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Page 3 Pro and con-con: One side U.S. to Blues: Quid pro no has the edge in ballot battle agree to the most-favored-nation contracts. Hospitals pressured to deal, suit says Blue Cross also allegedly required 23 larger hospitals to charge more than 20 percent more BY JAY GREENE ers. It asks for the clauses to be removed. than Blue Cross rates. One hospital, Covenant CRAIN’S DETROIT BUSINESS Joy Yearout, the attorney general’s deputy di- Medical Center in Saginaw, was required to rector of communications, said the attorney gen- charge 39 percent more to other insurers. Blue Cross Blue Shield of Michigan’s failed pur- eral’s office became aware of the clauses during In an interview with Crain’s, Andy Hetzel, chase of a Lansing-based health maintenance its investigation of the proposed Blue Cross ac- Blue Cross’ vice president of corporate commu- organization earlier this quisition of Physicians Health Plan of Mid-Michigan. nications, said Blue Cross has used most-fa- LAWYERS SAY: year led to the antitrust law- The Blue Cross and PHP deal, proposed in Sep- vored-nation clauses in its contracts since 2007 suit filed last week by state tember 2009, fell apart in March after the federal only to negotiate the lowest price it can to keep Proving case Attorney General Mike Cox government threatened to challenge it. premiums low. won’t be easy, and the U.S. Department of Jus- “Following that discovery earlier this year, Hetzel denied that Blue Cross contracts re- Page 44 tice. our office issued subpoenas to other Michigan quire hospitals to charge competing insurers The lawsuit, filed Oct. 18 in hospitals to examine their contracts with Blue higher prices. U.S. District Court in Detroit, alleges the state’s Cross,” Yearout said. Greg Moore, health care practice leader Grocers’ dollars make largest health insurer pressured 23 of the In its investigation, the Justice Department with Clark Hill PLC in Birmingham, said he sus- change to state food aid state’s 131 hospitals to sign illegal “most fa- and Cox’s office found that in 2007 Blue Cross pects one of Blue Cross’ competitors could vored nation” contracts that required them to threatened to cut payments by up to 16 percent See Blue Cross, Page 44 Inside charge higher prices to competing health insur- to 45 small and rural hospitals if they did not First shot fired in 4G war, Page 43 Cleanup of “ All of the Focus: Real Estate prior contaminated administra- tions didn’t There’s a rising tide GM sites nears have a of delinquencies on $26 million slated serious commercial building business loans, Page 33 for metro Detroit

BY AMY LANE model for Crain’s Lists CAPITOL CORRESPONDENT taking care LANSING — When it comes to Largest foundations, spending some $159 million to of the nonprofits and capital clean up former General Motors airport. Corp. sites in Michigan, Washing- ” campaigns, Pages 17-18 ton attorney Elliott Laws is posi- tioned to be the gatekeeper. Terrence King, city of Detroit The former DAVID DALTON This Just In U.S. Environmen- Boarded windows and a banner for a past event mark a terminal building behind Terrence tal Protection King, who oversees Coleman A. Young Municipal Airport for Detroit Mayor Dave Bing. Federal agency takes over Agency official is slated to head FormTech’s pension plan up an entity that will oversee ad- The federal government’s ministration of pension insurer last week City Airport lands new business funds in the said it assumed responsibili- $773 million en- ty for the pension plan of 570 vironmental former workers and retirees Laws trust that will Repairs, lower fuel costs help COLEMAN A. YOUNG from bankrupt Royal Oak- clean up and redevelop 89 proper- based supplier FormTech In- ties throughout the country — in- BY BILL SHEA and sparked the resignation of MUNICIPAL AIRPORT dustries. cluding 56 in Michigan — left be- CRAIN’S DETROIT BUSINESS longtime airport Executive Direc- The 264-acre airport, which The Pension Benefit Guaran- hind in the GM bankruptcy. tor Delbert Brown, which result- has runways of 5,090 feet and ty Corp. took on the pension Coleman Under a trust agreement an- Flights at city-owned ed in media and City Council 4,025 feet, opened in 1927. Its as FormTech is liquidating A. Young Municipal Airport nounced last week by the White have in- scrutiny. current name was adopted in in U.S. Bankruptcy Court in 2003. House and filed with federal bank- creased 15 percent to about 300 a There’s also been an uptick in Wilmington, Del., and won’t ruptcy court, an entity called day since a corporate, Open 24 hours a day, 365 days a year. EPLET LLC will be the trustee and new fuel recreational See This Just In, Page 2 BIZ AVIATION provider be- and cargo avia- Landing fees range from free to See Cleanup, Page 43 Pulling up: gan charging tion at the air- $60, and parking fees run from Corporate flying lower prices port, which $8 to $60. Both fees are based shows small and the city be- saw its reputa- on aircraft weight. uptick after gan improve- tion tumble plunge, Page 45 ments to the among flyers Airport) for a while,” said Rick facility com- amid com- Nini, majority owner of Corporate monly known as City Airport. plaints of poor Eagle Cos., which flies for 23 local The changes have come in the customer ser- companies and is based at Oakland past several weeks in the wake of vice, steep Nini County International Airport in Wa-

NEWSPAPER an embarrassing internal city au- prices and general lack of upkeep. dit that revealed missing funds “We stayed away from (City See City Airport, Page 45 20101025-NEWS--0002-NAT-CCI-CD_-- 10/22/2010 5:21 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS October 25, 2010

Conference focuses on tax issues Michigan companies among Woman and Grand Rapids-based THIS JUST IN The way it was: 1986 Learning Interfaces LLC. A Novi conference on tax is- TiECon Midwest award winners Royal Oak-based Zferral LLC and sues affecting business and indi- ■ From Page 1 Throughout our 25th-anniversary Eleven Michigan entrepre- ERT Systems LLC, OntoMed LLC and vidual taxpayers is on tap Nov. 9- year, Crain’s will use this space neurial companies will be hon- Shepherd Intelligent Systems LLC, 10, sponsored by the Michigan be able to continue payments to the to look at interesting items from ored Friday with awards during all based in Ann Arbor, won in past issues. Association of Certified Public Ac- plan, PBGC said in a press release. the TiECon Midwest 2010 confer- the software category. countants in conjunction with the The plan was underfunded with ence at The Henry in Dearborn. Rochester Hills-based GoPoint Michigan Department of Treasury assets of $2.23 million and benefit More than 1,000 companies Technology Inc. was the only Just and the State Bar of Michigan. liabilities of $5.86 million. PBGC “ were nominated, with 20 winners Michigan company to win in the will cover $2.05 million of the because a guy The conference at Rock Financial from around the Midwest earn- mobile category. $3.63 million gap, with the maxi- Showplace will feature state offi- ing awards for being the most en- Winners will present their com- mum guaranteed benefit at $54,000 is bald, we’re cials, national and local experts in terprising startup companies in panies in a live showcase during per year for a 65-year-old retiree. accounting and law, business lead- four categories: Internet, media, the two days of the conference, FormTech filed for Chapter 11 not going to harass him to see ers, and sessions on topics that in- mobile and software. Thursday and Friday. protection in 2009 after defaulting clude state taxation, ethics, the au- Ann Arbor-based Bodega and The TiE20 award is presented on a credit agreement. Royal Oak- if he has Rogaine. dit process and a wrap-up of Ypsilanti-based Ergun Technolo- by Santa Clara, Calif.-based TiE, a based HHI Group Holdings LLC ac- ” Michigan’s Nov. 2 election. gies won in the Internet category. nonprofit fostering entrepreneurs quired FormTech’s assets in 2009 William Rearick, Registration is available at Winning in the media portion are across its international network for an undisclosed amount and de- www.michcpa.org. Ann Arbor-based DSLMi LLC, sponsored by top venture capital nied responsibility for the plan. Detroit-Windsor Tunnel — Amy Lane Grand Rapids-based Michigan Film firms and Fortune 500 companies. — Dustin Walsh From an Oct. 27, 1986, article Reel, Rockwood-based Metro —Shawn Wright about people smuggling Upjohn Event aims to connect biz Detroit-Ann Arbor rail planners Co.’s hair growth product from Canada to the U.S., where it had leaders, entrepreneurs CORRECTIONS wait for word on funding not yet received Food and Drug A new event aims to bring Administration approval. A one- Organizers of a Detroit-Ann Michigan business leaders, entre- Highland Capital Management LP is unrelated to Credit Suisse AG. Both month supply, prescription only, are holders on Marian Ilitch’s 2005 loan for the purchase and expan- Arbor commuter rail project ex- sold for $45-$50 at the time. preneurs, organizations and top- sion of MotorCity Casino. A Page 25 story on Oct. 18 misstated the rela- pect to learn next week if Today it sells over the counter for growth companies together for $200 million in federal capital about $30 or less. peer-to-peer networking, presenta- tionship between the financial agencies. funding will be approved. tions, break-out sessions and busi- An article on Page 9 of the Oct. 11 issue incorrectly stated that the The Federal Rail Administration ments regional planning agency. ness exhibition as part of Michigan Detroit-based Skillman Foundation worked with United Way for Southeast- money (via the second round of The 48-mile rail project, which Global Entrepreneurship Week. ern Michigan last year to get state legislation passed to require alterna- funding set aside for high-speed would start with four daily round Michigan Emerging, formerly the tive teacher certification, allowing Teach for America to come back into rail projects under the American trips, is a joint effort by SEMCOG Celebrate Michigan Expo, is Nov. 17 Detroit schools. While Skillman did provide a $1.5 million grant to Recovery and Reinvestment Act of and the Michigan Department of at the Ford Conference and Event Teach for America last year, it was not involved in direct lobbying to 2009) would be used to build new Transportation and could be opera- Center in Dearborn. get the legislation passed. sidings, signals and make other tional — if it gets the money — by The day begins at 9 a.m. with a A story on Page 13 of the Oct. 18 edition should have identified corridor improvements, said the end of 2011, Palombo said. keynote message and will close Suanne Trimmer, partner at Dawda, Mann, Mulcahy & Sadler PLC in Carmine Palombo, director of trans- Amtrak will be contracted to with a networking reception Bloomfield Hills, as a past board member and vice president of the le- portation planning for the South- operate the service. 5-7 p.m. To register, visit gal affairs committee for the Human Resources Association of Greater De- east Michigan Council of Govern- — Bill Shea www.michiganemerging.com. troit, not its former chairwoman.

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October 25, 2010 CRAIN’S DETROIT BUSINESS Page 3 Con-con foes winning funding war Finance Extra

ly, Cheboygan County Drain Com- Ad campaign goes against backers’ ‘people power’ missioner Dennis Lennox and Clarkston attorney and financial BY AMY LANE chance in the run-up to the Nov. 2 record as supporting the con-con, as adviser Henry Woloson, founder of CAPITOL CORRESPONDENT election. The Citizens Protecting it’s known. Other supporters in- a group called Energize Michigan. Michigan’s Constitution coalition clude names familiar in Michigan LANSING — Major Michigan A central argument of propo- amassed $339,455 through mid-Oc- politics: former Michigan House nents is that Michigan is broken associations have written checks tober and is spending it on efforts Speaker Rick Johnson, former state for thousands of dollars to defeat and needs a constitutional conven- that include billboards and radio Superintendent of Public Instruc- tion to do a job that lawmakers the first proposal on Michigan’s ads that began last week and will tion Tom Watkins, state Sen. Tom November ballot. won’t: Update and overhaul gov- run through election day. George, R-Kalamazoo, and former ernment structure and fix Michi- They face individual supporters The fight is over Proposal 1, a Grand Rapids Mayor John Logie, of a constitutional convention who gan’s problems. question that automatically goes now of counsel to law firm Warner They are getting their messages have neither vast finances nor are before voters every 16 years and Norcross & Judd LLP in Grand Rapids. generally favored to win. out through editorial boards, e- asks whether to convene delegates Others include Warren Mayor mails, a website, debates and speak- Nonprofits tout a gift idea But business representatives to revise Michigan’s constitution. James Fouts, Saginaw County Re- and others are leaving nothing to Gov. Jennifer Granholm is on publican Party Chairman Tim Kel- See Con-con, Page 42 that gives back, Page 11

Company index DMC doctors join These organizations appear in this week’s Crain’s Detroit Business: Abundant Ventures ...... 34 Advocate Commercial Real Estate Advisors ...... 35 Aetna ...... 44 march toward Art Effect ...... 31 Associated Food and Petroleum Dealers ...... 41 Association of Fundraising Professionals ...... 15 Beaumont Foundation ...... 16 Bernard Financial Group ...... 33 accountable care Blue Cross Blue Shield of Michigan ...... 1 Butzel Long ...... 44 Canton Community Foundation ...... 12 Physician-hospital CARE House of Oakland County ...... 15 CB Richard Ellis ...... 33 Citizens Protecting Michigan’s Constitution ...... 3 group seeks incentive Clark Hill ...... 12 Coleman Young Municipal Airport ...... 1 Community Foundation for Southeast Michigan . . . 11 BY JAY GREENE Compass Commercial ...... 35 CRAIN’S DETROIT BUSINESS Corporate Eagle ...... 1 Crittenton Hospital ...... 15 Detroit Medical Center has formed its first Detroit Medical Center ...... 3 ever physician-hospital organization and has Detroit Public Television ...... 12 applied for the physician group incentive Dykema Gossett ...... 34 program with Blue Cross Blue Shield of Michi- Eastern Michigan University ...... 15 gan. Energize Michigan ...... 3 More than 500 doctors, including private Farbman Group ...... 33 Friedman Real Estate Group ...... 36 NATHAN SKID/CRAIN’S DETROIT BUSINESS physicians on the DMC medical staff and about 75 physicians employed by DMC, paid a Glory Supermarket ...... 41 Glory Supermarkets owner Sahir Gappy gave $38,000 toward a successful effort to stagger food assistance Grubb & Ellis ...... 33 $250 annual fee to join the new DMC PHO, payments that now come at the start of the month and cause a feast-or-famine business cycle at his stores. Hines Interests ...... 37 said Steven Grant, M.D., its executive direc- Jones Lang LaSalle ...... 35 tor and DMC’s executive Krown ...... 41 vice president of physician Medical Network One ...... 44 partnerships. Michigan Association of Health Plans ...... 44 Grocers’ dollars make change DMC was the only health Michigan Catholic Conference ...... 42 care system in Southeast Michigan Chamber of Commerce ...... 42 Michigan without its own Michigan Department of Human Services ...... 3 Michigan Humane Society ...... 11 physician organization or New Economy Initiative for Southeast Michigan . . . 14 a physician-hospital orga- Oakland County International Airport ...... 1 in food-aid payment schedule nization, Grant said. Oakland University ...... 16 “There are a lot of differ- Open Door Rescue Mission ...... 15 BY DANIEL DUGGAN AND NATHAN SKID ent types of physician Planned Giving Roundtable of Southeast Michigan 12 Grant CRAIN’S DETROIT BUSINESS groups at DMC, and to get Plante & Moran ...... 11 We told them we are all the groups to form the PHO is very posi- Plante Moran Cresa ...... 35 A contingent of grocers and food distributors “ tive,” he said. Quicken Loans ...... 13 Sherwood Food Distributors ...... 41 has forced a change in Michigan’s food-assis- willing to make the change Over the next few months, the DMC PHO is Signature Associates ...... 35 tance program after raising $180,000 to pay the expected to grow to more than 1,000, once aca- Michigan Department of Human Services to spread Soave Enterprises ...... 45 provided they offset the demic physicians with the Wayne State Univer- UGL Equis ...... 37 out food-stamp payments. sity Physician Group and other private physi- U.S. Army Tacom ...... 6 The Food Stamp Distribution Initiative administration costs. cians join the organization, Grant said. Wayne State University ...... 15 comes as urban grocers and food distributors ” There are more than 3,000 private physi- William Beaumont Hospitals ...... 10 struggle with a flurry of business during the be- Edward Woods III, U.S. Department of Agriculture cians on the medical staffs at DMC’s nine hos- Wolverine Packing ...... 41 ginning of the month when the food assistance pitals and more than 700 who are faculty Women in Defense Michigan Chapter ...... 6 money is distributed, then a 50 percent decline come from the private sector, which prompted members at Wayne State University School of by the end of the month. a fundraising effort among more than 100 retail Medicine. Most of the Wayne State doctors In January, the state will stagger its food-as- and food-service companies. also are part of WSU’s faculty practice group. Department index sistance payments, giving money to some recip- “The program is working fine as it is,” said The DMC PHO, which is a joint venture be- ients later in the month — a change that the U.S. Edward Woods III, the department’s communi- tween DMC and participating physicians, is BANKRUPTCIES ...... 6 Department of Agriculture said will make Michi- cations director. “No one was forced to designed to engage in business ventures and BUSINESS DIARY ...... 28 gan unique nationally. contribute money, but we told them quality improvement efforts. CALENDAR ...... 29 But the change comes at a we are willing to make the change “We hope to get accepted into (Blue Cross’) CAREERWORKS ...... 39 cost. The state provided they offset the administra- physician group incentive program in next CLASSIFIED ADS ...... 40 agency required tion costs.” several weeks,” Grant said. “PGIP is the half the cost to KEITH CRAIN...... 8 See Grocers, Page 41 See DMC, Page 41 MARY KRAMER ...... 9 OPINION ...... 8 Rust-belt reinvention Tweet, tweet! OTHER VOICES ...... 8 THIS WEEK @ Crain's Michigan Business Are you following us? Join the crowd PEOPLE ...... 39 talks with urban experts at twitter.com WWW.CRAINSDETROIT.COM about the remaking of Flint. /crainsdetroit RUMBLINGS ...... 46 WEEK ON THE WEB ...... 46 20101025-NEWS--0004-NAT-CCI-CD_-- 10/22/2010 5:01 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS October 25, 2010 Hackel: Macomb should share Shafer backs, in region’s major developments Stahl opposes Before Macomb Coun- seeing a lot more poten- ty voters even contem- tial in forming other al- plated a proposal to re- liances. If we can further center to lure shape government and develop a proposal for a add an executive office, high-speed rail, through the political and business the Blue Water Bridge community consensus and down I-94, then there foreign capital was that Sheriff Mark are other opportunities to Hackel could get elected to develop business attrac- Macomb County Sheriff the job. tion and jobs here by Mark Hackel’s two opponents But could he do the looking at the regional is- in the Macomb County execu- job? sues that come up to the tive election next week part It’s the question that north. I have already company with him on several haunted Hackel, 48, of committed if elected to regional collaboration issues, Macomb Township, for Mark Hackel, having a Macomb repre- but they do not oppose all his more than two years and sheriff and sentative within that al- views any more than they are one he hopes he has put candidate for liance. aligned with each other. Macomb County Randell Shafer, 46, a St. Clair to rest as the apparent The county board of com- executive Shores Re- front-runner in the Nov. 2 missioners recently tabled publican, re- election. the proposal for an EB5 Re- tired U.S. On the one hand, he enjoys a gional Center, which could have al- Army chief reputation of a moderate Democ- lowed foreign investors to obtain a warrant offi- rat with bipartisan appeal who is green card and permanent U.S. resi- cer and for- unafraid of consolidation and dency if they invest at least $500,000 mer civilian tough decisions amid shrinking in a local business that generates at logistics offi- government budgets. least 10 jobs. Do you support that pro- cer at the U.S. On the other hand, he has spent posal? Army Tacom his lifetime in law enforcement. It depends on what the center is Life Cycle He joined his father’s sheriff’s of- for. I don’t think it should be estab- Management fice as a dispatcher in 1981, has no lished with public funds (as the Shafer Command in private-sector management expe- county plan proposed), it should be Warren, said he supported the rience and was elected sheriff in a public-private partnership. An Mt. Clemens-area EB5 Regional GRADUATE 2000 after ascending the ranks in a EB5 shouldn’t be run by politi- Center proposal to attract for- government some voters consid- cians who think they can travel eign investment in local busi- ered part of the problem. and attract business here. Busi- ness, which Hackel has op- Hackel spoke with Crain’s re- ness is what is going to attract posed. porter Chad Halcom about several business. Should we be using tax- “All the communities would OPEN regional topics local business lead- payer dollars to be what’s ulti- have to have sufficient time to ers will be watching next year. mately going to be a privately run be informed on whether they organization? It should be private You reportedly told the Detroit Re- want to join (the Center), and with public support, not the oppo- gional Chamber PAC you think a new perhaps it should be more than site. … Putting tax dollars into HOUSE publicly owned bridge to Canada Mt. Clemens and Clinton Town- some entity that doesn’t come un- could be based in Macomb County, ship. That’s a big chunk of der public control worries me. even though such a span would have change for some municipal to cross Lake St. Clair and be at least Macomb is not home to a four-year budgets,” Shafer said. “It’s up eight miles long. Is that seriously your university but has a growing footprint to various communities to fit November 6 view? of local campuses and programs for into the budget what they can I said that sort of tongue in Michigan State University, Wayne afford for it.” cheek, because everyone is always State University and now Oakland Uni- Libertarian candidate Erin 10 a.m. - noon talking to us about what our posi- versity in Mt. Clemens. What else can Stahl, 40, a one-term St. Clair tion is with a bridge that’s else- you add to that momentum? Shores City Council member where along the river. I don’t have Having a four-year university from 2003 to 2007 and past em- emich.edu the answer to where it would go, with sports teams and the rest is ployee of Shores-based gar- but there is a potential in Macomb not a reality at this point. The op- ment materials manufacturing for us to have a bridge. People portunity was lost many years ago, company GroupeStahl, said laugh at the idea, but people also and you’re not going to get legisla- “many more things can be laughed at the idea once of a bridge tive support for it outside of Ma- done to bring jobs back rather that could connect the upper and comb. But the other universities than give away hard-earned lower peninsulas. have a strong interest in building a taxpayers’ money” as the re- Everyone else wants us to weigh presence. I’ve been part of a dis- cently tabled Macomb plan in on their fights, but there are cussion about having Lawrence proposed. THE MILLER LAW FIRM unique opportunities here that Technological University offer a Shafer, like Hackel, hopes people ought to consider. Macomb technical program within the Michigan voters oppose Pro- a professional corporation has been one of the fastest-growing county, and I think that would be posal 1 calling for a state consti- counties, and we’ve never really great thing to happen somewhere tutional convention because of put the question out there to them. down the road. But I think we need the likely cost and because he What about a stadium, a bridge, or to keep promoting the county says it would gridlock the new a university for us? We’ve missed through Macomb Community Col- gubernatorial administration out on every one of those opportu- lege and its University Center pro- starting next year. nities in the past, and maybe it’s gram and expand the number of He also hopes Macomb will time to be more assertive about ways people get four-year degrees join the Economic Growth Al- landing our own assets. in the county. It’s incredible where liance organized last year by Oakland County Executive L. these institutions want to take Oakland County Executive L. Brooks Patterson has offered mem- things and what they’re about to Brooks Patterson, whom bership to Macomb in his Economic do. Shafer said he admired for a Growth Alliance, formed last year to Should Michigan voters support “common-sense approach to Our firm specializes in litigation: explore regional economic develop- Proposal 1 for a constitutional conven- leadership.” ment strategies in areas north of De- tion? Stahl said she needed more • Complex Commercial and Business troit. Any interest? No. What we need to do is get information about the Eco- • Shareholder and Partnership I can actually say we have been our Legislature and statewide rep- nomic Growth Alliance and • Automotive Supplier involved already. I’ve been at the resentatives to get together on wondered why private in- table with the other members, on whatever it is we have a problem vestors needed public sector • Class Actions behalf of Macomb County, because with and need to change. There are help in attracting business in- • Employment it’s important to establish those re- procedures in place under the con- vestment or identifying re- • Family Law and Probate Litigation lationships with bordering com- stitution to make that happen. I’m gional assets. She did not re- (248) 841-2200 munities. concerned that in this proposed spond to a separate query 950 West University Drive, Suite 300 The traditional model of looking process there would be more input about the proposed constitu- millerlawpc.com Rochester, Michigan 48307 at the region is Wayne-Oakland- coming from special interests. It’s tional convention. Macomb. But you’re going to start also cost-prohibitive. — Chad Halcom DBpageAD.qxd 10/4/2010 3:10 PM Page 1

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Page 6 CRAIN’S DETROIT BUSINESS October 25, 2010 Tacom chief of staff wins leadership award from Women in Defense

BY CHAD HALCOM for about three weeks. In that break of Legionnaires’ disease in Nalco Co., an Illinois-based envi- CRAIN’S DETROIT BUSINESS time I learned more than I ever WID BLACK-TIE GALA July infected seven people at Self- ronmental testing, water pretreat- thought I’d need to know about ridge Air National Guard Base, in- ment and analysis company with Place: The Royal Park Hotel, 600 Col. Jeanne Smith Hooper ex- Legionnaires’,” she said. “But it cluding six civilian Tacom em- offices in Novi, performed clean- E. University Drive, Rochester pected to learn about many things was also a successful collabora- ployees assigned to the nearby ing services and received a con- Time: Nov. 5, 6-10:30 p.m. in her first year tion of several agencies on one Harrison Township base. tract for ongoing maintenance as a Michigan problem.” Tickets: $150 a person or $1,500 After a coordination between and inspection on the cooling tow- resident and as Hooper, 46, became chief of staff for a table of 10 for members of Tacom, the 127th Wing Michigan WID-Michigan or the National ers. The Tacom personnel re- chief of staff of in September 2009 after a prior as- Defense Industrial Association; Air National Guard, the Army Public turned to Selfridge by mid-Sep- the U.S. Army signment as assistant chief of staff $170 per person or $1,700 for a Health Command, the Centers for tember. Tacom Life Cycle in logistics for the First Armored table of 10 for non-members. Disease Control and Prevention the Hooper, a Virginia native, said Management Division in Wiesbaden, Germany. Contact: Meeting Coordinators Michigan Department of Community the new command is her first in Command in She oversees around 490 people in Inc., Troy, (248) 643-6590 Health and other agencies, investi- Michigan and has been a lesson in Warren. Legion- her current command. gators traced the outbreak to one communication among various naires’ disease Hooper was chosen to receive Rochester, hosted by the Women in of two water cooling towers that military commands and even con- wasn’t one of the 2010 Excellence in Leadership are part of a climate control and Hooper Defense Michigan Chapter. tractors that supply the Army. them. Award Nov. 5 during a black-tie She also took part in the joint op- air ventilation system on the “One thing I’ve gained is under- “We were handling those issues gala at the Royal Park Hotel in erations team formed after an out- base. standing of the (people on the) oth- er side of the fence,” she said. “At the Army Materiel Com- mand (which includes Tacom), you handle the logistics and mater- ial development needs of the total force, but it’s a different language that we speak across the various Army commands and the large companies that supply to each of us. You have to learn sometimes to be an interpreter.” Nancy Loerch, president of the WID Michigan Chapter and execu- tive vice president of Orion Town- ship-based engineering consultant firm Archetype Joint LLC, said Hoop- er was chosen for the award in part because the chapter wanted to “make the war fighter a focus” in this year’s event. Hooper completed three tours of duty in support of Operation Iraqi Freedom before coming to Tacom. Women in Defense also will pre- sent during the gala three Horizon Industry Awards to individuals or teams for excellence of achieve- ment for the defense or homeland security industries. Crain’s Detroit Business is a sponsor of the awards. Finalists include a team from Ann Arbor-based fuel cell produc- er Adaptive Materials Inc. and an in- dividual from BAE Systems Inc.’s U.S. combat systems division, which is consolidating its Michi- gan operations in Sterling Heights, for product development; individuals from Sterling Heights-based Elmhirst Industries Inc. and Troy-based Unified Busi- ness Technologies Inc. in business development; and a BAE Systems employee and a team of defense specialists from Automation Alley in Troy for supply chain develop- ment. Chad Halcom: (313) 446-6796, [email protected]

