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DETROIT BUSINESS MAIN 05-07-07 a 1 CDB.Qxd DETROIT BUSINESS MAIN 05-07-07 A 1 CDB 5/4/2007 6:49 PM Page 1 ® http://www.crainsdetroit.com Vol. 23, No. 19 MAY 7 – 13, 2007 $2 a copy; $59 a year ©Entire contents copyright 2007 by Crain Communications Inc. All rights reserved THIS JUST IN ASC files for Ch. 11, Biz-tax plans under scrutiny makes deal to sell units Southgate-based ASC Inc., Both big and small details of the founded by the late Heinz Automakers could get credit for laid-off workers plans are under scrutiny. For ex- Prechter in 1965, has en- ample, the Michigan Townships Asso- tered Chapter 11 bankrupt- BY AMY LANE questions fac- ments in two central proposals to ciation criticized the Senate plan cy protection as part of a CAPITOL CORRESPONDENT THE DETAILS ing lawmakers replace Michigan’s single-busi- for the revenue local governments as they move to ness tax. would lose from the personal-prop- plan to sell itself. It filed the LANSING — Michigan au- More on the petition Wednesday in U.S. negotiate dif- Passed last week were a Senate erty tax, saying the measure would tomakers and other companies plans, Page 44. Bankruptcy Court in Detroit. ferences be- Republican plan that would in- “cripple essential local services could get a new tax credit for ASC, which specialized tween compet- clude an approximate $600 million that families depend on.” wages they pay to laid-off workers, in making sunroofs and ing business-tax plans passed by tax cut and about $87 million in And while the House Democrat- while some of Michigan’s profes- low-volume specialty cars, each chamber of the Legislature. personal-property tax relief, and a ic plan contains $700 million in sional firms couldn’t get the same already has shut down four From local governments’ con- House Democratic plan that would new tax credits for in-state busi- of its plants and cut its tax credit for people they employ, cerns over retaining personal- fully replace the SBT’s $1.9 billion ness investment, compensation, workforce from 1,250 at the under a business-tax plan passed property tax revenue to the ques- in revenue and include more than and research, one concern is that start of 2005 to 252 as it by the state House last week. tion of tax neutrality versus tax $900 million in personal-property See Tax, Page 44 struggled to stay alive. That’s just one of the policy cut, lawmakers will debate ele- tax relief. The pending sale to Los Angeles-based private-eq- uity firm Hancock Park As- sociates will retain ASC’s sunroof and design units, Architecture but liquidate “non-produc- tive” assets. ASC already has shut down its composites opera- firm targets tions and failed in earlier ef- forts to find a buyer for Auto brain those facilities. In January, liquidators sold presses, Michigan paint lines, sanding sta- tions, injection-molding ma- chines and other equipment from three plants ASC closed last year, according drain for growth to Hilco Industrial L.L.C., an equipment liquidator. BY JENNETTE SMITH According to an affidavit CRAIN’S DETROIT BUSINESS filed in bankruptcy court As vehicle sales rise outside U.S., by ASC CEO Paul Wilbur, Architecture and engineering firm ASC ran into trouble when SSOE Inc. plans to expand its three it invested nearly $250 mil- will decision-making follow? Michigan offices this year, including lion to make the Chevrolet the Troy office that specializes in SSR sports truck for Gener- BY BRENT SNAVELY health care and retail projects. al Motors Corp. along with CRAIN’S DETROIT BUSINESS North America: 12 million vehicles to 6 million The Toledo-based company plans to three other specialty vehi- add 200 employees this year, and in- y 2013, vehicle development crease its Michigan cles contracted to ASC by for more than 90 percent of 1997 12M the Detroit automaker. DEVELOPMENT SHIFTS employee base by B new cars and trucks made at least 25 percent ASC expected a $225 mil- 2006 10M will take place outside the United According to a report in each office, or up lion boost in its annual rev- States, according to automotive re- enue from the program, but 2013 6M by CSM Worldwide, to 60 new jobs. search firm CSM Worldwide Inc. CEO Tony Da- GM later decreased produc- more of the primary And as those global product-de- mon said the Troy tion of the SSR, canceled it velopment trends play out, both development of early and terminated the Europe: 20 million vehicles to 30 million office, the second- automakers and suppliers will vehicles produced is largest for the com- contract for the other three move more decision-makers to the 1997 20M expected to take place pany with 116 em- vehicles, Wilbur said. places where the automotive