20131125-NEWS--0001-NAT-CCI-CD_-- 11/22/20135:18PMPage1 ©Entire contentscopyright2013byCrainCommunicationsInc.Allrightsreserved 57,000 from1971to2000. years isabovetheaverageof jobs ineachofthenexttwo percent byyear-end2015. the endofnextyearand7 percent nowto7.9by unemployment ratefrom9 to pass,willlowerthestate 14,000 jobs. jobs andhealthcareadding manufacturing adding17,000 jected toadd21,000jobs,with construction industryispro- and businessservices.The jobs willbeinprofessional year. jobs havebeenaddedthis since early2010.About80,000 nearly 250,000jobsadded next twoyears,addingtothe add about130,000jobsinthe at the leased Fridaybyeconomists an economicforecastre- ployment levels,accordingto back topre-recessionem- two yearswillbringthestate the costs,Page4 not toobad,neitherwere Signing upforObamacare the challenges,Page9 Winners, finalistsriseupto lab, 180jobstobelost Red Crosstocloseblood home inSoutheastMichigan Technology companiesfinda match pre-recessionlevels UM: Stateemploymentto

NEWSPAPER www.crainsdetroit.com Vol.29,No.48 Best-Managed Nonprofits Page 3 Inside This JustIn The averageof65,000new Those gains,iftheycome About 30,000ofthosenew They saidthestatewill Job growthoverthenext University ofMichigan. — Tom Henderson Hunter lastNovember,thefrail-looking ment ofthesigningoutfielderTorii itch lastyear. pearances for was thefirstoffivesignificantpublicap- T Guyton, alsohasastringoffundraisingsuc- to helprebuild. $150,000 incashandmajorfoundationseager dots, orinthiscase,donors,plussome others, Heidelberghasafieldfullofpolka fires destroyedthreehomesanddamagedtwo home. like ahandfulofpolkadotspaintedonhuge tion’s budgetanddonorbaselookedsmall— rebuild afterahugeloss,in1999,theorganiza- Heidelberg tolaunch$3Mcapital campaign The nonprofit,co-foundedbyartistTyree This time,afteraspateofsuspectedarson The lasttime After participatingintheannounce- SPECIAL TOCRAIN’SDETROITBUSINESS tion offirstbasemanPrinceFielder to formallyannouncetheacquisi- he newsconferenceinJanuary2012 R RECONNECTING THEDOTS CRAIN’S DETROITBUSINESS B Y E B Detroit Tigers V The HeidelbergProject Y C ICKIE ASSOCIATED PRESS B ILL O E S N LMER HEA NOVEMBER 25–DECEMBER1,2013 N owner MikeIl- Who’s ondeck? E laws andwhetherheirscanaffordfranchises C questions turntosuccession,estatetax had to T For MarlaWise information, contact advertising As Detroitsportsteamownersage, I N at 313-446-6032 [email protected] at 313-446-6032 the organizationraised$1.125millionfrom million ayearisanambitiousgoal,giventhat has growndramaticallyalready.Raising$1 house —andsupportanorganizationthat sustainable site,anew“HouseofSoul”art hopes willraise$3millioninthreeyears. ing tokickoffacapitalcampaign,onethatshe tor JenenneWhitfieldandtheteamareprepar- Detroit’s eastside,HeidelbergExecutiveDirec- and systems. tripled itstotalrevenueandexpandedstaff cesses thatstartedin2009,whichmorethan G Page 24 Team transitionsnotalwayssmoothforestates, H teams remaininthefamily,orwillone the Ilitch-owned about thefutureofTigers,andthat speculation abouthishealth. from publicview,fuelingfanandmedia 83-year-old Ilitchhaslargelywithdrawn The fundswillallowHeidelbergtobuilda So despitebiglossesofartandpropertyon NLN H HANDOFFS THE ANDLING The uncertaintyraisesquestions T H E D Detroit RedWings See Heidelberg,Page22 O T S : Willthe

MICHELLE D. HOOKS tions. quires theLegislaturetoapproveregula- rights department.Statelawenactedin2007re- Levy, directorforlawandpolicywiththecivil the stateLegislatureearlynextyear,saidDan pension andrevocation. dards, continuingeducation,andlicensuresus- cation requirements,credentials,testingstan- rules coverminimumeducationalandcertifi- vices tothedeafandhardofhearing. other medicalbusinessesofferinterpreterser- hospitals, physicianoffices,pharmaciesand medical facilities. adequate videoremoteinterpretingservicesat ability tousegood-faithjudgmentrefusein- partment ofCivilRights preters issuedlatelastweekbythe heartened byproposedregulationsoninter- hearings onproposal Legislature tohold for interpreters backs stifferregs Deaf community Public hearingsareexpectedtobeheldby Besides theuseofvideoremoteservices, The proposedregulationsgoverntheway The deafandhard-of-hearingcommunityis tial ownershipchanges. leagues saylittleornothingaboutpoten- topics theteamsarewillingtodiscuss; William ClayFordSr.sinceJanuary1964. Lions them? keeping thefranchises?Cantheyafford both besold?Aretheheirsinterestedin Succession andestateplanningarenot The samequestionsapplytothe , whohavebeenownedby88-year-old CRAIN’S DETROITBUSINESS B Y J AY that givedeafpatientsthe G See Interpreters,Page25 REENE See Succession,Page24 $2 acopy;$59year ASSOCIATED PRESS Michigan De- Detroit ® 20131125-NEWS--0002-NAT-CCI-CD_-- 11/22/2013 4:08 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS November 25, 2013

MICHIGAN BRIEFS Plant near Lansing promises up ance in Burton, amid accusations she failed to submit customer ap- to 120 jobs; state ponies up $3M Spartan’s still on door, Nash in the name, HQ stays put plications and kept payments that In other news from last week’s left clients without insurance. Michigan Strategic Fund board meet- Fresh off last week’s completion of a $1.3 billion ny probably would have moved its corporate offices. Ⅲ East Lansing-based Heritage ing, Lansing-based Niowave Inc. re- merger, the newly renamed SpartanNash Co. said it Changes in the state’s business climate in the past Collection LLC purchased a 131-unit apartment portfolio from the ceived $3 million in state funding would retain its corporate headquarters in the couple of years made Michigan a superior environ- Grand Rapids-based property to produce radioisotopes used in Grand Rapids suburb of Byron Township. ment to Minnesota, Staples said. management firm Heritage Manage- medical imaging at a building to Also last week, the Michigan Strategic Fund ap- Shareholders for Spartan Stores and Nash Finch ment LLC, MiBiz reported. be constructed near Capital Region proved $2.75 million in tax incentives for the compa- overwhelmingly approved the merger, which cre- Ⅲ A year after at least four peo- International Airport near Lansing, ny, created by the merger of grocery wholesaler and ates a food distribution giant with wholesale opera- retailer Spartan Stores Inc. and Minneapolis-based tions, 177 grocery stores and military commissaries ple got sick from drinking apple the Lansing State Journal and wholesaler Nash Finch Co. and exchanges in 44 states and the District of Colum- cider, James Ruster of Mitchell Hill MLive.com reported. The incentives are expected to retain 620 jobs and bia, Europe, Cuba, Puerto Rico, the Azores, Bahrain Farm in northern Michigan’s Niowave estimated the building create 72 jobs in the Grand Rapids area, plus 300 new and Egypt. Antrim County was charged with cost at $79 million. When factoring positions as the company grows. Dave Staples, Spar- SpartanNash, with annual sales of $7.8 billion, also knowingly making adulterated or in costs for intellectual property and tanNash’s executive vice president and CFO, told joins the Fortune 500. The new company trades under unsanitary food. Inspectors said licensing, the company said, the MiBiz that without the state incentives, the compa- the symbol SPTN on the Nasdaq Stock Market. his cider equipment was unsani- project is valued around $200 mil- tary and had dried food on it. lion. The building could open by Ⅲ Among the takeaways from a 2015. former Amash supporters are get- ness’ world records for creating nent role in West Michigan’s Grand Rapids Economic Club lun- State and company officials said ting behind Ellis. They include for- the longest painting by an indi- emerging battery industry, the cheon panel discussion of Michi- the project could mean 90-120 jobs mer Perrigo Co. CEO Mike Jander- vidual. He tried but failed to enter company this past Thursday gan’s beer and wine industries, as at an average salary of $60,000. noa, former Meijer Inc. President the 11,300-foot-long … creation in shipped its first order of lithium-ion reported by MLive.com: The wine Niowave also had been offered in- Mark Murray, retired Old Kent this year’s competition, which batteries for the Chevrolet Volt, grape crop is 25 percent larger centives by the Illinois Accelerator Bank President John Canepa and turns downtown Grand Rapids MLive.com reported. than the 2012 harvest; apple farm- Research Center. Grand Rapids banker and philan- into a cross between the Louvre Ⅲ Stephen Wolfinbarger, a West- ers, processors and cider makers thropist David Frey. As for and a really unsettling dream, de- ern Michigan University music profes- are having trouble processing W. Mich. business leaders switch Amash, the DeVos family gave pending on your level of art ap- sor, was named the 2013 Michigan their enormous harvest because of him $39,000 in combined donations preciation. Professor of the Year, MLive.com a labor shortage; and nobody has support from Rep. Amash during the current election cycle. SinGh also should be considered reported. Bestowing the honor on figured out how to measure beer a finalist for the year’s best job ti- tourism yet — apparently, it’s In October, Crain’s Michigan him and profs from 35 other states: tle: “World’s best parallel process- the Carnegie Foundation for the Ad- more involved than “99 Bottles of Business reported the plans of ArtPrize said ‘no,’ but 2-mile-long Beer” would suggest. Grand Rapids businessman Brian ing stunt painter.” vancement of Teaching and the Coun- Ellis to challenge Republican U.S. painting speaks to your soles cil for Advancement and Support of Ed- Find business news from Rep. Justin Amash. Ellis contend- Kalamazoo artist SinGh, who MICH-CELLANEOUS ucation. around the state at crainsdetroit ed that Amash was not represent- can claim that he was booted out Ⅲ The Michigan Department of In- .com/crainsmichiganbusiness. ing the interests of the West Michi- of the ArtPrize competition not Ⅲ Nearly three years after surance and Financial Services sus- Sign up for Crain's Michigan gan business community. once but twice, was nonetheless Crain’s Michigan Business wrote pended the license of Angella Business e-newsletter at crains Now MLive.com reports that honored by the compilers of Guin- about LG Chem Michigan Inc.’s promi- Swain-Jones, owner of Swain Insur- detroit.com/emailsignup. 20131125-NEWS--0003-NAT-CCI-CD_-- 11/22/2013 5:02 PM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 3 Red Cross to close blood lab Focus: Innovations fact there’s a declining demand for Higher costs, lower demand cost Detroit 118 jobs blood.” The Southeastern Michigan BY SHERRI WELCH Ward will leave the organization. erating costs than those in St. Blood Services Region will contin- CRAIN’S DETROIT BUSINESS And James Flickema, CEO of the Louis; Philadelphia; Portland, ue to collect blood through local Great Lakes Blood Services Region in Ore., and Charlotte, N.C., said drives and provide the area’s 43 The American Red Cross plans to Lansing, will take on oversight of communications manager Tracy hospitals with blood products, Fox shutter its national blood testing the American Red Cross Southeastern Fox. said. lab in Detroit on Feb. 3, amid a na- Michigan Blood Services Region, “It’s just economics and geogra- About 450 of its employees will tional trend of declining demand which serves Wayne, Oakland, phy. We have Philly, Detroit and continue to operate from 100 Mack for blood. Macomb, Washtenaw and St. Clair St. Louis fairly close together,” she Ave. in Detroit with the American The closure of the lab and con- counties. said. Red Cross Southeastern Michigan Re- current management restructur- The Detroit blood testing lab, “The decision was made to close gional Chapter, which provides hu- For this firm, combating ing will eliminate 118 local jobs. one of five the nonprofit operates Detroit based on the location of the manitarian response with more As part of the move, CEO Diane cancer is personal, Page 13 across the country, had higher op- others and the economics of the See Red Cross, Page 23

Company index TECHNOLOGY FINDS A HOME IN SOUTHEAST MICHIGAN These companies have significant mention in this week’s Crain’s Detroit Business: 826 Michigan ...... 12 Abbott Nicholson Quilter Esshaki & Youngblood . . . 25 Companies fill Advaita ...... 14 American Red Cross ...... 3 AMF-Nano ...... 16 Ann Arbor Spark ...... 16, 17 Arborlight ...... 17 creative space Ascension Health-Michigan ...... 25 Atterocor ...... 13 Black Star Farms ...... 16 Clinton River Watershed Council ...... 12 in Mt. Clemens DeepMile Networks ...... 3 Detroit Lions ...... 1 Detroit Pistons ...... 24 Detroit Red Wings ...... 1 Amenities, leases Detroit Renewable Energy ...... 21 Detroit Renewable Power ...... 21 among the attractions Detroit Tigers ...... 1 Detroit Venture Partners ...... 13 BY CHAD HALCOM Entrepreneurs’ Organization ...... 21 EyeWyre Software Studios ...... 22 CRAIN’S DETROIT BUSINESS Fred A. and Barbara M. Erb Family Foundation . . . . 22 Some of Mt. Clemens’ oldest haunts are GroupGolfer ...... 22 housing the city’s newest industry segment, Hall, Render, Killian, Heath & Lyman ...... 25 as new Internet marketing and Web software Heidelberg Project ...... 1 development businesses have been moving to Henry Ford Health System ...... 25 the downtown area in recent months. Hunch Free ...... 3 One of the new arrivals in the next several Ilitch Holdings ...... 24 weeks could be Falls Church, Va.-based Inmatech ...... 17 DeepMile Networks LLC, a data analytics and Invest Detroit ...... 13 LARRY PEPLIN market research company that is discussing Lipson, Neilson, Cole, Seltzer & Garin ...... 24 SRI International’s Helen Parish (from left), David Sahner and Elizabeth Wood at the site of the nonprofit’s Mariners Inn ...... 12 new clinical laboratory at the Michigan Life Science and Innovation Center in Plymouth Township. plans to open a satellite office at a collabora- tive space inside the new headquarters of dig- Menlo Innovations ...... 17 ital marketing firm Hunch Free Inc. on Main Mercy Education Project ...... 9 Michigan Deaf Association ...... 25 Street. Michigan Economic Development ...... 3 Ben Kasoff, a Southfield native and co- Michigan Life Science and Innovation Center . . . . . 3 founder/president of DeepMile in Virginia, Calif. nonprofit plans clinical lab in Mich. Small Business Tech. Development Center . . 16 said he hopes to have a staff of three to five New Economy Initiative for Southeast Michigan . . . . 3 employees in Mt. Clemens by early 2014 and Nickel & Saph ...... 22 do some commuting to Michigan to help Oakland University ...... 23 Plymouth to help biotech startups Olympia Development of Michigan ...... 24 See Mt. Clemens, Page 22 Olympia Entertainment ...... 24 Orchards Children’s Services ...... 21 BY TOM HENDERSON 1946 as the Stanford Research Institute to com- Red Theory Online Services ...... 22 CRAIN’S DETROIT BUSINESS mercialize scientific research. Robert W. Baird ...... 9 That in turn helped spawn a new industry, Ronald McDonald House Charities ...... 12 Groundbreaking has begun at the Michigan venture capital, and a new tech mecca, Silicon Signature Associates ...... 21 Life Science and Innovation Center in Plymouth Valley, in what had been farmers’ fields. SRI International ...... 3 Township for a clinical laboratory for SRI Inter- Currently, MLSIC is at full occupancy, with University of Michigan ...... 1, 13, 16, 17 national, a Menlo Park, Calif.-based nonprofit 33 tenants occupying its 56,000 square feet of of- Wayne State University ...... 14 that helps tech startups improve their products fice and lab space. Winning Futures ...... 9 and find a market niche. The Michigan Economic Development Corp., SRI, which has 2,500 employees and 20 facili- which runs MLSIC, is having a 9,400-square- ties worldwide, has been granted more than foot modular turnkey laboratory built by 1,000 patents and had 2012 revenue of more Maryland-based Modular Genius Inc. The lab Department index than $500 million. will be delivered in several sections and assem- This is its first facility that will conduct U.S. bled on-site, contiguous with the existing build- BANKRUPTCIES ...... 7 Food and Drug Administration phase-one human ing, northeast of M-14 and Beck Road. SRI plans BUSINESS DIARY ...... 20 clinical trials for drug development. to begin operations in April. CALENDAR ...... 18 Technology transfer has become a buzz The New Economy Initiative for Southeast Michi- CAPITOL BRIEFINGS...... 7 phrase in Michigan in recent years. For SRI, it gan provided a down payment for the modular JOHN SOBCZAK CLASSIFIED ADS ...... 21 has been a mission for nearly seven decades, “We like the idea of collaborative space,” said since it was spun out from Stanford University in See Biotech, Page 23 Hunch Free owner James Gwizdala. KEITH CRAIN...... 6 OPINION ...... 6 PEOPLE ...... 20 Crain’s on Twitter Start your day THIS WEEK @ Follow Crain’s staffers by grabbing Want business news from around the state sent to your RUMBLINGS ...... 26 their handles at email by 7 a.m. daily? Sign up for the Crain’s Michigan WEEK ON THE WEB ...... 26 WWW.CRAINSDETROIT.COM crainsdetroit.com/twitter. Morning newsletter at crainsdetroit.com/morning. 20131125-NEWS--0004-NAT-CCI-CD_-- 11/22/2013 4:09 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS November 25, 2013 Signing up for Obamacare not too bad, neither were costs

On Nov. 13, federal offi- health and dental cover- cials said only 1,300 peo- age through my employ- ple in Michigan and er.) I couldn’t believe it, 27,000 people nationally based on all my previous had signed up for a health tries and after hearing policy on healthcare.gov. all the negativity about An additional 85,000 had how I was wasting my signed up on the 14 state time even trying. exchanges. Jay Greene I was one of the 1,300 in Michigan. From Oct. 1 until Oct. 21, I tried Talking turkey: Premium costs every day from home and work to When I saw my prices for single create an account on coverage, I was not shocked or healthcare.gov. It was frustrating overwhelmed: $540.62 for medical Jay Greene plugged in the numbers, and confusing because nobody and $35 for dental. Back in the late and here’s what he got. knew really what was happening 1990s, I paid $660 per month for what about 65 percent of people with those first couple of days. just COBRA medical, so I didn’t health insurance have, only costs I finally was able to not only cre- think those prices were that bad. me about $150 per month. I am lucky ate an account and sign up for a They certainly weren’t like the to work for a large company with medical and dental policy on horror stories I had heard on the good health care benefits. What else healthcare.gov, and I also received TV, radio and in some newspapers can I tell you about my Obamacare billing invoices and welcome pack- of people paying 100 percent increas- policy? Here are some details: ages from Blue Care Network and es over their current, nonessential I would have a $30 copayment Golden Dental Plans Inc. benefit compliant policy. for primary care doctors, a $50 co- Here’s how I did it. The medical plan I selected was pay for specialty doctors and a $4 Blue Cross Preferred Silver. I chose copay for generic drugs. These co- Early morning, Oct. 1 the second cheapest plan because payments are not that unusual and health insurance experts told me comparable with trends I have re-

