Kirk said. “We’re building on a foundation that’s ready to grow,” she said. Kirk wouldn’t say exactly what she meant by “a few years,” but even if she means five years, it’s an ambitious Coca-Cola plant in goal. Hyland’s international Bedford Heights has “We’re building on sales would need to climb a foundation that’s steadily just to remain at a Cleveland-centric ready to grow.” 10%, given how fast the company has grown overall look and packs quite – Brenda Kirk, vice during the last several years. president of strategy, But after more than a Hyland Software decade of working to an economic punch expand sales outside the By RACHEL ABBEY McCAFFERTY United States, Hyland’s international growth is starting to [email protected] accelerate. The company signed contracts with 166 international henever someone buys an customers in 2013, up from 144 last year and 135 in 2011. ice-cold can of Coca-Cola in Hyland’s growing legion of software resellers deserves Cuyahoga County, they can some of the credit for driving the increase. Hyland has re- rest assured their beverage’s tripW from bottler to cooler was a short lationships with about 150 foreign companies that resell and provide service related to its OnBase content manage- one. ment software, up from 98 in 2010. The Cleveland Coca-Cola Bottling Co. Among those resellers are a few global information tech- plant in Bedford Heights has exclusive REBECCA R. MARKOVITZ PHOTOS nology and imaging companies, such as Hewlett-Packard, rights to sell the soda giant’s products in This Coca-Cola logo was designed by an employee in a contest at the company’s plant in Konica Minolta and PFU Ltd., a Japanese company owned bottles and cans to retailers, restaurants Bedford Heights. It depicts a Coke bottle nested within the Cleveland skyline. by Tokyo-based Fujitsu Ltd. and everyone else in the county. And now, Recruiting foreign companies to sell OnBase — which the bottling company is underlining just the whole time. Pittsburgh- INSIDE: More images according to Benzino, though Hyland customers use to organize and sift through elec- how important it considers the Cleveland area to be in its new logo, which was intro- based Abarta Inc. bought the from the Coca-Cola he declined to share the tronic documents and other materials — is a key part of the duced to its 250 employees just last week. plant in 1971. Peter Benzino, plant in Bedford plant’s annual revenue. company’s international growth strategy. Combined, Hy- “We are local people,” said director of president of Abarta Beverage Heights. Pages 36, 37 Cornette said Coca-Cola land’s 150 international resellers generate about 90% of the sales and marketing Randall Cornette. West and vice president and Co. works with the indepen- company’s international sales, Kirk said. By contrast, re- “When you do purchase our products, you GM of the plant, said the holding compa- dent bottlers and understands the impor- sellers account for roughly half of Hyland’s U.S. sales, she are purchasing from your neighbors.” ny is independent of Atlanta-based Coca- tance of a local feel to the brand. Cleve- said. The logo, which was designed by an Cola Co.; that independence gives Cleve- land isn’t alone in its regional pride: there “If we can find a partner to do it, then we probably will,” employee in a plant-wide contest, depicts land Coca-Cola autonomy to set and are other independent bottlers, such as she said. a Coca-Cola bottle nested within the follow its own business plan. those in North Carolina and the Abarta Sprechen sie Deutsche? Cleveland skyline on a backdrop of a bot- In the past 20 years, the plant has been operation in Buffalo, N. Y., that are estab- tle cap. The new logo also highlights the among the 10 largest independent bot- lishing local branding, he said. Cleve- Plus, Hyland’s own 1,650 employees is a more global company’s ties to the region since 1905 tlers based on cases sold in Coca-Cola’s land’s new logo will be found on the com- bunch than it was a few years ago. and conveys that it has been family- system, Benzino said. In about the past pany’s advertising, trucks and uniforms. See HYLAND Page 6 owned — albeit by different families — three years, it’s been the fifth largest, See PACKAGE Page 36 20140217-NEWS--6-NAT-CCI-CL_-- 2/14/2014 4:26 PM Page 1
6 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014
605 Golden Oak Pkwy., Oakwood Available for Sale Construction jobs in Akron area soar from big projects Experts credit better economy; Cleveland sees small increase
By STAN BULLARD • 7,200 Total SF [email protected] • 1 Acre • 10 Parking Spaces In the feast and famine cycle of the construction business, Summit • Close Proximity to and Portage counties just finished a I-480 and I-271 turn at the feast side of the table. An analysis of construction and FOR MORE INFORMATION, CONTACT: seventy-fifth 75 anniversary related employment statistics by the Washington, D.C.-based Associated Kevin J. Kuczynski General Contractors trade group 216-861-7200 www.ostendorf-morris.com ranked the Akron Metropolitan Sta- global commercial real estate services tistical Area sixth in the nation in JASON MILLER/INVISION terms of construction-related job Officials from the Hard Rock Rocksino, as well as former Browns quarterback increasesin 2013. Bernie Kosar (far left), smash guitars for the grand opening of the Rocksino, one The number of construction and of the biggest construction projects in the Akron area last year. related jobs in the Akron MSA soared 18% to 12,000 at the end of 2013 said commercial and institutional finished up last year. Much of the from 10,200 a year earlier, according construction and the re-emergence continued momentum came from to the trade group’s analysis of U.S. of home construction accounted for construction of new apartments and Bureau of Labor Statistics figures. the rise in construction-related jobs conversion of underused office Meantime, the Cleveland-Elyria- in her county. She said shale-related buildings to apartments. Mentor MSA managed to stay 1% activity may be benefiting the county Carmine Torio, executive vice ahead of a year ago as employment indirectly, but she has no anecdotal president of the Home Builders rose to 32,400 as of Dec. 31, 2013, evidence of it. Association of Greater Akron, credits from 32,200 a year ago. In Portage County, Brad Ehrhart, part of the employment increase to Although the statistical category president of the Portage Develop- the pick-up of home building and includes construction, mining and ment Board, credited the construc- home remodeling. He estimates at timbering, industry experts in Sum- tion job gains in part to institutional least 400 jobs of the 1,800-job increase mit and Portage counties credit the projects from a new municipal in the Akron MSA is due to residen- rise in employment to an increase in court-house in Kent to housing and tial work. building post-recession rather than a fitness center at Northeast Ohio Torio has no doubt the growth the jobs created by Ohio’s shale energy Medical University in Rootstown. building-related jobs rings true. boom. Ehrhart said several commercial During the worst of the recession, The biggest driver of the employ- projects, such as big-ticket projects Torio recalled, his area lost about ment jump was the $265 million evo- in downtown Kent, also contributed 6,000 construction jobs simply due lution of Northfield Race Track in to the work. to the drop in housing starts. Northfield in Summit County into The Cleveland-Elyria-Mentor Now, building contractors and the Hard Rock Rocksino. The mam- MSA managed to maintain its con- subcontractors are hustling to find moth project involved the addition struction employment pace even replacement workers to replenish of a video lottery terminal gaming though several downtown Cleveland their depleted ranks. area, restaurants and entertainment construction projects, such as Ernst “I know everyone is looking for venues to the race track. & Young Tower in the Flats and the framers and siders,” he said of the car- Connie Krauss, Summit County Global Center for Health Innovation penters who install the wood frames director of economic development, and Cleveland Convention Center, of houses and enclose them. ■
Hyland: Foreign partners fuel expansion continued from PAGE 5 “We took the pieces which competes with Microsoft, IBM For instance, three years ago the and some other larger companies in company promoted a member of its that did (work) and we’re the content management space — human resources staff to become repeating it.” working for foreign partners is a fast its first dedicated international – Brenda Kirk, vice president of way to put “feet on the street,” said recruiter. Since then, international strategy, Hyland Software Eid, vice president of enterprise ap- recruiting has become part of every plication software at Gartner. recruiter’s job. “You need to have local partners,” what works and what doesn’t when And Hyland has started putting a he said. doing business in other regions, AIR CHARTER SERVICE bigger premium on foreign language Market trends could help Hyland especially in Latin America, which AIRCRAFT MANAGEMENT skills when hiring employees, even if meet its 30% goal. accounts for roughly half of Hyland’s they’ll mainly be working at its West- Demand for content management international sales, Kirk said. lake headquarters, Kirk said. software is growing faster overseas “We took the pieces that did “It’s a huge differentiator for can- than it is in the United States, Eid (work) and we’re repeating it,” she didates,” she said. said. said. It took a long time for the company Over the next five years, sales to get to this point. For at least 10 ‘Off the charts’ potential for that segment of the software years, Hyland executives have been industry should grow by double- telling Crain’s about the company’s Hyland is right to rely heavily on digit percentages annually in every plans to expand international sales. foreign companies to sell and service region of the world other than North A decade ago, however, Hyland had OnBase overseas, according to Tom America and Western Europe, he just seven employees in England, a Eid, a research vice president at said. Northern Ohio's Largest few in Brazil and one in Japan, ac- Gartner Inc., a Stamford, Conn.- Kirk has seen the statistics. cording to a Crain’s story written at based company that studies the IT Companies in the United States Air Charter Service the time. industry. are more likely to have adopted con- Serving the area with 4 Beechjets and 2 Hawkers Now the company has about 140 Foreign companies often prefer to tent management software than conduct business face to face, and • In-flight Wi-Fi Now Available • employees dedicated to its interna- their foreign counterparts, which tional business, 73 of which are they tend to want more services after means big opportunities exist for www.FlySkyQuest.com • 216-362-9904 based in other countries. the purchase than U.S. companies, Hyland in other lands. As that expansion took place, the Eid said. “The growth potential is just off company has learned a lot about For a company such as Hyland — the charts,” she said. ■ 20140217-NEWS--7-NAT-CCI-CL_-- 2/14/2014 1:56 PM Page 1
FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 7
Your Units Are Makeover: Solon plant could have On The Market Faster! nearly 60 full-time workers by 2016 ProMark™ Cabinets are made to order in 5 days continued from PAGE 1 Part of grander plans or less – Guaranteed! “We plan to start small and will LOOKING GOOD The Solon plant will be the main increase gradually,” said Yu, who A glance at how Cosmax’s financials factory in Cosmax’s U.S. plans. noted that Cosmax could begin op- improved between the close of “U.S.A. is an essential market to erations in Solon by the end of 2014 2009 and Dec. 31, 2012: us since it is the biggest cosmetic Locally Made | 7 Colors depending on completing con- Category Pct. change market as a country,” wrote Yu, Tremont Oak, Spice Color Shown struction in the building and other Call (216) 453-3654 for FREE Samples! Total revenues +102.7% who noted that a U.S. operation is a factors. key part of a plan to make Cosmax “We’re sure it will be more than a Gross profit +101.0% the world’s largest cosmetics mak- couple hundred (employees) once er. Future plans, he said, call for ex- we reach maximum capacity, but Operating income +191.6% panding further in North and South we’re not sure exactly how many,” America. he said. Source: businessweek.com L’Oreal, which is based in France, Cosmax is in negotiations with will exit Solon by the end of this Solon for an income tax incentive company’s employees, according year. on a payroll that may reach as to Dorfman. The program allows In 2012, L’Oreal announced a much as almost $7 million in 2016, the incentive to range between 10% plan to move its shampoo and hair A Veteran-Owned Small Business according to Peggy Weil Dorfman, and 50%. conditioner production to plants in the city’s economic development Although the city incentive pack- Kentucky and New Jersey. It plans coordinator. age still needs to be finished, Cos- to retain a warehouse in Streets- A recently filed application for the max already is committed to the boro. A warehouse L’Oreal owns on incentive, which calls for the city to project. Arnold Miller Parkway in Solon still Core Services cut a check for the company based That’s because Cosmax already is available, Dorfman said. Creditors’ Rights • Collections • Subrogation • Bankruptcy on a percentage of municipal income bought the L’Oreal manufacturing The buildings previously served taxes its employees pay there the pre- and office complex. Cosmax last the locally born company Matrix ceding year, estimates Cosmax will month paid L’Oreal $7.3 million for Corp., which created the Matrix Es- Markets Served have 47 full-time and 99 part-time the three-building complex at sentials line of personal care prod- employees in 2015. By 2016, Cosmax 30501 to 30701 Carter, according to ucts that Arnold and Sydell Miller Business • Finance • Education • Government • Healthcare forecasts it will reach 59 full-time and Cuyahoga County land records. sold to Bristol-Squibb Meyer in 150 part-time employees. The complex is appraised by the 1994. The latter company sold the Ethical, Professional, Excellent Service Cosmax also said it will employ county at $9.5 million for property business to L’Oreal in 2000. workers from temporary agencies, tax purposes. Cosmax and L’Oreal reached the Please visit our website www.tmslaw.net perhaps more than 100, Dorfman Cosmax plans to add equipment deal for the property between said. and complete some renovations to themselves, Dorfman said. 888-364-7072 Solon’s jobs incentive program the properties, Yu said, so he “can’t “To have something like this typically pays an amount equal to guarantee” its launch of production brought to us, we greatly appreciate 25651 Detroit Rd, Suite 203, Westlake, OH 44145 30% to 40% of the tax paid by a new will be by the end of the year. it,” Dorfman said. ■
Leadership that inspires our community. And advances our mission.
At University Hospitals, we would like to congratulate our CEO Thomas F. Zenty III for once again being recognized as one of Northeast Ohio’s most influential business leaders. Your excellent reputation for empowering, consensus-driven leadership, as well as your dedication to our care is an inspiration to our community – and is equaled only by your commitment to living our mission every day: To Heal. To Teach. To Discover.
Thomas F. Zenty III
© 2014 University Hospitals COR 00612 20140217-NEWS--8-NAT-CCI-CL_-- 2/14/2014 3:45 PM Page 1
8 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 Support: Sin tax on smokes, if not ONLINE LENDER ORDERED AUCTION FORMER PRODUCE REFRIGERATOR/FREEZER FACILITY extended, will expire at end of 2016 SELLSTO THE HIGHEST BID AT OR ABOVE $450,000!!! continued from PAGE 1 this is a good investment,” said Online Auction Ending February 25th at 3:00PM ET “We have to prove to The arts sin tax, first approved by voters why this is a good Karen Gahl-Mills, executive director PROPERTY LOCATION: 4900 Crayton Ave., Cleveland, OH 44104 a 56%-to-44% vote in 2006, levies a of Cuyahoga Arts & Culture. Preview: February 18th & February 25th at 12:00 PM 30-cent tax on each pack of ciga- investment. ... We work Gahl-Mills pointed to a map of Tranzon Asset Advisors of Ohio, Inc., Edward D. Durnil Auctioneer/Broker #2008000096 | 10% Buyer’s Premium rettes, and it’s heading for a sunset hard to touch all 59 the county in the organization’s an- $10,000 Initial Deposit Required to Bid | Broker Participation Welcome | Other Terms Apply | TAA-1401 by the end of 2016 if it isn’t renewed. In cooperation with Cresco Real Estate,a member of the Cushman &Wakefield,Matthew Beesley,Broker communities that nual report with what she said were The tax supports arts organiza- TRANZON.COM 888-791-7307 ext. 86 2,000 dots representing locations tions ranging from the Cleveland Or- comprise our county.” where organizations supported by chestra and the city’s major muse- – Karen Gahl-Mills, executive the sin tax have performed. ums to individual artists, director, Cuyahoga Arts “We work hard to touch all 59 neighborhood arts festivals and chil- & Culture communities that comprise our dren’s theater productions. county,” she said. When the dust settles on the many artists — Schorgl laid out The biggest grants provide annu- sports tax, renewed or not in 2014, what likely will be the pillars of a al operating support to the major Cuyahoga County voters will be campaign to renew the tax. cultural institutions. In 2014, those asked in 2015 to continue a sin tax Schorgl said he believes the com- grants are to the Cleveland Museum Congratulations that generates about $16 million an- munity values the arts programs of Art ($1.5 million), the Cleveland nually and supports nearly 200 orga- supported by the tax, both because Orchestra ($1.5 million), Playhous- Bob Smith! nizations and events. of the enjoyment people personally eSquare ($1.7 million) and the Rock “We see 2014 as the year to orga- derive from attending concerts, the- and Roll Hall of Fame and Museum Northeast Ohio nize and get out our message,” said aters and educational programs, as ($1 million). Thomas Schorgl, president and CEO well as for their impact on the econ- But Cuyahoga Arts & Culture this Power 150 of the nonprofit Community Part- omy. year also will be supporting the 15th nership for Arts and Culture. “Over In its most recent annual “Cul- annual “A Day at the Chalet” festi- the next year to year-and-a-half, ture Pulse Report,” CPAC found that val in Strongsville ($4,142) and we’ll be working, and arts and cul- the county’s arts and culture pro- LakewoodAlive’s “Front Porch” ture organizations will be communi- grams, many of which receive coun- concert series ($4,450). cating with their (attendees) and ty sin tax money, spent $284 million Cuyahoga Arts & Culture’s 2012 members,” about the importance of while employing 3,444 full- and annual report states that more than the public money, he said. part-time workers in 2011. 321,000 county residents attended The Community Partnership for Schorgl said that in Cuyahoga classes and workshops that received Arts and Culture, or CPAC, devised County, the arts play an important tax money. the tax plan nearly a decade ago and role in stabilizing and growing some We want you to succeed. continues to be a think tank and ad- of the older neighborhoods of Six tax’s ‘public appeal’ Cleveland. He cited a half-dozen Asset Management vocate for local arts programs. It like- Using a sin tax to support the arts ly will play a key role in whatever neighborhoods as examples; among Financial Planning — or sports facilities for that matter campaign is mounted to renew the them is Detroit-Shoreway, where — is controversial, and other com- Wealth Management tax. residential and retail development munities have been watching and Retirement Plan Management Schorgl said a decision on the cre- is following the growth of the tax- learning from Cuyahoga County’s ation of a political action committee payer-supported Gordon Square experience. is several months away. But in a Arts District, which includes Cleve- In Milwaukee County in Wiscon- sperosmith.com (216) 424-6266 wide- ranging conversation last land Public Theatre, the Near West sin, the Public Policy Forum, a non- Wednesday, Feb. 12, at his office in Theatre and the Capitol Theater. partisan government watchdog the restored Tower Press Building at Schorgl also said the arts are an nonprofit, will issue a report next 1900 Superior Ave. — a home for asset for the local business commu- month laying out alternatives for an nity. arts tax there. The experience in “It’s an asset for the corporate Cuyahoga County was one of five community as well as anybody in alternatives it examined. It also is business,” Schorgl said. “You want looking at communities that have to attract talent, and (some) of the used sales and property taxes to elements of attracting talent are the support the arts. things in a community that are Rob Henken, that organization’s unique, engaging and entertain- president, said while his nonparti- BUSINESS ing.” san group will not make a recom- Spread it around mendation to the task force charged Building our bank one quality relationship at a time with developing a solution, he saw To make sure voters will under- the value in Cuyahoga County’s ap- stand the concepts Schorgl laid out, proach. Cuyahoga Arts & Culture, the coun- “When we look at what we might ty agency that administers the sin do, there is nothing to say that (a sin tax proceeds, has spread its grant- tax) approach wouldn’t be effective making to every corner of the coun- here,” Henken said. “One of the ty. Its logo adorns the programs and things we have noted about your posters of organizations ranging approach is what it does in terms of from the Cleveland Museum of Art public appeal. When you’re funding to the Talespinner Children’s The- such a broad array of activities and atre in Cleveland and the Westlake it’s touching virtually every citizen, Chinese Cultural Association. that (might) help you when you go “We have to prove to voters why to the polls.” ■
MEET OUR EXPERT COMMERCIAL LENDING TEAM: GET DAILY NEWS ALERTS FROM CRAIN’S! Back Row: Craig Reay (Chief Credit Officer), Chris Smerglia (Team Leader), John Holland III, Bernie Dietzel & Jim Hojnacki Front Row: Jamie Brotherton, Buzz Parkin & Bill Valerian (CEO & President) Register for free email alerts and ■ Health Care Report: A weekly receive: guide to keep readers on top of changes in the health care industry. ■ The Morning Roundup: The Published Tuesday. day’s business news from Ohio’s ■ daily papers Real Estate Report: A weekly Timely response guide to real estate news. Published Array of credit products ■ Breaking news alerts Monday. ■ Daily headlines: Crain’s-produced ■ Small Business Report: A including SBA loans news and blog items from the day weekly guide to small business Local decision making ■ Dealmaker Alert: A weekly guide news. Published Thursday. on M&A trends and recent ■ Shale and Energy Report: A 216.359.5597 transactions in Ohio. Published weekly guide to the energy industry. Wednesday. Published Friday. Great rates & most current terms are available, subject to credit approval & other program terms SIGN UP NOW AT: CrainsCleveland.com/register 20140217-NEWS--9-NAT-CCI-CL_-- 2/13/2014 3:56 PM Page 1
FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 9 Mortgage bankers make some history
company and the future of real es- cause if the mortgage business had Industry’s trade association has never had tate finance in America,” he said, had more diversity in senior-level citing legislation and regulators. “It management, some financial prod- an Ohioan at the helm, but now two from just seemed as though the more I ucts that encouraged loose lending became involved, the more it sim- and helped create the crisis may the state will lead it in back-to-back years ply made sense to be involved.” not have existed, Burke said. Also, the MBA Opens Doors By MICHELLE PARK LAZETTE enjoys some of the top mortgage In reputation repair mode Foundation was established a cou- [email protected] banking professionals in the busi- Burke Cosgrove ple years ago and continues to raise ness, at a time when change within Burke is focused on leaving the money to make mortgage pay- Never before, at least according our industry requires vision, cre- Mortgage Bankers Association on inclusion committee in June, which ments for families with critically ill to records dating back to 1949, has ativity and dynamic leadership,” “excellent (financial) footing,” un- is to host a diversity inclusion con- or injured children, Burke noted. this happened. Stefanski said in an email. like what it experienced during the ference. Cosgrove, the association’s next Two mortgage bankers from the Consecutive leadership by Ohio recent housing crisis, as the group’s “If you don’t look like the people Ohio-based leader, expects to keep same state will chair the Mortgage bankers — each of them chosen by financial condition is tied to indus- you serve, you might not necessar- a similar speaking schedule, to vis- ily connect with them,” Burke said. Bankers Association in back-to- an association nominating commit- try conditions. it Capitol Hill regularly and to inter- And finally, Burke wants to repair back years, and they are Northeast tee that asked members via formal The association has an econom- act with legislators and regulators the mortgage industry’s reputation, Ohio’s own. ballot to elect its nominees — is ex- ics group that forecasts residential for the “betterment of our indus- which took a big hit during the fi- They also are Northeast Ohio’s citing, said Marianne Collins, exec- try.” He also plans to return to his refinance and purchase volumes, nancial crisis due to a deluge of first: There’s no record of another utive director and chief operating native region with something of and it now is using that group’s foreclosures that cost tons of peo- Ohio banker chairing the Washing- officer of the Ohio Mortgage value to share. forecasts in its own planning “bet- ple their homes and left many ton, D.C.-based association, which Bankers Association in Westerville. ter than we did in the past” to en- homeowners with debt that ex- “It gives me the opportunity to this year marks 100 years of repre- “That really says something sure the Mortgage Bankers Associ- ceeded the value of their properties. see … overall housing finance in senting the real estate finance busi- about our state, I think,” said ation is adjusting its budget when “There are a lot of people who America at a very high level, and ness. It counts more than 2,200 Collins, who noted that the presi- necessary, Burke said. don’t trust their mortgage lender I’m able to bring that back to our member organizations. dent of the National Association of Burke also wants to build a more today, so we need to take steps to business in Northeast Ohio and re- In the role since October is E.J. Realtors, Steve Brown, hails from diverse and inclusive real estate fi- change that perception,” he said. ally any groups in Northeast Ohio Burke, executive vice president and Ohio (Dayton). nance work force. To that end, as The effort to increase diversity is that I … interact with as well,” Cos- group head of KeyBank Real Estate “I think it says that we grow some chair-elect, Burke set up a diversity one piece of reputational repair, be- grove said. ■ Capital, and a Shaker Heights resi- of the best people in the business,” dent. As chairman of the 25-person she said. board, Burke is asked to speak at state association meetings to com- Involved to the hilt municate the Mortgage Bankers As- sociation’s priorities and to hear the Collectively, Burke and Cosgrove Space available alongside award-winning content. priorities of mortgage bankers have more than six decades of real across the country. He also speaks estate finance experience. Burke before lawmakers — and answers works on the commercial side of the their questions — about the associ- business and at KeyBank heads a ation’s views on a variety of matters, 650-person group for the nation’s GET IT WHILE IT LASTS! and provides oversight to the asso- fourth-largest commercial loan ser- ciation’s staff. vicer; Cosgrove’s business makes Burke expects to deliver up to 20 single-family residential loans in speeches by the time his chairman- about 18 states. Focus List List Focus ship concludes Oct. 19. Both bankers have been involved When Burke steps down, Bill Cos- with the Mortgage Bankers Associa- Real Estate Most Expensive Downtown grove — CEO and owner of tion for years. Real Estate Strongsville-based Union Home “In the midst of the crisis (of List NEO Home sales of Cleveland Office Mortgage Corp. and a Medina resi- 2008), I knew that there would be Buildings dent — will step into the role. reform, that it would have an im- Industrial Parks 2013 “The mortgage banking industry pact on our business,” Burke said. “I is at a critical time in our history,” thought that being more involved Issue Date: Issue Date: said Cosgrove, now chairman-elect. … I would either a) have some input Issue Date: Issue Date: “In Washington, the debate is cen- into what that would look like or b) March 3 March 10 Sept 15 Oct 27 tered around what level of home- have a better view of what the out- ownership is the right balance, who come would look like, and better should be a homeowner and who position the bank for whatever that Ad Close: Ad Close: Ad Close: Ad Close: should be a renter. … To be leading outcome was.” during a time when America is re- Cosgrove, too, became increas- Feb 20 Feb 27 Sept 4 Oct 16 thinking what is successful home- ingly involved to gain a voice. ownership is an incredible honor “I never really dreamed that I and an incredible opportunity.” would be involved at this level,” Marc A. Stefanski, chairman and Cosgrove said. “I never had this as- CEO of Cleveland-based Third Fed- piration. eral Savings & Loan, a big residen- “As my career progressed and our tial mortgage lender in Northeast company grew, I just simply saw Ohio, said in an email he congratu- that the interaction … with Wash- lates his fellow Ohioans’ leadership. ington was becoming more and “It confirms that Northeast Ohio more important to the future of my Gift to provide scholarships, youth programs The Cleveland Foundation said it Greg Geis. The foundation bearing has received a $1.7 million gift from their parents’ names was estab- the Erwin & Katherine Geis Charita- lished in 2001 and is supported by ble Foundation, which will establish employees of the company and a fund at the Cleveland Foundation members of the Geis family. to support programs for young peo- “There were a number of people ple and provide scholarships. who helped my parents get started Erwin and Katherine Geis opened in Cleveland, and they never forgot their family business as a machine that,” Fred Geis said in a news re- shop in Northfield after moving lease. “Philanthropy has become from Germany in 1967. The busi- the true legacy of my parents. 90% of our print readers own a primary residence with an average value of $372,000. ness transformed into what today is Through our charitable work, which known as the Geis Cos., a local con- is a partnership with our employ- Book your ad today to get in front of this powerful audience. struction powerhouse located in ees, we hope to support others in Streetsboro and co-managed by Er- the pursuit of the American dream.” Contact Nicole Mastrangelo at 216-771-5158 or [email protected]. win and Katherine’s sons, Fred and — Timothy Magaw 20140217-NEWS--10-NAT-CCI-CL_-- 2/13/2014 4:23 PM Page 1