in- At the same time, Daimler- Damon ployees, houses dustry is growing, industry profes- 2006 in Europe and Asia. Chrysler AG 20M experts for increas- halted produc- sionals say. tion of its Dodge Viper — ingly sophisticated health care as- Michael Robinet, vice president 2013 30M signments and a steady lineup of re- which used composite parts of global vehicle forecasts for CSM, from ASC — for a year be- tail work. Clients in those categories presented his forecast April 16 at a Asia: 20 million vehicles to 43 million include Oakwood Healthcare, Wayne cause of problems with an seminar sponsored by the Original 1997 20M State University-University Physician engine. ASC reduced its Equipment Supplier Association, work force and shut down Group, University of Michigan Health Sys- which was held in conjunction with 2006 28M tem, Mt. Clemens Regional Medical Cen- factories and also began the Society of Automotive Engineers seeking a new buyer in 2005. ter, Beaumont Hospitals, Meijer Inc. and World Congress at Cobo Center. 2013 — Crain News Service 43M Rite Aid. While the presentation was “Both of those areas are very See This Just In, Page 2 See Autos, Page 45 See SSOE, Page 45 Chasing musical CRAIN’S LIST dreams while holding a Largest law firms, NEWSPAPER day job, Page 29 Page 14 DETROIT BUSINESS MAIN 05-07-07 A 2 CDB 5/4/2007 6:29 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS May 7, 2007 A call to Farmer Jack’s parent compa- worked in real estate for 30 years, was KNOW A POWER SELLER? TELL US ny, The Great Atlantic & Pacific Tea Co. Inc., previously president of West Bloomfield THIS JUST IN Crain’s Detroit Business is seeking top based in Montvale, N.J. late Friday after- Township-based Gordon Realty Corp. salespeople for its Power Sellers feature. ■ noon was not returned by deadline. — Jennette Smith From Page 1 This special section, to be published July 9, Guardian to close Roseville plant — Sheena Harrison will spotlight the dealers and closers in Valeo sells technical center Southeast Michigan that use creativity and Auburn Hills-based Guardian Industries DeMaria gets Adrian deal moxie to close the sale and exceed goals. Corp. said last week that it plans to close Valeo Electrical Systems Inc. closed on To nominate someone, go to its automotive molding and extrusion Detroit-based DeMaria Building Co. has the sale of the 437,000-square-foot Auburn www.crainsdetroit.com and click on “Power plant at 28250 Hayes Road in Roseville. been selected to build the NextDiesel man- Hills technical center at 3000 University Sellers” under the “forms and surveys” Amy Hennes, Guardian’s manager of ufacturing and office complex in Adrian. Drive to a new owner that has signed a headline in the left-hand bar. corporate communications, said the plant The $4 million contract was awarded long-term lease with Delphi Corp., brokers To request a nomination form by mail, fax or e- is expected to close by the end of the year by Biofuel Industries Group L.L.C., which said last week. mail, call Anita Duncan at (313) 446-0329. and the closing will affect 65 jobs. She owns and operates NextDiesel. The 30,000- The Metcalf Family Living Trust bought Nominations must be received by June 8. said some of the work will move to plants square-foot plant will be used to make the property in an approximately $33 mil- Guardian owns in Georgia. biodiesel fuel from vegetable oils, animal lion deal previously approved in Delphi’s LOOKING FOR HEALTH CARE HEROES Guardian said its decision was unrelat- fats and other substances. bankruptcy case. Delphi plans to house ed to the performance of the plant. The complex is to be completed in July. 1,400 employees at the site. Crain’s Detroit Business is seeking The 46,000-square-foot building is — Sheena Harrison Brokerages on the deal include L. Mason nominations for Health Care Heroes, a special section in the Aug. 6 issue. Winners will be owned by College Industrial Park Associates Capitani, Binswanger America L.L.C., Grubb & Ellis and Colliers International. Capitani also named in the following categories and of Bingham Farms, and Guardian’s lease Oakwood’s $106.9M in bonds sold recognized during a Sept. 19 luncheon: expires in March 2009. is representing Valeo in a search for a Ⅲ Corporate achievement in health care: — Brent Snavely Oakwood Healthcare Inc. said Friday that new site in metro Detroit. — Jennette Smith Honors a company that has created an the Michigan State Hospital Finance Authori- innovative benefits plan or that has solved a Union: Team says no to Farmer Jack ty has successfully sold $106.9 million of problem in health care administration. Oakwood’s revenue bonds.
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