BANKRUPTCIES The following businesses filed for Chapter 7 or 11 protection in U.S. Bankruptcy Court in Detroit Oct. 15- 21. Under Chapter 11, a company files for reorganization. Chapter 7 involves liquidation. Dott Acquisition L.L.C., 414 East St., Rochester, involuntary Chapter 7. Do- ing business as Deco Plate Manufac- turing Co., Dott Manufacturing Co. and Deckerville Plastics. Assets and li- abilities not available. Total petition- er claims: $702,699. Tom Kopsch & Associates Inc., 32268 Woodward Ave., Royal Oak, volun- tary Chapter 11. Assets and liabilities not available. — Gary Anglebrandt DBpageAD.qxd 9/23/2010 1:16 PM Page 1

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Page 8 CRAIN’S DETROIT BUSINESS October 25, 2010 OPINION OTHER VOICES Lawsuit may shake up Rethink the film tax program Since Michigan agreed need to drill down more in- and lucrative brands through a to offer a tax credit of 42 tently on understanding repetitive process of being rendered cents for every dollar spent precisely what these amor- as a content asset in films. health care landscape on in-state film production, phous benefits might be I’ve been watching an organic film-industry expenditures and why they might mat- process develop in which local peo- have mushroomed from ter. ple are interacting with celebrities utgoing Michigan Attorney General Mike Cox may $2 million in 2007 to What if we envision this in local places. People are using have the last laugh. $224 million in 2009. Even program as a digital-age new technologies to capture mo- O The onetime gubernatorial hopeful made his ag- so, the future of the Michi- public infrastructure pro- ments and share these through so- gressive handling of rate increase requests by Blue Cross gan film tax program has ject? Perhaps it is akin to a cial media. I argue that this nexus recently become the sub- public-private partnership of local places, Hollywood person- Blue Shield of Michigan a campaign talking point in the 2010 ject of a pointed political Scott Aikens that uses advanced tech- nel, local people and digital media Republican primary. debate. Rather than bicker, let’s nology to build community infra- can fuel the growth of something Cox didn’t always win his jousts against the Blues at the think differently. Why not envision structure vital to nurture and sus- akin to a “digital public square.” the program as a fundamentally im- tain a prosperous 21st-century A critical function of this “digital regulatory level, but as he leaves office in December, his lega- portant infrastructure project that economy. If the program is framed public square” is to build our places cy may be the lawsuit against Blue Cross that his office we can analyze and understand in this way, it fits neatly within our into increasingly interesting and brought jointly last week with the U.S. Justice Department. with much greater precision than is best conservative traditions about valuable brands. For example: the currently the case? Than we can the uses of good government. mayor of Rochester Hills shares If successful, the suit could unravel the nonprofit Blues’ defuse this tension and settle the fu- What kind of public infrastruc- with 561 Facebook friends photos of decades-long dominance as the state’s largest health insurer. ture of a promising program. ture am I talking about? Harvard a dinner at his house with actress At the very least, it shines a public spotlight on practices Some argue that the program professor Robert Putnam defines Ellen Barkin and director Sam competing health insurers long suspected. doesn’t make economic sense. Ac- “social capital” as follows: “fea- Levinson; a local e-zine publishes on cording to a report by the Michigan tures of social life, networks, norms the Internet a video of a scene from As Jay Greene reports on Page 1, the feds allege that the Senate Fiscal Agency, the state and trust that enable participants “A Reasonable Bunch” being shot at Blues pressured 23 hospitals throughout the state to charge spent $68.7 million of tax credits for to act together more effectively to The Chop House in downtown its competitors as much as 39 percent higher than what they the film industry last year, only to pursue shared objectives. Social Rochester; a neighbor shares with receive $7.5 million back in tax rev- capital, in short, refers to social 163 of his Facebook friends that he charge the Blues. enue. There’s no denying that’s a connections and the attendant ran into Sean Penn at Cosi in Birm- In business, it’s not unusual for a large customer to seek $61.2 million hole for 2009 in Michi- norms and trust.” Putnam argues ingham. the best deal or discount from a key supplier. But health care gan’s budget. that high levels of social capital in It doesn’t stop there. Profession- policies aren’t auto parts. There’s a public interest issue in- Furthermore, gubernatorial can- the form of civic institutions and lo- als are integrating these places and didate Rick Snyder is on record cal traditions build trust across dis- people into their lucrative film volved here. And now a federal judge in Detroit will have the against the program because it parate groups. Trust is vital to re- properties. These films will be chance to determine the health care landscape in Michigan doesn’t fit his conservative econom- gional cohesion, success and downloaded into perpetuity for at least five years by sifting through claims that Blue ic philosophy. When asked about sustainability. through Netflix and other digital the program, Snyder stated that The Detroit area, and by exten- services by people everywhere. The Cross has used its market dominance to limit competition. government should not be in the sion the state, has failed over many big payoff rightly cited by many is The Blues counter that their contracts have saved compa- business of picking winners and decades, one could argue, because the large-scale investment in studio nies and consumers billions of dollars over the years. Critics losers in the private sector. of tribal tendencies that fracture infrastructure here in Michigan. contend those savings don’t show up in premium reductions. Public defenders of the program, bonds of trust among managers, This permanent infrastructure is such as Gov. Jennifer Granholm workers, cities, suburbs and ethnic nothing other than tools and tech- If the antitrust claims are proven, Michigan can expect and Michigan Film Office director groups. Putnam argues that a low nologies that will allow our people other health plans to grow and more for-profit insurers to en- Carrie Jones, appear to accept the level of trust is anathema to build- to craft and distribute the films and ter the Michigan market. economic framework for debate. ing critical stores of social capital TV shows that integrate local places They fend off facts and beliefs mus- over time. What Michigan than and people. At the Crain’s Health Care Leadership Summit last Octo- tered by conservatives by asserting needs as we transition into a global- Where can such a focus lead us? ber, some attendees argued that transparency in pricing that the industry is having a posi- ized 21st-century economy is an ag- A public campaign and research would help consumers make informed choices on which hos- tive effect on jobs and small busi- gressive investment in remediating agenda — let’s call it “Places Mat- pitals or doctors to patronize. But how can you trust the num- nesses, that it can drive the econo- this historic dearth of social capital. ter” — can help us find answers and my and that it can reignite our If we conceive of the Michigan help us optimize the unique poten- bers if insurers — who cover a majority of Michigan resi- entrepreneurial spirit. Maybe with film tax program as a digital-age so- tial of the Michigan film tax pro- dents, are charged wildly varying prices for services some frustration, Jones also alludes cial capital restoration initiative, gram. Content can be collected and delivered? to more amorphous benefits such as than I believe the program can stored in digital archives. Re- “providing hope,” and “reshaping evolve in promising ways. searchers can study and quantify The timing of the lawsuit is ironic. Blue Cross has long Michigan’s image.” In the digital age, everything, the impact of this on our digitally said it is required by state law to accept all customers. In a Conservative concerns about the everyone and everyplace can be fueled social networks and our few years, federal health care reform forbids any insurers to deficit and views on overly aggres- transformed by technology into a stores of social capital. We can even reject patients for pre-existing conditions or health risks. sive industrial policy have merit. content asset to be consumed, ask the Hollywood stars to help us But, I think it would be wasteful to shared and appraised. This process with the effort. Pitching in will How Blue Cross competes on that playing field would have abandon this program on pure eco- enhances the ability to “brand” an make them feel good. been interesting. But the rules of the health game may nomic arguments after so much asset and anything it was before it G. Scott Aikens is vice president, change even earlier in Michigan, depending on the outcome money has already been invested; was an asset. The Hollywood leasing, of Birmingham-based of this landmark lawsuit. especially if economic arguments celebrities visiting our communi- Robert B. Aikens and Associates aren’t, in fact, entirely on point. We ties, for example, became powerful LLC. KEITH CRAIN: Be sure to get out and cast vote – maybe Every election, I hear all sorts of unfortunately — effec- have lots of opportuni- tant election on just about every taxes or be property owners to people telling us we should get out tive. ties to learn all about level. We hear the most about our have the right to vote. Well, that’s and vote. Doesn’t matter if it’s But once again, I’m the issues and the can- governor’s race and some races for all gone away. But our responsibil- raining or snowing, hot or cold, be going to go counter to didates. There are even the U.S. Congress, but we have plen- ity to be informed voters is just as sure to get to the polls. the mainstream. plenty of places where ty of other very important local important as voting. Democrats and Republicans alike If you don’t educate we can learn about non- races and ballot issues that we are Go ahead and vote in a week. are urging their supporters to show yourself on the candi- partisan candidates all going to be called upon to decide. But make sure you know who and up on Election Day and pull the dates and the issues, like those for local It’s a lot easier to go in and just what you are voting about. If you proper lever or fill in the right cir- then stay home and skip judgeships. And let us pull some straight-party lever, but don’t know, you still have a week cle to vote their straight ticket. voting. not forget that in just the fact is that we should all be a to learn who and what’s going on. History tells us that if you are My opinion is that the about every election bit choosier. And I would probably If you still don’t know the follow- mad and fed up with the govern- only thing worse than there are plenty of tell people that if they don’t know ing week, stay home and let those ment, you are going to the polls not voting is being an choices for thumbs up the nonpartisan candidates and who have studied the issues and and you’ll vote against whatever it uneducated voter. or down for all sorts of ballot is- the ballot issues, maybe they the candidates pick the winners. is you’re mad about. Sort of like Sure, voting is our right, privi- sues. should just leave those portions of Don’t worry; they’ll do a good job. advertising that is against the op- lege and responsibility. But so is I have a feeling that this is going their ballots blank. After all, that’s what a representa- position. Not very nice, but it is — becoming an informed voter. We to be a very interesting and impor- In past centuries, we had to pay tive democracy is all about. 20101025-NEWS--0009-NAT-CCI-CD_-- 10/22/2010 10:39 AM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 9 MARY KRAMER: Pulling together to haul in employers

Politics may make strange bed- ing alliance. AFL-CIO, Teamsters, array of facts, statistics and testi- Conference on Nov. 9, produced by fellows, but economic necessity Since Debbie Dingell skilled trades unions monials that will be made avail- Crain’s and the Forum on Contem- just might trump politics in creat- took on chairman du- and the Michigan Fed- able to developers, local govern- porary Issues in Society at Wayne ing astonishing new alliances in ties for the Metropoli- eration of Teachers ment officials and just about State University. MAC and the Southeast Michigan. tan Affairs Coalition have all joined the anyone who’s working with com- chamber are partners on the That’s one way to look at the Eu- two years ago, she re- MAC board; a UAW panies that might consider setting event, too. ropean trade mission in late Sep- cruited top labor lead- member is pending. up an office, a plant or a presence Find more information about tember when UAW President Bob ers to join a board al- So what does that in Southeast Michigan. the conference by choosing “up- King joined Wayne County Execu- ready made up of mean? One unexpected benefit from this coming Crain’s events” under the tive Bob Ficano and area business business executives For starters, a re-en- entire enterprise is that business events tab at crainsdetroit.com. leaders to woo Italian auto suppli- and government offi- ergized MAC board has leaders and union leaders are actu- ers to metro Detroit to become part cials. MAC (of which partnered with the De- ally getting to know each other. Mary Kramer is publisher of of the Chrysler/Fiat supply chain. I’m also a member) has troit Chamber to create And I suspect they’re finding it’s Crain's Detroit Business. Catch her The group included Detroit Re- touted itself as a coali- a work group to identi- kind of hard to demonize the person take on business news at 6:10 a.m. gional Chamber CEO Sandy Baru- tion of business, government and fy ways to promote the region for you just had breakfast with. Mondays on the Paul W. Smith show ah; Yousif Ghafari, founder, Gha- labor, but for years the labor en- its strong and skilled workforce. The rollout of some of the early on WJR AM 760 and in her blog at fari Associates Inc.; John Rakolta gagement had waned. In just a few weeks, the work work will be part of the Job Cre- www.crainsdetroit.com/kramer. Jr., the outspoken CEO of construc- Now, leaders from the Michigan group has crafted an impressive ative & Workforce Development E-mail her at [email protected]. tion firm Walbridge; and Tom Man- ganello, who leads the auto practice group for the law firm Warner Nor- cross & Judd LLP. I’m not sure who was more im- pressed by the UAW president — the Italians or King’s fellow travel- ers. During the trip, King made it clear the UAW was committed to helping employers be competitive and financially successful. But that’s not the only astonish-

TALK ON THE WEB From www.crainsdetroit.com Re: Second Widlak autopsy I think Quincy needs new glasses. Dirt Dog

Michigan Chamber gives $5.4M to GOP governors fund They might as well change the name to the GOP Chamber, as they are nothing but a Republican front group anymore. I’m glad I no longer am a member. billm

Re: Silverdome owners seek unpaid rent The story of the Silverdome has legs that will run for years. Thank you, Your wealth deserves a wide view and a long-term perspective. city of Pontiac, for all the laughs. Find us at PMFA.com. Timothy Dinan

Re: Ann Arbor bridge gets U.S. funding I wonder in which decade the Detroit bridge, which is much more important to Michigan’s economy, will be funded? Too bad for Detroit. William J. UPCOMING BREAKFAST ROUNDTABLE: Re: Snyder still our choice for governor The “China as bogeyman” cam- November 16 paign by Granholm — and now Year-end Tax Planning: What can you do now? Bernero — has cost the state of Michigan billions of dollars in lost in- vestments over the last four years All roundtables will be held from 7:30-8:30 a.m. at and tens of thousands of future 27400 Northwestern Hwy, Southfield, MI 48034. jobs over the next generation. Milan Stevanovich Visit roundtables.pmfa.com to register. Seating is limited. Re: ‘Buy locally’ movement grows I live in a border city … and I am constantly telling people to shop on our side of the border. It does make a difference to our state. 199472

Reader responses to stories and INVESTMENT MANAGEMENT I *TRUST SERVICES I *INSURANCE SERVICES I *TAX PLANNING blogs that appeared on Crain’s ESTATE PLANNING I WEALTH MANAGEMENT I BUSINESS TRANSITION I PHILANTHROPIC PLANNING Web site. Comments may be edited for length and clarity. QHHGTGFVJTQWIJCHſNKCVGUQH2/(# 20101025-NEWS--0010-NAT-CCI-CD_-- 10/22/2010 10:40 AM Page 1

Page 10 CRAIN’S DETROIT BUSINESS October 25, 2010 Beaumont asks for smaller proton beam cancer center

BY JAY GREENE If Beaumont’s CON extension is strain on systems to build it and In early 2008, Beaumont shook renville, Ill., in a joint venture CRAIN’S DETROIT BUSINESS approved, equipment installation (health insurance) carriers to pay up metro Detroit’s health care with Central DuPage Hospital. would be in 2013 and the first pa- for treatments.” community when it proposed to A number of other hospitals in William Beaumont Hospitals has tients would be treated by Feb. 28, Proton beam build the advanced radiotherapy Southeast Michigan have pro- asked the Michigan Department of 2014. therapy is a cancer center in a for-profit joint posed similar advanced cancer Community Health for permission to The proton beam therapy center form of cancer venture with ProCure Treatment centers, including Henry Ford build a $74 million proton beam would be housed in a two-story, radiation treat- Centers of Bloomington, Ind. Health System, the University of center, half the size of its original 25,000-square-foot building adja- ment that some While ProCure will finance the Michigan Health System, St. John certificate of need for a $159 mil- cent to Beaumont’s cancer center believe is supe- majority of the center’s costs, pri- Providence Health System and Bar- lion center to treat difficult can- on its main hospital campus in rior to standard vate investors, physicians and bara Ann Karmanos Cancer Center. cers. Royal Oak. photon, or X- Beaumont also will help pay the But a downturn in the economy Royal Oak-based Beaumont also “Everybody wanted the ability ray, radiation capital and development costs, in the fall of 2008 led Beaumont is requesting that the state grant it to design a smaller unit so you therapy. Critics, Vicini said. The financing break- and the other Detroit-area hospi- a two-year extension to its CON to don’t need an extraordinary however, point down hasn’t been determined, he tals to table their plans. Vicini start construction in December amount of money to make it to lack of clini- said. In September, DCH approved a 2012, said Larry Horvath, DCH’s work,” said Frank Vicini, M.D., cal studies on effectiveness. There Last week, ProCure opened a $65 million proton beam project manager of the CON review pro- Beaumont’s chief of oncology. “It are nine such facilities operating similar proton beam center — the proposed by Flint-based McLaren gram. does not put so much financial in the U.S. CDH Cancer Center — in War- Health Care in a joint venture with ProTom International Inc., based in Flower Mound, Texas. McLaren originally proposed a $168 million facility. Construction has begun at McLaren Regional Cancer Center in Flint, said CEO Phil Incarnati. The two-story, 30,000-square-foot, three-room center will feature a ProTom Radiance 330 proton ther- apy system. “We are targeting December 2012 for our first patient,” Incar- nati said. “This type of technology doesn’t currently exist. We are bringing in top (experts) in parti- cle therapy.” Incarnati said he believes there are enough advanced cancer pa- tients for both McLaren’s and Beaumont’s proton beam cancer centers. “After two, it gets fuzzy,” he said. “We ended up with the posi- tion we could support our unit just with the volume of cancer patients within our system, and there will be patients from Canada and from out of state.” Beaumont’s smaller proton cen- ter will treat far fewer cancers each year than originally envi- sioned — eventually rising to about 750 per year compared with 1,500 originally, Vicini said. And prostate cancer treatment will ac- count for less than 20 percent of cases, less than originally project- More flexible. More affordable. ed, he said. At other proton beam centers, prostate cancer treatment accounts for 50 percent of cases. More small business-friendly. “We treat 5,500 cancers per year at Beaumont. There is no pressure at all” to treat higher volumes to meet revenue demands, he said. The majority of cases treated at Beaumont will include pediatric cancers and tumors in the brain, base of the skull and spinal cord. “We refer a lot of the complex cases out now to other facilities,” Vicini said. “We can treat many cancers now with the optimal tech- Running a small business is a big responsibility. Fortunately, we’re here to nologies we have. We will be able help with a whole range of new small business-friendly plan designs—HMO, to do those here in Royal Oak.” Vicini said the center will hire PPO and EPO. Not only are they more affordable, they’re extremely flexible. 65 people, including physicists and You can virtually design your own plan. Many plan designs are even HSA radiation oncology technicians. While Beaumont adjusts the compatible. Of course, they also include preventive care, our customizable scope of its plan, a competing group of hospitals, led by Henry wellness programs, and access to over 18,000 doctors and the leading area Ford and UM, have been studying hospitals. Contact your agent or call HAP today at (800) HAP-PLUS. a carbon ion therapy center, which can cost upwards of $300 million. Carbon ion cancer therapy back- ers say to is as precise as a proton beam yet possibly yields more can- cer-killing energy at the tumor hap.org site. Officials for Henry Ford and UM declined to comment. Jay Greene: (313) 446-0325, [email protected] 20101025-NEWS--0011-NAT-CCI-CD_-- 10/22/2010 10:04 AM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 11

REPORTER’S NOTEBOOK Extra LARGEST CAPITAL CAMPAIGNS Sherri Welch writes about The top 10 campaigns seek a nonprofits and total of $1.5 billion, Page 18 services. Call (313) 446-1694 or write [email protected] estate planning and philanthropy

Sherri Welch New estate tax bid expected Give and receive Estate-planning professionals expect a federal legislative clamor to pass new estate tax legislation after the November elections. Growing gift annuity programs Despite expectations that Congress might take up the issue earlier this year, October has come with no appeal to both donor and charity federal estate tax for 2010. But as of Jan. 1, estate tax law put BY SHERRI WELCH have a passion for our mission, in place by the Bush administration in CRAIN’S DETROIT BUSINESS but they aren’t necessarily in a 2001 will expire, taking those tax position to release their entire rates back to what they were in 2001. ike many nonprofits, the portfolio immediately,” he said. Estate tax exemption will drop to Michigan Humane Society tra- To meet their requests, the Hu- $1 million from $3.5 million in 2009, L ditionally has targeted mane Society is in the process of and the top marginal rate increases to smaller dona- establishing a gift 55 percent, up from 45 percent last tions to support ABOUT GIFT ANNUITIES annuity program, year, said Dawn Jinsky, relationship its operations. which allows peo- manager and head of the estate- But the need A gift annuity program allows ple to make a gift planning practice at Plante & Moran for larger dona- people to donate to a charity, to a charity, take LLC in Southfield. tions and an en- take an immediate tax break and an immediate tax get an annual percentage of that “A lot of people who have closely dowment to sup- gift back, depending on their break and get an held companies and farms start to port long-term age, for life, under a contract annual percent- creep into this and have exposure to operations has with the charity. The charity age of that gift the estate tax, if the 2001 rates are become more keeps the remainder of the gift back, depending allowed to come back,” she said. pressing, said — usually about one half — on their age, for Even a retiree with a nice home, a CEO and Presi- upon the donor’s death or at the life. 401(k) and a life insurance policy, dent Cal Morgan. end of the contract. Several A growing which total over $1 million, could face “If we’re going nonprofits are setting up new gift number of non- an estate tax, she said. to continue to annuity programs, often to help profits are set- build endowments. The typical A host of other taxes are also adopt out 100 per- minimum gift amount is ting up gift annu- scheduled to expire as well, Jinsky cent of the ani- $10,000. ity programs to said, with an expected increase in the mals who come meet rising capital gains rate and an expected to our organiza- donor interest in decrease in the alternative minimum tion … we’re go- the better rate of tax exemptions. ing to have to People have been return they pro- Sen. Max Baucus, D-Mont., find ways to “ vide versus chairman of the Senate Finance grow our dona- shifting to certificates of Committee, and minority chairman tions,” he said. deposit and Sen. Charles Grassley, R-Iowa, The agency is charitable money mar- recently introduced estate tax in the early ket funds, proposals, said Robin Ferriby, vice stages of a cam- gift said Gregory president of philanthropic services for paign to raise Schupra, vice the Community Foundation for $6 million or annuities president and Southeast Michigan. GLENN TRIEST more and plans group manag- Washington-based Independent Cal Morgan, Michigan Humane Society CEO and president, says a gift to take it public since the er of Comerica annuity program is one way his agency is pursuing new funding from donors. Sector reported early this month that next year. Inc.’s Charita- Baucus wants to permanently fix the Many donors market ble Services its have gift annuity programs. said. estate tax at 2009 levels, with a tax have asked if the Group. In the case of the Humane Soci- But long term, those gifts can exemption of $3.5 million and a top meltdown. tax rate of 45 percent. society can pro- “People have ety program, in exchange for pay- establish an endowment to help vide a charitable ” been shifting to ing a set distribution to the donor, fund the society into the future, Grassley is proposing a $5 million gift annuity, a Gregory Schupra, Comerica Inc. charitable gift the agency will retain the remain- he said. The typical minimum exemption per person and a type of invest- annuities since der of the gift upon the donor’s amount for a gift annuity is 35 percent, tax rate, Ferriby said. ment vehicle growing in popular- the market meltdown,” he said. death or at the end of the contract. $10,000. As legislators address the estate tax ity, Morgan said. Several of the region’s universi- “In the short run, those dollars issue, one of the things that would be “I think these donors really ties, hospital systems and nonprof- are not available to us,” Morgan See Gift annuities, Page 12 helpful for Michigan and all states is reinstatement of the federal credit for state inheritance taxes paid, “a pure revenue-sharing device,” Ferriby said. The Council of Michigan AWARD WINNERS Foundations estimates that if that credit were to be reinserted, Michigan The Greater Detroit Chapter of the Association of Fundraising Professionals honors seven winners of awards for volunteerism, philanthropy and would receive $150 million to fundraising at a gala on National Philanthropy Day, Nov. 18, in Troy. Here’s a peek at the honorees, profiled on Pages 13-14. $200 million per year in new revenue, SUSAN BURNS, QUICKEN PATTY MIKE FEZZEY, NEW ROBERT EMILY LISNER, and it would not cost taxpayers any president of St. John LOANS, GHESQUIERE, president and ECONOMY ROSOWSKI, chairman student, Andover additional money, Ferriby said. Providence Detroit: president, general INITIATIVE of Oakwood High Both CMF and the Council of the Health Outstanding Junior manager FOR Healthcare School, Probate and Estate Planning Section of System Corporation League of of News/ SOUTHEAST Foundation, Bloom- the State Bar of Michigan have endorsed Foundations, Award Birmingham; Talk 760 MICHIGAN, Dearborn: field reinstatement of the federal credit for Warren: board WJR, Detroit: Edmund T. Township: state inheritance taxes, he said. Outstanding member, Detroit: Outstanding Ahee Jewel Outstand- Fundraising Community Neal Foundation Award for ing Youth “Given the fact that every state in Executive Award House in Birmingham: Shine Award for Award Outstanding in Philanthropy the country is facing budget deficits … George W. Romney Media Volunteer Fundraiser Award more states need to talk about this as Award for Lifetime Commitment to a way to help them with their revenue Achievement in Philanthropy shortfalls,” he said. Volunteerism Xx 20101025-NEWS--0012-NAT-CCI-CD_-- 10/22/2010 10:03 AM Page 1

Page 12 CRAIN’S DETROIT BUSINESS October 25, 2010 Finance Extra: Estate Planning and Philanthropy Gift annuities: Donor programs grow ■ From Page 11 Your role is central. And since charitable gift annu- We need them to take a longer view ities are designed to leave about of … public television.” Your influence far reaching. half of the gift’s value to a nonprof- The DPTV board set a goal to fo- it following the donor’s death or cus on endowment as it closed out termination of the contract, they a $22 million capital campaign last have become “the gift du jour of an year, Alpert said. endowment building program” for A powerful incentive for building nonprofits, he said. a formal endowment program came Today’s donors still want to in late 2007, when Masco Corp. Foun- make their gifting goals, but they dation offered a $40,000 challenge may tend to worry about the econ- Alpert Ferriby grant, which added to an equal omy right now, said Chris Kelly, amount from long-time supporters president of the Planned Giving could help the donor continue to Ernie and Shirley Hodas, to help Roundtable of Southeast Michigan make gifts to a charity. DPTV start the endowment. and vice president and senior phil- “In this environment, that’s a The Community Foundation for Opportunities in Detroit with the PCAOB anthropic adviser, Comerica Char- cake-and-eat-it-too situation,” Kel- Southeast Michigan, which claims to itable Services. ly said. have the largest charitable gift an- The Public Company Accounting Oversight Board offers a unique Gift annuities let them continue In the past, gifts toward an en- nuity program of any community opportunity to promote the public’s interest in high quality financial their relationship with a charity dowment were viewed by nonprof- foundation in the country, is also reporting and auditing. “in a (less costly) manner, because its as almost a luxury, Kelly said. seeing increased interest in those the charity (often) provides the But nonprofits now see the need to programs, said Robin Ferriby, vice contract.” establish both short-term and president of philanthropic services. Opportunities are available in Detroit for CPAs or Chartered Accountants Other investment vehicles, such long-term gifts. Donors can make gifts to the with at least eight years of recent experience auditing public companies as charitable lead trusts and chari- “We’re at a tipping point now, foundation’s charitable gift annu- who are interested in joining our Inspections team. table remainder trusts, also pro- because the donor does not have as ity program or to one of the 38 non- vide income distributions to much disposable income as (in the profits that have endowment funds The PCAOB offers career growth opportunities, competitive compensation donors, but the initial donation past). Raising those extra dollars administered by the foundation. and benefits, work/life balance and, above all, a chance to make a difference. amount is typically much higher needed to meet increased costs of “The ultimate benefit to the — around $500,000 or more — giv- operating each year is becoming charity is (that) … most of those Call (800) 810-0870 or log on to www.pcaobus.org for more details. en the costs required to establish harder and harder,” he said. types of gifts end up in endow- the trust and to provide long-term Comerica administers charita- ment,” Ferriby said. The PCAOB is a nonprofit corporation financial oversight of investment ble gift annuities for nonprofits Most conservative nonprofits established by Congress. Its mission is to oversee of the assets, distributions and through the national Comerica keep gift annuity money invested the audits of public companies in order to yearly tax returns, experts said. Legacy Foundation, which is only as part of a reserve, rather than protect the interests of investors and further the Donors can make lesser gifts to three years old but has nearly spending it on operations, until public interest in the preparation of informative, accurate and independent audit reports. It is charitable gift annuity programs, $5 million in contracts, a testa- the donor or annuitants have died. also charged with overseeing the audits of experts said, since those programs ment to the popularity of charita- But there is an element of risk to broker-dealer compliance reports under federal aren’t as expensive to administer. ble gift annuities, he said. donors who make gifts through securities laws, to promote investor protection. “There’s no cost to set up a gift Among the funds are programs charitable gift annuities, said Tom annuity,” Schupra said. for about 100 nonprofits, including MacFarlane, Clark Hill PLC member The PCAOB is an equal opportunity employer dedicated to establishing a diverse workforce. A donor isn’t likely to get rich Lawrence Technological University, and leader, personal legal services off of a gift annuity, Kelly said, but Michigan State University, University practice group. it will bring additional income and of Detroit Mercy, University of Michi- “Charitable gift annuities are gan and William Beaumont Hospitals, really an unsecured promise by a he said. charity to make that payment. Aside from the Michigan Hu- This is something you do with a mane Society, the Canton Communi- large nonprofit. The bigger their ty Foundation and Detroit Public Tele- endowment, the more likely there vision are setting up gift annuity would be no problem” getting the programs. annuitant distributions, he said. Congratulations DPTV’s program is part of a Charities aren’t bound by any larger effort it began in August rules about spending or keeping the with Comerica to set up various gift annuity amount in reserve, but forms of planned giving, said Se- most adopt a best practice from the William C. Young nior Vice President Dan Alpert. Georgia-based American Council on President, Plastipak Packaging and “We want to encourage our Gift Annuities and invest the entire donors, who have typically been an- gift received, MacFarlane said. Absopure Water Company nual givers through our pledge dri- Sherri Welch: (313) 446-1694, ves or renewed through the mail. … [email protected] upon receiving University of Detroit Mercy’s 2010 Distinguished Volunteer Award in observance of National Philanthropy Day

In recognition of your exceptional community leadership and commit- ment to education by initiating community scholarship programs, and by serving on the University of Detroit Mercy Board of Trustees and the Board of Business Leaders for Michigan.

