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20100426-NEWS--1-NAT-CCI-CL_-- 4/23/2010 2:03 PM Page 1

$1.50/APRIL 26 - MAY 2, 2010

Ohio taxes FDIC seeks obstruct wind tech $518M from movement AmTrust’s Legislation aims to propel industry’s competitiveness parent firm

By DAN SHINGLER [email protected] AmFin rebuffs liability; case may set precedent for accountability to feds When it comes to putting up turbines to turn moving air into elec- By ARIELLE KASS tricity, Ohio is sucking wind. However, [email protected] wind industry proponents hope leg- islation pending in the Statehouse The Federal Deposit Insurance Corp. claims it is owed will whip Ohio into shape this year. more than $500 million from the holding company of The legislation would enable the the former AmTrust Bank for failing to be a “source of state to play catch-up with neighboring strength” to the bank, a claim the FDIC and others say states that are well ahead in the race could have broad implications for banks nationwide. to develop wind power. It also would In pleadings related to the bankruptcy case of AmTrust better position Ohio to cement its Financial Corp. — now known as AmFin Financial Corp. place as a top wind industry supply — FDIC attorneys said by agreeing to a Nov. 19, 2008, state. cease-and-desist order that required the bank to have a If passed, the new law would lower prescribed amount of the taxes levied on wind turbines. capital, AmFin committed “It’s not a small The change would make Ohio more to keeping AmTrust Bank competitive with surrounding states, well-capitalized. matter. We’re which already have addressed the tax AmFin therefore should going to litigate issue with their own laws. NEED FOR SPEED be on the hook for at least over who gets the “While every neighboring state in $518.5 million, which was money.” the northeast quadrant has moved AmTrust Bank’s capital ahead with wind farm development, Efforts under way to accelerate residential, deficit as of Sept. 30, 2009, – Eric Goodman, Ohio has not,” said Brad Lystra, according to the FDIC. attorney, Baker manager of economic development commercial connection to faster Internet service After its parent company Hostetler for the American Wind Energy Asso- filed for Chapter 11 bank- ciation, the industry’s primary trade By CHUCK SODER ruptcy protection last Nov. 30, AmTrust Bank — which group. [email protected] now is known as Ohio Savings Bank in this area — failed The problem, Mr. Lystra and and was taken over by New York Community Bank last other industry proponents say, is Dec. 4 in a deal orchestrated by the FDIC. Ohio’s tax structure. rganizations and government Attorneys for AmFin disagree with the FDIC and A developer who puts up a wind agencies all across Northeast say the government agency is owed nothing. They turbine in Ohio can expect to pay Ohio are trying to add more lanes say the company made no promises to keep AmTrust about $40,000 in annual property Bank well-capitalized and that AmTrust Financial taxes. That same turbine in Michigan, to the information superhighway. noteholders and others should receive priority over Indiana, Pennsylvania and many OSeveral local groups are working on the government agency. other states would cost less than While the Office of Thrift Supervision, regulator of $10,000 a year in taxes, Mr. Lystra projects to make the region’s Internet faster AmTrust Financial and AmTrust Bank, asked the holding said, speaking last Tuesday, April 20, and get more people to use it, efforts driven See BANK Page 6 to a group of about 50 Northeast Ohio manufacturers who hope to in part by ever-increasing demands for supply the wind industry. bandwidth and an influx of federal stimulus ON THE WEB “Of all the states in the country money. Some projects focus on helping right now, in my opinion, Ohio is in Tune in with Crain’s a tight spot,” Mr. Lystra said. low-income people gain access to reason- This week’s podcast takes you further into the stories The result of Ohio’s current tax ably fast Internet service or teaching of Ohio’s wind policy is readily visible. Since 2008, market, the need for neighboring states have been building them how to use it. Others aim to give local improving high-speed wind turbines like Amish barns. residents and businesses that have good Internet access, the Indiana alone has put up 1,000 Internet connections even faster access. implications of the megawatts of wind power produc- See INTERNET Page 18 AmFin/FDIC quagmire and a boon in the housing market. tion in the last two years; its turbines Visit www.CrainsCleveland.com/podcasts. See WIND Page 9

SPECIAL SECTION 17 6 HIGHER EDUCATION

NEWSPAPER Colleges boost tuition amid anticipated state Entire contents © 2010

71486 01032 financing cuts, inflation increase ■ Page 11 by Crain Communications Inc. Vol. 31, No. 17

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2 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010 COMING NEXT WEEK A DIFFERENT WORLD

Crain’s will identify Women who work full time had median weekly earnings of $665 in the first quarter of 2010, or some of the top 78.8% of the $844 median for men, according to new federal government data. The gap between health care earnings of white men and white women was significantly larger than the female-to-male gap for other 700 W. St. Clair Ave., Suite 310, ethnic groups. Here’s how the data break down: Cleveland, OH 44113-1230 professionals Phone: (216) 522-1383 Fax: (216) 694-4264 and volunteers in www.crainscleveland.com its third annual Median Female-to- Characteristic Men Women Publisher/editorial director: Health Care Heroes weekly earnings male ratio Brian D. Tucker ([email protected]) section. Editor: National average $754 $844 $665 78.8% Mark Dodosh ([email protected]) Managing editor: REGULAR FEATURES Asian 859 940 767 81.6 Scott Suttell ([email protected]) White 772 869 678 78.0 Sections editor: Best of the Blogs ..19 List: Commercial Amy Ann Stoessel ([email protected]) Black 610 635 584 91.9 Senior reporter: Classified...... 18 contractors ....16 Stan Bullard ([email protected]) Hispanic or Latino 554 589 504 85.6 Editorial...... 8 List: SBA loans, Real estate and construction Reporters: Going Places ...... 7 second quarter ..17 Shannon Mortland ([email protected]) Letters...... 8 The Week ...... 19 SOURCE: BUREAU OF LABOR STATISTICS; WWW.BLS.GOV Health care and education Jay Miller ([email protected]) Government Chuck Soder ([email protected]) Technology Dan Shingler ([email protected]) Manufacturing Arielle Kass ([email protected]) Finance and legal Research editor: Deborah W. Hillyer ([email protected])

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APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 3 County advisers to tout land use strategy

much more collaboration both was a deputy Cuyahoga County so-called brownfield land should Economic development workgroup: Cuyahoga within the county and between the administrator until he retired late receive public money for environ- county and surrounding counties,” last year. mental cleanup and for marketing plan would help identify best places to develop said Judy Rawson, a former mayor Mrs. Rawson and others in the tran- for redevelopment. A land use plan of Shaker Heights and a leader of sition leadership visited Allegheny even could restrict retail develop- By JAY MILLER The expectations won’t be satis- the drive to pass a county govern- County, Pa., which went through a ment in the county if the new devel- [email protected] fied at the first meeting, but don’t ment reform issue last November. similar government reorganization opment unfairly would harm existing be surprised if the workgroup’s “We’re not going to tell him or in 2000. She said one of the most retail operations nearby. A workgroup charged with recom- members focus on the need for her how to do that, but will recom- promising initiatives she saw there Because such a plan might restrict mending new economic develop- more cooperation among political mend that this has to be done,” said was a county land use plan called development in one municipality ment ideas to incoming Cuyahoga jurisdictions and for countywide Ms. Rawson, who is one of three Allegheny Places. while favoring another, Mrs. Rawson County political leaders meets for land use planning. co-chairs of the group. The other A land use plan, she said, could said the workgroup will consider the first time this Thursday, April 29, “We will make the recommenda- co-chairs are Sandra Pianalto, pres- identify the best places in the county whether to recommend that incoming with ambitious plans and high tion that the (incoming) county ident of the Federal Reserve Bank of for new commercial or industrial county elected officials consider expectations. executive needs to find a way toward Cleveland, and Lee Trotter, who development and which parcels of See REFORM Page 4

INSIGHT Late reprieve BASEBALL’S keeps rubber ANSWER MAN mixing alive Mark Shapiro’s inclusion on select MLB in Chardon committee proof of his rep among peers Investors buy plant, By JOEL HAMMOND launch new company [email protected] By MIKE McNULTY ndians general manager Mark Shapiro Rubber & Plastics News is a calm sort, proven most recently by his composure in the face of fan backlash stem- The expected demise of the former ming from the team’s unpopular personnel Chardon Rubber Co.’s custom mixing Imoves of the past two summers. business and plant was a bit premature. So it’s a little puzzling to hear him say he was a lit- A group of private investors has tle awestruck, perhaps a touch nervous, when he got stepped in to buy the plant along a phone call this offseason summoning him to New with its compounding operation and York. Nervous? Mark Shapiro? Impossible, right? to launch a new custom mixing Of course, when it’s baseball commissioner Bud business, called Chardon Custom Selig on the other end asking you to sit on a Polymers LLC, at the 200,000- committee with legendary managers (Tony La square-foot plant in Chardon. Russa, Jim Leyland, Joe Torre), team bosses (the The unidentified investors own Braves’ John Schuerholz) and Hall of Famer Frank several other companies; their Robinson (a former Indians player and manager), largest holding had been a major the nerves become a little more understandable. custom mixing customer of Chardon Mr. Shapiro’s inclusion on Mr. Selig’s 14-man Rubber, according to Marian Keener Special Committee for On-Field Matters — as the DeVoe, the former president of only member under age 50 — is the latest testa- Chardon Rubber, who will serve in ment to his standing in the sport and the high the same capacity at Chardon regard with which he is held among peers. Custom Polymers. The group has conducted three conference calls “This is a sale of the business and — including one last Monday, April 19 — since its plant with totally new ownership,” she initial meeting, to study ways to improve Major said. “They asked me to join their See SHAPIRO Page 9 DAN MENDLIK/ company … and it’s very exciting to have an opportunity to see something NAMING NAMES grow from the ground up.” The compounder plans to have an The 14 men on baseball commissioner Bud Cardinals Tony La Russa, manager, Cardinals initial work force of about 20 former Selig’s on-field improvements committee: David Montgomery, general partner, president Jim Leyland, manager, Tigers employees, with additions made as Mark Shapiro, general manager, Indians and CEO, Phillies Joe Torre, manager, Dodgers the business grows. Andy MacPhail, president of baseball Chuck Armstrong, president and chief operating Mike Scoscia, manager, Angels The company will use about 20% operations, Orioles officer, Mariners Frank Robinson, Hall of Fame player and manager of the plant for the time being and John Schuerholz, president, Braves Paul Beeston, president and CEO, Blue Jays George Will, author of “Men at Work: The Craft the investors may use the rest of the Bill DeWitt, managing partner and chairman, Terry Ryan, former general manager, Twins of Baseball”/Washington Post columnist facility for other purposes, according to Ms. DeVoe. Chardon Custom Polymers prob- ably will be producing compound material by the first part of May. THE WEEK IN QUOTES The new owners are applying for a block grant, Ms. DeVoe said, which “If the FDIC has the “While every neigh- “Just the cost of fringe “Stories in the news will be used to demolish the oldest part of the facility, relocate the ship- claim they assert they boring state in the benefits continues to of ethical failures … ping docks and realign the interior of the site. She said the company has a do ... we should hand northeast quadrant be the Pac Man of the are always a good state-of-the-art laboratory and two them the keys and go has moved ahead university … it source of generating internal mixers capable of producing more than 20 million pounds of away.We believe ... no with wind farm continues to eat up a interest.” rubber compound annually. such commitment development, Ohio bigger and bigger — Paul Lauritzen, director of “We are delighted at our investors’ John Carroll University’s Program commitment to our long-term stability was made.” has not.” share (of the budget).” in Applied Ethics. Page 12 and success,” Ms. DeVoe said. “There — Christopher Meyer, a Squire, — Brad Lystra, manager of — Scott Borgemenke, interim is a great upside for (Chardon Custom Sanders & Dempsey attorney economic development for the vice president for finance and Polymers) at this location, and (the who is representing AmFin American Wind Energy Associa- administration at the University of investors) are providing the resources Financial Corp. Page One tion. Page One Akron. Page 11 See CHARDON Page 7 20100426-NEWS--4-NAT-CCI-CL_-- 4/23/2010 12:55 PM Page 1

