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www.crainsdetroit.com Vol. 24, No. 35 SEPTEMBER 1 – 7, 2008 $2 a copy; $59 a year

©Entire contents copyright 2008 by Crain Communications Inc. All rights reserved THIS JUST IN Golf resort Defense industry meeting Merit raises beat in Troy Sept. 15-17 builders The National Defense In- dustries Association, Michi- gan chapter, is holding a pony up conference Sept. 15-17 for defense contractors, sub- bosses’ predictions contractor firms, local gov- ernment officials and other own funds businesses interested in the defense industry. Survey finds optimism for ’09 LOOKING AHEAD The association hopes BY DANIEL DUGGAN up to 300 people will attend CRAIN’S BUSINESS A study by the American Society of BY SHERRI BEGIN around the state, 266 respondents Employers shows that the fall business event, Developers are most comfort- CRAIN’S DETROIT BUSINESS projected their merit increase companies are projecting the which will include speak- able when they’re working on a budgets would following average merit increases ers, panel discussions and sure-shot development, using oth- Michigan employers were grow 3.19 per- for the coming year: Detroit networking at the er people’s money. more generous with merit pay in- cent for nonex- Marriott Troy. A four-person investment group creases in 2008 than they predict- empt employ- About 225 people attend- ed they would be last January, 3.3 percent from Shelby Township, building a ees, or those for nonexempt workers, or those ed last year’s inaugural $52 million residential community according to a new study from workers eligi- Constance Blair workers eligible for overtime. event, said , around two golf the American Society of Employers. ble for over- president of Warren-based courses, is going in the opposite di- “Employers are doing every- time. Technol- defense contractor rection — building residential in a thing they can to stay in busi- They pro- ogy Ventures Inc. and a 3.4 percent down market and spending its own ness,” said ASE President Mary jected salaried, for salaried, or exempt employees. member of NDIA-Michi- Schroeder. money to do it. Schroeder or exempt em- gan’s board of directors. Ron Marino insists the project is “They need to continue to keep ployee bud- “A lot of defense dollars no gamble. employees as well, but they just gets, would increase 3.37 percent 3.7 percent come to and through “From day one, we knew this don’t have the budgets that this year, and those for officers for directors and executives. Michigan, and we would would allow them to give huge and executives would go up 3.51 would be a five-to-10-year project, About 9 percent of the Michigan like to see more of those but it was also bought at the right increases.” percent. dollars go to Michigan In a January survey of compa- respondents said they don’t plan companies to create Michi- to give any merit increases at all. See Builders, Page 30 nies in and See Raises, Page 28 gan jobs,” said Blair, who is conference chairwoman. Local defense companies taking part include Ster- ling Heights-based General Dynamics Land Systems and AM General L.L.C., makers of the military Humvee. New medical centers For more information on the “Building Your Toolkit for Government Business” event, see www.ndia- mich.org. may struggle for staff — Chad Halcom

CitiMortgage is moving BY JAY GREENE to Pittsfield Township CRAIN’S DETROIT BUSINESS Help wanted Hospital industry folks like to say, “If CitiMortgage, a division Area hospital systems will open you build it they will come.” “They” usual- several new medical facilities in Citi- of New York-based ly are patients. But what if “they” are em- the coming year. The numbers Group of employees they will need: (NYSE: C) will move ployees? 470 employees out of its Given the dire shortage of health care Southfield office and into professionals in Michigan, health care ex- its Pittsfield Township of- perts are raising questions about where 1,600 fice. the required employees will be found to The move comes after a staff the two new hospitals, four new med- St. John review of employees in the ical centers and several other physician- two offices in an attempt to owned health care facilities slated to open Mark 1,400 be more efficient, said in Oakland County in the next two years. Rodgers , vice president of Experts say the search to hire the esti- William Beaumont Citi Con- public affairs for mated 3,000-4,000 employees to staff the fa- sumer Banking . cilities is expected to be challenging at best 650 There are currently 700 and nearly impossible at worst. employees in the Pittsfield Over the last several years, physician, McLaren Health Township office, Rodgers REBECCA COOK Joshua Barsaleau and Jennifer Bainbridge, both registered nurses, are new hires at nursing and professional allied health as- See This Just In, Page 2 St. John Providence Park Hospital. Barsaleau came from St. Joseph Mercy 70 Oakland in Pontiac, and Bainbridge from St. Joseph Mercy Hospital in Ann Arbor. See Hospitals, Page 28

Wineries savor ‘Green teams’ growth in tourism, sprout,

NEWSPAPER Page 18 Page 11 DETROIT BUSINESS MAIN 09-01-08 A 2 CDB 8/29/2008 6:54 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS September 1, 2008

on the deal. Doshi moved from Livingston United Way starts trial building has been on the in the county and overseeing its THIS JUST IN leased space at 1607 E. Big Beaver market for more than a year, Ann Arbor and Ypsilanti commu- Road. campaign Thursday high energy prices made the nity centers. ■ From Page 1 — Daniel Duggan The Livingston County United Way building’s location more appeal- Williams, who has a 20-year ca- plans to kick off its annual cam- ing and helped prompt a recent reer with the Salvation Army, pre- said, though 60 jobs have been Cendrowski Corporate Advisors paign Thursday. sale, said Robert Pliska, managing viously was Genesee County com- eliminated as part of the efficien- The campaign, which runs director with Birmingham-based mander at the nonprofit’s Flint cy review. to open Chicago office through the end of October, will Sperry Van Ness/Property Invest- affiliate. He replaces Ralph Labbee The company has a lease for ment Advisors, who represented who led the center for the past two Bloomfield Hills-based fund four areas: basic needs, 113,000 square feet at the Galleria the seller. years before leaving to head the Cendrowski Corporate Advisors L.L.C., strengthening families, healthy Officentre building in Southfield The 500,000-square-foot build- Salvation Army’s Wichita, Kan., which advises companies on aging and early childhood pro- through 2014, according to the ing was sold to a group of in- affiliate. fraud deterrence and offers litiga- grams. Bethesda, Md.-based CoStar Group. vestors for $1.7 million, according — Sherri Begin tion support, opens a downtown The Livingston County United Rodgers said no decision has Chicago office this week. Presi- Way has not set a specific finan- to CoStar Group. The building at been made on what to do with the dent Harry Cendrowski said he de- cial goal for the last few years, 1200 E. McNichols Ave. was sold space, which will be vacant by the State ad campaign wins award cided to open the Chicago office af- said Executive Director Nancy by an equity group, an affiliate of end of the year. Michigan’s tourism campaign ter having trouble recruiting Rosso. Last year, the campaign Irvine, Calif.-based Sperry Van CitiMortgage will move into the has won more top awards from senior-level experts in forensic ac- brought in just under $1.4 mil- Ness. It was sold to a group of local Avis Farms South office park the Travel Industry Association of counting to move to the Detroit lion, she said. investors organized under the building constructed for the ABN America. area. The Chicago office will ini- — Sherri Begin name Highland Park Real Estate Amro Mortgage Group — which Citi The Pure Michigan campaign, tially be staffed with three or four L.L.C. acquired in 2007. created by the Birmingham office fraud experts. — Daniel Duggan — Daniel Duggan BorgWarner promotes exec of McCann Erickson, was honored — Tom Henderson Auburn Hills-based BorgWarner for the best state tourism radio Doshi buys Troy building Inc. (NYSE: BWA) has promoted Salvation Army makes advertising in the country. Pure Firm moves Birmingham office Hans-Peter Schmalzl to be the com- Michigan showcases the state’s Troy-based Doshi Associates has Washtenaw appointment Clark Hill P.L.C. has moved its pany’s chief technology officer. golf courses, beaches and other purchased a building and moved The Salvation Army of Washtenaw Birmingham office to 151 S. Old Schmalzl, 48, replaces Mark Per- attributes. The campaign won into expanded office space. County has named John Williams as Woodward, Suite 200, at the lick, recently retired after 10 awards last year from the Wash- The architectural firm opted to southeast corner of Maple Road, years at the powertrain compo- Washtenaw County coordinator, ington-based association. — Amy Lane occupy 24,000 square feet at 5755 where the firm occupies 37,699 nent and system supplier. heading the nonprofit’s programs Schmalzl joined BorgWarner Tur- New King Court in Troy and buy square feet. It’s an expansion of bo Systems in May 2000 and was the building. The other 35,000 nearly 80 percent over the previ- CORRECTIONS named vice president of technolo- square feet there is under a long- ous office at 255 S. Old Wood- gy for the unit in 2002. A story on Page 18 of the Aug. 18 edition should have said that Wal- term lease with LMS North America. ward. Doshi bought the building for $6.3 — Ryan Beene ter Zimmerman, president of Climate Technologies Corp. in Northville, Dan Minkus, managing member is among the entrepreneurs approved for the first year of the Product million from Miami Beach, Fla.- of the 32-lawyer Birmingham of- Realization and Technology Commercialization Program at the Univer- based LNR Property Corp., according fice, said the move “accommo- Energy prices help building sity of Michigan-Dearborn. An incorrect name at the company was listed. to CoStar Group. dates our plans for continuing sell in Highland Park A story on Page 16 of the Aug. 25 edition misspelled the name of Friedman Real Estate Group in growth in Oakland County.” Baluster Park, a corporate office park in Troy. Farmington Hills was the broker — Robert Ankeny Though a Highland Park indus- hap is ... your Michigan-based partner

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September 1, 2008 CRAIN’S DETROIT BUSINESS Page 3 CRAIN’S Names behind rail plan emerge INDEX

nancial and political backers. Profit report: Earnings of Ilitch, Karmanos among those pledging funds They join Quicken Loans Inc. public companies in founder Dan Gilbert, who plans to Southeast Michigan were move his company’s headquarters battered in the second BY BILL SHEA Crain’s on the quarter, but beat national CRAIN’S DETROIT BUSINESS condition of from Livonia to Detroit in the next figures. Page 4. anonymity. couple of years, and Penske Corp. The slow unraveling of Detroit’s A third backer, founder Roger Penske as the known worst-kept secret continued last Troy-based Kres- private figures involved in the pro- week with the unveiling of three ge Foundation ject, a key element in economic revi- more key players in the closely President and talization efforts for the city and re- guarded private-sector effort to con- CEO Rip Rapson, gion. struct a $103 million light-rail loop recently stated Gov. Jennifer Granholm is known on Woodward Avenue. his organiza- to back the plan, and State Senate Peter Karmanos Jr., founder of De- Majority Leader Mike Bishop and Traffic tie-ups: Freeway Ilitch Karmanos Rapson tion’s interest in closings in Detroit may troit-based software maker Com- the project, House Speaker Andy Dillon have get the attention, but puware Corp., and Mike Ilitch, owner tial backers that have committed called the Woodward Transit Cata- voiced support. Legislation eventu- work on I-94 approaching of the Detroit Tigers and Detroit Red undisclosed sums to construction of lyst Project, and the source con- ally will be required to move the pro- the Bridge (above) also is giving Wings and co-founder of Little Caesars the 3.4-mile mass-transit project, a firmed that Rapson has been part of drivers headaches. Pizza, are among a cadre of influen- source familiar with the project told confidential meetings of the plan’s fi- See Transit, Page 29 Page 6. Hot dog: A new Detroit company has landed a deal to bring Zack’s Hotdogs with an Attitude to Southeast Michigan. Page 25. Technology can alert drivers to American Axle Lost license: If Detroit’s mayor loses his license to practice law over his legal troubles, he may be red-light runners and able to regain it in the lays its bets future. Page 27.

other driving hassles. American Axle ...... 3 American Society of Employers . . . . . 3 ArvinMeritor Inc...... 4 It’s a good argument for ... on growth Awan & Associates ...... 17 Carbon Credit Environmental Services ...... 16 Center for Automotive Research . . . 30 Champion Enterprises Inc...... 4 outside U.S. Citizens Republic Bancorp Inc. . . . . 4 Comerica Bank ...... 11 BY ROBERT SHEREFKIN Community Central Bancorp Inc. . . . 4 Connecting all cars AND DAVID BARKHOLZ Compuware Corp...... 4 CRAIN NEWS SERVICE Connected Vehicle Proving Center . . 3 Deloitte L.L.P...... 12 BY RYAN BEENE The new technologies being test- For example, it can warn a dri- Detroit-based American Axle & Manu- Dura Automotive Systems Inc...... 4 Energy Conversion Devices Inc. . . . . 4 CRAIN’S DETROIT BUSINESS ver if another vehicle is changing facturing Holdings Inc. plans to slash its ed at the intersections rely on Environmental Recycling Group . . . 16 wireless communication between lanes or entering a driver’s blind U.S. investment and pursue growth EQ — The Environmental Quality Co. 12 On Nine Mile Road between the vehicles, and between vehicles and spot. Or, it can trigger automatic overseas as part of a recasting of the Flagstar Inc...... 4 Southfield Freeway and Northwest- road infrastructure. braking to avoid a crash. company, according to internal docu- GMA Industries ...... 17 ern Highway service drives, auto- In short, vehicles equipped with Infrastructure like traffic lights ments obtained by Crain’s Detroit Busi- Greening of Detroit ...... 16 motive companies can now test the wireless technology know equipped with the technology can ness’ sister publication Automotive ...... 28 Honigman Miller ...... 11 new technologies that could lead to where other similarly equipped tell drivers how long they will be News. safer driving. The intersections in John Carlo Inc...... 6 vehicles are on the road around waiting for a green light, or if a dri- The driveline company plans to Johnson Controls Inc...... 4 the area are rigged with wireless them. ver in a crossing lane is about to spend $73 million on its U.S. operations Loomis Sayles & Co. L.P...... 4 communication hardware to trans- this year to support new products and Masco Corp...... 4 See Driving, Page 30 mit traffic information, traffic-light contracts, but just $30.3 million next MCC Mecosta L.L.C...... 30 McLaren Health Care ...... 28 timing and other important safety year. data between vehicles, the Michigan Michigan Dept. of By contrast, its international invest- Environmental Quality ...... 17 Department of Transportation and the ment is expected to reach $162.3 million Michigan Department Ann Arbor-based Connected Vehicle HIGH-TECH DRIVING this year and $189.7 million in 2009. of Information Technology ...... 7 Proving Center. Automotive companies are testing new Facing headwinds from weak truck Michigan Department technologies at local intersections that sales here, American Axle forecasts in- of Transporation ...... 3 could lead to safer driving. The Michigan Green Safe ...... 14 ternational revenues will top U.S. rev- ...... 27 intersections are rigged with wireless enues for the first time in 2010. By 2013, communication hardware that Ministrelli Construction Co...... 30 international revenues will total $2.64 NSF International Inc...... 15 transmits information between billion — more than double projected Preferred Family Medicine ...... 17 vehicles, and between vehicles and Pulte Homes Inc...... 4 the road infrastructure. U.S. revenues of $1.2 billion, the docu- ments show. Recycle Here ...... 14 Here’s just one example of how the Round Barn Winery ...... 18 technology can work. CEO Richard E. Dauch is placing his Southeast Michigan Sustainable Driver A gets a green light at an bets beyond U.S. borders. Between this Business Forum ...... 11 intersection, but a crossing year and 2013, the documents show, he St. John Providence Park Hospital . 28 driver B isn’t slowing for a plans to spend $1.04 billion outside the TriMas Corp...... 4 . That compares with Triton Stormwater Solutions ...... 16 red light. TRW Automotive Holdings Corp. . . . . 4 Traffic sensors monitoring $219.5 million for American Axle’s U.S. University Bancorp Inc...... 4 crossing lanes send a signal plants. U.S. Manufacturing Corp...... 12 to warn driver A that driver “Our U.S. spending reflects the flat William Beaumont Hospitals . . . . . 28 B may run the red light. U.S. growth versus the rapidly growing A warning flashes on international market,” said Renee an electronic screen in Rogers, American Axle’s manager of BANKRUPTCIES ...... 6 driver A’s vehicle that media relations. She said the figures BUSINESS DIARY ...... 23 driver B is about to obtained by Automotive News are part CALENDAR ...... 24 run a red light. of a “living document” that changes CAPITOL BRIEFINGS ...... 7 Driver A stops, with customer production schedules CLASSIFIED ADS...... 22 before entering the and other factors. KEITH CRAIN ...... 8 intersection. A former American Axle executive LETTERS ...... 8 The Connected Vehicle says, “If you want to know where GM OPINION ...... 8 Proving Center has an OTHER VOICES ...... 9 animation showing how its will be locating new assembly plants, watch American Axle.” PEOPLE ...... 24 system works. To take a look, go to RUMBLINGS...... 31 www.crainsdetroit.com/multimedia. The documents show two new plants TALK ON THE WEB ...... 8 See American Axle, Page 29 WEEK IN REVIEW ...... 31 DETROIT BUSINESS MAIN 09-01-08 A 4 CDB 8/29/2008 6:17 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS September 1, 2008 TAKING STOCK NEWS ABOUT DETROIT AREA PUBLIC COMPANIES 2Q earnings down, but better than national performance

BY TOM HENDERSON Johnson Controls Inc. going from $396 CRAIN’S DETROIT BUSINESS 2ND QUARTER EARNINGS million to $439 million. “The auto suppliers are proba- Earnings of public companies in For complete results visit www.crainsdetroit.com bly holding their breath over up- Southeast Michigan were battered coming quarters,” said Dana John- in the second quarter, while hous- Without GM and Ford. son, the chief economist for ing and housing-related stocks con- 65 reporting companies. Comerica Bank, referring to plans tinued to struggle. 2008 2007 by GM, Ford and Chrysler L.L.C. to Auto suppliers managed to do cut production of vehicle lines — better than a year ago despite $497.2 $275.6 primarily trucks and SUVs — that earnings meltdowns by General Mo- million million had sold well until recently. tors Corp. and Ford Motor Co. Most Nonautomotive manufacturers nonautomotive manufacturers improved except Masco Corp., which showed improvements year over makes products for the new-home 80.4% year, and the tech sector did well. market. Masco was off from $189 On balance, local earnings out- million in net income to $82 million. performed those nationally. With GM and Ford. Four of the other five companies re- “The benchmark is that nation- 67 reporting companies. ported better earnings, with TriMas 2008 2007 ally, the S&P was down 23 percent, Corp. showing the best improve- year over year. The median com- ment, going from a loss of $3.2 mil- $24.6 $1.4 pany in Michigan was down 11 lion to net income of $9.5 million. percent,” said David Sowerby, billion billion Other housing-related woes portfolio manager and chief mar- showed up in the results of five ket analyst for Loomis Sayles & Co. real estate investment trusts, L.P. in Bloomfield Hills. -1,857% which went from combined net in- “Michigan did a little better come of $27.2 million to a com- than the U.S. as a whole, which is bined loss of $1.4 million. 2008Impact Awards surprising given the number of fi- “I see some of the better free cash The two local homebuilders con- Recognizing real estate that makes a difference in southeast Michigan nancial and consumer-discre- flow in tech stocks,” Sowerby said. tinued to struggle. Champion Enter- tionary companies, which were Twelve reporting auto suppliers prises Inc. went from net income of hard hit,” he said. New construction winner Redevelopment winner Special impact winner — Dura Automotive Systems Inc., $7.5 million to income of $3.4 mil- Sowerby tracks 75 public com- which emerged from bankruptcy lion; and although Pulte Homes Inc. Detroit East Riverfront Detroit Institute of Arts Whitdel Apartments panies in Michigan. Not counting in June, said it would not be able posted a loss of $155.4 million, that DETROIT Master Plan Implementation DETROIT GM and Ford, Crain’s tracks 68 to file on time — combined for a and Renovation companies in , three was a sharp improvement from the loss of $389.7 million, an improve- DETROIT of which had not filed reports as of $507.6 million loss it posted in the Friday’s deadline for the quarter, ment over the $463.2 million lost in second quarter last year. Awards luncheon which for most ended June 30. the second quarter last year. “I think you’ll see an acceleration September 18 s 11 am – 1:30 pm Those 65 had a combined loss of Exclude American Axle & Manufac- of earnings in the current quarter Oakland Hills CC s $65 $497.2 million for the recent quarter, turing Holdings Inc., and the sector and more in the fourth quarter,” Registration/details at: www.crewdetroit.org compared to a loss of $275.6 million was well into the black. Eight firms Sowerby said. “We have gotten for the same quarter last year. Add improved, with TRW Automotive Hold- through the worst of the asset write- in GM and Ford, and the combined ings Corp. going from net income of downs that began in the third and loss was a whopping $24.6 billion, $11 million to $221 million, ArvinMeri- fourth quarters last year.” Presented by Sponsor compared with net income of $1.4 tor Inc. going from a loss of $70 mil- Tom Henderson: (313) 446-0337, Commercial Real Estate billion in second quarter 2007. lion to net income of $44 million, and [email protected] Women Detroit Nationally and locally, financial Advancing the success of stocks got hammered. The 11 pub- women in real estate since 1986 lic bank companies Crain’s tracks had a combined loss for the second STREET TALK quarter last year of $38.3 million. That grew by 419 percent this year THIS WEEK’S STOCK TOTALS: 30 GAINERS, 31 LOSERS, 7 UNCHANGED to a combined loss of $198.8 mil- CDB’S TOP PERFORMERS 08/29 08/22 PERCENT lion, led by the $201.6 million loss CLOSE CLOSE CHANGE posted by Flint-based Citizens Re- 1. Borders Group Inc. $7.00 $5.82 20.28 public Bancorp Inc., driven by loan 2. Saga Communications Inc. 6.25 5.54 12.82 losses and loan-loss reserves. The 3. Noble International Ltd./U.S. 6.00 5.41 10.91 company posted net income of $9.6 4. First Mercury Financial Corp. 14.73 13.65 7.91 million in the quarter last year. 5. Pulte Homes Inc. 14.51 13.66 6.22 Only three local banks posted 6. Caraco Pharm. Labs Ltd. 16.10 15.25 5.57 net income: Flagstar Inc. at $15.8 Detrex Corp. 7.90 7.50 5.33 million, Community Central Bancorp 7. Inc. at $275,000 and University Ban- 8. Universal Truckload Services Inc. 24.63 23.55 4.59 corp Inc. at $91,426. 9. Comerica Inc. 28.09 26.90 4.42 In the second quarter last year, 10. Masco Corp. 19.06 18.29 4.21 seven of the bank-holding compa- CDB’S LOW PERFORMERS 08/29 08/22 PERCENT nies had a profit. CLOSE CLOSE CHANGE The tech sector was a bright spot, 1. Am. Axle & Mfg. Holdings Inc. $4.86 $5.39 -9.83 with nine reporting companies com- 2. Perceptron Inc. 7.45 8.26 -9.75 bining for net income of $68.2 mil- 3. Lear Corp. 12.56 13.63 -7.85 lion, up from $20.4 million last year. 4. TechTeam Global Inc. 8.53 9.03 -5.54 Six reported better earnings, led 5. Energy Conversion Devices Inc. 75.17 79.38 -5.30 by Compuware Corp., which went 6. ArvinMeritor Inc. 14.99 15.71 -4.58 from a disappointing quarter a 7. Kelly Services Inc. 19.34 20.22 -4.35 year ago of $189,000 in net income 8. Corp. 10.00 10.44 -4.22 to $34.7 million. Energy Conversion 9. Meadowbrook Insurance Grp. Inc. 6.70 6.95 -3.60 Devices Inc. reported a banner 10. Rofin-Sinar Technologies Inc. 40.42 41.52 -2.65 quarter on Thursday, reporting Source: Bloomberg News. From a list of publicly owned companies with headquarters net income of $9.9 million, com- in Wayne, Oakland, Macomb, Washtenaw or Livingston counties. Note: Stocks trading pared with a loss of $13.1 million at less than $5 are not included. for the same quarter last year. DBpageAD.qxd 8/15/2008 10:57 AM Page 1