We want great things for you. 800-635-5020 | www.udmercy.edu 20101025-NEWS--0013-NAT-CCI-CD_-- 10/22/2010 10:02 AM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 13 Finance Extra: Estate Planning and Philanthropy Event celebrates leaders in philanthropy PARTNERSHIP AVAILABLE gala held by the Greater Detroit Chapter work, with awards for fundraising, lifetime We invite you to experience the difference that of the Association of Fundraising Profes- achievement and other honors. private flight travel can make. A sionals on Nov. 18 will honor individual The event begins at 5:30 p.m. at the San efforts in volunteerism, philanthropy and Marino Club, 1685 E. Big Beaver in Troy. Tick- fundraising. ets are $90. See www.afpdetroit.afpnet.org or UÊ œÊ >ÃÏiÊi˜ÌÀÞʏiÛiÊÊ ÊÊÊ«>À̘iÀà ˆ«ÃÊ The 19th annual gala, held on National Phil- call the chapter at (248) 478-6076 for more infor- UÊœÜiÃÌʜ«iÀ>̈˜}ÊVœÃÌÃÊÊÊÊÊÊÊ anthropy Day, honors seven winners for their mation. ÊÊʈ˜ÊÌ iʓ>ÀŽiÌÊ UÊ
VViÃÃÊ̜ʜÛiÀÊx]äääÊÊ ÊÊÊ1°-°Ê>ˆÀ«œÀÌÃÊ UÊ*ˆœÌÃÊޜÕʎ˜œÜÊ>˜`ÊÌÀÕÃÌÊ fiscal literacy to area youth; Biz- diversity task force, and has fos- UÊ/À>ÛiÊœ˜ÊޜÕÀÊÃV i`Տi]ÊÊ dom U, an entrepreneurial acceler- tered a coalition between The ÊÊʘœÌÊÌ iÊ>ˆÀˆ˜i½ÃÊ ator that creates new businesses Community House and the Junior UÊ->viÊ>˜`ÊÃiVÕÀi and jobs in the city; and M-1 rail, a League of Birmingham. light-rail initiative that will con- Other organizations in the com- nect Detroit’s major business, munity that have been recipients American Jet Management medical, cultural and educational of her work include: Cranbrook corridors along Woodward Av- Schools, Cranbrook House and Gar- >Ê ˆŽiÊ>ÌÊn£ä°ÓÎÓ°{{{ÎʜÀʈ“Ê>ÌÊÓ{n°nÈä°ÈÎÇn enue. dens Auxiliary, Women’s Committee Quicken executives serve many for Hospice Care, Leader Dogs for the major civic and philanthropic or- Blind and Michigan Animal Rescue SUSAN BURNS ganizations in Detroit, holding League. President of St. John Providence more than 20 boards of director po- Health System Foundations, sitions. Warren Quicken Loans donates more Outstanding Fundraising Executive than $1 million annually to more Award than 200 nonprofit organizations, and the company moved its head- quarters to downtown Detroit in Susan Burns joined St. John Prov- August to demonstrate its com- idence Health System Foundations in OUTGROWN mitment to Southeast Michigan August 2008 and quickly set about and to Detroit’s continued revital- securing the largest gift ever to YOUR LOOK? ization. have been given to the nonprofit. The gift led to expansions for the health system’s Neuroscience Cen- ter of Excellence, including the ad- dition of an epilepsy center; a new MIKE FEZZEY dizziness, balance and falls clinic; President and General Manager of and a regional network that allows News/Talk 760 WJR, Detroit physicians to visit a patient’s bed- Neal Shine Award for Media side virtually. Commitment to Philanthropy Burns is also credited with helping the foundations exceed Mike Fezzey acts on the belief their financial goals two years in that his success and gifts are not a row. for him alone but are to be shared. “Susan is that rare individual For years, he has been involved who has great strategic vision but with a number of organizations to is also capable of leading people to PATTY GHESQUIERE help improve the community and meet that vision,” said Joan President, Junior League enhance quality of life. Gehrke, chair of the St. John Hos- of Birmingham Fezzey either holds or has held pital Foundation board. “She can Board member, Community House board of director positions with see the forest and the trees.” in Birmingham Cornerstone Schools, New Detroit, MARKETING • PR • DESIGN • NEW MEDIA identitypr.com Burns was the president of George W. Romney Award The Children’s Center, Habitat for Hu- Wayne State University’s develop- for Lifetime Achievement manity, The Detroit Economic Club, ment and alumni affairs depart- in Volunteerism Forgotten Harvest and The Parade Co. ment before moving to St. John Providence Health System Foun- Patty Ghesquiere is said to be See Awards, Page 14 dations. the personification of the profes- Her history in philanthropy also sional volunteer. includes development work at the She volunteers as president of Detroit Symphony Orchestra and the the Junior League of Birmingham and Interlochen Center for the Arts, as as a member of the board of well as board memberships for trustees of Beaumont Hospitals. She for Your Support various local nonprofits. also does fundraising for Light- Thank You house of Oakland County and The Lawrence Technological University gratefully acknowledges the Community House. Along with being on the board of generosity of the donors, board The Community House, Ghes- QUICKEN LOANS quiere has been on the fund devel- members, foundations, corporations, opment, finance, nominating and Detroit executive committees at the orga- and volunteers who generously Outstanding Corporation Award nization, which supports educa- invest in our students, the leaders tional, social and cultural pro- Employees from Quicken Loans grams. of the future. Inc. and its family of companies in She chaired its House Tour 2009 gave more than 1,500 volun- Committee, its Antiques Festival teer hours to local communities and its Our Town Art Show and through such activities as serving Sales fundraisers. food to the homeless, building Before becoming overall chair of Explore over 100 undergraduate, master’s, and doctoral programs playgrounds and working in ur- The Community House Antiques in Colleges of Architecture and Design, Arts and Sciences, ban gardens. Festival, she organized a 60-person Engineering, and Management. The company has played a pri- committee, composed mostly of mary role in founding education, young people new to The Commu- Lawrence Technological University business startup and mass-trans- nity House. She created a new 21000 West Ten Mile Road 2011 2011 2011 AMERICA’S BEST BEST COLLEGES MILITARY portation initiatives in downtown component, “Boutiques and Southfield, MI 48075-1058 UNIVERSITIES in the Midwest FRIENDLY ltu.edu U.S. News & Princeton SCHOOL Detroit. Examples include the Blooms,” to raise more money. 800.CALL.LTU | [email protected] | World Report® Review® G.I. Jobs® Rock Financial Junior Achieve- Ghesquiere also has been in- ment Finance Park, which teaches volved with the race relations and 20101025-NEWS--0014-NAT-CCI-CD_-- 10/22/2010 10:01 AM Page 1

Page 14 CRAIN’S DETROIT BUSINESS October 25, 2010 Finance Extra: Estate Planning and Philanthropy Awards: Annual event celebrates local leaders in philanthropy ■ From Page 13 He is a past state chairman of the and local foundations have com- The initiative has funded every- Healthcare Foundation’s chairman March of Dimes. He also has been NEW ECONOMY INITIATIVE mitted $100 million to this eight- thing from entrepreneurship pro- since 1996, Robert Rosowski wears active with the Detroit Police Athlet- FOR SOUTHEAST MICHIGAN year initiative. grams to redevelopment projects many volunteer- ic League and the Alliance for a Safer NEI has selected and funded to support the creative economy. ing hats. Greater Detroit. Detroit broad projects in Detroit, including A former Mas- His assistance in helping market Outstanding Foundation Award leadership grants to the College for co Corp. execu- the work of the Henry Ford Health Sys- Creative Studies, Bizdom U, the Cre- tive, Rosowski tem has been crucial to the success The New Economy Initiative for ative Corridor Incentive Fund, Invest De- ROBERT ROSOWSKI is active on the in delivering high-quality health Southeast Michigan is a philan- troit and the Michigan Initiative for In- boards and com- care to the community. thropic effort to move metro De- novation and Entrepreneurship. Chairman of Oakwood Healthcare mittees of sever- In 2006, he was appointed by troit toward an innovation-based The NEI is awarded the Out- Foundation, Dearborn al organiza- Gov. Jennifer Granholm to the economy. standing Foundation Award in Edmund T. Ahee Jewel Award tions. He is a Mentor Michigan Leadership Council NEI is committed to increasing recognition of the impact that fun- for Outstanding Volunteer past chair and Fundraiser Rosowski and received an honorary doctor- prosperity and expanding opportu- ders can have by backing specific current adviser ate of public service from Central nity for all residents and commu- endeavors to improve the local to the Accounting Aid Society and Michigan University. nities in the region. Ten national economy. In addition to being Oakwood vice chair of the Detroit Institute of Arts’ audit committee. He also serves on the board and is chair of the planned giving cam- paign for Detroit Catholic Central High School. He and his wife have set up a scholarship at the school in honor of their son, who was killed in a car accident. They established a scholarship at the University of Michigan for the same reason. He also works with the Volunteer Accounting Service Team by prepar- Why let the ing tax returns for needy individu- als. Since Rosowski became the chair of Oakwood Healthcare Foundation, the nonprofit has billionaires raised $85 million. have all

EMILY LISNER Student, Andover High School, the fun? Bloomfield Township Outstanding Youth in Philanthropy Award

Emily Lisner is a 17-year-old honor roll junior at Andover High School in Bloomfield Township, but she is also a survivor. At age 16, Lisner was diagnosed with WHATEVER YOUR PHILANTHROPIC PASSIONS, THE COMMUNITY FOUNDATION FOR Stage 2B Hodgkin’s lymphoma. After receiving extensive cancer SOUTHEAST MICHIGAN CAN HELP YOU DESIGN YOUR OWN GIVING PLEDGE. treatments at Children’s Hospital of Michigan, she is cancer-free and has enlisted the help of her friends, family and classmates to start a program for teenagers who are facing cancer. Her goal is to raise enough funds You can help solve today’s problems or leave money for tomorrow’s to dedicate a space at Children’s rainy days. Set up a charitable fund with us and get the expert advice Hospital of Michigan for helping teen patients regain a sense of nor- and support the billionaires get. malcy and feel less isolated. Lisner has hosted fundraisers to To find out how, call Robin Ferriby at (313) 961-6675 ext 104, start a teen cancer fund at Chil- dren’s Hospital. She is also work- email [email protected] or visit cfsem.org for more information. ing to implement a teen mentoring program at the hospital. Fundraisers she has either al- ready spearheaded or is planning include a teen party at the Jewish Community Center, a charity week, new books and DVD drives and Kicks for the Cure. Lisner is also junior class presi- dent and a member of her school’s soccer and ski teams. — Gary Anglebrandt 20101025-NEWS--0015-NAT-CCI-CD_-- 10/22/2010 10:55 AM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 15 Finance Extra: Estate Planning and Philanthropy Economy puts some capital campaigns on ice, others warm up to loyal donors

BY MARTI BENEDETTI Donors are not interested in pay- versity’s endowment, campus SPECIAL TO CRAIN’S DETROIT BUSINESS ing for bricks and mortar in a capital improvements and stu- time of need.” dent scholarships. While some metro Detroit capi- He said many nonprofits, espe- Based on its experience with tal campaigns are on hold until cially those in human services, the Wayne First campaign that the economy improves, those that are stalling their campaigns. brought in nearly $900 million, are forging Higher education and health exceeding its $500 million goal, ahead are rely- care institutions seem less daunt- and the Aim Higher for Students CRAIN’S LIST ing more heavily ed by the continued tough econo- scholarship campaign, which al- Largest capital on funds from my and are using innovative ready has obtained $11 million of campaigns, their most-com- methods to garner funds. its $10 million goal, Ripple said Page 18 mitted donors. Eastern Michigan University al- the university has $87 million to Botsford Hospital thanks you Take Pontiac- ready has obtained $34 million of launch the new campaign. based CARE House of Oakland Coun- its $50 million goal for its “Invest, University departments are be- for making a difference! ty, which helps neglected and Inspire” capital campaign, said ing consulted to determine the abused children. It launched a $4 EMU President Susan Martin. greatest needs for the newest million capital campaign recently The campaign was planned and campaign. With gratitude to the donors who to build a new center next door to launched this past summer. The The silent phase of the cam- its current building. funds will be spent on student paign will last for about two have shared our vision of a new cancer Pat Rosen, director of CARE scholarships, endowments, green years. center, breast center and restored House, said the initiatives and “We are in a unique position; need could not the athletic pro- we have 240,000 alumni who live Botsford Inn. We look forward to a wait. It is under Overall, I’m gram. all over the place,” Ripple said. continuing partnership in meeting our construction and “ Martin said The $20 million capital cam- promise of excellence. expected to be hearing that capital $50 million is a paign at Crittenton Hospital in completed early modest goal that Rochester Hills, announced last next year. campaigns are still can be achieved month, is in full swing having re- “We have in less than two ceived $5 million toward its goal, (donors) who have not on most people’s years. said Katy Olsen, president of the stepped up and The universi- Crittenton Hospital Medical Cen- are dedicated to radar screens. ty also is purs- ter Foundation. our mission,” she ” ing its future Fundraising to pay for a said. “I’m fairly Gary Dembs, Association of alumni — stu- $65 million, five-story tower is ex- confident we will Fundraising Professionals dents. Martin pected to take three years. reach our goal.” said the Groundbreaking is expected in CARE House al- fundraising staff the spring. ready has received grants from is speaking to student organiza- Olsen is confident the commu- the United Way for Southeastern tions and encouraging giving. nity will support its local hospi- Michigan, U.S. Department of Hous- Riding on the success of two re- tal. ing and Urban Development and a cent capital campaigns, Wayne “Crittenton is in a fortunate po- group of donors. Rosen said the State University is gearing up for a sition of living in a tight-knit organization’s leadership careful- more than $500 million campaign community,” she said, adding ly cultivates relationships with under the prompting and guid- that this is the first campaign 1331²*$5<'(0%6 people who see value in the orga- ance of WSU interim President since the hospital opened in 1967. nization’s work. It has for its 5,000 Allan Gilmour. “We have long-term, loyal clients. David Ripple, WSU vice presi- donors. The more we talk with Gary Dembs, president of the dent of development and alumni our donors and create relation- &21*5$78/$7(6 $// Association of Fundraising Profes- affairs and president of the WSU ships, they become our in- sionals, Greater Detroit chapter, Foundation, said early plans call vestors.” said CARE House did its home- for a campaign that will end in She added that in an economic work. 2015, when the university turns downturn, some choose not to ask +2125((6 $1' “But overall, I’m hearing that 150. for donations. capital campaigns are still not on In general, campaign money “I believe people rally in tough most people’s radar screens. will go toward building the uni- times.” ',67,1*8,6+('92/817((56

Shelter hopes to lure donors by spotlighting tax credit $7 7+(

BY SHAWN WRIGHT utive director of Open Door. “He great way and opportunity for peo- SPECAL TO CRAIN’S DETROIT BUSINESS was a great help at a critical time. ple to leverage their gifts.” We need to get more people aware By January, Open Door is going 7+$118$/ The Open Door Rescue Mission, a of (the tax credit).” to switch from being a men’s shel- men’s homeless shelter in Detroit, Moak became involved with ter to a women and children’s shel- is hoping its 400 Club campaign, Open Door Rescue Mission seven ter. which emphasizes a Michigan tax years ago after hearing about the The shelter currently has 15 1$7,21$/3+,/$17+523< credit program, will entice donors shelter through his church. emergency beds for those who to help fund its work. In a typical year, 40 percent of need a safe place to sleep, with an- The organization’s 400 Club, cre- Open Door’s income comes from other 20 beds in Open Door’s tran- ated two years ago by Doug Moak, donations. Some people give $2 a sitional shelter, which helps those $< (/(%5$7,21 a member of Open Door’s board of week, some give $25 a month, in the long term. ' & directors, highlights a Michigan while others make one large gift To accommodate the incoming tax credit that allows people mak- each year. women and children, Farris said, ing annual gifts of $400 to homeless The tax credit can be leveraged the shelter needs new flooring, up- shelters to receive a federal deduc- to gain support from donors, ob- graded kitchen and dining areas, tion of about $100 and a Michigan servers say. linens, toiletries, face cloths and credit of $200, when filing jointly, “Right now, the charities really many other common items. or $100 when filing as a single. need the support,” said Robin Fer- “Doug and I have always said if Moak is vice president of sales riby, vice president of philan- we can get a 100 people to do the and marketing for Warren-based thropic services for the Community 400 Club, that’s $40,000 … that automotive supplier SET Enterpris- Foundation for Southeast Michigan. would be a good goal,” Farris said. es Inc. “The demands on their services “We can do something with that, ZZZ1331EL] “The 400 Club was Doug’s baby,” have been increased, due to the but (the 400 Club) is still a new con- said the Rev. Jerome Farris, exec- economy. (The tax credit) is a cept that we’re working toward.” 20101025-NEWS--0016-NAT-CCI-CD_-- 10/22/2010 9:59 AM Page 1

Page 16 CRAIN’S DETROIT BUSINESS October 25, 2010 Finance Extra: Estate Planning and Philanthropy Fundraising for new Beaumont, OU medical school gains steam

BY JAY GREENE Foundation since 2000. overall campaign goal that will economy looks, before we go into CRAIN’S DETROIT BUSINESS But only $6.1 million — with an- support key medical areas at its the public phase.” other $20 million pledged by Beau- three hospitals, including heart Fundraisers at OU and at Beau- The Oakland University William mont — has been raised in cash and vascular, oncology, urology, mont are busy identifying donors Beaumont School of Medicine is ex- and pledges for the medical school orthopedics, surgery and pedi- and volunteers. pected to open classes in August, the first two years because Beau- atrics, Casey said. They are strengthening donor but a 10-year, $260 million mont and OU have been engaged Sue Goepp, vice president of uni- support by talking about the short- fundraising drive to fund the in other major campaign drives, versity relations, said OU raised age of physicians and how the new state’s fourth medical school is Casey said. $112 million for student scholar- medical school is expected to im- really just beginning to gather “There is some overlapping, but ships and endowed chairs in its prove access and quality of health speed. Casey Goepp Oakland completed its major cam- overall campaign that finished a care in Southeast Michigan, Goepp Beaumont Foundation and Oakland paign last year and we will com- year early. said. University began planning the “We have developed a collabora- plete our current campaign July “We are in the silent phase for “The reaction from donors has fundraising drive a year before the tive campaign plan for the medical 2011,” said Casey. the medical school right now,” she been extremely positive,” Casey medical school was announced in school,” said Margaret Cooney Beaumont has raised $155 mil- said. “We probably want to wait a said. “People are aware that 2008. Casey, president of the Beaumont lion of its current $170 million year or two, depending on how the health care is changing and that education can address the severe shortage of doctors. An academic medical center also can attract the best and brightest in the field.” But the OU Beaumont medical school is not the only new one opening in Southeast Michigan. Last year, the Michigan State University College of Osteopathic Medicine opened two expansion sites with 50 students each at De- troit Medical Center and Macomb University Center in Clinton Town- ship. Several other medical schools are also planned in Michigan — at Central Michigan University and Western Michigan University — and Wayne State University School of Medicine and others have in- creased enrollment to meet de- mand. At the OU Beaumont medical school, the first two years of class- es will be held primarily at OU’s Rochester Hills campus. The third and fourth years, which cover clin- ical rotations and advanced re- search, will be held at William Beau- On behalf of mont Hospital in Royal Oak. Casey said philanthropy has Oakwood Healthcare, Inc. nearly recovered from the eco- nomic meltdown in the fall of 2008. Congratulations to “We had an 11 percent decline from 2007 to 2009, but people are still very generous and giving has gone up again this year,” said Casey, who said Beaumont raises Robert B. Rosowski about $28 million each year. Of the $260 million goal, OU has Trustee of Oakwood Healthcare, Inc. pledged to raise $135 million and Beaumont another $125 million. Chair of Oakwood Healthcare At Beaumont, the funds will be Foundation Board divided like this: $65 million for program and operational support, including $20 million for opera- tions, $10 million for scholarships and $35 million for endowed chairs. Another $60 million will be Winner of the raised for capital improvements such as classroom upgrades and a new auditorium. At OU, the funds will be used for Jewel Award for the following: $70 million for pro- grams and operational support, which include $20 million for pro- Outstanding Volunteer Fundraiser grams and operations, $15 million for scholarships and $35 million for endowed chairs and faculty funds. Another $65 million will be sought for new buildings, but that drive won’t start until after the first class graduates in 2015, Goepp said. “We are right on target to achieve our goals,” Goepp said. Jay Greene: (313) 446-0325, [email protected] 20101025-NEWS--0017-NAT-CCI-CD_-- 10/21/2010 5:02 PM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 17 CRAIN'S LIST: LARGEST FOUNDATIONS CRAIN'S LIST: LARGEST NONPROFITS Ranked by 2009 assets Ranked by 2009 gross receipts Gross Total Foundation name assets Organization, fiscal-year end receipts Address; phone ($000,000) Address ($000,000) Rank Top executive 2009 Purpose of foundation Phone; website 2009/2008 Rank Top executive The Kresge Foundation $3,130.8 To influence the quality of life for future generations by 3215 W. Big Beaver Road creating access and opportunity in underserved Macomb-Oakland Regional Center Inc. (9/2009) Gerald Provencal $187.2 1. Troy 48084; (248) 643-9630 communities, improving the health of low-income 16200 19 Mile Road, Clinton Township 48038 executive director $182.4 Rip Rapson, president and CEO people, supporting artistic expression, assisting in the 1. (586) 263-8700; www.morcinc.org revitalization of Detroit, and advancing methods for dealing with global climate change Community Foundation for 572.0 To improve the quality of life in Southeast Michigan by NSF International (12/2009) Kevan Lawlor 155.2 building permanent endowment funds and making 789 N. Dixboro Road, Ann Arbor 48105 president and CEO 147.0 Southeast Michigan grants to support charitable projects and institutions 2. 2. 333 W. Fort St., Suite 2010 (734) 769-8010; www.nsf.org Detroit 48226-3134; (313) 961-6675 Mariam Noland, president Community Living Services Inc. (9/2009) James Dehem 129.0 The Skillman Foundation 457.2 To help develop good schools and good 35425 Michigan Ave. W., Wayne 48184 president and CEO 137.4 100 Talon Centre Drive, Suite 100 neighborhoods for children. Most grants are directed at 3. (734) 467-7600; www.comlivserv.com 3. Detroit 48207; (313) 393-1185 six Detroit neighborhoods Carol Goss, president and CEO United Way for Southeastern Michigan (6/2009) Michael Brennan 99.3 United Jewish Foundation 408.0 The foundation owns, manages and invests Jewish 1212 Griswold St., Detroit 48226 president and CEO 71.3 P.O. Box 2030; Bloomfield Hills 48303 communal assets. It allocates funds for community 4. (313) 226-9200; www.uwsem.org 4. (248) 642-4260; Scott Kaufman, CEO needs and ensures that assets are available to promote the continuity of the Jewish people Barbara Ann Karmanos Cancer Institute (4/2009) Gerold Bepler 84.3 Max M. & Marjorie S. Fisher 235.9 Providing for the needs and safeguarding the Jewish 5. 4100 John R, Detroit 48201 president and CEO 82.2 ; 2 Towne Square, Suite 920 people, strengthening youth and families, HIV/AIDS- (800) 527-6266; www.karmanos.org 5. Foundation health, and education arts and culture Southfield 48076; (248) 415-1444 Douglas Bitonti Stewart, executive director Lutheran Social Services of Michigan (12/2009) Mark Stutrud 82.9 B General Motors Foundation 157.7 Enhancing the quality of life in the communities where 6. 8131 E. Jefferson Ave., Detroit 48214 president and CEO 78.8 300 Renaissance Center General Motors Corp. does business (313) 823-7700; www.lssm.org 6. Detroit 48265-3000; (313) 665-0824 John Montford, chairman American Cancer Society, Great Lakes Division C Jill Elder 72.8 Hudson-Webber Foundation 150.6 To improve the vitality and quality of life of the 7. (8/2009) executive director NA 333 W. Fort St., Suite 1310 metropolitan Detroit community. Giving primarily 20450 Civic Center Drive, Southfield 48076 7. Detroit 48226; (313) 963-7777 within the city of Detroit, with a particular interest in (248) 663-3400; www.cancer.org David Egner, president and CEO the revitalization of the urban core Gleaners Community Food Bank Inc. (6/2009) DeWayne Wells 71.3 McGregor Fund 140.7 To relieve the misfortune and promote the well-being 8. 2131 Beaufait, Detroit 48207 president 44.5 333 W. Fort St., Suite 2090 of mankind (313) 923-3535; www.gcfb.org 8. Detroit 48226; (313) 963-3495 C. David Campbell, president Hospice of Michigan Inc. (12/2009) Dorothy Deremo 66.2 Herrick Foundation 134.8 To improve the general welfare of our society through 9. 400 Mack Ave., Detroit 48201 president and CEO 70.3 660 Woodward Ave. support of education, medical and scientific research (313) 578-5000; www.hom.org 9. Detroit 48226; (313) 465-7733 and social welfare charitable organizations Todd Herrick, president and treasurer Salvation Army-Eastern Michigan (9/2009) Norman Marshall 59.7 Richard & Jane Manoogian 121.7 Support for higher education, culture and the arts 16130 Northland Drive, Southfield 48075 Lt. Colonel, divisional 76.7 10. (248) 443-5500; www.salmich.org commander 10. Foundation; 21001 Van Born Road Taylor 48180; (313) 274-8799 Richard Manoogian, president and CEO Altarum Institute (12/2009) Lincoln Smith 57.5 The Carls Foundation 93.9 Children's medical, including health care facilities and 11. 3520 Green Court, Ann Arbor 48105 president and CEO 59.1 333 W. Fort St., Suite 1940 programs with emphasis on hearing impairment; (734) 302-4600; www.altarum.org 11. Detroit 48226; (313) 965-0990 children's welfare with some educational programs; Elizabeth Stieg, executive director preservation of natural areas The Henry Ford (12/2009) Patricia Mooradian 53.5 D D The Fred A. & Barbara M. Erb 90.2 To nurture environmentally healthy and culturally 20900 Oakwood Blvd., Dearborn 48124 president and CEO 54.7 vibrant communities in metropolitan Detroit and 12. (313) 982-6001; www.thehenryford.org Family Foundation support initiatives to restore the Great Lakes basin 12. 800 N. Old Woodward Birmingham 48009; (248) 498-2506 Roger Swaninger 53.2 John Erb, president Spectrum Human Services Inc. and Affiliated Cos. (12/2009) president and CEO 47.5 Manoogian Simone Foundation 89.5 Support for Armenian organizations, including 13. 28303 Joy Road, Westland 48185 21001 Van Born Road Armenian human-service and religious organizations (734) 458-8736; www.spectrumhuman.org 13. Taylor 48180; (313) 274-8799 Louise Simone, president Presbyterian Villages of Michigan (12/2009) Roger Myers 49.7 26200 Lahser Road, Suite 300, Southfield 48033-7157 president and CEO 47.9 Edsel and Eleanor Ford House 85.5 Maintenance and preservation of home and grounds 14. (248) 281-2020; www.pvm.org 1100 Lake Shore Road 14. Grosse Pointe Shores 48236; (313) 884-4222 Jewish Federation of Metropolitan Detroit (5/2009) Scott Kaufman 46.9 Kathleen Mullins, president 6735 Telegraph Road, Bloomfield Hills 48301 CEO 51.5 15. (248) 642-4260; jewishdetroit.org Alex and Marie Manoogian 61.5 Support for Armenian organizations, including human- Foundation service and religious organizations 15. 21001 Van Born Road Detroit Symphony Orchestra (8/2009) Anne Parsons 45.1 Taylor 48180; (313) 274-8799 3711 Woodward Ave., Detroit 48201 president and CEO 67.3 Richard Manoogian, president 16. (313) 576-5100; www.detroitsymphony.org Ethel and James Flinn 55.4 To improve services for children, adolescents and adults with mental illness, with a primary focus on Linda Torr 38.0 Foundation Wayne, Oakland, Macomb and Washtenaw counties St. John Home Care (6/2009) 16. 333 W. Fort St., Suite 1950 37650 Garfield Road, Clinton Township 48036 director of infusion and 36.8 Detroit 48226-3134; (313) 309-3436 17. (800) 248-2298; www.stjohn.org/homecare certified services Andrea Cole, executive director and CEO The Jewish Fund 50.5 To support the overall health care and social-welfare needs of the Jewish and general communities in the Area Agency on Aging 1-B (9/2009) Tina Abbate-Marzolf 37.4 P.O. Box 2030; Bloomfield Hills 48303; CEO 35.8 17. (248) 203-1487 Detroit metropolitan area 18. 29100 Northwestern Highway, Suite 400, Southfield 48034 Margo Pernick, executive director; (248) 357-2255; www.aaa1b.com Michael Maddin, chair The Lloyd and Mabel Johnson 50.2 Our Christian mission is to reduce human suffering Focus: HOPE (9/2009) William Jones Jr. 36.4 and enrich quality of life through health and education 1355 Oakman Blvd., Detroit 48238 CEO 32.9 Foundation services and Christian ministries in Michigan 19. 18. 10315 Grand River, Suite 301 (313) 494-5500; www.focushope.edu Brighton 48116; (810) 229-6380 Gordon Kummer, president The Guidance Center (9/2009) Michael Lott 36.2 DeRoy Testamentary Foundation 42.5 Support for programs in areas of youth and adult 13101 Allen Road, Southgate 48195 president and CEO 36.4 26999 Central Park Blvd., Suite 160 welfare, education, health care, arts and culture 20. (734) 785-7700; www.guidance-center.org 19. Southfield 48076; (248) 827-0920 Arthur Rodecker, president This list of 501(c)(3) status nonprofit organizations is an approximate compilation of the largest such organizations in Wayne, 39.9 To support initiatives and institutions that enhance or Ford Motor Co. Fund Oakland, Macomb, Washtenaw and Livingston counties. It is not a complete listing but the most comprehensive available. 1 American Road improve opportunities for those who live in 20. Dearborn 48126; (888) 313-0102 communities where Ford Motor Co. operates Because of space limitations, schools, hospitals, churches and associations are not included. Jim Vella, chairman and president B 2009 Form 990 not yet filed. Figure is preliminary. C The American Cancer Society, Great Lakes Division is based in East Lansing but operates a metro Detroit service center in This list of largest foundations is an approximate compilation of the largest such organizations in Wayne, Oakland, Macomb, Southfield. The division serves both Michigan and Indiana. Gross receipts are for the entire division. Washtenaw and Livingston counties. It is not a complete listing but the most comprehensive available. Unless otherwise D Operating revenue. noted, information was provided by the foundations. P = private foundation, CS = company-sponsored foundation, LIST RESEARCHED BY ANNE MARKS AND PATRICE BUSHART CO = community foundation, NA = not available. LIST RESEARCHED BY ANNE MARKS AND PATRICE BUSHART 20101025-NEWS--0018-NAT-CCI-CD_-- 10/21/2010 4:49 PM Page 1