INTELLECTUAL PROPERTY ATTORNEYS With a mug of hot coffee, I sat that the majority of folks on the ex- ported each year from Troy-based down at my home computer and change will purchase this type of McGraw Wentworth’s Mid-Market

typed in www.healthcare.gov. The coverage. Survey of employers in Southeast landing page opened fine. So far, so The four “metal” plans work Michigan. good. I was able to begin the enroll- like this: I also would have other bene- They are not just “ ment process by typing in my Bronze, the least expensive, fits I may or may not need. They name, address and other basic de- covers an estimated 60 percent of include: chiropractic care, men- mographic information. actuarial costs and has the lowest tal/behavioral health, outpatient “patent lawyers, but Then, boom: the dreaded frozen monthly premium but the highest rehab and skilled nursing care. screen. deductible. There are two benefits on my our trusted advisors. I was not happy. I expected to Silver covers 70 percent. policy I absolutely won’t ever finish my application in 15 min- Gold covers 80 percent. need: infertility treatment (I al- utes — the time it took me to book Platinum, which covers 90 per- ready have three children) and JAMES SCAPA, CEO Altair Engineering a flight to my home state of Flori- cent of costs, also has the highest bariatric services (I never saw an da. Instead, I was grounded. monthly premium but the lowest ice cream cone I couldn’t burn out As it was painfully clear from the deductible. of my system on a basketball court first day, healthcare.gov was not I have been reading that some or gym). I have friends who have ready for prime time. What was the people have been shocked at what YOUNG BASILE. Advisors to the world’s most innovative companies. either successfully gone through problem? I asked several Health they consider to be outrageously infertility treatments or are try- and Human Services officials. I am high deductibles from some of these ing. I once had a friend in Florida sure they meant well, and I am sure Obamacare plans. One such story who had his stomach “stapled.” ANN ARBOR TROY SILICON VALLEY they were overwhelmed and was in the Nov. 17 Detroit Free Press Believe me, it saved his life. These • • stressed, as the first three weeks of in which a podiatrist said a replace- benefits are no joke. the website rollout coincided with ment policy for him and his son had WWW.YOUNGBASILE.COM I do understand why people are the government shutdown. Nice a $12,000 deductible. I am baffled by upset they have to pay for benefits timing, right? these problems. The marketplace they probably will never need. But Anyway, all I got the first week has a variety of options with a vari- that happens now. from government officials was spin ety of deductibles, copayments and For example, why do we have to — not unusual for a reporter who is premiums to choose from. Maybe pay for tornado or wildfire cover- after a company or government some people are just allowing their age on our homeowner’s policy? agency for some sort of foul-up or health insurer to quote a policy. I’ll take those risks in a suburb in mistake. I didn’t qualify for a subsidy, but Michigan. Why can’t we select First I was told the problems more than 430,000 people in Michi- “no” to those benefits and reduce with Obamacare’s website were at- gan will, which could lower their our premiums? tributed to high volume. Soon, offi- premium costs by 30 percent or Fortunately, my Obamacare poli- cials were acknowledging comput- more. Maybe some people with cy does not cover acupuncture or Tired of missing your flight? er coding errors and a failure to high deductibles and premiums private-duty nursing. Those are fully test all four major compo- didn’t try the exchange? I can un- two benefits President Obama and nents to make sure they worked to- derstand that based on my own ex- his health advisers did not think I gether for the big first day. perience with signing up: I did it, needed, and I concur. However, if I Day after day I kept trying to fin- but it wasn’t easy. do need them, I will pay for them ish my application. Slowly, not My annual deductible through out of pocket. every day, but every two or three the exchange is only $1,650, only Why do people have policy pro- days, I would make progress and slightly higher than my $1,500 de- visions they either don’t want or get a little further into the website. ductible through Crain’s. This don’t think they will ever need? Finally, sometime during week means I must pay out of pocket Ask any insurance agent or smart three, I whizzed through the final $1,650 before my coverage begins. uncle. It is to lower premium costs three pages. “What just hap- My out-of-pocket maximum is in the aggregate by spreading the pened?” I thought. “Is it working?” $6,350, which means my policy will risks over the many. Holding my breath, I made my cover 100 percent of costs above Insurance is all about spreading medical and dental selections that that amount. The maximum out-of- risks. That has been true since day I had previously found using the pocket is intended to protect me one, long before Oct. 1, and long be- Join the CLUB “see plans and prices in your area” against medical bankruptcy if I get fore Obamacare was dreamt up by function, a feature Obamacare really sick. Republicans and implemented by a 1 (248) 860- 6378 • [email protected] webmasters added in mid-October. If that happens I will have paid a Democratic Congress and presi- Success. Done. I had completed total of $12,837.44 in medical insur- dent. Keeping you on schedule my health insurance enrollment. ance premiums, or a little more This is adapted from a Nov. 19 (I stopped before entering credit than $1,000 a month. NOTE: My em- blog post. For more blogs, see card information because I have ployer-based coverage, which is crainsdetroit.com/blogs. DBpageAD_DBpageAD.qxd 11/12/2013 12:32 PM Page 1

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Page 6 CRAIN’S DETROIT BUSINESS November 25, 2013 OPINION Could there be a Ford in DIA’s future?

s there a white knight in the Detroit Institute of Arts’ fu- ture? I For months, the specter of appraising and selling works within the DIA’s art collection to pay city creditors has stalked the venerable institution. Then Gerald Rosen, the federal judge serving as a mediator in Detroit’s bankruptcy case, proffered a tantalizing solution to a group of foundations: Could they somehow create a fund or financing mechanism to help protect the art? If foundations could leverage their resources to create a fund that generates, say, $50 million over 10 years, that’s $500 million. But who could lead the effort? We have a humble sug- gestion: the Ford Foundation. The New York City-based foundation cut its formal ties with the Ford family and Ford Motor Co. in the 1970s. For years, until eclipsed by the Bill and Melinda Gates Foundation, it was the largest foundation in the U.S. TALK ON THE WEB But its roots are in Detroit. From www.crainsdetroit.com It was created Re: Reports: Tigers trade Prince ance since ’07 and I work free- in 1936 with a gift Reader responses to stories and Fielder to Texas Rangers blogs that appeared on Crain’s lance, so I make plenty of money DETROIT INSTITUTE OF ARTS from Henry website. Comments may be but I am not eligible for company The Diego Rivera Court at the Detroit Institute of Ford’s son, Edsel. Great decision. Many thought edited for length and clarity. benefits. No one is allowed to run Arts that trading Prince would be im- After Edsel and me over until Jan. 1. possible due to his lack of perfor- time takes 20 minutes or more be- Guest Henry Ford died in the 1940s, the nonvoting stock they left to mance and huge salary. So, con- cause you are forced into a loop re- the foundation created an endowment that is now more than grats to David Dombrowski. This viewing the same questions over Re: Campus Martius will turn into $11 billion; with a typical grant-making spend of 5 percent, gives DD a chance to tweak up the and over. Tigers where needed to continue Laurel global dance party for e-music fest even $25 million a year would not dent its overall spending to take advantage of Miggy’s prime I highly doubt you can fit 100,000 plan. years. He is the star. My health care policy was can- people inside Campus Martius. William J It’s especially appropriate to tie the foundation back to De- celed because of Obamacare. The Just like you can’t fit 1 million peo- troit because Edsel was a champion of the DIA when critics new option costs more than two ple in Hart Plaza when the fire lobbied the City Council to whitewash the famous Diego Re: News flash: Reporter signs up for times as much per month, and I marshal sets capacity at around Rivera frescoes completed in 1933 as a protest against the Obamacare; what’s the fuss? liked the old plan far better. I have 40,000. never been able to log into Jon M artist’s leftist politics. Is Obamacare better? Is it better healthcare.gov, and after multiple than what was available to indi- (Another Rivera project was a mural in the new Rocke- tries, I have just given up. Re: Early adjournment would allow feller Center in New York, when the Rockefeller family reject- viduals not covered by an employ- er? Yes, it is a start. It is great for Walt Medicaid expansion to kick in sooner ed Rivera’s socialist viewpoints, banished Rivera and chiseled those who go on Medicaid, and his work from the walls of the building.) those with pre-existing conditions. Hey, I signed up, too. It’s really no Another good example of politics The Ford Foundation’s mission embraces eight global so- However, it is still unaffordable big deal. Once the site worked, I getting in the way of good governance. found it easy to use and compare $630 million would have helped our cial justice issues. Surely preserving the DIA art collection — for many. However, you have to be able to get on the website to be able stuff. I picked a bronze plan. The local road funds or economic devel- now available free of charge to all residents of the tri-county to buy. It’s been four days, still try- sky didn’t fall, and the fish still opment funding greatly. area — can find a home among those eight priorities. ing at least 20 times a day; each live in the sea. I haven’t had insur- Dumbhillbilly

KEITH CRAIN: Maybe we should think about sharing You can’t help but get excited The contribution from that the community Palace after the Pistons returned Palace remained a viable facility when you learn of the plans for each sports team would needs for enticing the to downtown Detroit. for other institutions, it just might building yet another sports arena be cut in half, and tax- owner of the Detroit Since there is a substantial make good sense for everyone. in downtown Detroit. payers would get twice Pistons to abandon his amount of public funds being used If there was some controversy Once again, there is a big com- the bang for the buck for facility in Auburn Hills to acquire the land and build the over management, they could cre- ponent of public money that will our tax revenues. and move the team back facility, it would seem foolish to ate a board, like Cobo Hall, that help build this facility, just like My inspiration for a downtown. build yet another single-purpose would represent all interests. Ford Field and Comerica Park. dual-use facility is the The Palace could still facility in the proximity of the oth- Taxpayers are anteing up nearly Much of it will be property taxes rather spectacular sta- be used for concerts, er sports arenas. $300 million for the benefit of a sin- already generated on nearby dium in Chicago that is and perhaps it could be- By offering an equity position gle owner. It makes a lot more downtown properties. home for both the come the home facility and partnership for this new facili- sense for taxpayers to have both My suggestion to the business Chicago Blackhawks for either Oakland Uni- ty, it just might be the spark that’s owners sharing the facility. community: Promote the idea that and the Chicago Bulls. versity athletics or the needed to persuade the Pistons. This is the sort of reasonable use the best use for this project would There are plenty of other examples occasional Michigan State basket- The Lions are a precedent. of our tax dollars to which our leg- be if it were shared by the Detroit around the country. ball or hockey game. There could I am sure that Brooks Patterson islature and governor surely Red Wings and the Detroit Pistons. It could well be the incentive still be plenty of activities for the would not be happy, but if the couldn’t object. 20131125-NEWS--0007-NAT-CCI-CD_-- 11/22/2013 4:11 PM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 7 Early adjournment would move up Medicaid expansion Medicaid expansion icaid expansion was not ernor. Once their work is com- after Wayne County Prosecutor Comings and goings may come a few weeks necessarily the sole rea- plete, then they could adjourn, Kym Worthy sued Wayne County earlier than expected in Capitol son for the move, but Adler said. because she felt her department Aaron Lindstrom has been ap- Michigan next year, and Briefings “that did have some was not given enough money in pointed as the state’s solicitor gen- with it, the potential for bearing.” Budget lawsuits her annual budget. eral by Attorney General Bill the state to save upward The House has to go The new law mandates that such Schuette. The solicitor general of $100 million. along with the adjourn- From time to time, county offi- lawsuits can only be heard by the represents the state before the The Michigan Senate ment date, and Ari cials unhappy with their particu- Court of Appeals; it requires the Supreme Court. He began working plans to adjourn several Adler, press secretary lar department’s budget allotment court to consider the county’s fi- for the solicitor general bureau weeks earlier than usual, for House Speaker Jase have taken the extreme step of su- nancial ability to pay, and there is last year. Lindstrom replaces John which would allow the Bolger, R-Marshall, said ing their county to extract more now a legal presumption that the Bursch, who is returning to pri- newly expanded Medic- the House is open to ad- money. amount of money appropriated to aid population to begin journing earlier than That will be much more difficult the department is sufficient. vate practice at Warner Norcross & Chris Gautz enrolling by mid-March, usual, but it is likely not now, after Gov. Rick Snyder So Worthy, or other elected offi- Judd LLP. Lindstrom’s appointment rather than early April. possible to do so on Dec. 12. signed House Bill 4704 into law last cials who head a branch of govern- is effective Dec. 7. While that’s not a lot of time, it If legislation is approved that week. ment, can still sue, but their Chris Gautz: (517) 403-4403, does add up, because Gov. Rick week, the clerks need time to The bill, sponsored by Rep. Pe- chance of success in the courts has [email protected]. Twitter: Snyder’s administration has said process the bills to send to the gov- ter Pettalia, R-Presque Isle, came likely been diminished. @chrisgautz the delay is costing the state about $7 million a day. Once the expan- sion takes effect, the federal gov- ernment begins picking up the tab for other services the state is now paying for, and the state previous- ly had budgeted for the expansion to begin Jan. 1. Amber McCann, press secretary for Senate Majority Leader Randy Richardville, R- Monroe, said May the force the Senate plans to have a ses- sion during the (of Bruce Kridler) be with you. first two weeks of December, Take the passion, integrity and optimism of Bruce Kridler. Mix in equal then adjourn for the year Dec. 12. parts independent research, fiduciary discipline and the goals-driven When the Sen- ate approved the wealth management strategies of Greenleaf Trust. And you begin to get a Richardville Medicaid expan- sion legislation this year — after sense of why we devoted five months of time and effort to hire hours of high drama and behind- Bruce Kridler as Senior Vice President and Business Development Officer – the-scenes wrangling to find eight Republican members willing to and why he, in turn, was so gratified to find a firm that shares his enduring support it — lawmakers did not give the bill immediate effect. The values. Bruce’s excitement for life; the mix of academic discipline and Senate tried, but fell two votes short of the required supermajori- unbridled creativity he encountered at Cranbrook, Denison ty. Giving it immediate effect University and George Washington University; and would have allowed the expanded the dramatic success he had in leading a wealth population to begin enrolling in Medicaid on Jan. 1. But without it, advisory team for one of the nation’s largest the law cannot be enacted until 90 days after the Legislature ad- banks, all work together for your benefit and journs sine die, the last day of ses- sion. well-being. Perhaps you’re asking, as many Sine die, Latin for “without day,” is the official last day of the are, “How can I make a meaningful impact? session. While the Legislature typ- What will my legacy be? Have I done enough ically is done with its work in mid- December, it usually waits to ad- to protect my heirs? What’s the right strategy journ until one of the last days of the year in case there is an emer- for achieving my philanthropic goals?” gency and the Legislature needs to come back to address a particular Whatever your questions, we’ll find the issue. McCann said the effect on Med- answers. Our clients say we’re a force for good. Call Bruce today, and let the force of Greenleaf Trust be with you, too. BANKRUPTCIES The following businesses filed for bankruptcy protection in U.S. Bank- ruptcy Court in Detroit Nov. 15-22. Un- der Chapter 11, a company files for re- organization. Chapter 7 involves total liquidation. Metro Home Health Care Network Inc. and Metro Home Health Care Plans Inc., 31700 Telegraph Road, Bingham Farms, voluntary Chapter 11. Metro Home Health Care Network assets: $862,380; liabilities: $2.8 million. Financial Security from Generation to Generation Metro Home Health Care Plans assets: $139,903; liabilities: $594,412. Suciu Ventures Inc., 21900 Greater Mack Ave., St. Clair Shores, voluntary Chapter 7. Assets and liabilities not 34977 woodward avenue, suite 200 birmingham, mi 48009 greenleaftrust.com 248.530.6202 877.530.0555 available. — Bridget Vis DBpageAD_DBpageAD.qxd 11/20/2013 3:57 PM Page 1

Your great work merits recognition.

Congratulations to the 2013 Best Managed Nonprofit Award Winners and Finalists. WINNERS Mercy Education Project Winning Futures

FINALISTS 826 Michigan Clinton River Watershed Council Mariners Inn Ronald McDonald House

To learn more about FirstMerit’s Charitable Advisory Services, call Ken Duetsch II, Senior Vice President, at 248-430-1255 or ken.duetsch@firstmerit.com.

Investments and Insurance Products are: firstmerit.com Not FDIC May Lose Not Bank Not A Not Insured By Any Federal Insured Value Guaranteed Deposit Or State Government Agency

2332_FM13 20131125-NEWS--0009-NAT-CCI-CD_-- 11/22/2013 10:21 AM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 9

CRAIN’S NOTEBOOK

Mark Schoeff Jr. covers legislation and regulations affecting investment advisers and brokers for Investment Best-managed nonprofits News, an affiliate publication of Crain’s Detroit Business. Mark Schoeff Jr. Some popular deductions to go out with the old New Year’s Eve this year won’t be nearly as dramatic for tax policy as last year, but dozens of deductions — including an investor favorite for charitable donations — are set to expire when the ball drops in December. As of the beginning of the year, 57 so-called tax extenders will no longer exist, including federal tax deductions for individuals for state and local taxes and tax credits for businesses for research and development. Another provision that will bite the dust is one that allows tax-free distributions from individual retirement accounts for charitable contributions. All the extenders can be applied to 2013 tax returns that are due April GLENN TRIEST “We seek multiple sources of funding to keep our programs going,” said Amy Amador, executive director of the Mercy Education Project. 15. But next year, the tax breaks won’t be available unless Congress extends them once again in a process that has been repeated regularly to maintain the provisions. The situation this time around is less urgent than it was during last year’s “fiscal cliff” deliberations. At Up to the challenges that time, the extenders hadn’t been renewed for this year and weren’t available for the tax-filing season until Congress extended them in the Mercy Education Project diversifies Winning Futures succeeds with growth fiscal cliff legislation on Jan. 1. Lawmakers renewed them retroactively for 2012 through this fundraising, improves programs strategy crafted amid the recession year. Now questions are arising again BY SHERRI WELCH BY SHERRI WELCH about their availability for next year. CRAIN’S DETROIT BUSINESS CRAIN’S DETROIT BUSINESS “Our major concern is the ou could say it was serendipity when Mercy Education Project hen other nonprofits were making cuts to their programs uncertainty of the tax code,” Jeff lost two major government grants and a third of its annual and staff during the recession, mentoring agency Winning Porter, chairman of the tax executive Y budget in 2004-05. W Futures was doing exactly the opposite. committee of the American Institute It began an aggressive push to diversify its funding beyond In the years since the recession, the Warren-based nonprofit has of Certified Public Accountants, grants, looking to individual donors and new fundraising events more than doubled its annual revenue to $1.2 million, enabling it to said during a media conference call. with corporate sponsorships. increase the number of high school students getting life The group is pressing Congress to That diversification, which helped Mercy Education exceed its RAINS skills, goal setting and strategic planning mentorship. Last renew the tax extenders to help ease annual expenses, enabled it to comfortably weather the drops in C ’ year, 1,100 students went through its programs, up from 500 tax planning for companies and BEST-MANAGED corporate and foundation giving during the economic downturn. four years earlier. individuals. At the same time, with the larger pool of unrestricted fund- NONPROFIT Its 2008 launch of a strategic growth process targeted to en- “How can a businessperson make trepreneurial companies helped position it for growth by em- ing, it was able to innovate and improve its programs based 2013 a decision to expand a business on its standardized testing results and retention rates and the phasizing a series of quarterly, annual and multiyear goals when they don’t know what the state need for new services, such as childcare and transportation and a high level of accountability for meeting them across its of the law is?” said Ed Karl, AICPA for the girls and women coming for education and life skills board and staff. vice president for taxation. WINNERS development. Among other approaches, Winning Future’s board shifted The limbo surrounding IRA charitable contributions is already See Mercy, Page 10 See Winning, Page 10 generating questions for Tim Steffen, senior vice president and director of financial planning at Robert W. Baird & Co. Inc. ABOUT THIS YEAR’S CONTEST FINALISTS “We continue to get a lot of clients This year’s Crain’s Best-Managed Nonprofit Contest focused on nonprofits with budgets 826 Michigan: After eight years of tutoring asking about that,” he said. under $3 million. There were two winners: Mercy Education Project and Winning Futures. Washtenaw County students, it plans to expand to “That has a lot of appeal. Both will be honored at Crain’s Newsmaker of the Year lunch next year and will receive a Detroit, Page 12 Taxpayers want to get whatever little $1,250 cash prize each: $1,000 apiece from Crain’s and $250 each from Gary Dembs, Clinton River Watershed Council: While it promotes the president and CEO of 4th Sector Consulting in Southfield. Dembs also served as a judge. edge they can get.” “blue economy” in Macomb and Oakland counties, it The other judges were: aims to protect the Clinton River watershed and Lake St. It isn’t clear when Congress will Paul Good, manager, community and government relations, Detroit Zoological Society. Clair, Page 12 act on the tax extenders. Stand- alone legislation hasn’t yet been Karla Hall, manager, civic affairs, DTE Energy Co., Detroit. Mariners Inn: It has increased its efficiency, added nine employees and increased its residential youth proposed. Gerald Lindman, senior lecturer and director for the Center for Nonprofit Management at Lawrence Technological University, Southfield. programs, Page 12 They might be included in bigger Ronald McDonald House Charities of Southeastern tax packages next year. Richard Martin, chief advancement officer, Lutheran Social Services of Michigan, Detroit. Donna Murray-Brown, president and CEO, Michigan Nonprofit Association. Michigan: The nonprofit hosts about 1,500 families “These things, in all likelihood, will each year at its Detroit house while critically ill children get extended,” Steffen said. The nonprofit practice group at Plante Moran PLLC in Southfield, led by partner John Bebes, of those families receive medical treatment, Page 12 did a financial analysis of the applicants. 20131125-NEWS--0010-NAT-CCI-CD_-- 11/22/2013 10:22 AM Page 1

