DETROIT BUSINESS MAIN 09-29-08 A 1 CDB 9/26/2008 6:18 PM Page 1

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www.crainsdetroit.com Vol. 24, No. 39 SEPTEMBER 29 – OCTOBER 5, 2008 $2 a copy; $59 a year

©Entire contents copyright 2008 by Crain Communications Inc. All rights reserved THIS JUST IN Banking bailout: Boost or bust? Croce leaves NextEnergy to be president of Lipten Jim Croce, CEO of NextEn- Economic insiders mixed on impact to state ergy for almost five years, has joined the private sec- BY AMY LANE dents who face financial chal- stitution of private property and tor as president and COO CAPITOL CORRESPONDENT lenges every day and don’t receive individual investors taking re- of government help. sponsibility for their own deci- LANSING – A federal bailout Wixom- Those were some of the differ- sions.” package for the U.S. financial in- MORE ON THE BAILOUT based ing assessments Friday as a Wash- He said the uncertainty posed dustry could boost Michigan con- ■ Federal fund helps innovative Lipten ington bailout package continued by continuing turmoil on Wall sumers’ psyche and banks’ will- small businesses. Page 42. Co., an to loom. Street is bad for Michigan and oth- ingness to extend credit, lifting ■ Bailout offers little help for energy- er states, but “the big uncertainty some clouds over an already-jit- Economist Patrick Anderson, struggling community banks. Page 48. services here is whether the government is tery and struggling state econo- principal and CEO of Anderson Eco- ■ firm. going to bail people out or not. Area bankers differ on impact of my. nomic Group L.L.C., said the bailout investment banks’ shift to retail. To- And I think we made a huge mis- But it could also send a negative sets “a terrible precedent” and Page 48. morrow message to businesses and resi- “destroys confidence in … the in- See Bailout, Page 49 Croce will be his last day at the Detroit- based nonprofit, which was founded in 2002 to serve as a research cata- lyst, startup incubator and business accelerator for alternative-energy tech- ‘Racino’ backers nologies. Crock successor was ex- pected to be announced this week, but talks hit a snag, although the search is progressing, said have another try NextEnergy Chairman Chris Rizik. Croce said he hopes to grow Lipten’s business in Bill would change Constitution alternate and renewable energy, and to take it from BY BILL SHEA AND is term-limited and is a candidate revenue of about $30 mil- DANIEL DUGGAN for Oakland County treasurer. His lion to $150 million by CRAIN’S DETROIT BUSINESS district includes the Hazel Park Har- 2013. ness Raceway track. 2008 The first direct attempt to permit The company special- Voters approved Proposal 1 in casino-style gambling at Michigan’s izes in what is referred to 2004, and it requires a statewide and seven horse tracks since 2004’s Pro- as EPC, for engineering, local referendum on any new gam- posal 1 effectively killed such efforts procurement and con- bling in the state, exempting the De- under has been launched amid a chorus of troit casinos and Indian casinos. struction, with an empha- skepticism from sis on general contracting, It’s unclear yet who would foot opponents. power generation, steam the bills on what likely would be a Rep. Andy generation, chilled-water costly campaign to persuade voters Meisner, D-Fern- systems and water- to approve racino legislation, which dale, introduced a treatment plants. the Detroit and Native American bill (HB 6465) on Croce said he also will casinos would oppose. 40 Sept. 17 that “There is plenty of gaming in try to expand Lipten’s would tweak the Michigan presence. De- Michigan right now,” said Marvin state’s 1995 horse spite its local headquar- Beatty, co-owner of Greektown Casi- racing law to pave ters, it has no projects no. “Michiganders have more than the way for an here. Meisner enough choices for gaming. I don’t amendment to the Lipten added six em- think there appears to be any need Michigan Constitution to allow casi- ployees this year for a to- or interest to expand gaming.” no wagering at tracks, called “raci- tal of 40, about 30 of whom That doesn’t mean the casinos nos.” are in Wixom. Before tak- don’t have their eyes on the bills, es- A joint resolution by Meisner and ing the top spot at Next- pecially because it’s coming during Martin Griffin, D-Jackson, calls for Energy, Croce was vice a lame-duck session. the amendment and spells out how president of business de- “During lame duck, anything can to tax such gaming. velopment of DTE Energy happen. It’s a true silly season,” said Meet this The bill and resolution are in the Co.’s Energy Technology Tom Shields, president of Lansing- hands of the House Committee on Group. based Marketing Resource Group, Regulatory Reform, where no action — Tom Henderson year’s class. which does work for MotorCity Casi- is yet scheduled. no. “The race tracks are not going to A request for comment was left See This Just In, Page 2 40Page 11. Friday afternoon for Meisner, who See Racino, Page 49