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1 Euromoney, July 2007 2 Proprietary research based on number of clients. Bank of America, N.A., LaSalle Bank, N.A., LaSalle Bank Midwest, N.A. Members FDIC. Certain activities and services referred to above may be provided by Banc of America Securities LLC and/or other affiliates of Bank of America Corporation. ©2008 Bank of America Corporation. DETROIT BUSINESS MAIN 09-01-08 A 6 CDB 8/29/2008 3:30 PM Page 1

Page 6 CRAIN’S DETROIT BUSINESS September 1, 2008 I-94 roadwork slows drive ªGUFFO to ÌÜœÊ i>`ÃÊ BY BILL SHEA Blue Water Bridge CRAIN’S DETROIT BUSINESS Port Huron >ÀiÊLiÌÌiÀÊÌ >˜Êœ˜i The $230 million Ambassador Bridge Gateway Project that’s shut Areas of I-94 down I-75 in Detroit until 2009 gets under all the headlines and grumbling, construction but significant roadwork contin- ues on I-94 in Macomb and St. Clair counties. 94 That means both area bridges to Canada — the Ambassador Bridge in Detroit and Blue Water Bridge in Port Huron — require navigat- ing a slalom course of orange bar- Lake St. Clair rels and temporary concrete high- Detroit way dividers. Since 2006 through the end of Ambassador Canada this construction season in No- Bridge vember, the Michigan Department of “We’ve been putting a lot of ef- Transportation will have spent fort and investment into rehabili- $131.5 million to repair and replace tating I-94 through Macomb Coun- stretches of I-94 in the two coun- As a CEO, you can’t always turn to colleagues and friends for opinions and ty and St. Clair County,” Morosi ties. advice. When you become a TEC member, you tap into unbiased insight from said. More than five miles of new The pavement in St. Clair Coun- someone who shares your experience, or who has been there before. It’s like roadwork on I-94 between County ty dated from 1964, Morosi said, having a team of your own professional advisors to help guide the way. Line Road and Fred Moore High- and was beyond temporary fixes. Start the right conversation today. You don’t have to go it alone. way began last month, a $26 mil- Next year, MDOT will bid re- lion project that’s closed west- placement of the road between St. bound lanes and funneled all Clair Highway and County Line traffic to single, divided lanes on Road, and in 2010 four miles be- www.tecdetroit.com ;/,>693+»:3,(+05.*,64,4),9:/0769.(50A(;065 the eastbound side. tween Allington Road and St. Clair 586.443.5880 (U(MÄSPH[LVM=PZ[HNL0U[LYUH[PVUHS^^^]PZ[HNLJVT That work originally was sched- Highway will be renovated. uled for 2009, but was moved up to The bulk of this year’s I-94 road- this year as part of Gov. Jennifer work has gone to Clinton Town- Granholm’s $150 million economic ship-based road contractor John stimulus package to keep people Carlo Inc. working and create jobs, said Rob The jobs, which require more Morosi, MDOT’s communications than 500 orange barrels and 36,000 representative for metro Detroit. feet of concrete highway barrier, About $67 million of that will be are on schedule, said Dave Eich- spent in the MDOT’s metro Detroit brecht, the company’s vice presi- region, which includes Wayne, Oakland, Macomb and St. Clair dent, public group manager. counties. The company plans to bid on Under way now is a replacement next year’s work, he said. of seven miles of I-94 from Alling- The I-75 work has been the big- ton Road to Gratiot Avenue, in- ger headache for trucking compa- cluding repair of six bridges, at a nies, which already are faced with cost of $34 million. It began in skyrocketing diesel fuel prices, in- March and ends in mid-November. cluding a 50 cents-per-gallon spike About 10 miles of I-94 from 23 in March. The publicly owned Mile Road to Masonic Boulevard Blue Water Bridge has fewer cargo in St. Clair Shores was done last restrictions than the privately year for $35 million. owned Ambassador Bridge. The work is part of MDOT’s on- “For the most part we are man- going effort to improve I-94 from aging around these problems and Macomb County to near the bridge maintaining our service levels in Port Huron. while minimizing any additional In 2007, other work included cost,” said Gary Frantz, director of three overpasses in Casco Town- corporate communications for ship ($1.5 million) and in 2006, $35 Ann Arbor-based trucking giant million was spent to rebuild four Con-way Freight Inc. miles of I-94 from Gratiot to Gris- Bill Shea: (313) 446-1626, wold Road near Port Huron. [email protected]

BANKRUPTCIES The following businesses filed for NOMC Physician Services Inc., 461 W. Chapter 7 or 11 protection in U.S. Huron St., Pontiac, voluntary Chapter Bankruptcy Court in Detroit Aug. 22- 11. Assets and liabilities not available. 28. Under Chapter 11, a company files for reorganization. Chapter 7 involves NOMC Services Corp., 461 W. Huron total liquidation. St., Pontiac, voluntary Chapter 11. As- Davison Plaza Shopping Center Inc., sets and liabilities not available. 14329 Warren Ave., Dearborn, volun- Pontiac General Hospital and Medical tary Chapter 11. Assets and liabilities Center, 461 W. Huron St., Pontiac, vol- not available. untary Chapter 11. Assets and liabili- DW Group L.L.C., 1040 Woodward Ave., Detroit, voluntary Chapter 11. Assets ties not available. and liabilities not available. — Compiled By Christiana Schmitz DETROIT BUSINESS MAIN 09-01-08 A 7 CDB 8/29/2008 1:25 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 7 State picks heavyweight for business Web portal LANSING — A Web business assistance. said. Kearney’s duties include awards in the state’s 21st Century Comings & goings portal that will be a “one- Weiss said the portal working on that information trans- Jobs Fund competition has been cut stop shop” for business is Capitol will initially target fer. by more than half. ■ Bill Creal, former chief of the getting an assist from Briefings what’s needed to start a Last year, Kearney submitted a Twenty-one of 117 applications Michigan Department of Environmen- global management con- business. For example, report to the governor’s office on received by the Michigan Economic tal Quality’s water bureau permits sulting firm A.T. Kearney businesspeople will fill steps the state can take to improve Development Corp. were deemed not section, has been named water bu- Inc. and is expected to out and submit question- the way it interacts with business. compliant and 96 went through peer reau division chief. He replaces launch by year-end. The naires on their plans and That report was funded by the review. Of those, 52 were approved Rich Powers, who retired. State Administrative Board promptly receive infor- Council of Michigan Foundations. for an interview round. Liz Browne, acting chief of the recently approved a mation on all permits, li- The Department of Information The Ann Arbor-based National land and water management divi- nearly $1.3 million, one- censes or forms they Technology is handling the techni- Center for Manufacturing Sciences is sion, now officially holds that post. year contract for Vienna, need. From there, links cal side of setting up the Web portal scheduled to make funding recom- ■ James Dillon, acting director of Va.-based Kearney to will take them to Web mendations on Oct. 8 to the state office of psychiatric and medical Amy Lane and developing the Web pages. help with the portal. It’s pages to complete forms Strategic Economic Investment and services in the Michigan Department designed to provide business with and submit information. The status Commercialization Board, which will of Community Health, has been streamlined government interac- of forms and permits will flow back 52 Jobs Fund proposals make cut select winners and announce final named permanent director. tion and a single entry point for all to the main portal so business own- The initial field of proposals awards, in the form of loans or Amy Lane: (517) 371-5355, business needs, including taxes, ers can monitor the process, Weiss competing for up to $30 million in convertible loans. [email protected] permitting and licensing. Kearney’s role, in part, is to eval- uate the 325 different business-relat- ed processes in 10 state departments that will be incorporated into the portal, said Kurt Weiss, public in- formation officer for the Michigan Department of Information Technology. He said Kearney will look at how those processes function and how they can be improved. The compa- ny also will train employees who will staff a central call-in line for To the indecisive, we do apologize. CRAIN’S SEEKS BEST MANAGED NONPROFITS This year has seen continued challenges in the nonprofit arena that have included changes in United Way funding in addition to a weak economy. Therefore, this year’s Best Managed Nonprofit Contest will continue to look at nonprofits that have taken specific steps to improve operations and delivery of services. We are looking at the following categories: Ⅲ Collaborations, including mergers. Ⅲ Finding ways to do more with less. Ⅲ Strategies for diversifying funding. Ⅲ Launches of new programs that help the organization better meet objectives. Please focus on only one of the above in your application. As always, documentation of results is important. Applications are due Sept. 17. Finalists will be interviewed by judges the morning of Dec. 2. Applicants for the award must be a 501(c)(3) with headquarters in Wayne, Washtenaw, Oakland, Macomb or Livingston counties. Each application must include a completed entry form, a copy of the nonprofit’s most recent audited financial statements and a copy of the nonprofit’s most recent IRS Form 990. Previous first-place winners are not There’s only one problem with a line of SUVs this legendary: picking one. There’s the GL 450 eligible; neither are hospitals, ® HMOs, medical clinics, business THE 2009 with its standard PRE-SAFE technology and nine standard air bags offering 11-way protection; and professional organizations, the R 350 with its dual-zone automatic climate control and available 7-passenger seating; and schools, churches or foundations. Family of SUVs Winning nonprofits will be profiled the ML 350 with its uni-body construction for a smooth, sedan-like ride. The 2009 line of in the Dec. 22 issue, receive a Mercedes-Benz SUVs. Consider it a win-win-win decision. MBUSA.com cash award, a “best-managed” logo from Crain’s for promotional use, and will receive recognition at the Crain’s Newsmaker of the Year lunch in February. Special Rates Available to Chrysler Employees For a copy of the application form, please send an e-mail request to Mercedes-Benz of Bloomfield Hills Mercedes-Benz of Novi Mercedes-Benz of Rochester [email protected] or visit 36600 North Woodward Ave. 39500 Ave. 595 South Rochester Rd. www.crainsdetroit.com/nominate. (248) 644-8400 (248) 426-9600 (248) 652-3800 For more information, call (313) 446-0329. 2009 models may be shown with optional equipment. See dealer for details. ©2008 Authorized Mercedes-Benz Dealers For more information, call 1-800-FOR-MERCEDES, or visit MBUSA.com. DETROIT BUSINESS MAIN 09-01-08 A 8 CDB 8/29/2008 5:55 PM Page 1

Page 8 CRAIN’S DETROIT BUSINESS September 1, 2008 OPINION LETTERS 3 tactics to fight Steel is better for fuel tanks Editor: fuel system components. We are responding to the Aug. 13 Steel is 100 percent recyclable. Crain’s report from Traverse City, Advances in steels Unfortunately, in spite of research “TI’s CEO says plastic can replace “ ... make steel to find ways of recycling plastics, corruption, repair more steel parts” (www.crainsde- current practice is to landfill plas- troit.com). Evidence suggests, in attractive and cost- tic fuel systems at the end of their fact, that our environment will be service life. harmed as more plastics con- competitive. Ronald Krupitzer tribute to auto emissions and take ” Vice President Automotive Applications up space in landfills in the U.S. and American Iron and Steel Institute city’s reputation Ronald Krupitzer, Southfield around the world. American Iron and Steel Institute While the plastics industry re- ow many public corruption investigations are under Grad standards unwise portedly has made improvements that plastic tanks are quickly los- way in Detroit? We’ve lost count. in fuel tank design and engineer- Editor: Detroit has become synonymous in the national ing their cost advantage over steel. Your Aug. 18 editorial, “Don’t H ing in order to meet the zero emis- The result is many OEMs today lexicon for corruption as stories mount about the mayor’s le- sion standards set by the Califor- weaken grad requirements,” are switching back from plastic to might benefit from an expanded gal problems and new revelations of probes of contracts and nia Air Resources Board, this has steel. view of students’ educational possible kickbacks at Cobo Center, within the Detroit City mainly been accomplished by The basic properties of steel pro- needs. The new, pigeonholed grad- Council and Detroit Public Schools. changing the composition and in- hibit fuel vapor permeability from creasing the thickness and num- uation requirements are very lim- Sure, Detroit is not the only municipality to be dogged by tanks, lines, and filler tubes pro- ber of layers of their tanks. In addi- duced from steel. In addition, the iting; i.e. the residential construc- such investigations. Just last month, federal investigators in tion, the plastic-tank makers also advances in steels, such as high tion trades are relying heavily on Cleveland fanned out over Cuyahoga County to collect docu- require special films to seal the formability to form complex immigrants, both legal and illegal ments and computer hard drives in an investigation of two vulnerable connections between shapes, and improved corrosion- who are often without any skills — county officials that has rocked that region. fuel system components. These all resistance for traditional and new and yet high school trades classes are being phased out due to the Since it was reorganized after 9/11, the FBI has made pub- add to the complexity and cost of biofuels, make steel attractive and plastic fuel systems to the point cost-competitive for all vehicle See Letters, Page 9 lic corruption a priority nationwide. In a speech in April, FBI Director Robert Mueller reported that 2,500 public corruption investigations were pending nationwide and that 1,800 federal, state and local officials had been convicted within the past two years alone. So Detroit has plenty of company. We can think of three tactics to help repair Detroit’s taint- TALK ON THE WWEB ed reputation. First, church leaders could help call for Detroit City Coun- From www.crainsdetroit.com cil and the Detroit Board of Education to adopt strong ethics As a 28-year-old, I think if we are Re: Mary Kramer’s Aug. 25 blog: Reader responses to stories and policies that require elected members and top-level employees truly creating value, reward us for it, but I am sick of being told I do not blogs that appeared on Crain’s to file signed statements at least twice a year attesting that don’t reward us before we create have a vested interest in this city, Web site. Comments may be value. Don’t put us in an environ- they have no financial conflicts with contractors or have re- when I pay city taxes due to my edited for length and clarity. ment where we are resentful of ceived gifts from them, including trips or other “courtesies.” employment. those in their 40s and 50s nearing re- Second, law enforcement, the news media and watchdog My family lived in Detroit for 85 I am very concerned with the tirement who just show up and go groups must continue to identify ethically challenged officials. years. We left because we were number of individuals who continually through the motions. But it takes two to tango, and the rest of the business and civic robbed on three occasions. use the race card as a justification for Anonymous community should also shun those in the private sector who I live in now and their behavior — especially the mayor. I play the game with elected leaders, whether it’s offering kick- want the city to thrive. grew up in the city and I am proud Most in the under-30 crowd are look- of where I am from. My family ing for that “work hard, play hard” life. backs, gifts, free trips or worse. I wonder where this city would be moved out so that I could better my- Move ahead in your career, but also Finally, the religious, business and civic community needs without the businesses run by subur- banites and the charitable giving by self in life. Until the voters in De- enjoy it with like-minded people. to speak out and encourage donors to pull back from making troit understand the issues that face many suburbanites. Alex contributions to candidates with questionable ethics. them, corruption will continue to Anonymous College graduates and young pro- Business leaders have rationalized past support in a couple plague this once-great city. The procedure the governor is to fol- Anonymous fessionals find their dream jobs first, of ways: either by adopting the attitude of relativity, as in “it then look for the “Cool City” could be worse,” or by agreeing with the popular voter senti- low is constitutional. Local govern- Re: Mary Kramer’s Aug. 18 blog: ments and the positions of local of- lifestyle. ment, “he may be a crook, but he’s our crook.” I was asked by a CEO of a non- ficials are creations of the state. If David Olivencia Those strategies have helped bring us where we are today profit to help find a couple of they no longer serve the residents, The only reason you get young — the object of national ridicule. We need a regional call to ac- young individuals to fill positions the state has the power to dissolve in the company. Their only con- talent to move to an undesirable tion to attack corruption and indict officials — and the busi- those governments or remove cern was the lack of political leader- place is to pay exorbitantly high nesspeople who bribe them — in order to restore public trust those officials. ship on a representative basis. wages. in government and in our region. Anonymous Anonymous JD

KEITH CRAIN: Michigan is the November battleground In case you thought there might be broadcasters. With gan will not be ignored. political battle is the fight for the ing to be spent on that very impor- be a little relief from all the politi- the money they’ll be And, in spite of the undecided. By now, one would tant undecided intended voter. cal activity of the last year or so, getting from political never-ending blur of think that just about everybody If you’re undecided and not well, you can forget it. ads, radio, TV and ca- messages, there will be has decided on their candidate and planning to vote anyway, no one It seems that everyone has de- ble systems might pull some very important is- who they are going to be voting for wants you. But if you happen to cided that the election is going to Michigan out of a re- sues that will make in November. fall within that very valuable pool be decided by a few states. Michi- cession all by them- Michigan a real battle- Yet, one of the reasons that of undecided individuals who plan gan is front and center. selves. ground. The differences Michigan is such an important to vote, everyone will try to reach If you want a break from poli- There will be a very between the two candi- battleground is simply that there you with their message. ticking, you better leave town. The high degree of political dates and their political are lots of voters or presumed vot- candidates will be here so often be- noise during the next parties are distinct and ers who have not yet decided. Because we’re important, we’re tween now and Nov. 4 that they 60 days. Unlike most dramatic. The candidates are not coming going to get a lot of media dollars, could apply for Michigan driver’s marketing national ef- By November, every- to Detroit and Southeastern Michi- media attention and candidate vis- licenses. forts which ignore Detroit and one will know those differences gan to try and convince us to its. So be prepared. And don’t tell About the only folks who will Michigan when they are trying to very well. change our minds. Just about the pollsters you’ve made up your truly relish all this attention will sell products and services, Michi- The most interesting part of any every cent and all their time is go- mind. DETROIT BUSINESS MAIN 09-01-08 A 9 CDB 8/28/2008 2:49 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 9 OTHER VOICES: MEDC tax break hurts small business I recently read of the de- American companies, ex- By providing funding to Kelly Business in Michigan is stag- of all, by providing this unneces- cision by the Michigan cept now it is my own gov- Services, the MEDC is choosing nant at best, so by providing Kelly sary giveaway to Kelly Services, Economic Development ernment choosing win- one business over mine. Future Services with an unfair advantage, the MEDC is giving a juggernaut a Corp. to provide a $4.7 mil- ners and losers through Force Services Inc. provides the job creation can only come two larger head of steam it can use to lion tax break to Kelly Ser- corporate welfare. same services as Kelly Services, as ways: through inflated internal harm hundreds of struggling small vices, which is consolidat- I believe a loan to a do hundreds of other local small bureaucracy, or by the loss of jobs companies it competes against. ing business units in Troy company such as Kelly businesses. If Kelly Services in a similar company that doesn’t The MEDC is a corporate wel- and plans to create new Services is inappropriate ceased to exist tomorrow, not a have the advantage of a state tax fare program that has been pick- jobs over the next five and fundamentally single job would be lost, as other break to compete fairly. ing winners and losers since its in- years. flawed. companies would swell their ranks One of the missions of the ception. It is time for the business Our company is fighting Darryl Kulkis Where MEDC provides to provide the staffing support our MEDC, stated in its own literature, owners and employees of Michi- tooth and nail with hun- funding to a unique busi- economy demands. is to support small businesses, gan to understand that it might be dreds of other similar companies ness that we want to bring into There is nothing unique about which create about 98 percent of your company that suffers the next for available business, and Kelly Michigan, or keep from going to Kelly Services that would not be the jobs in our state. By this dri- time the MEDC picks your com- Services competes with us all. But China, that money is used to cre- replaced in its absence, and thus ving principle alone, the gift to petitor over you. now it competes with government ate jobs in the state, or keep jobs you are not truly creating or sav- Kelly Services, the second-largest Darryl Kulkis is an account man- backing. that would otherwise not be re- ing any jobs by giving my tax dol- staffing company in the U.S., is a ager for Future Force Services, a This is no different than Japan placed. lars to my competitor. flawed concept at best. But worst Troy-based staffing company. or China subsidizing businesses to make them more competitive with

LETTERS CONTINUED ■ From Page 8

“tougher standards.” Aren’t we ne- glecting the student who wants to earn a living as a carpenter, brick How businesses go from mason or electrician? These tougher standards have depositing checks in line also eliminated some in-school op- portunities for students, i.e., aides. to online. Students who worked in the school library learned research and orga- nization skills, some database management, TV camera skills, etc. Some former aides have said they decided to become TV camera operators or go on to library school. I believe student aides ben- efited from their work experi- ences; however, aides in schools have been eliminated due to the tougher standards. The workplace needs hair- dressers, dance instructors, farm- ers, bakers and many more occupa- tions that do not need four years of math and three years of science. We also need to focus on those students’ and society’s needs, lest we end up with too many brain surgeons who always wanted to be plumbers. ® Planned economies have never Key Capture online worked, and neither will a totally controlled educational environ- ment. check depositing. Michigan schools are filled with hard-working, talented, dedicated It’s late afternoon. You still have deadlines to professionals; let them do their jobs, meet. And rush hour traffic is going to make Key Capture not the job defined by politicians. it tough to get to the bank on time to deposit K.L. Stephens Clinton Township those customer checks. With Key Capture, tEasy to set up and use there’s no worry. You can make deposits online Tackling 2 big problems tSaves time and money Editor: from your workplace, whenever it’s convenient I have a solution for two prob- for you. Fast, easy, affordable and secure. Key tDeposit safely from your lems. The mayor of Detroit should Capture means less running around…and more office, 24/7 resign to play right tackle for the Detroit Lions. This will help the time running your business. Lions’ running game and give the city new leadership. Visit any KeyBank Branch, call Robert Sobey 1-888-KEY4BIZ® (1-888-539-4249) Detroit or visit key.com/smallbiz

Crain’s Detroit Business welcomes letters to the editor. All letters will be considered for publication, provided they are signed and do not defame individuals or organizations. Letters may be edited for length and clarity. Write: Editor, Crain’s Detroit Business, 1155 Gratiot Ave., KeyBank is Member FDIC. ©2008 KeyCorp. Detroit, MI 48207-2997. E-mail: [email protected] DETROIT BUSINESS MAIN 09-01-08 A 10 CDB 8/28/2008 1:20 PM Page 1

Page 10 CRAIN’S DETROIT BUSINESS September 1, 2008

CRAIN'S LIST: LARGEST ENVIRONMENTAL COMPANIES Ranked by 2007 revenue

Revenue Revenue Local Local Company ($000,000) ($000,000) Percent employees employees Rank Address Phone; Web site 2007 2006 change 2008 2007 Services offered Waste Management Inc. Jeff Harris, $294.0 B $295.0 B -0.3% NA NA Collection of solid waste, operation and construction of landfills, waste 1. 48797 Alpha Drive, Suite 150, Wixom 48393 Midwestern group senior vice processing and disposal (248) 596-3500; www.wm.com president

EQ-The Environmental Quality Co. Michael Ferrantino Jr., 220.0 206.0 6.8 362 354 Environmental management services 2. 36255 Michigan Ave., Wayne 48184 CEO (734) 329-8000; www.eqonline.com

