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DETROIT BUSINESS MAIN 10-30-06 a 1 CDB.Qxd DETROIT BUSINESS MAIN 10-30-06 A 1 CDB 10/27/2006 6:33 PM Page 1 ® http://www.crainsdetroit.com Vol. 22, No. 44 OCTOBER 30 – NOVEMBER 5, 2006 $1.50 a copy; $59 a year ©Entire contents copyright 2006 by Crain Communications Inc. All rights reserved THIS JUST IN Arcelor to own 40% Race for $15B military deal of Noble after deal Warren-based Noble Inter- national Ltd. said it has General Dynamics bids for Humvee replacement agreed to buy Tailored Blank Arcelor, a European produc- BY SHEENA HARRISON The U.S. Army and U.S. Marine er of laser-welded blanks, CRAIN’S DETROIT BUSINESS Corps want to develop a family of for $300 million in cash and “joint light tactical vehicles” stock in a transaction that Sterling Heights-based General (JLTVs) that can carry more would make its parent Dynamics Land Systems is gearing troops and provide more protec- company, Arcelor S.A., a 40 up to compete for as much as $15 tion than the Humvee. percent owner of Noble. billion from a military program to General Dynamics is one of at The deal will create a develop a replacement vehicle for least three major defense contrac- $1.1 billion producer of some of the 150,000 Humvees now General Dynamics’ laser-welded blanks with a used by U.S. forces. See Vehicle, Page 22 proposed replacement. presence in both the U.S. and Europe. “This potential transac- tion represents a major milestone for both Noble and TBA in terms of creat- ing a financially sound and true global supplier of en- That’s the gineered laser-welded blanks and specialty tubes,” Noble Chairman Robert Skandalaris said in a statement. Tailored Blank Arcelor ticket is among Europe’s largest producers of laser welded blanks for the automotive industry. Laser welded New programs, blanks are used by au- tomakers and suppliers in automobile body compo- bonuses help lottery nents such as doors, fend- ers and side panels. reach record sales Noble (Nasdaq: NOBL) said the deal would create NEWSCOM BY AMY LANE a combined company with Carlos Guillen and the Detroit Tigers’ World Series games against the St. Louis Cardinals are on CAPITOL CORRESPONDENT 2007 sales of about $1.1 bil- broadcast television, but it’s a strong possibility there won’t be any local Tigers broadcasts in 2007. lion and earnings before LANSING — When Lottery Commissioner Gary interest, taxes, deprecia- Peters took his job in 2003, it struck him as odd that tion and amortization of the state employees sell- about $122 million. ing lottery products WINNING NUMBERS: Noble said it expects to weren’t getting incen- gain about $500 million in No free TV? tives like private-sector revenue and $53 million in salespeople. 34 EBITDA from Tailored As of 2006, they are. Years the lottery has BY BILL SHEA been played. Blank Arcelor. Noble, And in a business Despite CRAIN’S DETROIT BUSINESS where growth is a which last month an- nonstop chal- nounced its plans to acquire Despite being American League champions and World Se- lenge, steps like 70 Troy-based Pullman Indus- ries participants for the first time in 22 years, the Detroit Tigers success, performance Approximate tries Inc., was expecting 2007 may not be on free local broadcast television next season. number of bonuses and ag- sales of about $600 million. The team and cable partner Fox Sports Net Detroit, which instant-ticket gressive sales The deal calls for Noble’s Tigers may handled the broadcast deal with WMYD-Channel 20 for this games management, com- released each management team to re- season, have begun preliminary talks with stations interest- ed in televising games for 2007, said Karen Cullen, vice pres- bined with new year. main in place with Thomas games and higher prize Saeli continuing as CEO be on cable ident of corporate communications for Ilitch Holdings Inc., Red Wings payouts, have helped the and Skandalaris will re- which owns both the Tigers and . Talks with radio 500,000 stations have begun, too. lottery reach sales Number of tickets to be main chairman of the The key factor in negotiating a broadcast TV deal is the records amid a sputter- released next month board and Arcelor would only next Tigers’ success. The team believes its games are worth more, ing economy and casino- with the best odds ever become Noble’s largest but station executives are skeptical of any significant boost. gambling competition. of a $1 million prize. shareholder. There’s a very real chance the Tigers could be off the free The just-ended 2006 fis- — Brent Snavely year local airwaves in 2007, as they were in 2004 and 2005, those in- cal year marked the third consecutive year of lot- See This Just In, Page 2 tery sales records, thanks in part to the 2003 launch See Tigers, Page 25 See Lottery, Page 25 