RV dealers try Macomb/OU incubator different road opens early to snag state NEWSPAPER to revenue, Page 3 funding, Page 47 DETROIT BUSINESS MAIN 09-29-08 A 2 CDB 9/26/2008 5:57 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS September 29, 2008

fundraising coordinators at major Sobel, an Israeli attorney living in CSG to hire for Auburn Hills plant Robert Ficano will lead a 2008 THIS JUST IN colleges and universities, starting Ann Arbor since 2001, who is trade delegation to four cities in in 2009. The Master’s in Higher Ed- awaiting results of her July 2008 Rochester Hills-based CSG plans China Nov. 7-16. ■ From Page 1 ucation degree, with a concentra- State Bar exam, Zussman said. on hiring 10 to 15 people for a plant The delegation is scheduled to in Auburn Hills that will produce tion in philanthropy, development — Robert Ankeny tour the following cities: Corrections reforms sought and advancement, is planned for a surface coating product that re- Wuxi/Wuji, Chongqing, the UM School of Education next duces air pollution and green- Changchun and Beijing, all lead- The Detroit Regional Chamber Art Van Furniture names CEO fall. house gasses, said CEO Craig An- ers in automotive manufacturing plans to announce today it is call- Warren-based Art Van Furniture The program could start confer- drews on Friday. and economic centers for their re- ing on Lansing political leaders to Inc. has named Marshall Whaling as ring its first degrees by mid-2010, The manufacturing and chemi- gions. overhaul Michigan’s correctional said Deborah Carter, director of the company CEO, in an appointment cal engineering workers are to be The Southeast Michigan dele- system to produce some $800 mil- Center for the Study of Higher and that takes effect today. He suc- hired by November. Another plant gation, with support from the De- lion in annual savings. Postsecondary Education at the ceeds company founder Art Van Els- is located in Saga, Japan.“We are troit Regional Chamber, Detroit Chi- Reforms sought by the chamber UM School of Education. lander as CEO. anticipating $20 million to $30 mil- nese Business Association, U.S. include updated sentencing and — Chad Halcom Van Elslander, 77, will continue lion in sales by the end of 2009 and Department of Commerce, Comerica parole guidelines for non-violent as company chairman. I expect that number to quadruple criminals; replacement of political Bank and law firms Warner Nor- Whaling, 53, comes to Art Van in three to five years,” said An- appointees on the parole board Jaffe Group opens in Jerusalem cross & Judd, Butzel Long P.C., Miller from Richmond, Va.-based Circuit drews. CSG could add another 200 with civil servants; a merit system Canfield Paddock and Stone P.L.C., Southfield-based Jaffe Raitt Heuer City Stores Inc., where has been as jobs by 2013. for inmates who complete educa- and Clayton & McKervey P.C., plan & Weiss P.C. has opened a consult- senior vice president of retail op- — Jay Greene meetings with government offi- tion and training; and, for low-risk ing firm in Israel. Called Jaffe offenders, more effective use of erations since May 2006. Previous- cials and companies, Ficano said. Group L.L.C., the ly, Whaling was senior vice presi- — Robert Ankeny technology such as electronic teth- Jerusalem of- NSF teams up with Trucost ers and reporting systems, and dent of sales and operations in the fice is headed Ann Arbor-based NSF Internation- community-based sentencing. business-to-business division of New branding for United Way by Jaffe part- al Inc. has formed a partnership The group also seeks competi- Best Buy Co. Inc. from 2003-06. ner Noam Raz, and taken an equity stake with United Way for Southeastern tive bidding of prison food ser- He spent 20 years at American of who was born England-based Trucost plc. to ex- Michigan has aligned its local vices and wants correctional ad- Madison, a 15-store regional retail- in Israel and is pand the sustainability services it branding campaign with that of ministrative expenses lowered by er of furniture, appliances and fluent in He- offers both in the U.S. and in Eu- its affiliates around the country. 10 percent. consumer electronics based in brew. rope. The Detroit-based agency last The chamber is calling for the Wisconsin. “Our plan is NSF and Trucost will work joint- week rolled out a new tagline and cost savings to be applied toward Art Van also named Dan Baran, Raz to assist Israeli ly to provide broader services both branding initiative, “Live Unit- reducing the nearly 22 percent sur- companies that want to do busi- previously director of operations in Europe and in the U.S. ed,” following its launch at other charge that was added last year to ness in the U.S., especially in and logistics, as vice president of NSF said it has invested $3.9 mil- U.S. affiliates this summer. the Michigan Business Tax. Michigan,” Jaffe CEO Rick Zuss- information systems, logistics and lion in Trucost’s latest round of fi- The brand represents United — Amy Lane man said. operations. The company promot- nancing. Way’s plans to focus on volun- Jaffe has represented American ed Robert Cudd from director of — Sherri Begin teerism and advocacy as equally UM offers degree for fundraisers clients doing business and buying customer relationship marketing important as giving money in to vice president of marketing giving back to the community, it The University of Michigan will real estate in Israel for some years, and e-commerce. Ficano to lead trade mission said in a release. offer a specialized master’s de- he said, assisted by Israeli attor- — Chad Halcom Wayne County Executive — Sherri Begin gree to train development and neys. Also on Jaffe’s team is Lauren hap is ... your Michigan-based partner