Inland Industrial Services Group L.L.C. James Wigginton, 132.0 81.8 61.5 300 314 Industrial cleaning and maintenance; cleanup of hazardous and 2021 S. Schaefer Highway, Detroit 48217 chairman and CEO non-hazardous waste from soil and water, plant and landfill closures; lagoon 3. (313) 841-5800; www.inlandwaters.com dewatering and sediment removal; select demolition projects; underground storage tank removal and fuel system installations; comprehensive remediation services; sewer cleaning and rehabilitation Inland Pipe Rehabilitation Joe Cutillo, 78.0 31.8 145.3 65 65 Underground construction and rehabilitation 4. 277 Gratiot Ave., Detroit 48226 president and CEO (313) 963-8380; inlandpiperehab.com

Wade Trim Douglas Watson, 63.4 53.8 17.8 183 177 Consulting engineering and planning services 5. 500 Griswold Ave., Suite 2500, Detroit 48226 chairman, president and CEO (313) 961-3650; www.wadetrim.com

NTH Consultants Ltd. Keith Swaffar, 49.8 37.5 32.9 267 257 Infrastructure engineering and environmental services 6. 480 , 2000 Brush St., Detroit 48226 president and CEO (313) 237-3900; www.nthconsultants.com

MPS Group Inc. Charlie Williams, 49.4 54.4 -9.2 125 140 Industrial and environmental cleanup, flooring installation, scrap services, 7. 2920 Scotten, Detroit 48210 CEO and president paint shop cleaning (313) 841-7588; www.mpsgrp.com

URS Corp. Ronald Henry, 45.9 47.3 -3.0 413 110 Environmental consulting and remediation 8. 27777 Franklin Road, Suite 2000, Southfield 48034 vice president and general (248) 204-4920; www.urscorp.com manager

Design Systems Inc.-Paint and Dale Chiara, 31.0 37.0 -16.2 250 250 Energy management, environmental compliance evaluation, process and managing partner materials evaluation, waste consolidation and reduction studies, process and 9. Environmental Group equipment problem-solving 38799 W. 12 Mile Road, Suite 100, Farmington Hills 48331; (248) 489-4300; www.dsidsc.com Soil & Materials Engineers Inc. Mark Kramer, 26.5 26.6 -0.4 130 130 Brownfield redevelopment, environmental consulting related to hazardous 10. 43980 Plymouth Oaks Blvd., Plymouth 48170 president materials and industrial hygiene for renovation/rehabilitation projects (734) 454-9900; www.sme-usa.com

This list of leading environmental companies includes those that offer consulting, assessments, engineering, contracting and waste-hauling services. It is not a complete listing but an approximate compilation of the largest companies in Wayne, Oakland, Macomb, Washtenaw and Livingston counties. B Crain's estimate. LIST RESEARCHED BY ANNE MARKS AND JOANNE SCHARICH DETROIT BUSINESS MAIN 09-01-08 A 11 CDB 8/28/2008 2:48 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 11

REPORTER’S NOTEBOOK Hotter days ahead Research points to an expected 5-10 Amy Lane writes about business degree jump in average Michigan issues at temperatures during the next century. The the Capitol, biggest industries expected to be telecommunications and utilities. Call challenged include shipping and agriculture. (517) 371-5355 Source: U.S. Global Change Research Program or write alane the business of going Green @crain.com

Amy Lane Help wanted for green jobs Over the last year, Michigan has helped displaced workers get the training they need for new careers, in ‘Green high-demand areas such as nursing and accounting. Now, the No Worker Left Behind program is also going green. The state is putting $6 million toward jobs in alternative energy, green building construction and agriculture and natural resource conservation, in a “Green Jobs Initiative” that will teams’ identify sectors in need of workers and the training necessary to fill jobs. Andy Levin, deputy director of the Groups formed Michigan Department of Labor and Economic Growth, said the state will spend an initial $1.5 million to create to reduce energy use sector-by-sector alliances that will bring together employers and entrepreneurs, financiers, educators BY JAY GREENE and others to assess future CRAIN’S DETROIT BUSINESS workforce and required skills. For ou’ve heard of the A-Team? Now meet the Green example, he said, “how do we get the Team. training that we need for the wind Y Local companies are increasingly following the ad- industry?” vice of specialized staff members about how to adopt sustain- An additional $1.5 million will to go able business practices. Besides easing so-called “green guilt” community colleges and universities by promoting efforts to decrease the use of paper and fossil fu- to develop the training programs and els, these professionals are helping to make the financial ar- NATHAN SKID/CRAIN’S DETROIT BUSINESS fund curriculum, faculty, equipment gument behind going green. Rick Plewa, in charge of sustainability efforts for Comerica Bank, says green or other needs. The remaining $3 Dozens of companies have embarked on green projects, in- practices are good for the bank and for its customers. million will go toward paying for cluding recycling paper, glass and plastic, and using energy- “We are in year one of our workers’ training. efficient lighting systems and equipment, said Bill Stough, sustainability strategy to cre- The money comes out of federal CEO of the Sustainable Research Group. ate value for our company funds that the state is using for the “There is more evidence that there are major changes un- and our customers, to reduce No Worker Left Behind program, der way in how business will be conducted,” said Stough, who costs, reduce risks and gener- which provides up to two years of also is executive director of the Southeast Michigan Sustainable ate new revenue,” said Plewa. free tuition at community colleges Business Forum. “Comerica is showing that and other venues. About $118 “Forward-thinking organizations are looking at environ- our brand is committed to the million in federal funds are targeted mental and sustainability as a strategic rather than a tactical future that will be shaped by for No Worker Left Behind in fiscal approach.” sustainability.” 2009, which will be the first year of Stough, who is based in Grand Rapids, said most manufac- Earlier this year, Honigman the Green Jobs effort. turers have formed green teams and a number of service com- GREEN BUILDINGS Miller Schwartz and Cohn L.L.P. panies are considering them. “(The business forum) is devel- An advisory group for the initiative, LEED-certified buildings on in Detroit won recognition oping a program to train green teams to add strategic value to the rise. Page 13. from the American Bar Associa- including representatives from their organizations,” he said. business, labor, academia, the tion for its own efforts to run a environmental community and WEB EXTRA green business by recycling government, is in the works. The Commitment from the top and installing energy-effi- A list of all LEED projects in state is also discussing a 2009 cient equipment. The firm For example, Comerica Bank in Detroit in February formed Michigan. See green jobs conference that would also has formed an interde- what it calls a sustainability council to identify conservation www.crainsdetroit.com/focus partmental sustainability “breathe life into the initiative,” Levin opportunities in five key areas — workplace, workforce, prod- said. practice group to meet in- ucts and services, processes and governance. The team is creasing client demands, The state has launched a Web site, composed of 22 executives across multiple departments. said Richard Barr, an environmental attorney with Honig- www.michigan.gov/greenjobs, that Heading its environmental management efforts is veteran man. will serve as a clearinghouse for data banker Rick Plewa, who was promoted in February to senior and information on internships and vice president and director of sustainability. See Green teams, Page 12 jobs, education and training opportunities. Among other things, the Web site seeks information from employers on training needs. INSIDE “We really want to know, every way we can, what are you doing, what are Dishing green Earth The carbon Green for your workforce needs … so that we can begin to take a census of it,” Saving the planet approved footprint projects Levin said. one cup at a time, Detroit-based Michigan Ann Arbor-based testing Detroit-based Carbon The Michigan “The whole point of this is, can we be Green Safe sells serving items and certification specialist NSF Credit Environmental Services Department of Environmental as nimble as we need to be, to out of corn- and soy-based grows its sustainability practice specializes in energy audits and Quality offers low-interest loans accelerate the growth of green material. Page 14. through green chemistry, ISO the sale of carbon credits, which to help small businesses pay for let organizations pay to offset green upgrades. Page 17. industries, to be an actual agent of registrations. Page 15. greenhouse gas emissions. change? And I think we can, but only Page 16. by having it be employer-driven.” DETROIT BUSINESS MAIN 09-01-08 A 12 CDB 8/28/2008 2:40 PM Page 1

Page 12 CRAIN’S DETROIT BUSINESS September 1, 2008

FOCUS:THE BUSINESS OF GOING GREEN Green teams: Groups formed to reduce energy use ■ From Page 11 “We encourage people to add vey for Honig- ning greener operations. global warming; and the activism sustainability efforts to their pro- man and Crain’s Chris Park, national practice of shareholders, employees and jects,” said Kenneth Gold, an envi- found that more leader for enterprise sustainability other stakeholders. ronmental attorney at Honigman. than 50 percent practice at Deloitte L.L.P. in Detroit, “One of the key points that “Some say they would like to do it of 400 responding said he’s noticed a jump in green in- sounds obvious but often gets lost: but can’t afford it because the pay- companies were terest over the past 18 months as reducing waste saves money, reduc- back is five or six years.” willing to spend more companies make changes. ing energy saves money, building Being good to the environment more money to Park cited three reasons for the products smarter saves money,” is now seen by more than half of support renew- renewed interest in environmen- Park said. “Sustainability improves Southeast Michigan companies as able energy ini- tal protection: demand from cus- profitability and drives revenue being good for the bottom line, tiatives like tomers and consumers who want and adds value to companies.” Barr good for image and good for em- wind or solar to purchase recycled or green Three years ago, Park said, “be- ployee morale. power and to improve the environ- products; a focus on compliance ing green and sustainable was not “It has reached a tipping point,” ment. Previous surveys have shown and regulation that includes re- even on the agenda of most compa- said Barr. Earlier this year, a sur- a steady increase in support for run- ducing greenhouse gasses to slow nies. I sense that, unlike a decade ago, this is a structural change.” While green teams are a good first step, Stough said more needs to happen to make sustainability part of a company’s core business and strategic plan. “It is one of the largest challenges (the business forum) faces, getting the attention of top management to take the looming material and ener- gy constraints as important strate- gic issues for the survival of their businesses,” he said. There are companies rising to the challenge. A local company recog- nized by the Michigan Department of Environmental Quality for integrating environmental stewardship into its business plan is U.S. Manufacturing Corp., a Warren-based automotive component maker. U.S. Manufacturing’s current goals are to reduce liquid waste by 10 percent, cut natural gas usage and reduce the use of nitric acid in its wastewater treatment system. “Those companies that are for- ward thinking are starting to invest not only in technology but also in skill sets,” Stough said. “I do think the stars are starting to align in a more favorable position, and more Michigan companies will be moving ahead with sustainability plans” to help the environment. Green services Consultants and energy providers in Southeast Michigan are heeding the opportunity by of- fering services and products as they make the case for all things green. Wayne-based EQ–The Environmen- tal Quality Co. offers environmental management services, including helping companies reduce their waste disposal through reuse and recycling programs. Waste materi- als can include fluorescent bulbs, oil, batteries, paper products and flammable or corrosive liquids. Bob Doyle, EQ’s marketing and communications manager, said companies are not just going green for feel-good reasons. “They are doing it because it makes financial sense as well,” he said. DTE Energy Co. last year began of- fering a voluntary renewable-ener- gy program to its 2.2 million cus- tomers that encourages the use of alternative energy to reduce greenhouse gasses. Through its GreenCurrents pro- gram, more than 11,000 DTE cus- tomers have purchased the renew- able energy service. It costs residential users an extra $2.50 per month and businesses $20 more per month. Jay Greene: (313) 446-0325, [email protected] DETROIT BUSINESS MAIN 09-01-08 A 13 CDB 8/28/2008 1:28 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 13

FOCUS:THE BUSINESS OF GOING GREEN Buildings take the LEED in conservation, recycling

BY JAY GREENE more than 50 percent of the steel used for the CRAIN’S DETROIT BUSINESS buildings will be recycled. Other recycled materials include acoustical tiles, terrazzo When it came time in 2006 to install a roof floors, drywall and carpeting, he said. on Blue Cross Blue Shield of Michigan’s nine-sto- In Livonia, University invested ry parking deck in Detroit, Blues’ executives over $20 million in a new science and media chose an environmentally friendly option. building constructed completely of green The 52,000-square-foot green roof — a lay- products. Construction is expected for com- er of vegetation and light composite soil pletion in April 2009 and the building is to be with native plants like sedum over a water- open for fall classes of the same year. proofing membrane — keeps the main roof “The Felician sisters made a conscious de- below protected from the sun and more ef- cision that the dollar amount and benefits fectively controls rainwater runoff. It also were not as important as being good stewards keeps the building cooler. of the environment,” said Craig Flickinger, This project is just one of hundreds of director of facilities. green buildings that have sprouted up in re- As part of its LEED certification, building cent years around the state. PHOTOS COURTESY OF THE KRESGE FOUNDATION AND BLUE CROSS BLUE SHIELD materials must also come from within 500 The Kresge Foundation opened a new head- The Kresge Foundation headquarters in Troy, left, and the Blue Cross Blue Shield parking deck have miles of the site and be made from resources quarters building in Troy in 2006 that in- green roofs and other features to reduce energy spent on heating and cooling. that can be replenished in 10 years or fewer. cluded the renovation of a historic 19th cen- The center’s cork flooring doesn’t allow tury farmhouse and barn and the said. However, Floyd said that Delta’s archi- bacteria or microbes to grow. The white roof construction of a contemporary, 19,500- tect, Albert Kahn Associates of Detroit, told him reflects ultraviolet rays, decreasing power square-foot office building. Web extra that using recycled building materials and used for air-conditioning. A section of the The Kresge building recently was awarded A list of all LEED projects in Michigan green building approaches would not cost roof will be covered in sedum, And, the steel Platinum LEED-certification by the United and more photos. See more than about an additional 5 percent. for the building consists of 92 percent recycled States Green Building Council. This is the high- www.crainsdetroit.com/focus The Delta project includes renovating an content, according to Chris Rau, project engi- est certification standard for constructing existing 160,0000-square-foot main office neer from Clark Construction Inc. green buildings. LEED stands for Leadership ject this summer in Okemos that will fea- building — originally constructed in the Other features include low-emission glass in Energy and Environmental Design. ture one remodeled building and two new 1970s — and two new structures, including a and an acid-neutralizing tank for chemicals While LEED buildings are often more ex- structures that will meet Gold LEED certifi- 23,000-square-foot data center and a 90,000- used in labs. The university’s capital cam- pensive than standard construction, cost sav- cation, said Charles Floyd, executive vice square-foot administration building. The paign fund continues to raise funds for the ings are accrued over time through lower op- president in charge of actuarial, sales, un- data center is expected to open in January new building; it aims to raise $50 million. erating expenses. derwriting and facilities. and be completed by 2011. Jay Greene: (313) 446-0325, Delta Dental of Michigan began an environ- “Some of us thought it may be cheaper to One of the features of the Delta building is [email protected]. Bernadine Stallings con- mentally friendly $90 million building pro- bulldoze and build everything new,” Floyd the use of recycled materials. For example, tributed to this story.

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Page 14 CRAIN’S DETROIT BUSINESS September 1, 2008

FOCUS:THE BUSINESS OF GOING GREEN Company grows with table settings you could eat — sort of

BY CONSTANCE CRUMP are a corn-based alternative to petroleum- products. Both are compostable. Hot cups SPECIAL TO CRAIN’S DETROIT BUSINESS based plastic. Such products will degrade to and napkins are made from recycled paper. compost in 45-60 days but can’t be used to “Ultimately, our goal is to keep items out If more restaurants and sports stadiums store hot food or beverages, according to of the landfills,” he said. “When Masco man- decide to serve starchy snacks on plates Eco-Products Inc. of Boulder, Colo., a Michi- agement turned to us for advice on environ- made of starch byproducts, Michigan Green gan Green Safe supplier. Even if the prod- mentally prudent solutions, we worked in Safe has just the right business niche. ucts are incinerated, as they are in Detroit, tandem to bring value that is in line with The Detroit distributor of recyclable rather than composted, the material burns their objectives and is pleasing to their em- restaurant supplies sells customers on the without releasing toxins. ployees and customers.” idea of replacing petroleum-based dispos- Crushed sugarcane stalks, usually burned Said Harworth: “It’s been going almost ables with cups, plates, containers and cut- after the sugar is extracted, are used to too well — the bigger you get, the more in- lery made from renewable resources like make paper for plates, take-out containers ventory you have to have. After they’ve or- corn and potatoes. PHOTO COURTESY OF MICHIGAN GREEN SAFE and cups. Fermented potato or corn starch dered once, we can’t tell big customers that Partner Steve Harworth estimates Michi- Michigan Green Safe distributes products made is used in disposable molded cutlery, trash they can’t get a product because we’re out of gan’s market for disposables at more than from renewable resources like corn and potatoes. bags and dishes that will compost. stock.” $500 million per year. Privately held Michi- The corn-based products are made from If Michigan legislates a ban on plastic For instance, Wal-Mart Stores Inc., which gan Green Safe has less than 1 percent of the industrial waste. Ethanol fuel, on the other shopping bags and pressed foam products, Michigan Green Safe is courting, fines sup- overall market, but perhaps as much as 75 hand, is made from corn kernels. as California and other states have done, the pliers for out-of-stock situations. percent of biodegradable product sales. Aramark Corp. has helped market Michigan market could explode. Festivals and stadi- It has pitched other grocers as well and Founded in March 2007, Michigan Green Green Safe to its food service customers, ums are large potential users, in addition to would like to work with sports stadiums. Safe distributes more than 100 Earth-friendly such as the cafeteria at Masco Corp. head- But, most business comes from word-of- products, from take-out containers to laundry corporate clients, restaurants and schools. quarters in Taylor. Big public events, such mouth referrals. soap. It’s an offshoot of Recycle Here!, which Bigger suppliers such as Sysco Corp. and as the Comerica Taste Fest, are turning to coordinates recycling in Detroit. Gordon Food Service offer disposables even Michigan Green Safe in search of recyclable Although the focus is large wholesale Michigan Green Safe is on track for sales though they generate marginal sales — but products from cups to trash bags, as well. users, individuals may order a sample prod- of $800,000 to $1 million this year and $1.2 food is their main focus. Gordon Food Ser- DTE Energy Co. (thorough Aramark), Avalon uct pack through www.michigangreensafe- million to $1.5 million in 2009, Harworth vice’s bio-based disposable products include International Breads and the Museum of Con- products.com. said. He expects the company’s revenue to potato-based cutlery and corn-based cups. It temporary Art Detroit Café are customers. Products are also available at Plum Market continue to grow but total market share of also spotlights its green, but not necessarily “I was thrilled when I started looking and stores in Ann Arbor and West Bloomfield the biodegradable niche to decline as de- bio-based, disposable packaging and clean- found so many different products,” said Joe Township, and at Good Food Co. in Troy. mand expands and new distributors appear. ing products in a dedicated catalog, Prod- Alfieri, food services director at Aramark Next up, the company is searching for small Sales are growing at 10 percent to 15 percent ucts with a Conscience. Business Services, who works with Masco. plastic bags and Ziploc-style food-storage per month. The raw materials that make up Michigan Masco’s cafeteria uses potato-based cut- bags. It just added sugarcane “boats” for Harworth runs Green Safe with partner Green Safe products include corn, sugarcane lery that has the same look as medium- sandwiches and french fries, as well as soy Kristen Naimi. He co-founded Recycle Here! and potatoes. weight plastic ware, but is biodegradable, as waxed deli paper. Paper towels and napkins and continues to work there. PLA, or polylactic acid-based products, well as cold beverage cups made from corn from sugarcane are due within 30 days. DETROIT BUSINESS MAIN 09-01-08 A 15 CDB 8/28/2008 1:28 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 15

FOCUS:THE BUSINESS OF GOING GREEN

PHOTO COURTESY OF NSF INTERNATIONAL INC. A technician at NSF International testing for chemical trace metals. NSF’s new division will test, validate green claims

BY SHERRI BEGIN Ⅲ Sustainable products must be CRAIN’S DETROIT BUSINESS produced in a fair workplace, and they must have some sort of eco- NSF International Inc. is position- nomic return for the company or ing itself for more business in they won’t be truly sustainable, green testing and certification Lawlor said. with the creation of a new sustain- “Industry and consumers are ability division. confused about what (sustainabili- Petie Davis, who had been over- ty) means,” Lawlor said. “By lever- seeing NSF’s sustainable forestry aging our core concepts in stan- certification and ISO 14001 certifi- dards development … we can help cation, will continue to oversee to define those statements and those and other efforts as manager help define requirements for green of the new division launched this products or sustainability.” summer. The ISO designation is NSF already has begun testing for companies that meet interna- for companies such as Clorox to tional environmental standards confirm claims that the chemicals for the registration. used in its cleaning products won’t “We’ve been doing some sus- harm the environment. tainable work for a long time, but Other opportunities include a we plan to go to market with a green chemistry program NSF is range of standard-setting and au- working on with the U.S. Environ- ISO 14001:2004 Registered diting and testing services under mental Protection Agency, Lawlor the sustainabili- said. The program identifies ty umbrella,” greener chemicals that could be What can your business President Kevan used in cleaning products. Lawlor said. Separately, NSF also is working Among them do for the environment? with a couple of European bottlers would be certifi- to measure their carbon footprints cation to the and identify ways to reduce car- As it turns out — a lot. LEED (Leader- bon emissions through modifica- ship in Energy tions of their manufacturing and Environ- processes. mental Design) In the U.S. alone, it is estimated that over 150 million Lawlor The nonprofit is developing a se- standard for cell phones will be replaced this year, accounting for ries of sustainable product stan- new construction, registration to over 65,000 tons of e-waste. With this challenge in mind, dards in the building and con- ISO 14001, sustainable forestry struction industries for carpeting, business leaders everywhere are implementing green management and green chemistry office furniture, flooring, textile, initiatives to encourage environmental stewardship. for household products. wall coverings and roofing mem- “There’s skepticism about cor- branes. ReCellular offers a range of socially responsible cell porate and product claims that are NSF expects those products to phone recycling opportunities. Our industry leading made,” Lawlor said. Consumers become part of the criteria for the corporate buy-back programs guarantee secure “want proof that those claims are LEED certification and ratings valid.” GDWDUHPRYDODQGFHUWLÀHGHQYLURQPHQWDO system administered by the U.S. UHF\FOLQJZLWKDVWULFWQRODQGÀOOSROLF\ Ann Arbor-based NSF has been Green Building Council, Lawlor said. working in some areas of sustain- “We see the need for the develop- Partner today with ReCellular ability for a while, Lawlor said, ment of additional standards in through its certification of sus- Enterprise Services to recycle this area to help define product your corporate cell phones — tainable forestry initiatives and claims,” he said. ISO 14001 companies. NSF expects to add 38 jobs at its it’s good for business and But it recently launched the sus- Ann Arbor headquarters over the great for the environment! tainability division to help better next year with the launch of the define green business efforts for new sustainability division, said consumers and businesses. communications manager Greta For a company to have true sus- Houlahan. NSF posted revenue of tainable products, core concepts $120 million last year and projects have to exist, Lawlor said. Those revenue of $155 million this year. are: Sustainability services account- Ⅲ Sustainable products and the ed for about 8 percent of revenue, process by which they are pro- or $9.6 million, in 2007 and the duced must not be harmful to the company expects it to grow by environment or must mitigate about 20 percent per year. harmful effects to the environ- Sherri Begin: (313) 446-1694, sbe- ReCellularEnterprise.com/info • [email protected] ment. [email protected] DETROIT BUSINESS MAIN 09-01-08 A 16 CDB 8/28/2008 4:39 PM Page 1