Page 10 CRAIN’S DETROIT BUSINESS November 25, 2013 Finance: Best-Managed Nonprofits Winning: Nonprofit’s strategy for growth pays off ■ From Page 9 from advisory to active fundrais- their education after high school. been set,” said President and CEO ets, sponsorships, personal cash do- ing with annual targets for each For all of those reasons, Kristina Marshall, who was the nations and items donated for auc- board member. Winning Futures is one of Crain’s first mentee to go through the Win- tions. Crain’s Managing Editor Jen- It also merged with the strug- Best-Managed Nonprofits of 2013. ning Futures program in 1994. nette Smith is a board member. gling Rare Foundation in 2009, in- The agency operates with nine Every staff meeting, board call This year, each director has heriting and growing the Detroit full-time staff members, up from and new program ties back to the committed to raise at least $10,000. Tigers Opening Day party. And it three in 2009. Last year, it engaged goals and long-term strategy, she The board is on track to raise more retooled its sponsorships, enabling 434 volunteers from the local busi- said. than $175,000 by year’s end, Mar- it to secure new corporate funders ness community, more than double Winning Futures has used the shall said. for its events and programs. the 195 it saw three years earlier. system to help it boost revenue by The efforts have put Winning Winning Futures has used the A past volunteer, former board connecting with companies in in- Futures on a path to growth, with increased revenue to grow in a member Gino Wickman, business dustries beyond automotive and revenue increasing from $331,000 controlled way, expanding its pro- coach and founder of Livonia-based diversifying its funding even more in 2008 and $500,000 in 2009 to just grams — with help from mentors EOS Worldwide LLC, helped Winning to include the United Way, new over $1.2 million this year. from the business community — Futures adopt his Entrepreneurial events revenue and revenue from Even while growing, Winning Fu- from four schools in 2008 to seven Operating System in 2008. The contracts with area schools and tures has placed a strong focus on schools in Macomb, Oakland and strategic plan, usually employed the sale of its workbooks and train- succession planning to ensure its Wayne counties, while maintain- by for-profits, includes 10-year tar- ing materials. Schools and mentor- success doesn’t hinge on its founder, ing program quality and impact. gets along with three-year, one- ing agencies in 38 states are now the late Sam Cupp, former CEO of It began collecting and compar- year and quarterly goals to get using the workbooks. Warren-based Hamilton Chevrolet Inc., ing pre-assessment and post-assess- there. The board has also played a role who died last year; and its other two ment data from teachers, mentors “The best part of the model is in growing revenue. Its shift to a longtime leaders, Marshall and Vice and students in 2007 in consulta- that it gets you into a very innova- fundraising board took several President Laurie Tarter. tion with Saginaw Valley State Univer- tive mindset when doing our long- years and some turnover among di- All activities from specific sity. More than 95 percent of the 649 term strategic planning; and then rectors, but last year the 14 board fundraising to administering the students going through the pro- on a short-time basis, it provides members brought in more than scholarship program to mentor re- grams over the past six years re- us with a system to measure our $100,000 by raising at least $5,000 tention are laid out in individual ported in post-program surveys progress and hold everyone ac- each through individual, corporate how-to documents. that they’ve gone on to continue countable to the goals that have or foundation donations, event tick- That level of documentation has helped the small organization seamlessly continue its programs over the past few years as unex- pected staff emergencies arose tak- ing staff out of the office for months at a time. Sherri Welch: (313) 446-1694, [email protected]. Twitter: @sher- riwelch Mercy: Improves fundraising ■ From Page 9 With an increasing number of women coming for adult education and pressure from funders to scale We don’t want up, Mercy began a plan to increase “ its administrative, fundraising and any one program to programmatic capacities to serve more students in 2011. be developed on It’s used a managed growth ap- proach to take on about 5 percent a grant. more students each of the past ” three years while building its inter- Amy Amador, Mercy Education Project nal capacity and assessing its abili- ty to grow even more at a larger lo- cation or through satellite services. ing it 730 new individual donors. In 2007, Mercy Education initiat- For all of those reasons, Mercy ed its first significant fundraising Education Project is one of Crain’s event, its “Doorway to the Future” 2013 Best-Managed Nonprofits. dinner. “We seek multiple sources of And with its increased fundrais- funding to keep our programs go- ing and event planning capacity, it ing,” said Executive Director Amy took on a pre-existing golf outing Amador. from the Sisters of Mercy last De- “We don’t want any one pro- cember. The July event netted gram to be developed on a grant.” over $70,000 for the organization. Individual giving and corporate Mercy Education Project has a sponsorships for events now ac- board-designated endowment of a count for 42 percent of the nonprof- little over $100,000. It’s not only it’s budget, which is $960,000 this planning to grow that but also year, up from $940,000 last year. looking at the possibility of estab- The remainder comes from the lishing a permanent endowment, Nebraska-based Sisters of Mercy as well, Amador said. West-Midwest Community. Between 2009 and 2011, the num- The organization decided it ber coming for the women’s educa- needed to do fundraising different- tional services program increased ly, Amador said. It began cultivat- from 99 to 159. “At the same time, ing relationships with donors to our retention increased, so more increase individual giving and women were ... staying longer,” launched its first “One Thousand Amador said, pointing to more tu- Women Strong” campaign in 2005- tors, smaller classes and the insti- 06. The effort raised $100,000 that tution of a $25 registration fee. year. Students were not dropping out Mercy launched the campaign as of the program as often “because a two-year effort again in 2011, ex- they had some skin in the game,” ceeding its $300,000 goal and bring- she said. 20131125-NEWS--0010,0011-NAT-CCI-CD_-- 11/22/2013 11:52 AM Page 2

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 11 Finance: Best-Managed Nonprofits

CRAIN’S SEEKS NOMINATIONS FOR HEALTH CARE HEROES Crain’s Detroit Business is seeking nominations for Health Care Heroes, a special report on health care professionals that will run in the Feb. 17 issue. The program will honor top-notch medical innovators and patient advocates. Our winners will be chosen in five categories: Ⅲ Corporate achievement in health care: Honors a company that has created an innovative health benefits plan or solved a problem in health care administration. Ⅲ Advancements in health care: Honors a company or individual responsible for a discovery or developing a new procedure, device or service that can save lives or improve quality of life. Ⅲ Physician: Honors a physician whose performance is considered exemplary. Ⅲ Allied health: Honors an individual from nursing or allied health fields who is deemed exemplary by patients and peers. Ⅲ Trustee: Honors leadership and distinguished service on a health care board. A panel of health care judges will choose the winners. Nominations, which are due Dec. 9, can be made at crainsdetroit.com/nominate. Statewide Kristina Marshall was Winning Futures’ first nominations accepted. mentee in 1994. Today, she’s the nonprofit’s president and CEO. Questions? Contact Bill Shea at [email protected] or (313) 446-1626. GLENN TRIEST ising, programs

Mercy administers its programs with four full-time and 10 part- time employees and two employ- Finance Experience ees shared with Mercy Volunteer Corps and Jesuit Volunteer Corps. To attract and retain high- In Your Corner.® quality staff, it offers wages and benefits that are competitive for the nonprofit sector, such as pro- ■ viding health benefits to those Representing lending institutions working 32 hours or more a week in real property, acquisition and and retirement benefits and commercial fi nancing transactions matches. ■ 28 years of commercial and corporate It’s also operating with 120 vol- unteers this year, each giving 1.5- transactions experience 16 hours of their time every week. ■ Named a 2013 Leader in Banking They include former and retired and Finance by Chambers USA teachers, college students and working professionals who serve as tutors for students or as instruc- tors for small classes, assist with clerical and fund development ef- forts, help to research grants and serve as members on committees CELEBRATING for the nonprofit’s major fundrais- YEARS ing events. 125 Over the past decade, Mercy Ed- ucation Project has shifted its strategy from only recruiting pub- lic school teachers as volunteers to recruiting and training corporate employee volunteers. It works with corporations in- cluding Detroit-based DTE Energy Co., Compuware Corp. and Quicken Loans Inc. as well as Marathon Petro- leum Corp. and Comerica Bank, both First Tier Ranking of which have a local strong pres- in Corporate Law and ence, to secure volunteers for Commercial Litigation after-school tutoring. David McLeod Sherri Welch: (313) 446-1694, [email protected] ■ Metro Detroit ■ Grand Rapids ■ Kalamazoo ■ Grand Haven ■ Lansing [email protected]. Twitter: @sher- riwelch 20131125-NEWS--0012-NAT-CCI-CD_-- 11/22/2013 11:53 AM Page 1

Page 12 CRAIN’S DETROIT BUSINESS November 25, 2013 7KHURDGWRWKHFRUQHURIÀFH Finance: Best-Managed Nonprofits

gram enables offering flexible hours, the orga- Clinton River even small com- nization has been able to build its STARTS HERE. munities to of- talent and retain seven staff mem- fer the educa- bers who manage 300 volunteers Watershed Council tion to their along with the council’s pro- residents. grams. A business degree from The Clinton River Watershed Coun- Over the past With a three-year, $180,000 cil is helping to elevate the “blue six years, the grant awarded last year by the Wayne State University economy” in Macomb and Oak- council has in- Fred A. and Barbara M. Erb Family does more than land counties while creased its Foundation, the council launched provide an academic INALIST protecting and Anne Vaara, grant revenue Water Towns, a program to work F restoring the Clin- executive director to 47 percent of with Macomb and Oakland coun- foundation for success ton River, its watershed and Lake its total budget, ty communities to leverage their — it helps open doors. St. Clair. from just 3 percent, helping to waterfront locations and to pro- Our graduates join a The council has doubled its bud- counter individual membership mote paddling, biking and other get to $500,000 since 2007 by in- strong network of more declines during the recession. In- activities. creasing fundraising, member- dividual memberships have since The Clinton River Watershed than 31,000 successful ships and grant revenue, adding to begun rebounding, with close to Council regularly meets with oth- alumni across Metro fee-for-service contracts from 42 300 individual affiliates today, up er regional watershed councils to Detroit and worldwide. local governments for providing from less than 200 during the re- share information and to discuss public education on stormwater cession. best practices. Whether you’re landing management. The sliding fee pro- By building its grant levels and — Sherri Welch that fi rst job or making your way to the executive suite, there’s likely a Wayne State Terry Campbell, MBA ’90 tial treatment years, while increasing the num- alum nearby, ready Mariners Inn programs. And ber of people it serves annually Chief Operating Offi cer its outreach pro- through its residential program to to help. Detroit Eastern Market After noting the number of grams touch an- 507, from 381 in 2009. young men suffering from home- other 300 people Eighty-four percent of the men lessness and mental illness, each week. who enter residential treatment Mariners Inn last In the past two at Mariners complete it and go on INALIST year launched a years, Mariners to a positive housing situation. F residential youth has increased its Many of those former clients re- program to help prevent their re- efficiency, en- turn to inspire others going turn to homelessness later in life. David Sampson, abling 92 percent through the program, to work for School of Business Administration As with many of its programs, CEO of every dollar to Mariners or to serve on its board Mariners launched the effort with- go toward its of directors. business.wayne.edu out dedicated funding, supported mission, versus 89 cents. Yet it’s Mariners collaborates with nu- AIM HIGHER by its budget, which this year is added nine new employees in areas merous organizations serving the $2.5 million, up from $2.2 million such as art therapy, GED/ACT in- same population of people and in 2009. struction, vocational counseling serves as a fiduciary for a preven- Mariners provides substance- and psychiatry, bringing the total tion program operated by Metro abuse treatment, educational ser- to 53. East Substance Abuse Treatment vices and social programs for 150 It’s also increased its programs Corp. men each day through its residen- from six to nine over the past few — Sherri Welch

Robot Supply & Its staff has grown to seven and 826 Michigan Repair. its volunteers to 2,235 from about The organiza- 100 in 2006. That includes 500 peo- After eight years of tutoring and tion provides ple who make weekly commit- KERKSTRA encouraging Washtenaw County drop-in tutoring ments to work with students, staff students to write creatively, 826 at the store and the store or plan special events. PRECAST Michigan is making a second site in The nonprofit’s trick to engaging FINALIST moves to expand its Ypsilanti. It also volunteers? A highly flexible vol- programs to Detroit. assists teachers unteer schedule. The Ann Arbor-based nonprofit and students in 826 surveys parents of the stu- is one of several national indepen- Amanda Uhle, classrooms, of- dents with whom it works to get a dent affiliates of San Francisco- executive director fers workshops sense of the impact it’s making. In based 826 Valencia, which was co- on subjects from its 2012 survey, 100 percent of par- founded by novelist Dave Eggers. silly to serious, hosts field trips ents reported their child’s math It works with children on creative and publishes student writing to skills improved after tutoring with and expository writing skills and build students’ confidence. 826 and 75 percent said writing with teachers to help them inspire 826 Michigan served 2,701 K-12 skills improved. students to write. It also tutors stu- students last year. It’s operating The nonprofit began expanding dents in other subjects. on a budget of $425,000 this year, its programs to Detroit in 2011 and 826 uses a storefront to attract with revenue coming from grants, launched a formal pilot for 826 De- children and inquisitive passers-by. donations, events and its store troit last year. In Ann Arbor, it’s the Liberty Street sales. — Sherri Welch

and donor culti- keep the house updated. Ronald McDonald vation to grow And it’s able to stretch its small its revenue to staff of two full-time employees more than $1 and a handful of part-timers with House Charities million. Two- 200-250 volunteers who clean, gar- thirds of that is den, organize and staff fundrais- Ronald McDonald House Charities from fundrais- ers, and cook meals for guests. Multi-Level Garage System - Grand Rapids, MI of Southeastern Michigan is making ing, and the re- This summer, the charity shifted a big impact for a small nonprofit. maining third Jennifer Litomisky, to healthier meals for guests and The charity hosts executive director comes from lo- developed a healthy cookbook for FINALIST about 1,500 families cal McDonald’s use by volunteers preparing meals each year at its De- franchisees. and for guests to take home. fancy? troit house while critically ill chil- Ronald McDonald House It also retooled its marketing pro- what’s your dren of those families receive med- stretches its budget each year by gram to include social media and ical treatment at nearby hospitals. securing up to $100,000 worth of other efforts, which has helped to www.kerkstra.com It has used its own annual in-kind donations of furniture, strengthen its brand awareness. events, third-party fundraisers windows, flooring and roofing to — Sherri Welch 20131125-NEWS--0013-NAT-CCI-CD_-- 11/22/2013 10:20 AM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 13

A CONVERSATION WITH SEEDING A STARTUP Firm with roots in Wayne State impresses with its software, Page 14 Adrian Fortino, Invest Detroit innovations: University research

Adrian Fortino is a vice president of Invest Detroit and director of its Atterocor Inc. co-founder two early-stage investment funds, Raili Kerppola (right) lived the new Detroit Innovate Fund I LP with adrenal cancer for 2½ and the First Step Fund, founded in years before dying in June, 2010. Recently, the Michigan leaving co-founders Gary Economic Development Corp. Hammer and Julia Owens to announced it was making an shepherd Atterocor’s investment of $2.25 million in the adrenal cancer drug to the Detroit Innovate Fund and Detroit point that it could be Venture Partners. Fortino discussed administered to patients. the funds with Crain’s reporter Tom Henderson.

The First Step Fund was created with a $5 million grant from the New Economy Initiative for Southeast Michigan. The new fund also got $5 million from the NEI but is raising other money, too. How’s that going? We’re primarily fundraising with family offices, private individuals and family foundations. We’re projecting to have a first close of about $7 million by the end of the year. The way the MEDC grants work, they release half the money after you raise your first $4 million and the other half after you raise the next four. We’ve said publicly we want to raise $10 million, but we hope to get well past that.

How much money does the First Step Fund still have to invest? About $1.75 million, which goes quite a long way at $50,000 a pop. We have 55 portfolio companies. We’ve had two exits when companies got sold and a number of loan payoffs.

Detroit Innovate will invest much larger amounts in deals than First ROBERT CHASE Step did. What are its criteria? We are looking at enabling technologies in health care, transportation, advanced manufacturing and resource efficiency. Typically, we’ll invest between $200,000 and $300,000 in fundraising rounds of between $700,000 and $1.5 This cure is personal million. We’ll be looking to syndicate deals. We’ll still be investing in seed-stage companies. Test of adrenal cancer drug came too late for one of its creators How’s the deal flow? We are fairly deep in due diligence on two BY TOM HENDERSON market. Small-animal studies show it is effec- patient to seek treatment. By the time hor- investments. We’ll do at least one, CRAIN’S DETROIT BUSINESS tive in killing cancer cells in the adrenal monal side effects are occurring, the cancer if not two, this year. The first one is gland, as it is a remedy specific to that form is usually late stage, and the prognosis is a Wayne State technology we hope drenal cancer is rare, but lethal, often of cancer. poor. to spin out. The fund itself will leading to death within a year of a pa- Adrenal cancer, also known as adrenocor- Because adrenal cancer affects so few, found the company. We think we Atient’s diagnosis. tical carcinoma, is diagnosed in 500-600 pa- ATR-101 has been granted orphan drug sta- can create a materials-platform The co-founder of Ann Arbor-based tients in the U.S. each year, and about 1,000 tus by the U.S. Food and Drug Administration. company where we can roll out Atterocor Inc., Raili Kerppola, beat the odds by patients in the U.S. are in treatment at a giv- Under the Orphan Drug Act, companies that other technologies from Michigan living with the disease for 2½ years. But she en time. It is a cancer that forms in the outer develop drugs to treat diseases that affect State and Wayne State. didn’t live long enough to meet one of her layer, or cortex, of the adrenal gland and has fewer than 200,000 persons in the U.S. can re- major goals: to see the drug she helped dis- usually metastasized to other parts of the ceive tax incentives, the waiver of regulatory What’s the geographic focus for the cover being administered to patients in hu- body and is inoperable by the time it is diag- fees and the ability to sell them for seven new fund? Southeast Michigan, but man trials. nosed. years without competition. with an extra focus on Detroit and in Kerppola died in June at 51. The company So far, the only treatment is a derivative of At least 21 patients are scheduled to be en- relocating companies to Detroit. announced last month that it had begun giv- DDT called mitotane, which is extremely tox- rolled in phase-one trials, which are intend- ing patients its oral drug treatment. ic, poorly tolerated and largely ineffective. It ed to monitor safety. They will end next year. “We hoped we could get her enrolled in tri- was approved for treatment in 1959. If ATR-101 proves as safe in humans as it did als, but we couldn’t,” said co-founder, Presi- Adrenal cancer’s effects would be bad in small-animal studies, phase-two trials, If you know someone dent and CEO Julia Owens. enough if it were just the cancer that affects which judge efficacy and could involve as interesting in banking, Atterocor is a University of Michigan spinoff finance, technology patients, but the effects are worsened be- many as 200 patients, could start early in or biotechnology that received $16 million in venture capital cause the purpose of adrenal glands is to re- 2015. Tom Henderson funding last year to begin phase-one human lease hormones in response to stress. Adren- Because of the orphan designation, phase- should interview call trials at the Comprehensive Cancer Center at al cancer causes an abnormally high level of three trials, which normally involve efficacy (313) 446-0337 or UM and at the MD Anderson Cancer Center at hormone production, which has a wide vari- studies on a larger patient population, won’t write thenderson the University of Texas in Houston. ety of side effects, including weight gain, hy- be needed for Atterocor to take its drug to @crain.com. The company is working to bring the drug, pertension and diabetes. market. which has the working name of ATR-101, to It is usually those side effects that cause a See Atterocor, Page 14 20131125-NEWS--0014-NAT-CCI-CD_-- 11/22/2013 10:18 AM Page 1

Page 14 CRAIN’S DETROIT BUSINESS November 25, 2013 Innovations: University Research WSU spinoff Advaita raising seed fund; software aims to help gene research