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September 29, 2008 CRAIN’S DETROIT BUSINESS Page 3 CRAIN’S Departures due at airport board INDEX Settles the num- Inkster-based EaglePicher Corp., see Space for rent: Mexican ber one thing is their terms expire next month. companies to rent Labor leader could land top spot OPINION temporary office space in creating jobs.” Ficano will make two appoint- TechTown. Chinese are in Wise choices Settles himself ments to the seven-member board, BY BILL SHEA that oversees op- needed for airport talks to do the same. CRAIN’S DETROIT BUSINESS erations and man- board. Page 8. says much the and Gov. Jennifer Granholm will Page 36. agement of Detroit same thing: “I see make one. If tradition holds, the vice chair- Metropolitan Airport it no different with me as a chairman The authority was created by the man of the Wayne County Airport Au- in Romulus and than as a board member.” And he said Legislature in 2002 in the wake of a thority will become its chairman in Willow Run Airport he plans no change in the philosophy two-year state probe into Wayne December, and it will mark the first in nearby Van Bu- of the board in its dealing with its 10 County’s management of the airport time a labor activist leads the board. ren Township. unions. and questionable construction con- James Settles Jr. is vice chairman “I don’t think The day-to-day operations of the tracts for the $1.2 billion McNamara of the authority and is a vice presi- you’ll see an ideo- airport are overseen by the authori- Terminal. dent of the United Auto Workers inter- Settles logical shift. He’s ty-appointed CEO, Lester Robinson. Then-Wayne County Executive Ed national executive board. very pragmatic,” Settles will take over amid a tran- McNamara, worried about the state There doesn’t appear to be much said Wayne County Executive sition on the board. Three members, taking control of the airport, which concern that his chairmanship will Robert Ficano, who originally ap- including current Chairman David mean a radical change for the panel pointed Settles. “I know with Jimmy Treadwell, president and CEO of See Airport, Page 45 Small-biz spark: The Small Business Innovation Research program can be a valuable tool. Just ask Heidi Jacobus. Page 42. On the road: New legislation would nearly double the mileage deduction for volunteers at nonprofits. Page 43.

These organizations appear in this week’s Crain’s Detroit Business:

Adult Well Being Services ...... 43 Anderson Economic Group L.L.C.. . . . 1 Beaumont Grosse Pointe Hospital . 44 Karmanos Cancer Institute ...... 44 Bon Secours Health System ...... 44 Biotechnology Biz Consultants . . . . 42 A different road Burkard Industries Inc...... 37 Citizens Republic Bancorp Inc. . . . 48 City of Royal Oak Michigan Hospital Finance Authority ...... 44 With profits falling, RV dealers Community Central Bank ...... 48 CTI and Associates Inc...... 38 Cybernet Systems ...... 42 DeMattia Group ...... 46 look for other ways to make cash Detroit Medical Center ...... 44 Detroit Metropolitan Airport ...... 3 DTE Biomass Energy ...... 38 BY NANCY KAFFER the plug on RVs. We’ve got to go in a dif- DTE Energy Co...... 38 Forgotten Harvest ...... 36 CRAIN’S DETROIT BUSINESS ferent direction.” Gleaners ...... 36 In the face of plummeting profits, Greektown Casino ...... 1 In 2004, business at Walt Michal’s RV Michal is taking a radical step, moving Hazel Park Harness Raceway ...... 1 Superstore was booming. out of new recreational vehicle sales, Henry Ford Health System ...... 44 The Belleville-based RV store was mov- Macomb-OU Incubator ...... 47 the business’ mainstay for 13 years. On Macomb Community College . . . . . 37 ing 2,000 vehicles a year and bringing in Oct. 1, Michal will begin offering used Macomb County Planning and close to $70 million in revenue in a steady cars and trucks, snowmobiles and mo- Economic Development Dept...... 47 progression from the $1.2 million the Main Street Bank ...... 48 torcycles on the 32-acre lot, capable of Michigan Nonprofit Association . . . 43 business grossed annually when Michal holding roughly 1,500 RVs. He’ll still sell Mid-America Associates ...... 46 bought the business from Dearborn- used RVs, but will phase out the new in- National Defense Industrial Assoc . 37 based Les Stanford Chevrolet in 1995. ventory. Oakland University ...... 47 The next year, gas prices rose and rev- OU Inc...... 47 “With new RVs, you have to stock Palace Sports and Entertainment . . 46 enue fell, to $50 million. Then 2006 rolled way too much, you have to pay the in- Peoples State Bank ...... 48 around, with a dismal $17 million in rev- surance, pay for the floor plan (invento- Pinnacle Race Course ...... 46 enue. Plante & Moran P.L.L.C...... 48 ry), maintain the stock,” he said. “I’ve Rave Computer Association Inc. . . . 47 “We held our own last year and ended got 53 motor homes on the lot. At one Satterlund Supply Co...... 34 up around $18 million,” said owner Walt time I used to sell 53 in a month. It’s not NATHAN SKID/CRAIN’S DETROIT BUSINESS Schoolcraft College ...... 37 Michal. “This year we’re struggling Walt Michals will phase out new RVs at his Belleville dealership and offer Silver Stallion Development Corp. . 46 mightily to get there. So we’re pulling St. John Health System ...... 44 See RVs, Page 45 motorcycles, snowmobiles along with used RVs, cars and trucks. Technology Ventures Inc...... 37 TechTown ...... 36 The Macomb Group ...... 34 The Private Bank-Michigan ...... 48 Trinity Health ...... 44 United Auto Workers ...... 3 Walt Michal’s RV Superstore ...... 3 Wayne County Airport Authority . . . . 3 Wayne State University ...... 37 William Beaumont Hospitals . . . . . 44 Buyer’s bet on the Silverdome comes due Willow Run Airport ...... 3