4 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010 Reform: Lakefront a popular topic among volunteers

continued from PAGE 3 Slow off the mark human services, the justice system, some sort of revenue-sharing plan With the passage last November finance and information technology. that would spread tax money from of Issue 6, Cuyahoga County voters All but the economic development new development in one community approved a new county charter that workgroup have begun meeting and around to other communities creates an 11-member county council will continue to meet over the spring where development is restricted. and a county chief executive, who and summer to make recommenda- One thing the group won’t do is will be chosen in the November tions to the incoming county offi- identify what money can be saved 2010 election. The county executive cials on how to restructure county by the reorganization of county will take control of departments operations. A report compiling those government — backers of the county now run by seven county officers recommendations is due at the end reform plan that voters approved and three county commissioners. of August, just before the county last November pegged the amount The new charter makes only brief primary election Sept. 7. at as much as $50 million — and reference to how the transition The economic development work- exactly how to reallocate whatever would be accomplished. But Issue 6 group is the last to get organized. It savings are gained. promoters and the current county got off to a slow start in part because “We don’t have the political commissioners have created a tran- a call for volunteers produced about authority to make fundamental sition organization of volunteers 330 interested citizens. From that decisions,” Ms. Rawson said. “I and broken them up into work- pool, transition leaders have chosen don’t think it would be constructive groups tackling specific county 30 for the workgroup and sent all the to develop specific programs.” government functions, such as volunteers a survey to find out what in their minds were the most impor- tant economic development issues facing the county. The survey asked respondents what strategies they believe would be best to create jobs, what kinds of development would work best in different areas of the county and which large projects that might get under way in the next few years — including Public Square redevelop- ment, relocation of the Cleveland- Cuyahoga County Port Authority and a rail line between Cleveland and Cincinnati — should have the highest priority. Those results are still being tabu- lated, but Mrs. Rawson said her scan of some of the responses indicated “one of the huge takeaways is that everyone loves the lakefront and wants to use it better.” In search of a focus Economic development work- group members contacted by Crain’s were eager to get started, though many were skeptical about the savings that could be found from govern- ment reorganization and whether it made sense to put the bulk of that 'REATåTHINGSåHAPPENåWHENåå money toward economic develop- ment. Some also were frustrated by what they see as a top-down process YOUåMEETåATåAå&AIRMONT run by a small group that started developing priorities without input For more than a century, Fairmont Hotels & Resorts has brought people &ORåMOREåINFORMATION åå from the larger group. face to face for legendary meetings in unforgettable settings. Whether PLEASEåCALLåååå å Don Scipione, for example, has his you’re looking to make history or simply to offer your clients an unrivaled E MAILåMEET FAIRMONTCOMåå own ideas that he has been eager to share. The president of Acme Express experience, trust Fairmont to deliver seamless service, state-of-the-art ORåVISITåFAIRMONTCOM Inc., a web design firm, thinks meeting spaces and top value—making your work that much easier. improving education in the first years of school — kindergarten through third grade — is the most important long-term economic development issue the county should be tackling. “We need to focus countywide on this education issue with the teacher over a century of legendary meetings situation and the closing of schools,” said Mr. Scipione, a member of the economic development work- group. “The time is right for pulling together to focus on education coun- tywide.” Mrs. Rawson said she expects more than 100 people to attend the workgroup’s first meeting this Thursday, which starts at 6 p.m. at the Maxine Goodman Levin College of Urban Affairs at Cleveland State University, 1717 Euclid Ave. ■

Volume 31, Number 17 Crain’s Cleveland Busi- ness (ISSN 0197-2375) is published weekly, except World War II Conferences Drafting the United Nations John Lennon and Yoko Ono’s G7 International Economic for combined issues on the fourth week of May and of the Allies at Fairmont Le Charter at The Fairmont Bed-in for Peace at Fairmont Summit at Fairmont fifth week of May, the fourth week of June and first week of July, the third week of December and fourth Château Frontenac, Québec, San Francisco, 1945 The Queen Elizabeth, Le Château Montebello, week of December at 700 West St. Clair Ave., Suite 1943–1944 Montréal, 1969 Québec, 1981 310, Cleveland, OH 44113-1230. Copyright © 2010 by Crain Communications Inc. Periodicals postage paid at Cleveland, Ohio, and at additional mailing of- Photo: Fairmont Heliopolis & Towers, Cairo fices. Price per copy: $1.50. POSTMASTER: Send address changes to Crain’s Cleveland Business, Circulation Department, 1155 Gratiot Avenue, Detroit, Michigan 48207-2912. (888)909-9111.

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6 CRAIN’S CLEVELAND BUSINESS APRIL 26-MAY 2, 2010 Bank: Case’s resolution ‘critical’ to integrity of financial system In business, continued from PAGE 1 “Regulators have an ments they make to regulators to company to sign a Savings Associa- maintain the capital of the banks they tion Support Agreement for the awful lot of power here.” own and control,” the filing stated. bank, AmTrust Financial did not do – Kevin Jacques, Boynton D. “Given the stakes — to both the the right banker makes so, according to AmFin’s filings in Murch chair in finance, Baldwin- FDIC, the debtors, and their credi- U.S. Bankruptcy Court in Cleveland. Wallace College tors — and the profound signifi- The capital plan that spelled out cance of these issues to the FDIC, how AmTrust Financial would keep $170 million in claims against an appeal is highly likely, and the the bank above its required capital AmFin from other creditors. District Court will be required to all the difference limits “expressly stated that it was Eric Goodman, an attorney with consider these matters in any event,” based on the assumption that no Baker Hostetler who is representing the filing states. further capital contributions would the FDIC, said because the agency’s Squire Sanders’ Mr. Meyer said be received from AFC (AmTrust claim is based on Sept. 30, 2009, AmFin would like the issue to Financial Corp.) or outside sources,” numbers, the amount the FDIC is be decided in bankruptcy court Meet three Difference Makers: according to a March 15 filing by owed might increase due to more because it is a key matter in the AmFin attorneys in the bankruptcy losses that may have occurred before bankruptcy case. case. AmTrust Bank’s Dec. 4 failure. In the capital plan, which was to Because of the capital mainte- Setting precedents nance commitment to the Office cover a period from Jan. 1, 2009, to Two banking attorneys — one of Thrift Supervision that the June 2010, AmTrust Financial said it from Ohio and the other from Wash- Sean Richardson FDIC maintains was made when the expected the bank’s capital levels to ington, D.C. — who are not connected holding company agreed to the President & CEO, decline at first. It intended to drasti- to the case but who both asked to cease-and-desist order, Mr. Goodman Northcoast cally shrink AmTrust Bank’s balance remain anonymous said where the said, the holding company is sheet and its exposure to high-risk matter is decided is an important “required to immediately cure the 25 years of banking experience loans, strengthening the bank. issue because there is a chance the deficit” before it can move forward A Feb. 20, 2009, letter from the district court will be more willing to 216.802.6565 with the rest of the bankruptcy. Office of Thrift Supervision, included consider the FDIC’s argument than “It’s not a small matter,” Mr. with AmFin’s bankruptcy pleadings, would the bankruptcy court. Goodman said. “We’re going to liti- said the agency did not object to While the Ohio attorney said he gate over who gets the money.” the plan AmTrust Financial filed in thought the FDIC “made some very A factor that makes the case January of that year. ingenious arguments,” he said the “somewhat unique,” Mr. Goodman Dwight Clark claim was “slender” and not well- Follow the money said, is the FDIC’s reliance on the founded. Senior Vice President, cease-and-desist order to establish Christopher Meyer, a Squire, Although the FDIC has won similar that AmTrust Financial had an Business Development Sanders & Dempsey attorney who cases when a financial institution obligation to provide capital support is representing AmFin, said that explicitly did agree to back a bank in 32 years of banking experience to AmTrust Bank. In other cases, because the holding company likely such a manner, this attorney said, specific signed commitments have has fewer assets than the FDIC this case seems as if FDIC attorneys 216.802.6518 existed. is demanding, a decision about are trying to “stitch together” an In an April 1, 2010, bankruptcy whether the claim is valid is key to agreement that doesn’t exist. court filing, the FDIC said the case is how the rest of the bankruptcy case “If the FDIC does get its way, it’s bigger than just AmTrust Bank and proceeds. going to alter the landscape of regu- its holding company and could “If the FDIC has the claim they lation and financing,” the Ohio Dan Waldeck impact how other holding compa- assert they do, essentially, we should attorney said. “It’s the most aggres- nies deal with their own commit- Senior Vice President, hand them the keys and go away,” sive I’ve ever seen them be.” ments to the agency. As such, the Mr. Meyer said. “We believe several The D.C. attorney said while there Commercial Banking FDIC asked that only litigation related things indicate no such commit- definitely is a dispute between the Team Leader to the capital maintenance commit- ment was made.” parties, he expects them to reach a ment be moved from bankruptcy Mr. Meyer said the value of the settlement. He said while there is not 22 years of banking experience court, where it is in front of Judge holding company “doesn’t exceed a lot of history regarding what Pat E. Morgenstern-Clarren, to U.S. 216.802.6585 $500 million” and that a good deal of constitutes a capital maintenance District Court in Cleveland. the money is tied up in real estate — commitment by a holding company “The resolution of this case is of much of it in Florida — making it to its bank, the issue is beginning to critical importance to the FDIC and hard to estimate its worth. The crop up more frequently as a result the taxpayers of the United States company also is expecting a tax of the rising number of bank failures. because the Proceedings directly refund of more than $100 million to As of April 22, there had been 50 bank involve the FDIC’s authority and FirstMerit is proud to welcome which the FDIC might make a claim, failures in 2010 and 215 since 2008. obligation to hold bank holding com- he said. Kevin Jacques, the Boynton D. these three market leaders panies accountable for the commit- Mr. Meyer said there are roughly Murch chair in finance at Baldwin- to our commercial team. Wallace College and a former econo- mist for the U.S. Treasury Department and the Office of the Comptroller of We take the “people” part of “businesspeople” the Currency, said he expects the very seriously. Adding this trio of outstanding people resulting arguments to make for “an interesting court battle.” will continue to put FirstMerit further from our “If I’m a betting man, I’m betting competition and closer to our people. the holding company’s losing this one,” Dr. Jacques said. “Regulators PARTY DECK have an awful lot of power here.” Dr. Jacques said if the holding company wins its argument, it could endanger the safety and soundness of EXCLUSIVE PARTY AREA the financial system because there would be no guarantee that a holding company would do what was in its INCLUDES UNLIMITED BUFFET bank’s best interest. That outcome could lead regulators to be stricter in AND PEPSI PRODUCTS restricting banks’ activities and shut- ting them down sooner than is currently the case — a scenario that firstmerit.com Groups of 25 or more could have “serious ramifications” on the country, Dr. Jacques said. “Any financial holding company just $45 per person could walk away from any bank when it’s convenient,” he said. “The FDIC is clearly going to fight this, if 216.420.HITS that’s what the holding company is aiming for. They’ll fight it tooth and nail, as far as it needs to go.” ■ 20100426-NEWS--7-NAT-CCI-CL_-- 4/22/2010 3:13 PM Page 1

APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 7

GOING PLACES Investment firm on defensive JOB CHANGES training and workforce development. THOMSON REUTERS, ONESOURCE Cleveland’s JWI Capital says acquisition of W. Va. military manufacturer ENGINEERING PROPERTY TAX: Susan French- may lead to other defense-related businesses OSBORN ENGINEERING: Daniel Scaggs to senior manager; WanKyu Cleveland invest- Jantzen said. Sernicola to marketing associate. Park to senior consultant. ON THE WEB Story from ment firm JWI Capital WH Smith Abate Zemla Hirsh www.CrainsCleveland.com. PARSONS BRINCKERHOFF: Jeffrey LLC said it has com- was founded in Lechak to senior supervising engi- BOARDS pleted the acquisition of The WH 1874. Vint Rathbone, the previous neer and manager, Cleveland office. FUND FOR OUR ECONOMIC FUTURE: Smith Hardware Co. of Parkers- owner and CEO of WH Smith, said Deborah D. Hoover (Burton D. burg, W. Va. it was important to sell the business FINANCIAL SERVICE Morgan Foundation) to vice chair. JWI did not say what it paid for to a management group “with the 212 CAPITAL GROUP: Ryan WH Smith, which assembles and skill, excitement and capital NEIGHBORHOOD HOUSING makes fluid handling equipment and necessary to move this business Pannell and Jason Lukz to financial SERVICES OF GREATER CLEVE- advisers. load-securing and material handling forward.” LAND: Jeff Marshall (Transtar hardware, mainly for military uses. “I am confident JWI can guide WH ANCORA ADVISORS LLC: Robert Industries) to president; Marie DiPuccio Sweet Meyer Mark Jantzen, JWI managing Smith into a new era of growth,” Murray to institutional marketing. Kittredge to first vice president; director, said JWI “will focus on Mr. Rathbone said. PRIMUS CAPITAL FUNDS: William John Anoliefo to second vice presi- expanding (WH Smith’s) product JWI said its principals will assume R. McMaster to director. dent; Mark Fosnaught to treasurer; offerings to government agencies active roles in the daily management Amy Fulford to secretary. RETIREMENT SOLUTIONS: Jessica and by offering our products to the of WH Smith. Sefcik to executive assistant. PROFESSIONAL REMODELERS OF commercial markets.” JWI said Mr. Rathbone will serve OHIO: Gary Laurie (ABC Supply) to “We also intend for WH Smith to as a consultant to the new SCOTT SNOW (FINANCIAL ADVISORS) president; Paul E. Klein to chairman; be a platform to acquire other management team for a transitional LLC: David Abate to manager. Paul Trecarichi to president-elect; defense-related businesses,” Mr. period. SEQUOIA FINANCIAL GROUP: Patrict Hurst and Joe Tripi Jr. to Stanley Milovancev to executive vice vice presidents; Sarah Binder to Poklar Supan Goodman president and director, Retirement Plan treasurer; Chris Chatterelli to Services. secretary. Guru Award. Chardon: Dearth of capital hurts SS&G HEALTHCARE SERVICES LLC: Tara Painting and Joanne AWARDS PROFESSIONAL REMODELERS OF continued from PAGE 3 compression and injection molding Upton to billing specialists. OHIO: Sarah Binder (Stoneworks and support to help us realize that business and machinery, along with AMERICAN ASSOCIATION OF LTD) received the MVP Award; Dan NEUROSCIENCE NURSES: Erin M. potential.” its Chardon Rubber name, to HEALTH CARE Goodnow (Minute Men) received the Chardon Rubber, formed by Wabtec Corp. in July 2009. Supan (University Hospitals Case Rookie of the Year Award; Richard P. CLEVELAND CLINIC: Armando L. Medical Center) received the 2010 Jefferson W. Keener, Ms. DeVoe’s On Dec. 31, its plastics products Kasunic Jr. (CPR) received the father, and other investors in 1978, business was acquired by an uniden- Chardiet to chairman, Institutional Excellence in Neuroscience Nursing President’s Award. Relations and Development. Education Award. filed for Chapter 11 bankruptcy tified buyer, leaving only the rubber WESTERN RESERVE AREA protection in May 2009 after the mixing segment and plant. ■ ROBINSON MEMORIAL HOSPITAL: CLEVELAND ASSOCIATION OF AGENCY ON AGING: Marge Donley poor economy, high raw material Robert Zemla to director, plant BROADCASTERS: Vivian Goodman (Renaissance Retirement Community) costs and the loss of key customers Mike McNulty is a senior reporter engineering. (WKSU-FM) received a Broadcast received the 2010 Senior Volunteer hurt the company’s sales and limited with Rubber & Plastics News, a UNIVERSITY HOSPITALS AHUJA Legacy Award. Service Award. its available working capital. sister publication of Crain’s MEDICAL CENTER: Dr. Alan M. PHOTOSHOP WORLD 2010: The company sold its rubber Cleveland Business. Hirsh to chief medical officer. Brooke Figer (Kalman and Pabst Send information for Going Places to Photography) received a Best in Show [email protected]. LEGAL TAFT STETTINIUS & HOLLISTER LLP: Dominic DiPuccio to partner. TUCKER ELLIS & WEST LLP: Brenda Sweet to associate. Mission Workplace Solutions VORYS, SATER, SEYMOUR AND The New Workplace in a ReNEWing Economy learn, network, succeed PEASE LLP: Christopher J. Meyer Roundtable Series: Insightful strategies for a changing workplace Join other women in business at the to partner. WESTON HURD LLP: Robert A. Key4Women Forum.

Poklar to partner. The Customer of The Future: The Art of Creating True MANUFACTURING Customer and Employee Loyalty, featuring Cindy Solomon. THE FEDERAL METAL CO.: Leo Wednesday, May 5, 2010 Pinkard to plant manager. Wednesday, April 28, 2010 Holiday Inn Independence MARKETING 11:30 a.m. – 1:00 p.m. 6001 Rockside Road MOBIUS GREY LLC: Ronald Independence, OH 44131 Scirocco to account manager and Rethinking independent manager, client services. contractor status: 7:30 a.m. Registration and breakfast Has your company got it right? 8:00 a.m. Program begins REAL ESTATE 9:30 a.m. Program concludes CB RICHARD ELLIS: Chandler Converse Jr. to managing director, Thursday, May 20, 2010 brokerage and corporate services. Our Key4Women Forum guest speaker: 11:30 a.m. – 1:00 p.m. Cindy Solomon is a speaker, writer, and consultant. She shares REALTY CORPORATION OF her personal insights and the vast experience she has gathered AMERICA: Marco Marinucci to Social Media is on the fast track! as a renowned strategic consultant with organizations sales associate. Is your company on the right track? like The Ritz Carlton, Google, and Cisco. RUSSELL REAL ESTATE SERVICES: Joann Obermiller, Noura Asaad Register online today. and Nancy Estep to sales associates. Call 1.216.348.5400 or visit www.mcdonaldhopkins.com visit key.com/womensforum TRANSACTION REALTY: Kavi Kripa and Mark Mullet to sales associates. Your $25 registration fee benefits Attorneys on a Mission® Susan G. Komen for the Cure.* SERVICE Your mission is our mission. We never lose sight of it. THE DAVEY TREE EXPERT CO.: Jim Houston to operations manager, residential and commercial services. TREMONT ELECTRIC: Jim Szpak to director of engineering; Chuck Ames A business advisory and advocacy law firm to president. 600 Superior Avenue, East, Suite 2100, Cleveland, OH 44114 TECHNOLOGY Carl J. Grassi Shawn M. Riley President Cleveland Managing Member * $25 registration fee may be tax-deductible. This information is not intended as legal or tax ALPHAPORT: Jennifer Jones to vice advice. For specific tax advice, please consult your tax advisor. Chicago • Cleveland • Columbus • Detroit • West Palm Beach president, knowledge management KeyBank is Member FDIC training; Randy Adkins to knowledge ©2010 KeyCorp. . Key.com is a federally registered service mark of KeyCorp. CS10720 director; James May to manager, www.mcdonaldhopkins.com 20100426-NEWS--8-NAT-CCI-CL_-- 4/22/2010 2:55 PM Page 1