10 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014
PUBLISHER/EDITORIAL DIRECTOR: John Campanelli ([email protected]) EDITOR: Mark Dodosh ([email protected]) MANAGING EDITOR: Scott Suttell ([email protected]) OPINION C’mon, man d FitzGerald must never have heard the one about people living in glass houses who shouldn’t throw stones. If he had, he wouldn’t Ehave made the hypocrisy-laced pledge to serve a full term if elected governor of Ohio, and he wouldn’t have pushed his opponents to do the same. This is the same Ed FitzGerald who wasn’t done with his first term as mayor of Lakewood, yet leaped at the chance in 2010 to run for the new, powerful position of Cuyahoga County executive. This also is FROM THE PUBLISHER the same Ed FitzGerald who, by the time of this November’s election, will have spent 18 months — or 38% — of his 48 months as county executive campaigning to succeed John Kasich as governor. Don’t just sell the job; sell Cleveland And he wants others to sign a pledge that they the generations that came before. They sionals organization, and the Downtown won’t check out on the people of Ohio to pursue remember fairly vividly the day I interviewed for a copy-editing job at are less religious, less likely to marry or Cleveland Alliance to give presentations another job opportunity? The Plain Dealer back in the 1990s. hold a driver’s license or own a house. to potential employees. C’mon, man. First came a grammar test, then five They are more connected and more tat- Engage and the DCA highlight the FitzGerald’s ploy obviously is aimed at Kasich, Ior six face-to-face interviews, then a few tooed, but also more idealistic, more excitement and benefits of living in whom various political pundits view as a possible hours of a tryout on the copy concerned about community Northeast Ohio, the sense of community, Republican candidate for president in 2016. But this desk to see if I could spell and more eager to live away the resources, the development, the JOHN from the suburbs (88% say opportunities, the food, drink and lifestyle. gambit oozes insincerity coming from a man with a headlines right. CAMPANELLI In between, I remember a they want to be in an urban “Our job is to spread the word on what track record of barely warming the chair of the job manager handing me a setting). life is really like in Cleveland for young he’s in before he’s ready to move on to the next one. coupon for a free meal in the And perhaps most impor- professionals,” says Ashley Basile Oeken, We will give FitzGerald his due. As Cuyahoga PD’s cafeteria. I ate with an- tant for business leaders, who executive director of Engage. County’s first solo executive, he worked hard to root other job candidate, a guy want only the very best mil- This isn’t graduate-level HR; this is out the inefficiencies and payroll padding that from out of town. We sat in lennials working for them, basic stuff that a lot of us just don’t think three out of four young people about. Want the best young talent? Sell marked county government during the corruption- awkward silence as we chewed. choose a location before they the region just as hard as you sell your filled years that led to the end of the three-member Over the course of the day, choose a job. company and the position. If you need Board of County Commissioners. His administra- we never left the building. If you hire people, you need help, reach out to Engage and the DCA. tion has done a good job of putting the past in the We were both offered jobs to think about that for a Both groups told me they are eager to as- past and restoring a sense of integrity about the and took them, mostly because it was an moment. It is crucial. A good job with a sist employers. good company is simply not enough. If Stephanie Janowick, head of staffing workings of county government. incredible opportunity. And because we were members of Generation X. You you want to lure the best young minds, and talent operations at Key, believes However, anyone who has watched FitzGerald don’t want to pull that kind of interview you better make sure you add one more these kinds of presentations work. stumble in recent weeks during his quest to become today with the Millennial Generation. name to the get-acquainted list on inter- “When you say Cleveland, people the Democratic Party’s candidate for governor can’t Millennials — the 77 million of so view days: Cleveland. say ‘Cleveland?!’ she says with mock be blamed for wondering whether a guy who can’t Americans born between 1980 and 2001 Some companies have already wised incredulity. “Then you bring them here run a decent campaign can be entrusted with run- — are already 34% of the work force. In up. and you show them the amazing things At its “immersion day” for job candi- Cleveland has to offer. Then they say, ‘I ning the affairs of the state of Ohio. six years they’ll make up almost half of U.S. workers. dates, KeyBank has started bringing in can see myself living here. I can have a To be specific, the FitzGerald team has displayed And they are completely different than Engage! Cleveland, the young profes- career here, a family here.’” ■ poor judgment with key campaign decisions. It made a major miscalculation when it tapped state Sen. Eric Kearney as their candidate’s running mate. TALK ON THE WEB It should have anticipated that the significant back taxes owed by Kearney, his wife and the newspaper Re: Browns shakeup They were a poorly run, overstuffed, Reader responses to stories union-encumbered mess before the publishing business in which they were involved ■ Fire Haslam. A fish rots from the and blogs that appeared on: merger with Continental and now wouldn’t play well with prospective voters. Those head down. — Indy www.crainscleveland.com they’ve dragged my favorite airline into debts created a media stink, and the senator would ■ The Browns “organization” has the quicksand with them. My only hope leave the ticket in mid-December just three weeks things completely backwards. is that an Allegiant Air, Jet Blue or other what United has served.” into his run for lieutenant governor. Step one: Fire the coach after one sea- strong discount carrier will come in to fill son, playing with a mess given him by I’m still grieving the loss of Continen- this gap. — Jeff Desmond Now comes the full-term pledge. Republicans the CEO and general manager. tal Airlines and was hopeful that United ■ Didn’t we just know the Continen- already gleefully are beating him over the head with Step two: Lose capable assistant would have adopted Continental’s ser- tal/United merger was going to screw us it in light of his own job-hopping past. coaches. vice and culture. That clearly has not in more ways than one? “Thank you, Ed FitzGerald, for the opportunity to Step three: Hire a new coach after an happened. I’m still waiting for a re- Continental was the only airline I sort sponse from customer service for point out that you’re a career political opportunist, embarrassing search, headed by the CEO of almost enjoyed flying. I had vowed to botched flights in January. never fly United again, even if stranded while Gov. Kasich’s stewardship of Ohio’s comeback and GM. Step four: Fire the CEO and GM. As a frequent traveler, I look forward on a war torn desert island with a typhoon has been getting national attention,” said Chris Anyone else see the organizational to other options. — Clevelandgirl on the way, after two occasions when I ■ Schrimpf, spokesman for the Ohio Republican Party. dysfunction? Wonder why Flying J has its Good riddance to United. was treated like putrid road kill by that FitzGerald still has eight-plus months to win problems? — Vern Fuller When it was Continental, I could fly at airline. The abuse, contempt and insult- a reasonable rate direct to Houston or ing treatment was amazing to behold! Ohioans over. He needs to put them to better use Re: United in Cleveland Richmond (not exactly “small” cities) for Killing the hub in CLE is due to the re- than the previous nine under $500. Now, unless I want to tread United execs at work, I’m con- ■ I agree with publisher John Cam- bounce around Chicago first, it is over vinced. panelli’s Feb. 10 column, “A distaste for $1,000. United SUCKS! See WEB Page 11 20140217-NEWS--11-NAT-CCI-CL_-- 2/13/2014 4:29 PM Page 1
FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 11 Northwestern Mutual is growing, new year...new spaces. but still hasn’t caught its ‘stride’ By MICHELLE PARK LAZETTE “I promise you, Cleveland arrived, its single Cleveland office [email protected] counted 27 advisers. was not on anyone’s list.” Ertz is hungry, still, for more When John Ertz moved almost a – John Ertz, managing partner, growth. decade ago from Milwaukee to Northwestern Mutual, on moving As an independent contractor of grow Cleveland’s Northwestern to Northeast Ohio from Northwestern Mutual, Ertz said he Mutual office, he said others Milwaukee in 2004 personally invested more than $1.5 wouldn’t have regarded the oppor- million into moving his team to tunity he seized then like they of products such as life insurance Ernst & Young Tower from the Ohio would today. have more than quadrupled, to Savings Plaza building. That move Because now, according to Ertz, $13.2 million last year from $3.2 netted the Cleveland office more Cleveland is becoming one of the fi- million in 2004. In the same period, than 2,000 square feet of additional nancial services conglomerate’s the average amount of such sales space, something Ertz said it will “coveted offices,” the kind the com- per office companywide only about need. pany’s up-and-coming leaders doubled. “We’ve added people, and we await the chance to head. The increased business has led to have a very big recruiting desire “I promise you, Cleveland was a dramatic rise in rank for the over the next few years,” he said. not on anyone’s list,” Ertz said of Northern Ohio territory among Last year, Ertz said he recruited Interested in leasing the best views in Cleveland? 1301 E. Ninth St. when he became managing partner Northwestern Mutual’s offices: In and retained 33 financial represen- Contact: David C. Wagner - 216.360.0009 Cleveland, OH in November 2004. “Today, people 2013, it ranked 29th out of 79 offices tatives, who are commission-based in terms of such sales, compared HannaChartwell.com are looking at Cleveland and North- but cost roughly $21,000 each to re- with 33rd out of 79 in 2011 and 72nd ern Ohio and they’re saying, ‘Holy cruit (via five interviews) and train. out of 97 in 2004. cow, that is an opportunity.’ ” This year, he aims to recruit 70. One driver of that growth is the ex- Ertz in November moved North- “I feel like we haven’t really pansion of Ertz’s oversight to other western Mutual of Northern Ohio’s caught stride yet,” Ertz said. “My offices, including Toledo and Findlay real goal is to lead the company (in Cleveland office to Ernst & Young in 2011, which added to his network Tower in the Flats East Bank neigh- 22 advisers, and Akron and Canton, brand new sales). Typically (it’s) the borhood, and he plans to grow into which added 18. Today, Northwest- big cities that lead, and so for a mid- that space with new recruits. ern Mutual of Northern Ohio em- size city like Cleveland to lead Have you seen our 2013 Since Ertz came to lead the terri- ploys 104 financial representatives would be a major thing, and that’s ■ tory, its annual sales to new clients across several offices. Back when Ertz really our goal.” Giving Guide? Download it today to gain pertinent information on the Northeast Web: What about credit card sales? Ohio nonprofit community. continued from PAGE 10 chains. But to have online ordering, ■ No media experience for Zel- Ohio’s attorney general should you need to have a good website. man? What an idiot. You’ll be gone CrainsCleveland.com/Giving screw them to a wall. But watch — The Geraci’s site — are you kidding in a year, but hey, good luck. the Republican regime in Columbus me? Oh, and by the way, you’re no Jeff will do nothing. — David J. Gill Then you need to market your Bezos. Interested in advertising in the 2014 Giving Guide? Contact Nicole website and ordering system, and Sounds like your parents don’t Mastrangelo at 216-771-5158 or [email protected]. Re: Online sales preferably have a mobile app for or- know how to say no. — Jon M. dering (no big deal if you’re using ■ One of the main reasons an established system). You also Geraci’s Restaurant in University have to provide delivery and you Height is losing out on some sales, MUST accept credit/debit cards. as highlighted in the Feb. 7 Editor’s It’s terrific that Geraci’s pizza is Choice blog, is they don’t take cred- old style. Not so much that their or- it cards. Wake up, folks! — Chuck dering and payment systems are, ■ The restaurant’s challenges too. — slsmag have nothing to do with “online or- dering.” Re: New management Onosys, founded right here in at Scene Cleveland by Case Western students in 2005, provides online ordering ■ Good luck to Andrew Zelman! systems for independents and Hopefully it works out! — Jabotinsky
When it comes to your company’s network, we hit the mark.
Performance. Economy. Efficiency. A direct fiber connection from Fibertech scores a bull’s-eye for your business. We own and operate 260 route miles of all-fiber network in the Cleveland/Akron area alone. Let us design a custom solution with unmatched scalability from 5 Mbps Ethernet, DWDM, and dark fiber—backed by award-winning customer service, before and after the sale.
Call 866-697-5100 today for more information or a free, consultative network analysis.
CUSTOMER DRIVEN. TO THE LAST MILE. fibertech.com 20140217-NEWS--12-NAT-CCI-CL_-- 2/13/2014 2:06 PM Page 1
12 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 Online auction company bids on itself its growing base of revenue, EASi services. the early 2000s he was a senior ex- BidSync, to buy dental and life in- EASi plans to double plans to grow from 11 to more than The 329 reverse auctions EASi ecutive at Printcafe, a publicly trad- surance via reverse auction in 2012. 20 employees over the course of had run as of Tuesday, Feb. 4, pro- ed Pittsburgh company that helped As a result, the county and its em- both staff and office 2014. To house those employees, duced an average savings of nearly companies buy printing services. ployees will save nearly $6 million the company plans to move into a 17%, compared to the contracts over three years, a 32% decrease in space in 2014, sees larger, 3,500-square-foot office they replaced, Koberna said. More costs. across the street from EASi’s exist- than nine in 10 — 92% — produced Get that homework done That project required a lot of large market ahead ing 1,600-square-foot headquarters bids that beat the incumbent on As of 2011, only 20% of govern- planning up front to prequalify on Georgetown Road, where price, he said. ment entities used software to run suppliers, Maas said. By CHUCK SODER Koberna shares his office with three It also helps that EASi now serves reverse auctions, according to a “The key is they did their home- [email protected] people. some big-name government survey conducted by the National work,” he said. The company was profitable on clients, including the state of Institute for Governmental Pur- With the investment from It took two years for Electronic $1.4 million in sales last year, but it Michigan, the city of Los Angeles chasing in Herndon, Va. Even to- Whang, EASi also hopes to improve Auction Services Inc. to start win- can’t sit still, given the opportunity and the city of Chicago. day, governments using such soft- its software to the point where ning the trust of government agen- in the market, Koberna said. Cook County, which encompass- ware remain the minority, some clients, especially smaller cies. “If we can run fast now, we have es Chicago, was the first big govern- according to Brent Maas, executive ones, could run reverse auctions But once it did, the company in a really clear playing field,” he said. ment entity to work with EASi. The director for business strategy and without much help from EASi em- Hudson started scooping up busi- Here’s how EASi’s reverse auc- contract took two years to win, but relationships at the institute. Re- ployees, who staff each one. ness in the public sector — a “wide tions work: Vendors bid on a con- it gave the company the experience verse auction companies targeting The company is working on a pi- open” market for companies that tract during a set time frame. They and credibility needed to become a the public sector are “toward the lot project that could help it reach conduct reverse auctions where ven- don’t know exactly how much oth- bigger player in the public sector, front end” of the trend, Maas said. that goal: It plans to train employ- dors bid against each other online, er vendors bid, but they can see said Koberna, who founded EASi ees at the Lake County Educational according to Ben Koberna, a partner where they rank. That ranking is in- with four partners in 2010. “If we can run fast now, Service Center to run reverse auc- at Electronic Auction Services, better fluenced by price and other built-in The company is “just scratching tions on behalf of a group of gov- known as EASi. factors. For instance, the incum- the surface” on big opportunities in we have a really clear ernment agencies in Lake and Now that the 4-year-old software bent vendor could be given a 6% both the government and private playing field.” Geauga counties that want to buy and services provider has endured a advantage over competitors, to ac- sectors, where it mainly serves re- – Ben Koberna, partner, EASi products together. few “Herculean sales cycles” and count for the cost a buyer might in- tail companies, according to EASI previously helped the ser- landed contracts from a few big gov- cur when switching vendors. Whang, who is now EASi’s execu- vice center conduct reverse auc- ernment entities, it’s doubling down tive chairman. Maas said he doesn’t expect re- tions for snow removal and lawn on that market, Koberna said. Whang said he invested in EASi verse auctions to reshape the way care services, said Brian Bontempo, In late January, EASi raised an Ramping up because of the savings it has pro- governments buy most of their superintendent of the service cen- undisclosed amount of capital from After a slow start, EASi has had duced for clients and because it products and services. It can be dif- ter. That effort inspired the new Joe Whang, who is CEO of Matrix little trouble winning government helps those clients run their auc- ficult for governments to use the project, which is financed by a Pointe Software, a Middleburg business over the last two years, tions. Other companies in the re- technique to make complex pur- $100,000 grant from Ohio’s Local Heights company that makes soft- Koberna said. That’s partly because verse auction business typically chases, Maas said. But it can be Government Innovation Fund. ware for lawyers, courts and law en- the company has been around long provide software or consulting — done: He noted how Maricopa “If government entities can pur- forcement agencies. enough to generate some statistics not both, according to Whang. He County, the home of Phoenix, chase smarter, than we should be With the help of that money and that show the benefits of using its has some experience in the field: In worked with a different vendor, doing it,” he said. ■
Keep your business heading in the right direction.
Treasury Management from FirstMerit Bank When John talked to FirstMerit Bank’s Treasury Management team, his goal was to increase his company’s working capital. Together, they came up with a plan to help John effectively manage receivables, control payments, and improve his company’s overall cash flow. Now John has all the tools he needs to keep his business moving in the right direction — forward.
TO LEARN MORE, CONTACT: Maureen Murman, Treasury Management Sales Officer, at 216-694-5637 or maureen.murman@firstmerit.com.
Follow the latest market trends firstmerit.com @firstmerit_mkt Member FDIC 2411_FM13 20140217-NEWS--13-NAT-CCI-CL_-- 2/13/2014 2:15 PM Page 1
Nonstop commitment
Greater Cleveland’s business community has been highly engaged in the effort of the past few years [VLUZ\YL/VWRPUZ(PYWVY[OHZLMÄJPLU[HPYZLY]PJL
We thank you and ask for your continued support.
*VU]LUPLU[HUKHMMVYKHISLHPYZLY]PJLILULÄ[ZHSSVM.YLH[LY*SL]LSHUKHUK5VY[OLHZ[6OPV¶I\ZPULZZ HUKSLPZ\YL[YH]LSLYZHSPRL;OH[»Z^O`^LPU[LUK[VILYLSLU[SLZZPUV\YLMMVY[Z[VOLSWH[[YHJ[HKKP[PVUHS ÅPNO[ZKLZ[PUH[PVUZHUKJHYYPLYZ[V*3,[VJVTWSLTLU[ *SL]LSHUKPZHZ[YVUNHPYZLY]PJLTHYRL[HUKOHZL]LUTVYL[VVMMLYJHYYPLYZ[OHUQ\Z[HML^`LHYZHNV¶ HU\WNYHKLKHUKTVYLLMÄJPLU[JVUZ\TLYMYPLUKS`HPYWVY[¯HOPNOWLYJLU[HNLVMWHZZLUNLYZ^OV LP[OLYILNPUVYLUK[OLPY[YH]LSOLYLHUKHYLU»[Q\Z[WHZZPUN[OYV\NO¯HUKIPSSPVUZPUUL^KL]LSVWTLU[ [OH[^PSSPUJYLHZLHPYKLTHUK¶UV[[VTLU[PVUHZ\WWVY[P]LI\ZPULZZJVTT\UP[` >LYLTHPUJVTTP[[LK[V^VYRPUN^P[O[OL*P[`VM*SL]LSHUK*\`HOVNH*V\U[`[OL:[H[LVM6OPV local businesses and other partners to help ensure that Cleveland travelers can get where they want [VNVHUK[OH[]PZP[VYZJHUKPZJV]LYHSS[OH[V\YYLNPVUOHZ[VVMMLY Christopher M. Connor Beth Mooney Lee Thomas Joseph D. Roman Chair Vice Chair Chair, Air Service Demand President and Chief Task Force ,_LJ\[P]L6ɉJLY 20140217-NEWS--14-NAT-CCI-CL_-- 2/13/2014 2:05 PM Page 1 14 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 GOING PLACES JOB CHANGES to marketing coordinator, Strategic Marketing Group. LEGAL CONSULTING SS&G: Marie Brilmyer and Mark BAKERHOSTETLER: Brian A. SS&G PARKLAND: Tami Bolder Batey to directors, assurance Bulson, John J. Harrington, to associate director. services; Leif Erickson and Melissa A. DeGaetano, Lisa M. Thomas Kotick to directors, tax Ghannoum, Gretchen L. Lange, ENGINEERING services; Beth Reho, Rhonda Michael D. Meuti and Joseph F. Miller, Sharon Keener and Verciglio to partners. TES ENGINEERING: Robert Thomas Fantin to associate Thomas Feczko Ruttinger Jackson Ambrose to director; Hilmi BENESCH: Jessica N. Angney, directors, assurance services; W. Clifford Mull, Patrick O. Peters Tannous to project manager. Deborah Defer to associate and Shaylor Steele to partners; director, QuickBooks and financial Madeline McGrane and Christian FINANCIAL SERVICE accounting solutions team. Moratschek to associates. JOHNNYCAKE FINANCIAL SER- SS&G WEALTH MANAGEMENT: HAHN LOESER & PARKS LLP: VICES: Lee Quinones to partner; Patrick Hahn to associate director. Carlos P. Garritano to partner. Michele K. Johnson to financial WALTHALL CPAS: Nicholas G. adviser. Jurkiw and Emily A. Woods to staff TUCKER ELLIS LLP: Jonathan SKODA MINOTTI: Robin Thomas accountants. Feczko, Michael Ruttinger and Seth Wamelink to counsel. Wypasek Mlakar Lockshine Corrado MANUFACTURING CLEVELAND COCA-COLA to executive director; Rocky Matthew Galen to treasurer. BOTTLING CO.: Leona Jackson to Melendez to assistant director. FEDERAL BAR ASSOCIATION- cold drink manager; Jason Wypasek VALLEY ART CENTER: Jennifer NORTHERN DISTRICT OF OHIO to quality assurance manager. Ferone to office manager. CHAPTER: Jason A. Hill (Sixth PLASTIC SAFETY SYSTEMS: David District Court of Appeals) to McKee to roadway safety consultant. SERVICE president; Dennis G. Terez to president-elect; Tim L. Collins to PMI INDUSTRIES INC.: Jay Marino FERN EXPOSITION & EVENT vice president; Anthony J. Vegh to to manager, laboratory services and |SERVICES: Jeff Lockshine to secretary; Rebecca J. Bennett to government engineering operations. account executive. treasurer; Virginia A. Davidson to TIMKEN CO.: Timothy A. Graham TECHNOLOGY immediate past president and to vice president, purchasing, national delegate. MCPC INC.: Marcia Stanton to bearings and power transmission We Solve Problems. accounts receivable specialist; FIRST GENERATION business. Matthew Carlsen to associate FOUNDATION: Robert B. Young Effectively. Efficiently. Consistently. financial analyst. (Lorain County Community College) MARKETING MEDINA COUNTY FIBER to chairman. C.TRAC: Jeff Culliton to business NETWORK: David Corrado to CEO. development manager. AWARDS 36 South Franklin Street PARAGON CONSULTING: Chagrin Falls Christopher Westfall to Sitecore JEWISH FEDERATION OF NONPROFIT technical trainer. CLEVELAND: Rabbi Hal 440-571-7777 BUILDING HOPE IN THE CITY: Rudin-Luria (B’nai Jeshurun We are a different kind of business law firm. Brian Upton to executive director. BOARDS Congregation) received the 2013 Bennett and Donna Yanowitz Learn about us at CLEVELAND FOUNDATION: Ginger BUILDING HOPE IN THE CITY: Leadership Award. www.gertsburglaw.com, or F. Mlakar to senior counsel and Debra Griest to president; call us to discuss your legal matter. director, donor relations. Jonathan Reitz to vice president; Send information for Going Places MERRICK HOUSE: Stacia Naoum Timothy Foust to secretary; to [email protected]. Northern Ohio auto dealers see rise in ACCESS BEGINS WITH A CAPITAL “G”. At Glenmede, we believe the best way to serve our clients is to give them direct access to our monthly sales figures experts and best thinking — with no barriers or bureaucracy. Our low client-to-staff ratio means you’ll always have our full attention. Founded as an independent trust company by the Pew By SCOTT SUTTELL family in 1956, we’re free from conflicting, short-term interests. We take a long-term outlook [email protected] and measure success solely by how we manage your wealth, from one generation to the next. ON THE WEB Story from: www.crainscleveland.com The year is off to a good start for Northern Ohio auto dealers. The Greater Cleveland Automo- bile Dealers’ Association said sales of “Any time you can report new cars and light trucks in January positive growth, it is good rose by more than 3% from the like for our industry as well month of 2013. as the overall economy Franchised new vehicle dealers in 21 counties of northern Ohio sold in Northern Ohio.” 19,053 vehicles in January, up 3.24% – Louis A. Vitantonio, president, from 18,455 in January 2013, the as- Greater Cleveland Automobile sociation reported. Dealers’ Association “Any time you can report positive strong sales figures during the growth, it is good for our industry as month.” well as the overall economy in The association said the numbers Northern Ohio, which is so depen- gave “some insight as to the impact dent on the automotive industry,” of adverse weather on the market” says Louis A. Vitantonio, president of during January. the association, in a statement. For instance, Northeast Ohio’s Vitantonio said the growth “is leading brand, Ford, sold 3,398 vehi- www.glenmede.com even more significant because it cles in the month, down 1.34% from came during a period of bad weath- Glenmede’s services are best suited for those with $3 million or more to invest. January 2013, and the No. 2 brand, er, which usually has an adverse im- To learn more, please contact Linda Olejko at 216-514-7876 or [email protected] Chevrolet, was flat at 2,612 vehicles pact on sales.” sold. In addition, Vitantanio noted, Jan- 2 2 2 2 2 But brands that offer four-wheel uary 2013 registered a 14.9% in- drive vehicles, such as Jeep and Land crease from January 2012, “so we Rover, “roared out of the gate,” the were going up against some pretty association said. ■ 20140217-NEWS--15-NAT-CCI-CL_-- 2/13/2014 2:04 PM Page 1 FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 15 BRIGHT SPOTS Bright Spots is a periodic feature in Dr. Eugene Chung, director of the that retrograde infusion is a safe The trial will enroll at 15 centers neering that the applicants ex- Crain’s highlighting positive heart failure program at the Ohio procedure through which we can across the United States. pressed, we were inspired to offer business developments in the region. Heart and Vascular Center. deliver biologics to the the scholarships again this year,” To submit information, email Scott Juventas said the heart. We are excited to ■ Great Lakes NeuroTechnolo- said Holly Alexander, scholarship Suttell at [email protected]. Phase II study follows collaborate with addi- gies in Valley View said it once coordinator, in a statement. the successful enrollment tional clinical centers to again is sponsoring scholarship Alexander said the scholarships ■ Matt Fieldman, a leader in the of the open-label, dose- initiate and complete awards to promote and support “honor (Great Lakes NeuroTech- health care practice at digital mar- escalation Phase I por- the Phase II compo- biomedical engineering education. nologies) team members who lost keting and analytics firm Fathom, tion of its RETRO-HF nent of the trial.” Two $1,000 scholarships are battles with diseases that could be has been named “Fundraising Pro- program. The multicen- Juventas said the available to Northeast Ohio high impacted by innovations in bio- fessional of the Year” by Fundraising ter trial enrolled 12 pa- randomized, double- school seniors interested in study- medical engineering. It’s our belief Success magazine. tients with heart failure who blind, placebo-controlled ing biomedical engineering at a col- that (biomedical engineering) edu- Fieldman was honored for