a lot of problems with this.” Critics question Parker’s ability to pull off deal His main questions have revolved BANKRUPTCIES ...... 4 around Parker’s ability to come BUSINESS DIARY ...... 32 BY DANIEL DUGGAN phase plan and make the deal prof- Pontiac Mayor Clarence Phillips through with the money. Phillips CALENDAR ...... 41 CRAIN’S DETROIT BUSINESS itable. vetoed the City Council’s approval of and other officials have seen a lot of CAPITOL BRIEFINGS ...... 6 developers come through. First put “It’s not something that we’d get the Silverdome deal in July, prompt- CLASSIFIED ADS...... 42 With a November closing set for up for sale in 2002, the Silverdome done in two or three weeks,” he said. ed by his questions of Parker’s fi- KEITH CRAIN ...... 8 the sale of the Pontiac Silverdome, “But it is doable, there’s no doubt nancing plans. His veto, however, has had multiple developers propose LETTERS ...... 8 civil rights attorney H. Wallace about that.” was overridden by the council. ideas to later fall through. Parker will embark on an ambitious But many close to the deal have “I’m not trying to be too picky, The first hurdle for Parker comes OPINION ...... 8 plan for the 35-year-old stadium. been quietly questioning Parker’s since I want to see something done at the closing table. OTHER VOICES ...... 9 Though it will be the first foray ability to get the deal done. with that property,” Phillips said in Under terms of the deal approved, PEOPLE ...... 40 into development for Parker, he’s Others have questioned not so qui- July. “I need to make sure the city he must bring the entire $20 million RUMBLINGS...... 50 confident he can pull off his three- etly. has a sound business deal, and I have See Silverdome, Page 46 WEEK IN REVIEW ...... 50 DETROIT BUSINESS MAIN 09-29-08 A 4 CDB 9/26/2008 5:11 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS September 29, 2008 TAKING STOCK NEWS ABOUT DETROIT AREA PUBLIC COMPANIES Auto supplier stock battered in wake of Wall Street woes

BY RYAN BEENE of the market, all bets are off. panies and the OEMs. I think peo- CRAIN’S DETROIT BUSINESS “There is literally chaos in the ple are now beginning to look at, market right now,” he said. ‘So what are the secondary factors Shares of Michigan auto suppli- Uncertainty created by the fail- that are affected by that kind of ers’ stock tumbled last week as ure of venerable Wall Street firms change?’ ” she said. Wall Street’s malaise and a possi- Lehman Brothers., Merrill Lynch and, Korth says the biggest concern ble $700 billion taxpayer-financed most recently, Washington Mutual’s is a drawn-out shortage of credit. bailout dominated headlines federal seizure and subsequent Combine that with a housing mar- Seven out of 11 local publicly sale to JPMorgan Chase & Co. on ket expected to improve little in traded auto suppliers covered by Thursday, as well as the hiccup in 2009, and consumers are likely to Crain’s saw their stock lose more drafting the $700 billion financial forego large durable goods pur- than 12 percent of its value be- industry bailout designed to save chases like cars and trucks. tween Monday and Thursday last troubled Wall Street firms, tran- Supplier stocks are being hit week. scends any perceived stability, now because they may be viewed Van Buren Township-based Vis- Wall said. as overvalued by investors. teon Corp. (NYSE: VC) saw its But it’s even more troublesome And while Korth does not agree shares fall from $3.68 to $2.29 be- for the auto industry. that suppliers are overvalued, she tween Monday morning and Fri- “This kind of uncertainty, it did acknowledge that perception is day’s closing bell. wreaks havoc with everybody, but likely affecting the share price of In the same time frame, Detroit- when you’re talking about manu- these companies. BEAUTIFUL DESIGN & PERFORMANCE based American Axle & Manufactur- facturing stocks, entities that have Shelly Lombard, an analyst with ing Holdings Inc. (NYSE: AAM) been under general distress al- New York-based ratings firm shares dropped from $7.61 to $6.32, ready, an auto market that’s under Gimme Credit Inc., says auto suppli- and Livonia-based TRW Automotive NEW AT PAULSON’S pressure right now, and the gener- er stocks, along with automakers, Holdings Corp. (NYSE: TRW) stock al housing market, it’s not surpris- may have been run-up in value as B&W Speakers fell from $19.47 to $16.71. ing we’re seeing this kind of discussions of the government’s Southfield-based Federal-Mogul volatility,” Wall said. $25 billion auto industry loan Free-mounted diamond Corp. (NASDAQ: FMDL) shares fell Kim Korth, president of Grand guarantee program gained mo- dome tweeter from $14.88 to $13.25. Northville- Rapids-based auto industry analy- mentum, giving shares more room based Amerigon Inc. opened at $8.24 sis firm IRN Inc., to fall. Kevlar® brand fibre cone Monday and closed Friday at $7.33. agrees, but says But more of a factor, she says, is FST™ midrange Southfield-based Lear Corp. investors are the pressure faced by many suppli- (NYSE: LEA) shares fell from looking beyond ers from nearly nonexistent credit Rohacell® cone bass $14.10 when trading opened Mon- the surface at market, a down housing market, day to $11.75 at Friday’s close. Nautilus™ head other sectors in high gas prices and slow vehicle Auburn Hills-based BorgWarner the troubled sales. Matrix™ cabinet 802D Inc. (NYSE: BWA) dropped from auto industry “It’s a troubled sector in a trou- $37.64 to $32.46. Both companies impacted by the bled market,” Lombard said. Flowport™ hit their 52-week lows in trading recent economic “Auto hasn’t traded well for a on Friday. Korth turmoil. while, but if you look around the Michael Wall, director of North “The center market and think, ‘OK, what can I American advisory services for of it is certainly the financial cred- buy that’s defensive?’… it’s not 37670 W. 12 Mile Rd. Farmington Hills CSM Worldwide Inc., says typically a it implosion we’re having at the auto.” NW Corner of Halsted swing in a company’s stock price moment, but where all the atten- Ryan Beene: (313) 446-0315, 248.553.4100 one way or another can be tied to a tion has been on the financial com- [email protected] company announcement, such as visit us at www.PaulsonsAV.com an earnings report, or monthly auto sales numbers. But with the current volatility STREET TALK THIS WEEK’S STOCK TOTALS: 14 GAINERS, 47 LOSERS, 9 UNCHANGED