Page 18 CRAIN’S DETROIT BUSINESS October 25, 2010

CRAIN'S LIST: LARGEST CAPITAL CAMPAIGNS Ranked by campaign goal Amount raised Organization name Campaign goal so far Rank Campaign name ($000,000) ($000,000) Campaign start date Targeted ending date What the campaign is paying for Wayne State University $500.0+ $87.0 2010 2015 Building endowment, campus capital improvements and student scholarships 1. Capital campaign

Henry Ford Health System $250.0 $150.8 January 2007 December 2013 Capital projects for Henry Ford Hospital and Henry Ford West Bloomfield 2. Henry Ford Health System Envision Hospital, and for endowment campaign William Beaumont Hospitals $170.0 $155.0 2005 2011 Support for the capital, endowment, research and programmatic needs of the The Campaign for Beaumont Hospitals Beaumont hospital system. Targeting six key clinical programs — heart and 3. vascular, oncology, urology, orthopaedics, geriatrics and pediatrics as well as the research and surgical initiatives that impact these programs Detroit Riverfront Conservancy $140.0 $108.0 2003 TBD Development, operations and maintenance of the RiverWalk. Ultimately 5 1/2 4. East RiverWalk capital campaign miles of RiverWalk, parks and green spaces from Gabriel Richard Park just east of Belle Isle to the Ambassador Bridge St. Joseph Mercy Health System $100.0 $75.0 2002 2012 New facilities and technology including new patient towers and surgery pavilion 5. Renewal campaign in Ann Arbor, new cancer center in Brighton and new imaging center and community health pavilion in Saline Lawrence Technological University $75.0 $49.0 July 2006 July 2013 Facilities and infrastructure, endowment, academics and program innovation 6. Capital campaign B

Detroit Institute of Arts $75.0 $10.0 February 2010 December 2015 Operations and increase endowment 6. 125th Anniversary campaign

College for Creative Studies $55.0 $42.7 September 2008 TBD To support the College for Creative Studies' $145 million development of the A. 8. Capital campaign for the Taubman Center Alfred Taubman Center for Design Education and the reorganization of its existing Walter and Josephine Ford Campus Eastern Michigan University $50.0 $34.8 2007 2013 Economic development projects 9. Capital campaign

Oakwood Healthcare Inc. $50.0 $20.6 C January 2007 ongoing Community outreach initiatives, Southshore Promise building campaign, Oakwood Pursuit of Excellence in Health Oakwood Family Center building campaign, orthopaedic and physical medicine 9. and Healing and rehabilitation, sanctuary, Center for Exceptional Families endowment campaign, other specialty care areas

This list of capital campaigns is an approximate compilation of the largest campaigns in Wayne, Oakland, Macomb, Washtenaw and Livingston counties. It is not a complete listing but the most comprehensive available. B Still in silent phase, expected to go public soon to reach goal of $75-$100 million. C As of September 2009. LIST RESEARCHED BY ANNE MARKS AND PATRICE BUSHART

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ADVERTISEMENT brighton hospital

12851 Grand River Road Fundraising Events Brighton, MI 48116 1-800-523-8198 Health Professional www.brightonhospital.org Brighton Hospital and the State Brighton Hospital’s Bar of Michigan invite legal Golf Classic: August 8, 2011, Recovery Program promotes professionals to the 3rd Annual Lakelands Golf and Country addiction education and MISSION STATEMENT Evening of Enlightenment, Club, Brighton, MI. Proceeds prevention.Continuing education Thursday, April 28, 2011, at benefit Brighton’s free credits are offered. Rock Financial Showplace, Novi. It is our mission to provide the Proceeds benefit the Richard L. Children’s Addiction Visit www.brightonhospital.org community with quality, cost- Steinberg Scholarship for Prevention Program and effective chemical dependency and addiction treatment. Patient Extended Care Fund. associated behavioral services, and balance the need of our Volunteer Opportunities patients with available resources.

Brighton Hospital offers a time to make Brighton Hospital are a significant part of new GOALS volunteer work program that a center of hope, healing beginnings for many families. focuses on giving back to and motivation for patients Contact: volunteer@ families and patients. Volunteers and families recovering from brightonhospital.org . Brighton Hospital believes generously contribute their addiction. Our volunteers that chemical dependency is a treatable disease. It is our goal to continually serve as an innovative Giving Opportunities international provider of addiction treatment and education for the You can make charitable program, our women’s halfway, • Provide scholarships for chemically dependent and their donations to benefit Brighton Henderson Halfway House for our youth drug and alcohol loved ones. Hospital through the Brighton Men, our adolescent intensive prevention and recovery National Addiction Foundation. outpatient program, and the services. It is also our goal to set the restoration of our historic When you make a charitable standard of excellence for campus. In addition, your • Bring more programs to at-risk contribution to the Brighton addiction recovery and treatment. contribution will also help us: communities like yours National Addiction Foundation, We will continue to develop you become an important • Build and expand addiction All of these initiatives support new effective programs and to partner in providing exemplary recovery facilities. Brighton Hospital as the center build strategic partnerships and care for patients and families of excellence for leadership in alliances so we can transform • Help patients who need added recovering from addiction. drug and alcohol treatment days of residential treatment. lives and help more families live in and recovery. recovery. Your charitable contributions • Enhance education for our will help us fund and continue drug and alcohol treatment Brighton National a variety of programs, such as Addiction Foundation staff, No. 1 in the USA in our 30-day residential treatment Joseph Nuyen, Chairman CARN certification. YEAR ESTABLISHED

1950 St. John Providence Health System-Brighton Hospital Trustees

Lynn R. Evans Sam Passalacqua, Leslie Murphy Chairman SERVICE AREAS Marion Ginopolis William J. O’Neill Ken Van Elslander Debra Jay Richard J. Suhrheinrich, Brighton Hospital serves patients J. Theodore Everingham Vice Chairman and families from every county in Dan McCormick, Michigan, with a signifi cant impact Hospital President Betty Granger, CSJ in the Midwest and Canada. Robert C. Wachter

Judge Stephen Murphy Ivan Ludington Jr. DBpageAD.qxd 10/14/2010 10:26 AM Page 1 DBspreadAD.qxd 10/14/2010 4:32 PM Page 1

Engage Leadership and Partnerships t Foundations t Businesses t Governments and agencies
t Educators t Associations and trade groups t Other media
t Non-profits t Philanthropic community t The public Focus on Critical Issues t Children and Education
t Arts and Culture
t Public Affairs Leadership
t Energy and Environment
t Health and Wellness Create Content
t Match issues, interests, and media solutions on-air, online, and with public events
t Develop business plans and obtain start-up funding
t Work with partners to produce multi-platform content and programs Sustain Commitment
t Connect to target audiences and the broader community
t Obtain sustaining funding
t Demonstrate value to partners and funders
t Offer local involvement and sponsorship opportunities
t Continuously improve processes, facilities, and technology Milestones t 2009 5,000 donors complete $22 million capital campaign to launch Detroit Public TV into the Digital Era t 2010 Detroit Public TV completes state-of-the-art Riley Broadcast Center and High Definition Truck; development of downtown Detroit studio t 2010 Detroit Public Schools renews contract for Detroit Public TV to manage WRCJ 90.9 FM, Detroit’s classical and jazz station at Detroit School of Arts t 2011 56 at 56: Channel 56 to celebrate 56 years of broadcasting Recognition t 2009 Crain’s Detroit Business Best Managed Non-Profit t 2010 Michigan Association of Broadcasters Public TV Station of the Year t 2010 Corporation for Public Broadcasting Award for Community Partnerships Riley Broadcast Center Reach 1 Clover Court Wixom, MI 48393 t Detroit Public Television dptv.org - 1.5 million viewers per week - 60,000 current individual TV donors [email protected] t WRCJ 90.9 FM - 200,000 listeners per week - 10,000 current individual radio donors Call on us! 248 305 3788 Board of Trustees Officers Trustees Richard E. Rassel, Chair Michael C. Porter Michael Acheson Marianne Fey Dana Locniskar Rich Homberg, President Lois L. Shaevsky Bob Allison Rainy Hamilton Mark W. Owen 123 Selden Street Charles R. Ciuni Thomas Shafer Leslie Banas Mark Jannott Jessica Salinas Pellegrino Suite 250 Elaine Baker Stephen Strome Henry Baskin Stephen E. Johnston George Riley Detroit, MI 48201 Melonie Colaianne Ken Whipple Cindy Ciura Barbara Kratchman Howard Sherman Tarik Daoud Dan Alpert wrcjfm.org Ray Day Leonard Kruszewski Hon. Deborah G. Tyner Vaughn Koshkarian John Wenzel Eva Garza Dewaelsche Arthur Liebler Daisy Wu [email protected] James B. Nicholson Patrick Fehring Lee Lien DBspreadAD.qxd 10/14/2010 4:32 PM Page 1

Engage Leadership and Partnerships t Foundations t Businesses t Governments and agencies
t Educators t Associations and trade groups t Other media
t Non-profits t Philanthropic community t The public Focus on Critical Issues t Children and Education
t Arts and Culture
t Public Affairs Leadership
t Energy and Environment
t Health and Wellness Create Content
t Match issues, interests, and media solutions on-air, online, and with public events
t Develop business plans and obtain start-up funding
t Work with partners to produce multi-platform content and programs Sustain Commitment
t Connect to target audiences and the broader community
t Obtain sustaining funding
t Demonstrate value to partners and funders
t Offer local involvement and sponsorship opportunities
t Continuously improve processes, facilities, and technology Milestones t 2009 5,000 donors complete $22 million capital campaign to launch Detroit Public TV into the Digital Era t 2010 Detroit Public TV completes state-of-the-art Riley Broadcast Center and High Definition Truck; development of downtown Detroit studio t 2010 Detroit Public Schools renews contract for Detroit Public TV to manage WRCJ 90.9 FM, Detroit’s classical and jazz station at Detroit School of Arts t 2011 56 at 56: Channel 56 to celebrate 56 years of broadcasting Recognition t 2009 Crain’s Detroit Business Best Managed Non-Profit t 2010 Michigan Association of Broadcasters Public TV Station of the Year t 2010 Corporation for Public Broadcasting Award for Community Partnerships Riley Broadcast Center Reach 1 Clover Court Wixom, MI 48393 t Detroit Public Television dptv.org - 1.5 million viewers per week - 60,000 current individual TV donors [email protected] t WRCJ 90.9 FM - 200,000 listeners per week - 10,000 current individual radio donors Call on us! 248 305 3788 Board of Trustees Officers Trustees Richard E. Rassel, Chair Michael C. Porter Michael Acheson Marianne Fey Dana Locniskar Rich Homberg, President Lois L. Shaevsky Bob Allison Rainy Hamilton Mark W. Owen 123 Selden Street Charles R. Ciuni Thomas Shafer Leslie Banas Mark Jannott Jessica Salinas Pellegrino Suite 250 Elaine Baker Stephen Strome Henry Baskin Stephen E. Johnston George Riley Detroit, MI 48201 Melonie Colaianne Ken Whipple Cindy Ciura Barbara Kratchman Howard Sherman Tarik Daoud Dan Alpert wrcjfm.org Ray Day Leonard Kruszewski Hon. Deborah G. Tyner Vaughn Koshkarian John Wenzel Eva Garza Dewaelsche Arthur Liebler Daisy Wu [email protected] James B. Nicholson Patrick Fehring Lee Lien DBpageAD.qxd 10/21/2010 3:22 PM Page 1

ADVERTISEMENT Beaumont Hospitals/ Beaumont Foundation

3601 West Thirteen Mile Rd. Royal Oak, MI 48073 www.beaumonthospitals.com Fundraising Events MISSION STATEMENT MARY POPPINS We will provide the highest quality Hospitals to host the 2010 patient care programs, research health care services to all of our Benefi ting The Betty Detroit premiere performance and new medical initiatives at patients efficiently, effectively and Nederlander Healing Fund of Mary Poppins at the Detroit Beaumont hospitals in Royal compassionately, regardless of at Beaumont Hospitals Opera House on Thursday, Oak, Troy and Grosse Pointe. where they live or their fi nancial December 16, at 7:30 p.m. To purchase tickets, call circumstances. The Nederlander Organization This event will benefit The (248) 551-5396 or log on to has offered an exclusive Betty Nederlander Healing www.beaumonthospitals. GOALS 2010 opportunity to Beaumont Fund, which supports oncology com/foundationevents.

Beaumont Hospitals is a three- hospital regional health care provider with 1,711 licensed beds and 3,700 Volunteer Opportunities physicians representing 91 medical and surgical specialties. A major Beaumont Hospitals welcomes opportunities also are available Blanket Program. To learn teaching facility, Beaumont has 37 those interested in serving as with the following programs: the more about how you can accredited residency and fellowship volunteers at any of its three Parenting Program, the Spiritual become a Beaumont volunteer, programs with more than 400 hospitals in Royal Oak, Troy Care Program, Beaumont please visit our website at residents and fellows. To further its or Grosse Pointe. Volunteer Hospice and the Helping Hearts www.beaumonthospitals.com. educational mission, Beaumont has partnered with Oakland University to establish the Oakland University Giving Opportunities William Beaumont School of Medicine, scheduled to enroll its first class in 2011. For undergraduate training, In 2005, Beaumont Hospitals Walter Wolpin, is targeting six being sought to underwrite Beaumont is affiliated with the launched a $170 million key clinical areas – Heart & scholarship support and secure University of Michigan and Wayne comprehensive campaign Vascular, Oncology, Urology, funding for endowed chairs at State University schools of medicine. that is scheduled to be Orthopedics, Geriatrics and the School of Medicine, which Beaumont also has nursing affi liations completed next year. To date, Pediatrics, as well as the will enroll its first class in the fall with many area schools, including a The Campaign for Beaumont research and surgical initiatives of 2011. top-ranked certified registered nurse Hospitals has raised more than that impact these programs. anesthetist school. $155 million in support of the Those wishing to make a gift to • The vision of Beaumont Hospitals capital, endowment, research At the same time, a second Beaumont in support of either is to rank among the nation’s leading and programmatic needs of fundraising initiative, in support campaign may contact the institutions in the provision of health the Beaumont hospital system. of the Oakland University Beaumont Foundation at care services, patient safety, medical This fundraising effort, chaired William Beaumont School of (248) 551-5330 or visit our education, research and fi nancial by Beaumont Hospital and Medicine, is also under way, website at http://foundation. performance. Foundation board member and charitable donors are beaumonthospitals.com/. YEAR ESTABLISHED

1955 Beaumont Hospitals Board of Directors SErVICE AREAS EXECUTIVE COMMITTEE DIRECTORS John P. Hartwig Beaumont Hospitals operates three Thomas G. Denomme, Christopher J. Blake Geoffrey L. Hockman hospitals in Royal Oak, Troy and Chair Grosse Pointe. We offer numerous Robert K. Burgess Martha James Quay Stephen R. Howard, community-based medical centers Van E. Conway Warren Elliott Rose located in Macomb, Oakland and Vice Chair Susan E. Cooper James I. Rosenthal Wayne counties; five nursing centers; Barbara J. Mahone, an assisted living facility; and home Treasurer Robert C. Emde Mark Shaevsky care services, including nursing Bennie W. Fowler II Robert S. Taubman care, infusion, medical equipment Gale R. Colwell, and hospice. Secretary Hadley Mack French Walter J. Wolpin DBpageAD.qxd 10/20/2010 9:30 AM Page 1

The campaign for Beaumont Hospitals

eaumont is proud to announce that The Campaign for Beaumont Hospitals Bhas raised more than $155 million towards its $170 million campaign goal. We gratefully acknowledge the generosity of the leadership donors who have made 27 philanthropic gifts ranging from $1 million to more than $40 million to name the following centers, programs and funds at Beaumont Hospital, Royal Oak, Troy and Grosse Pointe and the nearly 48,000 additional donors who have contributed to this campaign effort.

The Marcia & Eugene Applebaum Surgical Learning Center John A. & Marlene L. Boll Center for Human Development at the Neighborhood Club, Grosse Pointe Women’s Urology Center ~ Gift from Susan E. Cooper Shery L. & David B. Cotton, M.D., Family Birth Center Sandor H. Shoichet, M.D. & William M. Davidson Endowment for Excellence in Internal Medicine Harry“Kirk” & Barbara Denler Leukemia Research Fund The Erb Family Molecular and Genetics Laboratory for the Assessment and Prevention of Chronic Diseases Ernst Cardiovascular Center In memory of Ellen Ernst Amber K. & David B. Flint Breast and Prostate Cancer Research Fund Janet A. & H. Richard Fruehauf Jr. Center for Orthopaedic Medicine Ghesquiere Family Center for Children’s Surgery The Hough Family Center for Eating Disorders Cis Maisel Kellman Endowed Fund for Women’s Heart Health The Ministrelli Center for Advanced Cardiovascular Imaging The Ministrelli Endowed Cardiology Fund The Florine & J. Peter Ministrelli Endowed Chair in Cardiovascular Research The J. Peter & Florine Ministrelli Distinguished Chair in Urology The Ministrelli Program for Urology Research and Education (MPURE) The J. Peter & Florine Ministrelli Endowed Urology Institute Fund The Florine & J. Peter Ministrelli Women’s Heart Center Dominic & Frances Moceri Heart Rhythm Research Fund Pediatric Ophthalmology Research Fund ~ Anonymous Gift The Polk Family Endowed Chair in Developmental-Behavioral Pediatrics The Rose Family Adaptive Oncology Imaging Suite Elizabeth A. & G. John Stevens Center for Minimally Invasive Surgery Suzanne & Herbert Tyner Pediatric Emergency Center Marilyn & Walter Wolpin Comprehensive Breast Care Center

Congratulations, AFP, as you celebrate the 2010 National Philanthropy Day!

www.beaumonthospitals.com • 248-551-5330 DBpageAD.qxd 10/21/2010 3:25 PM Page 1

ADVERTISEMENT Hospice of Michigan

400 Mack Avenue Detroit, MI 48201 (888) 247-5701 • www.hom.org Fundraising Events MISSION STATEMENT

To ensure quality of life, comfort and Hospice of Michigan is known support our mission. In 2010, we hosted the 25th peace for our patients and provide for its exciting events and In Metro Detroit, join us for Annual Crystal Rose Ball which support for their loved ones during their passionate and loyal followers the second annual Race and raised $140,000. end-of-life experience. We will serve who help to raise approximately Remember along Detroit’s everyone in our communities who needs and seeks our care and strive to $4 million annually to Riverfront in June 2011. improve the state of comfort care. Volunteer Opportunities GOALS 2010

• To offer the highest quality hospice Hospice of Michigan has a and their families. Whether it’s important chapter of life. Join care available to everyone who corps of 1,100 active volunteers reading to patients, running us! Make a difference in your needs and seeks it regardless of across the state who call upon errands, sharing expertise like community. Contact Director, ability to pay. their individual skills, interests music therapy, or helping with Community Outreach, Kappy • To ensure compassion and comfort to and talents to improve the household chores, our volunteers Pennington at (313) 578-6259 or patients and families. quality of life of our patients deliver invaluable gifts at an [email protected]. • To educate and inform about the benefits of hospice care, including its enhancement of quality of life. Giving Opportunities • To advocate for hospice. • To educate and inform the medical Thirty years ago, Hospice of not have personal resources to • Sign up for automatic community. Michigan made it our mission pay for their care. donations from a checking or • To generate awareness about hospice to care for all who need and savings account. care as a benefit paid by Medicare, There are many ways seek hospice care regardless Medicaid and most commercial to donate: of ability to pay. Our supporters • Make annual donations. insurers, the right to choose one’s help us deliver the mission. • Join the 30-for-30 Club to hospice. • Join the Caring Circle. There are many ways to give, celebrate our 30th Birthday. • To ensure that hospice care continues and every gift – small or large – Members donate $1,000 or • Make an on-line donation at to innovate and improve. goes a long way to help people more and enjoy annual events. www.hom.org. • To role-model care for the United in your community get the care • Corporate giving through States. they need at the end of life. • Donate your vehicle. sponsorships. When you support Hospice of YEAR ESTABLISHED • Host a fundraiser. Michigan, you help people in • Leave a legacy through a your neighborhood who need • Memorial donations – give planned gift. 1980 – Celebrating 30 years of compassionate care but who providing high-quality hospice and in honor of a loved one. do not have the means to pay • We welcome corporate, palliative care for it. Either they do not have • Create a corporate or government and foundation SErVICE AREAS insurance, or they are not eligible family team for the Race grants to support special for Medicare or Medicaid and do and Remember. programs. Hospice of Michigan serves 56 counties, providing hospice and palliative care for nearly 900 people Board of Trustees every day. Care is provided by an interdisciplinary team of specialists John Maurer, MD, Chair Ruthann Brintnall, PhD The Hon. in end-of-life care: physician, Judge Stephen J. Murphy RN, hospice aide, spiritual care Sandy Linden, Vice Chair Dottie Deremo counselor, grief support advisor, Allan Nachman social worker, and volunteers. Jane McNamara, James B. Fahner Samuel Ojo Hospice of Michigan provides Secretary/Treasurer Gerald Fitzgerald everything needed related to care Philip McCorkle including medicine and medical Lloyd Hansen, Immediate Past Chair Mark Kinsler equipment, and cares for patients Mary Sanders wherever they call home – private Hessel “Bud” Bouma, III, PhD Walt Koziol Judith Trepeck residence, assisted living home, hospital, or long-term-care facility. Lawrence D. Bos, Sr Kurt Ludlow Janice Whitehouse DBpageAD.qxd 10/13/2010 4:45 PM Page 1

30 years ago, we made a wish.

We wished to change a human experience from one that was filled with pain, with isolation, with fear, with sadness. We wished to transform it with comfort, compassion, solidarity, and peace. We wished that at the end of life we are treated as at the beginning — because all of life is precious. Before we made this wish, there was nothing called hospice here. 30 years ago, we brought hospice to Michigan. It’s our birthday. 30 years ago, we made a wish. Now it’s our mission.

Hospice of Michigan. On a mission to bring compassionate care to all.