BY TOM HENDERSON Romania and England in May. “Advaita demonstrated a high CRAIN’S DETROIT BUSINESS The company, which was legally level of maturity for an early-stage formed in 2005 but didn’t get offi- company,” she said. “It demonstrat- Advaita Corp., a spinoff from cially licensed by the tech transfer ed it had developed the technology Wayne State University that makes office at WSU until 2011, has one to the point where it was ready for software to help university re- patent issued and two pending. It commercialization, and it had a LENDING searchers and pharmaceutical offers a software product called well-rounded management team, companies better manage genomic Pathway-Guide, which helps re- which is not always the case with to growing businesses data, has started raising a seed searchers identify mechanisms of companies we fund at the NIH.” round of $1 million and been mak- action in disease for potential ing the rounds at medical confer- Fedorkova said that being a remains our top priority. drugs and possible side effects ences and business-plan competi- bioinformatics company was also based on genomic data and pub- tions. key, meaning it uses areas of com- lished results from gene-expres- Hitachi Business Finance The company expects to finish puter science, mathematics and Hennessey Capital is now sion experiments. raising the seed fund in the next engineering to review biological six months to build out its sales Large federal grants garnered data. and business development team by WSU Professor Sorin Draghici, Olson said the company has Offering a world of ÁH[LEOH financing and raise a venture capital round the company’s founder and CEO, about $3 million left from its of $5 million in 2015, the same year are a major source of validation grants, which will fund R&D for for Advaita’s technology. RSWLRQV for companies that want to grow. it expects to break even. That’s ac- the foreseeable future. Those include a Small Business cording to An- The company has 10 employees, Technology Transfer grant of drew Olson, Ad- including five software develop- vaita’s vice nearly $2.4 million from the Nation- al Institutes of Health, with the first ers, and plans to hire two more president for Java developers. It is based in a business devel- phase of $150,000 in 2009 and the second phase of $2.2 million in house Draghici owns in Salem 248.658.1100 www.+LWDFKL%XVLQHVV)LQDQFH.FoP opment. Township. The revenue is small, The company 2009, and an NIH Small Business about $30,000 this year, but impor- was a presenter Innovation Research grant of $2 tant in that it comes from universi- at the annual million earlier this year. ty researchers who have been giv- MichBio Expo in In October 2012, Advaita got a ing the company advice on how to Kalamazoo in grant of $125,000 from the Michi- improve the software and can offer Olson October, a semi- gan Emerging Technologies Fund. testimonials to other potential cus- finalist at the annual Accelerate Lenka Fedorkova, assistant tomers. Michigan Innovation competition manager of the SBIR and tech in Detroit earlier this month and is transfer programs for the NIH, The company’s business plan being vetted by the Detroit Innovate said Advaita’s grant requests calls for it to be sold to a bioinfor- Fund I for possible investment. stood out because of a more sophis- matics company in four to five Advaita rented a booth at the big ticated business plan and aware- years. American Society of Human Genetics ness of the market and market op- Tom Henderson: (313) 446-0337, Just three of the reasons show in Boston in October and is portunities than often accompany [email protected]. Twitter: to book our bus. planning to attend trade shows in requests from academics. @tomhenderson2

MIKE DONNA MITCH Driver Customer Service Mechanic You’ll love this Our girl Friday (... and If it ain’t broke, he’ll Atterocor: Cancer drug tests begin man in uniform. every other day, too!) check it anyway.y y ■ From Page 13 “What’s exciting is because of the first wife of legendary UM foot- of sources, including Julie,” said the small market, this is a drug we ball coach Bo Schembechler; she Jamie Topper, M.D., a general could take to market with a Series died of adrenal cancer in 1992. partner for Menlo Park, Calif.- B funding round without having to When asked how important based Frazier Healthcare. QuatRx is find a pharmaceutical buyer. We’d Kerppola was to the formation of one of his portfolio companies. only need a small sales force,” said the company, Hammer said: “She “We looked at it early and gave Owens. was absolutely pivotal. She took the company some seed money to Atterocor — “attero” is Latin for charge of her own disease. She do some preclinical studies to see weaken or destroy, and “cor” is started going to cancer meetings if it was as compelling as we short for cortex — and ATR-101 owe around the country to learn more hoped,” Topper said. their existence to Kerppola, a long- about the disease and ended up Frazier’s seed investment of time executive in the pharmaceuti- knowing more about adrenal can- $250,000 was matched by $250,000 cal industry who developed adrenal cer than anyone I’ve ever met, in- from the Michigan Pre-Seed Capi- cancer and was determined to use cluding physicians and scientists.” tal Fund, a Michigan Economic De- her background and expertise to Kerppola underwent a variety of velopment Corp. program adminis- seek a treatment, if not a cure. treatments, including mitotane, tered by Ann Arbor Spark. It led to A triathlete and marathon run- chemotherapy, radiation and Atterocor being founded in Janu- ner, Kerppola was diagnosed with surgery, while she researched the ary 2012. stage-four cancer late in 2010 and disease. Early results were compelling given less than a year to live. She Said Hammer: “One day she enough that Frazier decided to lived for 2½ years. came up and said, ‘The only way to lead the following venture capital “Raili was a force of nature. She crack this is to start a company.’ ” round of $16 million, which was was the most difficult and the most It was Kerppola’s premise that joined by Menlo-Park-based 5AM empowered patient I ever had to adrenal cancer could be treated by Venture Management LLC and Bala the pleasure to work with,” said inducing apoptosis, or cell death, Cynwyd, Pa.-based Osage University Gary Hammer, M.D., one of Attero- in the cortex of the adrenal gland Partners. A UM program called cor’s co-founders. “By difficult, I by targeting specific proteins. Michigan Investment in New NEWNEW MODELMODEL COACHESCOOACCHES t mean she made me a better doctor She had known Owens for years, Technology Startups invested t
FREE WIFI t
24/7 DISPATCH every minute of every visit in de- knew of her background in helping $500,000. t
ECO-FRIENDLY manding a better therapy.” biotech startups get off the ground, “Our focus in life sciences is to t
EXPERT BOOKING CONSULTANTS Hammer is the Millie Schem- and asked her to help raise money solve unmet needs through inno- AFFORDABLE RATES bechler Professor of Adrenal Can- to launch a company. Previously, vation, and in this case, adrenal t
cer at UM, director of the school’s Owens was business development cancer is clearly an unmet need,” endocrine oncology program and director at Ann Arbor-based said Topper. “ director of the school’s Center for QuatRx Pharmaceuticals Inc. Tom Henderson: (313) 446-0337, [email protected]. Twitter: 800-292-3831 indiantrails.com Organogenesis. He is the company’s “We’d heard about this opportu- chief science adviser. Millie was nity independently from a couple @tomhenderson2 DBpageAD_DBpageAD.qxd 11/19/2013 2:56 PM Page 1

Discovery driven

Whether it’s helping a life sciences startup dream become a reality, applying the latest electronic printing technology to consumer products or using geoscience resources to map the extent and quality of a $65 billion Michigan mineral deposit, Western Michigan University scientists are creating higher ed/ private sector partnerships that spell success.

• The WMU Business Technology and Research Park is home to 39 firms including Newell Rubbermaid’s global design and innovation center, responsible for consumer brands like Calphalon, Graco and Sharpie.

• The WMU Biosciences Research and Commercialization Center has invested in 31 new life sciences companies, creating 225 skilled technical jobs in Michigan and generating more than $156 million in new capital funds.

• New multilayered digital maps developed by WMU’s W. E. Upjohn Center for the Study of Geographical Change have been judged 2013’s best new digital map products in North and South America by the International Map Industry Association. www.wmich.edu/research 20131125-NEWS--0016-NAT-CCI-CD_-- 11/22/2013 10:24 AM Page 1

Page 16 CRAIN’S DETROIT BUSINESS November 25, 2013 Innovations: University Research THINKSuccess WSU grad starts company with credit Think Madonnana

MADONNA KEYS TO YOUR SUCCESS: card, expects 2014 revenue of $500K ▪ 100+ undergrad and 35+ graduate programs ▪ Expert professors BY TOM HENDERSON and he’s relentless,” said Bill May- weather tower in the Leelanau, ▪ Personal attention in small classes CRAIN’S DETROIT BUSINESS er, director of entrepreneurial ser- which is hardly enough for the ▪ Co-ops and internships vices at Ann Arbor Spark, who grape growers, whose slopes con- ▪ Convenient class times Ann Arbor-based AMF-Nano Corp. helped Katragadda get an invest- tain microclimates that can have ▪ Hybrid and online classes is the tech equivalent of “It takes a ment of $50,000 from the Michigan different conditions just yards Whether you’re preparing for a career, trying to village to raise a child.” Pre-Seed Capital Microloan Fund. apart, conditions at some times of move up in your career, or changing your career, For founder and President That’s a matching-fund program. the year that can be crucial. Think Madonna! Rakesh Katragadda, his company G. Krishna Kumar, a Troy-based Grapes lower on a hill might be is the metaphor- gastroenterologist, was the first in- in air warm enough where frost is- ical child, born vestor in AMF-Nano and is its CEO. n’t a concern. A bit up the hill, in 2009. The vil- He said he met Katragadda several frost could be imminent without lage is what has years ago and was intrigued by the growers taking action, she said. VISIT CAMPUS SOON! APPLY ONLINE FREE! grown into a potential for wireless sensors to be Rothwell said AMF’s nanos could Undergrad: madonna.edu/admissions ▪ 734-432-53399 statewide entre- implanted in the human body to provide the kind of real-time data [email protected] preneurial sup- give real-time feedback on such that keeps crops healthy, and she is Graduate School: madonna.edu/grad ▪ 734-432-5667 port system that things as aortic grafts. pursuing a state grant that will veri- [email protected] has helped him They decided the quickest and fy how well the sensors work and Your success is our aim, at the M with the flame!ame! reach about cheapest path to market was to tar- their potential value to growers. $100,000 in rev- Katragadda get agricultural and industrial ap- The potential applications of the enue this year plications — which, unlike medical technology include frost protection, and a projection of $500,000 to devices, don’t require approval by disease control and pest mitigation. $1 million next year and up to $12 the U.S. Food and Drug Administration Lutes said Katragadda is to deliv- million in three or four years. and costly trials. er a proposal to Suttons Bay-based Katragadda’s company, which “There are so many opportuni- Black Star Farms in December to has three patents, makes wireless ties for the technology. It’s my job to become a supplier of sensors. environmental sensors about the focus (Katragadda) and set a road “Water monitoring, for exam- Shareholder problems? size of a penny that monitor water Changing the Odds in Our Clients’ Favor map in front of him,” said Arcadio ple, is important, especially in and air quality, temperature, hu- Ramirez, a Michigan Small Business sandy soils that are prone to midity, soil quality and other condi- Technology Development Center con- drought stress. This is technology Brian E. Etzel Jayson E. Blake Marc L. Newman Kevin O’Shea tions. It employs five and has had sultant who helps early-stage entre- that can serve a multitude of pur- entrepreneurial support from insti- preneurs refine business plans and poses,” Lutes said. tutions and people ranging from hone market opportunities. Lutes said AMF can help not Troy to Traverse City to Iowa. Ramirez negotiated with GM and just with existing vineyard stock, Katragadda, 32, who got his mas- introduced Katragadda to Chris but with a cloning project Black ter’s degree in engineering from Wendel, a consultant with Mar- Star Farms is involved in to intro- Wayne State University in 2007, quette-based Northern Initiatives, a duce particularly valued vines to worked on a retinal eye implant nonprofit community development his and his supplier’s slopes. project for the Kresge Eye Institute, corporation that provides entrepre- He is working on the cloning then as a consultant for Kalamazoo- neurs with access to capital, con- project with David Milarch, of the based Stryker Corp., before using sulting help and markets. Copemish-based Archangel Ancient $30,000 in credit card debt to found Wendel, in turn, introduced Ka- Tree Archive, who recently got head- AMF-Nano. tragadda to Nikki Rothwell, who lines nationwide for successfully He now rents a small office and has a split appointment to the cloning a dying redwood planted lab space at the University of Michi- Michigan Agricultural Research Sta- by fabled conservationist John E. Powell Milller Richard “Tony” Braun gan’s Lurie Nanofabrication Facili- tion and the Michigan State Universi- Muir in the 1880s on his ranch in Shareholder and partnership disputes Corporate governance litigation ty, where he designs and builds sili- ty Extension, both in the Leelanau Martinez, Calif. Minority oppression litigation Corporate control contests con-based sensor prototypes for Peninsula northeast of Traverse Said Lutes: “I am certain these uses including medical devices, Breach of fiduciary duty Securities fraud and derivative claims City, which is home of many vine- sensors can play a role in doing manufacturing and agriculture. yards. He also arranged a meeting soil analysis and weather monitor- Michael Drake, director of corpo- between Katragadda and Lee ing prior to planting to make sure 248-841-2200 rate relations for UM’s College of Lutes, head wine maker and gener- we match certain clones to the millerlawpc.com Engineering, said the purpose of al manager of Black Star Farms, one right sites.” having for-profit companies like of the peninsula’s largest and most Tom Henderson: (313) 446-0337, AMF-Nano use university facilities successful commercial operations. [email protected]. Twitter: is that in addition to leveraging UM Rothwell said MSU operates one @tomhenderson2 facilities for societal good, having private-sector users sharing space with students allows those students to learn lessons in product develop- ment and real-world demands. Katragadda has formed a crucial relationship with General Motors Components Holdings LLC, a division The market is of GM that is helping prototype a PLATINUM STANDARD sensor to monitor tire pressure in changing. FRACTIONALCTIONAL AND MANAGEDMANAGED BBUSINESSUSINESS AAVIATIONVIATION PPROGRAMS.ROGR cars at its large industrial sensor Are you ready? SERVING ALL SOUTHEASTERN MICHIGAN. fabrication facility in Kokomo, Ind. GM will also build AMF’s sen- sors as he ramps up production for ŶŐĂŐĞƚǁĞůů͛ƐƌĞƐŝĚĞŶƟĂů members of the Iowa Family Farms, ĚĞǀĞůŽƉŵĞŶƚƚĞĂŵĂŶĚ an association of hog farmers. Sen- ŐĂŝŶŐƌŽƵŶĚŝŶ^ŽƵƚŚĞĂƐƚ sor sales to pig farmers account for DŝĐŚŝŐĂŶ͘tĞŚĞůƉ most of his current revenue. The ĚĞǀĞůŽƉĞƌƐĂŶĚďƵŝůĚĞƌƐ farmers use the sensors to monitor ŐĞƚĂŚĞĂĚŽĨƚŚĞĐƵƌǀĞŝŶ the environment in barns. ƉůĂŶŶŝŶŐ͕ĚĞƐŝŐŶ͕ƉĞƌŵŝƫŶŐ GM Components Holdings has ĂŶĚĚĞǀĞůŽƉŵĞŶƚĂĐƟǀŝƟĞƐ been trying to bring the Kokomo ƚŚƌŽƵŐŚŽƵƌůŽĐĂůŬŶŽǁůĞĚŐĞ plant to full capacity since 2011 by ĂŶĚĞdžƚĞŶƐŝǀĞĞdžƉĞƌŝĞŶĐĞ͘ forming partnerships and joint ven- ›Ä¦®Ä››Ù®Ä¦Ö½ƒÄĮĦÝçÙò›ù®Ä¦›Äò®ÙÊÄÛÄヽ‘ÊÄÝãÙç‘ã®ÊÄÃă¦›Ã›Äã tures. Brian King, the plant’s busi- ness development manager, said he couldn’t discuss specifics but could confirm a partnership involving sensor design and manufacturing. 248.447.2000 CORPORATEEAGLE.COM www.atwell-group.com “Rakesh has a great technology 20131125-NEWS--0017-NAT-CCI-CD_-- 11/22/2013 10:25 AM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 17 Innovations: University Research UM spinoff leaves incubator, aims to shine a light on growth

BY TOM HENDERSON CRAIN’S DETROIT BUSINESS

Arborlight LLC, a University of Michigan spinoff, has successfully completed raising a seed round of $500,000 and last month moved out of the school’s incubator at the North Campus Research Complex to its own space on the south side of Ann Arbor. According to CEO Mike Forbis, the company raised half the mon- ey from angel investors and half from the Michigan Pre-Seed Capi- tal Fund administered by Ann Arbor Spark. It will be used to continue product development and build a small sales team for its products: LED-based lighting that mimics TOM HENDERSON daylight for spaces that don’t have Mike Forbis, CEO of Arborlight LLC, plans to hire a sales staff and other access to the outside. employees, with a goal of raising $1 million in capital next year. In June, Arborlight won $10,000 A big benefit to Arborlight to The company currently employs at a statewide business plan compe- have Menlo as a demonstration six. tition in Lansing put on by the Ann site is that Menlo has received sig- Forbis said he expects at least $1 Arbor-based Great Lakes Entrepre- nificant publicity over the years million in revenue next year. neur’s Quest. The company tied with for its wide-open, flexible space “We’ll sell a few hundred units another UM spinoff, Inmatech Inc., and collaborative work culture, for first place for the alternative en- at least. Our projections are to get and it hosts regular tours for other to $20 million in sales in five to ergy innovation award sponsored companies hoping to borrow ideas. by Detroit’s NextEnergy. seven years,” said Forbis, who “We had 241 tours with 2,200 peo- said he is in the process of choos- Inmatech is developing a proto- ple from around the world last year, ing a local company to which he type device that promises to allow and we’ll do 300 tours this year. can outsource manufacturing. the makers of electric vehicles to Now, they won’t just be looking at Tom Henderson: (313) 446-0337, replace expensive and volatile our space, they’ll be looking at Ar- lithium-ion batteries with tradi- [email protected]. Twitter: borlight’s skylights, too,” he said. @tomhenderson2 tional, and much cheaper, lead- After earning his undergrad de- acid batteries. gree in engineering from UM and Arborlight is installing demon- advanced degrees from the Georgia stration units, which look like sky- Institute of Technology and Boston lights in the ceiling, at a software University, Forbis spent four years company in Chicago and at Menlo working on satellite systems for Innovations LLC, a fast-growing soft- Lockheed Martin, then made a ma- ware development company that jor career switch to doing due dili- moved into space in what was once gence on acquisitions for Boston- WE CAN HELP the former headquarters for Bor- based Leggat McCall Properties LLC. ders Group on East Liberty Street. “I wanted to do something entre- Menlo occupies 16,900 square preneurial, not just work for a feet in the basement of the former large company,” he said. YOUR BUSINESS SAVE Tally Hall building, now called Forbis moved back to Michigan The Offices at Liberty Square. in 2009 and began working for UM’s “I’ve seen earlier demos, and I’m Institute for Research on Labor, Em- ENERGY AND MONEY. very excited about this,” said Menlo ployment and the Economy and did CEO Rich Sheridan. “It doesn’t just turnaround consulting for compa- look like a fixture stuck in the ceil- nies around the state before joining Start saving today! ing, it looks like it’s real light. The the school’s tech transfer office to impression you get is that it’s sun- identify licensing possibilities for light coming in. We’ve got a great university-based technology. Call 866.796.0512 (press option 3) or online space, but because it’s in the base- In the summer of 2011, Forbis ment of a parking structure, there’s was introduced to Arborlight’s dteenergy.com/savenow to find out how your no natural light. It’s a fun space, it’s founders: Max Shtein, an associate business can be more energy-efficient. not dark and dingy, but this will add professor of materials science and to the feel. I’m very excited about engineering, and Pei-Cheng Ku, an it.” associate professor of electrical en- Not only does the light look real, gineering and computer science. but it’s programmed to mimic Forbis liked the company and changing light as the day goes on, the founders so much that he im- getting brighter toward noon, then mediately left the tech transfer of- slowly getting duller as the day fice to become CEO. That fall, the continues. company, which has two patents Forbis said the company wants pending, moved into the tech trans- to target large commercial entities fer office’s business incubator. like hospitals, schools, retail busi- Forbis said he will soon be back nesses and office complexes that raising more capital to fund what typically lack natural light. He he expects to be explosive growth. says the company plans to begin He said he plans to raise $1 million sales and generating revenue in next year from a combination of an- the first quarter next year. gel and venture capital investors. There’s more than just ambi- “In the first quarter, we’ll hire a ence at stake. Because Arborlight small sales staff. We’re hunting is LED-based, the lights last longer around for a business develop- than other lighting sources and ment manager, and we’ll add a burn less energy. manufacturing expert,” he said. 20131125-NEWS--0018-NAT-CCI-CD_-- 11/22/2013 10:27 AM Page 1