9/26 9/19 PERCENT CDB’S TOP PERFORMERS CLOSE CLOSE CHANGE BANKRUPTCIES 1. Oxford Bank Corp. $11.50 $8.90 29.21 B Agree Realty Corp. 27.60 26.87 2.72 2. The following businesses filed for 3. Ramco-Gershenson. 23.08 22.74 1.50 Chapter 7 or 11 protection in U.S. 4. Compuware Corp. 10.48 10.36 1.16 Bankruptcy Court in Detroit Sept. 19- 5. Valassis Communications Inc. 8.32 8.23 1.09 25. Under Chapter 11, a company files for reorganization. Chapter 7 involves 6. CMS Energy Corp. 12.92 12.90 0.16 total liquidation. 7. Masco Corp. 18.98 19.28 -1.56 Executive Business Corp., 11791 Ken- 8. TechTeam Global Inc. 7.61 7.76 -1.93 moor St., Detroit, voluntary Chapter 9. Sun Communities Inc. 19.99 20.48 -2.39 7. Assets and liabilities not available. 10. First Mercury Financial Corp. 13.11 13.52 -3.03 Legacy Estates L.L.C., 16800 24 Mile 9/26 9/19 PERCENT Road., Ste. 1, Macomb, voluntary CDB’S LOW PERFORMERS CLOSE CLOSE CHANGE Chapter 11. Assets: $4,300,500; liabili- ties: $17,386,605. 1. General Motors Corp. $9.76 $13.08 -25.38 Lighthouse Real Estate Holdings 2. Perceptron Inc. 5.66 7.11 -20.39 L.L.C., 20570 W. Eight Mile Road, 3. Am. Axle & Man. Holdings Inc. 6.32 7.74 -18.35 Southfield, voluntary Chapter 11. As- 4. Comerica Inc. 34.30 42.00 -18.33 sets and liabilities not available. 5. Lear Corp. 11.75 14.37 -18.23 Mays Printing Company Inc., 15800 Livernois, Detroit, voluntary Chapter 6. Saga Communications Inc. 5.05 6.16 -18.02 11. Assets and liabilities not available. 7. PSB Group Inc. 5.05 6.10 -17.21 Michico Inc., 6536 Shadowlawn, Dear- 8. TRW Automotive Holdings Corp. 16.71 19.75 -15.39 born Heights, voluntary Chapter 7. 9. BorgWarner Inc. 32.46 38.20 -15.03 Assets and liabilities not available. 10. Kaydon Corp. 48.42 56.70 -14.60 Small Plates L.L.C., 310 S. Main St., Royal Oak, voluntary Chapter 11. As- Source: Bloomberg News. From a list of publicly owned companies with headquarters in Wayne, Oakland, Macomb, Washtenaw or Livingston counties. Note: Stocks trading sets: $657,116; liabilities: $1,409,238. at less than $5 are not included. — Compiled by Julie Dawso DBpageAD.qxd 9/24/2008 12:05 PM Page 1

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2008248 DETROIT BUSINESS MAIN 09-29-08 A 6 CDB 9/26/2008 5:57 PM Page 1

Page 6 CRAIN’S DETROIT BUSINESS September 29, 2008 Utilities move on requirements for new energy regulations