his received JVS-100, according to the Phase II RETRO-HF trial will enroll lege or university in fall 2014. cation for students can help to work raising more than $422,000 in company. It describes RETRO-HF 60 patients with symptomatic heart The GLNT Dave Stolarski solve these types of healthcare nine month for Edwins, an upscale as “the first clinical trial in the failure to receive JVS-100 at 30 mg Memorial BME Scholarship and challenges and we want to do what- restaurant in Cleveland dedicated to world to use the minimally invasive or 45 mg or placebo. The patients the GLNT Duncan Lowne Memor- ever we can to support that.” helping ex-offenders get their lives technique of retrograde infusion targeted for treatment with JVS-100 ial BME Scholarship were The deadline for submissions is back. The restaurant opened last No- via the coronary sinus for delivery have advanced stages of heart fail- launched last year. April 30. More details on the schol- vember. Edwins’ founder and CEO of a gene therapy to the heart.” ure where their therapeutic options “We were so impressed by the arships can be found at glneu- Brandon Chrostowski said Field- Dr. Patel said in a statement, are usually limited to a heart trans- quality of submissions last year and rotech.com/2014-bme-scholar- man’s “daring and unconventional “The Phase I study demonstrated plant or a mechanical assist device. the passion for biomedical engi- ships/. ■ leadership” as Edwins’ board presi- dent was instrumental in making the project a reality. Fathom, which has about 130 em- ployees, said in a news release that Fieldman’s 13 years of experience in the nonprofit world “helped him clarify and execute on the vision of creating a social enterprise that would not have to rely on fundrais- ing to make ends meet.” The firm said Fieldman’s leader- ship also helps Fathom “live its pur- pose directly.” In 2012, he created and led the Fathom Gives Program, which in its first year generated $33,000 of giving in the form of cash donations and sponsorships, em- ployee matches, pro-bono work and First Place Now proud volunteerism. In 2013, the program grew to $149,000. Fathom CEO Scot Lowry said that for 2014, Fieldman has challenged Bank. to be Talmer the firm “to set an aggressive two- part goal to take (Fathom Gives) to the next level: First, achieve $1 mil- lion in aggregate giving since incep- While our name may be different, the Bank and Trust. tion, then ultimately achieve $1 mil- names of the people who take care of lion of giving in a single year.” you, and the personalized service they ■ Kent State University Hotel and provide, are still the same. So is our Conference Center announced a partnership with Stash Hotel Re- strong commitment to this community. wards, which bills itself as the largest loyalty program for independent ho- tels in the United States. In fact, the name “Talmer” is a tribute The partnership means travelers by the Bank’s two principals to their now can earn and redeem Stash points at the hotel in Kent. The prop- grandfathers (named Talmage and erty is the 80th independent, college- Merzon), who both dedicated their town hotel to join the Stash program to reward families and alumni for lives to community service. their travel back to campus. We see tremendous value in being What’s more, Talmer Bank, just like part of the Stash program,” hotel general manager Mike Riccio said in First Place, is a Midwest-based a statement. “Our Kent State alumni community bank—and one with community will appreciate the op- portunity to earn points for their fre- demonstrated financial strength. So quent trips back to campus, and it you can count on us to take care of will keep our property top-of-mind each and every time they visit.” your business needs for many years Kent State University Hotel and to come. Conference Center opened last sum- mer as part of the city of Kent’s $100 million redevelopment project. It Please stop by soon. You’ll quickly features boutique-style guest rooms discover that we’re now an even greater and suites; 5,000 square feet of meet- ing space; an on-site restaurant and asset to your community. lounge; and an indoor pool and spa. ■ Juventas Therapeutics of Cleve- land, a clinical-stage company de- veloping regenerative therapies for the treatment of cardiovascular dis- ease, said it has started enrollment of a Phase II clinical trial to evaluate the safety and effectiveness of JVS-100 delivered through retrograde infu- sion to patients with symptomatic heart failure. Co-principal investigators for the www.talmerbank.com | 855-882-8824 trial are Dr. Amit Patel, director of cardiovascular regenerative medi- cine at the University of Utah, and 20140217-NEWS--16-NAT-CCI-CL_-- 2/13/2014 3:07 PM Page 1 16 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 Qure buys Tompkins Pharmaceutical Rubber A quest for completeness Company hopes deal will help it become Ross is open about Qure Medical’s more comprehensive supplier in long run quest to be a more comprehensive supplier to its customers. It wants to deliver a wide variety of elastomer By BRUCE MEYER made gradually as needed customer products from a wide range of geo- Rubber & Plastics News qualifications and approvals are graphic locations to its medical cus- gained because the Tompkins port- tomers. He said many medical de- Qure Medical of Twinsburg has folio largely deals with components bought Tompkins Pharmaceutical that are listed in Drug Master Files vice makers have a supply chain that Rubber of South Plainfield, N.J., in a with the Food and Drug Adminis- has grown too large, and that his firm deal that will boost Qure’s offerings tration. can be a consolidator. to the pharmaceutical side of the “It’s not a simple ‘pick it up and “I believe there is a trend toward medical business. move it’ in the sense that these are narrowing that supply base down The unit of Twinsburg-based Q highly regulated markets, and these to a smaller group of larger suppli- Holding Co. closed the deal Jan. 24 customers deal with life-saving and ers,” he said. “We think Qure Med- ical can deliver more products and and sent out a letter that day to life-altering devices and medica- technology in the elastomer space Tompkins customers saying Qure tions,” Ross said. “We want to move than anybody else in the medical or would work with them to make the at a pace the customers are com- pharmaceutical business.” transition period as seamless as fortable with and meets their So Qure will continue to add to its possible. needs.” technology and materials science Terms of the deal and how much The Itran business will continue competencies and expand its geo- revenue the Tompkins business to operate at the South Plainfield graphic reach, such as recent moves posted last year were not disclosed. plant, Ross said. “It was not a distressed bargain BRUCE MEYER to produce components in China buy,” said Randy Ross, Q Holding Randy Ross, Q Holdings president and distribute goods in Europe. president. “The business has been Big step forward “It’s really all about being the best pounds that are inert relative to ex- strong No. 2 on the medical device possible supplier you can be to well-managed. It’s been performing Much of the Tompkins’ process- successfully. But when the owners posure to medicines they have to side of the business, and the Tomp- these customers and the belief that ing technology is similar to what got through the whole process, they deliver.” kins acquisition makes it a “more by doing more, we’ll ultimately be- Qure has in place in Rock Hill, but recognized it could be even better Where Qure can help Tompkins meaningful competitor” on the come the supplier of choice because the focuses of the businesses were in our hands. You’ve got to pay for improve is with its quality and pro- pharmaceutical side. they don’t want to handle 100 differ- different. Ross said Rock Hill con- good technology and good compa- cessing systems, Ross said. The Tompkins purchase jumps ent elastomer suppliers,” Ross said. centrates more on the medical de- nies, but it was worth it to us.” “We think we bring some things Qure four or five years forward in That’s why the Tompkins acqui- vice side of the market with some The Tompkins business has when you combine the two busi- material science than if it had to de- sition was a “no-brainer,” Ross said. made rubber components for the business in the pharmaceutical sec- nesses because of our quality oper- velop it on his own, the Q Holding “You could just see that they had pharmaceutical industry since tor, while Tompkins was more ating systems, clean room manu- CEO said. such a complementary set of cus- 1908. It was bought by Itran Preci- deeply involved in pharmaceuticals. facturing and our disciplines,” he “We believe the existing cus- tomers and technologies to Qure sion Rubber in late 1998; Itran Much of Tompkins’ products end said. tomers of Qure Medical will benefit Medical, and at the same time Qure closed the Tompkins plant in Blue up in drug delivery, where rubber “Their strengths and our from this because we can offer Medical could bring a lot of im- Bell, Pa., and incorporated its pro- stoppers are used in vials of drugs strengths will fit together to give them a wider portfolio of products,” provement opportunities to Tomp- duction into the Itran factory in that are to be injected into some- people a great pharmaceutical sup- Ross said. kins Pharmaceutical,” he said. ■ South Plainfield. body’s body. plier.” “Similarly, a great group of cus- Over time the Tompkins produc- “This is where the Drug Master Ross concedes that West Phar- tomers that have been working with Bruce Meyer is executive editor of tion will be transferred to the Qure Files become so critical,” Ross said. maceutical Services Inc. remains Tompkins will get the benefit of ac- Rubber & Plastics News, a sister Medical plant in Rock Hill, S.C., ac- “Tompkins has a great history in the dominant player in the sector, cess to the wide variety of products publication of Crain’s Cleveland cording to Ross. The move will be that space of developing com- but believes Qure Medical is a that Qure Medical already offers.” Business. SALT • SALT • SALT • Water Softener • Industrial • Food CM Wealth Advisors is pleased • Ice Melt • Sea Salt to welcome its new partners: CM Call For Pricing!! Aileen C. Bost Minimum Delivery: 1Pallet Kevin P. McGinty www.CMWealthAdvisors.com 216.831.9667 Marcy W. Robbins *4>LHS[O(K]PZVYZPZHT\S[PJSPLU[MHTPS`VMÄJLHUK ^LHS[OTHUHNLTLU[ÄYTOLHKX\HY[LYLKPU*SL]LSHUK6OPV Take action to protect and grow your wealth. Contact CM Wealth Advisors. 1-800-547-1538 Salt Distributors Since 1966 20140217-NEWS--17-NAT-CCI-CL_-- 2/12/2014 2:54 PM Page 1 FEBRUARY 17, 2014 www.ClevelandFoundation.org/Purpose ADVERTISEMENT Turning Passion Into Purpose WITH THE CLEVELAND FOUNDATION THE GEIS COMPANIES $1.7 million Geis gift to the Cleveland Foundation will support youth Volunteerism and philanthropy part of Geis Companies culture When Cleveland’s Rainey Institute Streetsboro is one of the largest hotel with apartments and other was going through the bid process SURSHUW\ GHYHORSPHQW ÀUPV LQ amenities on the site of the for- for its new building in 2009, one the region, and is co-managed by mer Ameritrust Tower at E. 9th construction company stood out. Erwin and Katherine’s sons, Fred Street and Euclid Avenue. With “The Geis team invested the time and Greg Geis. its imprint on the landscape of to get to know us and get to know “There were a number of people Cleveland through such large-scale our mission,” who helped my development projects, the Geis recalled Rainey parents get started team is just as proud of some of Executive Di- in Cleveland, and the smaller-scale projects it has had rector Lee Lazar. they never forgot a hand in creating. The communi- that,” said Fred. “At Rainey, Geis employees helped ty-based organi- “Philanthropy has build the outdoor playground and zation embraces become the true a tiled collage wall.” said Fred. the arts to nur- legacy of my “Through our time spent volun- Erwin and Katherine Geis were married ture creativity in 1954 and set an example of philanthropic parents. Through teering on projects like this and and good cit- giving that has been embraced by their our charitable the resources we are designating izenship in its family and the employees of the work, which is a through our fund at the founda- company they launched in 1967. young students. partnership with tion, we know we are making a Geis Companies ended up winning our employees, we hope to sup- lasting impact on Cleveland’s fu- the contract and building the 23,000 port others in the pursuit of the ture generation and honoring my square foot complex on East 55th American dream.” parents’ memory in doing so.” Street. But the relationship didn’t A philanthropy committee at end when Geis turned the complet- Geis, comprising family members ed building over to Rainey. and employees, will work with “Through the process with Geis, an Cleveland Foundation staff to di- emotional connection took place,” rect the activities of the Erwin and said Lazar. “We’ve become family.” Katherine Geis Charitable Foun- dation Fund of the Cleveland Rainey is just one of the organi- Foundation, while the foundation zations that Geis employees do- grows, manages, and disburses the nate their time and resources to money to selected causes. support. With a focus on youth causes, Geis recently decided to “On behalf of the Cleveland partner with the Cleveland Foun- Foundation and future recipients dation, a community leader in of this generosity, we thank Geis youth development and educa- &RPSDQLHV IRU WKLV JLIW WKH ÀUVW tion. Geis donated $1.7 million to of our centennial,” said Ronald B. the foundation to establish a fund Richard, president and CEO of to support programs for Cleve- the Cleveland Foundation. “Geis land-area youth and to provide H[HPSOLÀHV WKH WHQHW RI WXUQLQJ scholarship opportunities. passion into purpose through charity, employee volunteerism, This commitment to giving back and projects that are laying the (Top photo) Katherine Geis poses in 2003 at the annual reception for student recipients of the Geis Scholarships. (Bottom left photo) Geis originated with Geis’ co-founders, groundwork for success for the employees showcase a tiled collage wall at the Rainey Institute that they created with the students in 2013. (Bottom right photo) Donning a Santa hat, Fred Geis spends time with Rainey students at the 2013 Christmas party Geis Companies sponsors annually for Rainey’s After Erwin and Katherine Geis. The next generation of Clevelanders.” couple opened the family business School Program participants. Geis employees provide books, hot chocolate, and holiday snacks for all of the children. DV D PDFKLQH VKRS LQ 1RUWKÀHOG Geis Companies is developing after emigrating from Germany in several projects in Greater Cleve- To learn more about giving through the Cleveland Foundation, please call 877-554-5054. 1967. Today, Geis Companies of land, including The 9, an upscale GROWING WITH PURPOSE FOR 100 YEARS (VWDEOLVKHGLQ DVWKHZRUOG·VÀUVWFRPPXQLW\IRXQGD- )RUPRUHLQIRUPDWLRQRQWKH&OHYHODQG)RXQGDWLRQSOHDVH WLRQWKH&OHYHODQG)RXQGDWLRQFHOHEUDWHVDFHQWXU\RIWXUQLQJ visit ZZZ&OHYHODQG)RXQGDWLRQRUJ3XUSRVH DQGIROORZXVDW SDVVLRQLQWRSXUSRVHWKLV\HDU7KHIRXQGDWLRQLV2KLR·VODUJHVW )DFHERRNFRP&OHYHODQG)RXQGDWLRQ or#&OHYH)RXQGDWLRQ JUDQWPDNHUDQGRQHRIWKHODUJHVWFRPPXQLW\IRXQGDWLRQVLQWKH RQ7ZLWWHU FRXQWU\ZLWKDVVHWVRIELOOLRQDQGJUDQWVRI PLOOLRQ 20140217-NEWS--18-NAT-CCI-CL_-- 2/12/2014 3:46 PM Page 1 18 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 McDonald Hopkins BUSINESSB HOUR Uncorking the first phase A conversation with former Congressman Steve LaTourette: Policy and Politics in a Midterm Election Year of a NE Ohio wine campus Thursday, February 27, 2014 KATHYAMESCARR Noon to 1:00 p.m. EST – Business Hour McDonald Hopkins, 600 Superior Ave., Suite 2100 Downtown Cleveland RSVP: mcdonaldhopkins.com PSDBMMUPSFHJTUFS WHAT’S COOKING n the midst of this stubbornly McDonald Hopkins LLC frigid winter, it’s hard to imag- 4VQFSJPS"WF &BTU 4VJUF $MFWFMBOE 0)t ine sipping a glass of red or Carl J. Grassi, President Shawn M. Riley, Cleveland Managing Member white on the patio of any of the $IJDBHPt$MFWFMBOEt$PMVNCVTt%FUSPJUt.JBNJt8FTU1BMN#FBDI I20 wineries located throughout mcdonaldhopkins.com Northeast Ohio’s Grand River Valley (or maybe it’s not). Now the region’s civic and business leaders are giving us one more reason to anticipate a return of summer. After nearly four years of planning, Windows — the first of a four-phase wine and culinary campus located at the heart of the state’s wine industry — is expected to open in early sum- Executive Search Firm mer. Windows, part of the larger, $14 million, 38,000-square-foot Pairings Ownership Opportunity center, will include a hands-on kitchen, tasting room and class- rooms. An on-site demonstration Succeed the Founder of this vineyard with four vinifera (chardonnay, Riesling, cab franc and pinot gris); two grape hybrids of 24 Year Old National Firm chambourcin and vidal blanc; and Northeast Ohio location the native concord and Catawba ¤ grapes will illustrate the region’s di- ¤ National retainer clients verse viticulture. 16 person staff When complete, the operation in ¤ Geneva will feature incubator space 5-10 years “C”suite and retainer for startup wineries; will host region- al wine tours and tastings, cooking experience essential. classes, a farmers market, winemak- ing demonstrations and activities, E-mail response with confidence- firm's personnel and viticulture and enology classes through Kent State University; and aware of this ad. will include restaurant and banquet facilities. RENDERING PROVIDED [email protected] The goal is to highlight Northeast boomer consumer base as well as lings … a complete spectrum of Ohio’s culinary arts, grape-growing millennials, who are adventurous, wines,” Winchell said. and winemaking industries and tar- curious and experimental,” The project is in the midst of get those experiences to guests with- Winchell said. “We’re planning to identifying state and federal grants. in a 500-mile radius. be very socially engaged and are It already has received several loans “The Grand River Valley here hiring a lot of younger people to fos- and pledges from corporate entities draws 20,000 visitors to the region ter an expanded consumer base.” such as Key Bank, local foundations each weekend from May through To attract the younger, entertain- and private donors. October, and about 15,000 visitors ment-driven audience, Pairings According to unofficial econom- the rest of the year,” said Donniella plans to conduct events such as ic impact figures from the Ohio De- Winchell, executive director of Ohio ballroom dancing with wine pair- partment of Agriculture, the eco- Wine Producers Association. “The ings and date-night cooking classes. nomic impact of the state’s center is expected to increase our The center seeks to underscore wine-growing and related indus- annual wine tourism traffic to 90,000 the winery region’s breadth of vari- tries is $786 million, a 35% increase visitors.” etals, which long have been consid- from $583 million in 2008. A key part of the project is a strong ered sweeter and not as appealing The department expects to re- culinary component. Winchell said to the experienced wine drinker. lease official numbers in the next 2014 Pairings organizers are in talks with “We’re growing different grapes couple months. Meanwhile, the national celebrity chefs who would now. Our wines aren’t just limited number of wineries statewide has agree to serve as guest chefs. to the native Lambruscos. We have grown to 197, up 59% from the 124 BOOK “We’re targeting foodies, our core award-winning chardonnays, Ries- in 2008. ■ Northeast Ohio’s most OF comprehensive market STAY CONNECTED LISTS ■ Crain’s on Twitter: @CrainsCleveland research tool ■ Crain’s on Facebook: Facebook.com/CrainsCleveland ■ Crain’s on LinkedIn: linkedin.com/company/crain’s-cleveland-business Purchase the Book of Lists today! ■ Crain’s on Instagram: instagram.com/crainscleveland CrainsCleveland.com/Lists ■ Crain’s daily e-newsletters: CrainsCleveland.com/register ■ Newsletter schedule: Weekdays: Morning Roundup and daily headlines; Mondays: Real Estate Report; Interested in advertising in the 2015 Book of Lists? Contact Tuesdays: Health Care Report; Wednesdays: Dealmaker Alert; Thursdays: Small Business Report; Fridays: Nicole Mastrangelo at 216-771-5158 or [email protected]. Shale and Energy Report 20140217-NEWS--19-NAT-CCI-CL_-- 2/12/2014 2:55 PM Page 1 FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 19 TAX LIENS The Internal Revenue Service filed tax Amount: $9,118 ID: 20-8460568 LIENS RELEASED Date filed: Oct. 10, 2013 liens against the following businesses Date filed: Dec. 30, 2013 Date released: Dec. 31, 2013 Premier Marketing Group Inc. in the Cuyahoga County Recorder’s Type: Employer’s withholding Auto Kingdom Inc. Type: Employer’s withholding, 25630 Superior Ave., Cleveland Office. The IRS files a tax lien to Amount: $7,053 10421 Lorain Ave., Cleveland unemployment, corporate income protect the interests of the federal ID: 34-1736080 ID: 26-3990800 Amount: $38,898 government. The lien is a public notice Date filed: Dec. 31, 2013 Sadler Heating Aids Inc. Hearing Date filed: Aug. 6, 2013 to creditors that the government has Type: Employer’s withholding, Aids of Ohio NE Date released: Dec, 30, 2013 High Point Marathon Ltd. a claim against a company’s property. failure to file complete return 7251 Engle Road, Suite 110, Type: Employer’s withholding 7411 State Road, Parma Liens reported here are $5,000 and Amount: $8,695 Middleburg Heights Amount: $10,016 ID: 41-2236231 higher. Dates listed are the dates the ID: 14-1905278 Date filed: Jan. 4, 2013 Diversity Employment Services Cornerstone Missionary Baptist Date released: Dec. 30, 2013 documents were filed in the Date filed: Dec. 31, 2013 Church Inc. Inc. Type: Employer’s withholding, Recorder’s Office. Type: Employer’s withholding 6915 Miles Park Ave., Cleveland P.O. Box 43307, Richmond Heights unemployment LIENS FILED ID: 27-0141285 Amount: $5,337 ID: 34-1438780 Date filed: Dec. 28, 2010 Amount: $24,536 Date filed: Dec. 31, 2013 African American Museum Date released: Dec. 30, 2013 Mobil Martin Inc. Type: Employer’s withholding, La Barberia Inc. 1279 W. 73 St., Cleveland 1765 Crawford Road, Cleveland Type: Employer’s withholding unemployment, failure to file 12115 Mayfield Road, Cleveland ID: 34-1962549 ID: 23-7030130 Amount: $32,660 complete return ID: 34-1883060 Date filed: Dec. 30, 2013 Date filed: Dec. 30, 2013 Amount: $7,877 Double Moose Management Co. Date filed: Aug. 1, 2012 Type: Employer’s withholding, Type: Employer’s withholding, Moose Head Hook & Ladder No 3 Date released: Dec. 31, 2013 corporate income Nicks Bakery & Restaurant Inc. failure to file complete return 7989 Columbia Road, Olmsted Falls Type: Employer’s withholding Amount: $316,760 3380 W. 46 St., Cleveland Amount: $5,162 ID: 26-2147968 Amount: $6,127 Neurosurgical Specialists PC 6900 Ridge Road, Suite 202, Parma ID: 20-3135540 Date filed: Dec. 31, 2013 Type: Employer’s withholding, unemployment Amount: $251,091 Quality Data Management Inc. P.O. Box 470417, Broadview Heights ID: 34-1839449 Date filed: Dec. 31, 2013 Type: Employer’s withholding Amount: $109,366 Assured Land Title Inc. 50 Public Square, Suite 1600, Cleveland ID: 04-3794906 Date filed: Dec. 30, 2013 Type: Employer’s withholding, unemployment Amount: $83,511 Tyler Disposal Inc. P.O. Box 30141, Middleburg Heights ID: 34-1887631 Date filed: Dec. 31, 2013 Type: Employer’s withholding, corporate income Amount: $45,403 Loves Transporting Services Inc. 12909 Woodside Ave., Cleveland ID: 34-1907751 Date filed: Dec. 30, 2013 You won’t see a dome named after us, or a blimp with our logo fl ying over a major stadium. But supporting Type: Employer’s withholding Amount: $20,310 the communities where you live, work and play is important to us. Because that’s where we live too. It’s where Security Management Group Inc. 6433 Gale Drive, Seven Hills we share everything we know about banking and insurance, and build trust with the businesses in our ID: 26-3798129 Date filed: Dec. 31, 2013 neighborhoods. Whether your business is a favorite meeting place, a physical therapy clinic or construction Type: Employer’s withholding Amount: $17,311 contracting – we’re here to listen. And you’ll know you’re getting solutions designed specifi cally for you, Hyatt Racing Services Inc. by people who care about the same things you do. People who cheer from the exact same seat every Friday 4448 Lamar Court, Richmond Heights ID: 34-1698499 Date filed: Dec. 31, 2013 night. Let’s talk about what we can accomplish together. Call us today at 330.887.8224 or visit us online Type: Employer’s withholding, corporate income at www.westfi eld-bank.com. Amount: $13,021 Georgia D Petty Inc. 783 Edgewood Road, Cleveland ID: 31-1566154 Date filed: Dec. 31, 2013 Type: Employer’s withholding, unemployment, corporate income Amount: $12,797 KB&F Inc. 942 Royal Road, Cleveland ID: 20-0955658 Date filed: Dec. 30, 2013 Type: Employer’s withholding, unemployment Amount: $10,830 Market One Communications LLC westfi eld-bank.com 23945 Mercantile Road, Suite D, 330.887.8224 Beachwood ID: 30-0008369 Date filed: Dec. 30, 2013 Type: Employer’s withholding, AKRON | BRECKSVILLE | CANTON | MEDINA | WESTFIELD CENTER | WOOSTER unemployment 20140217-NEWS--20-NAT-CCI-CL_-- 2/12/2014 3:24 PM Page 1 20 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 Manufacturers tackle skills gap The need for trained workers in manufacturing jobs has driven some companies to embrace new programs By RACHEL ABBEY McCAFFERTY Rodewald said in an email that A different summer break [email protected] Auburn receives calls every day Other programs, such as the paid from manufacturing companies The skills gap in manufacturing that are interested in adult or high externship for high school teachers isn’t going away, which is why in- school interns. at Lake County Educational Service ternship and externship programs The problem is, there just aren’t Center, are trying to provide high and even apprenticeships in which enough students to fill the compa- school classrooms with more traditional classroom work takes nies’ needs, she said. knowledge of what goes on in a place online are becoming more Tim Arthur, a manager on the modern factory. prevalent among manufacturing plant floor at Kennametal in Solon, Last year was the pilot for the companies and organizations in said one benefit of participating in project, which matched up a Northeast Ohio. an internship program is that the teacher from Fairport Harbor The gap created by manufactur- company is basically “interviewing schools and Eastlake-based Astro ers hungry for skilled help and the them (the students) for eight Manufacturing & Design during retirements of older skilled workers weeks.” summer break. Jovette Hiltunen, is only becoming wider, say ob- The extended look goes beyond director of P-16/STEM at the ser- servers who include Judith Crocker, words on a resume and helps eval- vice center, said most teachers go director of work force and talent de- uate a student’s work ethic and ap- straight from college to teaching velopment at manufacturing assis- titude, Arthur said. with no work force experience in tance group Magnet in Cleveland. As for Magnet, the organization is between. This program is designed GETTY IMAGES “The problem is escalating,” looking to connect companies and to help acquaint them with manu- Crocker said. schools that want to start their own facturers’ expectations, and the to use the experience to show his create an apprenticeship program So, manufacturers are taking internship or summer study pro- center is looking to expand it. students why their classes matter in with the local career center and the matters into their own hands. grams. Russ Messer, the high school the working world, whether it’s il- University of Akron. For instance, five manufacturing Magnet last year offered a “work- physics and chemistry teacher who lustrating how they could apply Randy Bennett, co-owner and companies have signed on to take based learning” program that con- took part in the pilot program, said mathematics lessons to the work- vice president of the Brunswick part in the adult internship pro- nected manufacturers with stu- the experience helped refresh his place or stressing the importance of company, said the goal is to start gram at Auburn Career Center in dents for structured summer jobs knowledge of the manufacturing following instructions. with creating apprenticeship pro- Concord Township, which began and has started to create an internal process, even though he had Rich Peterson, community and grams for specialties such as tool three years ago with just Latrobe, guide for Magnet and the schools worked in industrial research and public relations representative at and die work, die-setting, welding Pa.