Page 16 CRAIN’S DETROIT BUSINESS September 1, 2008

FOCUS:THE BUSINESS OF GOING GREEN TechTown company helps others become carbon neutral, reduce costs

BY DOUG BROWN bon credits; purchases of credits SPECIAL TO CRAIN’S DETROIT BUSINESS WHAT ARE CARBON CREDITS? are pooled to invest in green pro- jects like renewable energy devel- Save the environment and save A way to help individuals and opment. companies offset the impact of on your energy bill. That is the The number recommended for concept of Detroit-based Carbon carbon emissions. A monetary value is assigned that can purchase is based on a formula Credit Environmental Services. estimating greenhouse gas and Located in Detroit’s TechTown, be bought and used toward funding green efforts like CO2 emissions. Offsetting one CCES provides services to compa- renewable energy ton of harmful emissions can nies looking to give more than lip development. cost between $5 and $25, service to becoming carbon neu- Offsetting one ton of Dolkowski said. tral. The company provides energy harmful emissions can The money from the pur- audits to help clients identify inef- cost between $5 and $25, chase of carbon credits goes to ficiencies and sells carbon credits. according to CCES. a general fund through CCES. Carbon credits assign a monetary CCES clients vote on which pro- value to a company’s impact on the ONDUCTING AN AUDIT jects are financed. CCES is back- environment. C ing projects all over the world, The company was founded in Steps to doing an energy from studying the im- October by President Mike audit: plementation of solar Dolkowski, his ■ A report is made of a company’s panels at the Detroit wife, Dona, who energy use, including electricity, Zoo to funding a is vice president natural gas, lighting, computers methane recovery of operations, and ventilation systems. The initiative in India. Oth- and Harry Or- process also can be applied to er projects include tree sinks — rell, vice presi- manufacturing companies. natural reservoirs that withdraw dent of market- ■ A greenhouse gas audit is and trap pollutants. The trees ab- ing. A 30-year conducted, factoring in all sorb CO2 emissions. veteran in the emissions of a business including Brighton’s Triton Stormwater Solu- environment machinery and employee travel. tions, which manufactures and Dolkowski field, Mike ■ The audits can result in sells underground storm water re- Dolkowski simultaneously runs recommendations to replace major tention systems, has reaped the Livonia-based Environmental Recy- equipment or minor changes to benefits of becoming green. Al- cling Group and Wauseon, Ohio- reduce energy costs. ready environmentally conscious based Environmental Asset Recovery. ■ Costs range from $1,500 to (using soy oil instead of petroleum The recent spike in energy costs $5,000. and practicing water conserva- has pushed businesses to find new tion), the company hired CCES to reduce its waste and carbon foot- ways to avoid the growing strain print even further. of their energy bills, said Mike Last spring, CCES performed an Dolkowski. audit for Triton. It took three “Executives are now contacting weeks to go through every facet of us, saying, ‘I’m spending too much the company’s energy use, from on energy; what can I do?’ ” he the harvest of soybeans to how said. “We’re getting companies products are used by end cus- from dry cleaners who want to tomers. Triton, now officially cer- clean up waste fluids to bakeries, tified as carbon neutral, is elated manufacturing plants ... Fortune with the results. 100 companies … mom-and-pop “Not only is our company going shops across the U.S.” to have cost reduction at the man- An energy audit can range from ufacturing level, but our cus- $1,500 to $5,000. CCES’ 2008 rev- tomers are going to reduce their enue is expected to total $2 million carbon footprint as well,” said Tri- to $3 million. ton President Joe Miskovich. The audit results come with a re- Events looking to get the public- port of the company’s energy use, relations benefits of being labeled including electricity, natural gas, green can also hire CCES to dub lighting, computers and ventila- their affair carbon neutral by help- tion systems. The process also can ing to fund renewable projects. Ex- be applied to manufacturing com- amples include a Detroit Lions game panies. at Ford Field, the annual APBA Gold The next step to becoming car- Cup hydroplane race, and work for bon neutral is a greenhouse gas the Chinese government on the audit. The audit factors in all emis- Beijing 2008 Summer Olympics, sions of a business, including ma- which included development of a chinery and employee travel. tree sink. The audits can result in recom- Through the carbon credit pur- mendations to replace major chase from the CCES, nonprofit equipment or even minor changes Greening of Detroit is developing a to reduce energy costs. 2.5 acre garden in Detroit’s East- Although CCES can get pretty ern Market area. The garden will detailed in its suggestions (such as serve as an educational center for replacing incandescent “Exit” agriculture production and as an signs with LED signs), Dolkowski initiative for people to buy locally often finds minor changes can produced goods. save a company a lot of money. “They have a good system, Leaving lights on and leaving the which made us very comfortable thermostat at the wrong tempera- in partnering with them,” said ture are simple mistakes. Greening of Detroit President Re- “For less than $500 they can re- becca Salminen Witt. “I’ve been re- duce their energy bills by 15 per- ally impressed with their commit- cent,” he said. If a company is in- ment with documenting and the terested in improving its carbon science behind it. Some folks just neutral rating, it can purchase car- aren’t that careful.” DETROIT BUSINESS MAIN 09-01-08 A 17 CDB 8/28/2008 3:14 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 17

FOCUS:THE BUSINESS OF GOING GREEN DEQ low-interest loans help some companies go green

BY H. JOSE BOSCH facturing and recycling business a of film chemicals and a safer envi- SPECIAL TO CRAIN’S DETROIT BUSINESS loan of $85,000 at an interest rate of ronment for patients as digital ma- 3.4 percent. chines reduce radiation exposure Because of the costs involved to The loan allowed GMA Indus- to by 8 percent to 15 percent. go green, small and medium-sized tries to replace its fine dust separa- Besides the loan program, DEQ companies can qualify for low-in- tion systems for both its steel pro- also offers a free environmental terest loans through the Michigan cessing facility and an aluminum energy audit through the Retired Department of Environmental Quality. oxide processing facility at the Engineers Technical Assistance Pro- The program, for companies plant site. This reduced the compa- gram. with fewer than 500 employees, of- ny’s six different waste streams to “It is an incredibly popular pro- fers loans of up to $400,000 with a three and reduced waste volume gram with more than 1,000 audits guaranteed interest rate of less by 25 percent. around the state for these facili- than 5 percent. Stevens estimated that his com- ties,” said Robert McCann, DEQ’s The money can be used on pro- pany saved a couple thousand dol- public information officer. Some jects to reduce waste, promote recy- lars by participating in the pro- (companies) say they save $10,000 cling or conserve water or energy. gram, and the new equipment also and others up to $100,000 a year.” The program began 10 years ago made it safer for his employees. Staff writer Jay Greene con- as part of the Clean Michigan Ini- “We wanted to make sure we tributed to this story. tiative approved by Michigan vot- could clear our atmosphere up in- ers. While it started with a focus side our plant as much as possi- on businesses with up to 100 em- ble,” Stevens said. “Get rid of some ployees and a maximum loan of fugitive dust.” $100,000, it has since expanded to After seven years, Stevens said, include bigger companies and the equipment still works effec- larger loan amounts. tively. Now with his company ex- “So with those increases in size panding, Stevens said he plans to and dollar amounts, we feel like purchase more pollution preven- we’re better able to help business tion equipment. and make those technology Other small business loans have changes,” said Karen Eldin, pro- helped doctors’ offices update gram manager for the Small Busi- their X-ray machines with digital ness Pollution Prevention Loan radiology equipment. Program. Awan & Associates of Dearborn Eldin said that generally the and Preferred Family Medicine in loans take three to seven years to Madison Heights are examples of Green.The way a plant should be. pay off, depending on the borrower. practices that have used the loan The DEQ works with a lender to program for this purpose. The digi- underwrite the loan. tal equipment eliminates the need The program awarded $1,372,720 for radiographic film, lead-lined in loans in 2007, with the average film containers, and the chemicals loan amount of $228,786. used to develop the film. The new Carl Stevens’ company, GMA In- equipment also reduces water and dustries, participated in the pro- energy use compared with conven- gram in 2001. The DEQ and Comeri- tional radiological equipment. ca Bank gave Stevens’ In Awan & Associates’ case, it Romulus-based abrasives manu- estimated a savings of 300 gallons UM, DTE sponsor clean-energy contest, will ante up $450,000

A new annual contest through ficiency, greenhouse gas mitiga- the and DTE tion or energy storage, and cannot Energy Co. aims to help move clean- have received more than $100,000 energy technologies from the labo- in a combination of angel invest- Plan your visit to the factory of tomorrow today, the Ford Rouge ratory to the marketplace. ing or government grants. Factory Tour. Discover state-of-the-art environmental innovations that The DTE Clean Energy Prize will Teams must have business are creating a greener future. Learn how solar panels and natural actually be a series of cash prizes in plans that describe how they plan ground cover are reducing our energy needs at the LEED Gold- each of the next five years, totaling to drive the technology toward certified visitor center. And marvel at the living roof — a 10.4-acre $450,000. Final rules have yet to be commercial success. garden that is improving the air we breathe and the water we drink. determined but a list of rules and an “This type of what we call pre- application are expected to be post- seed funding is sorely needed in Rev up your next corporate event. ed soon at www.dteenergy.com, ac- the state,” said Jim Croce, presi- cording to organizers. Hosting an event? The Ford Rouge dent and CEO of NextEnergy, a non- The first competition will be Factory Tour is the perfect venue for profit incubator near Wayne State held this fall, with $100,000 award- entertainment and catering. University of alternate-energy and ed in the spring to the winning clean-tech companies. To host a group visit, call 313.982.6001, press 1. teams. Teams must include at least To plan your special event, call 313.982.6220. one student, and students and fac- “In Michigan, we’ve shored up ulty from all Michigan colleges venture capital, but in pre-seed and universities are eligible. In and seed funding, we don’t have the first year, each team must in- enough to build a farm team,” he clude at least one UM student or said. “This is a meaningful faculty member. amount of money and it gets peo- Technologies and research must ple’s attention. It’s much needed.” The Ford Rouge Factory Tour is part of ®. America’s Greatest History Attraction®. be in renewable energy, energy ef- — Tom Henderson DETROIT BUSINESSMAIN09-01-08A18,19CDB8/28/20085:04PMPage1 Page 18 of the president andmajoritypartner surprise), the34-year-oldis and weekend(herecomesthe dock andStoneP.L.C. torney at that wouldsurpriseyou.” ing aromas—orsomething quality butwithsomeinterest- a wine,hesays,“Consistentin to comparehismediahabits If youask wines perparty. four-wine productlinehastwo Rapids-based Republican.The san venturewithaGrand some.” “And KidRockisjustawe- Johnson. Rock withRev.RunandJack Crow withJamesBlunt,Kid last threeconcerts:Sheryl run thegamut.Considerhis dane things.” “Seinfeld.” Time toKill”ashisfavorites. “A FewGoodMen”and likes actionanddrama.Helists freep.com his newsonline,visiting washingtonpost.com theoaklandpress.com and might nototherwisereach.” and reachpeoplethatyou crats.com andepicurious.com. wine tobloggersonmomo- product. Sofarhehassenthis he usestheblogstopushhis vorites. Asanavidmarketer, huffingtonpost.com arehisfa- reads blogs.Politics1.comand trepreneur interests, heturnsto Action, dramaandhumor Promoting wineonline President andmajoritypartner Miller, Canfield,Paddockand By day,Trebilcockisanat- The PoliticalWineryL.L.C. “Rev. Runrocks,”hesaid. Trebilcock’s musictastes His small-screenpickis On thebigscreen,Trebilcock Everyday, Trebilcockreads “It’s awaytodisseminate The RoyalOakresidentalso To feedhisentrepreneurial Wine andsong Christopher Trebilcock Political Winery Miller, Canfield,Pad- Stone P.L.C. , Christopher Trebilcock and nytimes.com, Attorney Wine Spectator — H.JoseBosch , abiparti- By night . Inc. mun- day, every- the in all humor you find helps , “It En- . The AmishbarnthatgivesRoundBarnWineryitsname. I stirring thetraditionsoflocal winemaker andfarmer—while pleased theirfather—alifelong and innovativeproductshave ily asthecheckwriter. proprietor, alsoknowntothefam- Their father,RickMoersch,isthe back tojointhefamilybusiness. 6, wentawaytocollegeandcame tors throughthevineyardsatage at RoundBarn. both propertiesandthedistiller Pier. Mattisthewinemakerfor room forbothwineriesinUnion Berrien Springs,andatasting Run Cellars,aboutiquewineryin ersch, 29,alsooperatetheFree ager ofthe Chris Moersch,32,generalman- Baroda foranexperience,”said beer andspirits.Theycometo small-batch productionsofwine, especially to newthings, way moreopen music. Soul madethe Hots andLiquid his ChicagoRed Cadillac Dave& Lady Sunshine, moon walk. jumped insidea while thekids grape vodka, nis madefrom beer andmarti- microbrewed sampled wines, adult attendees their annualharvestparty. one-weekend bluesclubaspartof giant roundAmishbarnintoa business SPECIAL TOCRAIN’SDETROITBUSINESS The brother’slivemusicevents The boysstartedridingtrac- Chris andhisbrotherMattMo- “People are The 2,000 B Music, boutiquebeverageshelp from Barodaconvertedtheir August, theMoerschbrothers n theswelteringheatoflate Y M brothers growfamilywinery AUREEN Round BarnWinery PHOTO COURTESYOFROUNDBARNWINERY attract visitors. providing newexperienceshelps Chris andMattMoerschbelieve M C D PHOTO COURTESYOFROUNDBARNWINERY ONALD . C RAIN vodka ayear. cases ofbeer,wine,brandyand $100 acase.Thefamilysells12,000 a bottleor$180case,andbeerat $430 acase,brandystartingat$15 Divine Vodkaat$34.95abottleor food. chased beverageandcomfort sample andlingerwithapur- their tastingroomsovisitorscan zinfandel. They’llalsorenovate black walnutdessertwineanda two newwinestothelineup,a year, thebrothersexpecttoadd and $150percase.Withinthenext net. Pricesstartat$9.99perbottle syrah tochardonnayandcaber- types rangingfromicewineand wine selectionstandsat35,with Bush said. year. went from20,000ayearto40,000 to 12and25,respectively.Visitors time and12part-timeemployees 2007. Thestaffgrewfromfourfull- went from$750,000to$2millionin board in2000-2001,annualsales wine-tasting rooms. ’ S With ahouseonthe10acresof Other spiritedproductsinclude Right now,theMoersches’ Since thebrotherscameon D ETROIT in Baroda Bopping B USINESS See Wineries,Page19 double digits,” ies aregoingup Michigan winer- the salesfrom ing. “Everyyear Council and WineIndustry Michigan Grape specialist forthe Bush, promotion cording toKarel wine tourism,ac- million ayearin registers $100 state ofMichigan experience. The labor-intensive a profitable,yet sches arepartof The Moer- in Lans- to samplethecompany’swine,beer,brandyand Below, atastingroomatRoundBarnWineryoffersvisitorschance sampleofwinetocheckits progress. Above, MattMoerschdrawsa Fine wineforagoodcause.Page21. PHOTOS COURTESYOFHEATHERSHELBYDESIGN September 1,2008 vodka. DETROIT BUSINESS MAIN 09-01-08 A 18,19 CDB 8/28/2008 5:05 PM Page 2

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 19

BUSINESS LIVES Wineries: They’re family affairs A simple ■ From Page 18 Free Run Cellars, a brother in Rick Moersch sacrificed a lot to ka and offered samples at special neighboring Bridgman and par- get Chris and Matt where they are events. By 2006 Divine Vodka hit guide ents who live on the Round Barn today, said Mike DeSchaaf, 40, the market. property to shepherd the wine- winemaker for Hickory Creek Win- Chris Moersch said Round Barn making and tend to the vines, Matt ery, also in Baroda. He was the became the second distillery in Moersch has time to travel and winemaker for Round Barn until North America to release grape- to wine taste the competi- Matt assumed leader- based vodka, and only the fourth tion. When he’s Web extra ship in 2001. in the world. The brand, a “wine- home, he ends most One year later, the drinker’s vodka,” is sold in four Moersches went from days in Baroda, sip- Tips for the tourist: See states, including Michigan. Otis snobbery ping the family grape growers to com- TIPS.WINE.WEB at handles sales and marketing out- brew. On a good www.crainsdetroit.com. mercial winemakers. ISTOCK.COM side of the vineyard. day, friends will Their label was Heart The timing for vodka distilling You sniffed the grapes and aroma that is passed on to a wine stop by to join him. of the Vineyard, ad- tasted the products, now you from unsanitary facilities. For Chris Moersch, the reward dressing the love that went into was fortunate, Chris Moersch said. want to impress your friends Herbaceous: Wines with an an is being close to Pebblewood Country each bottle. Long on vision and In July, Gov. Jennifer Granholm with your newfound expertise. herbal smell, like thyme or basil. Club in Bridgman or Pipestone short on cash, the parents convert- signed a bill allowing microdistil- But you wonder how someone Toasty: A grilled toast smell in Creek in Eau Claire for a round of ed the house into a bed-and-break- leries to sample and sell artisan can find excessive oak character wines that are aged in charred or golf in the autumn sunshine. The fast for wine tourists. With savings brews in tasting rooms. Previous- and black olive tone in Château toasted barrels. smell of the lake and the grapes generated from lodging and wine ly, distributors were granted ex- Saint Martin de la Garrigue Does a screw top mean cheap drifts by. sales, Rick and Sherrie Moersch clusive rights to wholesale dis- Coteaux du Languedoc wine? “You’ll find screw tops on bought a round Amish barn in In- tilled beverages. Bronzinelle. very affordable, very tasty New diana, moved it to the property in “Vodka helps differentiate us Growing up growing grapes Matthew Bricker, the six-year Zealand wines,” Bricker said. 1997 and used it to host weddings from other wineries in the area,” sommelier at Bacco Ristorante in More vintners are trying to do Nearly all the vintners in Har- and other special events. The Chris Moersch said. Within four Southfield, now uncorked from away with the cork because of bor Country, the fertile land along quirky barn became a tourist mag- miles there are six wineries, in- the position, helps us decode the the potential for infection by mi- the southwest shore of Lake Michi- net and, in 2004, gave a name to the cluding the two owned by the Mo- lingo. croscopic spores of bacteria. gan, are family operations, people vineyard. Practically everyone ersch family. Bricker, who isn’t looking for How do you impress friends? who have grown up pruning grape who visited called it the vineyard Rick and Sherrie Moersch another sommelier position, said Order a fine pink wine, he said. vines and corking wine bottles, with the round barn. helped subsidize Free Run Cellars, he hopes to partner with his fi- A new crop of affordable white said Tony Peterson, 37, owner of Matt Moersch credits his father a venture the brothers began in ancée on a wine-consulting busi- zinfandel and rose wines have Contessa Wine Cellars in Coloma. for thinking to serve homemade 2006, but kept a close eye on the ness with a Web platform in the spread through the marketplace. “People start out working for brandy and beer to wedding guests ledger. next year. Until then, check out Be careful with your knowl- one winery, then branch out on in the late ’90s. Patrons begged erobertparker.com for a free edge. It infuriated Bricker when their own,” Peterson said. He’s a them to bottle the beer. It joined “We gave our sons a budget, glossary of wine terms from people quoted Parker and insist- second generation winemaker, the inventory late last year. they make decisions regarding la- writer and critic Robert Parker. ed they knew more than the som- who recalls Rick Moersch working In 2004, David Otis, a Chicago bel design, types of wine they Some highlights: melier, who prepared the wine 29 years at nearby Tabor Hill Winery entrepreneur, visited the Baroda would sell at what location,” Sher- Astringent: Wines that are list and studied food pairings. and Restaurant in Buchanan, rising tasting room, sipped the brandy rie Moersch said. “I’m a very harsh and coarse to taste, either “Respect the sommelier; this to general manager of the vine- and decided to share his idea for proud mom. My sons have helped because they are too young, or trade has been around far longer yard and winemaking operations. grape vodka. Matt and Chris Moer- create an exit strategy for us. We because they are poorly made. than the Internet,” he said. In 1982, the Moersches bought 30 sch tinkered with distillery tech- can step back and leave the day-to- Barnyard: A farmyard, fecal — Maureen McDonald acres in Baroda, expecting to be niques, turning a brandy into vod- day operation to people we trust.” farmers and tillers of grape vines, not winemakers. The fertile, sandy soil and rolling terrain carved out by glaciers and produce a temperate climate per- fect for growing a variety of fruits At McDonald Hopkins, we have and vegetables. As their vines grew in stature and taste, the fami- Attorneys teams of experienced attorneys ly began tinkering with wine of who are driven to help automotive their own. suppliers at every level with all of Grape production in Michigan your legal issues. Whether you is a $790 million industry, accord- ing to the Michigan Grape and who are driven... confront supply chain issues, Wine Industry Council. With purchase order negotiations, labor 14,600 acres of vineyards, the state concerns, intellectual property ranks fourth in the nation in grape issues, capital needs, litigation, production for juice with 12,800 acres, and eighth in grape produc- complex restructuring, creditor tion for wine with 1,800 acres. representation, or the sale/purchase of a business, we have the expertise to steer you down the right road. McDonald Hopkins can help you navigate the most challenging business roadblocks with innovative and practical legal solutions.