LANSING — The wheels are in create and sell to them, up to 50 motion on Michigan’s broad new percent of the renewable power energy plan. Capitol they need to meet the RPS. The re- State regulators and utilities Briefings maining 50 percent would come are gearing up for requirements through long-term power-pur- under newly approved legislation chase agreements. BlackBerry® CurveTM 8330 that, among many things, would To help meet the RPS, the utili- boost Michigan’s use of renewable ties will assess customer sur- Smartphone energy and alter utility rate struc- charges. The per-meter sur- tures. charges, to be established by the Regarding the latter, the Michi- PSC, are capped at $3 per month gan Public Service Commission last for residential customers, $16.58 • 2.0 megapixel camera with flash & 5x digital zoom week issued orders directing the per month for small and medium- Detroit Edison Co. and Consumers Amy Lane size commercial customers, and • Telenav® Maps and Telenav® GPS Navigator Energy Co. to file information in $187.50 for large commercial and in- October on how they plan to end business’ dustrial customers. • Media Player with microSD™ memory support current subsidy of residential rates, which As part of the energy package, House Bill will cause residential bills to rise and com- 1048 provides some $40 million in income- • Easy-to-use intuitive trackball navigation mercial and industrial bills to drop. tax credits for residential customers to off- The utilities must phase in the cost-of-ser- set a portion of the renewables charge and to vice rates over five years, beginning Jan. 1. purchase energy-efficient appliances. • Integrated Email, Phone, SMS, & Browser Rates paid by residential and industrial Utilities need to design energy-efficiency metal-melting customers can rise no more programs that will be submitted to state regu- • Bluetooth® Wireless Technology than 2.5 percent annually, under the legisla- lators, and the commission will establish a tion approved Sept. 18. “net metering” program in which utility cus- • Broadband Access Connect capable Another key aspect is the use of energy tomers that generate their own power can sell from renewable resources, such as wind, some of their excess power back to the utility. • 35–key backlit QWERTY Keyboard biomass, solar and hydroelectric plants. The PSC is beefing up its staff to administer Within five months, the the new laws. House Bill utilities will file plans with 5524, one of the main ener- the PSC on how they will gy bills, includes a provi- meet a mandate that 10 per- Utilities can sion that appropriates $2.5 FREE cent of their electricity create, or have million for the additional Tips & Tricks come from renewable staff, paid for through as- sources by 2015. Interim others create and sessments on utilities. class targets for new renewable Other elements include: when you purchase your ■ BlackBerry® smartphone from resources begin in 2012. sell to them, up to A 10 percent limit on the BlackBerry® Store Some have criticized the the amount of a utility’s from Wireless Giant! RPS law, Senate Bill 213, as 50 percent of the customer load that can go too slow in moving Michi- to alternate suppliers. Cur- gan toward renewables de- renewable power rent choice customers velopment. The American would be exempt from hav- Wind Energy Association said they need. ing any future business ex- in a letter to lawmakers pansion count toward the Receive $180 value, when you activate your that it will “raise utility costs while failing statewide cap. to create any meaningful market for renew- ■ The ability for utilities to enact pro- able energy production” and provides no in- posed rate increases if the PSC does not act BlackBerry® smartphone at the BlackBerry® centive for renewables-related job creation on their filings within six months. The PSC and development for several years. must complete all general rate cases within Store from Wireless Giant® But Dan Brudzynski, vice president of regu- 12 months. If it finds the utilities’ interim latory affairs for Detroit Edison parent DTE En- rates unjustified, the PSC can order refunds, ergy Co., said the development and construc- with interest. These are the items you will receive, tion of wind farms requires significant lead ■ Utilities apply to the PSC for a certifi- time. “It’s not like we’re going to go on autopi- cate of necessity to build a plant or enter • Free Tips & Tricks class • BlackBerry® Desktop Manager Setup lot for the next few years,” he said. into a long-term power purchase agreement. • Phone Book Transfer • BlackBerry® Device Software Update Utilities can meet a small percent of their The PSC will review cost estimates and is- 10 percent requirement through new and ex- sue a certificate that includes approved cost • Data Transfer • BlackBerry® Training isting energy technologies, such as industri- amounts. Utilities can recoup, in rates, cost al co-generation projects that capture and overruns of up to 10 percent, without seek- • Email Setup See store for more details. reuse flue gasses, and coal plants that cap- ing additional PSC approval. ture and store carbon dioxide emissions. Amy Lane: (517) 371-5355, World’s First The utilities can create, or have others [email protected] Authorized BlackBerry® Store Now Open in Farmington Hills MEGA announces development grants The Michigan Economic Growth Authority ap- Auburn Hills. The projects will create up to 31380 Orchard Lake Rd, Farmington Hills, MI 48334 proved the following grants Tuesday: 219 new jobs and 192 spin-off jobs. (Southeast corner of Orchard Lake Rd & 14 Mile Rd) Ⅲ A2 Media Corp., an Ann Arbor-based Ⅲ Plexus Systems Inc., an Auburn Hills- software-development company, received a based software company, received a $7.98 state tax credit of $1.26 million to move to a million tax credit to expand its operations, 248·855·5777 larger facility in the city, creating 128 new creating 298 jobs and 488 spin-off jobs. jobs, 63 at the company. Ⅲ NYX Inc., a Livonia-based, minority- *Our Surcharges (incl. Fed. Univ. Svc. of 11.3% of interstate & int’l telecom charges (varies quarterly), 7¢ Regulatory & 85¢ Administrative/line/mo., & others by area) Ⅲ Barracuda Networks Inc., a Campbell, owned auto supplier, received a $1.67 mil- are not taxes (details: 1-888-684-1888); gov’t taxes & our surcharges could add 5% - 36% to your bill.Activation fee/line: $35 ($25 for secondary Family SharePlan Calif.-based maker of e-mail, computer net- lion tax credit to open a new office and tech- lines w/ 2 yr Agmts) IMPORTANT CONSUMER INFORMATION: Subject to Customer Agmt, Calling Plan, [rebate form] & credit approval. Up to $175 early termination fee, work and Web security systems, received a [up to] 45¢/min after allowance & $1.99/MB (incl. Mobile Web ads). Offers & coverage, varying by service, not available everywhere. Network details & coverage maps nology center, which will create 390 new at vzw.com. Nights 9:01 pm – 5:59 am M-F. Limited time offer, if applicable. Rebate takes up to 6 wks. ©2008 Verizon Wireless. ©2008 Research In Motion Limited. state tax credit of $1.4 million to expand its All rights reserved. BlackBerry®, RIM®, Research In Motion®, SureType® and related trademarks, names and logos are the property of Research In Motion Limited and research and development center in Ann jobs, 168 at the company. are registered and/or used in the U.S. and countries around the world. Used under license from Research In Motion Limited.All other trademarks are the property of their Arbor. The project is expected to create 351 Ⅲ Post It Stables, a Huron Township-based respective owners. See verizonwireless.com/Bluetooth for details. new jobs, 185 of them at the company. horse-racing track owner, received a Ⅲ Faurecia USA Holdings Inc., an automo- $982,000 tax credit to develop a portion of the tive supplier, received a $2.7 million tax Pinnacle Race Course. The project will create credit to expand its interiors division tech- 71 jobs, and about 700 jobs during the racing nical center in Troy and its headquarters in season. DBpageAD.qxd 9/4/2008 12:28 PM Page 1