Contract dispute threatens CRAIN’S LIST marriage of DMC, Wayne Largest home builders, NEWSPAPER State med school, Page 11 Page 16 DETROIT BUSINESS MAIN 10-30-06 A 2 CDB 10/27/2006 6:50 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS October 30, 2006 transactions to happen for the The law firm and affiliated hopes to break ground in Decem- Florine Mark gives $2M for THIS JUST IN second half of this year,” he said. companies plan to take about ber or January, and the project Brewery Park is owned by 165,000 square feet of the 185,000- should be completed by early fall. sports, fitness complex ■ Crain Communications Inc square-foot building, moving 650 From Page 1 . and — Anjali Fluker The Jewish Federation of Metro- Brewery Park Associates, a partner- employees in during late spring politan Detroit on Friday an- Wayne County chief to lead ship of Stroh Properties and a Kirco or early summer 2007. The re- nounced a $2 million gift from Development affiliate. maining 20,000 square feet is Welch named interim leader trade delegation to China Weight Watchers President and — Michelle Martinez available for lease, and the build- of State Bar of Michigan Wayne County Executive ing at 31440 Northwestern High- CEO Florine Mark. Robert Ficano will lead a trade way will get a new name. Janet Welch, general counsel The gift will support the opera- delegation to Chinese manufac- Latest campaign filing: — Jennette Smith for the Lansing-based State Bar of tion of the 100,000-square-foot turing cities Chongqing, Wuhan, DeVos $19.7M, Granholm $2M Michigan, was appointed interim Florine Mark Sports and Fitness Nanjing and Beijing from Nov. 8 executive director for the associ- Complex and the new Jean and to Nov. 21. Republican gubernatorial can- YMCA to run GM fitness center ation effective Oct. 23. Samuel Frankel Jewish Academy Business delegates, including didate Dick DeVos raised nearly General Motors Corp. has hired She will oversee operations of of Metropolitan Detroit currently Wayne County Airport Authority Pres- $19.7 million in the most recent YMCA of Metropolitan Detroit to the association, which has 32,000 under construction. ident and CEO Lester Robinson campaign finance period, includ- manage a fitness center it plans lawyer members. Welch will also — Sherri Begin and Detroit Regional Chamber Vice ing $18.4 million of his own mon- to open in the GM Renaissance serve on the team seeking a new President John Carroll, will meet ey, and he spent nearly $18.3 mil- Center in January. director by early next year. with prospective business part- lion, according to campaign The new center, on the first She steps in for John Berry, who Grand opening celebration is ners and government agencies. reports filed Friday. floor of the GM Wintergarden in left Oct. 20 for The Florida Bar. Friday for TechTown tenant For more information, contact Gov. Jennifer Granholm raised Tower 300, will be open to the pub- — Robert Ankeny Olivia Deng at (313) 224-0267, or at just over $2 million in the period lic with paid membership, said TechTown, the Wayne State-affili- [email protected]. and spent $6.4 million, according John Harris, director of the Boll Concours d’Elegance founder ated technology park and incuba- — Michelle Martinez to a news release from her cam- Family YMCA in Detroit. He de- tor, will hold the grand opening paign. Her filing was not avail- clined to disclose contract details. turns over reins of event Friday for its first retail tenant, able on the Department of State’s — Sherri Begin the Java Exchange Café, with a Blues to lease space in Don Sommer, founder of the Web site as of 6 p.m. Friday. day-long series of events. Brewery Park building — Amy Lane Meadow Brook Concours d’Elegance, Auburn Hills planners to mull last month stepped down as chair- “The launch of this innovative Blue Cross Blue Shield of Michi- man after 28 years. eatery is a significant milestone gan on Friday signed a four-year Redico will manage hotel for Baldwin, I-75 Sommer, 73, handed the chair- for TechTown,” Howard Bell, lease on the second floor of Brew- new Trott & Trott HQ building The Auburn Hills Planning Com- manship of the Meadow Brook TechTown’s executive director, ery Park Phase II building at 1155 mission this week is expected to Hall fundraiser to Larry Smith, said in a release. “It confirms that Gratiot Ave. to group together Law firm Trott & Trott P.C. an- consider a plan for a 90-room Holi- president of Autometric Collision. we have generated a business com- employees that had been working nounced details of its upcoming day Inn Express Hotel & Suites on Smith, 55, has served for many munity so successful, it is attract- across several different Detroit move to the former Compuware Baldwin Road at I-75.
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