8 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010

PUBLISHER/EDITORIAL DIRECTOR: Brian D.Tucker ([email protected]) EDITOR: Mark Dodosh ([email protected]) MANAGING EDITOR: Scott Suttell ([email protected]) OPINION U b the judge ew people have a clue about the qualifications of the judicial candidates they are asked to choose from when they step into the voting booth. But thanks to the earnest work of a Fhandful of local law organizations, Cuyahoga County residents don’t need to cast their ballots for judgeships blindly. A new web site, www.Judge4Yourself.com, provides voters with the ratings of 23 judicial candidates as determined by four bar associations — The Norman FROM THE PUBLISHER S. Minor Bar Association, the Ohio Women’s Bar Association, the Cuyahoga Criminal Defense Lawyers Association and the Cleveland Metropolitan Cleveland sports fans having a ball Bar Association. The site is easy to use and easy to understand. Just click on “Judicial Candidate Ratings” on the home o as I sat at my desk last Thursday, I business deals in which they have no place. ever had, and no one expects them to lose page and it calls up a grid that breaks down the really wanted to write about the Now back to Draft 2010, which was the to the Bulls. From Dan Gilbert to Danny candidates by the courts for which they’re running. (then) coming NFL draft, but I knew constant topic of discussion around town Ferry to Len Komoroski to Mike Brown, it would be all over and the Browns the past week or so. This despite the Cava- the Cavs hierarchy is rock solid. And there It then provides a single score of zero (the lowest) to Swould have their choices made by the time liers being in the first round of the NBA is that little detail about having the most four (the highest) that represents the average score you read this. playoffs! gifted player on the planet on their team. for that particular candidate from the four bar groups. Writing about Mayor Frank Jackson Now in a normal time in Cleveland So naturally, sports fans looked to the But it goes one step further. Under the names of going to Dennis Kucinich for advice, guid- history, this might have been an annoy- NFL draft with heady anticipation, in part each of the bar groups, it indicates whether that ance or whatever else regarding a ance to Cavaliers brass. What because they always do — hope springs group believes a candidate is excellent, good, merger between Continental and BRIAN should be more important to our eternal for a Browns fan, regardless of the adequate or not recommended. United airlines also was out, for TUCKER sports fans — a bona fide cham- facts. As veteran sports writer Terry Pluto Deborah Coleman, chairwoman for Judge4 so many reasons I hate to start pionship-caliber team or one said in a radio interview last week, “(The Yourself.com, is correct when she says the only way enumerating them. I know the that has struggled its entire draft) is their Super Bowl because they’ve to assure that better qualified judges are elected “is mayor is in a hard place because “new” existence? never had a Super Bowl.” he has nothing to act on and And that is exactly the point. They’re also excited, rightly, about the ask the candidates a lot of tough questions and yet feels he can’t wait, lest he be The Cavs were up, two games to management team that owner Randy share that information with voters so they can stop criticized for that. none, against the Bulls as of last Lerner has put in place. The fans believe in playing ‘The Judicial Guessing Game.’” The thing is, Continental, for Thursday morning, and looked Mike Holmgren and the experienced staff “You don’t buy eggs without looking inside the all the good it has spurred with to be in the driver’s seat. As I’ve he has assembled. And they know that carton,” Ms. Coleman said. “We shouldn’t pick the hub here, is a massive com- written in the past, this is the first despite all the odds against NFL draftees judges without asking them a whole lot of questions.” pany with a lot on the line. It will do what year I can remember in my 58 years of be- succeeding, that at least a handful of those Of course, not everyone is a fan of the web site. is in the best interest of its shareholders ing a Cleveland sports fan that expectations 10 are going to help improve the team. Michael Dolan, who is running for a seat on the and employees, as it should. Absent an of a world championship are so high. We don’t know enough about the antitrust issue or some other potential The Cavaliers have the best owner- young Indians yet, but this is a pretty county Domestic Relations Court, told The Plain ■ Dealer he found the vetting process “to be a bit negative, politicians should stay out of ship/management/coaching team they’ve cool time to be a Cleveland sports fan. arbitrary.” That could be because Mr. Dolan received a “zero” and “not recommended” rating from all LETTERS four groups. We’d give credence to Mr. Dolan’s lament if a big disparity existed in the groups’ ratings. However, the bar groups largely were in sync with their candi- No joke: We’re better off without the smoke date assessments, which is revealing given the ■ Here’s a message for Mark Dodosh: firmly planted in cheek. There are better college students have benefited from different points of view from which they come. Please do not advocate repealing Ohio’s ways to raise money to fund the arts. a Third Frontier-funded internship Voters should take advantage of this insightful no-smoking laws, as he seems to do in his program which has awarded more than service and tap into the wisdom of these groups so April 19 commentary, “The Marlboro Judy Oliver $1.5 million to employers who hire highly they, too, can make wise choices on these important Man would be proud.” Twinsburg trained college students as interns for judicial posts. We non-smokers worked so hard to get Up with Issue 1 their tech-based industries. the laws enacted, and it is so awesome to The Northeast Ohio Council on Higher be able to walk into any bar and restau- ■ The May 4 primary election in Ohio Education (www.noche.org) has wit- rant in the state of Ohio and know that the provides voters with the opportunity to nessed the extraordinary help that Third Yes on 15 air will be free of smoke. support a program that, quite simply, gets Frontier has offered to these businesses Keep in mind that it’s also those it right for Ohio. Issue 1 — which does not and college students — the state’s best oters in Cuyahoga County understandably employees who work at restaurants and raise taxes — is a statewide measure to and brightest future workers — and urges have little faith in county government bars who benefit from no-smoking laws. renew the highly successful Ohio Third support for this program that is the envy because of a continuing federal public They usually do not have a choice as to Frontier economic development and jobs of other states. For more information, corruption investigation. However, we where they are employed. They, and the program. visit www.unitedforjobsohio.com. hopeV voters don’t express their disapproval by voting items they serve, were previously exposed, Through Third Frontier, Ohio has made Vote “yes” on Issue 1 on May 4, and say like it or not, to tobacco smoke every key investments in technology, research, “yes” to a bright future for Ohio. against the county health and human services levy minute of every day. innovation and entrepreneurship. With a that is on the May 4 ballot. In a free market system, restaurants total return on investment averaging 22% Robert P. Reffner The levy helps provide vital human services to and bars have to be unified against per year over the life of the program, Third Chairman some of the most vunerable members of our com- prohibiting patrons from smoking. Frontier has resulted in more than 571 new Ann Womer Benjamin munity, and it does not raise taxes. We urge county Otherwise, the playing field is not level. companies, the expansion of businesses Executive director residents to vote “yes” on Issue 15. I hope Mr. Dodosh meant his and more than 48,000 new jobs for Ohioans. Northeast Ohio Council on Higher commentary to be read with tongue In addition, Ohio businesses and Education 20100426-NEWS--9-NAT-CCI-CL_-- 4/22/2010 3:37 PM Page 1

APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 9

of Mr. Shapiro’s greatest strengths is involving those he’s leading in his Wind: Ohio manufacturers Shapiro: GM well regarded decisions. “He’s very passionate about people, eager for some business continued from PAGE 3 do quickly, and later we’ll go back and empowering and developing them,” League Baseball’s on-field product. tackle some of the bigger things.” said Mr. Byrnes, who said he got his While Mr. Shapiro and others are interview with the Indians because continued from PAGE 1 Encouraging the development of Praise from peers mostly vague early in the process, of Mr. Shapiro’s father — longtime now generate electricity for homes a wind power industry in Ohio is be sure hot-button topics such as While the commissioner’s out-of- agent, Ron. “His leadership style is and businesses and yield thousands important, and not only for the instant replay, umpiring, lengthy nowhere request for Mr. Shapiro’s very selfless, very inclusive.” of dollars for farmers and other landowners who would lease space games and realignment are chief assistance may surprise Indians Mr. Shapiro admits he’s been tested landowners who lease space for the to the towers and the construction among the issues that have been or fans who are, well, less than pleased at times, perhaps never more than giant structures. The state also crews that would put them up. Ohio will be discussed. with the current state of the team, now, when attendance at Progres- benefits from hundreds of jobs for manufacturers are hungry for wind “Mark Shapiro is one of the truly the rise of the Tribe’s soon-to-be sive Field is at an all-time low. The wind turbine installers and crews to energy business, said John Colm, impressive young executives in Major president is no surprise to his peers. challenges have changed, though: maintain the structures. president of the manufacturing advo- League Baseball today,” Mr. Selig Andy MacPhail, a longtime Previously, the Yankees, Red Sox and Ohio? It has about 8 megawatts of cacy group Wire-Net in Cleveland. said in an e-mailed statement. “His Chicago Cubs executive before other big-market clubs poured wind energy production, most of it Wire-Net’s Great Lakes Wind Net- intelligence is accompanied by great becoming the Baltimore Orioles’ resources into their major-league coming from small installations, work has attracted 1,450 members, passion, creativity and a collabora- president of baseball operations in payrolls; now, those teams are oper- some of which only supply power to including 700 Ohio companies, Mr. tive spirit, and those were exactly 2007, sits on Mr. Selig’s committee ating like small-market teams, with their owners or are mainly for show. Colm said. Of those, 179 already are the qualities I sought.” and said Mr. Shapiro quickly over- added emphasis on scouting, talent Unless the state changes how it selling to the wind industry, and Mr. Shapiro favors instant replay, came any initial unease. The Indi- development and analytics. treats wind development, those in many others are trying to get in. and said the committee would ans’ boss has an extensive business The challenges notwithstanding, the industry say, Ohio is likely to In terms of new installations and focus on improvements it could background, Mr. MacPhail said. Mr. Shapiro said he’s stayed in continue to lag other states in energy industry spending, wind energy is make touching issues subject to “He offers a little different perspec- Cleveland because he’s invested in production — and that outcome expected to have a growth rate of collective bargaining, such as the tive than some of the guys who have the team and looks forward to bringing ultimately would hurt Ohio manu- more than 25% annually through at league’s revenue-sharing model. been around the game for a longer a winner back to Progressive Field. facturers who hope to supply the least 2014, Mr. Colm said, and is Already, the league has made a period,” Mr. MacPhail said. “He’s “We’ve been through periods industry with parts. ready to take off in the state. Mr. change to limit off days between more well-rounded, both with busi- when we were the toast of the town, Colm said 500 megawatts of wind playoff games; committee member ness experience but also with some but you have to realize these moments A senator steps up projects already are planned for and Los Angeles Angels of Anaheim different analytics teams are using.” were never far away,” Mr. Shapiro Enter state Sen. Chris Widener of Ohio, and more will come quickly if manager Mike Scoscia had been general said. “You can’t get too far up when Springfield. The Republican wants the conditions are right. critical of off days in last year’s Amer- manager Josh Byrnes got his start in people are calling you geniuses, and to exempt turbines in Ohio from ican League Championship Series. the Indians’ front office in 1994, two can’t let the negativity now affect you. property taxes and instead tax them Need for speed “Our first meeting tackled a wide years after Mr. Shapiro; Mr. Byrnes’ “I hate losing,” he said. “This at a rate of $7,000 per megawatt. Companies that have penetrated range of things,” Mr. Shapiro said. last role here was as the Tribe’s doesn’t dull your competitiveness at That rate would result in a cost of the wind market need no convincing “Later, we’ve narrowed it down and scouting director, before he left for all; I take the responsibility of pleasing about $10,000 for some of the larger as to the importance of improving the talked about smaller things we can the . He said one the fans very seriously.” ■ turbines now being installed, but environment for wind in Ohio. less for others. It would put the Cardinal Industries in Bedford Ohios tax burden in line with its Heights never had sold into the neighbors, said Sen. Widener and wind industry until 2007, said chief Mr. Lystra, who supports the effort. operating officer Wendy Brugmann. The bill now is before the Ohio When Cardinal got its first order for Senate’s Energy and Public Utility, bolts from a turbine developer, it where it has withstood six hearings didn’t even know what they were and testimony from those for for, only that a customer needed The Solon Select is a and against the measure, said Sen. them quickly and Cardinal could fill distinguished group Widener’s legislative aide, Brad the order fast. When It Gets of more than 800 Ingraham. Today, Cardinal gets about half businesses that have The effort enjoys bipartisan its revenue from the wind industry, chosen to locate in support, though proposals in the Ms. Brugmann said. A photo of a the City of Solon. Ohio House and from the gover- Cardinal employee even made the Down to Business… nor’s office differ slightly. Both the cover of wind energy association’s House and Senate bills would apply 2009 annual report, under the to wind and solar energy projects, banner “rebuilding America one Solon Gets It! but Sen. Widener’s measure also bolt at a time.” covers investments in clean coal Now, folks such as Mr. Lystra, Mr. and nuclear power generation, the Colm and Sen. Widener hope the The City of Solon welcomes these new businesses: senator said. The House bill also state can move quickly to better 1 EDI Source, Inc. gives developers varying degrees of position more Ohio companies to Anna Maria at Home LLC tax breaks, depending on how many copy Cardinal’s success. While bolts Ohioans are employed by a project. can be easily shipped across the Benny’s Grille “That’s too cumbersome,” said country, larger components benefit Charles Shoe Repair Sen. Widener, who noted his bill greatly by being made near their Cleveland Tungsten Inc. requires the companies to employ final installation — which could be mostly Ohioans, but does not leave Ohio if Sen. Widener’s bill or one Comfort Systems USA, Inc. them guessing about future tax bills. like it is passed. ■ Dynamix Group, LLC Extreme Slate Roofing J.B. Hunt Keller Williams of Greater Cleveland Southeast, LLC Pacific East is SMALL Business Big to Us! Premier Metal Services, LLC Teresa’s Pizza Management The Middlefield Banking Company built our business on Christopher Paul Viland, Attorney at Law helping small business. We will treat you with dignity and fairness, and give you the consideration you deserve. Water & Wastewater Equipment Co. 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The Middlefield Banking Company www.middlefieldbank.com Solon’s Got It! 888-801-1666 Prime industrial, office and retail sites at www.solonohio.org City of Solon • 34200 Bainbridge Road • Solon, Ohio 44139 • 440.337.1313 Peggy Weil Dorfman, Economic Development Manager • [email protected] 20100426-NEWS--10-NAT-CCI-CL_-- 4/22/2010 9:50 AM Page 1