888-24/7-5701 | www.hom.org

Our 30th Birthday cake was made specially for us by the Food Network’s Ace of Cakes, Duff Goldman

Support us with a donation – large or small. Help us celebrate our 30th birthday by joining the 30 for 30 Club! Go to www.hom.org or call 313-578-6260. 20101025-NEWS--0028-NAT-CCI-CD_-- 10/21/2010 2:56 PM Page 1

Page 28 CRAIN’S DETROIT BUSINESS October 25, 2010

BUSINESS DIARY ACQUISITIONS cellence, recognizing best practices in Covisint, Detroit, a Compuware com- Kilgour Scottish Centre at 2360 tario. Website: www.henryford human resources. Deadline is Nov. 30. pany, has become a member of Ener- Rochester Court, Troy. Telephone: health.org. Princeton Enterprises, Orchard Lake, Website: www.arborhr.com. gistics, Sugar Land, Texas, a global (248) 526-1849. Website: www. a real estate investment and manage- ProGreen Properties Inc., Birming- consortium of petroleum industry detroitscots.com. ham, launched a newly designed web- ment firm, has acquired Willow Way professionals. Apartments in College Park, Ga., from CONTRACTS Thornton and Grooms, a plumbing, site and new corporate logo. Website: Berkadia Commercial Mortgage LLC, CareTech Solutions Inc., Troy, an in- Team Detroit, Dearborn, has been cho- heating and cooling business, from www.progreenproperties.com. Horsham, Pa. formation-technology and Web prod- sen as agency of record for Sports Au- Birmingham to 24565 Hallwood Court, Mopar, Auburn Hills, a Chrysler Group thority, Englewood, Colo., a sporting Farmington Hills. Telephone: (248) Dayco Products LLC, Troy, a global de- ucts and services provider, was cho- LLC brand, has introduced its new sen by the Detroit Medical Center, goods retailer, to support all brand ex- 644-7810. Website: www.thorntonand electronic vehicle tracking system. signer, manufacturer and supplier of perience and consumer communica- grooms.com. belts, tensioners, pulleys and hoses Detroit, to provide the company’s doc- Website: www.mopar.com. tions. , from 3011 W. for cars and trucks, acquired WVR Ro- ument imaging system, iDoc. Group 55 Marketing Inc. Camelot Venture Group, Farmington Macomb County Clerk/Register of Grand Blvd., Suite 329 to Suite 322, De- lamentos LTDA, Sao Paulo, Brazil, a Your People LLC, Southfield, a market- Hills, launched a new service to Deeds office, Mt. Clemens, chose troit. Website: www.group55.com. manufacturer of automotive tension- ing, public-relations and communica- Google Inc., Mountain View, Calif., to consumers called WANT, a social shop- ers and pulleys. tions firm, is handling all public rela- ping service. Website: www. tions, marketing and business provide Google Premier, a suite of NEW PRODUCTS Rofin-Sinar Technologies Inc., Ply- shareabill.com/want. development for: Beirut Bakery, Red- cloud computing applications, securi- mouth, acquired Lasag AG, Thun, ty and disaster recovery services. Detroit Media Partnership, Detroit, re- Giffels-Webster, Rochester Hills, ford; Kosher Michigan, Southfield; Liv- leased new applications for both The Switzerland, including the worldwide United Solar, Rochester Hills, a global launched a mobile-compatible website ing Witnesses, Sylvan Lake; Global Detroit News and Detroit Free Press for Lasag operations from The Swatch building-integrated and rooftop photo- at www.giffelswebster.com. Recruiters, Farmington Hills; Yoga By use on Smartphones. Group LTD, Biel/Bienne, Switzerland. Design, Bloomfield Hills; Working voltaics manufacturer, has signed an TechTeam Global Inc., Southfield, a Words by M.L. Liebler, Detroit; and Es- agreement with New Jersey Re- R.L. Polk, Southfield, has launched the STARTUPS worldwide provider of information- trakon, Ann Arbor. sources Clean Energy Ventures, Wall, monthly Market Entrance Report, which provides detailed information Rochester Play, an indoor children’s technology outsourcing and business- Metalogix Software, Ann Arbor, has N.J., to supply an 870-kilowatt build- process outsourcing services, com- ing-integrated photovoltaic system. on new vehicles that have entered the play and drop-in child care center, at contracted with Equilibrium, Sausalito, market. Website: www.polk.com. 210 W. University Drive, Rochester. pleted the sale of its government solu- Kapnick Insurance Group, Southfield, Calif., to cross-promote its Storage- Telephone: (248) 650-7529. Website: tions subsidiary, TechTeam Govern- Point software with Equilibrium’s Me- a consulting and brokerage firm, has Mango Languages, Farmington Hills, www.rochesterplay.com. ment Solutions Inc., Chantilly, Va., to diarich software, both to be used under been retained by FormFab LLC, launched Mango Complete 2.0, a new Jacobs Engineering Group Inc., the Microsoft SharePoint platform. Rochester Hills, a support business language-learning program. Website: Salon Retro, a beauty salon, at 1800 W. Pasadena, Calif. www.mangolanguages.com. Azure Dynamics Corp., Oak Park, sold for the tubing industry, to manage em- 14 Mile Road, Royal Oak. Telephone: 20 2010 Ford Transit Connect Electric ployee health care benefits. Thomson Reuters Tax and Accounting, (586) 801-9500. Website: www. CALL FOR NOMINATIONS vans to Johnson Controls Inc., Milwau- Dexter, has released Mobile salon-retro.com. CS, an iPhone application for tax The Arbor Consulting Group Inc., kee, Wis. EXPANSIONS and accounting professionals. Northville, and Eastern Michigan Uni- ZipLogix, Fraser, added Henderson Joe Cornell Entertainment, Southfield, Website: www.cs.thomsonreuters. DIARY GUIDELINES versity, Ypsilanti, are accepting nomi- Audubon Board of Realtors, Hender- has launched a wedding entertain- com/mobilecs. nations for The Arbor Awards for Ex- son, Ky., to its client list. ment division and Plan It Magazine. Send news releases for Business Telephone: (248) 356-6000. Website: Bright House Networks, Livonia, Diary to Departments, Crain’s www.joecornell.com. Magazine web- launched the Easy Gadget application Detroit Business, 1155 Gratiot site: www.planitmagazine.com. for iPhone, iPod Touch and iPad. Web- Ave., Detroit, MI 48207-2997 or site: brighthouse.com. Leonard and Co., Troy, a brokerage send e-mail to cdbdepartments@ firm, has opened an office at 2545 crain.com. Use any Business Diary Spring Arbor Road, Suite 105, Jack- NEW SERVICES item as a model for your release, son. Telephone: (517) 395-4165. Web- Henry Ford Hospital, Detroit, intro- and look for the appropriate site: www.leonardandcompany.com. duced the Air Med 1 aeromedical he- category. Without complete Visteon Corp., Van Buren Township, licopter as a new service for trans- information, your item will not run. has opened a manufacturing facility porting critically ill and trauma Photos are welcome, but we in Kaluga, Russia. Website: www. patients to its facility from within a cannot guarantee they will be used. visteon.com. 150-mile radius in Michigan and On- Mobile Monday Michigan, the Michigan branch of the Helsinki, Finland-based International Mobile Monday organization, has added Mo- bile Monday Detroit, a new chapter to be based in the Detroit area. Mobile Monday Michigan is also debuting new websites for the Michigan branch and each chapter. Websites: www. mobilemondaymichigan.org; www. mobilemondayannarbor.org; and www.mobilemondaydetroit.org. The Detroit Workforce Development Department, Detroit, and the Detroit One Stop Service Centers, Detroit, have opened Workforce One, a one- stop service center mobile unit. Web- site: www.michiganworks.org. Tommaso D’Andreta Industrial Cover- ings Inc., Sterling Heights, opened a new division, Motor City Denim Co., a fashion line by Joe Faris. Inforum, Detroit, a network of profes- sional women, launched Automo- tiveNEXT, a new group to help women in the industry to lead and succeed and assist top automotive companies in their efforts to retain top talent and form a deeper connection with con- sumers. Also: Inforum Center for Lead- ership, the research and education arm of Inforum, has launched Board- Connections, a results-oriented train- ing and networking initiative de- signed to create a larger pool of female corporate board service candidates. Website: www.inforummichigan.org. Flagstar Bank, Troy, launched a set of new business banking products and services to meet the needs of small businesses. Website: www.flagstar. com. PNC Bank, a member of The PNC Fi- nancial Services Group Inc., and Speedway SuperAmerica LLC and leading self-service provider EDC an- nounced the availability of PNC- branded ATMs in nearly 300 store lo- cations across the state. EcoStore USA, Auburn Hills, is now selling its plant and mineral-based eco products in Farmington Hills-based Plum Market Michigan stores. MOVES St. Andrew’s Society of Detroit, a non- profit charity, from Southfield to the 20101025-NEWS--0029-NAT-CCI-CD_-- 10/21/2010 2:55 PM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 29

CALENDAR Plante Moran Cresa real estate consul- FRIDAY ships. Stanford-Brown Institute, Dear- Oak. $20 Chamber members Business EAST MEETS WEST FRIDAY AT tants; others. A celebration of the new born. Free for chamber members Builder and above, $30 Basic level 40 Under 40 class with their families, co- OCT. 29 Business Builder level and above. members, $40 nonmembers. Contact: THE COLONY CLUB IN DETROIT workers, clients and friends. Rooster- Contact: (866) 627-5463; website: (313) 596-0479; e-mail: malabast@ tail, Detroit. $60, $55 for 10 or more, $40 Women in Leadership Summit. 11 a.m.-3 www.detroitchamber.com. detroitchamber.com; website: www. Crain’s Michigan Business, Grand for 40 Under 40 alumni, $70 at the door. p.m. Oakland County Michigan Works, detroitchamber.com. Valley State University, Varnum and For group rates, please call (313) 446- others. With: Denise Ilitch, vice chair, University of Michigan regents; owner others present East Meets West: 0300. E-mail: [email protected]; COMING EVENTS Crain’s Job Creation and Workforce website: www.crainsdetroit.com. and publisher, Ambassador Magazine; What Can Businesses Learn from Development Conference. 7:30 a.m.- and Juliette Thorpe Okotie-Eboh, senior Membership Maximizer. 5:30-7:30 p.m. Each Other? Friday, 10:30 a.m.- 2:30 p.m. Nov. 9. Crain’s Detroit Busi- vice president of public affairs, MGM Nov. 3. Detroit Regional Chamber. Au- 1:30 p.m., at the Colony Club, Urban Agriculture Summit: Growing ness; Wayne State University. With: Grand Detroit. Metropolitan Hotel, tomotive Hall of Fame, Dearborn. 2310 Park Ave., Detroit. Michigan’s Future. 8 a.m.-5:30 p.m. Engi- Daniel Pink, author of Free Agent Troy. Luncheon $50, $45 for five or Free to chamber members Basic level neering Society of Detroit; others. With: Nation and A Whole New Mind; Sandy West Michigan speakers are Dick more, 10 tickets $400. Contact: (248) 858- and above. Contact: (866) 627-5463; Daniel Carmody, president, Eastern Baruah, president, Detroit Regional DeVos of the Grand Action Group 5204; e-mail: [email protected]; web- website: www.detroitchamber.com. Market Corp.; others. Rock Financial Chamber; and Robert Ficano, Wayne and Jim Dunlap, president, site: www.ocedc.net. Huntington Bank, Michigan and co- Showplace, Novi. $95 ESD and ASABE County Executive. Wayne State chair West Michigan Policy members, $125 nonmembers or join Maverick Marketing Monday. 11:30 University, Detroit. $75, $70 each Conference. Southeast Michigan ESD for $184 and attend free. Limited Industry Coffees: Health Care Profes- a.m.-1:30 p.m. Nov. 8. Go Mobile or Go for groups of 10 or more, $85 at the speakers are Barbara Allushuski, student tickets available. Contact: (248) sionals and Insurance. 8-10 a.m. A Away. With: Christina Kerley, B2B door. For discounted rates please chair, 353-0735, ext. 149; e-mail: [email protected]; chance to interact with peers to create marketing specialist, CKB2B. Detroit call (313) 446-0300. Website: Mackinac website www.esd.org. and build stronger business relation- Zoo-Ford Education Building, Royal www.crainsdetroit.com. Policy Conference; and Joseph Welch, CEO, ITC Holdings and Detroit Regional A SECOND OPINION SAVED US Chamber board member.

Speaking on Allushuski the statewide *

perspective is David Joos, chair, Business Leaders for Michigan. Tickets are $50, $45 each for

groups of 10 or more; includes lunch. For register groups, please

call (313) 446-0300. To register, visit www.regonline.com/2010 cmbdetroit. For sponsorship $ opportunities, contact Marla 8,0008 000 Downs at (313) 446-6052 or [email protected]. $ TUESDAY OCT. 26 TIMES ARE TOUGH, BUT WE’RE STILL GOING, and a Citizens Bank Second Opinion helped us get there. After BoardBasics: The Right Stuff. 5:30-8 p.m. Inforum. With: Laurene Horiszny, examining every aspect of our business, a Citizens Banker found ways we could save more money, be more vice president and chief compliance officer, BorgWarner; others. efficient – for our business and personal accounts. Townsend Hotel, Birmingham. $70 In- forum members, $85 nonmembers. CALL 800-946-2264 Contact: (877) 633-3500; website: Make time to meet with a Citizens Banker. To schedule your Citizens Bank Second Opinion, www.inforummichigan.org. or go online to CITIZENSBANKING.COM/OPINION. WEDNESDAY OCT. 27 Bulls Eye Business Conference. 8 a.m.- noon. HAP; Waterford Area Chamber of Commerce; others. With: John Russell, president and CEO, CMS Energy Corp.; others. Oakland Schools, Waterford Township. $40, $79 at door, group rates available. Con- tact: (248) 666-8600; e-mail: [email protected]; web- site: www.waterfordchamber.org.

TiECon Midwest 2010. 6-9 p.m. Oct. 27; 9 a.m.-8:30 p.m. Oct. 28; 9 a.m.-11 p.m. Oct. 29. The Indus Entrepre- neurs. The Detroit chapter of TiE will hold its business plan competition during the event. With Sandy Baruah, president and CEO, Detroit Regional Chamber; others. The Henry (former- ly the Ritz Carlton), Dearborn. See website for pricing. Contact: (734) 667-2005; e-mail: sue@logos- communications.com; website: www.tieconmidwest.org. THURSDAY OCT. 28 Getting Involved in Michigan Movie Making. 8-10 a.m. Troy Chamber of Commerce. With Jeffrey Spilman, managing partner, S3 Entertainment Group; others. NextWave Digitorium, Troy. $20 Troy Chamber members, $30 nonmembers ($5 more day of event). Contact: (248) 641-0031; e-mail: [email protected]; website: * Results may vary depending on your business situation. www.troychamber.com.

Crain’s 40 Under 40. 5-8 p.m. Crain’s De- troit Business; Honigman; Breitling; DBpageAD.qxd 10/21/2010 11:04 AM Page 1

Join us West Michigan Perspective October 29 Oct. 29 for Dick DeVos, PRESENTS A CRAIN’S MICHIGAN BUSINESS EVENT lunch and Grand Action Group The Colony Club, a discussion East meets West: led by leaders Detroit What can business learn from each other? in the Grand Jim Dunlap, president, Huntington Bank, Michigan; Registration/ Rapids revival co-chair, West Michigan networking ...... 10:30 a.m. Policy Conference West Side Story: A region that works. and by Detroit Program ...... 11 a.m. Business leadership in Grand Rapids set an economic agenda that CEOs who Lunch ...... 12:20 p.m. the entire region now gets behind. How did that happen? What are Southeast Michigan Perspective are working Adjourn ...... 1: 30 p.m. the results? Can Southeast Michigan learn from that story? Barbara Allushuski, on greater chair, Mackinac To register, please visit Grand Action Group, composed of major CEOs, has been a Policy Conference; collaboration www.regonline.com/2010cmbdetroit catalyst for public-private investments in Grand Rapids that include president, Right in Southeast Management an expanded convention center, the “Medical Mile” health care PRE-REGISTERED : industry construction and a planned urban market downtown. Michigan Joseph L. Welch, $50 each includes lunch CEO, ITC Holdings; $45 each for groups of 10 or more* Southeast Michigan’s Story: Detroit Regional Chamber Board Please call 313.446.0300 The Detroit Regional Chamber’s 2010 Mackinac Policy Conference to register groups. concluded with six action steps, including engaging CEOs to help Statewide Perspective NEW! Networking EXTRA: create more collaboration in the Southeast Michigan region. pre-registered attendees receive Two Detroit-area CEOs will compare Southeast Michigan’s David Joos, the attendee list on Oct. 28 chair, Business priorities and plans with the collaborative model that’s succeeding Leaders for Michigan via e-mail. in Grand Rapids.

PRESENTING SPONSOR PLATINUM SPONSOR GOLD SPONSORS LOCATION SPONSOR 20101025-NEWS--0031-NAT-CCI-CD_-- 10/21/2010 4:22 PM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 31 Germack opens art gallery in redone Eastern Market space BY NATHAN SKID CRAIN’S DETROIT BUSINESS

It took nearly 10 years for Elyse Germack to decide to open Art Effect, a 2,600-square-foot art gallery at 1420 Fisher Freeway, in the space left behind when the family compa- ny, Germack Pistachio Co. left its pro- duction facility in Eastern Market. Germack, president of Avant Advi- sors PLLC, a Birmingham law firm specializing in nonprofits, and wife of Frank Germack III, owner of the world’s oldest pistachio-roasting company, was charged with secur- ing a tenant to fill the nearly 5,000 square feet of unused space. Germack said she managed to find just five potential tenants over NATHAN SKID/CRAIN’S DETROIT BUSINESS a decade, each backing out because Elyse Germack says her Art Effect gallery will meet a need for exhibit space. of the high cost of renovations. ing with her and the other students I cial events. In 2002, the Germack family be- started to realize they had nowhere Nathan Skid: (313) 446-1654, gan renovating the one-time roast- to go to show their pieces,” Germa- [email protected] ing facility, spending nearly ck said. “The students were all ap- $75,000 on electrical work, drywall, plying for internships and appren- new bathrooms and a new roof in ticeships but were going nowhere.” hopes of attracting a tenant. Ger- That aspiring artist was mack has been approved for a Stephanie Rivers, a 29-year-old $30,000 community development painter who references art history grant from Eastern Market Corp., in her oil and acrylic works and which the Germack family will has several pieces in Art Effect. Detroit match for a new facade. “The flowers in my paintings at Pittsburgh “We feel great about their invest- Art Effect are based on old sketch- Toronto ment in the building,” said Dan Car- es from Leonardo da Vinci’s ‘Study mody, president of Eastern Market of Flowers,’ ” she said from her Corp. “There is already an interest- home in Virginia. “It is great to ing mix of artist space in the mar- have a place to show my work.” ket, and this fits in well.” Germack said she is pleased In May, Germack found her first with the unsolicited interest in the tenant. Baltimore-based Pure Shea, gallery, saying about 100 people which sells shea butter, lotions have visited every Saturday since and bath scrubs, took 800 square it opened just a few weeks ago. feet for a store, leaving 4,200 Germack makes a 30 percent square feet to fill. commission on works sold. Prices Desperate to find a tenant for range from about $400 to $675. the remaining space, Germack be- “Over the years, I thought if all gan looking for alternative uses. else fails perhaps I could open a But not until spring, when she gallery and put art in there,” Ger- met an artist and graduate student mack said. “That is where the idea during a private showing at Cran- all started.” brook Academy of Art in Bloomfield Germack said she is planning to Hills, did it click that she could turn build out the remaining 1,400 Mere Financial Engineers at Private Equity Firms Are Worth A-Dime-A-Dozen. Huron Capital combines the warehouse into a gallery. square feet, which includes a tav- over 50 years of direct operating experience with capital markets expertise to create a unique set of tools to “I met this young artist and ern called Murphy’s Pub, closed bought a piece of hers, and in talk- since 1996, in hopes of holding spe- offer management teams when creating partnerships. Prior to joining Huron Capital, members of our team were managers at a variety of operating companies, including Penske Corporation, Revlon Cosmetics, The Chamberlain Group, Cenveo, Sunbeam-Oster, Coca-Cola, DTE Energy, among others. Our experience in the trenches is unique in the private equity world and is augmented by the deep bench of operating partners that we make available to our management teams. We understand the supply chain challenges faced by business Planning a group outing owners and are uniquely-positioned to drive organic and acquired growth.

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October 25, 2010 CRAIN’S DETROIT BUSINESS Page 33

REPORTER’S NOTEBOOK

Daniel Duggan AND THE WINNERS ARE ... covers retail, Real estate awards include real estate three from metro Detroit, and hospitality. Call (313) Page 36 446-0414 or write dduggan @crain.com. real estate

Daniel Duggan Positive signs in office market

Third-quarter research reports for COSTAR GROUP the local office market showed some With a loan balance of $105.9 million, Southland Center Mall in Taylor is in foreclosure — part of a wave of commercial building loan minor signs of life. delinquencies in Southeast Michigan. The CB Richard Ellis report indicated positive net absorption of 53,500 square feet. While it doesn’t mark a lot of new space leased minus vacant space hitting the market, it’s better than the past quarters, which have ended up in the negative. CB reports the market’s overall Sinking feeling vacancy rate has dropped from 32 percent in the third quarter of 2009 to 29.2 percent this year. “As we continue to fight our way ISTOCKPHOTO.COM out of the recession, it is a positive sign for the Detroit metropolitan office market that negative absorption and increases in vacancy are no longer common occur- rences,” the company said in the report. In the third-quarter report from for building owners Grubb & Ellis, the firm points out the bad news continues for the city of Troy’s office market. “As a result, its overall vacancy Loan terms, declining values put many behind on payments surpassed the 30 percent mark for Buildings the first time and ended up at 31.6 BY DANIEL DUGGAN to break the cycle,” he said. “De- at 24700 percent,” the report said. CRAIN’S DETROIT BUSINESS mand for space has to increase (right) and enough that it It cites some of Troy’s large 24800 t’s not just homeowners who pushes up vacancies, adding up to 226,096 (below) are behind on their loans — rents. That’s square feet of negative absorption, a North- I commercial building owners what has to large part of that being the 165,000 western across metro Detroit are falling happen.” square feet vacated by SBC Smart Highway COSTAR GROUP behind on monthly debt pay- The winners Yellow Pages at 100 E. Big Beaver are part of ments. Road. North- emerging from COSTAR GROUP western There are $1.3 billion worth of the situation The 5440 Corporate Drive Office On a market-by-market basis, the Corporate securitized loans in the region are tenants. Building in Troy is more than 90 days third-quarter report from the CoStar Center in that are more As buildings behind on a $11.7 million loan. Group also shows Troy with the Southfield, than 90 days late, are sold at highest vacancy rate in the region at Bernard more than COSTAR GROUP DETAILS according to Trepp record low 31.9 percent, followed by 23 percent 90 days Long list: 31 LLC, a New York- prices, new landlords are coming in Southfield, 20.7 percent in North delinquent on a $26.5 million debt. buildings with based loan-track- in with vastly lower cost struc- Oakland and 18.1 percent in Detroit. delinquent ing company. tures and are able to cut record The lowest vacancy rate was payments, The delinquen- low lease deals. Page 34 Washtenaw County at 10.7 percent, cy rate is 18.3 per- One recent example is River- followed by 15.6 percent in the cent in the De- side Center at 25925 Telegraph COSTAR GROUP Bloomfield area and 15.8 percent in troit metropolitan statistical area Road in Southfield. Laurel Office Park II, 17187 N. Laurel Royal Oak. Park Drive in Livonia, is in foreclosure COSTAR GROUP on commercial mortgage-backed The Southfield-based Farbman CoStar showed the average, The lender has taken possession of security loans, the most common Group purchased 183,000-square- over a $9.9 million loan balance. quoted rental rate for office space in Laurel Office Building, 17197 N. type of loan for commercial real foot building for $5 million in Oc- all classes dropped by 0.4 percent Laurel Park Drive in Livonia. estate. Of the 788 CMBS loans in tober 2009. from $18.90 per square foot in the the area, 134 are behind on pay- The building had been under second quarter to $18.82 in the ments. contract to be sold in 2000 for third quarter. Delinquencies have ballooned $21 million, but the deal never The average asking rental rate in in recent months as well, with closed. A new, comparable build- Detroit’s central business district the total delinquent dollar ing would cost $36.6 million, as- was $19.48 at the end of the third volume up 32 percent from suming an average construction quarter, and $18.73 in the suburban $982.4 million in January, cost of $200 per square foot. markets. In the second quarter, when the delinquency rate was Farbman purchased the build- quoted rates were $19.40 in the CBD 12.7 percent. ing roughly 50 percent occupied COSTAR GROUP and $18.83 in the suburbs. The worst news? There’s little and has increased occupancy to 555 South Woodward in Birmingham is in foreclosure over a $9.6 million Also of note, commercial real end in sight as loans come due 75 percent in less than a year by loan balance. estate brokers have been celebrating and values drop, which in turn offering rent much lower than at the passage of a law allowing them to force rental rates down — mak- other buildings in the corridor. put a lien against a building if the ing it even harder to pay off “It’s no secret that if you can landlord fails to pay a commission. buildings. take down occupancy costs by Public Act 201 was signed on Oct. It’s been a domino effect, said three bucks a square foot, you’re 5 by Gov. Jennifer Granholm. Brokers Dennis Bernard, president of going to get attention,” said CEO pushed the issue as a way to have Southfield-based Bernard Financial Andy Farbman. “We’re giving recourse other than a civil lawsuit COSTAR GROUP Group, a financial firm specializ- people an opportunity to upgrade COSTAR GROUP when a landlord decides, after a deal Cadillac Tower in Detroit is ing in obtaining loans for com- their image without having to Willow Center, 525 E. Big Beaver is closed, to cut the tenant more than 90 days delinquent mercial real estate deals. Road in Troy, is 90-plus days late in representative’s commission. on a $16.3 million loan balance. “It will take a robust economy See Payments, Page 34 paying on a $5 million loan balance. 20101025-NEWS--0034-NAT-CCI-CD_-- 10/22/2010 10:11 AM Page 1