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Page 8 CRAIN’S DETROIT BUSINESS September 29, 2008 OPINION LETTERS Give graduation Dan Gilbert responds to story Editor: 50 states over the past eight years these loans that had gone delin- The Sept. 15 edition of Crain’s in- avoiding fraud, sub-prime and oth- quent and found that not every cluded an attack on a Detroit-area- er short-sighted mortgage fads of borrower made as much income as rules time to work based company and by association the last decade somehow went un- claimed. Wells then demanded it’s several thousand employees. accounted for in the articles. that originators buy those loans This surprising and misleading The article also provided a fo- he drumbeat is starting: Michigan’s new high school back, despite the fact that the assault on rum for the defendants’ attorneys loans were written using Wells’ graduation requirements are too tough. Quicken Loans to discuss a subject they know ab- own guidelines. T Last week, the Democratic-led Michigan House passed flies in the face solutely nothing about — our cul- Wells admitted in its 2007 annu- a bill to weaken the standards that now require students graduat- of journalistic ture and internal processes. al report it had made a mistake in ing in 2011 to have four years of math as well as other courses. integrity and And it gets worse. not requiring full documentation. But employers, business groups and associations must make the one thing Because Quicken Loans is a na- (A report shared with Crain’s, but that all honest tional leader in developing fraud it clear: Business supported those new standards to ensure the also not mentioned.) writers and pub- detection techniques and quality Wells has threatened dozens of state would have a competitive workforce for the future. Water- lications hold control systems, we have been re- loan originators, demanding they ing them down is a step back, not forward. The standards can be close to their cruited to conduct many training buy loans back because of its own a tool Michigan can use to make the case that the state is a good Gilbert heart: the truth. and best-practice sessions with fed- mistake. These threats essentially place for companies looking for skilled workers. In fact, the eral, state and local law enforce- amount to extortion: “Buy the manner in which the various head- ment officials who are engaged in The new pressure to change the standards that just became loans back or we’ll sue.” We could lines, the tone and implication of the combating mortgage fraud. settle the case and write them a law in April 2006 comes from looking at the early results from writing, along with the weaving to- How ironic that it was actually check, but doing so would only re- students taking newly required algebra courses. gether of unrelated and disconnect- Quicken Loans’ Fraud Prevention ward their behavior and encour- Rather than cry the sky is falling, the critics of the standards ed issues, could easily be construed Team that provided the training age more. We won’t do it. should look realistically at the job market. Michigan already has as the opposite of “the truth.” for the new Michigan State Police Smear job? When you combine all of this and FBI Mortgage Fraud Task You tell me. a high unemployment rate. The jobs that are disappearing are with the omission of information Forces that were discussed in one primarily jobs that required a high school diploma — the old- And the last point: A plaintiff law that was repeatedly provided to of the articles. This year, Quicken firm based in Minnesota who spe- style manufacturing jobs. Crain’s, the exposé becomes more Loans has trained nearly 200 law cializes in recruiting former loan These standards need time to prove themselves. Many dis- shocking and puzzling. enforcement officials from the officers to sue their former employ- Quicken Loans was duped by tricts have created safety nets to help students meet the new FBI, Secret Service, U.S. Postal In- ers on the law firm’s predatory in- crooks who took $1.6 million in spector’s Office, Michigan State standards: after-school help, online homework hotlines, sum- terpretation of a perceived loophole loans back in 2001 by fraudulently Police, Michigan Attorney Gener- in a 1930s overtime and wage law, mer programs. inducing our company to approve al and elsewhere. Crain’s was that was designed during the De- Critics should stop to consider this: Do you think schools their mortgage applications. They made aware of this, by several pression to protect factory workers submitted a large amount of false credible sources, yet chose to omit in Japan, China or India are having a similar debate? from abusive management, sued information for these loans, which mention of this in the article. our company over four years ago. were never repaid. Alongside this article was a Crain’s decided to mention the Yet, by including a barrage of piece about a lawsuit we are de- on-going suit from this firm that is Wise choices needed for airport quotes from the defendants’ repre- fending from Wells Fargo. While attempting to extort money from In 2002, Michigan lawmakers enacted laws to create a new sentatives, Crain’s leads the read- Crain’s used large headlines to po- Quicken Loans. er to believe that this scam was sition this lawsuit as an allegation authority to run one of Southeast Michigan’s most valuable as- Here’s the claim: Loan officers primarily the result of Quicken of fraud, this matter boils down to sets — Detroit Metropolitan Airport. at times work more than 40-hour Loans “greed” and “rushed deals.” a contract dispute. work weeks. They should be paid The airport had been the turf of Wayne County Executive So, scam artists ripped us off for The case involves a small number overtime. Quicken Loans doesn’t Ed McNamara, and lawmakers were tired of criminal investi- $1.6 million, and Crain’s implies it of loans we originated and sold to pay them overtime. gations of questionable contracts and accusations of cronyism is somehow our fault these thieves Wells several years ago via a “no in- What they fail to mention is that pulled off their heist back at the come verification” program that in the awarding of contracts tied to the airport. Quicken Loans instead pays com- The authority was set up to insulate the airport from poli- turn of the century? Wells created and for which Wells We have little to gain from hiring established the underwriting guide- missions and bonuses! And the tics and favoritism, and the first appointees included such lawyers and chasing down scam lines. amount of commission and bonus- well-known business names as retired real estate executive artists. Our $1.6 million dollars is Under Wells Fargo’s guidelines, es we pay dwarfs the OT a loan offi- Wayne Doran, retired Chrysler Corp. executive Michael long gone. We filed the lawsuit any- loan officers were not required to cer may have otherwise received by 700 percent or more. Glusac, health-care executive Vernice Davis Anthony and way, because we have zero toler- obtain documentation verifying the The law firm, along with the ex- long-time business and civic leader Jim Nicholson. ance for fraud and believe it is our income borrowers stated on the loan duty to expose crooks and hold application if they met certain re- loan officers they’ve recruited, Now, some terms of those early appointees are expiring. them accountable. For this, Crain’s quirements that included having a want Quicken Loans to add all of Under the law, the Wayne County executive appoints four decided to paint us as a company good credit score. Wells Fargo knew the commissions to their base pay members, the governor two and the Wayne County Board of that is an “easy money, greedy” and these loans carried a higher risk and then pay overtime on the total Commissioners one. sloppy institution who “rushes” and because of that charged a high- number! We will never cave to such an We hope they choose wisely. This is an important time for loans to the closing table. er price and rate for them, and their Crain’s came to these intellectu- earnings reflected this. abuse of the legal system so an out- the airport. The authority has a $3.6 billion, 20-year master ally impotent conclusions over 16 Later, when Wells began to expe- of-state law firm can extort money plan. And it likely will be heavily involved in the development loans where we are the plaintiff su- rience unexpected default rates, it from ethical Michigan-based com- of the “aerotropolis” concept for developing adjacent land into ing for fraud. The other approxi- decided to verify the borrowers’ panies. a logistics hub and commercial real-estate powerhouse. mately 400,000 loans we closed in all stated income on the subset of See Letters, Page 9