Page 18 CRAIN’S DETROIT BUSINESS November 25, 2013

CALENDAR

Your Bank’s UPCOMING EVENTS early and grew to become a leader in MARKETING REAL ESTATE its field. Somerset Inn, Troy. Free. Closing the Manufacturing Skills Gap Contact: Spencer Silk, (248) 642-3287; 2.0: Models of Manufacturing Collabo- TO GLOBAL CUSTOMERS email: [email protected]; web- Not Lending? ration, 1-3 p.m. Dec. 4. Automation Al- site: www.bizimpteam.com. ley. Learn about successful manufac- The Troy-based Detroit Chinese turing models used in other Michigan Business Association will focus on regions, such as the Kalamazoo-based showing business leaders what Member Orientation. 8-10 a.m. Dec. 11. Advanced Manufacturing Career Con- can be done to better market the Automation Alley. Orientation pro- region’s real estate to global sortium. Geared toward K-12 and post- vides a comprehensive overview of customers, at an event 7:30-10:30 secondary educators, workforce de- benefits and services, allowing mem- a.m. Dec. 6 at DTE Energy Co. bers to choose which opportunities velopment staff, economic developers headquarters, Detroit. and manufacturing company repre- are right for them and take the first sentatives. Automation Alley, Troy. Speakers include Ron May, steps toward getting involved. Cur- Free; RSVP. Contact: (800) 427-5100; executive vice president of major rent and potential members are wel- email: [email protected]; enterprise projects, DTE Energy; come. Automation Alley, Troy. Free. website: www.automationalley.com. Andy Gutman, president of Contact: (800) 427-5100; email: Farbman Group; and others. [email protected]; website: Admission is free; registration via www.automationalley.com. Business Research: Feasibility to Ex- email is required by Dec. 4. For pansion. 5:30-8:30 p.m. Dec. 4. Advan- more information, call Cathy Cui at A Retrospective and Thoughts for the tage Oakland. For owners of startup (248) 882-5672, email her at and existing small businesses looking Future. 11:15 a.m.-1:30 p.m. Dec. 11. [email protected], or visit Detroit Economic Club. With Dave to research a business idea or find re- www.dcba.com. search for a business plan. Oakland Bing, Detroit mayor. Westin Book County Business Center, Waterford Cadillac, Detroit. $45 DEC members, Township. Free. Contact: Karen Detroit Regional $55 guests of members, $75 nonmem- Lear, (248) 858-0783; email: small Chamber, Talmer bers. 11:15-11:45 a.m. speakers’ recep- ours are. [email protected]; website: Bank & Trust. tion open only to board, life and gold Call for a free consultation. www.AdvantageOakland.com/startab With Tim Bryan, members. Contact: (313) 963-8547; Loan amounts: $1,000,000.00 and above. usiness. chairman and email: [email protected]; website: CEO, GalaxE.Solu- www.econclub.org. tions. The man be- s Investment Real Estate s Equipment Made in America: The Changing Face hind the “Out- s Owner Occupied Real Estate s Turnaround Consulting of U.S. Manufacturing. 11:30 a.m.-1:30 Health Care Reform and Small Busi- source to Detroit” ness. 9 a.m.-noon. Dec. 12. Advantage s Lines of Credit s Loan Modifications p.m. Dec. 5. With Pete Selleck, chair- campaign will man and president, Michelin North Oakland. Learn about health care re- s Accounts Receivable s Bank Workouts share his thoughts form legislation and how it will affect America, on the changes U.S. manu- on GalaxE.Solu- Bryan business owners. Workshop topics facturing has undergone in the past 30 tion’s growth and years and its resurgence as a key to will include tax penalties, small-busi- its strategy on bringing more jobs to ness credits, small-business wellness the country’s economic future. Cobo the Detroit region. Westin Book Cadil- program grants and full-time employ- Center, Detroit. $45 DEC members, $55 lac, Detroit. $20 chamber members, $50 ee status compliance. Oakland County guests of members, $75 nonmembers. nonmembers. Contact: Marianne Al- Business Center, Waterford Town- 11:30 a.m.-noon speakers’ reception abastro, (313) 596-0479; email: mal- ship. Free. Contact: Karen Lear, (248) open only to board, life and gold [email protected]; website: 858-0783; email: smallbusiness@oak 800.509.3552 members. Contact: (313) 963-8547; www.detroitchamber.com. www.eclipsecapitalgroup.com email: [email protected]; website: gov.com; website: www.Advanta geOakland.com/startabusiness. 2207 Orchard Lake Road, Sylvan Lake, MI 48320 www.econclub.org. Renewing the Opportunity for Prosper- “Since 1997” ity: Economic Freedom Zones. 11:30 Inside the CEO Mind. 8-10 a.m. Dec. 6. a.m.-1:30 p.m. Dec. 6. Detroit Econom- Annual Meeting and Holiday Recep- ic Club. With Sen. Rand Paul, R-Ky., tion. 6-9 p.m. Dec. 17. Detroit Regional who will unveil his legislative propos- Chamber. An update on the chamber’s al to remove Detroit and other areas work over the past 12 months and in- from poverty and government over- sight on its 2014 priorities. Bert’s sight. MotorCity Casino Hotel, De- Warehouse Theatre, Detroit. $20 troit. $45 DEC members, $55 guests of chamber members, $595 nonmembers. members, $75 nonmembers. 11:30 a.m.- Contact: Lauren Sanders, (313) 596- 0384; email: lsanders@detroitcham Lawrence Technological University is leading noon speakers’ reception open only to board, life and gold members. Contact: ber.com; website: www.detroitcham the way to a safer, healthier world. (313) 963-8547; email: info@econ ber.com. club.org; website: www.econclub.org. From improving the longevity of 12th Annual Auto Show Breakfast. bridges and advancing ligament tissue Operational Strategies for Profitable 7:30-9:30 a.m. Jan. 17. Inforum. With Growth. 7:30-9:30 a.m. Dec. 10. Busi- Mark Fields, COO, Ford Motor Co. engineering to developing smart ness Performance Improvement Cobo Center, Detroit. $40 Inforum Team. With Mark Symonds, former member, $55 nonmember guests, $700 phone-integrated glucose monitors CEO, Plex Systems, a software compa- table for 10. Contact: (877) 633-3500; ny that embraced cloud computing website: www.inforummichigan.org. for diabetes patients, Lawrence Tech’s faculty and students are conducting leading-edge applied research to SMALL OFFICE • HOME OFFICE create a brighter future. Outstanding Selection For Small Explore over 25 master’s and doctoral programs in architecture, business Professional Office or Home Office administration, computer science, information systems, engineering, and  Free Design Assistance interior design, as well as 20 accelerated  Customization - Sizes & Finishes certificate programs in growing fields  Professional Installation including bioinformatics, sustainability,  defense, energy, and urban design. 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Page 20 CRAIN’S DETROIT BUSINESS November 25, 2013

PEOPLE BUSINESS DIARY ARCHITECTURE CONTRACTS Nichole McNama- IN THE SPOTLIGHT NovoDynamics Inc., Ann Arbor, a de- ra to studio direc- DTE Energy Co., Detroit, has veloper of advanced pattern recogni- tor, from project announced changes to the tion and analytics technologies, an- architect, Krae- company’s executive leadership. nounced that Forefront Technologies, mer Design Group Dubai, a distributor of document PLC, Detroit. Steve Kurmas imaging hardware and storage sys- was named tems and solutions in the Middle East HOSPITALITY president and and Africa, and its resellers, will dis- Eduardo Ro- COO of DTE tribute NovoDynamics NovoVerus drigues to direc- Energy, optical character recognition software tor of rooms, succeeding to help government, academic and Norcia Stiers Meador Oleksiak Westin Book Gerry Anderson, commercial customers streamline McNamara Cadillac, Detroit, 55, who DTE Gas. Norcia has a bachelor’s from his current position of documents capture and processing. from director of front office, Sheraton remains degree in chemical engineering executive vice president and CFO. Websites: www.novodynamics.com, Fort Lauderdale Beach Hotel, Fort chairman and from the University of Windsor, Meador earned a bachelor’s in www.forefrontec.com. Lauderdale, Fla. Also, Jennifer Gratz to CEO. Kurmas, Ontario. accounting and an MBA from Wayne State University. Ascension Health Ministries of Michi- group sales manager, from sales man- Kurmas 57, had been Mark Stiers, 51, was named gan, Warren, named Embark Digital ager, Atheneum Suite Hotel, Detroit. president and president and COO of DTE Gas from Peter Oleksiak, 47, was named LLC, Farmington Hills, a Duffey Pet- DTE Energy senior vice president COO of DTE Electric. He has his current position of vice president rosky Co. company, as its agency of INSURANCE bachelor’s and master’s degrees in and CFO from his current position record for the health care system’s of Gas Sales & Supply. Stiers earned of vice president of finance. chemical engineering from Wayne an MBA and an honors Bachelor of digital communications activities at State University. Oleksiak earned a bachelor’s all of its health ministries throughout Commerce degree from the degree in finance and business Jerry Norcia, 50, was named University of Windsor. Michigan, including St. John Provi- economics from Wayne State dence Health System, Warren. Web- president and COO of DTE Electric Dave Meador, 56, was named DTE University and an MBA from the site: www.embarkdigital.com. and Gas & Storage Pipelines. He Energy vice chairman and chief Wharton School of Business, had been president and COO of administrative officer, a new role, University of Pennsylvania. OpTech LLC, Troy, an information technology and engineering work- American subsidiary of Takata Corp. MARKETING tive, Chaldean force solutions provider, was awarded an indefinite delivery/indefinite Rosemary Community quantity prime contract by the De- LAW Tokatlian to se- Foundation, partment of Homeland Security. Web- Kristin Murphy to nior communica- Southfield, from Lerche Manuelidis site: www.optechus.com. partner, Brooks tions supervisor, sales specialist, Renee Lerche to corporate senior Kushman PC, Mort Crim Com- Loc Performance Products Inc., Ply- vice president, human resources, Blue Care Net- Southfield, from munications Inc., mouth, was awarded a phase-two H.W. Kaufman Financial Group, work, South- managing part- Southfield, from small business innovation research Farmington Hills, from corporate field. ner, Rader, Fish- business devel- contract from the U.S. Army Tank Au- vice president. man & Grauer opment manag- tomotive Research, Development and Emmanuel Manuelidis to corporate PLLC, Bloom- er, Honigman Engineering Center to continue mod- associate vice president, Atain Insur- field Hills. Miller Schwartz TRANSPORTATION ernization of the mobility system for ance Cos., Farmington Hills, from Abbo Matthew Mow- and Cohn LLP, Stephen Dean to the Bradley Fighting Vehicle. Website: claims and litigation director. Tokatlian ers to partner, Detroit. vice president of sales, Con-way www.locperformance.com. Gerardo Espinoza to vice president, Warner Norcross Freight Inc., Ann Arbor, from senior The National Automotive History Col- internal audit, Amerisure Mutual In- & Judd LLP, NONPROFITS vice president of sales, marketing lection, housed at the Detroit Public surance Co., Farmington Hills, from Murphy Southfield, from Ban Abbo to program manager, and solutions management, Ryder Library’s Rose and Robert Skillman director of internal audit, TK Hold- shareholder, Brooks Kushman PC, Branch, Detroit, selected AutoCom ings Inc., Auburn Hills, the North refugee mental health services initia- System Inc., Novi. Southfield. Associates, Bloomfield Hills, as its public relations agency of record. Websites: www.detroitpubliclibrary. org/branch/national-automotive-hist ory-collection, www.usautocom.com. EXPANSIONS Strategic Staffing Solutions Inc., De- troit, opened an office in Edinburgh, Scotland, its fifth European branch. Gibbs S3, a technology staffing and services company, will manage the Uncommon Scotland branch, along with Strategic Creative, Conservative Thinking. Staffing Solutions offices in London Remarkable Solutions. and Cheshire, England. Website: www.strategicstaff.com. Altair Engineering Inc., Troy, is open- Personal life insurance consulting ing two new offices: Altair Hellenic in Thessaloniki, Greece, and Altair Is- in a non-salesy environment. rael in Tel Aviv, Israel, to provide cus- tomers in Greece, Germany, Israel, Italy and Turkey with computer-aided Reducing estate and income taxes engineering support for extrusion, stamping, forging, resin transfer molding and crash simulations. Web- Enhancing fixed income yields site: www.altair.com. MOVES Solving family and retirement issues Dynasty Media Network, a marketing and digital media company, from 818 Trombley Road, Grosse Pointe Park, Optimizing existing life insurance policies to 925 W. Nine Mile Road, Ferndale. Telephone: (248) 629-9254. Website: www.dynastymedianetwork.com. Business succession planning NEW SERVICES and corporate benefits Gardner-White Furniture Co., Auburn Hills, announced that same-day deliv- ery, seven days a week, now is avail- able at all Gardner-White stores. Web- site: www.gardner-white.com. DMC Sinai-Grace Hospital, Detroit, is offering Blue Light Cystoscopy with Cysview, a diagnostic imaging system to detect bladder cancer. Website: www.dmc.org. Ally Financial Inc., Detroit, launched the Ally Auto Mobile Pay app, allowing customers to check payment status and schedule or cancel a pending pay- BIRMINGHAM, MI | NEW YORK, NY ment. Registered users can download the app at Apple’s App Store or Google 248.731.9500 | WWW.SCHECHTERWEALTH.COM Play store. Customers still can pay us- ing their mobile devices through www.allyauto.com. 20131125-NEWS--0021-NAT-CCI-CD_-- 11/22/2013 5:13 PM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 21 Detroit Renewable to build steam pipe to GM plant Most area entrepreneurs plan BY CHAD HALCOM Rick Pucak, president of DRE sub- renewable energy, Rob Threlkeld, said to hire full-timers, report says CRAIN’S DETROIT BUSINESS sidiaries Detroit Thermal LLC and Ham- in a statement. tramck Energy Services LLC, said the “It made sense to explore this option Detroit Renewable Energy LLC, the contract with GM follows a discussion with DRE at Detroit-Hamtramck, giv- BY AMY HAIMERL holding company for the waste-to-en- of nearly two years, and the energy en their quality work in helping us CRAIN’S DETROIT BUSINESS ergy plant on Russell Street and the line could be in place by next May. manage our energy use at some of our Hiring is a top priority for metro Detroit businesses. steam energy loop it services within Detroit Renewable Power LLC, the sub- other GM plants.” the city, plans to build a nearly 1.6- Seventy percent of entrepreneurs plan to hire more full- sidiary of Detroit Renewable Energy Detroit Renewable Power has capaci- time workers in the next six months, according to a report mile new steam pipe to service the GM that owns the waste-to-energy plant ty to process more than 1 million tons of Detroit-Hamtramck Assembly plant by Entrepreneurs’ Organization. Nearly that many — 65 per- also known as the Detroit incinerator, municipal solid waste into electric pow- cent — will be adding part-time employees. by mid-2014. will supply 15.8 megawatts of energy, er and steam while also recycling near- The 8,300-foot pipe will supply The Alexandria, Va.-based group surveyed its global net- or about 12 percent of the 125 ly 40,000 tons of metal per year. work of 9,500 second-stage companies with at least $1 mil- steam for heating and cooling as well megawatts that GM plans to add into O’Sullivan said the steam energy di- as compressors used in assembly and lion in annual revenue for the poll. In the Detroit area, 141 its energy portfolio by 2020. version to GM will likely reduce its firms responded, with an average of $3.2 million in rev- paint drying at the GM plant. When Construction should begin in a few electrical output to DTE Energy Co. sub- enue. operational, it will replace coal-fired weeks, said Detroit Renewable Power sidiary Detroit Edison Co. by 8 The Detroit firms also expressed confidence in the econo- boilers that generate power at the President John O’Sullivan. megawatts, or about 1 percent of its to- my, with nearly 80 percent of respondents indicating they plant now and allow GM to derive 58 “We have 107 landfill-free facilities tal supply to DTE. feel positive about starting a new venture in the next six percent of its energy there from re- Chad Halcom: (313) 446-6796, across the globe that recycle or reuse months. [email protected]. Twitter: newable sources, the two companies their waste, with some of it turned By comparison, globally, 63 percent of entrepreneurs sur- @chadhalcom announced last week. into energy,” GM’s global manager of veyed said they would be hiring more full-time workers, and 84 percent said they felt hopeful about starting new ventures. “It’s clear that our economy is being driven by entrepre- neurship,” said Mark Winter, president of the local EO Orchards Children’s Services grows into new Southfield space chapter. “Companies here — and I can see this first-hand from the members of EO Detroit — not only weathered BY KIRK PINHO port; in 2009, it was $12.3 million. ciates. Secontine and agent/broker through one of the most difficult economic times in the his- CRAIN’S DETROIT BUSINESS According to Cole, in October 2008, Grant Bruce represented Centrum. tory of our country, but we built through that time frame. the nonprofit had 169 employees. As of In April 2012, the building was just More than half of our members grew during that time.” With nearly 70 percent more full- last month, it had 285. The majority of 40 percent leased, Secontine said. The only U.S. cities showing stronger anticipated hiring and part-time employees than it had those are full time, Cole said. “It’s been under renovation, and a than Detroit were Atlanta; Birmingham, Ala.; Dallas; five years ago, Orchards Children’s Ser- She said in an email that the growth lot of work has been done,” he said. Nashville, Tenn.; and Seattle, according to the report. vices needed more office space. is a result of receiving a number of Other major tenants include the law “I wouldn’t be surprised if we grow at a pace that’s high- The Southfield-based nonprofit, large contracts. firms of Michael Morse PC and Gold, er than the rest of the country,” Winter said. “There’s which provides adoption and foster The Michigan Department of Human Lang & Majoros PC, according to Wash- something about being lean, about being hungry, about be- care services, last week moved into Services refers children who are ne- ington, D.C.-based real estate informa- ing in a Rust Belt part of the country. We just work harder.” 43,000 square feet of space in the Cen- glected, abused or abandoned to Or- tion service CoStar Group Inc. The land- The local chapter of Entrepreneurs’ Organization has trum Officenter at Northwestern chards for foster care placement and lord is Centrum Officenter LLC, linked to also been growing, having recently focused on succession Highway and Evergreen Road. adoption services. The department D&D Holdings of Southfield. planning. Kristina Marshall, CEO of Winning Futures, was Founded in 1962, Orchards had also has contracts with the nonprofit A.J. Weiner, executive vice presi- named president-elect — and even her successor has been 22,000 square feet on Southfield Road for family preservation services. dent of the Detroit office of Jones Lang named, though not announced. between 12 Mile and 13 Mile, said Ka- The 207,000-square-foot Class B Cen- Lasalle, represented Orchards. “We’ve grown up from a leadership and visionary role,” tora Cole, chief development officer. trum Building is more than 90 percent Kirk Pinho: (313) 446-0412, Winter said. Orchards’ 2012 revenue was $16.4 leased, said Christopher Secontine, [email protected]. Twitter: Amy Haimerl: (313) 446-0416, [email protected]. Twit- million, according to its annual re- agent/broker with Signature Asso- @kirkpinhoCDB ter: @haimerlad REAL ESTATE MARKET PLACE COMMERCIAL PROPERTIES INDUSTRIAL PROPERTY COMMERCIAL PROPERTIES AVAILABLE NOW BUSINESS & BLDG. FOR RENT IN WAYNE INVESTMENTS Taylor/Romulus Area Near Detroit Metro Airport 7500 Sq. Feet, 20 Foot High 4,000 to 80,000 sq. ft. Ceiling,Front And Back Over Head BUSINESS OPPORTUNITIES Ideal for logistics, mfg., service co., distribution, Doors, 40 Car Lot with Fence Parking. office warehouse etc. Call for Availability PROPERTY & BUSINESS Yvon Rea 734-946-8730 or Call: 734-658-6880 visit our website www.reaconstruction.net OPPORTUNITY: • Est. 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Page 22 CRAIN’S DETROIT BUSINESS November 25, 2013 Mt. Clemens: Technology companies like leases, amenities ■ From Page 3 broaden its commercial customer ally in control of much other than Main Street within 60 days, and space before the Mt. Clemens that’s a cool crowd, but this is an base. execution. This is more about con- has been in talks with about a move. area that’s been kind of neglected. About 75 percent of DeepMile’s trol and creativity.” dozen companies, including Deep- “I used to work for a big compa- But with the right type of people I business is in national security ap- Owner Adam Diehm of The Red Mile. Kasoff said the two compa- ny, (and) didn’t want the big- believe will start to get positive at- plications while 25 percent is for Theory Online Services LLC in June nies have been working out a co- company politics and atmos- tention,” Staszak said. “We’re also commercial customers, mainly relocated his company from a marketing arrangement for some phere,” he said. “For us, this east siders and kind of proud of marketing and advertising clients north Warren office into the Cherry time. company was that, so it made sense to come here, and political advocacy firms that Street Mall storefront occupied by “We’ve got this built on the but it’s also exciting to see it be- can benefit from its data science Hunch Free before the Main Street unique traditional We’re also east model of being coming the kind of community and technology, he said. move. downtown with a “ the kind of we’re envisioning.” “We’ve always looked to balance In January, eyeWyre Software Stu- comforting siders and place we want Hunch Free, meanwhile, esti- our government business with dios Corp. left Shelby Township to feel that peo- to work at mates revenue at slightly over $1 commercial services,” he said. lease part of the historic fire hall ple have al- kind of proud every single million and Gwizdala said the “It’s the hope that with my knowl- on Market Street, which still in- ways been day.” company has 11 employees. edge of the business landscape of cludes a hayloft and carriage attracted to,” of that, so it Largest so Diehm said The Red Theory, the Detroit area and the business house area inside after Partners in said Stephen far of the Mt. which offers web design and devel- relationships they already have Architecture PLC wrapped a $1.2 mil- Saph Jr., made sense to Clemens tech opment services and some online developed at Hunch Free, we can lion renovation in 2010. principal at firms by rev- marketing to mid-sized compa- develop the potential in our tech- Drawing the new tech firms, insurance come here, but enue and num- nies, has four employees at the nology in that market.” with about 50 combined employ- agency Nick- ber of employ- Cherry Street Mall location. Hunch Free, which handles digi- ees, are fairly traditional ameni- el & Saph Inc. it’s also ees could be Clients have included Grosse tal marketing, Web strategy and ties like a walkable downtown, the and board exciting to see GroupGolfer Pointe Farms-based Scott Lewis Pri- mobile app and Web development, historic architecture and thriving chairman of the Mt. LLC, which has vate Investigations LLC, the private expanded into larger offices on music scene, and more affordable Clemens Downtown it becoming the kind been operating investigation service of former Main after the Glime Daoust PC law leases than the Woodward corri- Development the Groupon- WXYZ-Channel 7 reporter Scott firm moved over to Macomb Place. dor or Midtown Detroit, according Authority. of community we’re style golf deal Lewis; Northville Downs Half Mile Cy- On Friday, the company planned to the company owners and local “And the tech and discount cle Race Corp., and World Outdoor an open house at its new offices in economic development officials. business owners, I envisioning. promotions Racquetball. a Main Street plaza first erected in “The firehouse provided a good think, are making ” site group- “I was unaware of the other tech 1848, and was expecting to exhibit creative space for a company like some of the same Bobby Staszak, GroupGolfer golfer.com firms who were here already, so The CoLaborative LLC, a shared ours,” said eyeWyre President and kinds of decisions since 2010. that wasn’t part of my decision,” ground floor workspace to house Director of Product Development that traditional busi- Co-founder Diehm said of the move. startups and other smaller tech Matthew Chartier, of the new digs ness owners do, in terms of appre- Bobby Staszak of GroupGolfer said “But I get kind of a kick about companies. on the ground floor of the Partners ciating the architecture and level the company could surpass $10 mil- how tightly knit the business com- “We aren’t picturing a true blue building. of foot traffic and the attractions lion in revenue this year and has 12 munity here is. They all seem to incubator, but something very in- “I never really spent much time and events we host in the commu- local employees and 10 contract know who owns a space, several of cubator-like here,” Hunch Free here in Mt. Clemens, but really fell nity.” employees, many of them in sever- them serve on the DDA, and there owner and President James Gwiz- in love with the building. But as EyeWyre, founded in 2000, offers al out-of-state markets. Group- have been talks among the tech dala said of the collaborative we met people, not just the tech gaming software and has devel- Golfer offers its promotions in companies about a weekly bar space. community but really all the busi- oped more than 200 mobile apps Michigan as well as Illinois, Ohio, meetup or a rotation of meetings at “We like the idea of collaborative nesses in the area, we thought they with healthy living and other Pennsylvania, North Carolina, other people’s workspace. space, and helping people grow and were great and were building lifestyle benefits. Chartier, who Florida, California and Georgia. “It’s a neat space — and when get legal advice or a business plan, something special. And we could grew up in Sterling Heights, said In 2014, he hopes to add nine new there are open-air downtown but not something as structured as be a part of that.” the company has about 10 core em- markets and bring more of his events, they’re outside my door.” some other environments. In some Gwizdala said Hunch Free ployees plus some contract em- workforce in-house, which could re- Chad Halcom: (313) 446-6796, places, you might have VC cash in hopes to have some business ten- ployees, and had looked at Fern- quire an expansion within the city. [email protected]. Twitter: your pocket, but you are also not re- ants in the collaborative space on dale, Royal Oak and other office “In Royal Oak, we all know @chadhalcom