Page 34 CRAIN’S DETROIT BUSINESS October 25, 2010 Focus: Real Estate

FALLING BEHIND There is $1.3 billion in delinquent loans in metro Detroit, representing 18.3 percent of the securitized loans, according to New York-based Trepp LLC, which tracks loans. Some of the delinquent loans listed in Trepp’s September report: Loan balance Delinquency Location Owner/borrower (in millions) status Southland Center Mall, Taylor General Growth Properties, Chicago $105.9 Foreclosure Gateway Shopping Center, West Bloomfield Twp. Gateway Center LLC $60.9 90-plus days Anchor Bay, Fair Haven Anchor Bay SPE LLC $37.9 Foreclosure Northwestern Corporate Center, Southfield Kojaian Management Co., $26.5 90-plus days Bloomfield Hills St. Clair Estates Manufactured St. Clair Estates LLC, Delaware $25.2 Foreclosure Home Community, Clinton Township ABB Flexible Automation Building (A), Auburn Hills Investors led by John Hancock, N.Y. $21.6 REO* Westland Meadows, Westland Investors led by Joseph Boyler, Livonia $20.3 90-plus days Laurel Office Building, Livonia Levine Property Management, Livonia $18.8 REO Cadillac Tower, Detroit Northern Group, N.Y. $16.3 90-plus days Ryder Integrated Logistics, Auburn Hills Investors led by J. Bennett Donaldson, $16.3 REO Novi Turnbury Park Apartments, Canton Twp. Singh Development Co., $15.4 90-plus days West Bloomfield Twp. REDI Industrial Building, Plymouth Redico LLC, Southfield $15.3 90-plus days Chesterfield Village Square, Chesterfield Twp. Jonna Cos., Southfield $15.1 90-plus days North Park Towers, Southfield Investors led by Grand Rapids-based $14.7 90-plus days Corporate Equity Inc. Jefferson Village Shopping Center, Detroit Graimark Realty Advisors, Detroit $14.6 Foreclosure Showcase Cinemas, Sterling Heights Marketplace Properties LLC $13.8 Foreclosure Delphi Building, Troy Etkin Equities, Southfield $13.8 90-plus days Detroit Center Tool Building, Sterling Heights Kojaian Management Co. $13.6 Foreclosure Parkwood Plaza Shopping Center, Oak Park M.D. Gorge & Co., Bloomfield Twp. $12.5 90-plus days College Park Medical Office Building (2A), Detroit Urban America, N.Y. $11.8 90-plus days 5440 Corporate Drive Office Building, Troy Milwaukee Investment Co., $11.7 90-plus days Bingham Farms Orion MHP, Orion Investors led by Terry Winter, $11.4 90-plus days Bloomfield Hills Oakland Pointe Shopping Center, Pontiac Investors led by Kevin Spizizen, $11.2 90-plus days Southfield CSC Office Building, Southfield Kojaian Management Co. $11.2 REO Homewood Suites, Troy Investors led by Bert Moyer, Troy $10.5 Foreclosure K&G Dearborn, Dearborn Investors led by Joseph Goveia, Calif. $10.3 90-plus days Coventry Commons, Canton Nelson Co., Troy $10.2 90-plus days Laurel Office Park II, Livonia Levine Property Management, Livonia $9.9 Foreclosure Oxford Pointe Office Center, Southfield Kirco Management Co. $9.7 REO 555 South Woodward, Birmingham Bruce Thal, Birmingham $9.6 Foreclosure Willow Center, Troy Shouneyia Properties LLC, Utica $5.0 90-plus days * Real-estate owned, meaning the lender has taken possession of the property. Sources: Trepp LLC, CoStar Goup, Crain’s research Payments: Slipping values vex owners ■ From Page 33 Website pay more. It’s about having the tally convinced that the $50 a foot able to turn around the building’s right price basis on the building, isn’t going to go down to $40.” finances and pay it off, said Visit our NEW vations and the guy with the right price Latessa added that the economic Cameron Piggott, group leader of On-line Reser NEW basis is going to be the winner.” conditions facing commercial real the real estate practice at Detroit- The losers are the borrowers estate are something that nobody based Dykema now finding themselves unable to could have predicted in 2000. Gossett PLLC. find a new loan. “It’s not that these owners are “The lenders, Driving a portion of the delin- being bad guys,” he said. Values in some cases, quency is the structure of most have plummeted.” continue to hope CMBS loans: set as a 10-year loan While CMBS loans and bank that something but with payments of a 30-year loan. loans have been hard to acquire, will change,” he At the end of 10 years, at maturity, a new forms of financing have found said. “They’re balloon payment is due, represent- their way to the region to bail out still just recog- ing roughly two-thirds of the total. borrowers who need refinancing. nizing that the The problem Direct real estate investment is value just isn’t now is that the becoming a good investment for Piggott there, and value of real es- private-equity funds, said Frank they’re wondering how long they Metro Cars will handle all your transportation needs tate in the area Migliore, owner of Bloomfield can keep this up.” was vastly high- Hills-based Abundant Ventures LLC. And when the lenders take prop- From 1 to 56 passenger vehicles available er in 2000 and New York-based Blackrock Inc., erty back, it devalues that proper- 2001 when the for example, has been investing in ty and other properties nearby, Metro Cars is the official and exclusive provider of sedan 10-year loans real estate again, along with other creating another set of problems. were signed, private-equity firms, he said. Piggott’s advice to building own- service for the Detroit Metro Airport said John Lates- “You can get a 2 percent return ers is to come clean. sa, managing di- Latessa at the bank or a 12 percent return “The reality? Go to them. Be rector of the on a real estate deal,” he said. candid about the circumstances,” Southfield office of CB Richard Ellis. “You choose.” he said. “Convince them that As an example, Latessa said, a Private-capital firms and hedge you’ve done what you can do and building might have been pur- funds continue to look for invest- that they can’t do any better if they Metro Cars Powered by Propane chased in 2000 for $100 per square ments as real estate owners look have it. foot, with 20 percent down. for new loans. “And negotiate an extension, be- Now, the building is worth $50 “There is no lack of business op- cause CMBS lenders are now a lot or $55 a square foot, he said. portunity right now,” he said. more amenable to granting one, “So, your $20 per square foot in In the meantime, many of the 10- because sometimes that makes equity is flushed — and you’re up- year loans coming due are being sense for everyone.” 800-456-1701 side down by $30 per square foot,” extended by lenders on the hope Daniel Duggan: (313) 446-0414, he said. “And you might not be to- that the borrower will someday be [email protected] 20101025-NEWS--0035-NAT-CCI-CD_-- 10/22/2010 10:10 AM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 35 Focus: Real Estate Some real estate firms switch to represent only tenants

BY DANIEL DUGGAN aren’t able to offer all the services said CEO Bill Lichwalla. Gross CRAIN’S DETROIT BUSINESS that clients need, said Ron Gantner, revenue has grown from $3 million executive vice president for the De- Plante Moran Cresa has seen a in 2005 to $7 million now. After nearly 20 years of repre- troit office of Jones Lang LaSalle. He said he welcomes more com- senting building owners and ten- Gantner said Jones Lang strong increase in revenue petition in the sector as well. ants looking for office space, Sam LaSalle has retained nearly all of “The Detroit market doesn’t to- Munaco decided it was time to the Staubach clients after the ac- through its tenant-only policy, tally understand the difference be- pick one or the quisition, and the former tween a full-service firm and a ten- other. Staubach brokers on staff have says CEO Bill Lichwalla ant-rep-only firm,” he said. “With Last month, brought in new clients because of more competition, it’s a positive in Munaco took the firm’s variety of services. that there will be more people out the position of “This firm manages 1.7 billion said. “Boutique firms have to out- lar service.” there, helping people differentiate president of the square feet of space nationally, so source services like that. Locally, Plante Moran Cresa has between the two types of firms.” newly formed we can bring in experts on a wide “I’m seeing the industry go to seen a strong increase in revenue Daniel Duggan: (313) 446-0414, Southfield office range of specific topics,” Gantner full service rather than one singu- through its tenant-only policy, [email protected] of Chicago- based Advocate Commercial Real Munaco Estate Advisors, leaving Southfield-based Signature Associates. It’s one of three recent moves in niche commercial real estate firms — working only with tenants and not doing work for building owners. Influencing the move, Munaco said, were too many situations “Save energy and save money.” when a company looking for new office space wouldn’t hire him be- cause he also represented well- known office buildings such as the ²
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Page 36 CRAIN’S DETROIT BUSINESS October 25, 2010 Focus: Real Estate Real estate awards program includes three winners from metro Detroit A 25-year real estate career, a Real Estate Excellence: David Shores golf course redevelopment 500,000-square-foot relocation and Friedman, president and CEO of the in Benton Harbor and St. Joseph. a creative reuse of an automotive Friedman Real Estate Group. (See sto- The Sale of the Year will go manufacturing facility took this ry, this page.) the sale of the Double JJ Ranch in year’s Real Estate Excellence Lease/Sale of the Year: Blue Rothbury. Named on the award is Awards. Cross Blue Shield of Michigan’s 465,000- David Distel of Bloomfield Hills- The awards are given out each square-foot lease in the Renaissance based O’Keefe & Associates. year by Crain’s Detroit Business Center. (See story, Page 37.) The Real Estate Excellence and the Grand Rapids Business Development/Redevelopment award will be given to Jonathon Journal during the University of of the Year: The BAE Systems facili- Bradford of the Grand Rapids-based Michigan/Urban Land Institute Real ty in Sterling Heights. (See story, Inner City Christian Federation. Estate Forum. Page 37.) Judges included representatives Three awards are given for the The awards will be presented from Crain’s and GRBJ as well as Detroit area: The overall Real Es- during the UM/ULI Real Estate Fo- staff for the real estate forum. tate Excellence award; Lease/Sale rum on Nov. 10-11 in Flint, and the Among the guest judges were Eric of the Year; and Development/Re- six winners will speak on a panel. Duistermars, part of the business development of the Year. The two-day event will highlight attraction team for the Michigan Chosen for the Detroit awards: the strategies being used by in- Economic Development Corp., and vestors in the Flint market to rein- Rick Chapla, vice president of re- vest in the area despite the shrink- development for the west Michi- ing job and population bases. gan economic development organi- Three awards were also given zation The Right Place. for the Grand Rapids area. For more information or to reg- The Development of the Year ister for the event, visit award will be given to the develop- umuliforum.com. PPO HMO RX ASO HRA ment team for the 530-acre Harbor — Daniel Duggan

tate broker. Today, he’s president of the Farmington Hills-based Friedman Real Estate Group, which employs Sometimes your 37 brokers as part of its 200-person LLC staff. After starting his own firm in 1987, he now looks over the man- needs a PPO. agement of 15 million square feet EPO of commercial real estate along with 8,000 apartments. But Friedman hasn’t let that DAVID FRIEDMAN stand in the way of being active at Friedman Real Estate Group, his own firm. Farmington Hills “If I’m not transacting business Real Estate Excellence Award for my clients, I’m not of much val- HRA PPO WELLNESS HSA RX ue,” he said. “How can I not ser- In 1983, David Friedman started vice the relationships that I’ve a career as a commercial real es- See Friedman, Page 37

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October 25, 2010 CRAIN’S DETROIT BUSINESS Page 37 Focus: Real Estate

Cresa, has spent three years work- for environmental cleanup and in- BLUE CROSS BLUE SHIELD BAE HEADQUARTERS ing on the project, representing frastructure, and a tax abatement OF MICHIGAN Development/Redevelopment BAE on the land worth about $4.5 million over 12 of the Year sale, then the years. Lease/Sale of the Year Broker: Brandon Podolski, project execu- The project team is seeking to Landlord representative: Plante Moran Cresa tive on the rede- have it qualify for a Gold rating in Mark Wallace of Hines Interests LP The 529,000-square-foot automo- velopment. the U.S. Green Building Council’s Tenant representative: tive plant in Sterling Heights on Podolski was Leadership in Energy and Envi- Brian Piergentili of UGL Equis Corp. Van Dyke Avenue near 15 Mile also part of the ronmental Design program, which has been vacant since TRW Auto- consulting team, would make it the only Gold-level project in Sterling Heights. In sealing the 465,000-square- Wallace Piergentili motive Holdings Corp. shut it down which secured in 2006. The $58.4 million project in- foot Blue Cross Blue Shield of Michi- $22.1 million in Now it is a major Midwest loca- tax credits from cludes a 55,000-square-foot product gan lease in the Renaissance Cen- and operational savings of Podolski tion for Rockville, Md.-based de- the Michigan Eco- development building as part of the ter, the real estate team needed to $30 million to $40 million over the fense contractor BAE Systems, nomic Development Corp., followed completed first phase. A second not only have the executives from next 15 years by using its real es- which is growing its land and arma- this year by $1.5 million in state tax phase, 195,000 square feet of office Blue Cross on board, but also tate more efficiently and ridding ments operating group. But this is captures granted under the state’s space, is under construction to be those from landlord General Mo- itself of the 15-mile gap between far from a routine building project. brownfield program. completed in one year. The entire tors Co. the company’s Detroit and South- Brandon Podolski, vice presi- Sterling Heights’ local develop- operation will house 600 employees, field campuses. Beyond that, they had to ask two dent of transaction management ment authority gave BAE $2.8 mil- about 460 of them new hires. tenants in the 2 million-square- — Daniel Duggan with Southfield-based Plante Moran lion in tax-increment financing — Daniel Duggan foot building to relocate, and had to ask GM to pay for it. In the end, Blue Cross CEO Dan Loepp and then-GM chairman and CEO Ed Whitacre were all smiles during a July 29 press conference announcing the deal. Not on the stage at the press con- ference were tenant broker Brian Piergentili of UGL Equis Corp. and landlord broker Mark Wallace of Hines Interests LP. In this multifaceted deal, the landlord side did some heavy lift- ing when it came to finding 465,000 contiguous square feet in the building. It called for relocating offices of Eden Prairie, Minn.-based C.H. Robinson Worldwide Inc. and Palo Alto, Calif.-based Hewlett-Packard Co. to other parts of the complex. The result: getting the building to 93 percent occupancy. On the tenant side, $35 million in government incentives were se- cured for the deal. Loepp estimates a real estate Friedman: Excellence award ■ From Page 36 spent 20 years building?” One longtime client in particu- lar is Dan Gilbert, president of De- troit-based Quicken Loans Inc. Friedman personally handled the 244,000-square-foot lease for Quicken at the Compuware Corp. headquarters in Detroit. Moving Gilbert to Detroit was interesting for Friedman, who started his career by moving ten- ants out of Detroit and into the suburbs. “Now I’m moving Dan, and a major headquarters, back into De- troit,” he said. Friedman Real Estate Group has also been quick to the trend of han- dling the leasing, management and disposition of distressed real estate. The firm has grown out of Michigan and is handling deals in Florida, Indiana, Ohio, Tennessee, Kentucky and Arizona. “That’s how to grow a compa- ny,” Friedman said. “You recog- nize the various cycles, you adapt the company and you do it quickly so you can stay ahead of the com- petition.” — Daniel Duggan 20101025-NEWS--0038-NAT-CCI-CD_-- 10/22/2010 10:07 AM Page 1

CRAIN’S DETROIT BUSINESS BRIEFLY Troy-based InStar Services opens $ZDUG:LQQLQJ3HUIRUPDQFH offices in Seattle, California Troy-based InStar Services Group has opened new offices in Brea, 0DQDJHG$VVHW3RUWIROLRV//& Calif., and Seattle to meet growing Proud sponsor of the MSAE demand for its disaster recovery “Association Law Symposium” $*OREDO$VVHW0DQDJHU services. The West Coast offices fill a mar- ket void for InStar, allowing it to DATE: November 17, 2010 3HUVRQDOL]HG$FFRXQW0DQDJHPHQW provide services to commercial TIME: 8AM - 5PM and residential LOCATION: Henry Center - Lansing &RPSHOOLQJ8SVLGH'RZQVLGH&DSWXUH5DWLRV customers fac- Learn about the recent trends in association ing damage law, determine what organizational issues from wildfires, flooding, earth- should be handled in-house and what issues quakes and require professional help, and gain the landslides, said practical knowledge you need to stay at the CEO and Presi- top of your profession. dent Mark Davis, in a news For more event Davis release. and registration The two new offices make five information, visit that InStar has opened this year, www.msae.org Helping you reach your financial goals. with the other locations in New York, Denver and Phoenix, and or call 517.332.6723. bring its U.S. locations to 22. Instar, owned by private-equity 0DQDJHG$VVHW3RUWIROLRV//& firm BlackEagle Partners LLC in :HVW8QLYHUVLW\6XLWH Bloomfield Hills, said it plans to 5RFKHVWHU0, open a sixth new office this year in No two organizations are the Chile during the fourth quarter. same. Foster Swift provides How can we assist?  — Sherri Welch custom-crafted legal strategies P: 248.539.9900 ZZZPDQDJHGDVVHWSRUWIROLRVFRP E: [email protected] Andiamo Restaurant Group that fit your specific needs. 5HFRJQL]HGDVD7RS3HUIRUPHUE\361 acquires Troy catering company 3DVWSHUIRUPDQFHLVQRJXDUDQWHHRIIXWXUHUHVXOWV Warren-based Andiamo Restau- rant Group has acquired Troy-based Lansing | Farmington Hills | Grand Rapids | Detroit | Marquette | Holland Splendid Plates Catering and Events. Terms of the deal were not dis- closed. Stewart Davidson, former presi- dent of Splendid Plates, will re- main with the company but will Pictured slightly serve as vice president. Joe Vicari, 800-292-3831 president of An- indiantrails.com diamo Restau- larger than rant Group, said the acquisition will help as the company looks actual size. to catering to offset dwindling The Big Pilot’s Watch.

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October 25, 2010 CRAIN’S DETROIT BUSINESS Page 39

CareerWorks online Visit www.crainsdetroit.com /careerworks to search for jobs, post a résumé or find talent.

PEOPLE president of public relations, Palace Sports & Entertainment, Auburn Hills, IN THE SPOTLIGHT from director of public relations. Southfield-based Goodman Acker PC, a law firm specializing in FINANCE personal injury, medical John Lindley to vice president of gov- malpractice and accidents, has ernment relations and regulatory af- named Mai fairs, Michigan Association of Certi- Kazakos-Resh fied Public Accountants, Troy, from to the newly senior director of government rela- created tions and regulatory affairs. position of Judy Grace to vice COO. president of trust Kazakos-Resh, and estate admin- 54, previously istration, North- had been chief ern Trust Bank, technology Bloomfield Hills, officer at the from vice presi- dent, U.S. Trust, Kazakos-Resh Cranbrook Educational Troy. Community in Bloomfield Hills. James Marchand She earned a bachelor’s degree in to first vice presi- dent, invest- literature, languages and creative Grace ments, Raymond writing at the University of James & Associ- Michigan and a master’s degree in ates Inc., Macomb Township, from education at Wayne State vice president, investments, Wells University. Fargo Corp., Troy.

CONSULTING HEALTH CARE Chris Meyer to di- Teri Emrich to di- rector, account- rector of census ing advisory development, group, Huron Con- Ciena Healthcare sulting Group, Management Inc., Troy, from fi- Southfield, from nance director, admissions direc- Hummer divi- tor, Autumnwood sion, General Mo- of Livonia. tors Co., Detroit. Steven Wintheis- RETAIL er to senior pro- Scott Henry to ex- Meyer ject manager, Cor- Emrich ecutive vice presi- nerstone Environmental Group LLC, dent and CFO, Borders Group Inc., Farmington Hills, from senior direc- Ann Arbor, from president, S.D. Hen- tor of landfill field services, CPI and ry Strategic Services LLC, Las Vegas. Associates Inc., Wixom. Hong Deng to SUPPLIERS principal, Ful- Jeff Stafeil to CEO, Dura Automotive crum Edge Inc., Systems, Rochester Hills, from execu- Troy, from brand- ing project lead tive vice president and CFO; also, and acquisition Martin Becker to executive vice pres- project associate, ident and COO, from executive vice Beijing West In- president and general manager for dustries, Canton global control systems; and Jim Gre- Township. gory to executive vice president and CFO, from vice president and CFO, ENTERTAINMENT Global Automotive Systems LLC, Deng Jeff Corey to vice Royal Oak.

EMPLOYMENT CALENDAR SCORE workshops for small biz damentals of marketing a business 9 a.m.-noon Thursday at the Oak- Detroit SCORE Chapter 18 is host- land County Executive Office ing workshops this week as part of Building Conference Center, its series for small business and Building 41 West, 2100 Pontiac entrepreneurs. They are: Lake Road, Waterford Township; Wednesday, 8:45 a.m.-noon: Learn cost $40. To register: www.oakgov. accounting language and compare com/peds/calendar or call (248) financial statements for two busi- 858-0783. nesses. Held at MBPA, 27700 Hoover Road, Warren, and costs $55. Call (313) 226-7947 to register. Workshop on pre-biz research Thursday , 8:45 a.m.-noon: Learn The Oakland County Business Cen- what is required for a successful ter is co-presenting a free pre-busi- business plan with templates for ness research workshop 9 a.m.- the marketing, management and financial sections. At MBPA, 27700 12:30 p.m. Nov. 2 at the Oakland Hoover Road, Warren; cost $45. County Executive Office Building Call (313) 226-7947 to register. Conference Center, Building 41 West, 2100 Pontiac Lake Road, Wa- terford Township. Learn to market a business To register online, go to The Michigan Small Business & www.oakgov.com/peds/calendar Technology Development Center is and select the workshop, or call presenting a workshop on the fun- (248) 858-0783. Page 40 CRAIN’S DETROIT BUSINESS October 25, 2010 REAL ESTATE