-based tooling, advanced mate- and businesses involved, Crocker manufacturing before deciding to Astro, said the more closely schools and operating computer numerical rials and engineering company said. teach. are tied to the workplace, the more controlled machines in partnership Kennametal Inc. The guide, which is still evolving, “There are huge differences be- the skills are taught that will match with other area companies. Ideally, “I think they’re really feeling that outlines the benefits of the program tween the education system and up with needs. he said, students would start with they need to do something they to all parties, including parents, as manufacturing,” Messer said. “It’s a real eye-opener for them,” part-time work in their junior year haven’t been doing before,” said well as the roles and responsibilities Messer spent about six weeks at Peterson said. of high school and move into a full Michelle Rodewald, business part- of each. Astro, observing manufacturing Peterson said he has seen more apprenticeship after they graduate. nership coordinator, of the compa- It also includes sample handouts processes and writing work instruc- traction in work force development Bennett said he thinks the program nies that now are offering intern- for project work logs and activities tions for the company about those programs in recent years. Prior to could pull people from Medina ships to Auburn’s adult students. such as job shadowing. processes. He said he has been able 2012, there was a lot of planning, County and further south. but not a lot of action, he said. Pe- Automation Tool & Die has been terson said he expects the momen- growing and now has 72 employees. tum to continue into 2014. But human resources manager Jen- “Companies are getting involved nifer Compton said the company and contributing,” he said. easily could grow another 10% if it had candidates with the right skills Picking up the pace and work ethic. The company’s goal is to have an apprenticeship pro- The Northeast Ohio Speed-to- gram in place for the next school Market Accelerator — a 12-county year. collaboration made up of organiza- SWITCH FOR OUR COINAGE, tions including colleges, chambers of commerce and tech business in- Embracing the web DOUGH, DINERO, MOOLAH cubators — is helping companies Trec Industries Inc. in Brooklyn accelerate innovation in advanced Heights has maintained an appren- MONEY-BACK GUARANTEE energy and flexible electronics and ticeship program for about 25 years, identify future needs in the work but the company is trying some- force. The program is led by Mag- thing a bit different this year, said net, technology advocacy group president Jim Trecokas. BUSINESS INTERNET & VOICE NorTech and entrepreneur assis- Of the precision machining com- tance group Jumpstart Inc., as well pany’s four apprentices, three are as Lorain County Community Col- participating in the traditional pro- $ 99 lege. gram with Cuyahoga Community When it comes to the work force College, while one is taking courses component, it’s all about making online through the National Tooling mo* sure the region is producing the and Machining Association’s type of employees companies need, NTMA-U. Trecokas said he’s trying 79 said Terri Burges Sandu, executive to adapt to younger students that director of work force development prefer online training, and he thinks and director of the Entrepreneur- it will let students work at their own + 30-DAY SATISFACTION GUARANTEE ship Innovation Institute at Lorain pace. County Community College. Michael Hoag, vice president for When one of NorTech’s cluster work force development at manu- companies in the accelerator puts facturing support group Wire-Net, out a posting for a job opening, the said he’s interested in some devel- CALL OR CLICK TODAY team distributes it throughout their oping trends in training that focus network, then tracks the responses more on competency than on time 866-791-2688 to see where applicants are coming spent in the classroom. Focusing on COXBUSINESS.COM from and what skills they have or competency could help employers lack. She said the group also com- and employees accelerate the path- pares those job openings to larger ways to jobs, he said, highlighting *Offer ends 4/30/14. Minimum service term, equipment, installation, fees, taxes, and other restrictions may apply. Limited 30-day money-back guarantee; exclusions and other labor market data to look for trends NTMA’s online course as an exam- restrictions apply. See coxbusiness.com. ©2014 Cox Communications, Inc. All rights reserved. and needs.In Medina County, Au- ple. 101901-0008 tomation Tool & Die Inc. is going “We’re really excited about that,” the traditional route and working to Hoag said. ■ 20140217-NEWS--21-NAT-CCI-CL_-- 2/12/2014 3:17 PM Page 1 Partnership; Women’s Foodservice Fo- under a consent decree that forced the rum; Young Presidents’ Organization; company to stop production at its Northern Ohio District Export Council Taylor Street plant and shut down (governor-appointed member); Culinary some product design activities at its Institute of America Elyria headquarters. Since then, In the news: While an expansion of the Invacare has been working to revamp company’s headquarters in Olmsted its quality control processes. As Township nears completion, the com- recently as December, however, the pany also has expanded into nearby company had not yet passed a Strongsville with a 175,000-square-foot third-party audit. operations center and a 45,000- square-foot customer contact center. JULIE BOLAND* East Central Region Energy Market RONALD M. BERKMAN Segment Leader President Ernst & Young Cleveland State LLP University Cleveland Cleveland Age: 47 Age: 66 Type of Type of organization: organization: Assurance, tax, Higher education transaction and Involvement: advisory services BioEnterprise Corp.; Greater Cleveland Involvement: Achievement Centers for Partnership; Positively Cleveland; Rock Children; Great Lakes Science Center; and Roll Hall of Fame and Museum; Positively Cleveland; Downtown United Way of Greater Cleveland Cleveland Alliance; In Counsel with In the news: Berkman, whose five-year Women tenure at Cleveland State has been In the news: Boland has been named marked by record-setting freshman Ernst & Young’s next Cleveland leader. classes and a $500 million campus She will become the local managing makeover, received a contract exten- partner on July 1, 2014, when Lee * indicates new to the list; illustrations by Scott Pollack sion last year that will keep him at the Thomas retires after 38 years of university until 2017. service. DAVID ABBOTT ANTHONY J. ALEXANDER company succeed,” a result Mr. Anton Executive director President, CEO attributes to the company’s values- DANIEL E. BERRY DR. AKRAM BOUTROS* The George Gund Foundation FirstEnergy based culture and customer-focused President, CEO President, CEO Cleveland Corp. orientation. Manufacturing Advocacy & Growth The MetroHealth System Age: 61 Akron Network (MAGNET) Cleveland Type of Age: 62 HARRIET APPLEGATE Cleveland Age: 52 organization: Type of Age: 65 Type of Executive secretary Nonprofit organization: Type of organization: North Shore AFL-CIO Federation foundation Electric utility organization: Health care of Labor Involvement: Involvement: Economic Involvement: Cleveland Fund for Our Edison Electric Institute; Institute of development American College Age: 65 Economic Future; Nuclear Power Operations; Austen nonprofit focused of Healthcare Type of Regional Competitiveness Council BioInnovation Institute in Akron; Akron on manufacturing Executives; Ameri- organization: In the news: Abbott and Timken Co. Tomorrow; Team NEO Involvement: can Heart Association; Greater Federation of labor chairman Ward J. “Tim” Timken Jr. late In the news: Last November, FirstEn- Cleveland-Cuyahoga County Workforce Cleveland Partnership; unions last year became interim co-chairmen ergy announced a $2.8 billion expan- Investment Board; Ohio Manufacturing St. Dominic High School Involvement: City of the Regional Competitiveness Coun- sion of its Energizing the Future trans- Extension Partnership; Vocational Guid- In the news: In the top spot at Metro Club of Cleveland; cil, which is working to develop an mission Initiative, designed to enhance ance Services; Regional Economic since only June, Boutros already has Community Partnership for Arts & Cul- economic competitiveness strategy service reliability for customers. Competitiveness Strategy; Society of made his mark on remaking the organi- ture; United Way of Greater Cleveland; for Northeast Ohio. They succeeded Alexander also was named as an Manufacturing Engineers zation. He has reworked the health Policy Matters Ohio; Economic Develop- In the news: Berry has focused on re- former Alcoa executive William Christo- advisory trustee of the University of system’s administrative bonus struc- ment Commission of Cuyahoga County tooling MAGNET’s capabilities and forging pher, who had led the council since its Akron in August. ture, launched an initiative aimed at im- In the news: She was among those cit- new partnerships. The goal is to acceler- inception. proving patient experience and taken a ed in November for blocking a Cleve- ate manufacturing growth through innova- hard look at its books. “Most public WARREN ANDERSON* land intersection to protest immigration tion and to develop a skilled work force health systems in the nation are severe- MONTE AHUJA President reform delays by Republicans, accord- for the region’s manufacturing sector. ly criticized for their bureaucracy, their Chairman, CEO Anderson-DuBose Co. ing to The Plain Dealer. She also orga- clinical outcomes, their poor service MURA Holdings LLC Lordstown nized rallies on behalf of federal work- FRED BIDWELL* Beachwood Age: 61 and are usually financially weak,” he ers last fall protesting the government Interim director Age: 67 Type of told Crain’s in August. “What are we go- shutdown. Cleveland Museum of Art Type of ing to be known for? Just the organization: Cleveland organization: opposite.” Distributor to Age: 61 Investment REBECCA O. BAGLEY McDonald’s and Type of company President, CEO Chipotle organization: SHERROD BROWN Involvement: NorTech restaurants Fine arts BioEnterprise Cleveland Senator, Democrat Involvement: organization Corp.; University Age: 41 U.S. Senate Bluecoats Inc.; PlayhouseSquare Foun- Involvement: Hospitals; Naples (Fla.) Children Type of Washington, dation; The Presidents’ Council; World Fred and Laura & Education Foundation organization: D.C.; Cleveland Presidents’ Organization Ruth Bidwell Foun- In the news: Although Ahuja’s family Technology-fo- Age: 61 In the news: Last spring, Mr. Ander- dation; Akron Art Museum cused economic Type of investment company, MURA Holdings, son’s company bought from Golden In the news: Bidwell was appointed in- development organization: has existed since 2009, Crain’s report- State Foods a distribution center in terim director of the Cleveland Museum ed last November that its search for organization Government Rochester, N.Y., that supplies McDon- of Art in October 2013 after the abrupt Involvement: Boy investments took off when Neil Sethi ald’s restaurants throughout the west- Involvement: BioHio Research Park; resignation of former director David — Ahuja’s son-in-law — joined the busi- Cleveland Water Alliance; Department Scouts of Ameri- ern half of New York, thereby increas- Franklin. He now is guiding the museum ca; Planned Parenthood; NAACP; Urban ness in August. ing the number of restaurants it serves of Commerce Innovation Advisory through the inaugural year of its com- Board; State Science Technology Insti- League; and Gallaudet University, to 760 from 540. pleted, $350 million renovation and ex- Washington, D.C. (federally chartered VIRGINIA ALBANESE tute; Team NEO pansion while it conducts a worldwide In the news: Bagley has been appoint- university for the deaf and hard of President, CEO ARTHUR F. ANTON search for its next director. hearing). FedEx Custom ed to the manufacturing commission of President, CEO In the news: Brown — who moved his Critical the University of Virginia’s Howard P. Swagelok Co. residence from Cleveland to Avon — Green Milstein Symposium, a five-year initia- GERALD BLOUCH* Solon defeated Republican state Treasurer Age: 50 tive advancing innovative, action-orient- President, CEO Age: 56 Josh Mandel in November 2012 to win Type of ed ideas to help rebuild the American Invacare Corp. Type of his second term in the U.S. Senate. organization: Dream. Elyria organization: Expedited freight Age: 67 Brown has continued to push for the transportation Producer of JODI BERG Type of end of ‘too-big-to-fail’ policies for Involvement: Akron Community Foun- industrial valves President, CEO organization: financial institutions and voted in favor dation; Akron Chamber of Commerce; and fittings Vita-Mix Corp. Home health care of the $1 trillion farm bill. He also has Boys and Girls Clubs of the Western Involvement: Forest City Enterprises Olmsted manufacturer promoted passage of the Working Fam- Reserve; Greater Akron Chamber of Inc.; Olympic Steel Inc.; Sherwin- Township Involvement: ilies Tax Relief Act, which makes per- Commerce; Kent State University Williams Co.; University Hospitals Age: 48 Executive adviser to private companies manent the provisions of the American In the news: Ms. Albanese was ap- In the news: In Swagelok’s last Type of In the news: The past year has been a Taxpayer Relief Act and strengthens pointed by Gov. John Kasich in 2013 employee survey, 93% of associates organization: rocky one for the Elyria company head- and expands the eligibility of the Earned to the Kent State University board of stated that they “are willing to work Producer of high-end blenders ed by Blouch. In 2012, the U.S. Food Income Tax Credit. trustees. above and beyond to help the Involvement: Greater Cleveland & Drug Administration put Invacare continued on PAGE P-2 20140217-NEWS--22-NAT-CCI-CL_-- 2/12/2014 3:51 PM Page 1 P-2 CRAIN’S CLEVELAND BUSINESS POWER 150 FEBRUARY 17 - 23, 2014 JOSEPH CALABRESE Cleveland, Cleveland Hillel Foundation, Competitiveness Council; Team NEO; Field, Quicken Loans Arena, Key Tow- Department of Labor settlement related Mensch Capital, Knowta; Krichevsky Northeast Ohio Council on Higher Edu- er and FirstEnergy Stadium. So it to the company’s employee stock CEO, general manager (COO) — TanZ Entertainment, For- cation; NorTech should be no surprise his firm was in- ownership plan. Greater Cleveland Regional ward City, Young Leadership Division In the news: Voters this fall narrowly volved with the latest change to the Transit Authority of the Jewish Federation of Cleveland, approved a levy to generate city’s skyline, installing the mechanical Cleveland Waxman Chabad Center $12 million annually for college. systems for Ernst & Young Tower, ac- WILLIAM CONSIDINE Age: 61 In the news: As of November 2013, Additionally, the school’s board of cording to the publication Contracting President, CEO Type of five of the 11 startups going through trustees recently voted to increase tu- Business. Akron Children’s Hospital organization: the LaunchHouse Accelerator had ition by $3.84 per credit hour, begin- Akron Public been based in other cities. Plus, it had ning this summer.“While we are not JOHN P. COLM Age: 66 transportation Type of received applications from Spain, happy to seek this increase, no matter President, executive director Involvement: organization: France, Singapore and Azerbaijan. The how modest it may be, it is necessary WIRE-Net Downtown Cleve- Health care incubator also recently worked with in order to maintain quality of educa- Cleveland land Alliance; Build Up Greater Cleve- Involvement: Shaker Heights to renovate a few run- tional programs and services to help Age: 60 land; Senior Transportation Connec- Knight Foundation; down houses on a nearby street, students gain the skills and education Type of tion; Northeast Ohio Sustainable Ohio Business which already house a few out-of-town they need to succeed in careers,” organization: Communities Consortium; Roundtable; entrepreneurs and were expected to Church was quoted as saying in Manufacturing Cleveland/Cuyahoga County Work- American College help the accelerator attract more. Ad- The (Elyria) Chronicle-Telegram. advocacy group force Investment Board of Healthcare Executives; Akron ditionally, a makeover at the Fairmont Involvement: In the news: After years of declining Tomorrow; Austen BioInnovation Creamery in Tremont has been men- Cleveland City- ridership — the result of the recession Institute in Akron tioned as a possible second home for PAUL CLARK wide Development Corp.; Friends of and service cutbacks — ridership is In the news: Akron Children’s Hospital LaunchHouse. (However, a fire broke Regional President, Cleveland Max Hayes; International Economic up and the Greater Cleveland Region- is in the midst of a $200 million plan to out last month on the third floor of the PNC Financial Services Group Development Council; Sustainable al Transit Authority is looking to grow improve its campus. “It’s a wonderful creamery.) Cleveland Cleveland Stewardship Council even more with service extensions and investment in our children. It’s a Age: 60 In the news: Colm works as a cham- the rebuilding of older transit stations. wonderful investment in their future, RICK CHIRICOSTA* Type of pion for Northeast Ohio’s manufactur- The Euclid Avenue HealthLine contin- and it builds on what has been playing Chairman, president, CEO organization: ing community, focusing on everything ues to earn plaudits nationally. Indeed, out over the last 122 years,” Considine Medical Mutual Banking from encouraging students to enter the GCRTA is trying to replicate the said last summer. This month, Akron of Ohio Involvement: the field to the creation of a competi- project on the West Side with the $20 Children’s also received a five-year, Cleveland Team NEO; Neigh- tive sector. For example, WIRE-Net last million “West Shore Express,” which is $400,000 grant from the Ohio Age: 57 borhood Progress year surveyed manufacturers regard- replacing the 55 bus route along Department of Health to help fund a Type of organi- Inc.; United Way of ing energy-related work: “It shows that Clifton Avenue and beyond to traumatic brain injury prevention zation: Insurance Greater Cleveland; the future of American manufacturing Westlake. program. Involvement: 50 University Hospitals Health System; is really tightly intertwined with Ameri- DAR CALDWELL, Club; Greater Cleveland Orchestra can energy and American clean ener- TODD GOLDSTEIN, Cleveland Partner- In the news: In addition to leading gy,” he said. “For those concerned ship; Cuyahoga Community College PNC’s local operations, Clark took about jobs in the gas industry, this is SAM KRICHEVSKY Foundation; United Way of Greater over as chairman of the Team NEO not a bunch of projections from think Partners Cleveland; Kidney Foundation of Ohio board last year. At the time, Mr. Clark tanks in Cleveland or Columbus. It’s LaunchHouse In the news: Talk about being in the said it is “an exciting time to step up real.” Shaker Heights eye of the storm. Medical Mutual is on my involvement with the region’s devel- the front lines when it comes to health opment and growth. I am committed C. ELLEN CONNALLY care reform and its effects on insur- to carrying on Tim’s (Timken) legacy of ance. Additionally, MetroHealth last President inspiring leadership and encouraging Cuyahoga County Council year selected Medical Mutual as the the regional collaboration that is vital PATRICK AND third-party administrator that will man- Cleveland DANIEL CONWAY to Northeast Ohio’s economic Age: 69 age its Medicaid waiver program. Un- prosperity.” der the program, MetroHealth will use Type of Co-owners its $36 million annual subsidy from the organization: Great Lakes Brewing Co. county to draw an additional $64 mil- DANIEL C. COLANTONE Government Cleveland Caldwell Goldstein lion annually from the federal govern- President, CEO Involvement: Age: Patrick, 64; Daniel, 51 Greater Akron Chamber Breast Cancer Type of organization: Restaurant, Ages: Caldwell, ment to provide health care for about Akron Fund of Ohio; brewery 32; Goldstein, 31; 20,000 people living in Cuyahoga Age: 57 Community Action Involvement: A variety of Krichevsky, 31 County. Type of Against Addiction; environmental and social organizations Type of organization: Cleveland Civil War Roundtable; Ohio in Northeast Ohio organization: ROY A. CHURCH Chamber of Historical Society; Cleveland State In the news: Great Lakes Brewing Business incuba- President commerce University Foundation marked its 25th anniversary in tor/accelerator Lorain County Involvement: In the news: Connally, whose term September with a big block party in its Involvement: Community Akron Tomorrow; ends in December, announced in Caldwell (director College Ohio City neighborhood. And here’s Krichevsky Leadership Akron; January that she would not seek of entrepreneur- Elyria something else to celebrate: The Team NEO; Summit Education Initia- re-election. “I am fortunate to have ship) — Ohio Homecoming, Ingenuity Age: 67 Buckeye State ranked No. 4 in the tive; American Chamber of Com- served many years as a public official. Festival, Economic and Community De- Type of United States in craft beer production merce Executives Now I plan to retire to my books and velopment Institute of Cleveland, Bad organization: in 2012, at about 981,000 barrels, In the news: Colantone was among lectures,” she said at the time. One Girl Ventures, Makers Alliance; Gold- Higher education according to the Brewers Association. the Akron-area leaders to travel to Om- of the big recent issues taken up by stein (CEO) — Young Leadership Involvement: Manufacturing Aside from Cincinnati’s Sam Adams aha, Neb., last year to discuss best the county council has been an Division of Jewish Federation of Extension Partnership; Regional operation, Great Lakes Brewing practices. According to a story in The extension of the sin tax; council has commands the state’s craft beer Akron Beacon Journal, the Omaha voted to put it on the May 6 ballot. production, at about 145,000 barrels chamber has a similar strategy as the per year. Greater Akron Chamber, which recent- ly completed a five-year economic CHRIS CONNOR DR. DELOS ‘TOBY’ strategy plan and is about to start Chairman, CEO COSGROVE another five-year plan focused The Sherwin-Williams Company public-private partnerships, talent and Cleveland President, CEO innovation. Age: 57 Cleveland Clinic Type of Cleveland LONNIE COLEMAN* organization: Age: 73 President Paint maker Type of Coleman Spohn Involvement: organization: Corp. Eaton Corp.; Health care Cleveland Federal Reserve Involvement: Age: 65 Bank of Cleve- Cuyahoga Type of land; Greater Cleveland Partnership; Community organization: Fisher College of Business, Ohio State College Mechanical con- University; University Hospitals Health In the news: Nearly 700 Clinic tracting company System employees have accepted early Involvement: Presidents’ Council; In the news: Sherwin-Williams has for retirement offers, which are part of the Greater Cleveland Partnership; U.S. more than a year been trying to health system’s ongoing effort Department of Labor Advisory Com- acquire the operations in Mexico of announced last September to trim mittee on Apprenticeship; Team NEO; Mexican paint maker Consorcio $330 million from its budget. Cosgrove Mechanical Contractors Association of Comex in a $2.3 billion deal. However, also published a book, “The Cleveland America it so far has been denied approval by Clinic Way,” that looks at the future of In the news: In the past, Coleman’s the Mexican government. Early this health care, and he became a leading firm has been involved in the construc- year, the company reported a big national authority on the impact of tion of many of the landmark facilities increase in fourth-quarter earnings Obamacare on the health care system. around Cleveland, including the Rock compared to its year-earlier profits, and Roll Hall of Fame, Progressive which were pulled down by a U.S. continued on PAGE P-3 20140217-NEWS--23-NAT-CCI-CL_-- 2/12/2014 4:12 PM Page 1 FEBRUARY 17 - 23, 2014 POWER 150 CRAIN’S CLEVELAND BUSINESS P-3 JIM COSSLER addition, Park-Ohio bought QEF Global supplier STEVEN M. DETTELBACH Translational Sciences; BioOhio Limited, a provider of supply chain In the news: Austen BioInnovation CEO Involvement: U.S. Attorney for the Northern management services headquartered launched an effort to attract universi- Youngstown Business Incubator Dalton District of Ohio in Cork, Ireland. ty, hospital and industry partners from Youngstown Foundation; U.S. Justice Department outside the Akron area who might be Age: 58 Hospital Shalom, Cleveland interested in tapping into its expertise. Type of ALEXANDER ‘SANDY’ Peten, Age: 48 To that end, the organization forged organization: CUTLER Guatemala; Type of Mission of new partnerships with St. Vincent Economic Chairman, CEO organization: Hope Haiti; Con- Charity Medical Center in Cleveland development Eaton Corp. Government servancy for Cuyahoga Valley National and Lorain County Community Involvement: Beachwood Involvement: Park College. Kent State Univer- Age: 62 None, to prevent sity; University of Type of In the news: PartsSource in 2013 conflicts of Akron; Hiram organization: added a major player — Siemens interest ART J. FALCO Healthcare — to its OEMDirect College; Youngstown State University Manufacturing In the news: President, CEO In the news: Youngstown Business Involvement: supplier program. This month, it Dettelbach and others in his office are expanded the relationship through the PlayhouseSquare Foundation Incubator is working to form a fund Greater Cleveland untangling the web of activities that Cleveland that would invest in young tech com- addition of angiography and MRI led to the collapse of the Taupa Partnership; United Way of Greater Age: 60 panies in the Mahoning Valley and sur- Cleveland; Musical Arts Association; replacement parts to OEMDirect. Lithuanian Credit Union in Cleveland. Type of rounding areas, including Cleveland Business Roundtable; The Business Alex Spirikaitis, the former CEO of organization: and Pittsburgh. “If we’ve got a really Council JENNIFFER DECKARD* Taupa, is charged with embezzling hot startup that’s in Bay Village or about $4.2 million from Taupa be- Arts and culture In the news: In announcing strong CEO Westlake, that’s close enough,” tween 2001 and 2013. When Taupa Involvement: fourth-quarter results for Eaton, Cutler Fairmount Min- Cossler told Crain’s last fall. collapsed last July, it had about 1,150 Tony Award voter said the company’s integration of erals Inc. members and $24 million in assets, and member of Cooper Industries, which it acquired in Chardon ED CRAWFORD late 2012, “remains well ahead of making it one of the largest credit the Broadway Age: 48 League; Downtown Cleveland Alliance; Chairman, CEO schedule, setting a solid foundation union defaults on record. Type of organi- Positively Cleveland; The Union Club; Park-Ohio Holdings Corp. for the $95 million of additional Coop- zation: Producer PlayhouseSquare District Develop- Mayfield Heights er integration savings we expect to re- FRANK L. DOUGLAS of industrial sand ment Corp. Age: N/A alize in 2014.” He also has been a vo- Involvement: President and cal CEO on dysfunction in Washington, In the news: Falco received the Type of Federal Reserve CEO D.C., telling CNBC, for instance, “The Cleveland Foundation’s 2013 Homer organization: Bank of Cleveland’s Business Advisory Austen rest of the world is moving forward, C. Wadsworth Award, given annually Manufacturing Council; Weatherhead School of Man- BioInnovation but they’ve got significant questions to a local leader “who has demon- Involvement: agement’s Visiting Committee; Institute in about our country and our ability to re- strated creativity, innovation, ingenu- Irish Garden Club, Greater Cleveland Partnership; Akron ally convert the promise of democra- ity, risk-taking and good humor in a Cleveland Cultural Chardon Healing Fund; First Tee of Akron cy into the promise of strong econom- Gardens; Blue- Cleveland Age: 70 civic, volunteer, nonprofit or public- ic growth.” sector role.” This spring, Playhous- coats Inc.; The 50 Club of Cleveland; In the news: After serving as presi- Type of eSquare will unveil the GE Chandelier, Cuyahoga County Republican Party; dent of Fairmount for two years, organization: Economic which it says will be the world’s Greater Cleveland Sports Hall of Fame A. RAY DALTON Deckard last May was named CEO, development/health care largest, permanent outdoor chande- In the news: Last November, Park- President, CEO succeeding longtime chief executive Involvement: Ewing Marion Kauffman lier, as part of an extensive makeover Ohio acquired for an undisclosed PartsSource Inc. Chuck Fowler. Less than a month lat- Foundation; Value-driven Engineering of outdoor features that includes new price Henry Halstead Ltd., a provider Aurora er, Fairmount’s Santrol unit acquired a and U.S. Global Competitiveness initia- of supply chain management services Age: 57 major operation from Northern White tive; Battelle Memorial Institute; video signage. headquartered in Preston, England. In Type of organization: Medical parts Sand Mine in Minnesota. National Center for Advancing continued on PAGE P-4 Congratulations to our very own Rick Chiricosta for being recognized as one of Northeast Ohio’s Power 150. Ohio’s Health Insurance Choice Since 1934 MedMutual.com 20140217-NEWS--24-NAT-CCI-CL_-- 2/12/2014 4:20 PM Page 1 P-4 CRAIN’S CLEVELAND BUSINESS POWER 150 FEBRUARY 17 - 23, 2014 UMBERTO P. FEDELI JOSE FELICIANO two buildings. The national developer November of a renewal levy. The 0.13- Cleveland said he is not pursuing projects in mill tax levy provides about one-third Age: 64 President, CEO Founder, chairman; Hispanic Cleveland and is busy elsewhere. of the authority’s $7.3 million budget. Type of The Fedeli Group Roundtable organization: Independence Partner; BakerHostetler Law firm; political Age: 53 Cleveland GARY FINGERHUT* MARCIA FUDGE party Type of Executive director U.S. representative, Democrat, organization: Age: 63 Involvement: Cleveland Clinic 11th district Insurance Type of American Associ- Innovations U.S. House of Involvement: organization: ation for Justice; Cleveland Representatives Cleveland Clinic Nonprofit; law firm Ohio Association for Justice; Ohio Foundation; John Involvement: Age: 53 Cleveland Association of Claimants’ Counsel; Carroll University; Greater Cleveland Type of Age: 61 Cleveland Metropolitan Bar Cleveland Catholic Partnership; Com- organization: Type of Diocese Foundation; Northern Ohio Ital- Association; The Park Synagogue mission on Eco- Technology trans- organization: In the news: Garson and fellow attor- ian American Foundation; Legatus (an nomic Inclusion; U.S. District Court for fer office Government international organization of Catholic ney James DeRoche represented a the Northern District of Ohio; House of Involvement: Im- Involvement: CEOs) group of more than 270,000 Ohio em- In the news: The Fedeli Group last Delegates, American Bar Association ageIQ; Enforcer; Talis; iVHR; HealthXL Delta Sigma Theta Sorority, Social Ac- ployers who, according to a Cuyahoga year became a shareholder in The DLK In the news: Feliciano and Frank In the news: Fingerhut was named act- tion Commission; Delta Sigma Theta County judge’s March 2013 ruling, are Group, a surety bonding agency in Douglas, president and CEO of the ing executive director of Cleveland Clin- Greater Cleveland Alumnae Chapter entitled to $859 million in premium Stow that was renamed Fedeli Liptak & Austen BioInnovation Institute in Akron, ic Innovations in April. On Nov. 1, he In the news: Fudge, chairwoman of overpayments from the Ohio Bureau of Keller. It was the first such arrange- represented Northeast Ohio on an was given the more permanent title for the Congressional Black Caucus, has Workers’ Compensation. This summer, ment for Fedeli Group and could serve independent task force that analyzed the health care giant’s commercializa- pushed hard for women’s rights. A key Garson received the Ohio Democratic as a model for bringing in other special- the role of immigration in growing the tion arm. focus has been equal pay for women Party Large County Chair Award given ists, Fedeli told Crain’s last year. Midwest economy. The report also in the work force. “We can’t continue for outstanding service on behalf of stressed the importance of federal ED FITZGERALD to have more than 51% of the people Democrats in Ohio, according to The SARI FELDMAN* immigration policy reform. County executive who live in this country, as well as 54% Cleveland Jewish News, which also Executive director Cuyahoga County of the people who vote in this country, noted that under Garson’s leadership, Cuyahoga County Public Library JOHN FERCHILL* Cleveland continue to be underpaid,” she told Cuyahoga County produced the Parma Chairman, CEO Age: 45 Crain’s in 2013. nation’s second-largest margin of Age: 60 The Ferchill Type of victory for President Barack Obama in Type of Group organization: HIROYUKI FUJITA a battleground state. organization: Cleveland Government Founder, president, CEO Public library Age: 72 Involvement: Quality Electrodynamics LLC Involvement: Type of County Executives Mayfield Village Cuyahoga Arts and organization: of America; Age: 47 Culture; Cleveland- Real estate Economic Devel- Type of organi- Cuyahoga County Involvement: opment Commission of Cuyahoga zation: Medical Workforce Invest- Downtown Cleveland Alliance; St. Ed- County; Northeast Ohio Areawide Coor- device designer, ment Board; In Counsel with Women; ward High School; Downtown Cleveland dinating Agency; Investment Advisory manufacturer OneCommunity; American Library Asso- Improvement Corp.; The Jennifer Fer- Committee, Cuyahoga County; Criminal Involvement: ciation Digital Content and Libraries chill Children’s Foundation Justice Services Governing Board, Manufacturing Working Group In the news: In September, Ferchill Cuyahoga County Council, U.S. FRED AND GREG GEIS In the news: Cuyahoga County Public told Crain’s he was offering for sale the In the news: FitzGerald recently select- Deputy Secretary of Commerce; Local Co-owners, Geis Development Co. Library once again received a five-star Western Reserve Building and Annex, ed Dayton-area attorney Sharen Leadership Council, Business Forward; Members, Hemingway rating — the highest possible — in the 1468 W. Ninth St., an office complex of Neuhardt in his do-over in selecting a Cleveland Orchestra; The Cleveland Development Inc. Library Journal Star Libraries rankings. 