Heidelberg: Battered project to launch $3M capital campaign ■ From Page 1 donors from 2008 to 2012. patrols – which have already start- according to its annual report. well as substantial donor support. strategy will be to focus heavily on “I don’t think it’s too aggres- ed. It drew about $12,000 in pledges “We get them all the way from “Thinking about all the chal- social campaigns and many small sive,” Whitfield said. “I see us as in the first 48 hours. Zimbabwe” and Canada, said lenges arts organizations have gifts as well as the larger more tra- creating another Detroit legacy. Heidelberg last Thursday – the Whitfield. “Our donor base is the faced, they’ve actually done really ditional gifts. Considering their Another Motown.” same day the “Penny House” strongest here” in metro Detroit. well” in fundraising, said Jodee global reach, this is a good strate- Launching the first big capital burned down – hosted its annual Some donors are also collectors Raines, vice president of programs gy,” she said. campaign has been delayed some- fall music and dance fundraiser, of Guyton’s painted car hoods, at the Fred A. and Barbara M. Erb Heidelberg has momentum. what by the fires, which destroyed drawing supporters who paid up to smiling faces and other works; Family Foundation. “I feel like they Starting in 2009, its revenues more the “House of $400 a ticket. Last year, the event Guyton just wrapped up a solo ex- find opportunity in everything,” than tripled ($50,000 to $150,000) Soul” on Nov. 12 raised around $27,200 before ex- hibit at the nonprofit Cue Art Foun- even setbacks from the fires. and then tripled again from 2009 to and the “Penny penses. This year, donors who dation, a Manhattan gallery that fo- Erb Family Foundation started 2011, reaching $594,000, according House” early wrote extra checks before partak- cuses on artists who are not well Heidelberg’s growth with a to the nonprofit’s IRS Form 990. Thursday, while ing of Supino Pizza or Vinsetta known in New York City. $125,000 grant in 2009, and has giv- Some revenue came from two-year an Oct. 5 fire lev- Garage macaroni and cheese had Heidelberg Project was estab- en consistently since – $325,000 to grants, which gave Heidelberg eled the “OJ their contributions matched 3-to-1 lished in 1986 by Guyton, his ex- date. $340,000 in cash at the end of 2011. It House” in the by two foundations. The total wife, Karen Guyton, and his Some say Guyton and Whitfield used about half of that to fund oper- center of the raised at last week’s event was ap- grandfather. They built it slowly, ought to push forward now with ations and other needs last year. two-block art proximately $55,000 including using found objects, paint and do- their major campaign of raising $1 The three-year campaign is project. The new matching funds. nated supplies. Twice, Detroit offi- million a year. timed to be finished by Heidel- Whitfield campaign, Hei- “I need your help … and I need cials decided it was an eyesore, “This kind of tragedy … has giv- berg’s 30th anniversary in 2016. By delberg Global Family Campaign, you to believe,” Guyton told guests and Mayors Coleman Young and en him a whole new set of recogni- then, Whitfield said, a new “House will commence early next year at the fundraiser. “We’re going to Dennis Archer ordered homes tion and awareness out there,” of Soul” will be built. with big name donors already rebuild the ‘Penny House’. We’re bulldozed in 1991 and 1999. said Peter Remington, a fundrais- “When we rebuild ‘House of signed on, Whitfield said. going to do it bigger and we’re go- More recently, though, it has ing consultant in Beverly Hills. It’s Soul’, I guarantee it will be with Major fires have “lit a fire in ing to do it better than before.” gained international acclaim and smart to move quickly when peo- charred wood and fire-resistant people who love art,” she said. “It’s Whitfield spoke of art’s ability to new art objects, both attached to ple’s emotions are engaged; they wood,” Whitfield said. It will have really galvanized people” – from inspire and bridge cultural differ- abandoned homes and sitting in feel angry at the destruction, he something going on – she’s not board members to donors to staff ences. In an interview earlier, she open fields. The collection of art said. “If I were his counsel, I’d say: sure yet what – on the inside. Out- who worked late hours to create an emphasized diversity in Heidel- and installations at Mt. Elliott and ‘move now,’” he said. side will be “funky and cool” and online fundraiser. berg’s donor base. Supporters Heidelberg streets was valued at So will Heidelberg be able to pull covered again with black vinyl. That Indiegogo crowdfunded come from the Arab-American $111,500 at the end of 2012, before that much money? “Absolutely,” Beyond online donations in cat- campaign is one of two underway. community, the Jewish communi- the fires. (Much of the art installa- he said. egories like ART-sonist and Em- Another, called “Art from the Ash- ty, from wealthy suburbs and ur- tions were insured but the struc- Raines with Erb Family Founda- bers Only Club, people are already es: Securing a Legacy,” aims to ban neighborhoods. Heidelberg tures were not, Whitfield said.) tion said it’s an ambitious goal, saving and donating old records, raise $50,000 to pay for solar light- grew its donor base from 292 in Au- As Heidelberg grew, it drew an but she thinks Heidelberg has a with which the previous House of ing, security cameras and security gust 2010 to 1,142 in December 2012, estimated 275,000 visitors a year as good approach. “I believe their Soul was covered. 20131125-NEWS--0023-NAT-CCI-CD_-- 11/22/2013 4:26 PM Page 1

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 23 Red Cross: Higher costs, lower demand to cost Detroit 118 jobs ■ From Page 3 than 200 employees of its own, Fox representing individuals and insti- Services, Canada’s national blood Donated blood goes through a Donors are tougher to attract said. tutions involved in transfusion services nonprofit. manufacturing process to purify it during the busy holidays and sum- Fox said the Red Cross is explor- medicine and cellular therapies. They are prescribing less blood and testing mer when families go on vacation, ing options for its 60,000-square- The U.S has seen a reduction of and using other interventions it’s sent to a hospital for use, he she said. foot lab building at 100 Eliot St., be- 7 percent to 10 percent in demand such as different procedures and said. Technologies used in those Additionally, there are often tween Brush and John R streets in for blood over the past two to drugs to stop bleeding or lessen the processes require large volumes of type-specific shortages for univer- Detroit’s Midtown neighborhood. three years, he said. That com- need for transfusions, he said. blood for testing in order for them sal-donor O- negative; O-positive, The decreased demand for blood pares to declines of 3 percent to 4 “You don’t want to expose some- to be cost-effective. which can be used to replace any has been an evolving trend over percent in demand for blood in body unnecessarily ... to transfu- Despite the decreased demand positive blood type; and platelets, the last decade, but it’s really Canada and 12 percent to 15 per- sions. They are a beneficial health for blood, the Red Cross is consis- which are often used during picked up over the past couple of cent in the U.K. intervention, but like any drug it tently asking for more donations. chemotherapy treatment and are years, not only in the U.S., but also Physicians, oncologists and has potential side effects,” Sher Fox said the national agency only viable for five days. in Canada, the United Kingdom anesthesiologists are looking for said. still must collect about 15,000 units Sherri Welch: (313) 446-1694, and other countries, said Graham ways to minimize the amount of The closure of national blood of blood per day to meet the needs [email protected]. Twitter: Sher, president of AABB, an inter- blood they transfuse, said Sher, testing labs has also been a recent of patients across the country. @sherriwelch national, nonprofit association who is also CEO of Canadian Blood trend internationally, he said.

Biotech: Lab planned for Plymouth ■ From Page 3 facility. The rest of the cost is in new drugs at MLSIC, with the when Pfizer closed its Ann Arbor the form of a lease by the manufac- strategic fund getting royalties of operations in 2008 and that the in- turer to the MEDC, with SRI’s rent up to $5 million over 10 years on cubator facility is centrally located in turn covering the monthly cost products brought to market. to Wayne State University, the Detroit of the lease. At the time of the MSF board Medical Center and the University of SRI will offer far more than just vote, it was announced that SRI al- Michigan, with easy access to De- Individuals, families, and business owners present a testing facility, said David Sahn- ready had entered into collabora- troit Metropolitan Airport. er, M.D., SRI’s Menlo Park-based tion agreements with Oakland Uni- SRI officials met Friday with us with financial challenges and goals. senior director of clinical transla- versity’s William Beaumont School of Joan Dunbar, head of the tech tion. He said it will also provide Medicine and Royal Oak-based transfer office at WSU, to start the We respond with insightful guidance focused on consulting services to local phar- Beaumont Health System. process of beginning collabora- sustainable solutions that address today’s needs, maceutical companies, helping Sahner said SRI has six propos- tions. as well as the needs of the next generation. them evaluate market opportuni- als out to local organizations and SRI also has an engineering ties, refine their business plans, companies for joint projects, in- group that employs about 30 in target drug opportunities, apply cluding one that has reached the )3“ƒ Ž“•Œ”‰Ž‡ $’• #‰ŽŽƒ‰Œ “Œ•”‰Ž“ ‚•‰Œ” Ž ‡ Ž ’”‰Ž“ † ”’•“” Ann Arbor, focused on sensor- for federal grants and help them contractual negotiation stage. based work, much of it classified 55$’‰“—Œ„0”’ ” 0•‰” {! ”’‰” *&{——— Œ–“ƒ‡’• ƒ{   navigate the regulatory process. “We want to help fledgling for the U.S. Department of Defense. Through another business unit, biotechnology companies here * ‚ ’#‰’†*#‰ŽŽƒ‰Œ$’• Tom Henderson: (313) 446-0337, SRI Ventures, the nonprofit can help grow and hire,” / ‡‰“” ’ „ / ’ “ Ž””‰– —‰”ˆ * 0 ƒ•’‰”‰ “ find equity capital to grow young he said. [email protected]. Twitter: 0 ƒ•’‰”‰ “ †† ’ „ ”ˆ’•‡ˆ * %Œ„‰Ž‡“ 0 ƒ•’‰”‰ “ &Žƒ  / ‡‰“” ’ „ ’‹ ’! Œ ’ * ‚ ’ #&+/0&- )3“ƒ Ž“•Œ”‰Ž‡ $’• ‰“ ‰Ž„  Ž„ Ž”Œ™ —Ž „ Ž„  ’” „ companies. SRI Ventures has “SRI being @tomhenderson2 helped launch 50 companies with a here is huge. total market capitalization of more This is a pre- than $20 billion. mier research A partial list of the venture capi- development or- tal firms that have taken equity ganization with stakes in those companies include a fabulous social a who’s who of Silicon Valley, such mission, and we as Intel Capital, Khosla Ventures, jumped at the Folberg Menlo Ventures, Morgenthaler Ven- opportunity to tures and Kleiner Perkins Caufield & partner with them and the Byers. MEDC,” said Robert Folberg, M.D., “We want to help companies get dean of OU medical school and to the point where they will be able chief academic officer for the to attract angel and venture capi- health system. ENTER TO WIN A tal funding,” said Sahner. Folberg said Sahner has already SRI will offer testing services to met with members of the clinical HOLIDAY OFFICE PARTY government agencies and large in- faculty about projects they’d like dustry clients. to move forward and a number of While it will target biotechs in grant proposals have been written. Southeast Michigan, it plans to Last Thursday, the MSF ap- seek contracts with pharmaceuti- proved a grant of $800,000 for SRI, cal companies around the world, which will come in stages as it hits said Elizabeth Wood, director of hiring milestones over the next clinical operations in Plymouth five years. The nonprofit is re- GIVEAWAY Township and SRI’s first hire for quired to have at least 25 employ- ANDIAMO RESTAURANTS & CRAIN’S DETROIT BUSINESS WOULD LIKE the lab. ees at the site in five years. TO AWARD NINE AREA COMPANIES A FREE HOLIDAY OFFICE PARTY Previously, Wood was in charge “We’re proud that SRI is setting of phase-one clinical trials for the up shop here. Its presence will TJG APFKCOQ RGUVCWTCPV )TQWR TGCNK\GU VJCV ƒPFKPI VJG DWFIGV HQT CP QHƒEG RCTV[ ECP QHVGP Detroit-based Karmanos Cancer In- help provide support for many of stitute for seven years, and prior to our early-stage companies,” said DG C EJCNNGPIG HQT NQECN DWUKPGUUGU WKVJ CTCKP’U DGVTQKV BWUKPGUU’ UWRRQTV YG YCPV VQ TGOQXG that had 15 years in a variety of Paula Sorrell, the MEDC’s vice VJCV EQPEGTP HQT PKPG NWEM[ CPF FGUGTXKPI MKEJKICPDCUGF EQORCPKGU VJKU JQNKFC[ UGCUQP roles with large pharmaceutical president of entrepreneurship, in- SKORN[ XKUKV CPFKCOQKVCNKCEQOQHƒEGRCTV[ CPF KP  YQTFU QT NGUU GZRNCKP YJ[ [QWT EQORCP[ companies, including AstraZeneca novation and venture capital. plc, a British-Swedish pharmaceu- “SRI has a long history of com- FGUGTXGU CP QHƒEG RCTV[ VJKU [GCT tical, and Sweden-based Pharmacia mercializing technology, and Corp. before its acquisition by Pfiz- they’ll do more of it here,” she er Inc. said. TO ENTER THE GIVEAWAY & VIEW DETAILS AND REGULATIONS In September 2012, the Michigan Sorrell said that Virginia had Strategic Fund approved $5 million also been wooing SRI’s clinical tri- CPFKCOQKVCNKCEQOQHƒEGRCTV[ toward five-year operating costs als facility before the MSF award. for a laboratory for SRI, which also Helen Parish, executive director *QNKFC[ OHƒEG PCTV[ CQPVGUV TWPU HTQO NQXGODGT   NQXGODGT    YKPPKPI EQORCPKGU YKNN TGEGKXG CP had been considering launching of pharmaceutical development its trials lab in Virginia. for SRI’s biosciences division, said QHƒEG RCTV[ HQT WR VQ  QH VJGKT EQNNGCIWGU CV QPG QH VJG  APFKCOQ RGUVCWTCPVU URITCFGU CPF RCTVKGU NCTIGT VJCP SRI agreed to contribute $8 mil- MLSIC was the logical choice re-  CTG CXCKNCDNG SGG TWNGU CPF TGIWNCVKQPU HQT FGVCKNU TJG YKPPKPI GPVTKGU YKNN DG UGNGEVGF D[ APFKCOQ NGCFGTUJKR lion toward those costs. SRI also gardless of funding. She said there VGCO QP NQXGODGT  TQ XKGY EQORNGVG TWNGU CPF GPVGT VJG EQPVGUV XKUKV CPFKCOQKVCNKCEQOQHƒEGRCTV[ plans on commercializing its own is a large talent pool left from 20131125-NEWS--0024,0025-NAT-CCI-CD_-- 11/22/2013 4:28 PM Page 1