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Irwin Licensed Real Estate Broker Phone: 313-770-3224 OFFICE SPACE Email: [email protected] www.MI-Commercial-llc.com OFFERING #1 OFFERING #2 Location: 1212 E. Alexis Rd., Location: 5570 Enterprise Blvd., CONDOS Discover New Options! Toledo, OH 43612 Toledo, OH 43612 208,000 SqFt Adjacent to Offering #1 Industrial/Warehouse 38,236 SqFt Luxury Condo Living in Detroit ★ Large-Scale Cross Dock ★ HIGH Industrial/Warehouse TRAFFIC AREA ★ 1 Mile Off I-75 ★ HIGH TRAFFIC AREA ★ 1 Mile ★ Located on Heavy Haul Route Off I-75 ★ Located on Heavy Haul ★ 52 Miles from Detroit/Metro Route ★ 52 Miles from Detroit/Metro ★ Truck/Trailer Storage Area ★ Truck Well-Dock 4 – 8’x8’ with ★ Security Fencing & Guard House Levelers ★ Concrete Block Exterior ★ ★ Steel Beam Block Exterior Walls ★ Security System ★ On ★ ★ Steel Siding Concrete Floors 6.73+/- Acres ★ Built 1989 ★ Great ★ Built 1989 ★ Renovated 1998 Location ★ Multi-Use Building ★Great Location ★ Multi-Use Building Newer custom designed condos. Private entrances, open floor plan, premium kitchens In Co-op w/CB Richard Ellis/Reichle Klein and decor. For lease or sale. Marty Gallagher, SIOR / 419-794-3956 Managed by Real Estate Management Specialists, Inc. Jerry Malek, CCIM, SIOR / 419-794-3964 313-533-6300 If you are in the market for new office space, The Skutch Company, Ltd. - Receiver consider the Federal Reserve Building: Full Service Realtor I Very competitive rental rates Fore More Info., Terms & Bidding Procedures go to our Website remsrealestate.com I Free secure onsite parking www.wilsonauctionltd.com I 1st class amenities and infrastructure 1600 East Warren Avenue Or, contact any of the following for more detailed information, I Suites from 6,000 - 24,000 sf. Due Diligence Packets & to Register for a Bidders Packet LABORATORY SPACE For your personal tour, contact Sheila Fogarty – 248-594-1155 – [email protected] WILSON AUCTION & REALTY CO., LTD. Biotech/Wetlab in Lansing Auctioneers/Brokers & Liquidators Near Capitol Region Intl. Airport 866-870-5500 -- 419-354-7653 100% makeup air • 3 fume hoods OFFICE SPACE INDUSTRIAL PROPERTY Bryan, OH Bowling Green, OH air compressor • vacuum pumps Auctioneers: Wayne M. Wilson, CAI —— Brent J. Wilson, CAI deionized water & R/O Office Suite for Lease INDUSTRIAL SPACE AVAILABLE www.WilsonAuctionLtd.com 2,400 sf lab space — 1,500 sf office 6,150 high-bay warehouse. Premium Birmingham office space on IN MACOMB TWP. Woodward Avenue with conference Call Mark Kerrins -- 517-371-7682 room, receptionist and phone system. ** INCREDIBLE RATES ** AUCTIONS AUCTIONS [email protected] Furniture available if needed. Single office or up to 3,000 square feet with HIGH-TECH OFFICE/INDUSTRIAL AUCTION - 76.26 ACRES AUCTION - 90 ACRES signage. New development Finish to suit . Within 1/4 Mile of Detroit Metro Airport OFFICE BUILDING Call John at 248-390-7774 for details. 2,860sf, 3,483sf & combine up to Inkster Rd Taylor, MI 10,449sf Located at Inkster & Goddard Rds ———————————————— Want my Office?? WATERFRONT PROPERTY 70,700sf CORPORATE IMAGE Wednesday, November 10th Truck wells, crane footings, full AC Million Dollar View! ———————————————— Beginning at 5:00 PM 55,700sf WITH HEAVY POWER Truck wells, crane footings Held at: ———————————————— ALSO BUILD TO SUIT AND The Marriott Hotel Eureka Rd . Romulus, MI 30559 Flynn Dr . Romulus, MI INDUSTRIAL LAND AVAILABLE Wednesday, November 3rd Order of Sale – Offered in 3 Tracts: Heavy-Duty Industrial Building on 10 acres Beginning at 5:00 PM with deep clear lake and lot that backs up to Tract 1 - Inkster Rd: Parcel 1 - 39.26 Acres Held at: Island Lake Park. 2/3 Story home sits high above private, Tract 2 - Goddard Rd: Parcels 2 & 3 - 37 Acres The Marriott Hotel 26,500 Sq. Ft including 3600 Sq. Ft offices clean, all sports Long Lake in Hartland, overlooking lake. Approximately 4,000 Sq. PHONE 586-677-1111 Tract 3 - Combo: Parcels 1, 2 & 3 - 76.26 Acres 30559 Flynn Dr . Romulus, MI MI. This incredible home offers 4 www.quadratedevelopment.com Ft. Heavy-Duty mezzanine. Total 30,000 fireplaces, 4 BR, 3.5 baths, gourmet For more information, contact Auctioneer: For more information, contact Auctioneer: Sq. Ft. Plus. Five 14' O.H.Ds plus dock. 5 Craig Herschel - [email protected] Craig Herschel - [email protected] and 2 ton bridge cranes. 22 ft clear. kitchen, walk out lower level, 3 car garage. The entire house is outfitted AVAILABLE NOW THE TEAM No Signature. No Results. THE TEAM No Signature. No Results. Asking $1,850,000 with handmade doors, woodwork and 888.708.7070 888.708.7070 Call Robert @ 248-486-8888 or 4,000 to 100,000 sq. ft. www.signatureassociates.com/inksterauction.htm www.signatureassociates.com/eurekaauction.htm 734-812-2737 cabinetry. Attention to detail sets this home apart from others. $875,000 See more at: Also 10,000 & 25,000 sq. ft. http://lakefrontindustrialbldg.shutterfly.com www.hartlandhouse.shutterfly.com WAREHOUSE STORAGE SPACE Free Standing Bldgs w/truckwells. OFFICE BUILDING Call Bob 248-486-8888 WAREHOUSE SPACE FOR LEASE 1 Mile from Metro Airport For Sale OFFICE SPACE or 734-812-2737 2 bays avail.- 9,000 SF each or combined Livingston County 18,000 SF. Drive in doors, truck docks, $699,000 Flint Township Office Building RESIDENTIAL PROPERTY REA CONSTRUCTION $1.95 SF/NNN Now you can afford a castle in (734) 946-8730 Centrally located off I-75/12 Mile Bloomfield Hills -- ERNIE- 248-840-6081 next to Cranbrook! Also Heavy Industrial 1/2 off ++. Finance under 5%. Land Available • Class A Office Building 680 and 730 Lone Pine Road. • I-69 / I-75 / US23 near Bishop Airport www.reaconstruction.net Call or email today for information One-of-a-kind log built 4,200 sq/ft • Up to 20,000 Sq. Ft. Available - 300 car parking Open Sunday’s 1-4pm on a custom advertising plan! commercial building. • Fully Furnished with 100 pre-wired workstations Call 248-681-9700 Hardwood floors and stone fireplace. • 800 kw backup generator [email protected] • General Offices, Call Center, Data Center or 313.446.6068 For details, call EV at Medical Offices 810-220-1437 248-496-3405 CRAIN’S CLASSIFIEDS WORK! To Place Your Ad Call (313) 446-6068 or Fax (313) 446-1757 20101025-NEWS--0041-NAT-CCI-CD_-- 10/22/2010 4:18 PM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 41 MARKET PLACE Grocers: Owners helped fund change ■ From Page 3 ANNOUNCEMENTS & BUSINESS & DHS set the cost to notify the re- SERVICES INVESTMENTS cipients at $360,000 and said it would split the cost with the gro- DELIVERY SERVICES BUSINESSES FOR SALE This makes a statement about cers and food companies. “ TIME AUTO TRANSPORT SW Detroit -- Heavy gauge stamping As a result, a 45-day fundraising the spirit of collaboration among business includes patented products. effort was led by the Farmington 800-624-2021 In-house tool and die build and repair. Hills-based Associated Food and Pe- the store owners who make up the Special Back Haul Rates Off Lease 50 presses to 500 tons. Price Reduced! 734.547.5481 troleum Dealers. It contributed Snowbird Transfers Worldwide $25,000 and asked each store for small-business class. 33 Years Service BUSINESS OPPORTUNITIES $1,000, though some gave more. ” $100,000 Insured Per Car — Wanted — “This makes a statement about Auday Arabo, Associated Food and Petroleum Dealers $2.5M mortgage at 6%, 5-year term - 20- the spirit of collaboration among Local pick up & delivery service year amortization on $4.5M office the store owners who make up the the month, some later in the month Save-A-Lot stores and two Food Land 1 Pallet - Truck Load building in excellent suburban location small-business class,” said presi- as the changes are phased in. stores. “Where You Get Your Buck$ Worth” Warehousing Canadian Consolidations with Class A long-term tenant. dent and CEO Auday Arabo. The change isn’t small. Also contributing were 19 food Storage Trailers Call 810-217-3832 “A lot of people chipped in, with While the food-assistance pro- companies and distributors, such Trailer Parking www.mrtransportation.com for additional information no help from the national chains, gram’s number of recipients as Detroit-based Faygo Beverages Inc. [email protected] which also benefit from this. We varies by month, the 2010 monthly and New York-based PepsiCo Inc and 734-946-7031 Call Us For Personalized did this on our own, and it speaks average is 1.7 million people, in Livonia-based D & B Grocers Inc. HEALTH & FITNESS Service: (313) 446-6068 to the heart and soul of these busi- 866,000 households. The average Creating some controversy in FAX: (313) 446-1757 ness owners.” monthly payout totals $230.3 mil- the grocery store community, the E-MAIL: [email protected] The benefit of the change — for lion, or $130 per person per month, large chain supermarkets operat- INTERNET: mostly smaller grocers — is that according to DHS. ing in Michigan, such as Grand Get active and interactive at www.crainsdetroit.com/section/classifieds they can better manage inventory The money is distributed using Rapids-based Meijer Inc., Cincin- See and support a steadier revenue “bridge cards,” similar to ATM nati-based Kroger Co. and Grand Crainsdetroit.com/Section/Classifieds stream throughout the month. cards. Rapids-based Spartan Stores Inc., aHealthierMichigan.org for more classified advertisements Every month, Sahir Gappy has A spread pay-out system makes did not contribute. the same problem at his six Glory Su- Michigan unique nationally, said Two calls by Crain’s were made permarket grocery stores in Detroit, Jean Daniels, director of public af- to each of the companies for a com- PUBLIC NOTICES Hamtramck and Highland Park. fairs for the Food and Nutrition ment on the topic. Walsh College is seeking comments from the public about the College in preparation for its periodic When food-assistance money is Service division of the U.S. Depart- Mike Shina, managing director evaluation by its regional accrediting agency. The College will undergo a comprehensive evaluation visit issued on the first of the month, re- ment of Agriculture, which funds the of six Krown grocery stores and November 15-17, 2010, by a team representing The Higher Learning Commission of the North Central Association of Colleges and Schools. Walsh College has been accredited by the Commission since 1975. cipients pack the store, but during food-assistance program. four Save-A-Lot stores, said it was The team will review the institution’s ongoing ability to meet the Commission’s Criteria for Accreditation. the last two weeks of the month, “Almost all states, all that I difficult to spend the money on a The public is invited to submit comments regarding the college: business declines by as much as know of, issue the funds over the procedural change. But, he said, Public Comment on Walsh College The Higher Learning Commission 50 percent. first five to seven days of the it’s a long-term benefit to anyone 230 South LaSalle Street, Suite 7-500 The six cashiers needed at the month,” she said. in the grocery business. Chicago, IL 60604 beginning of the month are re- She also said the structure of “This was a case where we had Comments must address substantive matters related to the quality of the institution or its academic programs. Comments must be in writing and signed; comments cannot be treated as confidential. duced to two at the end. having the state government share to take care of our own needs,” he So when Gappy was asked for a the cost with the private sector is said. “You either sit around and All comments must be received by Friday, November 12, 2010. contribution, he said, he put in unique. Asked if this has hap- wait to go out of business, or you $38,000. pened in other states, Daniels said invest some money and do some- “This is going to be better for “not that I’m aware of.” thing about it.” everyone, and it’s worth it,” he The list of contributing compa- Daniel Duggan: (313) 446-0414, REAL ESTATE said, noting he expects to earn the nies includes 85 grocery stores and [email protected] money back in about a year based retailers, such as the Mike’s Fresh Nathan Skid: (313) 446-1654, INDUSTRIAL PROPERTY INDUSTRIAL PROPERTY on the operational efficiencies to stores, nine Glory Foods stores, 12 [email protected] come. Pontiac Warehouse for Lease Likewise, one of the biggest sup- Best Deal in Town! pliers to Glory Supermarkets, De- troit-based Sherwood Food Distribu- Rail - Easily Accessible - Low Rates tors LLC, also got involved in the Available: On-site Mgmt - Exterior Storage CAREER MOVES 83,719 SF www.waretechindustrialpark.com fundraising. 43,000 SF CATELLUS GROUP, LLC “I have never seen this happen,” (810) 695-7700 president and CEO Earl Ishbia HUMAN RESOURCES • Warehousing, Machine/Die Storage, said of the private sector’s willing- Manufacturing • M/59, Widetrack, and Woodward Area Troy -- Sale or Lease ness to fund the communication of C@IS` APS9 8PHHVIDU` 8PGG@B@ • 5,000 to 200,000 Sq. Ft Available 67,700 Sq. Ft. Mfg. or Whse. the Food Stamp Distribution Ini- with Offices, Short or Long Term tiative. Primary Power • 3 Truckwells         Leases “The question was: Why should • 8 Interior Truck Wells, 16 Ft. Ceiling $1.95/Sq. Ft. Lease Rate Heights, Sprinklers, Heated, Buss Duct, Possible Seller Financing we (the private sector) do this? The 9DS@8UPS PA CVH6I S@TPVS8@T and Air Lines. 248-496-3405 Broker/Owner (248) 705-0835 answer is: to alleviate the shop-                       ping frenzy that occurs between          AUCTIONS the first and tenth day of every month.”                PUBLIC AUCTION Wednesday, Nov. 10, 2010 Ishbia said the change will help    !   "      #    "  @ 10:00AM distributors spread out the distrib-   #      Complete Liquidation of Scott Port-A-Fold ution cycle and allow them to bet-          $        Expansion Foam Molding/Screen Printing & Decorating Equipment ter manage inventory.      #        !  !   “We find that we are distribut- Intellectual Property # Molds # Tooling # Inventory     %   !    ing in some cases twice as much Location: 100 Taylor Parkway, Archbold, OH 43502 product during the first couple                    OFFERING #1: weeks of the month than the last !  u‡‡ƒ)u uspprqˆ Three product lines & equipment to produce foam balls & footballs along with all manufacturing rights, cus-     tomer list, product information, names & phone numbers. two.” Product Line #1 — Large Football: 30#/Minute Stepan Mix Head, 2 Resin, ISO Metering Pump, Conveyor Ishbia said Sherwood Foods System, Spray Booth, Infrared Heat & Hot Water Heat, ALL Aluminum Molds, Hydra-Dine Motors moves between 16 million and Product Line #2 — Round Ball: 40#/Minute Stepan Mix Head, 2 Resin, ISO Metering Pump, Conveyor 18 million pounds of meat and food Call Us For Personalized FINANCE System, Spray Booth, Infrared Heat & Hot Water Heat, ALL Aluminum Molds, Hydra-Dine Mixer Motors Service: (313) 446-6068 Product Line #3 — Mini Football: 50#/Minute Custom Built Foam Machine w/Stepan Head, 3 Resin, ISO products every week. Metering Pump, 50#/Minute Stepan Mix Head, Complete Conveyor System w/Press, 3 Spray Booths, Jim Bonahoom, president of De- CLOSING TIMES: Monday 3 p.m., C@IS` APS9 Mold Release Spray, 2 Infrared Heat Dryers, Accumulator Tables, ALL Molds, Polypropylene, Including 2- troit-based Wolverine Packing Co, one week prior to publication date. 8PHHVIDU` 8PGG@B@ Cavity Injection Mold said the new plan will help smooth Please call us for holiday closing times. OFFERING #2: the ebb and flow he experiences FAX: (313) 446-1757         Product Line #4: Small rubber buildings patterns & mold for Toy & Hobby Industry every month. E-MAIL: [email protected] Also Offering: Molding, Screen Printing & Lab Equipment; Material Handling; Shop/Maintenance INTERNET: Avhpvhy 6vq T’†‡r€† Equipment & Supplies; Production & Completed Inventory & More!!! “If there is any real benefit to www.crainsdetroit.com/section/classifieds Hhhtr the change, it is that it spreads the Confidential Reply Boxes Available # Visit our Website for Terms, Photos & More Details # distribution of product from a 10- PAYMENT: All classified ads must be      day period to a 30-day period,” prepaid. Checks, money order or        WILSON AUCTION & REALTY CO., LTD. Crain’s credit approval accepted.    !  Bonahoom said. Credit cards accepted. Toll Free: 866-870-5500 Food-assistance money distribu-  u‡‡ƒ)u uspprqˆ See Auctioneers: Wayne M. Wilson, CAI —— Brent J. Wilson, CAI    tion in Michigan will be staggered Crainsdetroit.com/Section/Classifieds   www.WilsonAuctionLtd.com starting in 2011. Some people will for more classified advertisements receive funds at the beginning of 20101025-NEWS--0042-NAT-CCI-CD_-- 10/22/2010 4:17 PM Page 1

Page 42 CRAIN’S DETROIT BUSINESS October 25, 2010 Con-con: Foes of constitutional convention winning funding war ■ From Page 3 ing engagements. But Yes on Propos- would eventually go to voters. of the Legislature needs to be re- part of a broad business-issue sur- al 1, an organization that includes The process could address a host duced, such as by going to part- vey of metro Detroit businesspeo- some of the proponents, does not of issues, such as allowing a gradu- time or shrinking its size. Logie ple, conducted in late August and have the financial resources for ra- ated income tax or local sales tax- said halving lawmaker ranks early September for Crain’s and dio ads or billboards, said George, es, revising Michigan’s term limits would save $50 million a year — Honigman Miller Schwartz and Cohn a co-chairman of the group. for elected officials, adopting a savings Proposal 1 supporters say LLP, found 43 percent in support, 42 “Our resources are in intellect part-time or unicameral Legisla- should be considered against argu- percent opposed and 15 percent un- and people power,” he said. “We’re ture, and altering judicial selec- ments about a con-con’s cost. decided. relying on people to study the is- tion. It could also review layers of Proponents also say Internet use But Bernie Porn, president of sue and decide that this is the best local governments, such as town- would save con-con costs, the Leg- Lansing-based Epic-MRA Corp., way to set the reset button.” ships, villages and intermediate LaBrant Logie islature could limit the con-con which conducted the survey, noted On the other side is a coalition of school districts. budget and delegates’ pay, and at that the question didn’t provide in- statewide business groups and la- “I think for business, the biggest gan, in fixing its structural budget least one of three required special formation on the process and po- bor organizations, local chambers concern is that we’ll embark upon problems, to look at taxing services, elections could be combined with tential cost. Past polling has of commerce, and education, reli- a real period of some uncertainty,” a growing share of the economy. an existing primary. shown opposition to rise when gious, agriculture, natural re- said Robert LaBrant, senior vice Another aspect Logie said a con- The Senate Fiscal Agency has esti- those points are provided to vot- sources and health care groups. president and general counsel at con could address: A system to ap- mated total convention and elec- ers, he said. The opponents say a con-con is Michigan Chamber of Commerce, point, rather than elect, justices to tion costs of at least $45 million. The latest poll, commissioned by an unnecessary and costly exer- which has contributed $90,000 di- the Michigan Supreme Court. He sug- That includes $13.7 million for the the state chamber and conducted cise the state can’t afford. And rectly to the opposition cause and gests a bipartisan commission be convention itself and $10.4 million earlier this month by Mitchell Re- they say it could for months desta- $61,500 more toward in-kind ser- created. When there’s a vacancy on for each of three statewide elec- search and Communications Inc. in bilize Michigan’s business climate vices like staff and office space. the court, the commission would tions, two to elect delegates and East Lansing, found 25 percent of and place in limbo issues like tax LaBrant said that if Michigan recommend names to the governor one to ratify the convention agree- likely voters in support, 44 percent policy and government structure. embarks on a con-con, businesses who would approve or reject the ment. opposed and 31 percent undecided. If voters approve Proposal 1, a are “going to hit the pause button” choices but ultimately fill the va- The potential for a con-con’s ex- “Since undecided voters almost primary election and general elec- before deciding to expand or relo- cancy from the recommendations. pense to affect already-strained always vote no, it is very doubtful tion would be held to select 148 cate in the state. The current system is “nutty,” state programs that help Michi- Michigan voters are going to vote convention delegates. The dele- But Logie said, among other Logie said, with candidates ap- gan’s poor and vulnerable is the for a new constitutional conven- gates would convene in Lansing in things, a con-con should look at a pearing on a nonpartisan ballot central concern of the Michigan tion,” said Steve Mitchell, presi- 2011 and start to draft a revised graduated income tax or a tax on but nominated by Republican and Catholic Conference, a $25,000 con- dent of Mitchell Research, in a constitution or proposed changes services. Numerous fiscal experts Democratic political parties. tributor to the opposition. news release. to the current document that have said it makes sense for Michi- He and others also say the cost Paul Long, vice president for But Logie isn’t dissuaded. public policy, said money “that He said that if there’s 25 percent would be drained from already- “committed to yes right now, and tight state coffers” could affect another 31 percent undecided, funding for areas like Medicaid we’ve got an opportunity to win and Michigan Department of Human this thing.” Services assistance programs. Amy Lane: (517) 371-5355, Will we be able to take care of our A con-con question that was [email protected] children and still leave something for our favorite charity?

Get the conversation started with your family and the team at Schechter. For 70 years we’ve designed conservative and creative strategies to meet many business, family and charitable objectives.

Let’s talk about it. 248.731.9500

*Securities offered through NFP Securities, Inc., (NFPSI) a Broker/Dealer and Member FINRA/SIPC. Schechter Wealth Strategies is an affiliate of NFP Securities, Inc. and a subsidiary of National Financial Partners Corp., the parent company of NFP Securities, Inc. Schechter Wealth Strategies and NFPSI do not offer legal or tax advice. Clients must consult with their tax and legal advisors. 20101025-NEWS--0043-NAT-CCI-CD_-- 10/22/2010 4:48 PM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 43

Tax Preparers Reserve Your Seat 1st shot fired in 4G wireless war Varnum’s Tax Institute BY AMY LANE said Michelle Gilbert, regional speeds of its existing 3G service, CRAIN’S DETROIT BUSINESS public relations manager. said spokeswoman Amy Grund- The company is holding a Nov. 3 man, who is with public relations Wednesday, November 3, 2010 The race is on to woo metro De- event in Detroit for Detroit Regional firm Fleishman-Hillard. troiters to the next generation of Chamber members and others to in- Grundman said the company wireless service. troduce 4G and its capabilities. has not disclosed the number or lo- MetroPCS Communications Inc. “The benefits to 4G in general cation of markets in which it will last week announced the metro De- are that it’s faster and it’s lower la- launch 4G service. troit launch of a 4G wireless ser- tency … when you’re streaming T-Mobile USA Inc. has been ex- vice, becoming the first major car- video ... it’s like watching video on panding a high-speed 4G wireless rier to locally deploy the your TV,” Gilbert said. network based on HSPA+, which fourth-generation Web access, Sprint Nextel Corp. introduced 4G stands for High Speed Packet Ac- voice and text offering whose ad- service in 2008 and offers it in 55 cess. A spokesperson with the vantages include faster down- cities around the country includ- company could not be reached for loads, smoother video streaming ing Grand Rapids. comment, but T-Mobile’s website and speedier Web browsing. Lisa Ketteler, communications lists Detroit as a city scheduled to The MetroPCS 4G network is manager, said company has De- have HSPA+ coverage soon. based on technology called long- troit on its list, but she did not Dallas-based MetroPCS, a pre- Paul McKenney Marla Carew term evolution, or LTE. have a launch date. paid, no-contract wireless opera- “We’ll certainly enjoy the head Sprint bases its 4G network on a tor that first entered Detroit in start as long as it lasts,” said Glen technology called WiMax, which April 2006, is making the metro Flowers, vice president and gener- stands for Worldwide Interoper- area its third market for the 4G al manager for MetroPCS’ Michi- ability for Microwave Access and LTE service, after launching in gan operations. has comparable speeds to LTE. Las Vegas and the Dallas/Fort But others are not far behind. Sprint is the majority share- Worth area in September. Verizon Wireless will have about holder of Clearwire Corp., which is By the end of 2011, the company 40 cell sites in parts of Oakland building the WiMax network, but expects to have 4G throughout its and Macomb counties that will be the Sprint says it may also use Michigan markets, which include 4G by the end of the year and plans LTE in the future as a complemen- the Saginaw, Bay City, Lansing, to launch 4G LTE throughout tary technology to WiMax. Grand Rapids, Muskegon, Holland, metro Detroit in 2011, once spec- AT&T Inc. plans in mid-2011 to be- Kalamazoo and Battle Creek areas. trum interference issues with a gin to nationally deploy 4G LTE Amy Lane: (517) 371-5355, Canadian TV station are resolved, but is continuing to upgrade [email protected] Tom Bergh Eric Nemeth Cleanup: $26M slated for GM sites

■ From Page 1 First Tier Ranking www.varnumlaw.com/events in Tax Law Laws will be managing member of Of the 56 properties in Michi- trust effort. EPLET, the White House said. gan, 36 are contaminated and 20 “We’re all working toward the I Novi I Grand Rapids I Kalamazoo I Grand Haven I Lansing The agreement, reached by the are excess properties that the new same goal,” Launstein said. Obama administration, 14 states General Motors Co. didn’t need, Amy Lane: (517) 371-5355, and a tribal government, and Mo- Monroe said. He said site work [email protected] tors Liquidation Co., the former Gen- that lies ahead includes determin- eral Motors Corp., is subject to fi- ing the extent of contamination if nal court approval. it’s not already known, and identi- Laws is senior counsel with fying actions that need to be taken. Crowell & Moring LLP in Washington Monroe said he expects and former assistant administra- cleanups could start in 2011, and tor for solid waste and emergency the goal is to complete as much of response at the EPA, where he was the work as possible in the next responsible for regulatory and pol- three or four years. icy development and implementa- By funding, the largest site in tion in areas that included envi- Michigan is Willow Run auto as- ronmental cleanup and sembly, where $35.7 million is allo- underground storage tank pro- cated for site cleanup out of $43.5 grams. In an e-mail, Laws said he million targeting four sites in Yp- was pleased to be part of the silanti. cleanup effort, but couldn’t com- Some $13.9 million is allocated ment further until the court had for 17 sites in Pontiac, the largest approved the settlement. of which is an $11 million cleanup Responsibilities under the at Pontiac North operations. trustee’s purview include budgets Elsewhere in Southeast Michi- for sites, performance of cleanup gan, three sites in Livonia are slat- work and working with the state ed for total cleanup dollars of $8.5 and local communities on ultimate million; $3.2 million is to be spent sale or reuse of the GM properties. on two sites in Van Buren Town- In Michigan, the site budgets ship; $276,000 is slated for a site in proposed by the trustee will be Romulus; and three sites in De- subject to approval by either the troit will share $183,000 in cleanup Michigan Department of Natural Re- money. EXCELLENCE sources and Environment or the EPA, Several of the Michigan sites al- depending on which is the lead ready have been getting state at- by design agency overseeing the site, said tention for reuse under the Brian Monroe, supervisor in the Granholm administration’s “Pro- compliance and enforcement sec- ject Phoenix” effort to bring to- tion of the DNRE. gether state, property owners, He said contracts for site work, businesses, communities and de- such as consulting, engineering, velopers to redevelop former man- demolition and remediation, will ufacturing sites. flow through the trustee and four Penny Launstein, vice president CORPORATE I RETAIL I HEALTHCARE national cleanup managers, one of of Michigan retention and growth which will be assigned exclusively at the Michigan Economic Develop- to Michigan. ment Corp., said the MEDC re- CALL US TODAY AND EXPLORE YOUR DESIGN OPTIONS Monroe said that while the envi- tained the Michigan Suburbs Alliance ronmental trust money will be used to work with communities and 248 855 7040 l DavisInteriorDesign.com in the state, Michigan is not the di- help them develop strategies. rect recipient of the funds, which She said that work will comple- will be dispensed from the trust. ment and assist the environmental 20101025-NEWS--0044-NAT-CCI-CD_-- 10/22/2010 4:57 PM Page 1

Page 44 CRAIN’S DETROIT BUSINESS October 25, 2010 DMC: Docs Lawyers say suit hinges on proving economic damages

BY JAY GREENE nation clauses, prosecutors also titrust cases against insurers. join march CRAIN’S DETROIT BUSINESS will need to prove economic dam- “I don’t see any evidence of It depends on how ages, Klein said. competing health insurers losing Attorneys familiar with the an- “ “The economics of how this market share to Blue Cross,” he titrust lawsuit against Blue Cross (the pricing would work to damage the market said. “If anything, Priority and toward Blue Shield of Michigan say Attor- is extremely complicated,” Klein HAP are gaining” market share. ney General Mike Cox and the requirements) play said. “It will be difficult to prove if Blue Cross, which insures more U.S. Department of Justice face ma- out in the rates are higher in Michigan be- than 4.1 million people in Michi- care reform jor hurdles in proving the Blues cause of this.” gan, is estimated to have about a used their market power to pres- Klein said if the suit goes to tri- 60 percent market share for all in- ■ From Page 3 sure hospitals into charging high- marketplace. al, “dueling economic experts surance products, including indi- er prices to competing insurers. ” largest physician incentive pro- will be an important part of this vidual and group. Prosecutors must show that the Sheldon Klein, gram in the state. It does a couple case.” Moore said federal prosecutors higher prices Blue Cross allegedly Butzel Long PC things. It gives doctors incentive Greg Moore, health care prac- have to prove health insurance required the hospitals to charge vored nation” contracts, which Clark Hill PLC money and gives us as an organi- tice leader with in premiums have gone up beyond competing insurers led to higher required the hospitals to charge zation the ability to get physicians Birmingham, said even though normal inflation and competition premiums to consumers and self- prices 5 percent to 39 percent involved in PGIP initiatives to in- the Justice Department has filed has been reduced by alleged anti- insured employers or that com- higher to competing health insur- crease quality and utilization at least five similar lawsuits competitive Blue Cross contracts. peting health insurers were shut ers. scores.” against other Blue Cross plans “Blue Cross has a nonprofit out of markets, said Sheldon “The legality of the provision since 1994, all the cases were set- provider obligation in the state to Blue Cross created PGIP in 2004 Klein, a partner with Butzel Long does not depend on words on pa- tled out of court and approved in get the best prices,” Moore said. to provide financial rewards for PC in Bloomfield Hills. per, it depends on how (the pric- consent decrees. “They have to figure out how to physician organizations’ quality In the federal lawsuit, Blue ing requirements) play out in the Moore said the Justice Depart- do that, and most-favored nation improvements. Cross is alleged to have persuaded marketplace,” Klein said. ment has gone back and forth the is one way.” From 2005 to this year, Blue 23 of the state’s 131 hospitals to In addition to showing the con- past 30 years in its philosophy Jay Greene: (313) 446-0325, Cross has paid out about $75 mil- sign anticompetitive “most fa- tracts contained the most-favored- about bringing such types of an- [email protected] lion in bonus payments. Grant said the organization al- ready is discussing managed-care contracts with Blue Cross, Priority Health, Health Alliance Plan of Michi- gan and other payers. Blue Cross: “The longer-term goal is to be- Competitors had to pay more – suit come an accountable-care organi- ■ From Page 1 zation” to contract with private payers, Medicaid and Medicare,” have provided prosecutors with will likely require Sparrow to Grant said. information on the Blues’ con- PRICE DIFFERENCES raise prices to McLaren Health tracting practices during the in- Plan,” said the lawsuit. “The re- One provision of the health care Here are the 23 hospitals that have signed “most favored nation” reform bill, the Affordable Care vestigation. contracts with Blue Cross Blue Shield of Michigan that allegedly required sulting higher costs will reduce Act of 2010, allows provider organi- “It is curious to me why they them to charge higher prices to competing health insurers. Blue Cross McLaren’s effectiveness as a com- zations to form ACOs. are doing this now. My suspicion denies that its contracts require hospitals to charge competing insurers petitor to Blue Cross.” An ACO can accept responsibili- is there is a higher prices. The Blue Cross contract with ty for the cost and quality of care backstory here. Higher price Sparrow “also prevents … Prior- delivered to specific populations of Maybe a com- Southeast Michigan hospitals requirement ity Health and HealthPlus of Michi- patients. petitor is look- St. John Hospital, Detroit 10% gan from entering the market in For example, to contract with ing to get” an Southfield Providence Hospital, Southfield 10% a manner that would create effec- edge over Blue tive price competition to Blue Medicare, an ACO must be able to Providence Park Hospital, Novi 10% Cross, Moore Cross,” the lawsuit said. manage care for a minimum of St. John Hospital — North Shore Campus, Harrison Township 10% 5,000 Medicare patients. said. Murdock said many health St. John Macomb — Oakland Hospital, Warren and Madison Heights 10% DMC’s ACO will include long- According to plans in Michigan feel they are the lawsuit, unfairly paying double-digit high- term care facilities, home health St. John River District Hospital, East China Township 10% Blue Cross er rates to hospitals than the agencies and other patient-care or- William Beaumont Hospital, Royal Oak 25% Moore wrote during Blues does. ganizations either under common William Beaumont Hospital, Troy 25% negotiations in 2008 with a Grand “It is too early to tell how the ownership or contract. Rapids hospital that “we need to William Beaumont Hospital, Grosse Pointe 25% complaint will be resolved,” Mur- Many hospitals and physician make sure they (the hospital) get Botsford Hospital, Farmington Hills NA dock said. “If you eliminate the organizations in Southeast Michi- a price increase from Priority if barriers that this appears to gan are in the process of forming we are going to increase their Other hospitals in Michigan bring, clearly you will have more ACOs, said Ewa rates.” Covenant Medical Center, Saginaw 39% carriers interested in doing busi- Matuszewski, Hetzel acknowledged that in St. Mary’s of Michigan Medical Center, Saginaw 39% ness in the state.” CEO of Medical 2007 Blue Cross began each con- Marquette General Hospital, Marquette 23% William Berensen, Aetna’s Network One, a tract with a preamble that dis- Michigan market president, said Rochester-based Metro Health Hospital, Grand Rapids 5% HMO, 10% PPO cussed most-favored-nation con- competition in the health insur- physician orga- Mid-Michigan Medical Center, Midland 14% tract status. But he said the only ance market is crucial in provid- nization. requirement was that hospitals Sparrow Hospital, Lansing 12.5% ing value to consumers. There are give Blue Cross best prices. Alpena Regional Medical Center, Alpena NA Earlier this year, Aetna decided “lots of align- “Our contracts only relate to Genesys Regional Medical Center, Flint NA it would pull out of Michigan’s ment talks. We Blue Cross reimbursement rates,” St. Joseph Health System, Tawas City NA small-business group market next too are looking Hetzel said. “It doesn’t relate to February because sales are lag- Matuszewski Borgess Medical Center, Kalamazoo NA for positive and rates with other contracts with ging. That market represents a beneficial relationships that will other insurers.” Dickinson County Memorial Hospital, Iron Mountain NA small percentage of Aetna’s 300,000 provide access to services and However, Rick Murdock, exec- Gratiot Community Hospital, Alma NA customers in Michigan, he said. health systems,” she said. utive director of the Michigan As- Munson Medical Center, Traverse City NA Berensen said Aetna’s decision Overseeing the DMC PHO is a sociation of remains unchanged with the 24-member board composed of pri- Health Plans, Source: United States of America, State of Michigan v. Blue Cross Blue Shield of Michigan, United States District Court for the Eastern District of Michigan news of the Blue Cross lawsuit. vate physicians, Wayne State aca- said Blue Cross “Any time payer, hospital or demic doctors, DMC-employed has “side physician pricing is significant- doctors and four DMC administra- agreements” your economic power and stifle including Assurant and Health Al- ly out of line, it can create an un- tors. with most hos- competition, (then) that is going liance Plan, likely also would have competitive market and conse- Grant said the sale of DMC to pitals in the over the line.” entered into agreements with quently a burden to employers Vanguard Health Systems, a state in addi- In one example cited in the law- Marquette General if they had and consumers,” Berenson said. Nashville-based investor-owned tion to a stan- suit, Priority Health, which has an been able to contract (with the “It should be the goal of everyone chain of 15 hospitals, is not expect- dard partici- office in Farmington Hills, want- hospital) at prices Blue Cross to ensure competitiveness.” ed to alter the plans of the DMC pating hospital ed to offer insurance in the Upper pays to Marquette General,” said Officials for Humana, Priority Murdock PHO. agreement Peninsula and compete with Blue the lawsuit. Health, Health Alliance Plan of However, Attorney General with the Michigan Health and Hos- Cross. Another example describes a Michigan, and St. John Providence Mike Cox must approve the pitals Association that also applies However, because Marquette contract between Sparrow Hospital Health System declined to com- $1.5 billion transaction before to all hospitals. General Hospital had signed a in Lansing and Blue Cross that al- ment. A spokesman for William DMC and Vanguard can close the “Every (insurer) should nego- most-favored-nation contract lows existing contracts between Beaumont Hospitals said execu- deal. The target date for closing is tiate the best deal they can, and with Blue Cross, Priority Health Sparrow and other insurers to tives are cooperating with the in- Nov. 1. more power to them if they get concluded it could not compete continue only until Jan. 1. vestigation. Jay Greene: (313) 446-0325, deep discounts,” Murdock said. in the U.P. “After that date, Blue Cross’ Jay Greene: (313) 446-0325, [email protected] “But when you take advantage of “Other commercial insurers, (most-favored-nation contract) [email protected] 20101025-NEWS--0045-NAT-CCI-CD_-- 10/22/2010 4:55 PM Page 1