140,000 square feet that combines running mate for Ohio governor. Foundation; Hillcrest Hospital Streetsboro FitzGerald’s original choice, state Sen. In the news: Last March, Fujita was Age: Fred, 55; Greg, 46 Eric Kearney, withdrew from the ticket one of three Northeast Ohio manufac- Type of organization: Real estate in December, following intense media turers named to the Manufacturing Involvement: Fred Geis — Downtown coverage over tax debts. Council, a private-sector committee Cleveland Alliance; MidTown Cleveland that directly advises the U.S. Secre- Inc.; Cleveland Botanical Garden; JAMES FREE* tary of Commerce. In May, the compa- Rainey Institute; The Edwin and Kather- ine Geis Charitable Foundation; Soci- Tax & Business Advice Director ny was among those awarded the President’s “E” Award for Exports, the ety of Industrial and Office Realtors; NASA Glenn Research Center Greg Geis — National Association of Brook Park highest recognition any U.S. entity When You Need It! may receive for making a significant Office and Industrial Properties Age: 45 In the news: In less than a year, Geis Type of contribution to the expansion of U.S. exports. Cos. took the Ameritrust complex, Discover a wealth of tax and business knowledge organization: which includes a 29-story office tower Government STUART GARSON that had stood empty for two decades, online - from the experts at Meaden & Moore. Involvement: and began reshaping it as a $250 mil- Great Lakes Founder, managing partner, lion real estate development project. A Science Center; Garson & Associates Co. LPA Heinen’s grocery store is planned for Greater Cleveland Chairman, Democratic Party, the complex’s landmark rotunda. Partnership; NorTech; SpaceTech Cuyahoga County continued on PAGE P-5 Advisory Board In the news: Free replaced Ramon Lugo III as NASA Glenn’s director at the start of 2013. Free, who joined NASA in 1990, had been deputy director of NASA Glenn since November of 2010. WILLIAM D. FRIEDMAN President, CEO Cleveland-Cuyahoga County Port Access Tax and Business Knowledge at: Authority Cleveland Age: 52 Type of meadenmoore.com organization: & click “blog” Port authority -or- Involvement: American Associa- scan the code tion of Port Author- with your smartphone. ities; American Great Lakes Ports Association; North- east Ohio Development Fund; North- east Ohio Areawide Coordinating Agency; Cuyahoga County Economic Development Commission; Green Marine In the news: In October, the Port Au- thority announced that its plan to bring a new international freight service to Local Touch, Global Reach the Port of Cleveland was being warmly received by several key players in the local import/export community. Fried- To speak to a professional, call 216.241.3272 man said the service will begin this spring. The port also won approval in 20140217-NEWS--25-NAT-CCI-CL_-- 2/13/2014 2:07 PM Page 1 FEBRUARY 17 - 23, 2014 POWER 150 CRAIN’S CLEVELAND BUSINESS P-5 DR. JAY A. GERSHEN Career Center PAUL G. GREIG In the news: Hall turned his interim HOWARD W. ‘HOBY’ In the news: A. role at the inclusion commission, an President Chairman, president, CEO HANNA IV Schulman was re- arm of the Greater Cleveland Partner- Northeast Ohio Medical University FirstMerit Corp. buffed in its effort ship, into a permanent one, though he President Rootstown to buy Mayfield Akron retains ownership of his logistics firm, Howard Hanna Age: 67 Heights-based Fer- Age: 57 Innogistics LLC. In addition, Hall has Real Estate Type of ro Corp. in 2013 Type of joined with Executive Caterers to Services, organization: but it did spend organization: propose a new restaurant on the Midwest Region Higher education more than $100 Banking lakefront. Cleveland Involvement: million on two smaller acquisitions. Gin- Involvement: Fed- Age: 43 Greater Akron go early this year called M&A deals a eral Reserve Sys- Type of Chamber; Ohio JAMES L. HAMBRICK “critical” piece of the company’s growth tem Federal Advi- organization: Real estate brokerage Chamber of Com- Chairman, president, CEO strategy, especially in a less-than-robust sory Council; American Bankers Involvement: Trulia; North Coast merce; NorTech; Greater Cleveland The Lubrizol Corp. economy. The comment was made in Association; Musical Arts Association; Community Homes; Cleveland Chapter Partnership; Canton Regional Chamber Wickliffe relation to the company filling the newly Greater Cleveland Sports Commis- of Young Presidents’ Organization; of Commerce Age: 59 created position of senior director of sion; Team NEO The Realty Alliance. In the news: Last May, NEOMED an- Type of corporate business development. In the news: The residential real es- nounced it had formed a partnership In the news: The institution complet- organization: ed its largest acquisition ever in 2013, tate brokerage merged in 2013 with with Miami University in Oxford. The an- Specialty chemi- the Chartwell Group, a Cleveland com- nouncement occurred two months after MARCIE GOODMAN bringing the 37 Michigan branches of cal technologies Citizens Republic Bancorp Inc. — and mercial real estate broker. The new the institution signed an agreement Executive director Involvement: operation, Hanna Chartwell, will help with Hiram College in which the two Cleveland International Film $24.5 billion in assets — into the American Chem- FirstMerit system. In April, FirstMerit Hanna expand its commercial Portage County-based institutions said Festival istry Council, brokerage business. they will work together to produce new Cleveland Corp. reported a first-quarter profit American Institute of Chemical 23% higher than the year-ago quarter, physicians. Additionally, Cleveland Age: 58 Engineers, Cleveland Museum of GARY HANSON* State University broke ground on a $45 Type of and its 56th consecutive quarter of Natural History, University Hospitals million health sciences building that’s organization: profitability. Health System, Hospice of Western Executive expected to open in June 2015. The Nonprofit/arts Reserve director 100,000-square-foot building will house Involvement: BRIAN HALL In the news: The company opened a The Cleveland CSU programs offered by the School of Weimaraner Club Executive 400,000-square-meter additives man- Orchestra Nursing and the School of Health Sci- of America director ufacturing plant in Zhuhai, Guangdong, Cleveland ences, as well as the Cleveland cohort In the news: The film festival Commission China, part of a 10-year phased invest- Age: 60 of Northeast Ohio Medical University announced in January that, with the on Economic ment plan to increase global capacity Type of programs within NEOMED’s College of help of a $500,000 loan from the Gund Inclusion in additives. Hambrick, who traveled organization: Medicine, College of Pharmacy and Col- Foundation, it will convert nine theaters Cleveland to Zhuhai for the opening, said the Performing arts lege of Graduate Studies. at Tower City Cinemas to digital equip- Age: 56 plant “is further confirmation of our Involvement: University Circle Inc.; ment in time for the 38th film festival Type of organization: Nonprofit ongoing commitment to the region, to Glenn Gould Foundation U.S.A.; Global DAN GILBERT that begins March 19. The festival’s Involvement: The Presidents Council the industry and to our customers’ Cleveland; Nestle and Salzburg attendance in 2013 was 93,235 — a success.” continued on PAGE P-6 Owner, Cleveland Cavaliers Foundation 9.7% increase from a year earlier and a Chairman, Rock Ventures LLC 126% increase from 2003. Cleveland Age: 52 Type of ERIC GORDON organization: CEO Basketball team, Cleveland casino Metropolitan Involvement: School Bizdom; Cleveland District Clinic; Children’s Cleveland National Medical Center; Children’s Age: 43 Tumor Foundation; M-1 Rail Type of organi- In the news: On Jan. 21, Quicken Loans zation: Education received a lot of attention by announcing Involvement: Cleveland Rock and Roll it would give away $1 billion to anyone Inc.; Council of Great City Schools who could fill out a perfect March Mad- In the news: After implementing a new ness bracket. Sixteen days later, “transformation” plan for the city’s Gilbert’s disappointing basketball team schools and convincing voters to in- fired its general manager, Chris Grant. crease their school taxes in 2012, the district was one of a number statewide DAVID E. GILBERT under fire from the state auditor for “scrubbed” student data that might President, CEO have led to better-than-deserved report Greater Cleveland Sports cards for the district. In a January Commission; Positively Cleveland Columbus Dispatch article, a spokes- Cleveland woman for the Cleveland schools said Age: 46 the district “has acknowledged prob- Type of lems in our record-keeping process that organization: have since been addressed. … We do Civic and econom- not believe there was any effort to inten- ic development tionally manipulate our student data.” Involvement: Rock and Roll Hall Congratulations to Huntington Bank region President, Dan Walsh, ALBERT GREEN of Fame and Muse- for being recognized as one of Northeast Ohio’s Power 150! um; International Children’s Games; CEO Cleveland Film Commission; Group Plan Kent Displays Commission Inc. At Huntington, we believe it’s important to do more for the In the news: Last December, Cleve- Kent land was selected to host the 2018 Age: 48 community – whether it’s rolling up our sleeves and getting NCAA Division I wrestling champi- Type of organi- involved, or helping in other ways. That’s why we’re proud to be onships, capping a productive stretch zation: Manufac- for the sports commission. In 2014, turing/consumer recognized amidst so many well-respected leaders who each work Northeast Ohio will serve as the host of electronics tirelessly to make a difference in our community. three NCAA championship events and a Involvement: U.S. Commerce Depart- Web.com Tour golf tournament. ment Manufacturing Council; NorTech; Cleveland also recently hosted a Federal Reserve Bank of Cleveland; women’s Fed Cup tennis match Kent State University; Notre Dame between the United States and Italy. College In the news: The company in 2013 quadrupled its manufacturing capacity, JOSEPH GINGO enabling the Kent company to expand CEO, president distribution of its electronic writing A. Schulman Inc. tablet, the Boogie Board. In a 2013 Fairlawn Crain’s story, Green said it had even Age: 69 become hard to keep track of all the Type of organization: Plastic resins stores where the Boogie Board was supplier sold. “It’s in the many, many thou- Involvement: Akron Tomorrow; Univer- sands,” he said. “I can’t even tell you Member FDIC. ® and Huntington are federally registered service marks of Huntington Bancshares Incorporated. Huntington. sity of Akron Foundation; Northeast the store chains we’re in. ... Every day ® Welcome. ™ is a service mark of Huntington Bancshares Incorporated. © 2014 Huntington Bancshares Incorporated. Ohio Medical University; Portage Lakes there’s a new one.” 20140217-NEWS--26-NAT-CCI-CL_-- 2/13/2014 2:13 PM Page 1 P-6 CRAIN’S CLEVELAND BUSINESS POWER 150 FEBRUARY 17 - 23, 2014 Festival Young Conductor Award juror; announced it was buying two German DANIEL B. HURWITZ JOE KANFER health care law in a November Crain’s Ohio Citizens for the Arts companies, a part of a strategy to build article that the law won’t reduce health CEO, board member Chairman, CEO In the news: The 96-year-old orchestra the company’s polymer processing care costs but “shifts them.” DDR Inc. Gojo Industries Inc. has made several changes to attract business. Last summer, Nordson also Beachwood Akron younger audiences to its Severance said its directors had raised the compa- Age: 49 Age: 67 STEWART A. KOHL Hall home. It began 2014 by unveiling ny’s quarterly cash dividend 20% and Type of Type of Co-CEO “The Circle,” a membership program have authorized a new, $200 million organization: organization: The Riverside Co. for young professionals. share repurchase program. “The Shopping-center- Skin health, Cleveland board’s actions reflect continued confi- focused real hygiene products Age: 58 dence in the long-term strength of our estate investment Involvement: Type of company and our ongoing commitment trust StarVest Part- organization: to creating shareholder value,” Hilton Involvement: Sonae Sierra Brasil; ners; JFNA/The Private equity said at the time. General Growth Properties Inc.; Jewish Federations of North America; Involvement: International Council of Shopping Akron Tomorrow; University of Akron; Oberlin College; STEPHEN H. HOFFMAN* Centers; Hawken School; Rock and Austen BioInnovation Institute in Akron Museum of President Roll Hall of Fame and Museum In the news: Gojo on Jan. 31 pur- Contemporary Art Jewish Federation of Cleveland In the news: Over the last year, chased the French company Labora- Cleveland; Cleveland Clinic; Cleveland Cleveland Hurwitz has emerged as a spokesman toires Prodene Klint, a maker of pro- Clinic Wellness Institute Leadership Nancy and Ron G. Harrington Age: 63 for the shopping center industry and fessional hygiene, cosmetics and Board Type of an expert on retailing trends, most disinfectant products. At the time, an- In the news: After raising a $1.5 billion organization: notably through appearances on other company executive said that the fund, the largest in its history, Kohl HARRINGTON FAMILY* Nonprofit CNBC and Bloomberg TV. deal would provide opportunities for called it “a very big deal” and told Benefactors Involvement: learning and positive synergies for Crain’s Cleveland Business that firms all Harrington Project for Discovery Musical Arts FRANK G. JACKSON both organizations. around “world are competing to attract & Development Association; Jack, this capital.” To date, Riverside has Mayor Cleveland Joseph & Morton raised 14 funds, including funds for City of Cleveland MARCY KAPTUR* Type of organization: Research & Mandel Foundation; David and Inez investing in Europe and Asia. Cleveland U.S. Representative, Democrat, development Myers Foundation; Maltz Foundation; Age: 67 9th District Involvement: University Hospitals President’s Visiting Committee of Case Type of U.S. House of Representatives RICHARD J. KRAMER Case Medical Center Western Reserve University organization: Toledo Chairman, president, CEO In the news: The Harrington family, In the news: The federation in Decem- Government Age: 67 Goodyear Tire & Rubber Co. which owned and ran Edgepark Medical ber sold its former headquarters in Involvement: Type of Akron Supplies, is using its wealth to support downtown Cleveland to the Clayco Mayors Against organization: Age: 50 research to bring new drug therapies to Realty Group of Chicago, which will tear Illegal Guns; U.S. Conference of Government Type of market. Its Harrington Discovery Institute down the buildings on the site for a Mayors Involvement: organization: at UH Case Medical Center made 11 217-unit student apartment building. In the news: Rather than take a Congressional-Ex- Manufacturing awards of up to $200,000 each to 11 “We feel good that there is a quality breather after the opening of several ecutive Commis- Involvement: The physician scientists in December. student housing project being pro- megaprojects downtown, Jackson sion on China; Sherwin-Williams posed,” Hoffman said. “We think it’s joined with Cuyahoga County Execu- Congressional Hungarian Caucus; Con- Co.; John Carroll good for the neighborhood, it’s good GREG HARRIS* tive Edward FitzGerald last June to set gressional Ukraine Caucus. University; Akron for PlayhouseSquare and it’s good for President, CEO an agenda for improving the city’s mall In the news: The congresswoman re- Tomorrow; Greater Akron Chamber of Cleveland State University.” The former Rock and Roll Hall of Fame and and lakefront. “This gives us the ability cently has been condemning Ukrainian Commerce federation building had been studied for Museum to move Cleveland into the next government violence against protest- In the news: Kramer says the compa- multiple uses since the organization in Cleveland phase,” the mayor said, ers seeking more government trans- ny’s new Akron headquarters reflects 2009 moved its headquarters to Age: 48 parency. The House adopted a resolu- its dedication to innovation and that he Beachwood. Type of ALEX JOHNSON* tion Feb. 10 she sought supporting hopes, according to a Crain’s story last organization: the pro-democratic and Europe-leaning May, that Akron may “become known Nonprofit ANDREA HOGBEN* President protesters. She recently took the U.S. as the innovation city. Cuyahoga Community College Involvement: President Army Corps of Engineers to task for Cleveland Positively Northeast Ohio Media Group not taking the danger Asian carp pose MARC C. KRANTZ* Age: 63 Cleveland; Great Cleveland to the Great Lakes as seriously as it Type of Managing partner Lakes Science Center; Greater Age: 41 should. organization: Kohrman Jackson & Krantz PLL Cleveland Sports Commission Type of Higher education Cleveland In the news: Harris took over the top organization: LAURA KEPLEY* Involvement: Age: 53 job at the Rock Hall at the start of Media American Associa- Artistic director Type of 2013. Late last year, the museum Involvement: tion of Community Cleveland Play organization: brought a little bit of Elvis Presley’s Harvest for Colleges; National House Law Memphis home, Graceland, to the Hunger Campaign, Labor College; Association of Cleveland Involvement: North Coast with the opening of the Greater Cleveland American Colleges and Universities; Age: 42 Cleveland-Cuya- Elvis Presley collection. Food Bank; Northeast Ohio Media United Way; Greater Cleveland Type of hoga County Port Group Charities; In Counsel with Partnership organization: Authority; Junior EDWARD W. (NED) HILL Women; The 50 Club In the news: Johnson has focused on Performing arts Achievement of Greater Cleveland; In the news: After a tumultuous year at Dean, professor strengthening Tri-C’s accessibility Involvement: Bellefaire JCB; Myers Foundation; the Cleveland daily newspaper and on- Maxine Goodman Levin College and affordability since he became its N/A Wingspan Care Group line news provider, Hogben shoulders of Urban Affairs, president in time to celebrate the In the news: Kepley became interim In the news: Krantz captained the responsibility for top-line growth. “I will Cleveland State school’s 50th anniversary. He sized up artistic director in May 2013, following Cleveland-Cuyahoga County Port tell you that early metrics at some of University its Corporate College’s status to the departure of Michael Bloom, and Authority’s board during its levy cam- our sister markets that have gone Cleveland Crain’s in a November story on its was promoted to the job on a perma- paign last November. He explained the through this change are quadrupling the Age: 62 emergence from fiscal woes by nent basis in September. She’s the continued on PAGE P-7 industry average. That is what needs to Type of saying, “It was a novel idea, and I think ninth artistic director in the nearly 100- happen,” she told Crain’s in August. organization: its time has finally arrived.” year history of the Play House. Kepley Higher education in November directed the Play House’s Involvement: W. NICHOLAS HOWLEY DAVID JOYCE* acclaimed production of “Venus in National Institute of Standards and Chairman, CEO Fur,” a seductive comedy by play- Technology; The Brookings Institution TransDigm U.S. Representative, Republican, wright David Ives. Metropolitan Policy Program; University Group 14th District of Rijeka (Croatia) Cleveland U.S. House of Representatives ROBERT J. KLONK* In the news: Hill traveled to China late Age: 61 Russell Township last year to help the college expand its CEO Type of Age: 57 relationship with Chinese universities. In organization: Oswald Cos. the fall, students from the South China Type of Cleveland Manufacturer, organization: University of Technology will come to Age: 55 aircraft parts Government Cleveland to complete a degree in pub- Involvement: Case Western Reserve Type of Involvement: lic management at CSU. University; CPP Corp.; Saint Martin de organization: Geauga County Porres High School; Rock and Roll Hall Insurance MICHAEL of Fame and Museum Bluecoats; brokerage HILTON In the news: TransDigm is active on Fraternal Order of Involvement: the acquisition trail and bought four Eagles 2436 National Multiple Sclerosis Society; President, CEO companies last year. The company has In the news: The former Geauga Northeast Ohio Medical University; Nordson Corp. increased its guidance in the coming County prosecutor has focused on Council of Insurance Agents & Westlake year, Howley said in January, “primarily passing two bills he authored: the Brokers; Council of Employee Benefits Age: 59 to reflect the acquisition of Airborne SAVE Act, which will cut $200 billion in Executives; Business Volunteers Type of Systems and our first quarter perfor- government spending he considers Unlimited organization: Manufacturer mance.” TransDigm in December wasteful; and a Great Lakes bill In the news: Klonk is captaining the Involvement: Nordson Corp. bought Airborne, a maker of para- designed to protect the environmental brokerage as it buys other companies. Foundation; United Way chutes and similar products for the integrity and economic strength of the He is an industry expert on health care In the news: In July, Nordson defense industry, for $250 million. Great Lakes. reform, and he said of the new federal 20140217-NEWS--27-NAT-CCI-CL_-- 2/13/2014 3:07 PM Page 1 FEBRUARY 17 - 23, 2014 POWER 150 CRAIN’S CLEVELAND BUSINESS P-7 port’s value to the Crain’s editorial Department National Advisory Council Type of MORTON MANDEL* Manufacturers; Manufacturers Alliance board by pointing out it would take a on Innovation and Entrepreneurship organization: for Productivity and Innovation line of semitrailers 4,700 miles long to In the news: Plummeting investment in Private equity Chairman, CEO, Parkwood LLC In the news: Mapes, who ascended equal the volume of materials shipped area startups prompted Mr. Leach to Involvement: Co-founder, Jack, Joseph and to the CEO post in 2012, took over as through the port in 2012. tell Crain’s last June, “We’re not saying Case Western Morton Mandel Foundation Lincoln Electric’s chairman in 2013, the sky is falling, but we’re watching Reserve Bratenahl replacing John M. Stropki Jr., who DAVID J. LARUE this very carefully and we’re con- University, Laurel Age: 92 retired in December as a member of cerned.” Last year, the Fund for Our School, Pepper Type of the Lincoln board. This fall, Lincoln President, CEO, director organization: Forest City Enterprises Inc. Economic Future awarded a grant of up Pike Club, The 50 distributed its 80th consecutive to $500,000 to JumpStart “to sustain Club Private trust/ profit-sharing bonus. The 2013 total Cleveland philanthropic and strengthen Northeast Ohio’s cul- In the news: The firm announced in gross bonus pool was $100.7 million, Age: 52 organization ture of high-growth entrepreneurship.” late 2013 it had sold two of its the largest total dollar bonus in Type of Involvement: portfolio companies — Paradigm Lincoln Electric’s history, and the organization: Cleveland Tomor- Packaging in New Jersey and Royal average bonus per employee was Real estate BISHOP RICHARD LENNON* row; MidTown Cleveland; United Way; Baths Manufacturing in Texas. In $33,029. development, Bishop Case Western Reserve University; January, the firm acquired THRO Ltd. ownership and Catholic Diocese of Cleveland Jewish Federation of Cleveland as an add-on to its portfolio JOE MARINUCCI* management Cleveland In the news: The Mandel name Involvement: Age: 66 company, The Home Décor Cos. in continues to be linked with philan- President, CEO International Council of Shopping Type of Mississippi. thropy. The Jack, Joseph and Morton Downtown Cleveland Alliance Centers; National Association of Real organization: Mandel Foundation last year awarded Cleveland Estate Investment Trusts; Friends of Religious $8 million to Case Western Reserve Age: 60 the Cleveland School of the Arts; The organization MILTON MALTZ* University to support the university’s Type of Lawrence School Involvement: social work, leadership and organization: In the news: Through a rapid-fire set Philanthropist, entrepreneur Catholic Charities community engagement programs. Nonprofit of dispositions and joint ventures, the Founder, Maltz Foundation; Early this year, the Smithsonian’s Involvement: company generated about $600 million Museum of Catholic Community Connections; Cooper-Hewitt, National Design Cleveland in liquidity last year to reduce both cor- Jewish Heritage Knights of the Holy Sepulchre; Catholic Museum in New York City received a Restoration porate and property-level debt. Not all Cleveland; Palm Society; are pleasant. As the company an- Lawyers Guild; Canon Law Society of $10 million gift from the Morton and America Beach Gardens, Barbara Mandel Family Foundation. Cleveland Police nounced in December it was taking a Fla. Foundation; Group Plan $250 million write down on its Atlantic In the news: Lennon balked at signing (Photo: Nannette Bedway) off on a deal allowing Summa Health Age: 84 Commission; Little Italy Redevelop- Yards project in Brooklyn, N.Y., LaRue ment Corp.; Urban Research Park said, “Clearly, we are disappointed.” System to sell 30% of its enterprise to Type of CHRISTOPHER MAPES* Catholic Health Partners of Cincinnati organization: Nonprofit CDE Chairman, CEO In the news: The Downtown because Summa planned to remain a Involvement: Maltz Museum of Jew- RAY LEACH Lincoln Electric Cleveland Alliance and other secular organization. CHP ultimately ish Heritage; Cleveland Museum of CEO Euclid community partners spearheaded the completed the deal through Art; Maltz Performing Arts Center at JumpStart Inc. Age: 52 development of the city’s NineTwelve HealthSpan, a nonreligious auxiliary Temple Tifereth; Cleveland Orchestra; Cleveland organization of the health system. Type of District, which covers the area from Age: 48 Cleveland Play House organization: East Ninth Street to East 12th Street Type of organi- In the news: Milton and his wife, Manufacturing between Euclid and Lakeside zation: Economic FRANK LINSALATA Tamar, were recipients of the Robert Involvement: avenues. The group was recently development Chairman, founder P. Bergman Prize from the 2013 MAGNET; honored for its work in the district Involvement: Invent Now Kids; Linsalata Capital Partners Cleveland Arts Prize for their generous American Red Cross Greater by the International Downtown National Venture Capital Association; Mayfield Heights contributions to the community over Cleveland Chapter; Greater Cleveland Association. Team NEO; U.S. Commerce Age: 71 the years. Partnership; National Association of continued on PAGE P-8 Exposure • Expertise • Results The Best of the Best Marcus & Millichap proudly honors its top commercial real estate investment professionals in Cleveland who provided superior service to clients by helping them meet their investment objectives. Through their leadership and dedication, the Cleveland office closed 114 transactions in 2013 valued at over $540 million. We look forward to being a part of your success in 2014. Congratulations to Our Top Agents of 2013 Michael Barron Dan Burkons Scott Wiles Craig Fuller Apartments Apartments Retail Retail Josh Wintermute Jonathon McClellan Kyle Baskin Ben Baker Apartments Manufactured Housing Manufactured Housing Apartments To access the investment market, contact the market leader. Michael L. Glass Vice President/Regional Manager (216) 264-2000 Offices Nationwide [email protected] www.MarcusMillichap.com 20140217-NEWS--28-NAT-CCI-CL_-- 2/13/2014 3:10 PM Page 1 P-8 CRAIN’S CLEVELAND BUSINESS POWER 150 FEBRUARY 17 - 23, 2014 Type of STEVE MILLARD In the news: In July, NatGasCar LLC, a Involvement: organization: Moore Co. portfolio company that Greater Cleveland President, executive director Nonprofit develops kits for converting Partnership; Council of Smaller Enterprises Involvement: gasoline-powered vehicles to run on Cleveland Clinic Cleveland United Way of natural gas, announced a partnership Foundation; RPM Age: 45 Summit County; with Alternative Vehicle Solutions, a International Inc.; Type of Leadership Akron; company in Salt Lake City that installs The Cleveland organization: Greater Akron the conversion kits. Foundation; 50 Business service, Chamber; Mile- Club of Cleveland A. Maron R. Maron advocacy stones Autism Organization; Fund For In the news: “Historically, the practice Involvement: Our Economic Future BERNIE MORENO* of law has been largely based upon ARI, JORI National Small In the news: In December, the President precedent and tradition,” Nance wrote Business AND RICK MARON foundation awarded more than The Collection Auto Group for Crain’s Who to Watch in Law section Association; Chamber of Commerce Partners $2 million in grants to 41 nonprofit North Olmsted in July. “… The successful business Executives of Ohio; Presidents Council MRN Ltd. organizations. The largest of the Age: 46 practice of law has almost no use for Foundation; United Way of Greater Cleveland grants — for $435,000, distributed in Type of tradition. Leading large numbers of Cleveland Age: Ari, 35; Jori, $145,000 increments over three organization: lawyers in the process of adapting to In the news: Under Millard’s leader- 32; Rick, 65 years — is for the Greater Summit Automotive evolving client needs — for example, ship, COSE is reworking its business Type of County Early Learning Center. retailing quality interactive communication, the model and hopes to see its finances organization: Involvement: use of technology, transparency and move from nearly 100% of revenue Real estate KEVIN MCMULLEN Cuyahoga outcome and budget predictability — Involvement: coming from membership dues to Community Chairman, CEO will be absolutely key.” Ari Maron — J. Maron less than 50% from dues as it moves College Foundation; Young Presidents’ Omnova Solutions Inc. Positively Cleve- ahead. Millard told Crain’s, “Our focus Organization; Cleveland State Fairlawn BRAD NELLIS land, El Sistema Cleveland, Historic is helping small business owners University; 50 Club; Ohio Business Age: 53 Executive director Gateway Neighborhood achieve their idea of success. I don’t Roundtable Type of NEOSA, The COSE Technology In the news: In August, The Atlantic care where they are; I want to help In the news: Moreno announced in organization: Network highlighted the efforts of the Maron them.” December that he would add Specialty Cleveland family and MRN Ltd. to create the Rolls-Royce of Cleveland to his chain of chemicals, wall Age: 51 lively East Fourth neighborhood. The BETH MOONEY dealerships. In October, Moreno’s coverings Type of piece noted, “There wasn’t a market Chairman, CEO Collection Auto Group opened a Involvement: organization: for urban living in Cleveland until KeyCorp dealership in the Cincinnati area, Team NEO; IT industry developers like the Marons built Cleveland Mercedes-Benz of Fort Mitchell. Ideastream; Positive Coaching association places where young professionals Age: 58 Alliance Involvement: would want to be.” Type of In the news: Omnova announced in DAN MOULTHROP* Tri-C IT Advisory organization: September it planned to move CEO Council; University of Akron; Kent State Banking ANDY MATTES* from Fairlawn to a new corporate The City Club of Cleveland University; Cleveland State University; Involvement: Cleveland President, CEO headquarters at Chagrin Highlands Greater Cleveland Technology Councils of North America Age: 40 Diebold Inc. in Beachwood. At the time, Partnership; In the news: After a long streak of Type of Green McMullen said, “We believe it is Musical Arts Association; Cleveland growth, information technology organization: Age: 52 the perfect spot to build our future.” Clinic; United Way of Greater companies in Northeast Ohio probably Civic engagement Type of Cleveland will slow down their expansion, Nellis (nonprofit) organization: RICHARD MCQUEEN In the news: American Banker, a predicted to Crain’s recently. He Integrated Involvement: pointed to NEOSA’s survey for the third CEO, president leading industry publication, named self-service Facing History quarter of 2013, when the percentage Akron-Canton Mooney “the most powerful woman in delivery systems New Tech High of local IT companies that described Airport banking.” In its profile of Mooney, the and services School (Cleveland Metropolitan School their performance as “good” or “very Plain Township publication said she’s “focused on Involvement: N/A what may be banks’ greatest single District); Leadership Cleveland good” (54%) was way down from 73% Age: 54 In the news: In the news: Mattes, a challenge these days: growing In the news: Last year, Moulthrop for the year-ago quarter. Type of former executive with Hewlett-Packard revenue.” became the leader responsible for organization: Co. and Germany’s Siemens AG, was steering the City Club in executing the Transportation ARAM NERPOUNI* named Diebold’s president and CEO in first comprehensive strategic plan it’s Involvement: DAN T. MOORE III President, CEO June. He replaced Thomas Swidarski, had in eight years. That plan seeks to Walsh University; President BioEnterprise Corp. who was fired by the company in Janu- extend the club’s conversations beyond Greater Akron Chamber; Dan T. Moore Cleveland ary of last year. Mattes said during a its live forums and to further engage Akron/Summit County Convention Co. Age: 43 2013 conference call that the compa- audiences via social media and and Visitors Bureau; Canton Regional Cleveland Type of ny won’t be just an automated teller different events. Chamber of Commerce; Stark Age: 74 organization: machine producer in the future — it Development Board Type of Nonprofit will be a company led by services and FREDERICK R. NANCE In the news: More than 1.7 million organization: biomedical that it has room to grow. passengers flew to and from R&D, acquisition Regional managing partner, Squire business Akron-Canton in 2013, making it entity, business Sanders formation, CHRISTINE AMER MAYER the second-best year in the airport’s incubator Senior adviser and special counsel, recruitment and President history. More than 1.8 million Involvement: Cleveland State Cleveland Browns acceleration initiative GAR Foundation passengers chose the airport University; Cleveland Metroparks; Cleveland Involvement: Child Guidance & Family Akron in 2012, its busiest year on Cleveland Clinic; Cleveland Museum of Age: 60 Solutions in Akron; Knight Foundation Age: 42 record. Natural History; University School Type of organization: Law Community Advisory Committee In the news: “In the midst of a challenging investment environment, the Midwest continues to attract interest from investors,” Nerpouni said in a July news release. Named president last year, Nerpouni was 2013 reflecting on the news that Cleveland PlayhouseSquare health care startups attracted more Real Estate Services investments in the first half of 2013 Nesco Resource, one of the fastest growing large completed over than those in any other Midwestern city. staffing firms in the USA, has been recognized for Accurate Group Holdings, LLC the past two years as Best of Staffing from Inavero 20 CTPartners STEPHEN D. NEWLIN for both categories of Client and Talent. transactions Dix & Eaton Incorporated Chairman, president, CEO PolyOne Corp. totaling over The Equity Engineering Group • Staffing expertise in Engineering, Technical, Light Industrial and Avon Lake • Staffing expertise in Engineering, Technical, Light Industrial and volume Hylant Group, Inc. Age: 60 on-sitevolume delivery on-sitein the manufacturing delivery in andthe automotivemanufacturing industries. and automotive industries. Nexus Engineering Group, LLC Type of • National scope with 72 offices in 16 states. organization: • National scope with 72 offices in 16 states. 250,000 Westlake Reed Leskosky Specialty polymer Visit us at www.nescoresource.com for more square feet including Zashin & Rich Co., L.P.A. materials, services Visit us at www.nescoresource.com for more and solutions information and to contact your nearest branch. Involvement: information and to contact your nearest branch. Oshkosh Corp.; Black Hills Corp.; For more information on our Tenant Greater Cleveland Partnership; Ohio Representation capabilities, please Business Roundtable; Firestone Country contact Allen Wiant or Joe Fegen Club In the news: When PolyOne announced PlayhouseSquare Real Estate Services 216-640-8700 early this year a further realignment of a full service commercial real estate company assets the company acquired as part continued on PAGE P-9 20140217-NEWS--29-NAT-CCI-CL_-- 2/13/2014 3:53 PM Page 1 FEBRUARY 17 - 23, 2014 POWER 150 CRAIN’S CLEVELAND BUSINESS P-9 of its $393 million deal for Spartech permits to build projects — among History JIM RENACCI* RONALD B. RICHARD Corp., Newlin said the company re- them a convention center, a minor- In the news: “I think there are many U.S. representative, Republican, President, CEO mains “extremely pleased with the league baseball stadium and new and more companies and ideas that are 16th District The Cleveland Foundation Spartech acquisition.” He added, “We renovated office buildings.” percolating in the region … than I think U.S. House of Cleveland continue to see upside opportunities there is adequate capital to support Representatives Age: 58 to expand our portfolio of offerings them,” Rankin told Crain’s in STEVE POTASH Wadsworth Type of and better serve our customers, and September. Funds like his, he said, CEO Age: 55 organization: we remain committed to delivering 50 face the challenge of venture capital OverDrive Inc. Type of Nonprofit cents of EPS (earnings per share) ac- firms having had a hard time raising Garfield Heights organization: Involvement: cretion from the deal in 2015.” money lately. Age: 61 Government Lake Erie Energy Type of Involvement: Development RICHARD M. OSBORNE* organization: As a member of Corp.; Cleveland Real estate developer (primarily Supplier of Congress, Rep. Renacci is prohibited School of Science and Medicine; Lake County) ebooks to from sitting on the boards of outside Hispanics in Philanthropy; Evergreen President, CEO; libraries, schools organizations. Cooperative Corporation; NewBridge Gas Natural Inc. and booksellers In the news: Early this year, Renacci Cleveland - Center for Arts Mentor Involvement: Cleveland-Marshall promoted a program that would allow & Technology Age: 68 College of Law; Friends of Cleveland states to use unemployment insurance In the news: The Cleveland Type of Public Library; Park Synagogue money for programs that would make Foundation is celebrating its centennial organization: In the news: Already having grown its it possible for recipients to collect pay in 2014 by offering gifts, such as free Single-family staff to 200 from 130 two years ago, CHARLES A. RATNER; while getting on-the-job training, RTA rides, to the community dwellings; natural OverDrive continued to hire last year, ALBERT B. RATNER according to a story in The Plain throughout the year. The organization gas public utility according to Potash. He also told Chairman of the board; Dealer. According to news reports, also announced plans to create a Involvement: N/A Crain’s in April 2013 that he expected co-chairman emeritus Renacci returned campaign contribu- program to help people near In the news: Two subsidiaries of Gas the company, which operates from Forest City Enterprises Inc. tions after allegations were made retirement use their skills to help the Natural came under fire last year from new headquarters, to process its 200 Cleveland about illegal campaign finance activi- community and signed on as the the Public Utilities Commission of millionth checkout last summer. Ages: Charles, 72; Albert, 86 ties on the part of the donor. first-ever presenting sponsor for the Ohio, which ordered an investigative Type of organization: Real estate Gay Games. audit of them and all related parties, BILL PRIEMER* Involvement: Charles — RPM GLENN RENWICK citing concerns about the companies’ President, CEO International Inc., Greater Cleveland Chairman, president, CEO JOE ROMAN internal controls and alleged Hyland Software Partnership, United Way of Greater The Progressive Group of President, CEO self-dealing by management, which Westlake Cleveland, Jewish Federation of Insurance Companies Greater Cleveland Partnership includes members of the Osborne Age: 46 Cleveland, Musical Arts Association; Mayfield Village Cleveland family. The companies filed for a Type of Albert — Shoes and Clothes for Kids; Age: 58 Age: 57 rehearing, but their application was organization: Henry M. Jackson Foundation; Global Type of Type of denied in January. Computer Cleveland, Quality Electrodynamics, organization: organization: software, Governor’s Executive Workforce Property and Chamber of enterprise con- Board casualty insurance commerce tent management In the news: With their roles at Forest Involvement: Involvement: Involvement: City changing, the Ratners are Fiserv Inc.; United Cleveland Metro- Business Volunteers Unlimited remaining visible and active in the HealthGroup politan Bar Asso- In the news: When it was announced philanthropic and charitable circles In the news: ciation; Cleveland that Priemer would assume the top locally and nationally. Charles Ratner Progressive made Development Advisors; Rock and Roll role at Hyland Software early last year, was with a group that met with Israeli big moves to hire in 2013. In the fall, Hall of Fame and Museum; United Way his predecessor, A.J. Hyland, de- Prime Minister Benjamin Netanyahu a the company announced plans to hire of Greater Cleveland; Great Lakes scribed him as “a phenomenal commu- year ago. Albert Ratner is on the 900 employees across the country, Metro Chambers Coalition nicator, a brilliant strategist and a gal- board of Global Cleveland and has including 200 in the Cleveland area. In the news: The Greater Cleveland vanizer of people to get things done.” been vocal repeatedly over the Renwick was elected by the Partnership will be leading up the cam- KAREN M. PAGANINI; Priemer said at the time that Hyland last year for the city to increase its company’s board of directors to the paign for a 20-year extension of the DOUGLAS E. PRICE III Software will push ahead with existing attractiveness to immigrants to additional role of chairman following city’s sin tax. The tax, which supports President/CEO plans to buy other content manage- boost the region’s economic the death of previous chairman Peter Cleveland’s sports facilities, will be on K&D Management LLC ment software companies and to ex- development. B. Lewis. continued on PAGE P-10 Willoughby pand sales in other countries. Age: Karen, 57; Douglas, 57 Type of organization: Apartment JOE PULIZZI* owners, managers and developers Founder Involvement: Paganini — Andrews Content Marketing Institute Osborne Academy, Downtown Cleve- Cleveland Success Depends on land Improvement Corp., National Age: 40 Apartment Association; Price — Men- Type of tor Harbor Yachting Club, Northeast organization: Staying Ahead of the Pack Ohio Apartment Association Education and In the news: Helping to drive the training remaking of Cleveland’s former Involvement: financial district as a mixed-use The Press Club of neighborhood, K&D is at work Cleveland; Easter converting to apartments the vacant Seals Northern Ohio 21-story office building that once In the news: Pulizzi announced in Jan- housed East Ohio Gas Co. It plans to uary another blockbuster speaker for open the first of 223 apartments this the Content Marketing Institute’s annu- July in a project it’s calling the al Content Marketing World event: Residences at 1717, reflecting the Kevin Spacey, the star of “House of 1717 E. Ninth St. address. Cards.” Last year’s event featured William Shatner and drew 1,700 DON PLUSQUELLIC marketing and public relations profes- Mayor sionals to Cleveland’s new convention City of Akron center from 46 countries. He is an Akron “influencer” on LinkedIn, and Age: 64 he is a contributing author for Type of Entrepreneur.com. organization: Government CLAIBORNE ‘CLAY’ Involvement: R. RANKIN U.S. Conference of Mayors; Akron Managing Tomorrow; National League of Cities; member Missy Vaselaney Summit County Mayors Association; North Coast Mayors for Peace Angel Fund At Taft, we help our clients move In the news: According to a story in Cleveland June in The New York Times about Age: 63 forward to reach their goals Akron’s retention of Goodyear Tire Type of & Rubber Co., Plusquellic “is de- organization: scribed by his aides and business Early stage venture capital executives as a master at recruiting Involvement: SironRX Therapeutics 200 Public Square / Suite 3500 / Cleveland, OH 44114 developers, negotiating for state and Inc.; Neuros Medical Inc.; LogicBay federal funds for infrastructure and at Corp.; Hyster-Yale Materials Handling (216) 241-2838 / www.taftlaw.com efficiently reviewing and approving city Inc.; Cleveland Museum of Natural 20140217-NEWS--30-NAT-CCI-CL_-- 2/13/2014 4:01 PM Page 1 P-10 CRAIN’S CLEVELAND BUSINESS POWER 150 FEBRUARY 17 - 23, 2014 the ballot in May. “We obviously have redefining itself and made some sales Involvement: County Port Authority; Ohio Public Involvement: a lot of education to do,” Roman said. to move from more of a commodity- Positive Coaching Employees Retirement System; American Filtration “This is about so much more than a based company to a technology- Alliance, Motorists Insurance Group (Columbus); Society; American scoreboard. These are facilities you based one. In 2013, OM Group sold Cleveland Greater Cleveland Partnership; Lake Water Works own, that we — Cuyahoga County res- its Advanced Materials business and chapter; Ridge Academy Association; idents — own.” its Ultra Pure Chemicals subsidiaries Positively In the news: In 2013, Ohio Treasurer Wayne Center for for $325 million in cash and about Cleveland; Recov- Josh Mandel appointed Smith to the the Arts Board; CHRIS RONAYNE $63 million in net cash considerations, ery Resources Ohio Public Employees Retirement Wooster respectively. In the news: System as an investment expert. He Community Hospi- President tal’s WooMan Board; Ebeneezer Lodge University Circle Despite a strong season from the previously served on the OPERS Board Cleveland Indians, which included a from 2004-2007. He chairs the No. 33 Free and Accepted Masons Inc. ROBERT N. SCHMIDT In the news: ABS is the maker of Cleveland Chairman, CEO, founder brief trip to the playoffs, attendance Investment Committee. was low. “I think the largest driver of Osorb, an engineered glass material, Age: 45 Cleveland Medical Devices Inc.; and systems using Osorb. The product Type of Orbital Research Inc.; NeuroWave our attendance numbers are tied to our market size,” Shapiro said to BARBARA R. SNYDER and systems rapidly recover or destroy organization: Systems Inc.; Flocel Inc.; Great persistent environmental contaminants Crain’s in September. “The second President Nonprofit, Lakes NeuroTechnologies Inc. from water, including solvents, petrole- factor is we need to get a greater Case Western Reserve University development and Cleveland area um products, pharmaceuticals, pesti- number of season tickets or advanced Cleveland advocacy Age: 65 cides, biocides and many synthetic purchases in a city where so few Age: 58 corporation Type of volatiles. The company garnered media people live and work downtown.” Type of Involvement: Holden Parks Trust; organization: organization: attention for its technology and its abili- Cleveland-Cuyahoga County Port Medical and ty to clean up polluted water through- THE REV. HILTON Higher education Authority; Positively Cleveland; Notre electronic Involvement: out the year, then in November it an- nounced it had successfully raised $4 Dame College; Ohio Canal Corridor devices, control O. SMITH* Association of million in new financing to continue its In the news: University Circle Inc. is systems President American expansion. looking to encourage business Involvement: NAACP, Universities; development and will be sponsoring a National Small Business Association; Cleveland Business-Higher program called “NextStep: Strategies Small Business Technology Council; branch Education Forum; BioEnterprise; DR. JONATHAN S. STAMLER* for Business Growth” later this year. IEEE-USA; Ohio Aerospace Institute; Cleveland Greater Cleveland Partnership; Musical Director, Institute for Transforma- The seven-month program will expose Washington University, St. Louis Age: 67 Arts Association tive Molecular 15 small business owners to all facets In the news: In December, Cleveland Type of In the news: Snyder summed up Medicine, Case of business development. Medical Devices was awarded a organization: how things were going at CWRU in a Western Reserve $1 million loan from the Ohio Third Civil rights June Crain’s article: “These are University/Uni- WALT ROSEBROUGH Frontier Commission to expand the Involvement: University Hospitals; exciting times at Case Western versity Hospitals President, CEO, board member commercialization of the company’s United Way; United Negro College Reserve — applications are Case Medical Steris Corp. SleepView testing system for sleep Fund; Prince Hall Shriners Foundation; skyrocketing, our capital campaign is Center Mentor apnea. Clear Channel’s Community Advisory thriving and our faculty continue to do Director, Har- rington Discov- Age: 60 Board groundbreaking work. And (recently) we ery Institute, UH Type of IVAN SCHWARZ* In the news: In 2012, Smith was announced a collaboration with the Case Medical Center, Cleveland organization: President elected to a two-year term as Cleveland Clinic to construct a Age: 54 Manufacturing, Greater Cleveland Film president of the Cleveland branch of state-of-the-art medical building. I am Type of organization: Biotechnology the NAACP, becoming the group’s first committed to seeing through all of health care Commission Involvement: N/A new president in 20 years, according these initiatives underway and Involvement: Cleveland In the news: The Harrington Discovery to The Plain Dealer. Smith also has AdvaMed; Greater Age: 52 identifying new opportunities for Institute at UH Case Medical Center in been in the news for his stance on the Cleveland Partner- Type of progress. I am proud to be president of December awarded grants to 11 Trayvon Martin shooting case and ship; Health Insights; Rock and Roll organization: Case Western Reserve and intend to physician-scientists, who each could worked with Cuyahoga County to Hall of Fame and Museum; CCI Film, economic continue in this role for many years to receive up to $200,000 over two Healthcare Executive Forum development launch the Sheriff Department’s “Strate- come.” years. “Our overall goal is to build a In the news: Last year, Steris made Involvement: gies Against Violent Encounters,” which network of physician-scientists across the top five in Crain’s Superstar 10 N/A focuses on self-defense. STEPHEN SPOONAMORE the nation on the front lines of drug list, a list that measures factors such In the news: Last year was a big year Co-founder/SVP of business development,” Stamler stated in a news as 12-month return to shareholders for the film commission, as Cleveland RICKY D. SMITH development release announcing the awards. “When and percentage change in profits saw “Draft Day,” “Captain America: Director ABSMaterials, Inc. fully scaled, the Harrington Discovery year-to-year. In 2012, privately held The Winter Soldier” and a number of Department of Port Control, City Wooster Institute plans to have the capacity to US Endoscopy, founded in 1991, sold smaller movies filmed around the of Cleveland Age: 49 develop 40 drug therapies its business to Steris in a $270 million region. In 2012, the state voted to Cleveland Type of organization: Advanced simultaneously every three years.” all-cash transaction. raise the Ohio Motion Picture Tax Age: 51 materials continued on PAGE P-11 Credit to $20 million a year. Type of JONATHON SAWYER organization: Chef/owner BAIJU R. SHAH Government, Greenhouse Tavern, Noodlecat, CEO transportation Tavern Vinegar Co., SeeSaw BioMotiv Involvement: Pretzel Shoppe, Sawyer’s Street Shaker Heights American Associ- Frites Age: 42 ation of Airport Executives; Cuyahoga Cleveland Type of Valley Scenic Railroad; Airports Coun- Age: 33 organization: cil International — North America; the Type of Biotechnology U.S. National Freight Advisory Com- organization: company mittee; Journey Foundation Food and Involvement: In the news: On Feb. 1, United Air- beverage Global Cleveland; The Harrington lines announced plans to drop its Involvement: Project for Discovery & Development; Cleveland hub and cut 470 jobs. Green Restaurant Great Lakes Science Center; Smith told city council that the end of Association; James Beard Foundation; Positively Cleveland; United Way the hub arrangement and the special Slow Food, National Restaurant of Greater Cleveland treatment accorded United because Association; Northern Food Alliance In the news: After leading of its dominant position at Hopkins will In the news: Sawyer and his wife BioEnterprise Corp., Shah in summer free his business development staff to ventured into crowdfunding at the 2012 announced he would leave market Hopkins more vigorously to start of the new year, turning to his position as president of the highly competing airlines. “We didn’t pursue Kickstarter for help launching their visible biomedical business some opportunities as aggressively as new restaurant, Trentina. The cam- accelerator to become CEO of we can now,” he told council. “We will paign surpassed its goal of $21,999 BioMotiv. In 2012, BioMotiv started see new service; I am confident of in less than a week. with the goal of reducing the cost of that.” In 2013 overall, the airport re- drug development by helping to ported a slight increase in passenger JOSEPH SCAMINACE bridge the gap between research traffic. institutions and investors. Since Chairman, CEO then, the company has formed ROBERT OM Group Inc. partnerships, such as that with Cures C. SMITH Cleveland Within Reach, and created spinoff Age: 60 companies such as Orca President, CEO Type of Pharmaceuticals. Spero-Smith organization: Investment Manufacturing, MARK SHAPIRO* Advisers Inc. specialty Beachwood chemicals, battery President Age: 61 technologies, industrial products Cleveland Indians Type of organization: Investment Involvement: The Cleveland Clinic; Cleveland management firm, wealth Parker Hannifin Corp.; Cintas Corp. Age: 46 management, financial planning In the news: OM Group has been Type of organization: Sports Involvement: Cleveland-Cuyahoga 20140217-NEWS--31-NAT-CCI-CL_-- 2/13/2014 4:14 PM Page 1 FEBRUARY 17 - 23, 2014 POWER 150 CRAIN’S CLEVELAND BUSINESS P-11 ROBERT STARK* East Bank and, more recently, the Uni- cities, hosted “The Chew” on television we’ve brought on, and the mid- and GIL VAN BOKKELEN versity Hospitals Health System expan- (including an episode from Cleveland senior-level team members we’ve also President, CEO CEO sion and the renovation of the Westin Heights,) and was nominated for a sec- added in the past two years.” Stark Enterprises Athersys Inc. Cleveland Downtown hotel. ond James Beard Award. Cleveland Cleveland Age: 62 WARD J. (TIM) TIMKEN JR.