Page 24 CRAIN’S DETROIT BUSINESS November 25, 2013 Succession: As Detroit team owners age, questions arise ■ From Page 1 Clues do exist to suggest what Il- itch and Ford may intend to do with their teams, and federal tax laws allow estates a sophisticated Team transitions not always smooth for estates toolbox of options to delay or di- minish a tax burden that can run The poster child for professional sports team tion, insurance and contract drilling opera- the NFL franchise to his family. He paid $25,000 up to 40 percent. estate planning gone awry despite the owner’s tions. for the team. Forbes valued it at $1 billion. However, what team owners in- intentions was Joe Robbie, who bought pro “Mr. Wilson has made it very clear that he is “From all accounts, Adams established a tend and what actually happens to football’s Miami Dolphins for $7.5 million in 1966. not going to sell the franchise while he’s alive, plan to pass ownership of the Titans to mem- the franchises don’t always align, Robbie, a lawyer, died in 1990 at age 73, and once he passes on, the franchise will be bers of his family while contractual commit- such as when William Davidson thinking he had made adequate insurance and sold,” The Buffalo News reported NFL Com- ments keep the team at LP Field through the said his Detroit Pistons would re- trust arrangements. missioner Roger Goodell as saying in August duration of the original lease, which runs main in the family, but his widow The $47 million estate tax bill was exacerbat- 2012. through the 2028 season,” USA Today reported sold the team two years after his ed by feuding heirs — Robbie had left three of Detroit real estate and on Oct. 22. death in 2009 at age 86. his 11 children as trustees — and the family sold casino industrialist Dan The Charlotte Business Journal in Janu- the National Football League team to Blockbuster Gilbert, 51, declined to dis- ary reported that Carolina Panthers owner Jer- The Tigers and Red Wings Video Chairman Wayne Huizenga in 1993. close his succession plans ry Richardson, 77, has mandated that the NFL Some other notable examples of succession for the Cleveland Cavaliers, team be sold within two years after his death. When Tigers Manager Jim Ley- planning or an estate tax situation: the National Basketball Richardson, who played briefly in the NFL, land retired in October after eight Billionaire William Davidson, who died League franchise he bought amassed a fortune from the food service indus- seasons, Ilitch didn’t attend the at age 86 in March 2009, left the Detroit Pistons for $375 million in 2005. try. He paid $206 million for the Panthers, who news conference. A question about and Palace Sports & Entertainment to his widow, New York Yankees own- began play as an expansion team in 1995. the owner’s status was raised dur- Karen Davidson. er George Steinbrenner, Georgia Frontiere inherited 70 percent of ing the event. The team and his prima- Gilbert who had bought the Major the Los Angeles Rams after her husband, Car- “Mike Ilitch is fine. He was at the ry business, Auburn Hills- League Baseball team for $10 roll Rosenbloom, drowned in 1979. A year lat- games in the postseason and in based Guardian Industries million in 1973, died at age 80 in July 2010 — er, she bought the other 30 percent, but sold 40 Boston the other day,” Tigers Presi- Inc., were in separate trusts. but there was no federal estate tax bill be- percent to Stan Kroenke as part of the 1995 dent and CEO Dave Dombrowski Davidson had bought the cause it was off the books for that year. He deal to relocate the NFL team to St. Louis. told reporters during the Oct. 21 Pistons for $8 million in 1974 was able to leave the team, valued by Forbes After her 2008 death at age 80, two of her chil- news conference at Comerica Park. and said he wanted the team at $1.6 billion that year, to his family without dren inherited her 60 percent stake, but they The family has not commented to remain in the family. a massive tax bill. worked out a deal to sell that to Kroenke for $450 on his health. Ilitch is known to However, Karen Davidson Jack Kent Cooke, who became full owner of million. The St. Louis Post-Dispatch reported in have had triple bypass surgery at said in 2010 she didn’t want the Washington Redskins in 1985, gave the NFL August 2010 that the estate tax bill on their Beaumont Hospital in Royal Oak in to be a team owner, so she team and its stadium to his foundation upon his stake in the team fueled their decision to sell. January 1998. Davidson sold her 76 percent in the 1997 death, and mandated they be sold after his Virginia McCaskey, 90, has been princi- Ilitch bought the Tigers for $85 Pistons and Palace Sports in June 2011 for $325 death. A son, John Kent Cooke, tried to buy the pal owner of the Chicago Bears since inheriting million from Domino’s Pizza Inc. million to private equity billionaire Tom Gores. team and stadium, but Maryland businessman the team from her father, NFL co-founder founder Tom Monaghan in August Minority Pistons owner Ethan Davidson, Daniel Snyder eventually bought them for $800 George Halas, in 1983. 1992. Forbes.com estimated earlier son of William Davidson from a previous mar- million. The McCaskey family has publicly said it in- this year that the Tigers are worth riage, bought a small stake back from Gores. Cooke reportedly received 10 percent of the tends to retain the team after her death, but $643 million. Grosse Pointe Shores resident Ralph Wil- sale proceeds. it’s unclear if it will have the financial Ilitch and wife Marian bought son, 95, has owned the Buffalo Bills since the The sale “ended an arduous and often bitter strength to do so. There is no significant fami- the Red Wings in June 1982 for team’s founding in 1960. He previously owned nine-month sale process conducted by trustees ly business or fortune outside of the Bears. $8 million from Bruce Norris, a small share of the Lions. for the estate,” according to a May 1999 report Shares of the team are dispersed among whose family had owned the team Wilson has never disclosed a succession by the Washington Post. family members, and the estate tax bill on the since 1955. Forbes estimates the plan for the Bills, or for Detroit-based Ralph C. Bud Adams, who owned the Tennessee Ti- Bears (valued this year by Forbes at $1.2 bil- team is now worth $346 million. Wilson Industries Inc., which includes manufac- tans from their 1960 founding as the Houston Oil- lion) could force a sale. If the IRS valuation of the two turing, television and radio stations, construc- ers until his death Oct. 21 at age 90, is leaving — Bill Shea teams matched those from Forbes, the combined estate tax bill on ing identified, said the Ilitches are tion and restaurant equipment $1.4 billion and that the Lions are those two assets alone could be al- committed to continuing owner- service and three movie theaters. most $396 million. ESTATE TAX LAWS valued at $900 million. ship of both teams as part of their Detroit-based Ilitch Holdings Inc., The federal estate tax rate for investments in Detroit. the umbrella management ser- the very wealthy is 40 percent after It’s unknown if the Ilitch family The Lions Valuations vices organization for all the fami- a $5.25 million exemption. members in addition to Mike Sr. Ford, who paid $4.5 million to Because national media broad- ly’s properties, has said combined Estate taxes are due nine months have ownership stakes in the cast rights deals have ballooned revenue for the various entities in after the person’s death. buy out more than 100 other share- Tigers and Red Wings. over the past 30 years, the value of 2012 was $2.6 billion and expected There are discounts possible holders in late 1963, intends to keep However, a suggestion that pro sports teams have dramatical- to be $3.1 billion for 2013, but no under federal tax laws, and closely the National Football League fran- Mike Ilitch intends at least for the ly increased — fueling federal es- breakdown was disclosed. held businesses such as pro chise in the family, according to a sports teams likely qualify for an tate tax bills that require complex The majority of the revenue Red Wings to remain family- source familiar with the situation option to extend estate tax succession planning by owners comes from the Little Caesars pizza owned lies in a major investment: and spoke to Crain’s only on the payments for up to 14 years, tax who wish their teams to stay in chain business Mike and Marian the new downtown hockey arena. condition of anonymity. attorneys say. the family and shield their heirs Ilitch co-founded in 1959. The family has pledged $188.4 Ford’s son, Federal estate tax law permits from tax bills that could force Some of the $2.6 billion in revenue million, or 42 percent of the total William Clay an unlimited marital deduction, them to sell. comes from MotorCity Casino Hotel cost, to cover repayment of the Ford Jr., 56, has which defers the tax until the Because of their wealth, Ilitch’s owned by Mari- state-issued bonds that will be is- spouse dies. been the Lions’ and Ford’s estates would be sub- Major sued to pay for construction of the an Ilitch. A number of types of trusts can vice chairman ject to the top federal estate tax League Baseball’s proposed $450 million arena and reduce the tax burden by slowing since February event center. rate of 40 percent. The law allows anti-gambling the valuation of the estate, but 1995 and has sat Olympia Development of Michigan, such efforts sometimes have their for a $5.25 million exemption be- regulations pro- on several of the the real estate arm of the Ilitch own taxes. fore the 40 percent rate kicks in. hibit her from an NFL’s most pow- business empire, intends to enter Michigan eliminated its Estates and the IRS each will val- ownership inter- erful commit- into a 35-year concession agree- inheritance tax in 1993. ue an estate, including estimating est in the Tigers, Ford Jr. tees. It hasn’t ment with Detroit’s Downtown De- Source: Crain’s research worth of assets such as the Tigers, complicating been disclosed if Ford Jr., also ex- to determine the estate tax bill. succession plan- velopment Authority to operate the new 18,000-seat arena. ecutive chairman of Ford Motor Co., When it’s the complex, far-flung Marian Ilitch ning. site, located west of Woodward estate of a billionaire sports team The DDA is the public body that owns any shares of the team. IRS rules al- Avenue and I-75. owner, slight differences in value will own the venue. Downtown Ford Sr. could leave the team to low a spouse to inherit all assets For the overall project, the DDA can mean millions of dollars in dis- property owners, primarily corpo- his wife since 1947, Martha Parke tax-free, but that merely delays the intends to use $284.5 million in puted tax, lawyers say. rations, will pay the remaining Firestone, which would delay any eventual tax bill. property taxes already captured “The valuation of these fran- $261.5 million of the arena cost, ac- estate taxes until her death. The Ilitch Holdings CEO and Presi- within its 615-acre downtown dis- chises has grown so substantially cording to data provided by the Fords have three other children — dent Chris Ilitch, 47, is a possible trict to pay off the bonds issued by over the past 20 years that what state. Martha Parke Morse, Sheila Fire- contender to assume ownership of the state to build the arena. The re- might have been a comparatively The hockey arena, which would stone Hamp and Elizabeth Hudson the Tigers. One of seven Ilitch chil- mainder of the district costs, or small part of the estate of someone Ford — but it’s unknown if they dren, he’s been the face of the Il- be finished by 2017 and replace $365.5 million, will be picked up by who has passed away has now tak- own any stake in the Lions or itch organization since assuming city-owned Joe Louis Arena, is part Olympia. en on immense proportions,” said would inherit any. his current role in 2004. of a wider $650 million plan to cre- The family has other sources of Steven Cole, a partner at Bloom- A source privy to the family’s ate a 45-acre district that includes income, such as concerts and Forbes.com in September esti- field Hills-based Lipson, Neilson, long-term plans, who spoke to retail, residential, office and events via their Olympia Entertain- mated Ford Sr., a grandson of auto Crain’s on the condition of not be- restaurant space on the venue ment Inc. business, a food distribu- pioneer Henry Ford, is worth See Next Page 20131125-NEWS--0024,0025-NAT-CCI-CD_-- 11/22/2013 4:53 PM Page 2

November 25, 2013 CRAIN’S DETROIT BUSINESS Page 25

From Previous Page Cole, Seltzer & Garin PC who deals Interpreters: New regs proposed www.crainsdetroit.com with estate planning and taxes. ■ EDITOR-IN-CHIEF Keith E. Crain “The small theoretical nuance From Page 1 GROUP PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] in how you approach a particular Levy said the department and ing patient must be a qualified in- The incident, which is not con- ASSOCIATE PUBLISHER Marla Wise, (313) 446- issue can shift it millions of dol- the Division on Deaf and Hard of terpreter. nected with proposed state regu- 6032 or [email protected] EXECUTIVE EDITOR Cindy Goodaker, (313) 446- lars,” Cole said. “Appraisers get Hearing worked on the proposed According to the February pro- latory changes, led Henry Ford to 0460 or [email protected] into those kinds of detailed analy- regulations for nearly seven posed regulation, “a (deaf or overhaul its interpretation and MANAGING EDITOR Jennette Smith, (313) 446- sis and debates. You’re talking 1622 or [email protected] years to make sure the rules ad- hard-of-hearing person) shall not communication systems for peo- MANAGER, DIGITAL CONTENT STRATEGY Nancy large numbers now that grab the dress the needs and concerns of be compelled to utilize video re- ple with disabilities, Capicchioni Hanus, (313) 446-1621 or [email protected] headlines.” MANAGING EDITOR/CUSTOM AND SPECIAL all parties — the deaf and hard-of- mote interpreting (services) in said. PROJECTS Daniel Duggan, (313) 446-0414 or Estates and the IRS often hash it hearing community, interpreter place of an on-site interpreter.” One of Henry Ford’s policy [email protected] out in federal tax court. SENIOR EDITOR/DESIGN Bob Allen, (313) 446- staffing agencies and the health Napiewocki said some health changes following the ADA settle- 0344 or [email protected] “It gets down care industry. care organizations objected to the ment was to encourage patients SENIOR EDITOR Gary Piatek, (313) 446-0357 or many times to [email protected] “I am satisfied with the pro- rule and wanted more flexibility who are deaf, hard of hearing or WEB EDITOR Kristin Bull, (313) 446-1608 or a battle of the posed regulations, and the VRI to cover emergencies, rural areas need a foreign-language inter- [email protected] experts. Typi- WEST MICHIGAN EDITOR Matt Gryczan, (616) 916- language is acceptable to me,” and times when an interpreter preter to call the hospital’s ER 8158 or [email protected] cally the IRS said Todd Morrison, president of wasn’t immediately available. hotline before they leave home. DATA EDITOR Brianna Reilly, (313) 446-0418, value will be [email protected] the Fowlerville-based Michigan “There (shouldn’t be) an auto- “We can try to get the inter- higher,” said WEB PRODUCER Norman Witte III, (313) 446- Deaf Association. matic right in every situation to preter there at the same time they 6059, [email protected] George Malis, EDITORIAL SUPPORT (313) 446-0419; YahNica Laura Napiewocki, attorney have a live interpreter,” she said. arrive,” Capicchioni said. “We a partner with Crawford, (313) 446-0329 with Troy-based Hall, Render, Kil- But Morrison said some of the want to close the gap in access NEWSROOM (313) 446-0329, FAX (313) 446- Detroit-based 1687 TIP LINE (313) 446-6766 lian, Heath & Lyman PC, said she and reduce time delays. We be- Abbott Nichol- deaf and hard of hearing have ter- worked with the civil rights de- rible experiences using VRI be- lieve in-person interpretation is REPORTERS son Quilter Es- the highest quality.” Jay Greene, senior reporter: Covers health care, shaki & Young- partment over the past several cause of technological problems insurance, energy utilities and the environment. months to address concerns the or difficulty seeing in two-dimen- Napiewocki said health care or- (313) 446-0325 or [email protected] blood PC. ganizations understand VRI tech- Amy Haimerl, entrepreneurship editor: Covers There are health care community had with sional screens. entrepreneurship, second-stage companies and “ previously pro- “I don’t have a problem using nology can vary in its effective- small business. (313) 446-0416 or other issues [email protected] (Family ness. The current proposed rules for succession posed regula- VRI in most situations,” said Chad Halcom: Covers litigation, higher education, set forth quality standards for VRI. planning other tions released Morrison, who is deaf and con- non-automotive manufacturing, defense squabbles) “An institution shouldn’t have contracting and Oakland and Macomb counties. than taxes: in February. ducted the telephone interview (313) 446-6796 or [email protected] to first exhaust all efforts within a family peace. “We current- with Crain’s through an inter- Tom Henderson: Covers banking, finance, can drain 60-mile radius to engage and technology and biotechnology. (313) 446-0337 or How the es- ly are review- preter. [email protected] bring in a live interpreter before tate is divided ing the latest “Other people have been Kirk Pinho: Covers real estate and the city of the estate it can start communications, Detroit. (313) 446-0412 or [email protected] can become a version of the scarred by their experiences, and Bill Shea, enterprise editor: Covers media, where appropriate, using VRI,” of massive problem, Cole proposed regu- they won’t use it again,” Morri- advertising and marketing, the business of sports, she said. “Providers want the and transportation. (313) 446-1626 or said. If family lations (Nov. son said. “We have people who [email protected] flexibility to initiate communica- amounts members per- 14). In the also were given the wrong diag- Nathan Skid, multimedia editor: Also covers the Napiewocki tions quickly with VRI in emer- food industry and entertainment. (313) 446-1654, ceive unfair- event we deter- nosis through those services, and [email protected] gency situations.” of money ness, or believe mine that areas of concern with we have had people not under- Dustin Walsh: Covers the business of law, auto Another concern of hospitals, suppliers and steel. (313) 446-6042 or the estate was certain language remain, we look stand they have a terminal illness [email protected] and wreak improperly set forward to partnering with the because of these services.” said Sean Gehle, vice president of Sherri Welch: Covers nonprofits, services, retail advocacy with Ascension Health- and hospitality. (313) 446-1694 or up, the situa- stakeholders involved to address Under the newly proposed VRI [email protected] havoc on tion can de- the language in a way to best rule, a deaf or hard-of-hearing Michigan, is adequate minimum LANSING BUREAU Chris Gautz: Covers business issues at the Capitol volve into acri- achieve the needs of all in- person “who in good faith asserts educational and certification re- the focus quirements of interpreters. and utilities. (517) 403-4403 or [email protected] mony and volved,”Napiewocki said. (video remote interpreting) is not ADVERTISING expensive law- Morrison said the deaf and effective communication shall “We are attempting to balance of the the needs of the deaf and hard of SALES INQUIRIES (313) 446-6052; FAX (313) suits that dis- hard-of-hearing community has not be compelled or coerced to 393-0997 hearing with needs of patients tract from op- been frustrated with the long utilize VRI in place of an on-site SALES MANAGER Tammy Rokowski family. and make sure services are pro- eration of the process it took to develop the interpreter.” SENIOR ACCOUNT EXECUTIVE: Matthew J. vided in a safe and effective man- Langan ” family busi- rules. Renea Forrest, project manag- Steven Cole, ner,” Gehle said. ADVERTISING SALES Christine Galasso, Jeff ness. In 2007, the Michigan Legisla- er for ADA (Americans with Dis- Lasser, Dale Smolinski, Sarah Stachowicz Lipson, Neilson, Morrison said strong regula- CLASSIFIED SALES Angela Schutte, manager, “It can drain ture approved Public Act 23 and 24 abilities Act) compliance and lan- Cole tions are needed that increase ed- (313)-446-6051 the estate of — the Michigan Deaf Persons’ In- guage access with Henry Ford GENERAL MANAGER/MARKETING AND EVENTS ucational and certification stan- massive terpreter Act — that required the Health System in Detroit, said Hen- Elizabeth Buscher dards for interpreters. DIGITAL MARKETING MANAGER amounts of money and wreak hav- Division of Deaf and Hard of Hear- ry Ford supports the rule that “We have unqualified inter- Jennifer Chinn oc on the focus of the family to run ing to draft the qualified inter- gives patients some decision- preters” in Michigan, Morrison DIRECTOR, INTEGRATED MARKETING Eric Cedo the business,” he said. preter general rules (2007-047 CR). making authority over the use of EVENTS MANAGER Kacey Anderson said. “If interpreters were better If the situation is expected to But Levy said disagreement interpreters. SENIOR PRODUCER FOR DIGITAL/ONLINE trained and prepared, we would- PRODUCTS Pierrette Dagg produce an estate tax bill, team among various affected parties to “We see (VRI) as a tool to be n’t have the problems we have MARKETING ARTIST Sylvia Kolaski owners can ensure they have the regulations slowed develop- used in emergent situations until SALES SUPPORT Suzanne Janik, YahNica Crawford enough insurance to cover some or now. ... We could raise the stan- PRODUCTION MANAGER Wendy Kobylarz ment. In March, proposed regula- a live person can get to bedside,” dard of living for the deaf and all of it. tions were presented at three pub- Forrest said. “We don’t see (VRI) PRODUCTION SUPERVISOR Andrew Spanos hard of hearing.” CUSTOMER SERVICE They also must ensure heirs lic hearings. as a replacement” for a live inter- have access to enough liquidity to Capicchioni said the knowl- MAIN NUMBER: Call (877) 824-9374 or write Napiewocki said several hospi- preter. [email protected] cover tax bills and any legal wran- edge of medical terminology of in- tal systems objected to the Febru- For example, medical staff pri- SUBSCRIPTIONS $59 one year, $98 two years. gling, Cole said. terpreters also is critical to suc- Out of state, $79 one year, $138 for two years. ary proposed rules after the hear- ority when a bleeding patient Pro sports cessful communication in health Outside U.S.A., add $48 per year to out-of-state ings were over. comes into the emergency depart- rate for surface mail. Call (313) 446-0450 or team owners care settings. He said knowledge (877) 824-9374. The hospitals supported regu- ment is to first stabilize the pa- also often try to standards should be high. SINGLE COPIES: (877) 824-9374 lations, but they wanted flexibili- tient, said Marco Capicchioni, REPRINTS: (800) 290-5460, ext. 125; freeze or slow Napiewocki said many others (717) 505-9701, ext. 125; or lindsay.wilson ty to determine when a video re- Henry Ford’s vice president of fa- @theygsgroup.com the value of in the health care provider com- mote interpreter could be used cility services. TO FIND A DATE A STORY WAS PUBLISHED: their franchise munity are concerned that the (313) 446-0406 or e-mail [email protected] instead of a live interpreter, “Rescue is first,” said Capic- for estate plan- brief phase-in period for stronger CRAIN’S DETROIT BUSINESS IS PUBLISHED BY ning purposes. Napiewocki said. Hospitals also chioni. “We think the onus is on interpreter qualifications could CRAIN COMMUNICATIONS INC. wanted to give interpreters the staff to get the interpreter CHAIRMAN Keith E. Crain That can be increase costs of interpreters and PRESIDENT Rance Crain done by diluting enough time to meet the state’s there for the patient.” reduce the supply of interpreters. TREASURER Mary Kay Crain Malis tougher educational and certifi- Henry Ford supported the pro- Executive Vice President/Operations ownership. “Hospitals and health systems William A. Morrow “What owners try to do is gen- cation standards, she said. posed regulations because of are very willing to do what they Executive Vice President/Director of Strategic Levy said the department with- strong patient protections built Operations Chris Crain erational planning by structuring can do to provide qualified inter- Vice President/Production & Manufacturing transitions that will freeze value,” drew the proposed rules in June into the rules. preters,” she said. “We have to Dave Kamis to begin work to incorporate hos- “When we first looked at the Vice President/Chief Human Resources Officer Malis said. “Structure becomes take into consideration availabil- Margee Kaczmarek very important in how you own pital concerns. rules, we thought they were pret- ity” of interpreters, especially in G.D. Crain Jr. Founder (1885-1973) While educational require- ty intense,” Capicchioni said. “As rural areas. Mrs. G.D. Crain Jr. Chairman (1911-1996) your assets.” EDITORIAL & BUSINESS OFFICES: If an asset accounts for 35 per- ments of interpreters generated we got into them, we realized if Capicchioni said using skilled 1155 Gratiot Ave., Detroit MI 48207-2732; much discussion, the biggest hot- your mother had her care on the (313) 446-6000 cent of more of an estate’s value, interpreters has increased Henry Cable address: TWX 248-221-5122 AUTNEW DET the tax bill can be spread over 14 button area covered the use of line, you would want the best per- Ford’s costs, but the system has CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is new technology — video remote son available.” published weekly, except for a special issue the third years under federal law — a provi- proven it can deliver high-quality week of August, and no issue the third week of interpreting — that is available Earlier this year, Henry Ford December by Crain Communications Inc. at 1155 so intended to help families keep services with the financial re- in varying degrees of quality to was fined $70,000 for a 2004 inci- Gratiot Ave., Detroit MI 48207-2732. Periodicals family businesses. There also are sources it has available. postage paid at Detroit, MI and additional mailing hospitals and physician offices. dent in which it was found to offices. POSTMASTER: Send address changes to discounts on the tax, such as “This might attract people to Under the video remote inter- have violated the Americans with CRAIN’S DETROIT BUSINESS, Circulation whether assets can qualify as Michigan and increase availabili- Department, P.O. Box 07925, Detroit, MI 48207- preting standards, an individual Disabilities Act for not providing ty” of interpreters, he said. 9732. GST # 136760444. Printed in U.S.A. closely held. Entire contents copyright 2013 by Crain providing sign-language inter- effective sign-language inter- Bill Shea: (313) 446-1626, Jay Greene: (313) 446-0325, Communications Inc. All rights reserved. preting services or translation preters to a deaf patient at Reproduction or use of editorial content in any [email protected]. Twitter: [email protected]. Twitter: @jay- manner without permission is strictly prohibited. services to a deaf or hard-of-hear- Kingswood Hospital in Ferndale. bgreene @bill_shea19 20131125-NEWS--0026-NAT-CCI-CD_-- 11/22/2013 5:32 PM Page 1