October 25, 2010 CRAIN’S DETROIT BUSINESS Page 45 City Airport: Repairs, fuel costs help land business www.crainsdetroit.com ■ From Page 1 EDITOR-IN-CHIEF Keith E. Crain PUBLISHER Mary Kramer, (313) 446-0399 or terford Township west of Pontiac. that went out of business and sim- [email protected] EXECUTIVE EDITOR Cindy Goodaker, (313) 446- His primary complaint about ply walked away, leaving decom- 0460 or [email protected] City Airport was customer service Business aviation climbs after dive posing office trailers and vehi- MANAGING EDITOR Andy Chapelle, (313) 446- and fuel prices set by its former cles. It’s a slow process to remove 0402 or [email protected] aviation services provider. Corporate aviation is showing County, including its airports. such blight because the airport ASSISTANT MANAGING EDITOR/FOCUS Jennette a small uptick in terms of flying The business aviation associa- Smith, (313) 446-1622 or [email protected] “They treated you as if they did- has to go through the city law de- COPY DESK CHIEF Gary Piatek, (313) 446-0357 n’t want you there,” he said. “They hours in 2010 after one of the tion also has created a snapshot partment before it can legally dis- or [email protected] charged $425 to park on the ramp worst years on record. of corporate aviation. pose of abandoned items, King ASSISTANT NEWS EDITOR Jeff Johnston, (313) 446-1608 or [email protected] atop a $25 city landing fee.” Corporate flying dropped na- An October 2009 national sur- said. DATA EDITOR Anne Marks, (313) 446-0418 or That meant for companies flying tionally by 35 percent to 40 per- vey by the organization reported The cost of such cleanup so far [email protected] in to do business in Detroit, it was cent on average from January that 70 percent of companies us- hasn’t yet been tabulated. Crews WEB DEVELOPER Steve Williams, (313) 446- cheaper to land at Oakland and 2009 to January 2010, but there’s ing corporate planes have fewer from several city departments 6059, [email protected] been a roughly 10 percent re- than 1,000 employees and 59 per- EDITORIAL SUPPORT Robertta Reiff (313) 446- rent a car to drive downtown, he have been involved in those ef- 0419, YahNica Crawford, (313) 446-0329 bound this year, said Dan Hub- cent have less than 500. said. forts, he added. NEWSROOM (313) 446-0329, FAX (313) 446- Clients are looking again at bard, vice president of communi- Just 22 percent of business air- The airport’s edges are lined 1687 TIP LINE (313) 446-6766 cations of the Washington, craft passengers were upper City Airport because of a change with rectangular corrugated steel REPORTERS in the service provider, which in- D.C.-based National Business Avia- management, the survey found, hangars that are leased for private tion Association, a trade group for with the bulk (70 percent) being Daniel Duggan: Covers retail, real estate and cludes a parking fee drop to $200, aircraft — some of which haven’t hospitality. (313) 446-0414 or Nini said. companies that rely on aircraft to midlevel managers or other em- been flown for years. Most of those [email protected] do business. ployees. Jay Greene: Covers health care, insurance and the “It’s getting better in just the buildings show heavy rust, are environment. (313) 446-0325 or “We’ve hit the bottom of that Business aircraft passengers last 30 days,” he said. dented or otherwise banged up; [email protected]. trough, maybe,” he said. “Busi- average two to three flights per Chad Halcom: Covers law, non-automotive The company contracted to pro- one still has fire damage that’s sev- manufacturing, defense contracting and Oakland ness aviation, like a lot of trans- month, according to the survey, and Macomb counties. (313) 446-6796 or vide aviation fuel and other ser- eral years old. portation modes, reflects the and two-thirds of companies sur- [email protected]. vices, known as a fixed-base opera- “Most of them, they’re ugly but Tom Henderson: Covers banking, finance, economy.” veyed owned a single aircraft, tor, had been Orlando-based they’re functional,” King said. technology and biotechnology. (313) 446-0337 or Congressional chastisement of typically a turbine-powered [email protected]. Signature Flight Support, a sub- There are 129 hangars, of which Nancy Kaffer: Covers small business, the city of the Detroit automakers flying to plane. Of those aircraft, 69 per- sidiary of Britain’s BBA Aviation 79 are leased. Detroit, Wayne County government. (313) 446- Washington to testify in Decem- cent were jets, 28 percent turbo- 0412 or [email protected]. plc. Fixing them and repairing the Bill Shea: Covers media, advertising and ber 2008 also put a psychological props and 3 percent were heli- Signature’s contract ended Sept. Executive Terminal will happen marketing, entertainment, the business of sports, damper on corporate aviation last copters. and transportation. (313) 446-1626 or 30 and it was replaced as fixed-base once the city knows the cost and [email protected]. year, industry insiders have said. The association represents operator temporarily by Cotton- how it will be paid for, he said. Nathan Skid: Multimedia reporter. Also covers the wood, Ariz.-based Barnstormers Pi- “Corporate aviation in general 8,000 companies that rely on food industry. (313) 446-1654, [email protected]. Sherri Begin Welch: Covers nonprofits and lot Club. took a real hit from that,” said J. transportation aircraft to con- services. (313) 446-1694 or [email protected] It is selling jet fuel (Jet A) for David VanderVeen, director of duct business. The big planes Dustin Walsh: Covers auto suppliers, steel, higher central services for Oakland — Bill Shea education and Livingston and Washtenaw $4.79 a gallon and 100-octane low- counties. (313) 446-6042 or [email protected] lead (AvGas), which is used by pis- The city isn’t prepared to say if it will seek to restore daily com- LANSING BUREAU ton-engine propeller aircraft, for to working with Group Executive Amy Lane: Covers business issues at the Capitol, mercial passenger service at the telecommunications and utilities. (517) 371- $4.49 a gallon. Terrence King as he focuses on 5355, FAX (517) 371-2492, [email protected]. or Signature had been selling fuel meeting the airport and its cus- Their operation is airport — which is lucrative but 115 W. Allegan, Suite 220, Lansing 48933. for more than $7 a gallon. tomers’ needs.” “ difficult because of competition. ADVERTISING An e-mail seeking comment was “That’s long-term forecasting, ADVERTISING DIRECTOR Marla Downs, (313) in the and we’re not there yet,” King 446-6032 or [email protected] sent to Patrick Sniffen, Signature’s SALES INQUIRIES: (313) 446-6052; FAX (313) vice president of marketing and King reigns shadow of said. 393-0997 The last commercial airline at ADVERTISING SALES Christine Galasso, Matthew the only person authorized to Mayor Dave Bing assigned J. Langan, Lori Tournay Liggett, Tamara Rokowski, speak to the media for the compa- King, his group executive for Detroit City Airport, ProAir, ended service Cheryl Rothe, Dale Smolinski ny. His secretary said he was trav- operations, to oversee the air- in 2000 when its four Boeing 737s CLASSIFIED SALES (313)-446-0351 eling. Metro, and were grounded by the Federal Avia- MARKETING MANAGER Irma Clark port in August. MULTIMEDIA MANAGER Alan Baker, (313) 446- Signature has a reputation for King’s duties include de- tion Administration for poor mainte- 0416 or [email protected] higher prices, said John Infanger, veloping a list of problems at that’s nance and service. EVENTS MANAGER Nicole LaPointe editorial director of Fort Atkinson the airport and a list of im- A number of regional airlines MARKETING ARTIST Sylvia Kolaski SALES SUPPORT Suzanne Janik, YahNica Crawford Wis.-based Airport Business maga- provement recommendations difficult. had service out of City Airport, but ” most ended in the early 1990s. The CIRCULATION Candice Yopp, Manager. zine. that will be turned into a strate- MARKETING COORDINATOR Kim Winkler Infanger also said cities around gic plan for City Airport by next J. David VanderVeen, biggest carrier, Southwest Airlines, PRODUCTION MANAGER Wendy Kobylarz the country are being forced to spring. Oakland County International Airport operated at the airport from 1988 to PRODUCTION SUPERVISOR Larry Williams CUSTOMER SERVICE look at providing improved ser- Until then, Bing’s plan to priva- 1993. Passenger service peaked in MAIN NUMBER: Call (877) 824-9374 or write vices for corporate and recre- tize airport management is on around,” King said. “Those were [email protected] ational aviators, who will fly else- hold. That includes any decision our major shortcomings. (Fuel 1990 with 782,000. By contrast, De- SUBSCRIPTIONS $59 one year, $98 two years. troit Metropolitan Airport handles Out of state, $79 one year, $138 for two years. where for a deal and better on hiring an outside firm to run prices) alone we believe will be a Outside U.S.A., add $48 per year to out-of-state treatment. the airport or hiring a replace- major attraction for corporate about 31 million passengers annu- rate for surface mail. Call (313) 446-0450 or ally. (877) 824-9374. “There’s been a real demand for ment for Brown, who resigned clients.” SINGLE COPIES: (877) 824-9374. higher level of service,” he said. Sept. 29 after being questioned by a He noted the airport has recent- The 737, which typically seats REPRINTS: (800) 290-5460, ext. 125; (717) 505- 128, is the largest passenger jet 9701, ext. 125; or ashley.zander@theygsgroup City Airport has lost a slow but City Council committee over the ly seen several charter flights .com. steady trickle of corporate avia- results of the July 28 report by come in from Hollywood for films that can safely use City Airport. TO FIND A DATE A STORY WAS PUBLISHED: tion over the past couple of Loren Monroe, the city’s auditor being shot in Detroit. The longest runway, at 5,090 feet (313) 446-0367 or e-mail [email protected]. long, is significantly shorter than decades to other facilities, espe- general. The city also has launched CRAIN’S DETROIT BUSINESS IS PUBLISHED BY cially Oakland County Interna- The audit showed discrepancies cleanup efforts. landing strips used by major com- CRAIN COMMUNICATIONS INC. tional. A couple of acres along the edge mercial airports. CHAIRMAN Keith E. Crain in airport finances. PRESIDENT Rance Crain “I don’t think everybody bailed Like all other city departments of the airport were a dumping The 53,000-square-foot passenger SECRETARY Merrilee Crain out (from Detroit) at a particular under Bing, City Airport has to ground for abandoned, broken city terminal is largely quiet and emp- TREASURER Mary Kay Crain Executive Vice President/Operations time,” said J. David VanderVeen, run like a business, King said. equipment and vehicles dating ty. There’s a car rental desk and William A. Morrow who oversees the airport as direc- “There has to be a formal busi- back to the 1980s, all of which have one or two Barnstormers staffers Group Vice President/Technology, Manufacturing, Circulation tor of central services for Oakland ness model created for the air- been removed and scrapped, King at a counter. Robert C. Adams County. port,” he said. “All of the prior ad- said. Today, the area is home to A small passenger lounge has a Vice President/Production & Manufacturing Dave Kamis Other compa- ministrations didn’t have a four large trash containers filled TV that broadcasts to no one, and Chief Information Officer nies continue to serious business model for taking for rubbish waiting to be free popcorn goes uneaten. A U.S. Paul Dalpiaz keep their air- processed. Customs and Border Protection of- Corporate Circulation/Audience Development care of the airport.” Director craft in Detroit The city provides a $791,000 an- The original Executive Termi- fice is used only when the occa- Kathy Henry because of the nual operational subsidy for the nal, the large yellow brick build- sional foreign flight requires the G.D. Crain Jr. Founder (1885-1973) Mrs. G.D. Crain Jr. Chairman (1911-1996) federal officers to be called in for convenience. airport. The rest of its budget is ing near the corner of Conner and EDITORIAL & BUSINESS OFFICES: “We’ve been raised via fees, hangar rentals and Gratiot, has several tenants, but it routine inspections and paper- 1155 Gratiot Ave., Detroit MI 48207-2732; (313) 446-6000 at City Airport the fixed-base operator conces- is crumbling in places and is rid- work. Cable address: TWX 248-221-5122 AUTNEW DET for many years sion. dled with broken windows covered The baggage carousel from the CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 and have found by boards. Southwest Airlines days is opera- is published weekly, except for a special issue the “We’ve realized there were third week of January, a special issue the fourth it extremely three factors that seemed to be the The grass is trimmed, but weeds tional but idle. So are the two sec- week of August, and no issue the third week of McCann December by Crain Communications Inc. at 1155 convenient to rationale for corporate citizens remain overgrown in some areas. ond-level jetways. Gratiot Ave., Detroit MI 48207-2732. Periodicals have our hangar so close to our De- leaving the airport,” King said. Aviation officials have determined “Their operation is in the shad- postage paid at Detroit, MI and additional mailing offices. POSTMASTER: Send address changes to troit corporate headquarters,” Those are customer service, cost of the asphalt runways are in good ow of Detroit Metro, and that’s dif- CRAIN’S DETROIT BUSINESS, Circulation said Kathleen McCann, senior vice condition, but they are heavily ficult,” said Oakland’s Van- Department, P.O. Box 07925, Detroit, MI 48207- services (fuel, mainly) set by the 9732. GST # 136760444. Printed in U.S.A. president of Detroit-based Soave fixed-base operator and general patched in places. derVeen. Entire contents copyright 2010 by Crain Communications Inc. All rights reserved. Enterprises Inc., in an e-mailed maintenance and upkeep. The airport’s aesthetics also Bill Shea: (313) 446-1626, Reproduction or use of editorial content in any statement. “We’re looking forward “We’ve turned a lot of that have fallen victim to companies [email protected] manner without permission is strictly prohibited. 20101025-NEWS--0046-NAT-CCI-CD_-- 10/22/2010 4:47 PM Page 1

Page 46 CRAIN’S DETROIT BUSINESS October 25, 2010 RUMBLINGS WEEK ON THE WEB FROM WWW.CRAINSDETROIT.COM, WEEK OF OCT. 16-22

effective Oakland County based InfuSystem Holdings Executive, L. Brooks Patter- Allstate plans Inc. (OTCBB: INHI) an- son” as the “best elected of- nounced the completion of Am I drunk? ficial in Michigan.” its public offering of 2.8 In the commentary for metro Detroit million shares of common TheMichiganView.com, the stock. The shares were held proudly conservative on- by a subsidiary of Kimberly- There’s an line offspring of The Detroit hiring spree Clark Corp. InfuSystem did News, Anderson said he was not issue any new shares in inspired by a Patterson llstate Insurance Co. the offering and did not re- speech recently at the liber- (NYSE: ALL) in ceive any proceeds from A Michigan has an- the offering. tarian Mackinac Center for nounced plans to hire 40 Ⅲ app for that Public Policy to raise pen (or Ann Arbor-based Domi- new agency owners and an- keyboard) in praise of the no’s Pizza Inc.’s advertising other 200 employees — in- campaign touting trans- ith several tradi- with a Fiat key,” Galeana longtime political generalis- cluding 20 agents and about parency has fueled an in- tional alcohol-in- told Crain’s sister publica- simo. 80 other employees in crease in third-quarter rev- W fused holidays tion Automotive News. Anderson — who has Ⅲ The GM logo atop the Southeast Michigan — to enue of about $45 million coming up, Troy-based The On being able to retain done consulting work for Renaissance Center has been expand its automobile, boat over the same quarter last Designate has unveiled a most of his 25 employees, Oakland County, which he taken down for mainte- and recreational vehicle in- year, bolstered by an 11 nance. Word is the new free smart phone applica- Galeana added: “We’ve acknowledges in his admir- tion designed to “help users been together a long time surance lines by the end of percent increase in domes- sign will have LED light- ing epistle — cited the coun- manage their nightlife” by and now get to continue, next year. tic same-store sales and a 7 ing. Meanwhile, work ty’s AAA bond rating amid figuring out for them if they just with different clothes.” Farmington Hills-based percent increase in interna- crews have been doing con- regional economic malaise, need a ride home after a Bill Golling will open a Fiat Allstate currently has 360 tional same-store sales. struction along the Jeffer- creation of Automation Alley night of drinking. dealership adjacent to agents in Michigan. Ⅲ Prizm Pain Specialists, a son Avenue entrance to the The Designate, of course, Golling Chrysler Jeep Dodge in — for whom Anderson also clinic offering traditional building to install electric specializes in just that: It’s Bloomfield Hills and the does work — and Patter- ON THE MOVE medicine care and alterna- charging stations to be hired by people to take Troy-based Suburban Collec- son’s budgeting prowess. tive medicine, is opening in used for the new Chevy them and their cars home tion will open a Fiat dealer- We’re happy to note that Ⅲ The Detroit Auto Dealers Canton Township on Volt. after they’ve had too much ship in Novi. Anderson spread the love Association elected its offi- Wednesday. Owners are Ⅲ The Michigan Chamber to drink. by mentioning that Laurie cers for 2011. They are: physicians Jeffrey Rosenberg of Commerce has given $5.4 The new app, available Van Pelt, Oakland County’s James Seavitt, president of and Jeffrey Kimpson. They million to the Republican for the iPhone and Android director of management Village Ford, as president; spent $3.5 million to ac- Governors Association, which platforms, is a blood-alcohol and budget, was a Crain’s Robert Shuman, president of quire and renovate the is running negative ads concentration estimator. Detroit Business’ CFO of the Shuman Chrysler-Jeep, as 17,000-square-foot building against Democratic candi- It’s called The Designate BAC. Year honoree in May. vice president; Scott that was a former Allstate date Virg Bernero, AP report- It helps users “gauge LaRiche, vice president of claims center. The clinic ed. The nonpartisan Michi- their ability to drive based Lou LaRiche Chevrolet, as has 25 employees. gan Campaign Finance on several key factors, in- Awards and wedding bells treasurer-secretary. Ⅲ The Detroit Salt Co. LLC Network said the governor’s Ⅲ Karen Cullen has been has been acquired by the association reported the cluding sex, weight, num- Purtan Earley for Segway tourista ber of drinks and type of promoted to vice president Kissner Group, an Ontario- giving in third-quarter re- beverage consumed. Once Dick Purtan, DTE boss to It’s been a whirlwind few of corporate relations for based manufacturer of de- ports to the Internal Revenue calculated, the application weeks for Segway tour Detroit-based Ilitch Holdings icing products, for an Service. will indicate the likelihood lead Thanksgiving parade queen (and former Crain’s Inc. She retains her role as undisclosed price. The Fer- Ⅲ The Detroit Economic the user is impaired and 20 in their 20s honoree) president of Ilitch Charities. rantino family, which Club has canceled a speech Retired hall of fame radio Jeanette Pierce. will offer direct contact to broadcaster Dick Purtan and Ⅲ The Detroit Tigers have founded Wayne-based EQ- scheduled for Tuesday by For her work promoting The Designate to arrange a Tony Earley Jr., executive signed third baseman Bran- The Environmental Quality Co., the former head of the Oba- the city as safe ride home,” the firm chairman of DTE Energy Co., don Inge to a two-year con- is the seller. ma administration’s auto co-founder of said in a statement. will serve as co-grand mar- tract with an option for the task force, Steve Rattner, af- nonprofit In- The app was developed by shals for the 84th America’s 2013 season. Terms of the ter reports about an ongo- side Detroit, THER NEWS two Birmingham-based Thanksgiving Parade in De- deal were not disclosed. O ing investigation of an in- firms, M10 Mobile Media and troit. she was hon- Inge, 33, is coming off a Ⅲ Mergers and acquisi- fluence-peddling scandal, Werner Marketing Group. DTE is the sponsor of one ored Oct. 14 four-year, $24 million con- tions are expected to in- AP reported. tract that paid him $6.6 mil- The next challenge: Cre- of four new floats, and its with the crease as the economy sta- The U.S. Securities and Ex- Dave Bing Fu- lion last year. change Commission has been ating an app for people too theme is “Energy and Our Pierce bilizes, says the sixth drunk to operate their Future.” It features chil- ture Leader annual Mergers & Acquisi- investigating whether Rat- smart phones. dren discovering Award as part of the fourth COMPANY NEWS tion Outlook Survey, pre- tner and his private-equity the science of food, annual Shining Light Regional sented by Detroit-based firm Quadrangle Group paid kickbacks to get access to hydroelectric, so- Cooperation Awards spon- Ⅲ San Francisco-based Dykema Gossett LLP at the business from New York lar and wind pow- sored by the Detroit Free advertising firm Goodby Sil- Detroit Athletic Club. verstein and Partners is mov- state’s $125 billion public er. Press and the Metropolitan Ⅲ The Community Founda- ing to Detroit, the first sig- pension fund. The other new Affairs Coalition. tion for Southeast Michigan, nificant presence by an Ⅲ The tear-down of Cass entries are Blue Then last week, with support from the Max advertising firm since Team Tech High School will begin Cross Blue Shield of boyfriend Richard Peresky M. and Marjorie S. Fisher Detroit moved to Dearborn Nov. 1 with the salvage of Michigan, Strategic proposed at the Detroit His- Foundation, is launching a torical Museum — at its ex- in 2006. It will lease 13,500 historic artifacts from the Staffing Solutions square feet in the Francis yearlong challenge grant 93-year-old structure. and the Skillman hibit about Detroit wed- program to bring more dings. Palms Building at 2111 Heavy demolition begins in Foundation. Woodward Ave. than $3.3 million in operat- June. Detroit-based Homrich Detroit-based Ⅲ TTi Group has complet- ing support to local non- Wrecking Inc. will receive The Parade Co. BITS & PIECES ed its first-ever acquisition profits providing emer- $3.1 million to level the plans to unveil by buying England-based gency food and shelter. school. Fiat 500 those other new Ⅲ A decision could be global market research The Community Founda- Ⅲ University of Michigan floats between now and made in about a week on Saturn eclipsed by a Fiat firm Lorien Customer Focus, tion plans to provide $1 for officials say they’ve sold Thanksgiving morning. which local nonprofit will every $2 raised, with a 105,585 tickets — a world Last week Chrysler Group which provides market re- be given the five-bedroom, match of up to $125,000 per record — for an outdoor LLC announced that three search and customer ser- three-story arts and crafts- organization. For a list of hockey game at Michigan local dealers have been giv- Pat Anderson bromances vice training to customers style house Time Inc. bought participating nonprofits: cf- Stadium between the en franchises to sell the new that include Jaguar, Ford Mo- Brooks with award for $99,000 last summer as Wolverines and rival Michi- Fiat 500. tor Co., Fiat and Harley-David- sem.org and click on “ini- its Detroit bureau for its gan State Spartans, AP re- Among them is Carl Patrick Anderson, the bow- son Motor Co. The move is tiatives and programs.” “Assignment Detroit” pro- ported. “The Big Chill at Galeana, who can’t argue tied boss of Anderson Eco- expected to create 20 jobs at Ⅲ The Suburban Mobility the Big House” takes place with the timing. nomic Group in East Lans- ject. Reporter Steven Gray, the Rochester Hills head- Authority for Regional Trans- Dec. 11. The Fiat store will open ing, has let the world know who led the yearlong cover- quarters. portation bus system un- in February on the site of about his true feelings for L. age as the sole full-time cor- Ⅲ Bloomfield Hills-based veiled the first two hybrid his Saturn of Lakeside store, Brooks Patterson. respondent living at the Penske Automotive Group Inc. electric buses it will add to OBITUARIES which closes along with all In a laudatory opinion home, has his next gig: said it has launched its fleet of 640 vehicles on other Saturn stores on Oct. piece published Friday, An- Washington correspondent PenskeCars.com as a sales Nov. 1. The 61-foot vehicles Ⅲ Albert Rosenblum, co- 31. derson declared his “friend, for Time magazine starting portal for new and used seat 100 and cost $1.6 mil- owner of the Dobrowitsky- “I’m going to shut down the unassuming, quiet (al- in November covering poli- cars. lion in federal stimulus Rosenblum Co., died Oct. 8 of with a Saturn key and open right, not-so-quiet) and very tics and policy. Ⅲ Madison Heights- funds. heart disease. He was 87. DBpageAD.qxd 10/22/2010 3:28 PM Page 1

Tuesday, Nov. 9 Wayne State University McGregor Memorial Conference Center, Detroit “Leveraging Michigan’s Talent” To register, please visit Michigan has lost nearly 1 million jobs in the last decade. www.regonline.com/2010workforce Yet it can boast some of the most skilled workers in the country. Registration: $75 each $70 each* for groups of 10+ Can Michigan leverage its talent base to attract more businesses? $85 each at the door, How can the companies already here continue to hire and grow? *For discounted rates please call 313.446.0300 TOPICS INCLUDE: Labor/management relations Selling Michigan as a place to do business “Just in time” training between workforce development and available jobs Non-traditional job creation

A Candid Assessment on Michigan’s Workforce Issues Andy Levin Acting director of the Michigan Department of Energy, Labor & Economic Growth (DELEG)

FEATURED SPEAKERS: PANEL : Selling Michigan as a place to do business

Robert Ficano, Sandy Baruah, Wayne County president, Executive Detroit Regional Chamber

PANEL : Just-in-time training for available jobs Including a Private Sam Singh, James M Vander Hulst, Senior Strategy Consultant President, Conversation with: NEI Workforce Strategy West Michigan TEAM Daniel Pink, Author Free Agent Nation, A Whole New Mind with question and answer session before lunch. Tom Bowles, Assistant training KEYNOTE ADDRESS director of the IBEW-NECA Electrical Industry Training Center by Daniel Pink following lunch.

WHO SHOULD ATTEND Join employers, policy, labor and community leaders, academia and economic and workforce development organizations in a frank dis- cussion on what it will take to add jobs in Michigan in this half-day

PLATINUM SPONSOR GOLD SPONSORS LOCATION SPONSOR DISTRIBUTION PARTNER DBpageAD.qxd 10/1/2010 4:25 PM Page 1