39533 Woodward Avenue, Suite 318 Bloomfield Hills, MI 48304 Stephen M. Gross Office Managing Member 248.646.5070 Chicago • Cleveland • Columbus www.mcdonaldhopkins.com Detroit • West Palm Beach DETROIT BUSINESS MAIN 09-01-08 A 20 CDB 8/28/2008 2:51 PM Page 1

Page 20 CRAIN’S DETROIT BUSINESS September 1, 2008

BUSINESS LIVES

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PHOTO COURTESY OF THE PAW PAW COURIER LEADER Prepare to get messy at the Paw Paw Wine and Harvest Festival. www.ahee.com Push it, then smoosh it GAMING U DINING U ENTERTAINMENT U HOTEL U SPA So you’ve tried step aerobics, the largest in the Midwest. zumba fitness and weight training. They all stomp to the tune of You want to flex your muscles? “Push It” by Salt-N-Pepa while an- Try grape stomping. Burn calories nouncer Eddie Thomas keeps the and embarrass yourself before crowd laughing. Cashen’s family Naturally festive. 25,000 spectators. Come to Paw voluntarily hoses off the partici- Paw. pants between rounds. At least 30 teams of five sign up How do you stomp? “Strategical- annually for a chance to smoosh 14 ly,” said Dana Zugel, customer ser- lugs of grapes inside a pair of wood vice manager for Coca-Cola in Paw and fiberglass tubs in the public Paw. She organized a four-woman square this Saturday and Sunday. team for the last year’s stomp and Teams pay an entry fee from $20 to plans to go at it again this year. $60. Finalists vie for a top purse of Her group wore matching pink T- $1,310 and charity awards between shirts and stretch pants. Two $100 and $225. members were in the back pushing Winners are chosen by how and throwing grapes to the front, much juice they squeeze out of while the upper pair squatted to grapes tossed into their barrel. clear the drain of clogged grape The contestants bring up to 80 seeds and skins, squeezed firmly pounds of fresh-made juice in and pushed some more through a buckets to the weigh station. Even wire enclosure into a hose down to during a wine festival, the stomp- a waiting vat. ing rules prohibit inebriated ath- “You push with your hands,

letes from participating. body, feet, you slip and slide all ‘ Grape smooshing is the epicen- over the place. The vat is so slimy ter of the Paw Paw Wine and Har- you barely hold your balance,” Tis the season... to start planning your holiday party. vest Festival, Friday through Sun- Zugel added. The tub interior is day, which also includes bicycling, U Whether you’re planning an intimate gathering for walking, carnival rides and wine- fiberglass. Little shards get all 25 or elaborate event for 1,500, our four-diamond tasting tents, according to Christi- over the skin. She stepped out resort can accommodate your holiday party! na Cashen, chair of the stomp. She itchy, stinky and stained so bad credits Coca-Cola Co. as its sponsor. she threw out her clothes. “Weeks Call 1.888.7.EAGLE.7 ext. 55200 for details. Spectators gather early to watch later we found grape skins in Experience More. pairs of people make fools of them- crevices we didn’t know existed. It MT. PLEASANT, MI U SOARINGEAGLECASINO.COM U selves while a two-minute timer sticks around.” ticks off the seconds. Teams range What’s the reward? “It’s horri- Enterprises of the from Girl Scouts to firemen. Toe Saginaw Chippewa Indian bly messy and lots of fun,” Zugel Tribe of Michigan Jam, a group of five hearty local said, noting it took days to scrub guys, often wins the Paw Paw con- off her purple feet. test, which the organizers deem — Maureen McDonald DETROIT BUSINESS MAIN 09-01-08 A 21 CDB 8/28/2008 5:05 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 21

BUSINESS LIVES Crush Michigan event to benefit leukemia foundation

The folks at the Children’s Leukemia Foundation of Michigan GREAT GRAPES A FINE WINE TIME have lots to wine about. Crush Michigan 2008 Wine and Should they pair an Austrian Six chefs and one Crush Michigan co- Food Classic grüner veltliner with a zesty shell- chair name their favorite wines (from left and moving clockwise): fish dish or go To benefit: Children’s Leukemia Foundation of Michigan. classic and Ⅲ Jim Balogna, Townsend Hotel: Regusci Cabernet Sauvignon, Stags serve a Chairs: Honorary chairs Steve and Leap. Sancerre? Will Lisa Yzerman; event co-chairs Cindy Ⅲ Obron Kahn and Dr. Marc Kahn; their guests be Don Yamauchi, Forté: California chardonnay. and Susan and William Seklar. more im- pressed with a Ⅲ David Gilbert, Forest Grill: Siduri When: Patron receptions 5-6 p.m., Sapphire Hill Vineyard Russian River Sept. 27. Main event 5:30 p.m.-1 great wine Valley Pinot Noir. a.m., same day. from Portugal Ⅲ or a California Cindy Obron Kahn, the co-chair, Where: Townsend Hotel, Hannett, Wilson & Whitehouse Realtors: Birmingham. cabernet with Pahlmeyer Chardonnay Sonoma Coast. Givers braised short Specs: Five patron receptions with Ⅲ Brian Polcyn, Five Lakes Grill and ribs? Is it bet- award-winning chefs, vintners and Forest Grill: Joseph Swan Pinot Noir. master sommeliers followed by a ter to cleanse Ⅲ four-course gourmet dinner, one’s palate Jim Barnett, Westin Book Cadillac: Barolo. strolling wine and appetizer with Cham- stations, cult wine bar, live pagne or wa- Ⅲ John Somerville, The Lark: Shafer Vineyards Cabernet Sauvignon Hillside auction, after-hours club with ter? Should & NATHAN SKID/CRAIN’S DETROIT BUSINESS Select, Stags Leap. music from DJ Scene and a gelato Shakers you swig or bar. Julie Yolles sip? Red or started putting the corks in motion Among those improvisations is the main event, which includes a What to wear: Snazzy chic, no white? Is it a eight months ago. the fact that Crush Michigan, four-course dinner, more wine and ties for the guys. faux pas to finish the whole glass “The logistics of putting this named for the grapes-to-wine Champagne tastings, luxury live Cost: Patron receptions $250 per or leave a smidge? person; main event $500 per event together process, will be moved to May 2 auction and the Crush Wine Down “Twenty-two percent of the person and includes one patron have been American population chooses next year — a more convenient nightclub. reception. daunting,” said “A restaurant is supported by wine as a first beverage,” said season for participating vintners. RSVP: (248) 353-8222, master sommelier Ron Edwards. Seklar, who is For the premier year, the event the community, so it makes sense www.crush2008.com. “That’s a from 15 also CLF’s inter- kicks off on Sept. 26 with the already to support the community that it is years ago, when it was 6 percent.” im president sold-out 19th-century retrospective in,” said Brian Polcyn, chef and pro- the Dream Cruisers. The CLF is hoping that 400 wine and CEO. He Madeira wine tasting and dinner at prietor of the Five Lakes Grill in Mil- “I change the menu with the sea- aficionados will leap at the chance hopes to net the new Forest Grill in Birmingham ford and, now, the Forest Grill in son and take the best of what na- to savor the gamut of exclusive $225,000. followed by five simultaneous pa- Birmingham. Polcyn hosted a sold- ture gives us,” says the 33-year vet- wines and sumptuous cuisine at a “Most of this tron events on Saturday night (one out fundraiser at the Forest Grill eran. “I’m a big advocate of saving two-part, inaugural food and wine Edwards we’ve had to in- at the Forest Grill and four at the on Aug. 8 to benefit Birmingham’s the family farm and using all or- classic called Crush Michigan. vent as we’ve gone along. There’s Townsend Hotel). Then all guests will Community House. Forest Grill offi- ganic, wholesome ingredients — Crush co-chairman Bill Seklar no precedent.” come together at the Townsend for cially opened just in time to feed food with soul.” So much so that Polcyn won’t de- cide which delicacies he’s going to serve for the Saturday night pa- tron dinner or the intimate Friday night Madeira event until the week before. “For a $1,000 a person, I’ve got to do something more than goat cheese and beets,” the restaura- teur, professor and father of five said jokingly. Perhaps goat cheese with a dol- lop of Beluga caviar would be more fitting? “If Brian were to do that, then I would pair it up with vintage =@=K?8EE@M

Page 22 CRAIN’S DETROIT BUSINESS September 1, 2008

BUSINESS LIVES Supino, Taste of Ethiopia open in Eastern Market

Detroit’s Eastern Mar- zas with no sauce to tradi- “Supino’s pizza is inspired by a ket welcomed two new tional pies — all available in trip I took to Italy seven years restaurants to the neigh- Table 10 inches or 16 inches, start- ago,” Mancini said. “I New York- borhood last month. The ing at $7. Slices run $2.25- ized the family recipe a bit.” additions, Supino Pizzeria Talk $3.25. It replaces Flat Planet He buys near;y all his ingredi- and Taste of Ethiopia, also Pizza. ents from Eastern Market mer- happen to be next-door Owner Dave Mancini chants such as Del Bene Produce neighbors. hopes to draw customers Inc., Detroit Sausage Co., Caramagno Foods Co. and R. Hirt Jr. Supino, 2457 Russell St., who crave different kinds of Mancini previously was a physi- hopes to bring a touch of pizza with nontraditional cal therapist for Henry Ford Hospital. Italy to the Motor City. It toppings like capers and He decided to follow his passion opened Aug. 12. eggplant. for pizza after friends and family The 1,050-square-foot, Mancini said he couldn’t served up plenty of compliments. 26-seat restaurant has a find the pizza he was look- The Detroit resident searched for wide array of offerings, ing for in Detroit, so he set NATHAN SKID/CRAIN’S space in the city for five years. Just Meskerem from specialty white piz- Nathan Skid out to make it himself. as he was about to settle on the sub- Gebreyohannes of urbs, he got a tip from Jackie Victor Taste of Ethiopia of Avalon International Breads, that and Dave Mancini Flat Planet Pizza was for sale. of Supino PIzzeria “I’ve lived in the city for 11 years have joined Eastern MARKET PLACE and I have always wanted to do Market. something positive here,” Mancini green walls lined with pictures of warm welcome at Eastern Market. said. “The city of Detroit needs fruits, vegetables and spices used President Dan Carmody said the ca- ANNOUNCEMENTS & TELECOMMUNICATIONS something like this, much more in Ethiopian cooking. maraderie among business owners than the suburbs.” “I don’t think a lot of the other stems from its rich tradition, its ac- SERVICES WILL BUY ALL OFFICE TELEPHONE EQUIPMENT restaurant owners think of us as cess to fresh produce and wholesale FILE STORAGE Please Call: 877-RICHARD competition,” said Hiyaw Gebrey- items, and most Please Call: 877-742-4273 Ethiopia comes to Detroit ohannes, Meskerem’s son and tem- importantly, its Large scale (MAXI) storage units. Great for RV’s, Taste of Ethiopia, at 2453 Russell boats, cars, warehousing. 14 x 14 door, heated, 24/7 VIDEOCONFERENCE SERVICES porary restaurant manager. “They high concentra- entry, secured. Buy/Lease - I-94 & 26 Mile Area St., seats 35 for its $9.45 lunch buffet. see our restaurant as adding to the tion of indepen- 800-945-5816/www.stclairstoragecondos.com Complete Videoconference Services Dishes include mesir, a spicy variety, which will bring more dent businesses. Job Interviews, Legal Depositions, Business Meetings lentil dish; and assa tibs, steamed FINANCIAL SERVICES Convenient Troy Location, 3 Rooms, 1-200 Capacity customers to Eastern Market.” “The sense of Midwest Video 248-583-3632 www.midwestvideo.com tilapia with onions, red pepper, community is The restaurant’s first location in vinegar and hot peppers; all served certainly in the CAPITAL AVAILABLE BUSINESS & Southfield opened in August 2005. atop injera, a soft, hand-made DNA here,” Car- If you have an opportunity that requires INVESTMENTS It generates about $110,000 in an- bread using a special flour called mody said. “I’ve funding but does not fit traditional nual revenue. Meskerem Gebrey- banking parameters - contact us. We do BUSINESSES FOR SALE teff. The restaurant also offers 100 only been here not fund senior/mezzanine debt or percent pure fruit and vegetable ohannes said she hopes the new lo- Carmody for seven working capital. We focus on special WOOD SHOP FOR SALE juices, squeezed in-house. cation will surpass that. months and I am in awe of it.” situations with investment size ranging 30,000 sq ft, 25 yrs in business. Manufactures Taste of Ethiopia is open Mon- $500K to $10 million. Total cabinets, molding, wood paneling and finishing. “What makes our food special is Carmody said Eastern Market committed capital of $100 million. We Ideal for contractor. $500K. Call 989-239-3666 the seasoning,” Meskerem Gebrey- day-Friday 11 a.m.-3 p.m. and Sat- helps new businesses acclimate to have an in-house legal team, can think ohannes said. “Most of my season- urday 8 a.m.-4 p.m. "outside the box" and act quickly. EQUIPMENT & the neighborhood. There are also ings I bring home from Ethiopia. monthly meetings to discuss issues Please refer to www.etccapital.com MERCHANDISE or call 248-560-0203 ext. 101 The only things I can get here are like customer service and security. for more information. Neighbors helping neighbors INDUSTRIAL EQUIPMENT garlic, salt, turmeric and ginger.” Nathan Skid: (313) 446-1654, The 1,670-square-foot space has Both owners said they received a [email protected] INDUSTRIAL SERVICES Need More Space? Established manufacturer has open stamping (to 2200 Tons), welding, tapping, and assembly capacity. Let us be your problem solver! Starting at $1,895.00 ARESCO, Inc. Please Reply To: Pontiac, MI aresco.org Box# 10052 CD Crain Communication Toll Free 1-877-227-3726 1155 Gratiot Avenue Detroit, MI 48207 OFFICE FURNITURE

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September 1, 2008 CRAIN’S DETROIT BUSINESS Page 23 BUSINESS DIARY ACQUISITIONS gun a public-relations campaign for ment making American Chartered Ave., Suite A, Birmingham. Web site: Wayne Law student interns will rep- CerMet Lab Co., a Southfield nan- Bank a preferred Health Savings Ac- www.meadowbrookurgentcarepc.com resent children in abuse, neglect, fos- Fata Automation Inc., Sterling otechnology company with a product counts provider. . ter care review, termination of Heights, has acquired Fata Aluminum said to improve gas mileage by 5 per- Inc., Farmington Hills. Morse Moving and Storage, a Romu- parental rights, adoption and delin- cent to 10 percent. lus moving and storage company, has MOVES quency proceedings. The Legal Aid CONTRACTS Accretech USA Inc., Bloomfield Hills, been named a preferred mover by Phillip Schmitt Jr.-Attorney at Law to and Defender Association will provide hired Freedom One Retirement Ser- West Bloomfield Township-based Hire South Adams Square of Birmingham, the clinic’s clients and office space. Advisicon Inc., Farmington Hills, has vices, Clarkston, to provide retire- It Done. Birmingham. Bright House Networks of Michigan, become a designated Safran autho- ment plan services to its employees. Agro-Culture Liquid Fertilizers, St. Livonia, has launched a Web site, rized reseller for Safran North Ameri- Also, Midbrook Inc. of Jackson, hired Johns, has signed a contract with Cre- ca L.L.C., an Albuquerque, N.M.-based NAME CHANGES www.ontv.brighthouse.com, to profile Freedom One Retirement Services to ative Services Co., a Madison Heights- software company. provide retirement plan services to its Tanoury, Corbet, Shaw, Nauts & Essad its video-on-demand offerings for its based marketing and promotions digital video customers. Ensure Technologies Inc., Ypsilanti, an- employees. P.L.L.C., a Detroit law firm, to Tanoury, firm, to provide a video series mark- Corbet, Shaw, Nauts, Essad & Beutel nounced a contract with Software Brendy Barr Communications, Oak- ing its 25th anniversary. House International of Piscataway, NJ, land Township, has been chosen to P.L.L.C. Weir Manuel, Birmingham, has to resell Ensure’s XyLoc product line. handle public relations for The Hills DIARY GUIDELINES been chosen by Wellington Chase XyLoc products recognize authorized Bar & Grille in Rochester Hills. NEW SERVICES Send news releases for Business desktop users, and lock and unlock Homes to list the Birmingham Show- Rand Construction Engineering Inc., a house. Proceeds from the sale of the Joe’s Produce, Livonia, now offers Diary to Joanne Scharich, Crain’s computers as they approach and walk Brighton-based design/build con- Joe’s Gourmet Catering and Events. Detroit Business, 1155 Gratiot away. home will go to the Barbara Ann Kar- struction firm, has been awarded a manos Cancer Institute. The new catering service provides Ave., Detroit, MI 48207-2997 or Aristeo Construction, Livonia, contin- contract by Brown-Campbell to reno- quality meals and coordinates all oth- send e-mail to jscharich@crain. ues its ongoing facilities management vate its new corporate headquarters EXPANSIONS er aspects of indoor and outdoor com. Use any Business Diary item janitorial and landscape services at the in Shelby Township. Brown-Campbell events. It also has access to the full ar- as a model for your release, and Ford Michigan Truck Plant in Wayne. is a manufacturer and distributor of Henry Ford Health System in Detroit ray of goods and services available at look for the appropriate category. The work includes maintenance of specialty metal products. will open a workplace health clinic Joe’s Produce. Without complete information, your plant offices, grounds and parking ar- American Chartered Bank, headquar- and pharmacy at Chrysler L.L.C.’s Law School, item will not run. Photos are eas, as well as the management of core tered in Schaumburg, Ill., and Ameri- Auburn Hills headquarters this fall. Detroit, and the Legal Aid and Defend- welcome, but we cannot guarantee infrastructure requirements. can Community Mutual Insurance of Meadowbrook Urgent Care, Novi, has er Association of Detroit are to offer a they will be used. Smith-Winchester, Southfield, has be- Livonia have entered into an agree- opened a clinic at 33722 Woodward child advocacy clinic in the fall. REAL ESTATE

AUCTIONS INDUSTRIAL PROPERTY INDUSTRIAL PROPERTY MISCELLANEOUS WATERFRONT PROPERTY

ABSOLUTE AUCTION! ROSEDALE PARK Leasing 2 Adj. Units - 50,000 & 56,000 s.f.(106,000 Aircraft / Aviation Corporate aircraft hangar space CONDO ON FOX LAKE, WEST BLOOMFIELD 14926 ASHTON - DETROIT. WILL SELL AVAILABLE NOW comb) @ Burt Indust’l Pk. (I-96/Telegraph), Very FOR LEASE. Available at Airport. Immediate occupancy, reduced to $160,000. Newly REGARDLESS OF PRICE! SEPT. 26TH 4:30 P.M. Clean, Dry, Well-Maint., Docks, Truck Pkg, EZ Turboprop / light jet. Office space also on site. decorated and carpeted. 2 story, 2 bdrms, 2.5 baths, AEauctions.com (248) 473-1547 4,000 to 100,000 sq. ft. Freeway Access. (248) 356 - 5466 Heated - 24HR in/out service. Contract jet fuel. library with built-ins. Cloister On The Lakes Also 10,000 & 25,000 sq. ft. Contact Mitch 734-740-3232 Community. Tennis Courts, pool & clubhouse. INDUSTRIAL PROPERTY APARTMENT BUILDINGS Bloomfield Hills School District. By Owner. Free Standing Bldgs w/truckwells. 248-809-2167 or email: [email protected] 1 Mile from Metro Airport OFFICE SPACE ON ORCHARD LAKE REA CONSTRUCTION FOR SALE PRIME LOCATION 4 bedroom ranch, 3 1/2 baths on FOR SALE Available for sublease, 1000 sq.ft. loft type space 1.4 acres premium lot. 248-335-0104 (734) 946-8730 highly upgraded. Currently furnished with direct www.5081commerce.com Value Add Apartment Portfolio access to a large state-of-the-art conference room. Now Leasing: 83,700 sq. ft. Also Heavy Industrial Contact: Off. Mgr. at (248) 540-0660 200’ LAKEFRONT- 15 min. from Novi/Ann Arbor Land Available on All sports Woodland Lake. 4100 sf new const. Where Quality Tenants Find Exceptional Value Medical-Dental Suites Coming in 2009 You select interior finishes. The dock is in, enjoy the www.reaconstruction.net Mound Rd South of Hall Rd,Sterling Hgts, MI. Close lake now, move by Aug. 810-533-5014 or 18. Catellus Group, LLC 810-695-7700 to Beaumont & Ford Hospitals. For Sale or Lease. Call Tom Hyek & Company 586-726-7616 Why drive “Up North”? Large1 acre waterfront lots on 300 acre all-sports AUCTIONS Office Space In Troy Near Somerset Mall Woodland Lake in Brighton. Excellent access. Window offices and optional assistant space, www.hiltonpointeestates.com or 810.220.8060 conference room and kitchen. Near I-75. Fur- Real Estate and Arcade Asset Auction 3 Properties Totaling 520 Units nished, optional phone and fax. Call 248-740-1688 Crain’s Classifieds Gets Results • No Set Asking Price Auction on-site Saturday October 4th at 10am AUCTIONS Real Estate to Sell at Noon...Preview & Registration at 8am • Purchase 1 Property or Entire Portfolio 2280 Lakeland Dr, Flowood MS, 39208 Open Friday Oct. 3rd from Noon-7pm • Opportunity to Enhance Value Bank Ordered Sale Real Estate & Land Auction Lakeland Dr. Frontage, Traffic Light Access - Just outside of Jackson, MS • All Property Level Due Diligence Provided Former family entertainment facility in high traffic corridor on Lakeland Drive located at a Before Bid Deadline Auction Held on-site Sat. Sept. 13th at 11am signalized intersection. Frontage, visibility and signage on Lakeland is excellent. Property Open Houses: consists of the following : 20,555 SF +/- ice rink; a 20,000 SF +/- arcade with party facilities For More Info Please Contact: Preview and Registration at 9:30am Sat. Sept. 6th Noon-3pm and laser tag area; go-cart track; (2) 18-hole mini. golf courses; 8 batting cages; and, additional Barry Swatsenbarg Sun. Sept. 7th Noon - 3pm 34975 W Twelve Mile Rd [email protected] storage building. Property consists of 7.5 +/- acres with an additional 14 +/- acres available Farmington Hills Kimberly Gardens with Pearl River water frontage. Property lines up to possible future river development. Michigan 48331 248.848.4178 30307, 30251 and 30223 Kimberly Court - Farmington Hills, MI Approx. 59,000 Cars per day. Call today for a brochure or visit us online for more photos! 3 Homes - New Construction and 17 Homesites www.friedmanrealestate.com Rose Auction Group, LLC Rob Storment Frank Edens These homes are completely finished. 4 Bedroom, 2.5 Bath Brick Colonial with 2.5 car garages 877-696-7653 Contents Auctioneer Broker, Auctioneer and wonderful upgrades! Granite counter tops, upgraded elevations, all 2500 +/- sq ft with Bid online at RoseAuctionGroup.com SuperAuctions.com MS Lic# 206 INVESTMENT PROPERTY twolakesms.com Edens Auctions basements. All 3 homes are model homes, move right in! 17 homesites available, Buy 1 or Buy Beth Rose, CAI Auctioneer them all. Call today for a brochure. Located North of 8 mile on East Side of Tuck Road (3) GSA LEASED BUILDINGS Ann Arbor, Port Huron, Flint Rose Auction Group, LLC 877-696-7653 7 ½ % CAP $1.1M NOI RoseAuctionGroup.com 810-394-5522 Beth Rose ~ CAI Auctioneer LYON TOWNSHIP/BANK OWNED /0A=:CB3 12-unit rental townhouse project available. COMMERCIAL PROPERTIES Get a great deal on this investment opportunity. 4271/C1B7=< Contact Karen Shepherd at 248-290-5300 ext. 311 \93!Njdijhbo!Qspqfsujft!jo!Efuspju!boe!Tvsspvoejoh!Bsfbt^ OFFICE BUILDING DOWNTOWN ROYAL OAK OAK PARK OFFICE BLDG FOR LEASE/SALE Make Offer. Free Standing bldg about 9,000 sq ft of PRIME OFFICE/RETAIL offices on two floors. 4,000 sq ft of shop or storage only available for sell on 2 acres. 21151 Myers. 400 sq. ft. – 5,200+ sq. ft. Call Brian 248.376.5121 Click On: bratemanproperties.com Historic Washington Square Plaza