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APRIL 26-MAY 2, 2010 CRAIN’S CLEVELAND BUSINESS 11

INSIDE 13 CLASSES DELVE INTO BREADTH OF SOCIAL MEDIA. HIGHER EDUCATION

COLLEGES SET COURSES OF ACTION Inflation, expected declines in state funding pave the way for Northeast Ohio universities to increase tuition

By SHANNON MORTLAND new ways to handle inflation, debt service [email protected] and anticipated cuts in state funding. ollege students will see higher “Just the cost of fringe benefits tuition in the fall as schools in continues to be the Pac Man of the Northeast Ohio and across the university,” said Scott Borgemenke, country look for additional interim vice president for finance and Crevenue to pay the bills. administration at the University of Most Northeast Ohio colleges already Akron. “It continues to eat up a bigger have raised tuition for fall or are and bigger share (of the budget).” considering price hikes as they search for See TUITION Page 15

ADDING INSULT TO INJURY Rising costs are nothing new to higher education. In a report released in October, The College Board, a nonprofit membership association made up of more than 5,600 educational organizations, announced that college prices for the 2009-10 academic year were rising as state funding and endowment values declined. Average price changes for the 2009-10 academic year:

Private nonprofit Public 4-year Public 4-year Public For-profit 4-year in-state out of state 2-year Published 09-10 tuition $26,273 $7,020 $18,548 $2,544 $14,174 1-year dollar increase 1,096 429 1,088 172 859 1-year % increase 4.4% 6.5% 6.2% 7.3% 6.5%

SOURCE: THE COLLEGE BOARD 20100426-NEWS--12-NAT-CCI-CL_-- 4/22/2010 2:55 PM Page 1

12 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010 HIGHER EDUCATION Ethics training assumes varying forms as current events raise awareness Notre Dame CoLLege Students explore individual character, sustainability By AMY ANN STOESSEL “Sustainability is a wonderful [email protected] broad concept that people are latch- ing on to,” he said. “I call it the new hile teaching ethics is corporate ethics of the 21st century. Adult Programs not a new focus for It opens up the frame of thinking.” college campuses, some Shannon French, director of the believe that current Inamori International Center for For A Changing World eventsW have at the very least helped Ethics and Excellence at Case bring questions of discerning right Western Reserve University, said she • Our Finn Center for Adult Education offers more than 30 career-focused from wrong to the forefront. too has noticed a shift in regards to majors including Nursing, Education, Intelligence Studies, and Business Northeast Ohio schools that ethics training. • Day, Evening, Online, and Weekend options already had a strong commitment to “The thing I most often get asked to fit your busy schedule ethics training are continuing in to present on … they want me to talk Notre Dame College is one their missions, and in some cases about character,” Dr. French said. of the best colleges and universities • Bachelor’s, Master’s, and Certificate programs available in the Midwest according to those efforts are taking on a new That center’s focus is on ethics The Princeton Review. shape. and ethical leadership, and it is a For more information, contact us at 216.373.5173 or online at Lake Erie College, for one, recently university-wide entity serving all of increased its focus on the subject CWRU’s colleges through speakers, www.NotreDameCollege.edu/adult. with the establishment last year of training and workshops. In addition 4545 College Road its Center for Ethics. to working with students, the center Cleveland, OH 44121 “In general, it’s very important supports faculty activities and 1.877.NDC.OHIO given what we’re seeing happening participates in community outreach, www.NotreDameCollege.edu in the world today,” said Scott such as its upcoming International Evans, the college’s vice president Peace and War Summit, which is Changing the World… for institutional advancement. slated for Oct. 25 to 30. One Student at a Time. The center held Overall, Dr. its first event on French said, April 16, “Ethical “Sustainability is a wonderful there has been a Issues for Forensic broad concept that people greater emphasis Psychology on the individual Practice: What are latching on to.” and ethics at the Psychologists and – David Krueger personal level, Lawyers Should director of Institute for Sustainable rather than on a Know,” and while Business Practice, Baldwin-Wallace specific set of plans still are in rules and case the works for the studies. center, Lake Erie College said the “I definitely think it’s a response basis for programming will be to to what is happening around us,” provide multidisciplinary education she said. opportunities, lectures, professional development and support for ethics ‘Teachable moment’ research and scholarship. There always is a bump in Alison Benders, who recently interest when current events lend CONGRATULATIONS started as Lake Erie College’s vice themselves to discussions of ethics, president for academic affairs, said said Robert Lawry, director and she hopes the center ultimately will co-founder of the CWRU Center for help bring ethical discussions into Professional Ethics, which was perspective. “I want to be known for created more than 25 years ago and to the Kent State University College of the translation of theory into in recent years became part of the practice,” she said. law school. Business Administration for achieving Dr. Benders, who previously was “There’s always a hue and cry dean of graduate and professional when you have that next scandal,” initial accounting accreditation from the studies at Ursuline College, said a he said. However, he said that gener- campus should play a role in ally speaking there can be resistance Association to Advance Collegiate Schools discussions over ethics. — especially from some business of Business. AACSB accreditation is the “Educational institutions are schools — to further entrench ethics privileged by society to be the place training into curriculums. hallmark of excellence in business to have these hard conversations,” The emeritus professor of law Dr. Benders said. said the ’80s and ’90s were growth education, and has been earned by less than periods for ethics training while New approaches efforts have plateaued over the past 5 percent of the world’s business schools. David Krueger, the Charles E. 15 or so years. “It seems to be the Spahr Chair in Managerial and case it very much has become part Special thanks goes to Kent State Accounting Corporate Ethics at Baldwin- of the mainstream,” Dr. Lawry said. Department Chair Linda Zucca for her Wallace, said Watergate and the Similarly, Paul Lauritzen, director scandals of the 1970s in some ways of John Carroll University’s Program instrumental role in achieving this honor. served as a catalyst. in Applied Ethics, said there has not Linda Zucca “The field of business ethics is necessarily been a significant only a generation old,” he said. change in interest at that school due Accounting Department Chair “Over the past 30 years, business to current events. He attributes that ethics has really become main- to John Carroll already having a stream.” dedication to the subject; its From Dr. Krueger’s viewpoint, interdisciplinary Program in Applied business ethics today is linked to the Ethics was established in 1992. concept of sustainability. B-W has a However, Dr. Lauritzen said when number of initiatives in progress to scandals emerge there can be a broaden its programming in that renewed commitment to addressing area, including an undergraduate ethics issues, using current events as College of Business Administration degree, the Institute for Sustainable “a teachable moment.” Business Practice, for which Dr. “Stories in the news of ethical fail- Kent State University, Kent State and KSU are registered trademarks and may not be used without permission. Kent State University, an equal opportunity, affirmative action employer, is committed to Krueger serves as director, and plans ures … are always a good source of attaining excellence through the recruitment and retention of a diverse work force. 10-0734 for an MBA in sustainability. generating interest,” he said. ■ 20100426-NEWS--13-NAT-CCI-CL_-- 4/22/2010 9:50 AM Page 1

APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 13 HIGHER EDUCATION

taught him ways to use the different tools together, he said, noting that Courses dissect social media complexities his LinkedIn profile now carries the messages he posts via Twitter. activists now account for a majority his credentials and his blog online. “It really did a good job of tying Corporate College hosts classes designed to instruct of the people on Nestlé’s Facebook Most people, however, won’t even the components together,” he said. fan page after the Swedish food add their professional contacts on Mr. Zupan plans to attend another attendees on methods to maximize tools’ potential giant failed to respond quickly Facebook to lists that would block class, as does Pat Walker, president to online comments about the them from seeing personal infor- of 4walls, a Cleveland company that By CHUCK SODER thing in the morning or during company buying palm oil from an mation and photos. designs and sells decorative wallpaper [email protected] lunch. Indonesian supplier accused of “Why should I get pictures of your and other wall products. The standard class is four hours destroying rainforests. family vacation?” Mr. Heaney said. Mr. Walker, who plans to use he social media landscape long, but participants don’t just sit Social media can work for indi- Frank Zupan, who has taken one Facebook to target interior designers is too vast to traverse in 30 and listen the whole time. Though viduals, too, said Mr. Heaney, who Social Media Lab class, already and architects, said he liked that the minutes. each class starts with a lecture, owns Orange Envelopes, a North- used sites such as Twitter and presenter didn’t act as if social media That’s why Corporate those who attend use Corporate east Ohio marketing firm for small LinkedIn for recruiting purposes tools were going to solve all his prob- TCollege and LNE Group LLC have College computers to follow businesses. For instance, an at Dealer Tire LLC, a Cleveland lems. created the Social Media Lab, a series presenters as they discuss ways to unemployed friend of his quickly company that helps car makers “It wasn’t a faucet we were going of classes designed to teach busi- use various web sites. After the won a new job after an interview manage tire replacement programs to turn on and get instant results,” nesses, organizations and individuals lecture, participants experiment partly because the company found for dealerships. The class, however, he said. ■ the best ways to use web sites such with the tools themselves to figure as Facebook, LinkedIn and Twitter. out how they might best use them, The classes, hosted at Corporate while experts provide assistance, College East, cover how social said Mr. DeAloia, who used to be media tools can be used for all the city of Cleveland’s senior exec- sorts of purposes, such as promoting utive for technology development a brand, recruiting and communi- and came to be known as the “tech cating with customers. czar.” It would be too difficult to cram “We’re presenting and then all that information into a single we’re actually doing it, right then seminar, said Chuck Mackey, exec- and there,” he said. utive director for information tech- Mr. DeAloia teaches a class nology at Corporate College. called The Four Pillars of Social He got the idea to form the Social Media, which covers the basics of Media Lab in September after how companies, organizations and watching Michael DeAloia, a prac- individuals can use Facebook, tice leader for the LNE Group, a LinkedIn, Twitter and blogs. The government and public relations other classes include Branding in firm based in Cleveland, give a the Social Media Sphere, Social presentation on the topic during a Media Analytics, Social Media in luncheon at Windows on the River Exceptional Customer Service, in the Flats. Social Media and Employee Attrac- The presentation was good, but tion, and Social Media Techniques Mr. Mackey wanted more. He for Business Development. asked if the others at his table felt Anyone who completes four of the same way. They did. the classes would receive a specialist “I thought, ‘Boy, this is really certification from the Social Media great, but a half-hour discussion Lab, and anyone completing six on this isn’t going into any detail,’” would receive a professional certifi- Mr. Mackey said. cation. Each class costs about $400, Seems he was right about demand though groups and nonprofits can for classes. The four Social Media get discounts. The Social Media Lab Lab classes held since the program Express seminars would cost signifi- began in February each have cantly less. attracted about 15 to 20 people, so Corporate College and the LNE A right way and a wrong way Group, which helped design the John Heaney, who teaches the Imagine your teen prepared for life curriculum for the courses and class about branding, said social locate presenters, expect to be able media tools, while free, don’t work to organize a class every few weeks. well for organizations that don’t — in FOUR years. They’re also planning to start a put in the time and effort to use new series of “express” classes that them properly. would cover the same topics in They can even backfire, he said, It’s ironic. Many colleges boast “accelerated hour-long blocks scheduled first describing how environmental degrees in three years” when, in reality, barely half of students nationwide graduate in six years. 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14 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010 HIGHER EDUCATION

corporations have already stepped or look at that; maybe there’s a current advisory board member of up their efforts as it relates to better way to do (the search) that is the Toni Morrison Society, a non- THEINTERVIEW diversity,” she said. “In higher ed, more inclusive.’” profit devoted to the life and work MARILYN SANDERS MOBLEY The university identified inclu- where you might think it’s already Dr. Mobley used to be on the of the author of the Pulitzer Prize- Vice president for inclusion, sion and diversity as core values in happening, it’s been happening in other side of that conversation — winning book, “Beloved,” which is diversity and equal opportunity a strategic plan adopted in 2008. spurts and starts.” as a faculty member chairing a a story that explores the impact of Case Western Reserve University In November, the university led a Dr. Mobley divides her job into search committee — and that slavery and emancipation on the group of six northern Ohio univer- two parts. One is to make sure eased her transition into her work book’s characters. By JAY MILLER sities that won a $1 million National those with diverse backgrounds, as a diversity officer. But Dr. Mobley vividly remem- [email protected] Science Foundation grant to including disabled, foreign and An Akron native, Dr. Mobley bers another Morrison work, an expand a CWRU program designed minority students, faculty and staff, earned a bachelor’s degree in essay titled, “The House that Race arilyn Sanders Mobley to recruit and retain women and feel comfortable on campus. The English at Barnard College of Built,” that put race in perspective still considers herself a other underrepresented minorities other side of her job is to make sure Columbia University in New York for her. “I love the way she has teacher, even though in the sciences and engineering. the university complies with its le- City and a master’s in English from helped me as a thinker, as a woman her job for the It also is opening later gal and moral responsibilities to New York University. and as an educator” understand race. Mlast year at Case Western this spring a Lesbian Gay provide equal opportunity in She came back to Northeast Reserve University has Bisexual Transgender hiring and in procurement. Ohio to get her doctorate in Making an impact been as vice president for Center in the student “We have to keep both in front of English from CWRU. For two years Her work so far has drawn plaudits inclusion, diversity and center to make the univer- us, like two trains running smoothly during the time of her doctorate from at least some of those she serves. equal opportunity. sity more welcoming to side by side,” she said, though she studies she was program coordinator Jane Daroff, a social worker with “I’ve been doing diversity LGBT students. acknowledged, “some conflict is of the Afro-American Cultural the CWRU counseling center and a work all my life, but as an “There have been some inevitable.” Center and assistant director of the member of the board of directors of English professor,” she said good diversity initiatives black studies program at Cleveland the Human Rights Campaign, a recently. “I see diversity Mobley here already but President Full circle State University. Washington, D.C.-based nonprofit work as an extension of my Snyder knew, the board of Dr. Mobley said that she realizes She began her post-doctoral that describes itself as the largest training as an educator; it’s about trustees knew, we all knew that we the work will sometimes seem teaching career at Howard Univer- national lesbian, gay, bisexual and sharing ideas and often strategies.” needed to ramp up our efforts,” intrusive, like when she sits in with sity in Washington, D.C., before transgender civil rights organization, Dr. Mobley has been CWRU’s she said. “Putting this at a cabinet- a department search committee moving on to spend 15 years at gives Dr. Mobley a passing grade so diversity chief since January 2009. level position is a step in the right looking to hire a new professor and George Mason University teaching far. CWRU president Barbara Snyder direction.” reminds the committee to make English and founding the African- “I know she’s been making a big elevated the diversity office to a Dr. Mobley noted that the academic sure it casts a wide net. American studies program at the impact on campus,” Ms. Daroff said. cabinet-level job with the hiring of world may be lagging behind the “Often, people want to do what Fairfax, Va., school. She rose to “I think she’s working very hard and Dr. Mobley in one of several efforts business world, where some corpora- they’ve been doing,” she said. “So, associate provost for educational I know some of the people working the university has undertaken since tions are aggressively creating more often, a diversity officer’s work is to programs before leaving George with her and they seem very pleased Ms. Snyder became president in 2007. diverse work forces. “In many respects, say, ‘Maybe you want to look at this Mason in 2007 for Bennett College with the progress.” for Women in Greensboro, N.C., Student leader Duwain Pinder where she was provost, the chief concurs with Ms. Daroff. academic officer. “I’ve been really, really pleased,” The CWRU job was attractive to said Mr. Pinder, a senior and presi- her in part because it brought her dent of the undergraduate student home to her ailing mother in government. “There’s been a lot Akron. She was chosen — by a more dialogue taking place on a search committee — from more student-faculty level.” than 130 applicants. Mr. Pinder said he thought a Closest to her heart academically, program called Diversity 360, and even now professionally, is the which brought students together work of Lorain author and Nobel with corporate recruiters to talk Prize winner Toni Morrison, who about efforts in business to hire a she describes as understanding the diverse work force, was especially dynamics of diversity. In fact, Dr. helpful as he gets ready to enter Mobley is a past president and a the real world. ■

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APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 15 HIGHER EDUCATION Tuition: Ohio’s colleges in better position than those elsewhere

continued from PAGE 11 A REVIEW OF COLLEGES’ PLANS tuition increases are falling upgrades, expenses for library Last month, Akron approved a between 4.5% and 5% for next fall, and other educational services, 3.5% hike in tuition and fees for A number of Ohio’s public and ■ Lake Erie College increased fall he said. That’s slightly higher than and increasing health insurance undergraduates and graduates and a private colleges have inflated rates by 1.5%. last year’s average tuition increase costs. 6% tuition boost for law students. Mr. of 4.3% for private colleges across “There has been a serious dip in costs for the coming school year. ■ Notre Dame College will raise Borgemenke said the increase will help the country, he said. fundraising and substantial losses in its fall tuition by 3.9%. the university handle new debt ser- ■ Cleveland State University However, Ohio’s public colleges the endowment,” he said. “The stock ■ vice, maintenance for a new parking implemented a 3.5% mid-year boost John Carroll University are faring better than their coun- market has gone up, and we project garage and overall rising expenses. and has another 3.5% hike slated approved a 4.6% bump in the cost to terparts in other states, mostly due that fundraising will go up in the Ohio’s public colleges were for fall. pursue a degree. to budget deficits fueled by the coming year but it will take a while permitted by law to raise tuition ■ The University of Akron OK’d a recession. The state of California is to make up what’s been lost.” ■ Cuyahoga Community College 3.5% in the 2009-2010 and 2010- 3.5% hike in tuition and fees for under- grappling with a $20 billion budget State funding is expected to is increasing its tuition by 5%. 2011 school years. As a result, graduates and graduates. gap and has announced that become a thorn in the side of Cleveland State University used a ■ Lorain County Community ■ Baldwin-Wallace College is tuition at its public universities Ohio’s public universities as state mid-year increase to bump its College’s tuition will rise by 3.5%. raising tuition by 4.25%. could skyrocket as much as 30% in legislators try to plug an $8 billion tuition up by 3.5% for the current the fall. Public universities in some hole in the 2012-2013 biennial semester and will implement other states have speculated that budget. another 3.5% tuition increase for increased tuition by varying Baldwin-Wallace’s endowment tuition could go up between 10% “I think we’ll fare OK in 2012, fall, said Rob Spademan, a degrees as well. Lake Erie College has bounced back to $110 million and 15% next year. but I think fiscal year 2013 is going spokesman for Cleveland State. increased fall tuition by 1.5% to from its low of $95.8 million last Mr. Pals said the driving forces to be really interesting,” Akron’s Kent State University has not yet $25,674, up from $25,296, said year, but still is well below its high for tuition increases are technology Mr. Borgemenke said. ■ discussed a tuition increase for fall Robin McDermott, vice president of $130.2 million at the end of but the topic could come up in the for enrollment management and 2008, he said. The decline has school’s May 26 board meeting, a student affairs at Lake Erie. resulted in the loss of $600,000 in spokeswoman said. Notre Dame College will boost operating funds the school receives Community colleges are enacting its tuition to $23,080 in the fall, from its endowment in the 2009 similar increases. Last week, Cuya- which is 3.9% higher than the cur- and 2010 fiscal years, he said. hoga Community College announced rent annual tuition of $22,192, said In addition, the state eliminated its tuition will increase next year to David A. Armstrong, vice president the Ohio Choice Grant, which :+< " $84.57 per credit hour, up 5% from for enrollment at Notre Dame. helped students attend Ohio’s leeaarrn. eaarnn. intteern. $80.54 per credit hour. It is the first “We’ve tried to keep those private schools, Mr. Lee said. tuition hike at Tri-C in four years. (increases) below 5%,” he said. Consequently, Baldwin-Wallace “The volatility of state funding has Though Notre Dame held bene- lost $2 million from that grant and impacted the college’s finances and fits and salaries steady and laid off had to reduce its budget to make >>FREE INTERNSHIP POSTINGS CONNECT higher education across Ohio,” said three people in the current fiscal up for that loss, he said. YOU TO TALENT Craig Foltin, Tri-C executive vice year that ends June 30, rising fuel “It’s not an increased-spending president of administration and costs and the college’s enrollment problem that I see,” Mr. Lee said. >>ONE-STOP ACCESS TO NORTHEAST OHIO’S finance. “When comparing Tri-C’s growth have had a big impact on “It’s more of a market-driven state funding in 2001 to expected its budget, Mr. Armstrong said. forces problem and a drop in our COLLEGES AND UNIVERSITIES SIMPLIFIES state funding later this year, the For its part, John Carroll Univer- endowment value.” YOUR SEARCH PROCESS college will receive almost $43 million sity has seen its health care and Could be worse less in inflation-adjusted dollars.” employment costs increase, so the >>TRAINING MATERIALS AND WORKSHOPS Lorain County Community university has approved a 4.6% Tuition increases at Ohio’s ENHANCE YOUR RETURN ON INTERN College also announced earlier this tuition boost for next fall, said private colleges are in line with year that its tuition will rise 3.5%, Brian Williams, vice president for those expected across the country from $90.60 to $93.75 per credit hour, enrollment at John Carroll. for the upcoming school year, said beginning this summer due to state Likewise, Baldwin-Wallace Tony Pals, a spokesman for the budget challenges for higher educa- College is raising its tuition to National Association of Indepen- log on to www.neointern.net tion. $25,260 in the fall, an increase of dent Colleges and Universities in to find your next intern Not just a public problem $1,030 or 4.25%, said Tom Lee, the Washington, D.C. college’s vice president for finan- The association is conducting its Local private institutions have cial aid and administration. annual member survey and, so far,