* Age: 53 FRANK C. SULLIVAN EDDIE TAYLOR Type of Chairman Type of organization: Chairman, CEO President The Timken Co. organization: Commercial real RPM International Inc. Taylor Oswald LLC Canton Medical therapy estate Medina Cleveland Age: 46 developer Involvement: Age: 53 Age: 48 Type of Involvement: International Type of Type of organization: Lerner Research Institute; Case Council of Shop- organization: organization: Manufacturer Western Reserve University Visiting ping Centers; Fuchs Mizrachi School; Specialty Insurance Involvement: Committee on Technology Transfer Great Lakes Theater coatings Involvement: Pella Corp.; Team In the news: Athersys’ stock price has In the news: Stark Enterprises is Involvement: Greater Cleveland NEO; American Iron and Steel more than doubled since November. It expanding its portfolio with $400 U.S. Chamber of Partnership Institute; National Association of could be because investors are getting million in new development in North- Commerce; The Commission on Manufacturers Executive Committee; excited about results from two ongoing east Ohio’s prime shopping districts. Cleveland Foundation; Rock and Roll Economic Inclusion; Greater Cleveland Timken Charitable Trust clinical trials. One is an adult stem cell New development includes Crocker Hall of Fame and Museum; Ohio Sports Commission; College Now In the news: Tim Timken’s title is product for stroke patients that Park’s 1.1 million-square-foot Phase III Business Roundtable; Greater Greater Cleveland; Ohio Foundation of about to change, as The Timken Co. is analysts say could transform the way expansion, the new development Cleveland Partnership Independent Colleges; Allegheny in the process of spinning off its steel stroke is treated, if it works. of land adjacent to Eton Chagrin In the news: RPM and Sullivan College business, which will be called Timken- Boulevard as well as a new received media attention in 2013 for In the news: Taylor has been Steel Corp. When the spinoff is com- DANIEL WALSH the company’s rising earnings, along recognized as a top local executive and 234,000-square-foot, grocery- plete, Tim Timken will become chair- President, with the company’s acquisition of his company and its parent, Oswald anchored, main street center, Portage man and CEO of the new company. Greater Minnesota-based Citadel Restoration Companies, continue to expand. In Crossing in Cuyahoga Falls. Cleveland region and Repair and the terrazzo tile May, Oswald Cos. acquired Huntington maker, Expanko Inc., of Pennsylvania. Westlake-based McManamon Financial TOM TYRRELL MARC A. STEFANSKI National Bank Services, a firm specializing in group Chairman, CEO CEO, chairman Cleveland benefits insurance. Third Federal ROGER SUSTAR Great Lakes Biomimicry Age: 45 Savings & Loan Founder, CEO Cleveland Type of Cleveland Fredon Corp. JASON THERRIEN Age: 69 organization: Age: 59 Mentor President Type of Bank Type of Age: 70 thunder::tech organization: Involvement: Greater Cleveland Part- organization: Type of Cleveland Nonprofit nership; Group Plan Commission; Posi- Banking organization: Age: 35 Involvement: tively Cleveland; Rock and Roll Hall of Involvement: Manufacturing Type of Segmint Inc.; Fame and Museum; Playhouse Square New Directions; The Cleveland Social Involvement: organization: NorTech; Lorain In the news: Huntington Bank by far Exchange AWT Foundation Marketing County Community made more local loans backed by the In the news: Third Federal Savings (Alliance for Working Together); Involvement: College Foundation; LCCC Innovation U.S. Small Business Administration than & Loan celebrated its 75th anniversary Legatus; Mentor Area Chamber of Youth Opportuni- Fund; Cleveland Zoological Society any other bank during the fiscal year in 2013. Stefanski, the founders’ son, Commerce, Mentor Rotary; National ties Unlimited (Y.O.U.); Positively In the news: GLBio is raising money to ending Sept. 30, 2013. Huntington has grown the company from a Tooling & Machining Association Cleveland; Business Marketing fund fellowships that allow graduate issued 853 SBA loans totaling $96.2 $2 billion local S&L in 1987 to an $11 In the news: Aside from commenting Association of Northeast Ohio; students to teach local businesses and million. billion regional thrift with branch on all matters affecting manufacturing Cuyahoga County Community students the value of biomimicry, the offices in Ohio and Florida and in a variety of media, Sustar also has Improvement Corporation Board; concept of copying ideas found in na- TOM WALTERMIRE mortgage lending in 14 states. gained headlines for working with high multiple businesses ture. The nonprofit also is recruiting al- school students interested in industrial In the news: “Our growth plan is being lies to help fund the organization and CEO THOMAS STRAUSS jobs, principally through the AWT executed,” Therrien said, in announcing spread the concept in other ways. “Na- Team NEO organization that he helped found. his company’s latest round of hiring, ture’s solved every problem that there Cleveland President, CEO when seven staffers were added last is out there,” Tyrrell said to Crain’s this Age: 64 Summa Health System summer. “It says a lot about the people past July. continued on PAGE P-12 Akron MARYROSE SYLVESTER Age: 61 President, CEO Type of GE Lighting organization: East Cleveland Health care Age: 48 Involvement: Type of Akron Tomorrow; organization: Greater Akron Manufacturing Chamber; BioEn- Involvement: terprise; Akron National Electrical Regional Hospital Association; Team Manufacturers Association; Foundation Congratulations NEO Fighting Blindness; Greater Cleveland In the news: Summa had a big year in Partnership; United Way of Greater 2013, bringing on new executives and Cleveland; Case Western Reserve receiving the largest gift — $4 million University Dr. Alex Johnson — in the organization’s history. In In the news: PlayhouseSquare September, it sold a 30% interest in Foundation and GE Lighting last year President itself and became one of four entities announced the construction of the Cuyahoga Community College to make up a new inter-hospital world’s largest outdoor chandelier for alliance known as Health Innovations downtown Cleveland. Sylvester said Ohio. the company is “proud to be the exclusive sponsor of STEPHEN STRNISHA* PlayhouseSquare’s iconic chandelier and also play a significant role in CEO lighting the theater district with Crain’s Cleveland Business Cleveland International Fund innovative, energy-efficient LED Cleveland lighting. “ Power 150 Age: 53 Northeast Ohio Type of MICHAEL SYMON organization: Private equity fund Chef/restaurant owner, television (utilizing the EB-5 host, author program to attract Michael Symon immigrant Restaurants, investment funds) ABC’s “The Involvement: Association to Invest in Chew,” Food USA; City of Shaker Heights’ Economic Network, Development Task Force; Village Cooking Capital Corp.; Shaker Heights schools; Channel Ohio advisory committee, Council of Cleveland Development Finance Agencies Age: 44 Type of organization: Food and In the news: In addition to Where futures beginSM reorganizing the fund and moving it beverage downtown, Strnisha has helped guide Involvement: Autism Speaks the fund’s investment in several In the news: In the last year, Symon high-profile projects, including the Flats has expanded his restaurants to more 20140217-NEWS--32-NAT-CCI-CL_-- 2/13/2014 4:27 PM Page 1 P-12 CRAIN’S CLEVELAND BUSINESS POWER 150 FEBRUARY 17 - 23, 2014 Type of school, his alma mater, renamed the PAUL WESTLAKE JR. Metropolitan School District Rows; organization: program the Washkewicz College of Cleveland State University Levin School Managing principal HOW THEY Nonprofit Engineering. Visiting Committee Westlake Reed Involvement: In the news: The nonprofit helped fund WERE SELECTED Leskosky Ohio Third the growing Prism program run by Cleveland Frontier; Cleveland Magnet, the local manufacturing There were no specific criteria Age: 60 Orchestra; advocacy group. The program used in selecting the “Power 150,” Type of Deaconess connects midsize manufacturers with nor were they chosen through a organization: Foundation; Baldwin Wallace resources throughout the region. nomination process. Architect University; ideastream “Manufacturing is not only in our past,” Rather, the editorial staff Involvement: In the news: Last year, Team NEO Whitehead said to Crain’s last August. collectively gathered names, Maltz Museum of attracted a record 16 companies to “It’s very much in our future. It’s in our taking into consideration each Jewish Heritage; Cleveland Orchestra; Northeast Ohio. They represent nearly DNA.” person’s role in Northeast Ohio Blossom Music Center; Cleveland 1,400 new jobs and more than $85 and that of their organization. An JEFFREY WEISS, Museum of Art; Lakeview Cemetery million in payroll. ERIC WOBSER effort also was made to include a ZEV WEISS In the news: Westlake Reed range of people, businesses and Executive director Co-chief operating officers Leskosky, a firm known for its historic industries. DONALD E. WASHKEWICZ Ohio City Inc. American Greetings Corp. preservation specialty, did early In some instances — as was Chairman, CEO, president Cleveland Brooklyn design work related to the renovation the case with Sandra Pianalto, Parker Hannifin Age: 35 Age: Zev, 47; Jeffrey, 50 of the lobby at 200 Public Square, president, CEO, Federal Reserve Corp. Type of Type of business: Consumer one of downtown Cleveland’s most Bank of Cleveland; Lester Lefton, Mayfield Heights organization: products, services prominent buildings. The firm also is president, Kent State University; Age: 63 Community Involvement: Zev — United Way of pursuing work in a new market: Africa. and Luis Proenza, president, Type of development Greater Cleveland, Jewish Federation University of Akron — a planned Organization: Involvement: of Cleveland, Fuchs Mizrachi School; BRAD WHITEHEAD departure from a position of Manufacturer Downtown Jeffrey — Cleveland Orchestra, President leadership resulted in exclusion Involvement: Cleveland Alliance Cleveland Institute of Art, Genius The Fund for from the list. Greater Cleveland In the news: Wobser oversees Brands our Economic Professional and civic Partnership; Manufacturers Alliance economic development initiatives in one In the news: In August, the Weiss Future organization involvement was for Productivity and Innovation; of Cleveland’s hottest neighborhoods. family completed a deal to pay more Cleveland limited to five listings per person National Fluid Power Association; He’s a proponent of adding more than $600 million to acquire Age: 53 for space considerations. National Association of Manufacturers family-friendly activities in Ohio City. American Greetings, putting the Type of The “Power 150” list is an up- In the news: Washkewicz and his Last year, he resigned from his post on company back in the hands of its organization: dated version of the “Who’s Who” wife, Pamela, joined the Parker the Cleveland school board; He also Hannifin Foundation in donating $10 founding family. The company, which Nonprofit published in 2012. New listings has been mentioned as a potential million to Cleveland State University had been publicly traded, still plans to Involvement: Ohio Venture Capital are designated with an asterisk. candidate for the Cuyahoga County and its engineering program, which move to Crocker Park in Westlake, Authority; Brookings Institution executive post, although Wobser did equals the largest gift the university though those plans were delayed by Metropolitan Advisory Council; not cite that as a reason for his has ever received. In response, the the purchase. OneCommunity; Cleveland resignation, according to The Plain THOMAS F. ZENTY III Dealer. CEO SCOTT WOLSTEIN University Hospitals Cleveland Presented by President, CEO Age: 58 Wolstein Group Type of Moreland Hills organization: Age: 61 Health care Type of Involvement: organization: Captive Insurance Real estate Corp.; Ohio Execu- developer tive Workforce; CIO Involvement: Greater Cleveland Partnership; Ohio HELP; Case Business Roundtable OF THE YEAR Western Reserve In the news: Lately, UH has been University; United Way of Greater rolling other hospitals into the UH Cleveland; Greater Cleveland system, including Parma Community Tuesday, April 15, 2014 Partnership; Real Estate Roundtable General and EMH Healthcare in Elyria, In the news: Along with Fairmount and it aims to do the same with 2014 5:30pm - 8:30pm | LaCentre in Westlake Properties, the Wolstein Group is Robinson Memorial in Portage County. leading the Flats East Bank redevelop- “It’s not uncommon for hospitals in ment project. Ernst & Young Tower, the today’s environment to be challenged first new downtown skyscraper in 20 economically,” Zenty said. “Based on years, had little trouble attracting what we saw in the (request for tenants, and last month the group proposal for suitors) from Robinson, we received regulatory approval to begin can do some things to immediately to TICKETS ON SALE NOW! construction on a 243-unit apartment help their financial situation.” building, which also will contain retail To purchase tickets, visit: space. TOM YABLONSKY CrainsCleveland.com/CIO Executive vice president Downtown Cleveland or contact: Alliance; Historic Gateway Neighborhood; Kim Hill at [email protected] or 216-771-5182 Historic Warehouse District Co-Presented by Lifetime Achievement Sponsor Cleveland Age: 58 Type of organization: Nonprofit Involvement: Ohio & Erie Canalway Association; Ohio Canal Corridor; Heritage Ohio; Cleveland State Cocktail Reception Sponsor University College of Liberal Arts and Social Sciences visiting committee Video Sponsor Supported by In the news: Yablonsky manages organizations that at the moment are Display Sponsor working to capitalize on a growing demand for downtown real estate. For instance, he’s been involved in long-running discussions about a proposal to turn the “superblock” of parking spaces between West Third The CIO of the Year Awards are presented as part of NEOSA’s Tech Week. and West Sixth streets into a bus For more information visit NEOSATechWeek.com transit hub. 20140217-NEWS--33-NAT-CCI-CL_-- 2/14/2014 2:56 PM Page 1 FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 33 Data: Report said Cleveland was lone large metro area to lose jobs in 2013 continued from PAGE 5 media, and it rarely makes head- “Our first mission is to try Kenneth Poole, CEO of the Cen- while he was traveling. “There are a for the country and, secondarily, for lines because the information is rel- to convince everybody to ter for Regional Economic Compet- lot of issues here.” He said he’s the 50 states and 372 metropolitan atively out of date. itiveness, a nonpartisan think tank working on ways to blend the two areas. But it goes further to include So while the CES reported in ear- ignore this stuff.” for regional economic develop- data sources together to provide lo- estimates of the numbers of people ly August a loss of 6,900 jobs in the – Tom Waltermire, CEO of Team ment based in Arlington, Va., said cal news organizations with a more employed. Cleveland metro area between June NEO, on CES job data in an email, “To some degree, the accurate picture of employment. After reporting an estimate of the 2012 and June 2013, the recently re- issue can be tied to BLS’ national The Clevelanders acknowledge percentage of people who were un- leased QCEW shows a gain of 8,963 acknowledges the sample size for focus (where they tried to make that BLS works continually to adjust employed, the most recent CES news jobs over the same time frame. any metro is considerably less ac- sure all the state estimates add up and refine the CES survey to keep it release on Feb. 5 reported that by the Similar discrepancies appear in curate. Indeed, it doesn’t really to the national number) and the as accurate as possible and that the end of December, 294 metro areas other months, and the Cleve- claim any level of accuracy. states’ more local focus. It is a sim- Cleveland metro may find the next had employment gains, 67 had de- landers believe the more recent job “Measures of sampling error are ple saga of limited resources and revisions could overstate the local creases and 11 had no change in the losses reported in the CES will van- not available for metropolitan ar- control over the statistics being re- employment numbers, which number of people employed com- ish when the QCEW information eas,” is the qualification BLS in- leased.” would make the city look better to pared with numbers from December becomes available. cludes in the small type in its press Keith Phillips, a researcher at the business investors. But they say they 2012. The news release then went on BLS said it believes its national releases and other reports. Federal Reserve Bank of Dallas, has will push for a fair solution. to say, “The only large area that had sample is sufficiently large to sup- written about his own concerns “Our first mission is to try to con- an over-the-year percentage de- port the national estimates. How- Just ignore it about the BLS data. vince everybody to ignore this crease in employment was Cleve- ever, since it breaks down that sam- Clevelanders aren’t the only ones “I don’t believe it’s a conspiracy,” stuff,” Waltermire said. “We will try land-Elyria-Mentor, Ohio, (-0.6%).” ple into 372 metro areas, it looking for better numbers. Phillips said in a voice mail sent to get BLS to change.” ■ That report led to news stories across the region, such as an Akron Beacon Journal story headlined, “Cleveland region loses more jobs than any metro area in the nation; Akron area gains jobs.” But the staffs of both Team NEO, and Cleveland State’s Maxine Good- man Levin College of Urban Affairs say those stories are based on low- quality information that is quietly re- vised, though publicly released, IT’S BACK months later. “(That) estimate is so unreliable,” said Tom Waltermire, CEO of Team NEO. The numbers, he said, “are just not worth doing anything with from a news standpoint.” Added Edward “Ned” Hill, dean of Presented by: the urban college: “BLS knows that the errors in these data are quite large and are due to the way they do their sample. Releasing this data for public consumption is irresponsible.” Both Hill and Waltermire cite re- vised reports from earlier in 2013 that turned Cleveland-area job losses into a job gain. In one month in 2013, for instance, they saw a loss of 6,900 jobs in the Cleveland metro area revised into a gain of nearly 9,000 jobs. Hill, Waltermire and members of their staffs made the case for their complaint to Crain editors last Tues- Achievements in day, Feb. 11. They are concerned, Human Resources Hill said, that businesses making de- cisions about where to expand will pay attention to what he believes are flawed estimates triggering news sto- ries that “affect investment deci- sions, political campaigns and the Crain’s and Howard & O’Brien Executive Search are proud to perception of investment risk.” The Bureau of Labor Statistics did not respond to an email sent late last continue the tradition of honoring the champions of NE Ohio’s week about the CSU and Team NEO complaints. A recorded voice mes- outstanding human resources community. sage at the BLS press office said the office was closed due to bad weath- er in Washington, D.C. Nerdy talk Premier Sponsor: Co-Presented by: Video Sponsor: Display Sponsor: Jacob Duritsky, Team NEO’s man- aging director of research, compared the CES data with another separate- ly compiled program from BLS, the Quarterly Census of Employment and Wages, or QCEW. The CES, according to the BLS website, surveys about 5% of the country’s businesses, primarily to come up with an estimate of unem- ployment and the jobs gained or lost nationally. The CES data for a given month is released about five weeks After taking an extended leave of absence, whereexactly has Archer been? after the end of that month, and while BLS advises that the data is subject to revision, it is this report Visit our “Where Is Archer?” page to take a guess! that makes headlines. The Clevelanders say the QCEW data are the more accurate measure of job gains and losses. QCEW data are based on a census of 98% of all CrainsCleveland.com/WhereIsArcher employers. But the QCEW informa- tion isn’t available until five months after the CES data is released to news 20140217-NEWS--34-NAT-CCI-CL_-- 2/14/2014 10:43 AM Page 1 34 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 LARGEST 2013 NE OHIO PHILANTHROPIC GIFTS RANKED BY GIFT AMOUNT(1) Development contact Phone number Rank Recipient Donor Gift amount Gift date Purpose of the gift Connection to recipient Support of science facility and scholarship and Laurie K. Houck 1 College of Wooster Ruth Williams and A. Morris Williams Jr. 15,000,000 Oct. 5, 2013 professorship endowments Board member (330) 263-2583 (2) Sept. 25, Volunteers, grateful Armando Chardiet 2 Cleveland Clinic Anonymous 10,000,000 2013 Medical education building patients (216) 444-1245 March 31, Armando Chardiet 2 Cleveland Clinic Anonymous 10,000,000 2013 Miller Family Heart & Vascular Institute Trustee, grateful patient (216) 444-1245 November Longtime friends of the August A. Napoli Jr. 2 Cleveland Museum of Art Anonymous 10,000,000 2013 Various programs and projects museum (216) 707-2595 Donald and Pamela Washkewicz and Parker Nov. 19, Engineering education, research, innovation, Alumnus, generous Berinthia R. LeVine 2 Cleveland State University Hannifin Corp. 10,000,000 2013 scholarships and state-of-the-art renovations supporter of CSU (216) 523-7275 To establish an endowment fund to support the donor's 6 Community Foundation of Lorain County Louise Jakmas 9,189,000 January 2013 charitable passions and to address the most critical Longtime donor Brian R. Frederick needs of the community (440) 984-7390 Jack, Joseph and Morton Mandel Family Programs in social work, nonprofit leadership and Longtime supporter and Lawrence Gibson 7 Case Western Reserve University Foundation 8,000,000 April 2013 community engagement donor (216) 368-4352 September Lawrence Gibson 8 Case Western Reserve University Anonymous 7,750,000 2013 Programs in art history N/A (216) 368-4352 Dec. 20, Sherri Bishop 9 University Hospitals Dr. Donald J. and Mrs. Ruth A. Goodman 7,744,473 2013 Goodman-Weber cancer and cardiovascular projects Generous benefactor (216) 983-2200 September August A. Napoli Jr. 10 Cleveland Museum of Art Anonymous 7,500,000 2013 Endowment Trustee (216) 707-2595 Feb. 28, Kathy and Les Coleman Clinical Trials Center Generous benefactor, Sherri Bishop 10 University Hospitals Kathleen A. Coleman 7,500,000 2013 endowment volunteer (216) 983-2200 September Financial support for outstanding MBA students Lawrence Gibson 12 Case Western Reserve University Char and Chuck Fowler 6,000,000 2013 interested in learning about sustainable values Alumnus (216) 368-4352 Barbara P. Ruhlman/The Thomas F. Feb. 15, Ruhlman Maternal and Fetal Center endowed fund, Generous benefactor, Sherri Bishop 12 University Hospitals Peterson Foundation 6,000,000 2013 Ruhlman Peterson renovation fund volunteer (216) 983-2200 June 24, Diana Bulman 14 Cleveland Clinic Anonymous 5,000,000 2013 Heart valve education Grateful patient (216) 444-1245 The College of Architecture and Environmental Design; 14 Kent State University John and Fonda Elliot 5,000,000 April 2013 scholarships, a professorship, a naming gift for the Alumni and member of the Gene Finn new building, a program fund for Health Care Design board (330) 673-6002 Feb. 26, Kevin L. Gladstone 14 Ursuline College Anonymous 5,000,000 2013 New construction, renovation and endowment Friend of the college (440) 646-8355 September Expansion of Case Western Reserve's alumni house to Alumnus, trustee, Lawrence Gibson 17 Case Western Reserve University Frank and Jocelyne Linsalata 4,000,000 2013 include space for events and banquets campaign committee chair (216) 368-4352 Nancy W. McCann 17 Cleveland Clinic Anonymous 4,000,000 Oct. 7, 2013 Brunswick Family Health Center Grateful patients (216) 444-1245 June 26, Support of the Cardiovascular Institute and creation of Phylis M. Ferrara 17 Summa Health System Richard M. and Yvonne Hamlin 4,000,000 2013 a hybrid operating suite Donor and patient (330) 375-6640 Sherri Bishop 17 University Hospitals Anonymous 4,000,000 Oct. 15, 2013 Pediatric Specialty Clinic construction fund Generous benefactor (216) 983-2200 Sept. 30, Volunteers, grateful Bishoy Mikhail 21 Cleveland Clinic Anonymous 3,500,000 2013 Liver disease and transplantation patients (216) 444-1245 March 7, To permanently endow the George Gund III Fund for Jon Limbacher 22 Cleveland Orchestra George Gund Foundation 3,000,000 2013 Artistic Excellence N/A (216) 231-7300 Aug. 29, Doreen Riley 22 John Carroll University Dave and Beth Short 3,000,000 2013 In support of the Forever Carroll Campaign Alumnus, board chair (216) 397-1886 Practicing physician and Bobbie Simmerman 22 Southwest Community Health Foundation Dr. Vasu and Lisa Pandrangi and family 3,000,000 May 28, 2013 Touch the Future Capital campaign chairman of the board (440) 816-6711 December William J. Spiker 25 Baldwin Wallace University Estate of Arline Kadel 2,700,000 2013 To support the BW Conservatory of Music Alumna, class of 1936 (440) 826-2104 Nov. 14, Nelson Wittenmyer 26 Cleveland Clinic Anonymous 2,550,000 2013 Cleveland Clinic Innovations, in kind Corporate donor (216) 444-1245 March and 27 Baldwin Wallace University Steve and Jackie Boesel 2,500,000 December In support of the Welcome Center, endowed piano Alumnus William J. Spiker 2013 scholarship and honors program (440) 826-2104 (2) Nov. 12, Chris McMahan 27 Cleveland Clinic Anonymous 2,500,000 2013 Medical education building Corporate donor (216) 444-1245 (2) Armando Chardiet 27 Cleveland Clinic Anonymous 2,500,000 Aug. 8. 2013 Medical education building Grateful patients (216) 444-1245 August A. Napoli Jr. 27 Cleveland Museum of Art Eric and Jane Nord Family Fund 2,500,000 June 2013 In support of conservation Trustee (216) 707-2595 Raymond and Eleanor Smiley Endowed Chair in Doreen Riley 27 John Carroll University Smiley Family Charitable Foundation 2,500,000 Oct. 30, 2013 Business Ethics Alumnus, board member (216) 397-1886 William J. Spiker 32 Baldwin Wallace University Anonymous 2,000,000 August 2013 Undesignated support Alumnus (440) 826-2104 To support measures to improve immunity to disease Lawrence Gibson 32 Case Western Reserve University Bill and Melinda Gates Foundation 2,000,000 January 2013 among children in developing countries N/A (216) 368-4352 To endow the position of Director of Children and 32 Cleveland Sight Center Corinne and Alan Reid 2,000,000 July 10, 2013 Young Adult Services, including the Bright Futures Former board member Patrick J. Ertle Preschool (216) 903-5700 Sept. 27, Doreen Riley 32 John Carroll University Rich and Chris Kramer 2,000,000 2013 Forever Carroll Campaign Alumni, board member (216) 397-1886 Source: Information is from the gift recipients with additional research by Crain's. Crain's Cleveland Business does not independently verify the information and there is no RESEARCHED BY Deborah W. Hillyer guarantee these listings are complete or accurate. We welcome all responses to our lists and will include omitted information or clarifications in coming issues. Individual lists and The Book of Lists are available to purchase at www.crainscleveland.com. (1) Donations to religious organizations are not included. (2) These gifts have been split with Case Western Reserve University for the joint Medical Education Building. 20140217-NEWS--35-NAT-CCI-CL_-- 2/14/2014 3:32 PM Page 1 FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 35 Silver Airways to exit Cleveland market Silver Airways, a ON THE WEB Story from Parkersburg, regional airline based in www.crainscleveland.com W.Va. Fort Lauderdale, Fla., Silver Airways said it plans to exit the Cleveland has operated those flights for nearly market and discontinue flights six years from Cleveland Hopkins In- between Cleveland and five small ternational Airport. cities, a move that will affect 89 Dave Pflieger, president and CEO pilots and other employees here. of Silver Airways, said in a news re- The company in a news release lease that “multiple factors have said it has provided the U.S. Depart- combined to make it economically ment of Transportation with a federal- impossible for us to continue flying” ly required 90-day notice of its intent between Cleveland and the five mar- by May 15 to end service between kets. One of the factors he cited was Cleveland and the following communi- the recently announced regional ties: Jamestown, N.Y.; Bradford, Pa.; flight reductions at Hopkins by DuBois, Pa.; Franklin, Pa.; and United Airlines. — Scott Suttell This Cleveland Comfort house on lutheran metropolitan ministry’s Saratoga Ave. in Old Brooklyn is available for £¨¡{a flavorful benefit to bring rent. food & culinary training to CONTRIBUTED PHOTO people in need} March 27 6-9 p.m. Stay: Traditional hotel operators say they InterContinental Hotel Cleveland 9801 Carnegie Ave. aren’t concerned about losing business Enjoy offerings from a variety of chefs and restaurants including: continued from PAGE 4 pick up, he sees a need for hotels. sites such as Airbnb are great for • The Katz Club Diner It’s a side business for both man- “The experience a hotel provides tourism, and that the real impact of • Tartine Bistro aging partners, as Semertsidis owns is what sets it apart,” MacLaren tourists on an economy comes from • Pura Vida by Brandt Evans Gus’s Family Restaurant in Old said. what they spend at the city’s restau- • Spice Kitchen + Bar Brooklyn and Fronimo works in Alan Feuerman, director of sales rants, casino and other attractions. • J. Pistone Market and Gathering Place sales at a technology company he and marketing at Westin Cleveland The sites just bring more “opportu- • UH Ahuja Medical Center Café and Bistro wouldn’t identify. Downtown, which is set to open in nity to Cleveland,” she said, espe- • LMM culinary training program By contrast, Scott Kroehle is part May, said he doesn’t see short-term cially when it comes to attracting and more! of the Couchsurfing crowd. rental sites as a threat to the tradi- millennials. Kroehle, who fixes up long-term tional hotel industry. The cus- Kramer said that with the web- Register online at: lutheranmetro.org rentals on Cleveland’s West Side, tomers of a Westin are looking for sites, travelers typically are looking estimates he has hosted a hundred all the services the brand provides. to live like the locals. lutheran metropolitan ministry or more people since last summer They want the option to work out, “They want to see the hidden 4515 superior avenue • cleveland, oh 44103 ■ who found accommodations at his the ability to order room service or gems,” she said. Detroit-Shoreway home via Couch- access to high-quality technology, surfing. Kroehle purposefully set up Feuerman said — the “modern con- his space with extra beds and pull- veniences” of a 24-hour hotel. out couches to accommodate fellow Clients of a site such as Airbnb are couchsurfers, and he estimates the looking for more of an experience, house can sleep 10 people comfort- but there are fewer amenities, he ably. said. Couchsurfing differs from Airbnb “It’s just a different clientele,” or a traditional bed and breakfast in Feuerman said. more than just price. At Kroehle’s In an email from a marketing house, no one is waited on and peo- contact, Bob Loewen, chief operat- ple are expected to clean up after ing officer of the Wyndham Hotel themselves. People even contribute Group, said the hospitality market to the space, such as the guests who always will be competitive, but he’s planted Kroehle a garden, though confident guests and hotel owners such payback isn’t required. will see the value of what they offer. Kroehle said the benefits of host- The Wyndham Hotel Group lists 23 ing are hard to pin down, but he en- hotels in the Cleveland region on its joys “the different worlds that pass website. through your space,” as he put it. “Homes, apartments, condos … And guests get someone who is in- they’re not hotel rooms,” Loewen terested in showing them the city said in an email. “The experience outside the typical tourist route, he becomes very different depending said. on what a guest chooses. Hotels and hotel brands on the other hand of- Are hotels worried? Nah fer consistency. There are brand Despite the rising interest in al- standards. You know the bath ternative accommodations, tradi- amenities you’re going to receive. tional hotel operators locally and You know that if your plane is de- statewide don’t sound particularly layed, there’s going to be someone concerned about them. at the front desk when you arrive — Matt MacLaren, president and even if it’s 2 a.m. Then there are the CEO of the Ohio Hotel and Lodging added benefits of hotel loyalty pro- Association in Columbus, said he grams and the opportunity to re- knows his counterparts in New York ceive free