Five buildings for sale in: Plymouth, Wixom, Located in Downtown Royal Oak Farmington Hills and Lathrup Village Jonathan Brateman Properties (248) 477-5000 Oakland County’s Most Vibrant Retail – Restaurant – Business Destination Call Us For Personalized • Architectural Excellence Service: (313) 446-6068 • Walkable CLOSING TIMES: Monday 3 p.m., • High-visibility Retail Location Up!cf!ifme!bu!Uif!Spdl!Gjobodjbm!Tipxqmbdf!¦!Tjohmf!gbnjmz! one week prior to publication date. sftjefodft!gfbuvsjoh!b!nbhojgjdfou!ipnf!jo!vqtdbmf!Hspttf! Please call us for holiday closing times. • Conference Center Qpjouf!Gbsnt!¦!Nvmuj.gbnjmz!sftjefodft!¦!Dpnnfsdjbm! FAX: (313) 446-1757 • Outdoor Deck E-MAIL: [email protected] qspqfsujft!¦!Jowftunfou!qspqfsujft INTERNET: www.crainsdetroit.com/classifieds • Many Amenities \Uvftebz-!Tfqufncfs!41!bu!3;11!QN!)FU*^ Confidential Reply Boxes Available PAYMENT: All classified ads must be prepaid. Checks, money order or Chrysos Development & Management Co. (248) 548-9900 EEE8>97<51=; Crain’s credit approval accepted. Credit cards accepted. &##&#"$" See Crainsdetroit.com/Classifieds CRAIN’S CLASSIFIEDS WORK! To Place Your Ad Call (313) 446-6068 or Fax (313) 446-1757 AbSdS\:@SSaS`@SOZ3abObS0`]YS`)# %' %$"!$ for more classified advertisements DETROIT BUSINESS MAIN 09-01-08 A 24 CDB 8/28/2008 1:16 PM Page 1

Page 24 CRAIN’S DETROIT BUSINESS September 1, 2008 CALENDAR PEOPLE County Executive Robert Ficano. Fair- ARCHITECTURE South Oakland Shelter, Royal Oak, MONDAY lane Center North Building, Dearborn. from executive director, Youth Con- Brian Craig to education practice IN THE SPOTLIGHT SEPT. 8 $45. Contact: (313) leader, college/university business nections, 446-0300. Greg Braun Franklin, Ind. A Conversation with Ford Motor Compa- line, URS Corp., Southfield, from se- has been ny President and nior vice president, Progressive AE, Heidi Rehak Lovy named to director of de- CEO Alan Mulally. 2008 Detroit Re- Grand Rapids. gional Chamber executive velopment, Mid- 11:30 a.m.-1 p.m. In- vice west AIDS Pre- forum, Woman’s Annual Report to CONSTRUCTION president vention Project, Day magazine. Membership. 8-10 Tim Honoway to and Ferndale, from Ford Conference & a.m. Sept. 11. Fox chief estimator, executive grant writer, De- Event Center, Theatre, Detroit. Braun Construc- Free for all De- creative troit Institute of Dearborn. $45 tion, Farmington troit Regional Arts, Detroit. members, $60 oth- Hills, from se- director of Chamber mem- Stephen Zimmer ers. Add $10 to reg- Ficano nior estimator. Dearborn- Zimmer bers. Contact: La- to executive di- istrations received Braun based Toya Elliott, (313) 596-0305, marketing rector, U.S. Automotive Partnership for after Sept. 4 and at ENGINEERING Advancing Research and Technologies, Mulally the door. Tables of and communica-tions agency Fred Payne to Y&R-Team Detroit, effective this Shelby Township, from director of 10, $575. Contact: Leslie Herrick, (313) A New Paradigm for Public Broadcast- government collaborative programs, vice president fall. 578-3244. ing. 11:30 a.m.-1:30 p.m. Sept. 18. De- and global direc- Chrysler L.L.C., Auburn Hills. troit Economic Club. Paula Kerger, tor of program Braun, 40, has been senior vice Honoway president and CEO, PBS. Detroit Mar- management, Ri- president and group creative REAL ESTATE COMING EVENTS riott at the Re- cardo Inc., from corporate director of director at Energy-BBDO in naissance Center. Chicago. Scott Lyons to principal, Lee & Asso- Business Over Breakfast: The Aerotrop- program management, BAE Sys- ciates of Michigan, Novi, from senior $40 members, $50 tems, Rockville, Md. He replaces Lance Paull, who left olis: Is the Detroit Region Ready to guests of mem- vice president of industrial division, Take Flight? 7:30-9:30 a.m. Sept. 10. bers, $75 non- to pursue other opportunities. Grubb & Ellis, Southfield. Crain’s Detroit Business in partnership members. Con- ENVIRONMENTAL Braun earned a bachelor of arts David Eisenberg to associate broker, with Detroit Renaissance and the tact: (313) Curtis Wagner to senior project man- degree from the University of First Commercial Realty & Develop- Downtown Detroit Partnership. Doug 963-8547. ager, Performance Environmental Oregon, and a bachelor of fine ment Inc., Southfield, from broker, Rothwell, president, Detroit Renais- Services Inc., Wixom, from project arts degree from Art Center Benicke Group, Birmingham. sance; John Rakolta Jr., chairman and Who Needs a Ven- manager. Also, Doug Andrews to reg- College of Design in Pasadena, Kristi Michalski to asset manager, Mile- CEO, Walbridge Aldinger and co-chair, ulatory compliance manager, from ture Capitalist? 5 Calif. stone Realty Services Inc., from fi- Aerotropolis Task Force; and Wayne Eagle Ottawa Leather, Auburn Hills. p.m. Sept. 18. nance manager, Handleman Co., Troy. Kerger New Enterprise Jennifer Hall, Bryan Kelm and Rebec- Kelly Savoy to principal, Lee & Asso- Forum. Cindy Douglas, director, pro- ENTERTAINMENT ca Merriman to manager, audit prac- ciates of Michigan, Novi, from direc- gram administration, Michigan Eco- Robert Murphy to director of sales tice, Grant Thornton L.L.P., South- tor of client services. CAREER nomic Development Corp.; Francis and marketing, Central Collegiate field, from senior associate. Also, Glorie, former CEO, Irwin Magnetics Hockey Association, Farmington Erik Egerer to manager, corporate fi- RETAIL and independent finance/marketing Hills, from vice president of sales nance practice, from senior associ- Doug Nied to store manager, Hiller’s consultant; Tony Grover, managing di- and marketing, the Plymouth ate; Reginald Kelley to manager, MOVES business advisory services practice, Markets, Commerce Township, from rector, RPM Ventures; and Peter Whalers and Compuware Arena, Ply- store manager in Plymouth, Ann Ar- Woodford, alternative investments di- mouth. from senior associate; J.R. Mills and vision administrator, investments bu- Jack Serda to manager, corporate ad- bor and Northville. Also, Randy Wa- SALES keling to store manager, Plymouth, reau, Department of Treasury, State FINANCE visor and restructuring services SALES PROS WANTED of Michigan. Free to members, $5 stu- practice, from senior associate; and from store manager, Ann Arbor. Six-figure potential dents, $20 others. Spark Central, Ann Jay Kreindler to director and associ- Kathryn Campbell to manager, tax No Travel Required ate general counsel, AlixPartners, practice, from senior associate. SERVICES 1-800-679-4356 ext. 2024 Arbor. Contact: (734) 418-3388. Southfield, from associate general Nina Muggart and Michael Kowalski Brent Chartier to counsel and assistant secretary, to office managing director, Marsh Crain’s Detroit Business 2008 House vice president of OUTSIDE TOOLING SALES REP Champion Enterprises Inc., Troy. Inc., Detroit, from senior vice presi- account manage- Party. 5-9:30 p.m. Sept. 18. Crain’s De- Also, Brian Paluk to finance manag- dent. ment, T.E.A.M., Innatech, LLC, a custom injection molder special- troit Business, Michigan State Hous- er, from senior financial analyst, Troy, from pro- izing in multi-shot, headquartered in Rochester, ing Development Authority, MGM John Marquardt to partner in tax MI, is looking for an Outside Sales Representative, American Axle & Manufacturing, gram head, State Grand Detroit, and other sponsors. practice, BDO Seidman LLP, Detroit, 100% commission based pay, reporting to the Detroit. of Michigan Director of Sales. Enjoy house visits and cocktail par- from director of tax practice. Also, Rion Needs to president and CEO, As- Vin Nguyen to partner in assurance Health Profes- Primary Responsibilities: ties 5-6:30 p.m. at homes, lofts and con- sional Recovery set Acceptance Capital Corp., War- practice, from senior manager of as- • Develops and Maintains major accounts dos throughout Detroit. Then please Program, Detroit. ren, from COO. surance practice. • Coordinates all activities undertaken for the cus- join us for the afterglow event 7-9:30 William Lager- tomer being the primary point of contact and p.m. at the MGM Grand Detroit. $80. Joshua Eichenhorn to senior vice mann to general communication Includes a year’s subscription to president and regional credit admin- HEALTH CARE Chartier • Coordinates technical liaison/engineering serv- manager, Staff istration of the to eastern area vice presi- ices with the customer Crain’s Detroit Business. Contact: (313) Leah Oliva Resources Inc., Farmington Hills, • Negotiates settlements of claims within limits 446-0300. east Michigan dent, American Laser Centers, Farm- from account manager, Design Sys- prescribed by management region, Hunting- ington Hills, from southeastern divi- tems Inc., Farmington Hills. • Contract Review ton Bank, Troy, sional vice president, La Petite Adcraft Club of Detroit. 11:15 a.m. Pam Poirier to administrator, marina Preferred Qualifications: from senior vice Academy, Chicago. Sept. 19. Mini-concert with 2008 president, operations, Jefferson Beach Marina, • 10 years of injection molding tooling sales Randy Bruce to director of neuropsy- St. Clair Shores, from harbor and experience American Idols David Cook and David LaSalle Bank chology services, Special Tree Reha- park supervisor, Grosse Pointe Archuleta. Ford Conference & Event Corp., Troy. bilitation Services, Romulus, from Visit www.innatech.com Center, Dearborn. $40 members, $30 Farms Pier Park. Please fax your resume to: 248-652-9187 Kelli Herbert to clinical psychologist. junior members (under 25), $45 others. EEO regional manag- Karol Clason to Contact: (313) 872-7850. SUPPLIERS er, EDS Credit manager, corpo- Union, Pontiac, rate planning, Mark Oswald to director, investor rela- tions, TRW Automotive Holdings Corp., GENERAL . 11:30 a.m.-1:30 Herbert from vice presi- Beaumont Hospi- Livonia, from manager, investor rela- p.m. Sept. 23. John Engler, president, dent and branch manager, JP Mor- tals, Royal Oak, MORNING NEWS PRODUCER tions, Ford Motor Co., Dearborn. National Association of Manufactur- gan Chase & Co., Lathrup Village. from senior 101 WRIF is currently accepting applications for Also, Eric Semenjuk Jr., to branch planning special- Stephen Van Oss, senior vice presi- potential Entry Level Morning News Producer. Experi- ers. Cobo Center, Detroit. $40 mem- ence building news resources, pursuing interview bers, $50 guests of members, $75 non- manager, Troy, from sales manager ist. dent and chief financial and adminis- and vice president of retail mortgage subjects, copy writing, computer and editing skills es- members. Contact: (313) 963-8547. trative officer, Wesco Distribution sential. Must be organized, quick study who can think sales, Bank of America, Troy. INDUSTRY GROUPS Inc., Pittsburgh, to the board of direc- on feet with excellent verbal and communications tors, Cooper-Standard Holdings Inc. skills. College/Trade School helpful. Punctuality a ne- Kimberlie Buchanan to principal and Andrea Duncan Crain’s Family-Owned Business cessity. Please send résumé to Trudi Daniels, One director of client to director of and Cooper-Standard Automotive Radio Plaza, Detroit, MI 48220 or email: Forum. 5 p.m. Sept. 25. Crain’s Detroit services and Duncan member ser- Inc., Novi. [email protected] No Telephone Calls Business, Comerica Bank, Honigman, practice growth, vices, Automation Alley, Troy, from Please. Greater Media is an Equal Opportunity Michigan Business & Professional As- The Rehmann Employer. marketing manager, PMV Technolo- sociation and the Motor City Casino Group, South- gies, Madison Heights. PEOPLE GUIDELINES Hotel. Paul Berhard, director of the field, from man- aging director of Announcements are limited to Call Us For Personalized business transition planning group, MARKETING Service: (313) 446-6068 Plante & Moran P.L.L.C. Motor City resources global management positions. Nonprofit Casino, Detroit. $75. $90 after Sept. 12. professionals. Ashli Bobo to and industry group board CLOSING TIMES: Monday 3 p.m., Contact: (313) 446-0300. Dennis Graham manager, B-Ex- appointments can be found at one week prior to publication date. to partner, periential, www.crainsdetroit.com. Send Please call us for holiday closing times. Plante & Moran Berline, Bloom- submissions for People to Joanne CALENDAR GUIDELINES Johnson P.L.L.C., South- field Hills, from Scharich, Crain’s Detroit Business, FAX: (313) 446-1757 field, from se- promotions ac- 1155 Gratiot Ave., Detroit, MI nior manager. E-MAIL: [email protected] More Calendar items can be count executive, 48207-2997, or send e-mail to INTERNET: www.crainsdetroit.com/classifieds found on the Web at Also, Carl John- Berline. son and Christo- [email protected]. Releases www.crainsdetroit. com. Please must contain the person’s name, Confidential Reply Boxes Available send news releases for Calendar pher Jones to NONPROFITS partner, from as- new title, company, city in which to Joanne Scharich, Crain’s Detroit PAYMENT: All classified ads must be sociate. Nancy Malovey the person will work, former title, Business, 1155 Gratiot Ave., Malovey prepaid. Checks, money order or Christopher to corporate di- former company (if not promoted Crain’s credit approval accepted. Detroit, MI 48207-2997, or e-mail rector of contracting and reimburse- from within) and former city in jscharich@ crain.com. You also Crowley to presi- Credit cards accepted. ment, Hospice of Michigan, Detroit, which the person worked. Photos may submit Calendar items in the dent, BeneSys, Troy, from presi- from director of reimbursement in are welcome, but we cannot See Crainsdetroit.com/Classifieds Calendar section of dent, Cofinity, patient financial services. crainsdetroit.com. guarantee they will be used. for more classified advertisements Jones Southfield. Kevin Roach to executive director, DETROIT BUSINESS MAIN 09-01-08 A 25 CDB 8/29/2008 1:54 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 25 Zack’s Hotdogs reaches area franchising deal

BY NATHAN SKID open the first Zack’s and has spent CRAIN’S DETROIT BUSINESS an additional $25,000 in franchise fees. Renaissance Brands L.L.C., a sub- Zack’s Hotdogs was rated the sidiary of Detroit-based Renais- No. 8 hotdog in the nation by sance Construction Group L.L.C., has AOL.com. struck a deal with Baltimore, Md.- It is known for its original hot- based Zack’s Hotdogs with an Atti- dogs, such as its Southwestern tude to bring 15 of the fast-casual chipotle dog with salsa, cheese, restaurants to Southeast Michi- jalapenos and chipotle mustard, as gan. well as its Baltimore dog wrapped The deal will give Renaissance in bologna. Brands exclusive rights to Zack’s Nathan Skid: (313) 446-1654, Hotdogs franchise stores in South- [email protected] east Michigan. The company has prepurchased five of the restau- rants, which it must open within five years. Renaissance Brands has already established seven commitments from investors willing to pay $100,000 in franchise fees. “Renaissance Brands bought rights to the Detroit territory,” said Billy Apastolou, director of operations for Zack’s Hotdogs. “Their duty is to fill the slots.” Initially, Renaissance Construc- tion approached Zack’s with the intention of becoming its general contractor. But after several trips to Baltimore, the company’s own- ers became so impressed with the concept that it decided to become a franchisee. “Our family owned New Hellas Café in Greektown for nearly 107 years, and we have been in the construction business for forty- five,” said Gus Malliaras, CEO of Renaissance Construction. “We kind of put the two together and we’ll see what happens.” Gus’ mother, Georgia Malliaras, president of Renaissance Con- struction Group, owns 51 percent of the construction company while Gus owns 100 percent of Renais- sance Brands. “I knew Zack’s wanted to go na- tional, and I wanted to get on board with them early,” Gus Malliaras said. “After deciding to become a franchisee, I developed Renaissance Brands and signed a development contract with them early last week.” As part of the deal, Renaissance Brands must maintain a minimum 50 percent ownership in each of the restaurants it opens in South- east Michigan, with the other half held by an operating partner or in- vestor. Apastolou said the average Zack’s Hotdogs outlet has a total project value of $150,000 to $300,000, is at least 1,600 square feet and seats 45 customers. Gus Malliaras told Crain’s that, depending on its size and location, the average Zack’s generates $500,000 to $600,000 in revenue an- nually. He said the top-earning store in Baltimore clears $3 mil- lion in revenue. The first Zack’s is slated to open this December in Macomb Township at the intersec- tion of Hall and Hayes roads. The second will be in Novi, but its ex- act location has yet to be deter- mined. Renaissance Construction Group generated about $3 million in revenue in 2007 and is project- ing revenue of $4 million in 2008. It has earmarked about $200,000 to DETROIT BUSINESS MAIN 09-01-08 A 26 CDB 8/29/2008 3:30 PM Page 1

Page 26 CRAIN’S DETROIT BUSINESS September 1, 2008 Doctors hoping to buy hospital yet to pick leaders

BY CHAD HALCOM more than a $1 billion company is CRAIN’S DETROIT BUSINESS they can add us in to purchase agreements where they get (materi- In a way, the proposed buyers of als) cheaper than we ever could, bankrupt North Oakland Medical Cen- and help with costs tremendously.” ters hope to salvage the contents of Some 120-plus members of Oak- In Detroit, there’s one an old and sinking ship, in order to land Physicians — many of them outfit a newly commissioned one. doctors in private practice who way to face down risk... But who will be the new captain? have some affiliation to the current Anil Kumar, a urologist in hospital — would be shareholders Rochester Hills and president of the in the new hospital operation after A business insurance recently incorporated Oakland Physi- a transition period during the bank- expert you can trust. cians Medical Center L.L.C., said last ruptcy proceedings, Kumar said. week he is unlikely to seek the job. Kumar described the transition Jim Merkel, Director of Sales Oakland Physicians would ac- period as a kind of shared manage- quire NOMC in a proposed $9 mil- ment, while the group forms its lion transaction, subject to ap- leadership. Graham said NOMC proval in Chapter 11 reorganization will remain in charge of hospital With a degree of integrity and understanding that’s unmatched, our Detroit filed last week before U.S. Bankruptcy functions and will consult with the team will work to protect and advance your interests with the best possible Court Judge Marci McIvor in De- physicians during the transition. risk management and employee benefit plans available. troit. Detroit-based Butzel Long P.C. Kumar said Oakland Physicians represents NOMC. hoped to acquire the hospital as We continue to build one of the nation’s strongest insurance agencies, “Currently I am listed as presi- soon as early November, but Gra- never losing sight of the importance of local business knowledge. Learn dent of (Oakland Physicians), but I ham said it was unclear how long have no real experience or plans to NOMC would grapple with bank- more about Wausau Signature Agency by contacting Jim Merkel, be a hospital administrator,” he ruptcy proceedings before a judge 800.782.0012 x620 or visiting www.WausauSA.com/Detroit. said. “Our three-member executive approves the sale. committee will have time during The city owns the land and the Better Options. Easier Decisions. (bankruptcy proceedings) to form a finance authority owns the build- management team for after the ing and assets such as equipment. sale.” Cost-cutting may be an essential Oakland Physicians comprises component of the deal, in order to about 120 doctors, about 80 percent make the successor hospital viable. of whom practice at the hospital. In an affidavit filed with the bank- The group began to come together ruptcy petition, hospital CFO Mike ©2008 Wausau Signature Agency. All rights reserved. about five months ago. DeRubeis states NOMC’s “financial John Graham, president and condition has deteriorated severely CEO of NOMC, over the last several months.” said he cannot Graham said he and DeRubeis consider taking were able to trim more than $24 mil- over the succes- lion from operating costs since they sor hospital now, arrived two years ago, but were un- though the sub- able to return the hospital to prof- ject has come up. itability because patient volume NOMC peti- and revenue continued to decline. tioned for bank- North Oakland, founded in 1910 ruptcy reorgani- as Pontiac General Hospital, lost $13.4 zation Tuesday. million from operations in fiscal Graham Motions refer to 2007 according to Standard & Poor’s. plans to sell to Oakland Physicians The buyers would acquire when the proceedings conclude. NOMC’s main campus in Pontiac “I have been asked about my in- and nearby Waterford Ambulatory terest (in Oakland Physicians), but Care Center under terms of the pur- on the advice of our bankruptcy at- chase agreement. torneys I cannot entertain any dis- The physicians group and insti- cussions about that right now,” he tutional investors like McLaren to- said. gether will hold a 90 percent stake Under the proposed transaction, in the hospital, while the remaining the physicians group would pay $2 10 percent will go to other hospital million to the city of Pontiac, and employees who wish to participate. another $3,265,000 to the hospital Kumar said the sale terms also itself for soft assets such as licens- dictate that Pontiac, in addition to es and any solvent business inter- receiving the $2 million lump-sum ests, under a purchase agreement payment, will collect 5 percent of NOMC signed in early August. all profits from any year that the Kumar said the buyers would pay Oakland Physicians Medical Cen- another $3.7 million to the city’s ter makes money, in perpetuity. Pontiac Hospital Finance Authority, Under a 1993 lease agreement, which must satisfy bondholders Pontiac is owed $17 million — in- where NOMC has defaulted in re- cluding at least $2.3 million in past- payment. Graham said about $3.2 due payments — by NOMC, which million of that actually goes to settle hasn’t made a payment on its $1 mil- the bonds, while $500,000 goes for lion per year obligation since Sep- the authority to establish an escrow tember 2006. The sale payments are fund to protect against future hospi- supposed to excuse NOMC from tal malpractice suits. those obligations. Flint-based McLaren Health Care Part of McLaren’s $5 million in- Corp. will be an institutional in- vestment in the Oakland Physi- vestor, the first and only hospital cians hospital includes an agree- so far to buy in after putting up $5 ment to loan NOMC $2.75 million million for a minority share of the to help fund hospital operations new hospital. All institutional in- during bankruptcy, Graham said. vestors who join in the sale before “It’s my understanding McLaren it is complete will collectively own can then recover that portion of its a 30 percent stake, Kumar said. investment out of assets that are liq- “McLaren will be helping us with uidated in (bankruptcy),” he said. the transition period,” he said. Chad Halcom: (313) 446-6796, “One of the advantages of being [email protected] DETROIT BUSINESS MAIN 09-01-08 A 27 CDB 8/29/2008 5:04 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 27 If convicted, mayor may regain law license in future