ON THE WEB Stories from www.CrainsCleveland.com. Oberlin to unveil new jazz center

Oberlin College on May 1 will open the $25 million home of its jazz program. The 36,000-square-foot building includes a recording studio, prac- Ethical. Entrepreneurial. Engaged. tice rooms, faculty offices and storage for memorabilia, media and instruments. It is part of a $60 million renovation.

■ PICTURE THIS: The University of Akron has received a $303,000 federal grant to Bloomberg digitize part of a photo collection detailing the history of Goodyear Congratulations to Tire and Rubber Co. The James F. Dicke College The two-year grant from the National Endowment for the Hu- of Business Administration, manities will be used to scan and recently named one of the top catalog about 22,500 of the company’s 250,000 photos. The 111 undergraduate business grant will enable the university to programs in the U.S. and awarded inventory the collection, which spans from 1912 to 1984, and an A+ in teaching quality by to preserve the oldest photos. Goodyear donated the collec- Bloomberg BusinessWeek (2010). tion to the university in 2008. 20100426-NEWS--16-NAT-CCI-CL_-- 4/22/2010 9:51 AM Page 1

16 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010 LARGEST COMMERCIAL CONTRACTORS RANKED BY 2009 REVENUE

FTE employees as Company Local revenue New local # of local New corporate # of corporate of 4/1/2010 Address 2009 contracts 2009 projects started contracts 2009 projects started Local Year Rank Phone/Web site (millions) (millions) 2009 (millions) 2009 Corporate founded Top local executive

Cleveland Construction Inc. 1 8620 Tyler Blvd., Mentor 44060 $342.5 $7.1 9 $90.7 24 88 1980 Jon D. Small (440) 255-8000/www.clevelandconstruction.com 769 president Gilbane Building Co. Thomas M. Laird Jr. 2 1621 Euclid Ave., Suite 1830, Cleveland 44115 $307.5 $360.0 4 $3,010.4 196 71 1873 senior vice president, (216) 535-3000/www.gilbaneco.com 1,827 regional manager The Ruhlin Co. 3 6931 Ridge Road, Sharon Center 44274 $181.4 $90.0 31 $152.0 45 160 1915 James L. Ruhlin (330) 239-2800/www.ruhlin.com 240 president, CEO Fortney & Weygandt Inc.(1) 4 31269 Bradley Road, North Olmsted 44070 $113.2 $11.3 34 $117.1 2,006 160 1978 Robert L. Fortney (440) 716-4000/www.fortneyweygandt.com 170 president Panzica Construction Co. 5 739 Beta Drive, Mayfield Village 44143 $105.6 $85.0 30 $90.0 32 100 1956 Anthony M. Panzica (440) 442-4300/www.panzica.com 100 president, CEO The Austin Co. 6 6095 Parkland Blvd., Cleveland 44124 $73.5 $11.0 4 $21.0 122 83 1878 Patrick B. Flanagan (440) 544-2600/www.theaustin.com 133 president Turner Construction Co. Mark L. Dent 7 1422 Euclid Ave., Suite 1400, Cleveland 44115 $71.3 $347.0 17 $6,140.0 NA 115 1902 vice president, general (216) 522-1180/www.turnerconstruction.com/cleveland 6,161 manager Donley's Inc. 8 5430 Warner Road, Cleveland 44125 $55.5 $103.0 4 $165.4 7 75 1892 Malcolm M. Donley (216) 524-6800/www.donleyinc.com 110 president, CEO Continental Building Systems 9 23230 Chagrin Blvd., Suite 430, Beachwood 44122 $27.3 $19.1 13 $115.0 68 16 1984 Rick Adante (216) 454-0111/www.continental-realestate.com 122 project executive Infinity Construction Co. 10 18440 Cranwood Pkwy., Warrensville Heights 44128 $23.8 $27.3 28 $27.3 28 28 1997 Charles A. Izzo (216) 663-3777/www.infinityconstruction.com 28 president Drake Construction Co. 11 1545 E. 18th St., Cleveland 44114 $16.0 $12.0 47 $12.0 47 40 1954 Steve Ciuni (216) 664-6500/www.drakeconstructionco.com 41 president Carmen Construction Co. 12 417 Commerce St., Tallmadge 44278 $6.3 $6.3 9 $6.3 9 6 1950 Joseph R. Scaccio (330) 633-4111/www.carmenconstruction.com 6 president Source: Information is supplied by the companies unless footnoted. Crain's Cleveland Business does not independently verify the information and there is no guarantee these RESEARCHED BY Deborah W. Hillyer 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) Corporate projects number includes roll-out projects.

Doing our part to keep our Great Lake great.

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APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 17 NORTHEAST OHIO'S TOP SBA LENDERS RANKED BY DOLLAR VALUE OF 7(A) LOANS IN SECOND QUARTER FY 2010

This Company name Dollar value of year Headquarters approved loans Number of loans

Huntington National Bank 1 Columbus 26,183,300 139

Fifth Third Bank 2 Cleveland 9,307,200 20

JPMorgan Chase & Co. 3 New York, N.Y. 5,863,000 47

KeyBank NA 4 Cleveland 4,646,300 39

CFBank 5 Fairlawn 3,940,000 15

Ohio Commerce Bank 6 Beachwood 3,895,000 7

Grow America Fund Inc. 7 New York, N.Y. 3,271,000 6

Lorain National Bank 8 Lorain 2,975,500 12

Citizens Banking Co. 9 Sandusky 2,676,000 6

First Place Bank 10 Warren 2,417,000 4

United Western Bank 11 Denver 2,103,000 2

PNC Bank 12 Pittsburgh, Pa. 2,075,300 8

Genoa Banking Co. 13 Genoa 2,065,800 6

First Western SBLC Inc. 14 Dallas, Texas 1,965,000 2

FirstMerit Bank NA 15 Akron 1,926,100 21

The First National Bank of Bellevue 16 Bellevue 1,860,000 5

Charter One Bank NA 17 Providence, R.I. 1,627,000 28

First Colorado National Bank 18 Paonia, Colo. 1,500,000 1

Citizens Bank 19 Flint, Mich. 1,411,600 10

First Financial Bank 20 El Dorado, Ark. 1,409,400 1

The Henry County Bank 21 Napoleon 1,350,000 1

Enterprise Bank 22 Alison Park, Pa. 1,300,000 1

Portage Community Bank 23 Ravenna 1,261,000 8

U.S. Bank NA 24 Cincinnati 1,233,000 17

CIT Small Business Lending Corp. 25 Livingston, N.J. 1,190,000 1

This list was compiled from information provided by the Cleveland Researched by District office of the SBA for the second quarter of FY 2010, Jan. 1, Deborah W. 2010 to March 31, 2010. The Cleveland District covers 28 northern Hillyer Ohio counties. Crain's Cleveland Business does not independently verify the information and there is no 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. 20100426-NEWS--18-NAT-CCI-CL_-- 4/23/2010 1:18 PM Page 1