Page 26 CRAIN’S DETROIT BUSINESS November 25, 2013 RUMBLINGS WEEK ON THE WEB FROM WWW.CRAINSDETROIT.COM, WEEK OF NOV. 16-22

hopes and dreams. Ⅲ The Somerset The photos are turned Blues decline to COMPANY NEWS Ⅲ Collection’s CityLoft opened Tigers’ big deal into holiday greeting cards, Restaurants, musical on the west side of the 1200 which the shelters sell to extend individual acts, an ice rink and a to- block of Woodward Av- raise funds. In the past, De- boggan slide will be among enue, featuring 14 retailers troit Rescue Mission Min- health plans the attractions at the Hock- from the Troy mall, along yields bargains istries has been one of the eytown Winter Festival, with about 20 local, hand- featured shelters. scheduled for Dec. 27-31, picked vendors. Details about the cam- lue Cross Blue Shield the Detroit Red Wings and Ⅲ Total new spending paign are at LindaSolomon of Michigan, the Olympia Entertainment an- linked to this year’s Chevro- Photography.com/Pictures B state’s largest writer nounced. in jersey trade let Detroit Belle Isle Grand ofHope. of individual policies with Ⅲ President-CEO Larry Prix increased by $1.3 mil- Chevrolet is underwriting 175,000, declined to extend Leinweber of Troy-based lion versus the 2012 event, ne of the immediate WSU sets up Ben Burns the cost of the campaign. about 25 non-Affordable software company New race organizers said. financial ripple ef- Care Act individual plans World Systems Corp. pledged Ⅲ After more than a fects of the Detroit scholarship fund into 2014 with the exception O Breakfast aimed at charter $2.4 million to the University decade, the original orga- Tigers’ blockbuster trade of Ben Burns was a legend of of Keep Fit. of Michigan to fund scholar- nizers of the Detroit Elec- first baseman Prince Fielder local journalism, a former ex- school board interest On Friday, the Michigan ships for undergraduate tronic Music Festival are last week to the Texas Department of Financial and students in computer sci- ecutive editor of The Detroit Want to serve on a char- bringing the free music Rangers for Insurance Services said it ence. News who spent two decades ter school board in metro event back to the streets of second would allow insurers to Ⅲ Gateway Community turning know-nothing kids Detroit, but don’t have the Detroit. The July 4-6 festi- baseman Ian continue to sell noncompli- Health, a nonprofit funder into reporters as head of the foggiest idea about charter val will be split between Kinsler? Dis- ant policies through next of mental health services, journalism program at Wayne school governance or fi- Campus Martius and Ford count year, following an execu- is moving into larger office State University. nances? Look no further Field. prices on tive order by President space at the Brewery Park of- Many of them went than the Detroit Regional Ⅲ Former Detroit Mayor jerseys. Barack Obama. fice complex in Detroit in through the Journalism Insti- Chamber’s Board Fellowship Kwame Kilpatrick said he The au- tute for Media Diversity, Program and its Dec. 5 Policies beginning Jan. 1 early February from its prefers to skip a Dec. 10 thentic No. which Burns, a veteran of “Bagels & Boards Informa- were to include 10 essential current Fisher Building court hearing that will de- 28 Fielder space. Fielder the days when big-city tional Breakfast.” health benefits, which in- termine how much he owes jersey in Ⅲ The Michigan Strategic newsrooms were made up The free event, from 8:30 clude mental health, pre- Detroit and tax collectors Tigers livery at Major Fund board approved incen- of white males, helped to 10 a.m. at the Detroit Edi- scription drug and hospital after his convictions for League Baseball’s official on- tive deals for HTC Global Ser- found at WSU in 1984. son Public School Academy at care. None of the Blues’ in- corruption and other line retail shop, vices Inc. to add 203 jobs in Burns died at his Grosse 3403 St. Aubin St., will fea- dividual policies complied. crimes, and will leave it up shop.mlb.com, had been dis- Troy, and a development by Pointe home 14 months ago ture speakers such as cur- Andy Hetzel, vice presi- to his attorneys. counted by $43.02 and was Craig Schubiner of The Harbor of acute myeloid leukemia. rent charter school leaders dent of corporate communi- Ⅲ The University of Michi- selling Friday for $171.97. Cos. in Bloomfield Hills In his honor, WSU has es- and board members. cations, said the adminis- gan athletics department Kinsler’s No. 5 Rangers that could bring 45 new tablished the Ben Burns En- The chamber is accepting trative burden to shift intends to build a $6 mil- jersey was $288.99, but had jobs to Ann Arbor. dowment for Journalism, which registrations up until the gears would be too great. lion operations center to been discounted to $214.97. Ⅲ Providence Hospital and hopes to fund multiple schol- day of the event, which is centralize most of its The replica Fielder and Medical Center, Southfield, arships in his name. open to both chamber and behind-the-scenes support Kinsler jerseys dropped to ON THE MOVE and Beaumont Hospital, Tax-deductible donations non-chamber members. work. $79.97 from $99.99. Troy, were selected for Tru- made to the endowment can “There are a lot of folks Ⅲ John Hill, former CEO Ⅲ Eastern Michigan Uni- It hasn’t been determined in the business and broader of the Washington, D.C., ven Health Analytics’ 50 Top versity agreed to pay the le- what numbers Kinsler and be sent to the WSU Depart- community that know what Federal City Council, was Cardiovascular Hospitals gal fees of a student group Fielder will wear with their ment of Communication, charter schools are, but not named Detroit’s CFO. Hill, for 2013. The hospitals are that sued in a dispute over new teams, and their new 906 W. Warren Ave., 585 everyone understands their a CPA who specializes in recognized for lower rates money for an anti-abortion jerseys won’t be available Manoogian Hall, Detroit, of mortality and complica- governance,” said Greg municipal finance, replaces display on the Ypsilanti until they have a number. MI 48201. tions, and higher quality Handel, senior director of James Bonsall, who resigned campus. Both players will have than comparable hospitals. education and talent pro- last month. Ⅲ Democrat Mark new uniform numbers: Ⅲ Boston-based Bain Capi- News show to put spotlight grams for the chamber. “It’s Ⅲ Detroit-based Com- Schauer is proposing to Kinsler wore No. 5 for Texas, tal Partners LLC decided not a good way to connect for puware Corp. announced raise Michigan’s minimum but that number belonged to on Pictures of Hope to pursue an acquisition of people who don’t really un- changes to its board of di- wage to $9.25 an hour over Tigers Hall of Famer Hank Auburn Hills-based TI Auto- The Pictures of Hope cam- derstand the process.” rectors as a response to a three years and automati- Greenberg and has been re- motive because it couldn’t paign organized by Birm- Anyone interested in takeover bid by New York cally tie future increases to tired; Fielder would have to ingham-based celebrity serving on a board can reg- agree with the auto-parts City-based Elliott Manage- inflation, saying he would persuade the Rangers’ relief photojournalist Linda ister for a full-day orienta- maker on price, Bloomberg ment Corp. Jeffrey Clarke, a make hiking the $7.40 wage pitcher Joakim Soria to give Solomon will be featured on tion that will be held on an reported. managing partner at New a top priority if elected gov- up his No. 28 jersey. Thanksgiving Day on TV’s as-of-yet undetermined date Ⅲ Detroit City Football Club York City-based Augusta ernor next year. The players are expected “Fox and Friends.” in late January. LLC hired Ypsilanti-based Ⅲ Michigan’s total Columbia Capital Inc., and to undergo physicals this Children ages 6-13 from Handel said the program Pakmode Media + Marketing health benefit costs for ac- Jennifer Raab, president of week to finalize the swap. homeless shelters in a started on a pilot basis, and to create a corporate spon- tive employees increased New York City-based Revenue from merchan- dozen cities were given about a dozen people have sorship program for the 5.1 percent in 2013 to an av- Hunter College, replaced dise sales on the MLB web- cameras and photography gone through past orienta- semi-pro National Premier erage of $11,151 per employ- Glenda Price, president of site is split equally among lessons to take pictures of tions and went on to serve Soccer League team. Terms ee, compared with a 5.4 per- the Detroit Public Schools all 30 teams. whatever represents their on charter school boards. of the deal were not dis- cent increase for 2012 Foundation, and Ralph Szy- closed. respondents, according to genda, former chief infor- Mercer’s 2013 National Sur- mation officer at General vey of Employer-Sponsored Motors Corp. OTHER NEWS Health Plans. Ⅲ Auburn Hills-based Ⅲ Bill Hults, the former Ⅲ Michigan has moved supplier Dura Automotive would-be buyer of the up the state rankings to Systems LLC named Nizar Packard plant, purchased fourth in the nation in cre- EST FROM THE LOGS Trigui to the newly created B B the 954,000-square-foot for- ating clean energy and READ THESE POSTS AND MORE AT WWW.CRAINSDETROIT.COM/BLOGS position of executive vice mer Cadillac stamping transportation jobs, accord- president and chief technol- plant on Detroit’s east side ing to a new report by Envi- Royals learn to rap with Rapt.fm When Kennedy died ogy officer. He most recent- and said he plans to turn it ronmental Entrepreneurs. ly served as global chief en- back into a manufacturing California and Nevada top Members of the No American who gineer for Dearborn-based facility. Hults would not the nation in clean energy royal“ British family were was“ at least 10 years old Ford Motor Co. disclose the purchase and clean transportation in town ... filming with on Nov. 22, 1963, who Ⅲ Antonio David Garcia, ex- price. jobs; New York is third; the BBC. And what did hasn’t succumbed to ecutive director of Fern- Ⅲ Pension fund liabili- Texas is fifth. they want to do on their senility has forgotten dale-based Affirmations Les- ties are not to blame for De- Ⅲ A roughly $200 million tour of Detroit? Learn to where he or she was bian Gay Community Center troit’s descent into Chapter rap. when the news manufacturing project by Inc., plans to leave the non- 9 bankruptcy protection, broke. Lansing-based Niowave Inc. ” profit in February after according to a report re- in DeWitt Township is ” leading it for two years. Jon leased by Demos, a New planned to produce ra- Fitzgerald, Affirmations’ York City-based public pol- dioisotopes used in medical Amy Haimerl’s blog on small business can be found at Tom Henderson’s blog about accounting, banking, chief administrative offi- icy advocacy group, Pen- imaging and is expected to www.crainsdetroit.com/section/blogAmyHaimerl venture capital and high tech can be found cer, will be interim execu- sions & Investments report- create dozens of jobs, the at www.crainsdetroit.com/henderson tive director. ed. AP reported. DBpageAD_DBpageAD.qxd 11/12/2013 12:28 PM Page 1

The Association of Fundraising Professionals Greater Detroit Chapter Congratulates the 2013 National Philanthropy Day Honorees! 2013 Philanthropy Awardees Max M. Fisher Award for Outstanding George Romney Award for Lifetime Edmund T. Ahee Jewel Award for Philanthropist Achievement in Volunteerism Outstanding Volunteer Fundraiser Mort & Brigitte Harris Gary C. Valade Jeff Bergeron

Neal Shine Award for Media Dr. John S. Lore Award for Outstanding Outstanding Corporation Commitment to Philanthropy Fundraising Executive Ford Motor Company and Joyce Jenereaux Margaret Cooney-Casey Ford Motor Company Fund

Sparky Anderson Award for Youth in Philanthropy Outstanding Foundation Dhivya Sridar Max M. and Marjorie S. Fisher Foundation

2013 Distinguished Volunteers Henry Aldridge - Michigan Theater Michael Hermanoff - Cranbrook Schools Horizons-Upward Bound Dan Ponder - The Salvation Army Anthony Allegrina - University of Michigan-Dearborn College John Hruska - Oakland University Kathy Power - Planned Parenthood Mid and South Michigan of Arts, Sciences and Letters Icon Dei Guild of Guest House - Guest House, Inc. Chuck Ronan - Orchards Children’s Services James Anderson - Wayne State University Taylor Jacobsen - Cass Community Social Services Dianna Ronan - Orchards Children’s Services Crystal Arcicovich - Walsh College Luella Marie Jahsan - St. Vincent and Sarah Fisher Center Warren Elliott Rose - Beaumont Foundation/Beaumont Debra Arnone - St. John Providence Health System Foundations Lynda K. Jeffries, Ph.D. - Presbyterian Villages of Health System Ashi Arora - Schoolcraft College Michigan Foundation Christine Ruen - Common Ground June Axelrad - Ferndale Public Library Laura Kalil - Walsh College David and Susan Sanders - Marian High School Christopher L. Belcher - Leave A Legacy Southeast Michigan Daniel Kanter - Evangelical Homes of Michigan Richard Sarns - Evangelical Homes of Michigan Jim Berline - Make-A-Wish Michigan Stacy Klein - Cranbrook Schools Michelle Seid - Oakland University Christine Bonkowski - Macomb Community College Adam Kochenderfer - Oakland University-College of Arts Pete Seilo - St. John Providence Health System Foundations Foundation and Sciences Mary Shafer - Edsel & Eleanor Ford House Carla Boyes - First Step Robert W. Koval - Guest House, Inc. Marcus Shelley - Henry Ford Health System Susan Burkhardt - McLaren Macomb Healthcare Foundation Douglas Krizanic - University of Michigan-Dearborn Howard Sims - Lawrence Technological University Fred Butters - Lawrence Technological University Thomas V. Larabell - Rose Hill Center Helen Starman - Interfaith Hospitality Network at Mike Byrne - Common Ground Andrea Levy - Henry Ford Health System Alpha House Libby Candler - Beaumont Foundation/Beaumont Health System Michele Lewis Watts - Detroit PAL Ann and Craig Stinson - Oakland University Denise Chirco - McLaren Macomb Healthcare Foundation Lillie Marie Lumpkin - Detroit Area Agency on Aging Patricia Stumb - St. John Providence Health System John Cole - University of Michigan-Dearborn Rob R. MacGregor - Planned Giving Roundtable of Foundations Robert Cosey - Henry Ford Village Foundation Southeast Michigan Jeanette Sui - Cranbrook Schools Pam Daniele - St. John Providence Health System Foundations Dr. Frederick Maibauer - Crittenton Foundation Deborah Tyner - Beaumont Foundation/Beaumont James Demmer - Canton Community Foundation Elaine T. Marcotte - Girl Scouts of Southeastern Michigan Health System Marjorie Diedrich - Detroit Zoological Society Lee Marks - Detroit Zoological Society Jill VanAlstyne - Presbyterian Villages of Michigan Foundation Michael Eizelman - Jewish Federation of Metropolitan Detroit Carolanne McClelland - St. John Providence Health David Wallen - StarÀ sh Family Services John and Mary Sue Everly - Marian High School System Foundations Linda Wasserman Aviv - Detroit Zoological Society Janette Ferrantino - Make-A-Wish Michigan Tynisha McGee - Detroit Inter- Alumni Council of the United Neil Wester - Methodist Children’s Home Society Karin W. Flint - Presbyterian Villages of Michigan Foundation Negro College Fund (DIAC/UNCF) Gloria and William Westrick - Macomb Community Carolyn and Dennis Flynn - Marian High School Patrick and Vivian McTigue - Marian High School College Foundation Michael J. Fontana - Guest House, Inc. Zelly Mikkelsen - Henry Ford Health System Evie Wheat - Cranbrook Academy of Art Matt Friedman - Children’s Hospital of Michigan George B. Millush - PVM Pamela Whitehead - The Children’s Center Barbara Goldberg - Orchards Children’s Services Joseph Nader - Gleaners Community Food Bank Pat Whitledge - CARE House of Oakland County Fred Goldberg - Orchards Children’s Services Lynn Pheney - StarÀ sh Family Services Cheryl Willette - Freedom House Nate Goldberg - Jewish Family Service Patrice Phillips - Jewish Federation of Metropolitan Detroit MaryAnn Wright - Lawrence Technological University Lynn Gross - Oakland University Frank Pierron - StarÀ sh Family Services Angela Hardison - The Children’s Center Ernestine Pixley - Crittenton Foundation (Sponsors listed as of Thank-you to the 2013 AFP National Philanthropy Day Sponsors 10/29/2013) Signature Sponsor Gold Sponsors Bronze Sponsors Ford Motor Company Fund St. John Providence Health Foundation Community Foundation for Southeast Michigan Wayne State University Crittenton Hospital Medical Center Foundation Edmund T. Ahee Jewel Award for Outstanding Detroit Zoological Society Volunteer Fundraiser VIP Reception Sponsor Guest House Henry Ford Village Foundation Edmund T. Ahee Jewelers The Remington Group Jewish Federation of Metropolitan Detroit Lawrence Technical University Presenting Sponsor Silver Sponsors Macomb Community College Foundation th Crain’s Detroit Business 4 Sector Consulting McLaren-Macomb Healthcare Foundation Children’s Hospital of Michigan Foundation Michigan Theater Broadcast Sponsor Clark Hill, PLC Oakland University Cranbrook Educational Community Detroit Public Television The Parade Company Gleaners Community Food Bank of Southeastern Michigan Planned Parenthood Mid and South Michigan The Max M. and Marjorie S. Fisher Foundation Presbyterian Villages of Michigan Foundation Platinum Sponsors Plante & Moran, PLLC Rose Hill Foundation Beaumont Health System The Children’s Center StarÀ sh Family Services Detroit Media Partnership Walsh College The Salvation Army Henry Ford Health System University of Michigan-Dearborn DBpageAD_DBpageAD.qxd 11/14/2013 12:32 PM Page 1

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