BY ROBERT ANKENY means automatic suspension of CRAIN’S DETROIT BUSINESS Kilpatrick’s law license, the length of that suspension would be up to A prominent Michigan political the grievance and discipline figure, a lawyer who’d held several process, and ultimately, the Michi- public offices, was convicted of gan Supreme Court, said Robert perjury in a court proceeding, Agacinski, administrator of the spent 60 days in a halfway house Michigan Attorney Grievance Commis- and was disbarred. sion. But his license to practice law in The state’s high court has estab- Michigan was reinstat- lished a two-part system for ed, and he worked as a policing errant attorneys. mediator and arbitrator Many, including some for years after. lawyers, believe that this is This isn’t a preview of a State Bar of Michigan ’s fu- process, perhaps because it ture, but the actual story is funded by money from of the late John Swain- state bar dues, but it is en- son, Michigan’s 42nd tirely controlled by the governor and a justice of Supreme Court. 5IJT&WFOUXJMM*OTQJSF/FX*EFBT the Michigan Supreme The Michigan Attorney Court in 1975 when he Kilpatrick Grievance Commission in- BOE'SFTI1FSTQFDUJWFT was indicted on bribery conspira- vestigates and prosecutes alleged cy charges by a federal grand jury attorney misconduct, with the Á /&5803,XJUIUIFDVSJPVTBOEDPVSBHFPVT in Detroit. Michigan Attorney Discipline Board’s Swainson, a military hero who three-lawyer panels sitting as trial Á 53"/4'03.HPPEJEFBTJOUPQSP¾UBCMFTPMVUJPOT had lost both legs in World War II, TU"OOVBM courts and the full board as appel- Á &-&7"5&JOWFTUNFOUPQQPSUVOJUJFTUPBHMPCBMMFWFM was acquitted on bribery charges late court for such cases. However, 5XP%BZ4VNNJU but convicted of lying to the feder- a final decision on penalties is al- Á -&"3/BCPVUMFBEFSTIJQBOETVTUBJOBCJMJUZGSPNJOEVTUSZ al grand jury after changing his 0DU  ways reviewable by the Supreme )BHFSUZ$POGFSFODF$FOUFS MFBEJOHFYQFSUTMJLF(PPHMFBOE/"4"BMPOHXJUI testimony about receiving a televi- Court. 5SBWFSTF$JUZ .JDIJHBO QSFTFOUBUJPOTCZBDDMBJNFEBVUIPST sion set from a bail bondsman. He Even a deal approved by the resigned from the Supreme Court, grievance commission and disci- and his law license was suspended, pline board on sanctions against 3FHJTUFS&BSMZBOE4BWF but was reinstated in 1981. Kilpatrick could be reviewable by %JTUJOHVJTIFE1BSUOFST Like Swainson, Kilpatrick’s fu- the Supreme Court if an outside 0OMJOFBU6UPQJB'PVOEPSH ture as a lawyer is ultimately in complainant questioned it. the hands of the Michigan If Kilpatrick’s law license were Supreme Court, which decides to be suspended for less than six whether anyone who has passed months, he could get it back by fil- the state bar exam has the charac- ing an affidavit, while a suspen- ter and fitness to practice law in sion for 180 days or more requires Michigan. a more elaborate procedure, in- So the legal system itself, under cluding an interview with a disci- jurisdiction of the Supreme Court, pline board panel. sets standards and decides And a three-year or longer sus- whether someone is eligible to pension requires recertification practice law. by the State Board of Law Examiners. This Is America The Beautiful, And Enterprise In both Kilpatrick cases, the Although conviction on any of charges deal with alleged wrong- the 10 felony charges Kilpatrick Is Committed To Keeping It That Way. doing relating to court procedures, faces means automatic suspension the kind of misconduct seriously of his law license, the grievance frowned upon by the system. Neither Wayne County Prosecu- commission likely could bring tor Kym Worthy nor Michigan At- misconduct charges even if he torney General Michael Cox — were cleared of all charges, or they who are pursuing two criminal were to be dropped in a plea deal. cases in Wayne County Circuit Court Attorney misconduct is gauged — have any say-so about whether by a different standard, Agacinski Kilpatrick keeps his law license. said. “These are ethical, not crimi- Nor does Gov. Jennifer Granholm nal rules.” who has scheduled a removal hear- In such cases, the level of proof ing on the mayor for Sept. 3. And, is based on the civil standard of as of Crain’s press time on Friday, preponderance of evidence, not the talks apparently were continuing criminal standard of beyond rea- on possible plea agreements. sonable doubt, he said. Although a felony conviction, Robert Ankeny: (313) 446-0404, When you choose Enterprise, you get more than a rental car. which includes pleading guilty, [email protected] You also get our commitment to preserving this great country.

Whether it’s the largest fleet of hybrid and FlexFuel vehicles, our commitment to plant 50 million trees, or our pledge to the research for renewable fuels, we’re proud to be a Orientation Institute offers fall sessions leader in our category on environmental issues. To learn more about our commitment to environmental stewardship, please visit enterprise.com. The Detroit Orientation Institute, and west sides of the city and a sponsored by Wayne State Universi- walking tour of the downtown More than our logo is green™. ty, is accepting registrations from area. Participants also will attend newcomers to the city interested panel sessions discussing such in learning more about the histo- topics as diversity, economic de- ry and . velopment and crime. DOI is taking applicants from Registration forms and payment © 2008 Enterprise Rent-A-Car Company. 903669 08/08 MJ business, nonprofit, media profes- sionals and others interested in of $900 must be submitted by Sept. the city. 25. Space is limited to 50 partici- The three-day program will be pants. A new DOI session won’t be held Thursdays, Oct. 16-Oct. 30. It offered again until April 2009. consists of bus tours of the east — Bernadine Stallings DETROIT BUSINESS MAIN 09-01-08 A 28 CDB 8/29/2008 6:16 PM Page 1

Page 28 CRAIN’S DETROIT BUSINESS September 1, 2008 Hospitals: New medical centers may struggle to find staff ■ From Page 1 sociations in Michigan have been issuing greater recruitment efforts for people out of of staffed beds to 200 in February, Graham bleak reports on medical manpower short- state,” he said. “People will be traveling HELP WANTED said another several hundred employees ages. down South for employees, and there will be will be hired. St. John is using subcontrac- For example, a 2006 report by the Michigan a more aggressive effort for international The following are the total number of tors to provide housekeeping and food ser- Department of Labor and Economic Growth indi- workers from Canada and the Philippines.” employees needed for area hospital vices, he said. expansions. The American Hospital cated that the state needs Schwieters said most health care While about 33 percent of the hospital’s Association says about 83 percent of to fill 140,000 health care organizations do a good job at opera- hospital employees are health care new employees are internal company trans- jobs over the next 10 tional planning for facilities but fail practitioners and technical workers. William fers, Graham said he could not estimate how years to meet expected de- to plan far enough ahead to develop Beaumont Hospitals said slightly more than many employees will come from competing mand and replace retir- sustainable workforce programs. half of its projected medical center hires fall hospitals. ing workers. Key posi- “They will have to go after passive in that category. Flint-based McLaren Health Care plans to tions are nurses, candidates, those people who are Henry Ford West Bloomfield Hospital: open a comprehensive medical center in pharmacists, physician happily employed and working some- Needs 1,600 employees by March. Clarkston in April. About 70 new employees assistants, physical and place else, because there is not a St. John Providence Park Hospital: Needs are expected to be hired for the center, which occupational therapists large active candidate pool,” Schwi- 1,000 employees for Novi hospital by will include the Clarkston Medical Group and and medical records tech- eters said. February. Some 400 nurses and unspecified Great Lakes Cancer Institute. nicians. And those already employed at other employees have been hired for grand If McLaren moves forward with plans to “They will rob from area hospitals are overworked, said opening Friday. Another 400 workers are build a hospital in 2012, a total of 3,000 work- needed for St. John Providence Hospital in one another to staff those Marge Faville, secretary/treasurer ers could be needed, said Bill Peterson, Southfield. facilities,” said Jill of SEIU Healthcare Michigan, the state’s McLaren’s vice president of human re- William Beaumont Hospitals: Needs to hire Schwieters, executive largest health care union with 55,000 sources. 650 employees next year for three medical vice president of Pinstripe WILLIAM PUGLIANO members. “I thought coming up from Southeast Ron Lilek of William centers in Independence Township, Healthcare, a Brookfield, Beaumont Hospitals expects “The working conditions will not Commerce Township and Novi. Some workers Michigan (and Henry Ford) that my biggest Wis.-based human-re- new graduates to make up a improve if the hospitals continue to will be employed by physicians in the centers. challenge would be recruiting. Not the case. sources consulting firm. small portion of new hires. understaff like they do,” Faville said. Officials say 48 percent of Beaumont’s Our vacancy rate is 4 percent for nurses,” Pinstripe assists hospitals “They can put up beautiful buildings, employees are clinical and 6 percent Peterson said. “Our biggest challenge is in Michigan with recruiting strategies. but until they deal with the lack of training management. physical therapists.” “There is a shrinking talent pool in De- and support for new health care workers, we McLaren Health’s Health Care Village at The national vacancy rate for nurses is 8 troit where there already are 800 open posi- will continue to have shortages. I only see it Clarkston: 70 employees needed for Phase percent. Even in more demand are medical tions posted for RNs,” Schwieters said. getting worse.” One opening in April. If a second phase that technicians, which range from a 12 percent “There already is a significant need. The Earlier this summer, includes a 200-bed hospital is built, another vacancy rate for pharmacy technicians to 18 3,000 employees would be needed by 2012. new facilities will create more need.” SEIU opened a health care percent for radiologic technicians, said the Hospital executives told Crain’s Detroit education and training Source: Company information American Hospital Association. Business that 30 percent to 50 percent of center in Detroit to ad- As hospitals scramble to find health pro- in trouble.” their new employees in Oakland County dress growing shortages fessionals to staff their facilities, Michigan’s Like most area hospitals, Henry Ford will come from people simply changing jobs. in nursing and home unemployment rate has been growing. In pays employees a referral bonus for recruit- Another 25 percent to 30 percent will come health care, Faville said. July 2008, the state’s unemployment rate ing new workers. Under its current policy, from internal transfers. The remainder will In an Aug. 15 radio ad- was at 9.1 percent compared with 8 percent which is under review, Henry Ford gives come either from outside Detroit or to hospi- dress, Michigan Gov. Jen- in July 2007. Wayne County’s unemploy- $2,500 to employees who tals as new graduates from programs in nifer Granholm said the ment rate was 10.9 percent in July and Oak- Faville recruit critical-need nursing, pharmacy and medical technology. state will provide $6.5 mil- land County at 7.3 percent. Nationally, the workers, including nurs- “Everybody knows there is a shortage of lion to expand nursing education to train jobless rate is 5 percent. es, techs and pharmacists, health care workers to begin with and 42,000 nurses over the next five years. The key for hospitals that are recruiting Fields said. everybody is looking at new and innovative By 2010, Granholm said the state will be in a competitive market is to promote their But Fields and other ways to bring people in,” said Ron Lilek, short 7,000 registered nurses, and that short- facilities as places where employees want to hospital officials said they vice president of human resources at William age will grow to 18,000 by 2015. work, said Steven Gravenkemper, practice aren’t planning on in- Beaumont Hospitals in Royal Oak. As Henry Ford Health System moves toward leader of organizational development and creasing wages or benefits “Somebody is going to pay because you the March opening of its 300-bed Henry Ford personnel assessment at Plante & Moran to attract new employees. will not get hundreds and thousands of em- West Bloomfield Hospital, Rita Fields, the hos- P.L.L.C., a Southfield-based accounting and Faville said most health ployees to come into the state,” said Lilek. pital’s vice president of talent and work- Fields consulting firm. care workers simply want “The new graduates will be a tiny percent- force strategies, said the main recruiting “Hospitals that develop a reputation for hospitals to improve work conditions by in- age (of new hires). Most will come from oth- strategy will be promoting the hospital as an employer of choice will have an advan- creasing staffing levels, she said. er hospitals.” employee and patient friendly. tage,” Gravenkemper said. “Everybody knows the shortages are get- Lilek, who has worked in Chicago and St. “We will have a supercharged environ- Growth in Oakland County is similar to Louis, said he has never seen this kind of ex- ment for people who work here,” Fields said. ting worse,” Faville said. “The biggest issue that of states like Texas and Florida, he said. pansion and competition for health care Of the 1,600 employees needed, Fields said for workers is not being able to do the job “There won’t be enough talent inside the re- jobs in a region before. Beaumont is build- about 30 percent of the hospital’s employees you want to do in the time you are there. A gion for all the openings. They will have to ing three new medical centers in Oakland will be internal transfers. lab tech told me she doesn’t want to take a look at contract workers,” he said. County with the first expected to open in “This growth puts a lot of pressure on hos- vacation because they are so short-staffed.” Lilek agreed most hospitals will round out Novi in May. pitals to be much more conscious of how On Friday, St. John Providence Park Hospital their needs by using temporary staffing agen- Lilek predicted the competition for em- they treat their employees,” Fields said. will formally open in Novi. St. John already cies for nurses, pharmacists and other med- ployees will sharpen next year, when many “With all the options out there for people has hired about 400 nurses to staff the hospi- ical technicians. “It will cost more, but you of the new facilities will open and the pool of who are qualified, it is incumbent that em- tal for 100 beds, said Jim Graham, St. John’s need to get up to minimum staffing,” he said. workers becomes smaller. ployees are satisfied and engaged. Organiza- vice president of talent acquisition. Jay Greene: (313) 446-0325, “When push comes to shove we will see tions that don’t pay attention to that will be When the hospital increases the number [email protected]

Raises: Merit increases beat employers’ predictions ■ From Page 1 In a June survey released in late ported that national merit increas- employers are optimistic in their She said those companies aren’t merit raise averages of its other August, those employers actually es averaged 3.5 percent nationally projections for merit increases next expecting an economic turn- U.S. employees, said Janice Turner, reported that nonexempt budgets for 2008. year. around and are preparing for 2009 vice president of human resources. increased 3.24 percent year over According to WorldatWork, an in- They are projecting an average by freezing salaries, eliminating The Denver-based company year on average, and officer and ternational association of human- merit increase of 3.3 percent for or reducing overtime and bonuses, plans to keep merit raise averages executive budgets 3.7 percent, out- resource professionals and busi- nonexempt workers in the coming instituting hiring freezes, or ex- at about the same level this year, pacing company projections. ness leaders, merit increases year, 3.4 percent for exempt employ- tending the length of time between she said, in Michigan and across But budgets for salaried employ- across the nation beat projections ees and 3.7 percent for directors and merit increases to 18 months, just the U.S. ees increased just 3.33 percent, this year, rising about 3.9 percent, executives, on par with this year. as they did last year. “Even though the economy in falling below projections. on average. Still, those projections are below “That is something we watch,” Michigan is on a down spiral, we “Basically what this is telling us “Michigan is behind national in- the 2009 national average forecasts Schroeder said. “If salaries aren’t still expect our wages to be com- is our employers were a bit more creases, which makes sense given of 3.5 percent by Watson Wyatt and moving … your employees aren’t petitive, and we reward our em- generous than they anticipated in our economic situation,” Schroed- 3.9 percent in WorldatWork’s 35th going to stay with you.” ployees based on their perfor- January,” Schroeder said. er said. “If we look back to the year annual salary budget survey. Wow! Internet, Cable & Phone gave mance in the previous year.” Still, Michigan’s merit raises 2000, merit increases were at about About 9 percent of the 266 Michi- its 265 Michigan employees at sites “The overall goal is to retain are below national average projec- 4.2 or 4.3 percent. They’ve steadily gan respondents, or 24 companies, in Madison Heights, Taylor and employees,” Turner said. tions, she said. declined since then.” said they don’t plan to give any mer- Livonia merit raises this year aver- Sherri Begin: (313) 446-1694, Watson Wyatt Worldwide Inc. re- Despite the economy, Michigan it increases at all, Schroeder said. aging 4 percent, on par with the [email protected] DETROIT BUSINESS MAIN 09-01-08 A 29 CDB 8/29/2008 6:18 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 29 American Axle: Moving more operations abroad www.crainsdetroit.com EDITOR-IN-CHIEF Keith E. Crain ■ From Page 3 PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] are planned for Michigan and for India and one co has begun. During a three-month United Auto EXECUTIVE EDITOR Cindy Goodaker, (313) 446- each for Thailand, Mexico, Poland and Colom- Workers strike of American Axle this year, the 0460 or [email protected] MOVING OFFSHORE MANAGING EDITOR Andy Chapelle, (313) 446- bia. Expansions are planned for the company’s supplier doubled the capacity at its Guanajuato 0402 or [email protected] Three Rivers plant, its Guanajuato, Mexico, plant to 6,000 axles per day. American Axle & Manufacturing Holdings Inc. ASSISTANT MANAGING EDITOR/FOCUS Jennette Smith, (313) 446-1622 or [email protected] complex, and for plants in Brazil and China. Guanajuato kept supplying GM light trucks aims to remake itself into a company with more workers and revenues overseas than in the BUSINESS LIVES EDITOR Michelle Darwish, (313) Today, American Axle is a largely U.S. com- despite the strike, settled in May, which shut 446-1621 or [email protected] United States. Here, based on internal company pany. In 2007, domestic sales accounted for five American Axle U.S. plants and halted or COPY DESK CHIEF Gary Piatek, (313) 446-0357 documents, is how the supplier sees its future. or [email protected] $2.07 billion out of total revenues of $3.25 bil- hobbled output at nearly 30 GM plants. GRAPHICS EDITOR Nancy Clark, (313) 446-1608 lion. Net profits were $37 million. Since the company’s founding in 1994, Dauch U.S. 2008 est. 2013 est. or [email protected] COPY EDITOR Vic Doucette, (313) 446-0410 American Axle has about 5,000 U.S. employ- has spent more than $2 billion on his U.S. oper- Revenue $1.58 billion $1.2 billion or [email protected] ees and 3,758 workers elsewhere. Under the ations. Now he’s mothballing some of them. Total head count 5,000 3,478 DATA EDITOR Anne Marks, (313) 446-0418 or plan, those numbers would flip-flop by 2013. “Dick has more capacity here than he needs. [email protected] International 2008 est. 2013 est. WEB GENERAL MANAGER Alan Baker, (313) 446- The U.S. head count would drop to 3,478, and He has no choice but to invest where he sees 0416 or [email protected] Revenue $1.27 billion $2.64 billion the foreign count would jump to 8,243. growth opportunities,” said Dave Cole, chair- WEB EDITOR Christine Lasek, (313) 446-0473, Total head count 3,758 8,243 [email protected] With declining truck sales, American Axle’s man of the Center for Automotive Research in Ann WEB DESIGNER/PRODUCER Ai-Ting Huang, (313) rapid growth in supplying parts to General Mo- Arbor. 446-0403, [email protected] RESEARCH ASSISTANT Joanne Scharich, (313) tors Corp.’s light trucks in North America has American Axle isn’t giving up on the United SHIFTING DIRECTION 446-0419 slowed sharply. GM accounts for more than 75 States, but its customers here increasingly will EDITORIAL SUPPORT Anita Duncan, (313) American Axle plants mostly will close in the 446-0329 percent of American Axle’s sales. Axle’s share be served from Mexico. NEWSROOM (313) 446-0329, FAX (313) 446- of Chrysler L.L.C. business is shrinking, too. Mexico is expected to generate $1.09 billion United States and open or expand elsewhere. 1687 TIP LINE (313) 446-6766 Here’s a rundown of plans for Axle’s plants “American Axle is tied to a market for pick- in revenue this year. In six years that number Robert Ankeny: Covers the city of Detroit, Wayne worldwide. County government, and law. (313) 446-0404 or ups and SUVs that’s being permanently down- is expected to reach $1.75 billion. Over the next Ⅲ Closed: Buffalo, N.Y. [email protected]. sized,” said Wendy Thompson, a retired presi- six years, American Axle plans to spend $452.1 Ryan Beene: Covers auto suppliers, steel. (313) dent of UAW Local 235 in Detroit. “I’m not million in Mexico. Ⅲ To close: Tonawanda, N.Y.; Detroit Nos. 4 446-0315 or [email protected] and 5 Sherri Begin: Covers nonprofits and services. surprised that they’re not investing here.” Thompson, the former UAW local president, (313) 446-1694 or [email protected] Dauch must scramble to catch rivals such as questioned whether Mexico was a good choice Ⅲ Consolidate: Detroit Nos. 3 and 8 into No. 2 Daniel Duggan: Covers real estate and hospitality. Dana Holding Corp. in overseas markets. Dana to manufacture axles for GM light-truck plants Ⅲ New: Oxford, forge; a second Michigan plant; (313) 446-0414 or [email protected] Pune and Pantnagar, India; Rayong, Thailand; Jay Greene: Covers health care, insurance and the has 36 light-axle and driveshaft operations in 18 based mostly in the Midwest. environment. (313) 446-0325 or Olawa, Poland; Colombia; a second Mexico plant countries outside the United States. Said Thompson: “I have a hard time believ- [email protected]. Chad Halcom: Covers education, non-automotive American Axle has five non-U.S. plants, in- ing that it makes economic sense to ship axles Ⅲ Expand: Three Rivers; Araucaria, Brazil; Guanajuato, Mexico; Changshu, China manufacturing, defense contracting and Oakland cluding two in Mexico. from Mexico to here.” and Macomb counties. (313) 446-6796 or Source: American Axle documents [email protected]. American Axle’s shift from the U.S. to Mexi- From Automotive News Tom Henderson: Covers banking, finance, technology and biotechnology. (313) 446-0337 or [email protected]. Nancy Kaffer: Covers small business and retail. (313) 446-0412 or [email protected]. Bill Shea: Covers media, advertising and marketing, entertainment, the business of sports, and transportation. (313) 446-1626 or [email protected]. Transit: Football Classic MIA Nathan Skid: Multimedia reporter. Also covers the New pledges made food industry. (313) 446-1654, [email protected]. ■ LANSING BUREAU From Page 3 Amy Lane: Covers business issues at the Capitol, telecommunications and utilities. (517) 371- ject forward, since Woodward is a state again, probably DOA 5355, FAX (517) 371-2492, [email protected]. or 115 W. Allegan, Suite 220, Lansing 48933. highway. WOODWARD CATALYST PROJECT ADVERTISING DIRECTOR Marla Downs, (313) Other individuals, organizations, com- BY BILL SHEA 446-6032 or [email protected] SALES INQUIRIES: (313) 446-6052; FAX (313) panies, institutions and political figures Ⅲ Construction cost: $103 million in CRAIN’S DETROIT BUSINESS private money. 393-0997 are believed to back the plan, but have not ADVERTISING SALES Jeff Anderson, Terri Noticeably absent from the Labor Day weekend’s emerged. Speculation has centered on enti- Ⅲ Operational costs: $4.2 million-to-$5.6 Engstrom, Matthew J. Langan, Tamara Rokowski, million annual subsidy. marquee slate of events — the Detroit Belle Isle Grand Cathy Ross, Dale Smolinski ties along busy Woodward Avenue, includ- WESTERN ACCOUNTS Ellen Mazen (Los Angeles) ing Wayne State University and the Detroit Ⅲ Layout: Curbside pickup on a 3.4-mile Prix, Chrysler Arts, Beats & Eats and the Detroit Interna- (323) 370-2477 Medical Center, neither of which has been loop with 23 stations between Hart Plaza tional Festival — was the Detroit Football Classic. CLASSIFIED ACCOUNT EXECUTIVE Greg and Grand Boulevard, aimed at major The season-opening clash at Ford Field between Evangelista, 313-446-1655 willing to comment. EVENTS MANAGER Nicole LaPointe businesses, theaters, ballparks, museums teams from historically black colleges took what co- Gilbert plans to bring up to 4,000 employ- and hospitals along Woodward Avenue. MARKETING PROJECTS MANAGER Jennifer Dunn ees downtown when Quicken makes its founder Robert Porcher said last summer was a one- MARKETING ARTIST Sylvia Kolaski Ⅲ Usage: 1.8 million riders the first year, 3 year hiatus to reorganize and secure multiyear deals SALES SUPPORT Suzanne Janik, Andrea move from Livonia, and Compuware has million by the fifth year. Beckham, YahNica Crawford thousands of staffers working in the city. with schools. Source: Crain’s research CIRCULATION Candice Yopp, Manager. “We believe (the light rail plan) is a good That didn’t happen. And barring a significant PRODUCTION MANAGER Wendy Kobylarz move for the revitalization for downtown last week before leaving for San Francisco. turnaround, the game is officially defunct. PRODUCTION SUPERVISOR Larry Williams, (313) 446-0301 Detroit. It makes sense,” said Jason Vines, Laura Trudeau, a program director at the “As of right now, it’s gone for good and I really SUBSCRIPTIONS (313) 446-0450, Compuware’s senior vice president and Kresge Foundation, said transit is critical hate that,” said Porcher, a former Detroit Lions defen- (888) 909-9111 chief communications officer for Detroit’s economic redevelopment. sive lineman-turned-restaurateur. He blamed the TO FIND A DATE A STORY WAS PUBLISHED: (313) 446-0367 or e-mail the Crain Information Most have referred questions about “We’re interested in moving forward economy and a breakdown in talks with colleges to Center at [email protected]. their involvement in the rail project to with a plan that makes sense,” she said. get a deal, along with steadily declining attendance. CRAIN’S DETROIT BUSINESS IS PUBLISHED BY John Hertel, the regional transit czar. The $3.9 billion international founda- In June 2007, Porcher said the game wouldn’t hap- CRAIN COMMUNICATIONS INC. Detroit Regional Mass Transit, run by Her- tion, founded in Detroit in 1924, expanded CHAIRMAN Keith E. Crain pen that year because a financial agreement with Al- PRESIDENT Rance Crain tel on behalf of the executives of Wayne, its grant making just over a year ago to in- abama State University and Grambling State University SECRETARY Merrilee Crain Oakland, and Macomb counties and De- clude, among other things, grants aimed at couldn’t be reached. He said he was shooting for 2008. TREASURER Mary Kay Crain Executive Vice President/Operations troit Mayor Kwame Kilpatrick, is serving revitalizing and strengthening Detroit. Four classics were played on Labor Day weekends William A. Morrow as the clearinghouse for the project. He’s Its philanthropy has included $50 million from 2003-06. Group Vice President/Technology, declined to provide further detail than for the Detroit riverfront revitalization and Manufacturing, Circulation In 2006, Delaware State University beat Florida A&M Robert C. Adams what’s been reported since Crain’s broke $25 million for the New Economy Initiative for University 34-14 in front of 29,713 fans. The first Detroit Vice President/Production & Manufacturing the story in February. Southeast Michigan, an eight-year, $100 mil- Dave Kamis Football Classic, between Florida A&M and Alabama Hertel is involved because the line poten- lion program to accelerate the state’s move Corporate Director/Circulation State, was played in front of more than 54,000. Patrick Sheposh tially would be the first stage of a larger, re- to an innovation-based economy. G.D. Crain Jr. Founder (1885-1973) Porcher said he had assurances from his major gional public transit system — something The Woodward proposal is separate Mrs. G.D. Crain Jr. Chairman (1911-1996) sponsors, which included Ford Motor Co., Comerica he was hired to shepherd as head of Detroit from the Detroit Transit Options for Growth EDITORIAL & BUSINESS OFFICES: Regional Mass Transit. The former general study, a proposal by the Detroit Department Inc., Fifth Third Bank and Pepsi, that they would be 1155 Gratiot Ave., Detroit MI 48207-2732; (313) back for 2008, but the cost to stage the game, which he 446-6000 manager of the Michigan State Fairgrounds, of Transportation for a $371.5 million light- Cable address: TWX 248-221-5122 AUTNEW DET Hertel’s job is to develop a regional consen- rail line along eight miles of Woodward declined to reveal, was too much. Subscriptions $59 one year, $98 two years. Out of “We got our expenses as low as we could,” he said. state, $79 one year, $138 for two years. Outside sus on mass transit and drum up support. from downtown to the fairgrounds. That U.S.A., add $48 per year to out-of-state rate for The Woodward line specifically would tie project, still being planned, has some infra- “It just wouldn’t have made sense to do it.” surface mail. Porcher, who retired from the Lions in 2004 and is Reprints: For inquiries call the reprints department into an Ann Arbor-Detroit route under study structure differences from the private pro- at: (800) 494-9051, Ext. 144 , or at by the Southeast Michigan Council of Govern- ject, would be paid for by funds from the chairman of the Detroit Metro Sports Commission, is a [email protected] ments, the regional planning agency for Federal Transit Administration’s New Starts graduate of South Carolina State University, a historical- CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is ly black school. He is president of Detroit Football Clas- published weekly except for a double issue the metro Detroit and the entity through which Program along with state and local money. second week in August by Crain Communications federal transit funds would be funneled. Critics say the plan faces significant ob- sic L.L.C., which he co-founded with local restaura- Inc. at 1155 Gratiot Ave., Detroit MI 48207-2732. Periodicals postage paid at Detroit, MI and additional Connecting that line to a downtown stacles because there is no guarantee the teur Frank Taylor in 2002. mailing offices. POSTMASTER: Send address transit loop would boost its projected us- money will be awarded, and there’s no plan Porcher is president of Taylor’s Detroit-based changes to CRAIN’S DETROIT BUSINESS, Circulation Department, P.O. Box 07925, Detroit, MI 48207- age number, something that’s prevented for the required local matching funds, Southern Hospitality Restaurant Group L.L.C., which op- 9732. GST # 136760444. Printed in U.S.A. the Ann Arbor-Detroit line from getting se- which would run about $200 million. erates hot spots such as Seldom Blues and Sweet Geor- Entire contents copyright 2008 by Crain rious federal funding attention. Bill Shea: (313) 446-1626, Communications Inc. All rights reserved. gia Brown. Reproduction or use of editorial content in any Rapson did not return two phone calls [email protected] Bill Shea: (313) 446-1626, [email protected] manner without permission is strictly prohibited. DETROIT BUSINESS MAIN 09-01-08 A 30 CDB 8/29/2008 5:54 PM Page 1