18 CRAIN’S CLEVELAND BUSINESS WWW.CRAINSCLEVELAND.COM APRIL 26-MAY 2, 2010

nonprofit’s Connect Your Commu- The comforts of home Internet: nity program. Stimulus money boosts efforts OneCommunity in March an- Many of those contacted for this nounced it had received $18.7 story supported the use of subsidies or continued from PAGE 1 The counties with the lowest feasibility studies showed demand million in stimulus money to provide government regulation to extend Some projects are financed by or percentages of unserved households for faster Internet service in the such services to poor people in Cleve- broadband Internet service to people are seeking public dollars, including are Cuyahoga County at 0.22%, county, Ms. Dentler said. She noted land, Akron, southeast Ohio and a few who don’t already have it. grants from the $7.2 billion in stimulus Lorain County at 0.67% and Summit that there’s already almost enough cities outside the state. In the future, going to the library to money aimed at increasing high- County 1.74%. Rates increase in more subscriber interest to cover the Besides computer literacy training, use the Internet won’t cut it, said speed Internet access and adoption. rural areas such as Portage County, county’s bond payments. OneCommunity, through other non- Colleen Nagy, director of the project Such subsidies are necessary, 7.25%, and Geauga County, 10.54%. “We’ve talked to some of the profits it is working with, will teach management office in Case Western according to Jeff Beebe of Connect Connect Ohio created the major employers in Medina County participants how to use the Internet in Reserve University’s Information Ohio, a nonprofit that is helping Ohio estimates by comparing industry who are basically crying out for this productive ways, such as by applying Technology Services Department. counties develop plans to increase coverage maps to census tract data. kind of service,” she said. for jobs, finding health resources and The university in May plans to start Portage County Library director enrolling in educational programs. providing super-fast Internet service the availability and use of high-speed Heeding the cry Internet service. Fast Internet access Cecilia Swanson, who has worked The group also will help participants to about 100 homes on nearby Hessler can help businesses make money Connect Ohio is working with with Connect Ohio, said she’d like to figure out how they will be able to Street and Hessler Court as part of and governments save money, and government agencies and organiza- collaborate with other county groups afford Internet access over the long a one-year research project. Partici- over time the Internet is going to tions in each of Ohio’s 88 counties to to form Internet and computer term, and it plans to report on the pants will be required to try out become a much larger part of every- form teams that would pursue literacy labs. Right now, however, progress they make, said OneCommu- Internet-enabled technologies meant day life, Mr. Beebe said. projects to expand broadband avail- there’s no money for it. nity president Scot Rourke. to prove their security, health, educa- “You have to look long term,” he ability and use. Many of those efforts Connect Ohio and the State “Years from now, they need to still tion or energy use — many of which said. “It’s going to be an investment are still in their early stages, but some Library of Ohio hope to put some be using this,” Mr. Rourke said. would not work without a home in the future.” counties already have their own money toward a similar goal: They In addition, OneCommunity plans connection, Ms. Nagy said. At present, tens of thousands of projects under way. are applying for two related stimulus to crank up broadband speeds in the While showing off a room that Northeast Ohio residents don’t have For instance, Medina County, grants totaling about $12 million that region while also expanding rural CWRU outfitted with devices meant to the option to subscribe to reasonably through its port authority, aims to sell would pay for new library computers Internet access: The group is applying illustrate the role the Internet will play fast “broadband” Internet service about $14 million in bonds in June and technology training for Ohio for about $45 million in stimulus in our lives, Ms. Nagy described how provided by cable and telephone so it can construct 157 miles of fiber- residents. money for a project to expand the the Internet could be used to lock and optic cable in a figure-eight shape fiber-optic network used by Ohio’s unlock one’s house from afar, and companies. Long-term investment About 21,400 households in Cuya- throughout the county. Internet state colleges into counties across how it could allow immobilized pa- hoga and six contiguous counties, or service providers would pay the Separate from Connect Ohio’s Northeast Ohio. tients to talk to hospital staff and send just under 2% of all households in the county to access the lines, which efforts, OneCommunity, an organi- The network would extend to in vital statistics such as weight and region, have no broadband access, would allow them to provide faster zation that provides high-speed “anchor institutions” such as hospi- blood pressure from home. though they can order slower dial-up Internet service, said Bethany Internet access to government agen- tals, schools and government agencies The project will track how partici- Internet service or a more expensive Dentler, executive director of the cies, schools, hospitals and nonprofits and would be available for Internet pants use the technologies and the fast satellite connection, according to Medina County Economic Develop- in Northeast Ohio, is moving ahead service providers to lease. Two other connection, which one day may be figures from Connect Ohio, which is ment Corp. with plans to provide Internet training organizations have submitted similar necessary given the growing number a subsidiary of Connected Nation of The roots of that project began and even Internet subscription proposals for the western and south- of technologies and the spread of Washington, D.C. forming about six years ago, when subsidies to participants through the eastern parts of the state. video conferencing. ■

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APRIL 26-MAY 2, 2010 WWW.CRAINSCLEVELAND.COM CRAIN’S CLEVELAND BUSINESS 19 THEINSIDER REPORTERS’ NOTEBOOK THEWEEK BEHIND THE NEWS WITH CRAIN’S WRITERS APRIL 19 – 25 There are no secrets, gators such as Newser are not giving readers are still plenty of attorneys looking for work. the opportunity to link back to the original story Now, imagine being a newly minted lawyer, thanks to the Internet or sometimes even crediting the original with all that job-seeking competition on top The big story: Steris Corp. reached an agree- ■ Mark Avsec has written rock songs for Bon source. of your student debt. And perhaps the last ment with the U.S. Food and Drug Administra- Jovi and Donnie Iris — he’s still the key- Contacted by telephone last week by Crain’s thing you want to spend your money on? tion on its System 1 liquid chemical sterilization boardist for Donnie Iris and the Cruisers — Cleveland Business, Mr. Avsec had a lawyer’s Regalia to wear as you accept your diploma. system, which the agency last December said that he was happy to see reluctance to talk about his work for a client. The Case Western Reserve University Mentor-based Steris no longer could continue to travel the airwaves around “I really don’t even want to talk about it,” School of Law is seeking to ease the burden, market to health care facilities. Included in the the world. However, the he said. “Generally, my letters aren’t posted offering to pay half the cost (minus tax) of agreement is what Steris called a “transition plan Cleveland attorney wishes like that and so I really don’t want to academic regalia for its 2010 graduates. with a rebate program” for current System 1 a letter he wrote recently comment on that.” — Jay Miller The robes cost $191.58 to rent; the school customers in the United States. The maker of hadn’t reached the pub- will pay $88.80 per student. The number of sterilization products expects the rebate pro- lic on the Internet. AmTrust Financial is no 2010 graduates is not yet known, but the gram to result in charges of up to $100 million for His latest work, a cease- more, at least in name 2009 class of 209 students would have set the first quarter of fiscal 2011 that will result in a the school back $18,559. — Arielle Kass and-desist order, was ■ The company formerly known as AmTrust one-time reduction of revenue and operating Avsec penned by the Benesch Financial Corp. has a new moniker: AmFin income on a pre-tax basis. Friedlander intellectual property lawyer for Financial Corp. Life is good, but a client, The Wrap, an entertainment web The name change came about, attorney A suitable conclusion: After much negoti- this is better site, and was meant to be read only by Christopher Meyer said, because the AmTrust ating, celebrity activism and pressure from insti- ■ representatives of another web site, a news name was an asset of AmTrust Bank. The The good life has gone green. tutional investors, Hugo Boss will keep open its aggregator called Newser. The letter accuses latter was acquired last December by New The 3-year-old apparel and gift store suit-making plant in Brooklyn. Representatives Newser of intellectual property theft. York Community Bank after federal regula- formerly known as Jake’s Life is Good in of Workers United SEIU and Hugo Boss reached “We demand that Newser LLC, and any tors closed the troubled bank. Hudson as of last Thursday, Earth Day, an agreement to preserve the plant and its 375 agent or affiliate of Newser, immediately Mr. Meyer, an attorney with Squire, became Green Roots Collection. jobs. “Against all odds, we have saved a critical cease and desist using The Wrap as a source Sanders & Dempsey, is representing AmFin Owners Randy Baun and Patrick Randall U.S. apparel manufacturing facility,” said union for Newser content,” Mr. Avsec wrote to the in its bankruptcy proceedings. He said the said the name change reflected a shift in president Bruce Raynor in a statement issued web site’s CEO, Patrick Spain. “Newser is AmFin name was chosen so it would still be focus for the store. While the “Life is good” jointly with Hugo Boss. not following industry best practices, is recognizable to people who were used to brand of apparel will continue to be sold intentionally misleading consumers/users hearing “AmTrust.” there, the duo said in a press release they’re Up in the air: Cleveland Mayor Frank Jackson at the expense of The Wrap.” “We tried to keep it as similar as we could placing a growing emphasis on eco-friendly is seeking input from U.S. Rep. Dennis Kucinich Put another way, the message was: Stop so people wouldn’t get confused,” he said. apparel, accessories and gift items, “created about the possible impact on city-owned Cleve- using our reporting and not paying us or All former AmTrust subsidiaries replaced with sustainable, organic materials and by land Hopkins International Airport of a poten- even giving us credit. the AmTrust parts of their names with fair trade practices.” tial merger of Continental Airlines and United The Wrap hired Mr. Avsec, a well-known AmFin, he said. — Arielle Kass It didn’t hurt that their Green Roots Col- Airlines. In a letter sent to Rep. Kucinich, the intellectual property attorney, to rattle lection at the Cleveland Clinic, which mayor expressed his concern that a merger Newser’s cage and try to get Newser to link The robes aren’t free, opened last November, has done well. The would cost Cleveland Hopkins its status as a hub stories back to The Wrap. The move was pair also own Jake’s Life Rocks in Rocky Riv- airport. The mayor said he is not asking the scorned by bloggers, many of whom operate but the help is er. Eco-friendly merchandise also will be congressman to hold hearings at this time, but in ways similar to Newser. ■ Although the persistent stream of law firm sold there, though its name is remaining the wants his help in figuring out how to best protect News organizations complain that aggre- layoffs has dissipated to more of a trickle, there same. — Mark Dodosh the city’s interests because of the economic importance of quality air service to a community. MILESTONES BEST OF THE BLOGS And then there were three: The Cleve- land-Cuyahoga County Port Authority board Excerpts from blog entries at the end of March, according to data from has whittled down the candidates for its new on CrainsCleveland.com. LPS. president and CEO to three names. The finalists Another reason for caution, Mr. Tisler are Diane Downing, currently Northeast Ohio COMPANY: There’s still work to do told The Journal, is that mortgage delin- district director for U.S. Sen. George Voinovich; Effective before our house is in order quencies typically fall in February and March William D. Friedman, a consultant to several Training & as borrowers get their tax refunds. Ms. port authorities and former CEO of the Ports of ■ There’s more encouraging data about the Tisler, whose group works with financially Indiana; and James H.I. Weakley, president of Communication U.S. housing market, though the mortgage troubled homeowners, reports that in the the Cleveland-based Lake Carriers’ Association, Inc., Cleveland sector remains far from healthy. Cleveland area, foreclosure filings are on which represents 18 companies that operate Those were the takeaways from an April pace to equal the highs of 2008. cargo vessels on Lake Erie. The Port Authority THE OCCASION: Its 19 Wall Street Journal story that quoted th has been without a permanent leader since last 20 anniversary Lou Tisler, executive director of NE Ohio’s still a little November when Adam Wasserman resigned. Neighborhood Housing Ser- The consulting firm run by Phil Stella helps vices of Greater Cleveland. green when it comes to This and that: Alcoa Automotive Wheels, a business people communicate with more The Journal reported that green living division of Alcoa Wheel and Transportation “competence, credibility and confidence.” the number of mortgage ■ It looks like Northeast Ohioans Products in Cleveland, was awarded the wheel Mr. Stella says his work for the past two loans that were at least 30 still have some work to do in living a program for the 2011 Chevrolet Cruze Eco. … decades primarily has focused on the finan- days past due or in foreclo- green lifestyle. Akron General Health System hired Vincent cial services, health care, manufacturing, sure declined 8.6% in The second annual “Nalgene Least McCorkle as its new president and CEO, effec- media and association sectors. His clients March from February, according to LPS Applied Wasteful Cities Study” rates the country’s tive July 1. Mr. McCorkle has been CEO of Sisters are executives, managers and people who work Analytics, which tracks loan performance. top 25 metro areas for wasteful behavior; of Providence Health System in Springfield, in sales, customer service and technology. The total number of loans that are delin- Cleveland is 24th, besting only Houston. San Mass., since 1997.... The Cleveland Clinic Taussig For information, send an e-mail to quent or in foreclosure has fallen by more than Francisco ranked as the top city for what the Cancer Institute received a $2 million stimulus [email protected]. 647,000 since January, according to LPS. study calls “responsible consumption and grant to update and expand its translational But it’s not quite time to declare good eco-friendly behavior.” cancer research labs. The 3,600-square-foot lab Send information about corporate anniver- times are back. The Journal reported that Overall, the study suggests that urban originally was built on the main campus in 1928. saries to managing editor Scott Suttell at more than 320,000 loans that started the Americans have shown slight improve- [email protected]. year current were at least 60 days past due ments in curbing wasteful behavior.

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