stays. The list goes on.” and California are watching these Unlocking ‘hidden gems’ sites closely, but the sites haven’t CLEVELAND MARCH, 2014 picked up enough steam in Ohio for Jennifer Kramer, communica- JOHN DOE him to look at them as competition. tions manager for Positively Cleve- The association represents about land, the region’s convention and 500 hotels and lodging properties, visitors’ bureau, said she also and MacLaren said he hasn’t had doubts the providers of alternative any hotels come to him and say the lodging could replace traditional sites are an issue yet. hospitality options. Even when the sites do start to That said, Kramer said she thinks 20140217-NEWS--36-NAT-CCI-CL_-- 2/14/2014 2:48 PM Page 1 36 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 Above, from left to right, Ken Salmon, operations manager of the Coca-Cola plant in Bedford Heights; Gary Wasil, direc- tor of operations and logistics; Pete Benzino, president of Abarta Beverage West and VP/GM of Cleveland Coca-Cola; Phil Smith, warehouse manager; and Randy Cornette, director of sales and marketing. At right, the entrance to the plant. REBECCA R. MARKOVITZ PHOTOS Package: Community is a WKXUVGD\_PDUFK large part of brand at Coke FOHYHODQGFRQYHQWLRQFHQWHU continued from PAGE 5 gets when it comes to charitable op- “We’re trying to take our brand, portunities such as fundraising our logo and put it into the fabric of walks or runs, but can make deci- the community,” Cornette said. sions on such events throughout When a customer picks up a the year. And there are ongoing Cleveland Coca-Cola product, he or community programs, such as the she is supporting more than just the company’s participation in Saint employees at the 220,000-square- Martin de Porres High School’s cor- foot bottling plant at 25000 Miles porate work study program. Road. About 90% of the raw materi- The program helps students at WKH the school, who are often of modest als the bottling company uses to make its containers and the familiar economic means, to pay for a “sig- drinks within those bottles and cans nificant portion” of their education come from Ohio companies, said by working about one day a week at LQQRYDWLYH operations manager Ken Salman. local companies, said Devon Plastic bottles are made in Bowl- Lynch-Huggins-Szep, vice presi- ing Green, cans and lids are created dent of the corporate work study in Findlay and labels are produced program at the school. in Akron. Even the water used in the Cleveland Coca-Cola signed on OHDGHU beverages made on-site comes from last year and, this year, hired four ZRPHQ·VOHDGHUVKLSFRQIHUHQFH Cleveland, Salman said. students in accounting, technical Benzino said about 70% of what support and administrative posi- the Cleveland plant sells is made in- tions. house; some Coca-Cola products, Each company in the program such as Powerade, are produced pays the school $28,100 for the four elsewhere and brought in for ship- students’ work. Lynch-Huggins- ping. Aside from Coca-Cola prod- Szep said she likes that Cleveland ucts, Cornette said the plant also Coca-Cola lets students do higher- H[SHULHQFH produces on a contract basis prod- level work. QDWLRQDOO\DFFODLPHGVSHDNHUV ucts that include Canada Dry and The Cleveland Metroparks have greater cleveland Country Time Lemonade. been working with Cleveland Coca- Cola for decades, and the bottling &OHYHODQG&RQYHQWLRQ&HQWHU Recycling like crazy company has been a branded com- WKHLQQRYDWLYHOHDGHU munity sponsor of the park system /DNHVLGH$YHQHWZRUN ZLWKKXQGUHGVRISURIHVVLRQDO Besides its high level of local since 1993, said CEO Brian M. Zim- &OHYHODQG2KLR sourcing, Cleveland Coca-Cola also merman. ZRPHQ takes pride in its community in- The Metroparks, including the volvement and its commitment to zoo, buy products from the compa- environmentalism. According to in- ny, and Cleveland Coca-Cola works SUHVHQWHGE\ formation provided by the plant, its with the organization on charitable GHYHORS green commitment ranges from re- activities, such as the zoo’s Dream- cycling the basics such as alu- Night. Zimmerman noted that the SUDFWLFDOVNLOOVWRLPSOHPHQWQRZ minum, cardboard and PET bottles company also has promoted to donating 55-gallon syrup drums Metroparks activities and locations to the community to use as rain bar- on its trucks. rels. Zimmerman said it’s significant UHJLVWHU “We recycle anything we can,” that the bottling company is an in- DW\ZFDRIFOHYHODQGRUJ:/& Salman said. tegrated part of the local communi- And the company makes sure to ty. _IDFHERRNFRP\ZFDJUHDWHUFOHYHODQG_#\ZFDFOHYHODQG give back to the community. Cor- “They get it,” he said. “They know nette said the plant isn’t tied to bud- us.” ■ 20140217-NEWS--37-NAT-CCI-CL_-- 2/14/2014 2:49 PM Page 1 FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 37 Above, workers enter the plant. Above right, a machine checks the cross-sec- tional analysis of can seam dimensions, a test that is performed daily. Below, Latari Foster observes as 2-liter bottles of Fanta Orange are filled and capped. Right, the filled bottles are transported through the warehouse. Presented by: The Affordable Care Act and your business or agency Please join us for breakfast and a panel discussion: Thursday, March 6, 7:30 – 9:30 a.m. Whether you work hard at running a small business or at supporting the needs of others, a healthy community is good for everyone. Akron General, a national leader in wellness and prevention, invites you to join us for an informative breakfast panel discussion sponsored by CareSource®. The impact of going without coverage simply can’t go ignored. Panel discussions include: Panelists: • Understand how the Affordable Care Act affects your business Carol Icsman • Employer responsibilities, incentives and penalties Vice President, Managed Care, • The health implications of being uninsured Akron General Health System • How community agencies can stay objective Elizabeth James, MPH Public Health Specialist, Moderator: Summit County Public Health David Peter, MD, CMO & Emergency Medicine Physician Edward C. Redder Akron General Health System Counsel, Thompson Hine LLP Sponsored by: A complimentary breakfast will begin at 7:30 a.m. Scott Streator Akron General Health & Wellness Center – West Vice President, Health Insurance ® Marketplace, CareSource 4125 Medina Road, Summit Room, Akron, OH 44333. Register online at akrongeneral.org/ACAandYou by Feb. 25. 20140217-NEWS--38-NAT-CCI-CL_-- 2/14/2014 1:31 PM Page 1 38 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM FEBRUARY 17 - 23, 2014 Window: ‘Software sprawl’ could be big problem for companies continued from PAGE 1 “The problem was just too big, unneeded features from XP before “With manufacturing, it’s obso- And many organizations that are KEEP ON ALERT and I think many organizations installing it on the computers that lete when it stops turning on,” said big enough to have their own IT de- Microsoft plans to stop providing waited too long,” he said. run its ATMs, which limits the Coppedge, who’s organizing a pub- partments still are working to up- free security patches and technical Nearly 30% of all Internet traffic number of ways hackers could get lic going- away party for Windows grade to newer operating systems support for Windows XP users on from desktop and laptop comput- into the system, Stewart said. Plus, XP at the Kent Stage theater on and protect computers that must April 8. A look at three things to ers comes from machines running Diebold’s ATMs don’t connect to April 8. keep running XP. watch for in the coming months: XP, according to data published in the public Internet; they tie into Some computers that run ma- For instance, Eaton Corp. has January by Net Applications, a web private networks owned by banks, chines can be isolated from the In- ■ Companies throughout Northeast converted about 70,000 personal analytics firm in Aliso Viejo, Calif. which tend to be heavily fortified. ternet and other computers on a Ohio still use XP, and they could be computers to Windows 7 over the Although Microsoft says it won’t Even so, Diebold for more than a company’s network, and comput- in trouble after that date. Many IT last 18 months or so, but the other fix problems with XP after April 8, year has been trying to educate its ers that need to send data to a sin- experts expect hackers to start 4,500 will pose a challenge, accord- the company plans to keep updat- customers about Microsoft’s plans gle website can be programmed so launching malware designed to ing to chief information officer Bill ing the anti-malware software it to end most support for XP and they can’t connect to other sites, he exploit XP’s flaws once Microsoft Blausey. makes for the operating system at what they can do about it. Stewart said. Most of those XP computers are stops fixing them. least until July 14, 2015. Even so, XP said a quick upgrade isn’t possible Companies even can put glue spread out across the many manu- ■ Microsoft will provide custom XP computers running those pro- for most Diebold customers, given into their USB ports if they’re wor- facturing plants of the Beachwood- security patches to companies that grams without security patches still the amount of software upgrades ried about getting hacked from the based industrial giant. It’s impossi- pay for it. The service is estimated will be vulnerable to malware, Mi- and testing that would be required. inside — but many should just up- ble to upgrade them all at once to cost $200 per computer. crosoft says on its website. The only “A change like this is pretty mon- grade, Coppedge said, laughing because the computers run so ■ Local IT companies say small way to get the security patches is to umental,” said Stewart, noting that about how out-of-date many man- many different machines and businesses rely more on XP than pay for custom support. But ana- Diebold released a Windows 7 ver- ufacturing plants are. processes. And many of them will large ones. But big companies have lysts from technology research firm sion of its ATM software a year ago. Companies that don’t upgrade need other software upgrades, be- more complex computer networks, Gartner Inc. last year reported that Diebold has upgraded about 80% are “missing out on things the new cause older programs often aren’t which often makes it harder for Microsoft typically charges about of its own computers to Windows 7 stuff can do, anyway,” said Bill compatible with new operating them to leave XP behind. $200 per computer for the first year over the past two years, said Mathews, chief technology officer systems, Blausey said. — Chuck Soder of support. spokeswoman Kelly Piero. The at Hurricane Labs, an IT security “It’s an all-out war, these last few Some companies, such as PNC company plans to upgrade the rest firm in Independence. But some thousand PCs, to get them convert- Beware the ‘software sprawl’ Bank, need that support. The “vast before the April deadline, she said. small companies just don’t want to ed,” Blausey said, estimating that majority” of the Pittsburgh-based Other big local organizations still switch, Mathews said. Eaton has 10 to 15 people working Even for big companies with banking company’s ATMs run on working on upgrades include the “People insist on running anti- to convert computers at any given money to upgrade their operating Windows XP, according to PNC University of Akron — which has quated software, and I don’t know time. systems and replace older comput- spokeswoman Marcey Zwiebel, upgraded most of its 10,000 com- why,” he said. Today, MCPc Inc. has roughly 50 ers that can’t run Windows 7 or 8, who would not provide details puters but still has a few hundred Mathews isn’t among those in employees helping customers up- the switch poses problems. about the contract or “plans for a left — and Cuyahoga County gov- the business who, as he put it, grade to newer operating systems, “Software sprawl” is a big one, potential future changeover.” ernment, which has converted “foresee some big atomic bomb Grossman said. Many organiza- dropping in April.” And if hackers said Ira Grossman, principal con- Meanwhile, at your ATM … 3,000 PCs already and has about sultant for end-user computing at tions installed XP more than a 185 to go. In many cases, the com- do pounce on that date, Microsoft the Cleveland-based IT services decade ago and have acquired all Almost every automated teller puters were so old they had to be might go back on its word and pro- company, which has 444 employ- sorts of software programs since machine that Diebold Inc. has replaced, said county chief infor- vide at least some free security ees nationwide. then. Some of those programs can’t shipped since 2003 runs on Win- mation officer Jeff Mowry. patches to XP users, he said. A year ago, MCPc probably had 10 be upgraded to Windows 7 or 8. dows XP, as is the case with most That’s possible, but Joe Kirby is- employees performing operating Some can be upgraded, but for a ATMs, said Dean Stewart, senior di- What about the little guys? n’t counting on it. The director of IT system upgrades, Grossman said. fee. And sometimes upgrading one rector of self-service product man- However, small businesses prob- for Infiniti Systems, an IT services Though some IT experts who piece of software makes it incom- agement for the maker of ATMs ably rely on XP more than their company in Brecksville, said he spoke with Crain’s said small busi- patible with other software, Gross- and financial security products larger counterparts, IT experts told wants his clients to be prepared if nesses and manufacturing compa- man said. based in Green. Crain’s. Among them are many the Internet does indeed “become nies are the ones that rely the most Large companies that didn’t plan Stewart expects ATM owners to manufacturers that still use old a cesspool” of XP malware, like he on Windows XP, Grossman said well in advance for the Windows XP take extra steps to protect the ma- computers on the shop floor, said anticipates. many large organizations are wor- deadline probably won’t be entirely chines by April 8. For its part, Bob Coppedge, CEO of Simplex-IT “We figured we’d rather be safe ried about April 8, too. ready for April 8, Grossman noted. Diebold already removes several in Hudson. than sorry,” Kirby said. ■ REAL ESTATE CLASSIFIED Phone: (216) 522-1383 Fax: (216) 694-4264 Copy Deadline: Wednesdays @ 2:00 p.m. Contact: Denise Donaldson E-mail: [email protected] All Ads Pre-Paid: Check or Credit Card AUCTION REAL ESTATE BUSINESSES FOR SALE SERVICES PUBLIC AUCTION B-to-B Service Business in Stark County MBA Business Brokerage, Inc. Est. 1981 Race Car, Trailers, Tools & Equipment Highly-automated. FORT MYERS, FLORIDA Profit $275,000. Ask $850K. We have the experience to help you when Buying or Selling a Business. LOCAL RACE CAR DRIVER LIQUIDATING SHOP REAL ESTATE www.bizbrokermba.com Saturday, February 22nd @ 10am Also available: I can help you find a home Signs & Printing: 440-885-0139 877 Howland Wilson Rd., SE., or sell a home. Sales > $800,000. Warren, OH 44484 Jeff Hathy, Realtor Owner-Mgr. earns $230,000. For Sale By Order of: Michelle Woomer Jones & Co. Realty Don Dreisig, Owner Service Business Established in 1960. Over 200 active client base. Selling the home work shop of Stan Woomer who in 239-322-6970 Fuller & Associates, Inc. Second generation is ready to retire. 2006 captured his first career victory in the 20-lap or [email protected] (serving No. Ohio for 33 years) Gross $1.2M. Net $282,000./year. Stock Car feature at Expo Speedway. 330-492-6294 Business and Real Estate just $1,126,000. [email protected] Lender has pre-approved the loan. ROSEN & COMPANY, INC. For daily on-line BUDDY BARTON AUCTIONS updates, sign up @ www.bidrosen.com • www.buddyBartonauctions.com Seeking investor to purchase BUSINESS SERVICES 216-990-1831 • 1-877-BID-ROSEN CrainsCleveland.com/Daily well established business that its industry is required by law. Great growth C. W. JENNINGS INDUSTRIAL EXCHANGE opportunity= good ROI. Global Expansion Consulting List your Industrial, commercial, Minimum $80k. Construction • Acquisitions 330-730-8931 Exporting • Financing luxury property or Retail Space (855) 707-1944 BUSINESS SERVICE OWNERS! Here! THINKING OF SELLING? Submit your Free Market Analysis business card to FLYNN No Upfront Fees Crain’s Cleveland Business’ classifieds will help you fill that space. promote your service. ENVIRONMENTAL See our listings at For Assessments Call Denise at www.empirebusinesses.com (800) 690-9409 Contact Denise Donaldson at 216.522-1383 216.522.1383 440-461-2202 www.flynnenvironmental.com 20140217-NEWS--39-NAT-CCI-CL_-- 2/14/2014 4:00 PM Page 1 FEBRUARY 17 - 23, 2014 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 39 THEINSIDER REPORTERS’ NOTEBOOK THEWEEK BEHIND THE NEWS WITH CRAIN’S WRITERS Brokaw’s neuroSLEEP founding in 2000, a democratic process The center changed hands Feb. 12, ac- FEBRUARY 10 – 16 won’t be the way the law firm’s partnership cording to online property records of the campaign is no sleeper governs. Lake County auditor. The seller was Opti- The big story: Cleveland Browns owner ■ Cleveland ad agency Brokaw has a bit of a That’s not to say democracy is dead, mus Erie Commons LLC, an investor group Jimmy Haslam said the organization that was sleeper hit on its hands. though, as the firm’s first management led by shopping center investor Joseph G. set up by CEO Joe Banner The agency’s campaign for neuroSLEEP, committee was elected by the firm’s part- Padanilam in Aurora. less than 14 months ago was a sleep-enhancing beverage, features a web ners. Erie Commons, 7900 Plaza Blvd., adjoins “cumbersome.” Haslam’s so- video starring Neil Patrick Harris that de- Frantz Ward announced last week that Great Lakes Plaza and an open-air shopping lution was to blow it up — buted Feb. 11 and as of partners T. Merritt Bumpass Jr., Michael J. center that a Devonshire affiliate acquired again. In a shocking chain of last Friday afternoon, Frantz and Christopher G. Keim now are its last November from Indianapolis-based Si- events even for the Browns, Feb. 14, had garnered management committee, responsible for es- mon Property Group. the team on Feb. 11 an- nearly 1 million views on tablishing the firm’s strategic direction and Padanilam said Erie Commons was on nounced that assistant gen- YouTube. (That’s not its day-to-day operations. All three will con- the market because he saw a chance to pro- eral manager Ray Farmer surprising. The soulful tinue to provide legal services to their duce a strong return for his investors. was promoted to general Banner song is steamy/catchy, clients. “We did well. We paid $13.75 million for it manager, Banner will step down “in the next two and everyone loves NPH. According to a spokeswoman, “the and sold it for $18.35 million,” Padanilam months” and GM Mike Lombardi was fired. The You can view the video change in management structure is focused said. moves occurred 19 days after the Browns hired on continuing to grow and maintain the Devonshire did not comment on the deal. Mike Pettine as head coach. at tinyurl.com/p7cy9ly.) Harris The Harris video isn’t success of the firm, and directing the firm’s — Stan Bullard future growth, all while maintaining the en- New in town: For the third time in its history, the only unusual element of the campaign, which also features, as Brokaw puts it, trepreneurial spirit of the firm.” Kent State steps forward the Federal Reserve Bank of Cleveland will be Fourteen years ago, Frantz Ward counted led by a woman, as the Cleveland Fed has named “smooth-talking Pandora radio and in-flight with podiatric school dean TV spots developed specifically for Virgin 15 attorneys; today, it employs 105, includ- an out-of-towner to succeed longtime president ■ Kent State University has named Dr. Allan America, enticing “virgin” flyers to finally ing 35 partners and 60 attorneys. Sandra Pianalto. Loretta J. Mester will assume M. Boike, a nationally known podiatrist with get some (we mean sleep, perv).” — Michelle Park Lazette those duties come June 1. Pianalto will retire the Cleveland Clinic, as the new dean of its If the product sounds familiar, maybe you from the Fed on May 31 after leading the Cleve- College of Podiatric Medicine. were watching Jimmy Kimmel’s late night Shopping center buyer land district since 2003. Mester, 55, currently Boike, who will start his new job July 1, show on Feb. 4. A segment on the show that serves as executive vice president and director of strikes again in Mentor currently serves as head of the podiatry sec- night featured neuroSLEEP, Kimmel’s side- research at the Federal Reserve Bank of ■ Devonshire REIT Inc., a real estate invest- tion in the foot and ankle center of the Clin- kick Guillermo, a model in a bikini and a Philadelphia. In this role, she is the bank’s chief ment trust in Whitehouse, Ohio, near Tole- ic’s Orthopaedic and Rheumatology Insti- burrito. The segment “timed-up with two policy advisor and attends meetings of the Fed- do, likes Mentor so much that it bought a tute. He also is director of the Clinic’s 15-second bookend commercials, written eral Open Market Committee. second open-air shopping center there last podiatric residency training program. and produced” by Brokaw, the agency said. week. Boike will take over for Bryan Caldwell, — Scott Suttell Mine control: Cliffs Natural Resources Inc. of Through an affiliate, Devonshire paid who has served in an interim capacity since Cleveland, under pressure from an activist share- So long, democracy; $18.35 million for Erie Commons, which is last October. Caldwell, who will return to his holder to split up its business and install an out- across the street from Great Lakes Mall and position as the college’s assistant dean, took sider as CEO, pushed back. The producer of iron hello, triumvirate features Burlington Coat Factory and Jo- over last fall for Thomas V. Melillo, who died ore and metallurgical coal on Feb. 13 appointed ■ Ann Stores among its anchor tenants. after a battle with cancer. — Timothy Magaw Gary B. Halverson, 55, formerly president and For the first time since Frantz Ward LLP’s chief operating officer, to president and CEO, ef- fective immediately. Halverson joined October last fall, when Cliffs announced that president MILESTONE BEST OF THE BLOGS and CEO Joseph Carrabba would retire. The shareholder, Casablanca Capital, announced on Excerpts from recent blog entries on and companies to transfer bitcoins from one Feb. 12 that it was backing Lourenco Goncalves, CrainsCleveland.com. another.” Apple removed it from the store former CEO of Metals USA, to be the next CEO of Feb. 5, saying in an email that it had an “un- Cliffs. It sent Cliffs a letter notifying the company Slicing into her business resolved issue” with the app, but otherwise of its intention to nominate a majority of directors ■ The rise of online ordering is not explaining the decision. to Cliffs’ board at the 2014 annual meeting. putting in peril corner pizzerias Bitcoin users see Apple as a bully. such as Geraci’s Restaurant “It is as if IBM would have Message conveyed: Auto parts and tire in University Heights. banned email clients in the ear- maker Continental AG of Germany agreed to ac- COMPANY: Ostendorf-Morris So said The Wall Street ly 90’s,” said Michael Kondra- quire Veyance Technologies Inc. of Fairlawn, a th OCCASION: Its 75 anniversary Journal, which reported that as tov, president of Aspire Auc- maker of industrial hoses and conveyor belts, big pizza chains “have invested in so- tions in Cleveland and from The Carlyle Group for 1.4 billion euros, or Edgar L. Ostendorf and Warren L. Mor- phisticated web-based systems that let cus- Pittsburgh. about $1.9 billion. Veyance, a Goodyear Tire & ris shared a vision of downtown growth tomers order and pay for deliveries quickly Kondratov recently started allowing cus- Rubber Co. spinoff formerly known as Goodyear and redevelopment in Cleveland that without having to call,” they’re gaining an tomers to bid on antiques and art using bit- Engineered Products, recorded sales of about $2 sparked an idea for one firm specializing edge “in the battle for an ever-bigger slice of coins. billion in 2013. About 90% of its sales come from in various real estate disciplines — broker- outside the automotive industry — a key diver- age, property management, financial ser- the industry pie over smaller chains and in- “I feel Apple is no longer a ‘rebel’ compa- sification step for Continental. Veyance has 27 vices and appraisal. In 1939, they formed dependent pizza shops that lack the capital ny,” he wrote in an email to plants around the world and a work force of the Ostendorf-Morris Co. to provide those or technological know-how to compete on CNNMoney.com. about 9,000 employees. services. the web.” Today, as Ostendorf-Morris celebrates Giants such as Domino’s, Papa John’s and A read on literacy New Frontiers: Frontier Airlines said it will its 75th anniversary, the company lays Pizza Hut “all now derive 40% or more of ■ An annual study of American’s most liter- expand its schedule of flights from Cleveland claims to being the largest full-service in- their sales from digital orders,” the newspa- ate cities has Cleveland holding steady, at Hopkins International Airport in June with direct dependent brokerage firm in Ohio. per reported. For Geraci’s, the number is No. 14 nationwide. flights to Orlando and Seattle, in what Cleveland Over the years, O-M brokers have facili- zero. The study by John W. Miller, president of officials hope is just the first step in the airport’s tated countless transactions. They include Frannie Geraci, co-owner of Geraci’s, told Central Connecticut State University, fo- recovery from the impending loss of United Air- management and exclusive leasing of the The Journal that her sales have declined 20% cused on six key indicators of literacy: num- lines flights. The airline last week also began fly- 406,000-square-foot Illuminating Building in the past two years as chain pizza shops ber of bookstores, educational attainment, ing previously announced service between at 55 Public Square (1957); 683,000 and other franchises have moved into the Internet resources, library resources, period- Cleveland and Trenton-Mercer Airport in Ew- square feet at 100 Erieview Plaza (1964); neighborhood. Geraci “estimates she could ical publishing resources, and newspaper ing, N.J., near Philadelphia To herald its new, ex- land assembly for the Gateway sports boost sales by 30% if she offered delivery and circulation. panded presence in Cleveland, Frontier for a complex, current home to the Cavaliers online ordering, but she says she can’t afford The top five: Washington, D.C.; Seattle; brief time will offer a $69 one-way fare to Orlan- and Indians (1980s); Goodyear Tire & Rub- the cost,” according to the story. Minneapolis; Atlanta; and Pittsburgh. do and a $119 one-way fare to Seattle. ber Co.’s sale and leaseback redevelop- “I know I’ve lost younger customers,” said Cleveland has been No. 13 or No. 14 on the ment of 639,000 square feet (2008); and Geraci, whose parents opened the restaurant list in each year since 2006. (Say this about This and that: Aleris, an aluminum recycler the firm’s recent joint venture with Corpus 58 years ago. Clevelanders: We’re a stable bunch.) and producer of rolled and extruded aluminum Sireo, Germany’s largest asset manage- Block buster In the rankings by category, Cleveland products, signed a definitive agreement to ac- ment company with $20 billion under man- fared best in library resources — we’re No. 1 quire Nichols Aluminum LLC, a subsidiary of agement (2012). ■ Apple pulled the popular Bitcoin app in that — periodical publishing resources Quanex Building Products Corp., in a $110 mil- O-M’s Corporate Services group, estab- Blockchain out of its mobile marketplace (tied for No. 3) and newspaper circulation lion all-cash transaction. …Bob Herbold, a for- lished in 1988, has provided global trans- without explanation, and a Cleveland auc- (No. 9; thanks, Cleveland!). The city fared mer chief operating officer at Microsoft Corp., action management and consulting to For- tioneer was among those not happy about it. worst in the educational attainment catego- committed $2.6 million to Case Western Reserve tune 1,000 companies and middle-market CNNMoney.com reported that the ry. University, his alma mater, to endow a profes- clients. Blockchain app, downloaded 120,000 times The top-ranked Ohio city in the overall sorship in informatics and analytics. For information, visit www.ostendorf- during its two years in Apple’s iTunes App rankings was Cincinnati, at No. 12. Colum- morris.com. Store, “was the most popular way for people bus was No. 26. 20140217-NEWS--40-NAT-CCI-CL_-- 2/14/2014 10:44 AM Page 1 Limited time offer! SAVE $100 ON ALL TABLETS. Get the tablets that keep your business running and connected on America’s Largest and Most Reliable 4G LTE Network. NOW $ 99 JUST 499 WAS $599.99 New 2-yr. activation required. Offer valid through 2/28. Nokia Lumia 2520 • Share documents and collaborate on projects with colleagues with Evernote Touch • Enjoy built-in apps like Microsoft® Word and Excel • Work inside or out with the bright, 10.1” display GET UP TO FREE $300 OFF PLUS, GET A $100 VERIZON WIRELESS TRADE-IN GIFT CARD. SMARTPHONE SALE Enhanced-camera smartphone For a limited time, trade in any smartphone and get $100, $200 OR EVEN $300 OFF Nokia Lumia 928 a new smartphone for your business, depending on the value of your trade-in. $50 2-yr. price - $50 mail-in rebate debit card. Trade-in must be in good working condition. Savings provided through Verizon Wireless gift card for telesales and online orders. New 2-yr. activation required. Offer valid through 2/28. New 2-yr. activation required. Visit any Verizon Wireless store today to talk about our Small Business solutions. 1.800.VZW.4BIZ verizon.com/tablet Activation/upgrade fee/line: Up to $35. IMPORTANT CONSUMER INFORMATION: Subject to Cust Agmt, Calling Plan, rebate form & credit approval. Up to $350 early termination fee/line. Offers & coverage, varying by svc, not available everywhere; see vzw.com. While supplies last. Restocking fee may apply. In CA: Sales tax based on full retail price of phone. Add’l CA eWaste fee may apply. In MA: Sales tax based on Verizon Wireless’ cost of a device purchased at a discount with service. Rebate debit card takes up to 6 wks & expires in 12 months. © 2014 Verizon Wireless. H2004