Page 30 CRAIN’S DETROIT BUSINESS September 1, 2008 Driving: Technology can alert drivers ■ From Page 3 run a red light. involved with the center still hold their cards close to If enough vehicles and infrastructure have this the vest, Cooper said. technology, drivers could avoid traffic jams as real- “Not all companies, in a sense, play well together. A time traffic information is relayed to traffic man- lot of people are trying to keep proprietary things to agers, who then send that information to drivers themselves and it slows down the development heading toward congestion. process,” he said. “But I believe CVPC has tried to push In addition to safety applications, the technology forward to get companies to work closer together.” can also include remote engine diagnostics, wireless Azentek could be an emerging player in the vehicle payment of tolls and reception of traveler information electronics market. Cooper declined to release 2007 and use of laptops en route. revenue figures for his private company but said he Companies working on this technology can test expects 2008 revenue to be about $10 million and 2009 their products at the area sites, and testing data is revenue to skyrocket to $89 million from new con- transmitted to an MDOT regional office and to the tracts with automakers that will bring his company’s CVPC’s lab in Ann Arbor to see what worked and products to market in the coming years. what didn’t. Azentek is the type of company that Michigan De- The CVPC hopes to be an incubator for companies partment of Transportation Director Kirk Steudle ex- that want to develop connected-vehicle technology. pects to contribute most to collaboration in the CVPC. “Automobiles are moving to become more electri- “We don’t expect that Ford, GM and Chrysler are cal and electronic. And electrical and electronic is not going to add a bunch of staff to do this,” he said. “It’s necessarily the traditional strength of Michigan,” going to be tier-two, tier-three suppliers that are go- said Udi Naamani, general manager of the CVPC. ing to come into the market and say, ‘Hey, this stuff is “The idea was, let’s put together all around here. The brainpower is around here. I can a center that can support develop- collaborate with somebody else in Michigan.’” ment and test the applications and Steudle, who sits on the CVPC policy advisory com- products that companies create. If mittee, says his main concern is to improve traffic we do that, that will attract compa- safety through the CVPC’s efforts. nies to either operate in Michigan Steudle said state contributions to develop the con- or have satellite offices in Michi- nected-vehicle infrastructure can both improve safety gan,” Naamani said. and aid the business side of the CVPC. The center is a product of a $3.1 “I can put in the communication infrastructure, million grant from the Michigan Eco- which we by and large have, and what it is, is an at- nomic Development Corp.’s 21st Cen- Naamani tempt to attract business here to do their high-tech re- tury Jobs Fund and additional contri- search here, in Michigan.” butions from the auto industry made in fall 2007. MDOT has installed test beds in the metro area sim- More than 15 automotive and technology compa- ilar to those CVPC has in Southfield, notably along nies are involved with the CVPC in advisory, techni- Grand River Avenue in Novi between Novi and Beck cal assistance and development roles. The electronics roads, and along Grand River from I-275 to Telegraph. and safety divisions of Troy-based Delphi Corp. and The U.S. Department of Transportation also has simi- Aisin Seiki, as well as Ford Motor Co., General Motors lar installations in the area. In all, there are about Corp. and Chrysler L.L.C. are all involved. nine locations with connected-vehicle installations in One company using the CVPC in its product devel- Southeast Michigan. opment is Grand Blanc-based Azentek. The company Richard Wallace, senior project manager with the makes vehicle electronics, such as infotainment and Center for Automotive Research, says the CVPC is work- navigation systems, and is developing other wireless ing to bring more of these sites under its umbrella to technology. “They’re capable of helping bring the vi- streamline the availability of the region’s connected sion of companies together, forming a better struc- resources to would-be developers. ture around these technologies,” Azentek President “The longer-term goal is try to integrate (other John Cooper said of the CVPC. sites) directly within our confines,” Wallace said. Azentek has been able to collaborate with other “We’re hoping to make it one-stop shopping.” companies through the CVPC, but some companies Ryan Beene: (313) 446-0315, [email protected]

Builders: Pony up their own funds ■ From Page 1 price so it can succeed in this econo- ful golf courses, but we’re single- ey from sales to pay for the club- my,” said Marino, who has invested family home developers and we saw house,” he said. “But they just in the project jointly with his broth- value in the 400 acres,” he said. went forward on the clubhouse.” ers Richard and Bob, along with Since their purchase, the group And sales have been moving. their uncle, Peter Ministrelli, under has moved swiftly. Wujczyk said 11 condos and 27 the name MCC Mecosta L.L.C. To date, 197 residential home home sites have been sold. The group carries plenty of de- sites are ready to be built on, com- “We’re not participating in the velopment acumen. plete with paved roads, water and recession, we’re just moving for- Ministrelli is president of Shel- sewer lines. The development will ward,” he said. by Township-based Ministrelli Con- be called the Village of Hamlet. In the current economy, second- struction Co., which has built sever- Construction is underway for a home sales are a tough sector, said al California golf course com- 44-unit condo development, Village Bill Whyte, co-owner of the Real Es- munities: Artisan in Rancho Mi- of Camelot. tate One office in Gaylord and pres- rage, The Reserve in Palm Desert An $8.8 million clubhouse has ident of the Gaylord-based Water and Villaggio in Palm Springs. Min- been built as the centerpiece for the Wonderland Board of Realtors, which istrelli was also co-founder of project, with a spa and health center covers Cheboygan, Crawford, Chateau Properties Inc., sold to ROC planned for later in the year. Mackinac, Montmorency, Oscoda, Communities Inc. in 1996. The group has spent $42 million Otsego and Presque Isle counties. The Marinos own Shelby-based and says that no loans have been “From what I’ve seen, people Glencorp Inc., a road, golf course, taken and no government incen- with money are sitting on it,” he and residential and commercial tives have been sought. Plans call said. “There’s some activity in va- development company. for another $42 million to be spent cation homes, but not a lot.” The group paid $15 million in by year’s end and up to $100 mil- Marino shrugs off such pes- February 2007 to acquire the Tully- lion when all phases are built out. simism. more and St. Ives golf courses in The pace of development has “You hear so often about the neg- Stanwood, an hour’s drive north- made the task of selling units easier ativity in Michigan,” he said. east of Grand Rapids. since buyers can see the developers’ “There are positive things going on Given the economy, $15 million commitment, said Tom Wujczyk, in Michigan and we believe the was a great price, said Ron Mari- director of real estate development. economy will rebound. People need no, but it wasn’t just the golf cours- He uses the clubhouse as an ex- to start talking about the positive es that held the value — it was the ample. things.” vacant land surrounding them. “Most developers would have Daniel Duggan: (313) 446-0414, “We were looking at two beauti- built the homes and used the mon- [email protected] DETROIT BUSINESS MAIN 09-01-08 A 31 CDB 8/29/2008 6:55 PM Page 1

September 1, 2008 CRAIN’S DETROIT BUSINESS Page 31 RUMBLINGS WEEK IN REVIEW FROM WWW.CRAINSDETROIT.COM, WEEK OF AUG. 23-29

has already granted million, and claims $10 mil- Michael Cox expects to Richardson $13.2 million in Talks continue lion to $50 million in assets. quickly begin negotiating a state and local incentives Auburn Hills-based Chrysler settlement with Comerica Ilitches seek a through the Michigan Eco- L.L.C. holds Cadence’s Bank in Detroit over losses nomic Growth Authority. for Kilpatrick largest unsecured claim, a Michigan residents experi- Hunter Richardson, presi- $9.9 million loan. enced while investing in dent of the Reston, Va.- The filing does not in- auction-rate securities, retraction – of based development compa- plea deal clude overseas operations debt instruments with rates ny, said the project will still in the Czech Republic and that vary and are sold gen- t press time Friday, go forward. Hungary. erally on a weekly basis in Mayor Kwame Kil- auctions overseen by bro- A patrick was still in seats at Cobo I’ve never seen a five- office, but various news OTHER NEWS kerage firms. U.S. District Court Judge outlets reported that negoti- The Michigan Supreme art of the current hometown, with a 47.1-to-1 pound bee … Robert Holmes Bell ruled ations for a plea agreement Court said it will hear argu- plan for expanding love-hate ratio to the ratios Realtor Ralph Roberts was were taking place. ments on Wednesday from that a proposal to recall P Cobo Center will in- for other places. The metric happy to generate a lot of Michigan House Speaker Dan Webb, chief lawyer supporters of Reform Michi- clude creation of 6,000 re- tallies opinion postings on media buzz last week, but he for Kilpatrick, refused to gan Government Now, a plan Andy Dillon, D-Redford tractable seats in the Cobo Web pages including the didn’t expect to get stung. discuss specifics of the ne- to reduce the size of the Township, should be recon- Arena, said Geoffrey specific phrases. Roberts was a key source gotiations, but had recently sidered, which could allow Harrison, president of De- And guess what? Legislature and courts, cut for the said the main sticking government salaries and it to appear on the Novem- troit-based SDG Associates Detroit’s “love” hits out- story that point was over jail time for make other changes in ber ballot, the AP reported. L.L.C., the architect consult- pace the “hates” by 11-to-1, ran in the Kilpatrick. state government, the AP Dillon asked Bell to re- ing with the city. (37,400 to 3,370) — the same Aug. 25 Kilpatrick rejected on reported. The proposal was consider the ruling, while Through use of re- ratio as Charlotte, N.C. At- edition of Wednesday a deal that removed from the Novem- attorneys for Secretary of tractable seating, the space lanta is only 1.9-to-1. Crain’s would have had him plead ber ballot by the Michigan State Terri Lynn Land seek to can be used for exhibitions Surprisingly, Ann Arbor that guilty to one felony and Court of Appeals. appeal Bell’s ruling to the space at the North American comes up below Detroit at broke the serve four to six months in Attorney Teresa Hen- U.S. Court of Appeals. International Auto Show or 8.8-to-1. story jail, re- dricks says Detroit-area General Dynamics Land other events. The seats can about De- ported. landscaping company Torre kept in place or moved out troit Pis- Systems will use a new $12.6 No tax break for Troy project Roberts Kilpatrick faces eight & Bruglio Inc. has paid her depending on needs for con- ton Lind- million research contract perjury charges by Prosecu- office only $20,000 of the certs and shows. It would, It’s likely developers of sey Hunter being the subject from the U.S. Army at its lo- tor Kym Worthy and two $100,000 it still owes to set- however, cut in half the the former Kmart Corp. head- of an FBI investigation into cal headquarters for re- counts of felony assault tle a dispute with 400 for- current 12,000-seat capaci- quarters in Troy will need mortgage fraud. search work on the Abrams from Attorney General mer workers from Mexico. ty. to find another As a result, he was much battle tank. Mike Cox. The Jewish Community Ilitch Holdings Inc. has a $20 million. in demand Mon- Greektown Casino has Gov. Jennifer Granholm Center of Metropolitan Detroit master lease agreement for Michigan day as TV and opened a 25,000-square-foot is to begin hearings in De- reports it raised $1.6 mil- Cobo Arena, and the re- Economic Devel- radio stations expansion of its gaming troit Wednesday on lion to host the 2008 Jewish tractable seating option is opment Corp. and print me- floor, including about 600 whether to remove Kil- Community Center Associa- among the issues the com- president dia slot machines. patrick from office at the tion of North America Maccabi pany has reportedly re- and CEO chased After ceasing opera- request of the Detroit City Games, held here last quested from the city of De- Jim Epolito the tion two months ago for Council. Wayne County Circuit month. troit in negotiations. said the Page 1 Court Judge Robert Ziolkows- lack of funding, Operation “This will make it more $300 million story of Henry Ford Hospital in ki said Friday he would rule Detroit and St. Joseph Mercy Able of Michigan said it has marketable space, for other mixed-use project how a Pon- Tuesday on whether to sus- agreed to become a member events,” said Kandia Milton, won’t qualify for Oakland Hospital in Pontiac tiac school pend Granholm’s hearings agency of Spectrum Human Detroit’s deputy mayor. the Michigan were named on Thomson employee, Bruce at the request of Kil- Services Inc. & Affiliated Cos. Business Tax credits be- Reuter’s 100 Most Improved McClellan, allegedly was patrick’s lawyers, the AP The state has launched ing sought under the state’s Hospitals list, which ranks Detroit gets more love duped last year into buying reported. the Centers for Energy Excel- brownfield redevelopment a $1.25 million house in hospitals that have shown Also: lence program, which may program. Bloomfield Hills. the most improvement over than , Ann Arbor Loren Monroe, Detroit’s provide up to $45 million in “The policy is designed But it was McClellan to the last five years in the ar- Chris Miller, of Savannah, auditor general, said Kil- grants to spur alternative- around incentives for ur- the rescue when a bee stung eas of quality, finance and Ga., one of the panelists for patrick has initiated at operations. energy technology develop- ban areas where nobody Roberts as a local news Creative Cities 2.0 on Oct. 13- least $335,000 in legal con- Lawrence Technological ment by teaming with uni- wants to develop,” he said. crew filmed them out by the 15 in Detroit, has developed tracts since the settlement University received $3 mil- versities and others to “If a site in Troy qualified house’s pool. Roberts is al- a “love/hate” metric for of the $8.4 million police lion from an unnamed research, develop and com- for that, then there would- lergic to bee stings, and cities and their self images. whistle-blower lawsuit, all donor in late July and will mercialize technologies. n’t be a site in the state of when he started to have a Miller, founder of economic without City Council ap- use it to fund endowed pro- Rickman Jackson, presi- Michigan that doesn’t.” strong reaction, McClellan development collaboration proval, The News reported. fessorships, add new facul- dent of SEIU Healthcare of Epolito urged the pro- took him to the hospital, The Creative Coast Initia- U.S. District Court Judge ty and set aside funds to- ject’s developer, Richardson Michigan, has taken a volun- tive in Savannah and now where a shot soon had Gerald Rosen ruled that text ward a new life sciences Development Group, to seek Roberts back to normal. tary leave of absence while CEO of Creative Cities Con- messages exchanged by Kil- laboratory. more local incentives from “That bee got under my SEIU International conducts sulting, Googled phrases in- patrick and other city offi- Standard & Poor’s Rat- cluding “I love (city)” and the city of Troy’s Downtown shirt and beat me up,” said an investigation into a local cials must be released as ings Services has placed “I hate (city)” and com- Development Authority. Roberts. “I told my wife it union in Los Angeles where part of a lawsuit against the bonds issued for William pared, for instance, his He pointed out the state was a five-pound bee.” he previously worked. Alex city involving the death of Beaumont Hospitals in Royal Shulman, SEIU’s chief of Oak on CreditWatch with exotic dancer Tamara staff, said no specific allega- negative implications, cit- Greene, The News reported. tions are linked to Jackson. ing Beaumont’s challenged Greene is alleged to have Delphi Corp., which has operations the last couple been in bankruptcy protec- danced at a long-rumored, of years and a weak balance Keep up with the mayor and the convention tion for nearly three years, unproven party at the sheet. It’s the case that all of Detroit is the hearing is going on. . International Automotive is working on a revision to talking about. Both of those will be featured Roger Penske said Fri- Components Group plans to its reorganization plan and As of press time for this issue, prominently on our home page, day Kilpatrick should step break ground on two joint- is not talking about liqui- www.crainsdetroit.com. Detroit Mayor Kwame Kilpatrick’s down, the AP reported. venture factories in China dating the company, the AP removal hearing before Gov. The national political scene over the next 12 months. reported. Jennifer Granholm was scheduled provides blog fodder, too. And, on Friday, its Euro- to start on Wednesday. Cadence files Chapter 11 The Democrats had their chance pean operations purchased Crainsdetroit.com has a two- to shine last week, now the OBITUARIES Troy-based Cadence Inno- a Visteon Corp. interiors pronged strategy for covering this Republicans are getting their turn. vation L.L.C. filed for Chap- Richard Mayer, former The Republican National plant in the United King- historic event. This is our plan — ter 11 protection Tuesday in art director and chief artist pending breaking news Convention was scheduled to dom. Delaware, citing declining for the , developments: WEB WORLD begin Monday in St. Paul, Minn. Rock Financial has end- vehicle production in ed its five-year run as the died from congestive heart The governor’s office will provide Alan Baker Just as we had an insider blog us North America and in- presenting sponsor of the failure Aug. 22. He was 78. a video/audio feed, and we will Web General Manager through the DNC, we’ll have a stream that live. Republican delegate blog us creasing material costs. Detroit Pistons. Rock’s own- Richard Rohr, former Reporter Bill Shea will blog from the through John McCain’s nomination. According to its filing, er, Dan Gilbert, also owns chairman of Detroit-based hearing, with help from reporter Robert That, too, will be featured prominently on our the company owes its credi- the Cleveland Cavaliers. law firm Bodman L.L.P., died Ankeny. You can expect regular bulletins while home page. It’ll be a busy week. Stay tuned. tors $100 million to $500 Attorney General Aug, 27. He was 81. DBpageAD.qxd 8/20/2008 2:21 PM Page 1

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