KEITH CRAIN: We could have said no to Wall Street OK, so the Wall Street folks have be more than happy to ployees of a few compa- mised. My guess is that most mem- meet new government mandates. been losing a lot of money, and the have let a bunch of Wall nies in New York, to say bers of Congress are, too. Once again, there has been some Treasury secretary who came Street executives and nothing of the industri- Those Wall Street companies screwy thinking in Congress. from Wall Street gets the better their firms pay for their al might of this nation. bought portfolios of bad home loans We shouldn’t give Wall Street part of a trillion dollars to bail out bad decisions by losing There is a bias to- to make money. The companies are hundreds of billions of dollars on a Wall Street. some money. ward Wall Street, espe- now at risk because of their bad whim. The mess on Wall Street is To borrow a quote from a U.S. The nation would be cially among those who judgment, and they should take only a distraction from a thorough general in World War II: “Nuts.” OK without the Wall made their millions their losses. After all, the mortgages study of our national manufactur- I wonder what would have hap- Street bailout. there. The idea that our haven’t gone away. The homeown- ing base. pened if the Treasury secretary The auto industry Treasury secretary ers still have the same mortgage re- It’s time for us to call, write or e- had come to Washington from and the Detroit econo- owes his fortune to his gardless of who owns it. mail our congressional lawmakers General Motors rather than Gold- my of suppliers, dealers career as an investment Meanwhile, the Detroit auto in- and tell them to take another look. man Sachs. Our government and automakers have more than a banker should have disqualified dustry had to jump through hoops This problem is too important to would be a lot more concerned million employees whose liveli- him immediately from any discus- just to get $25 billion in low-interest leap into a hasty response with in- about saving the manufacturing hoods would be threatened by fail- sion of using taxpayer dollars to loans that will be paid back to help sufficient information and deliber- base of our nation, and we would ure. That’s a lot more than the em- prop up Wall Street. He is compro- finance technology that will help ation. DETROIT BUSINESS MAIN 09-29-08 A 9 CDB 9/26/2008 11:26 AM Page 1

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 9 OTHER VOICES: End state income taxes for new grads

Many of Michigan’s col- Let’s do what business This 4.3 percent would be put back nessee spoke of labor fears but over- Expectations are that federal lege graduates leave the does to attract talent … pay into our local economies as quick- looked that Tennessee has no in- taxes could rise as much as 30 per- state once they get their for it. ly as they earn it and be more come tax. As a business, you mea- cent to some taxpayers next year diplomas. Many in Lansing Waive the state income rapidly deployed than the state’s sure worker happiness and health, (The Wall Street Journal, Aug. 4, see an erosion of viable in- tax on recent college grad- treasury could do so. and I will assure you that state tax 2008, “Obama-nomics” by Michael come earners to support a uates. Ensure that only Keep the policy until they turn burdens were considered. Baskin), and there seems no re- spiraling state budget re- those with four-year diplo- 30. This would get these young The Wall Street Journal reported straint from those elected. State quirement. mas from qualified institu- earners rooted in our communi- a Massachusetts ballot proposal budgets have risen 18 percent We have infrastructure, tions would qualify. Make ties. By then they would probably that would eliminate the state’s 5.3 since 2005, adjusted for inflation. we have “cool cities,” we them earn this incentive. own a house and be beginning a percent income tax. Politicians are There comes a point where peo- have nightlife, changing Matt Turnbull Allow for out-of-state grad- family. The likelihood of them now fearful that the rampant tax- ple vote with their feet and leave. seasons, water and entertainment. uates to receive this break and en- leaving then is greatly reduced. and-spend mentality may have fi- We’ve listened to the footsteps of Yet the young leave in droves. As courage them to come here. By avoiding a state tax, we would nally been pushed too far. Massa- our graduating seniors leave the politicians close another year of leg- I realize that the accountants create a happy, motivated work- chusetts residents polled believed state for too long, let’s try some- islating, we will see another senior will claim lost revenue opportuni- force that can help create motivated that 41 percent of their taxes were thing revolutionary … give them a class enter the workplace some- ties; however, let’s remember that, new companies in our state. wasted, which, coincidentally, rep- break. where else. Much will be made of as a whole, Americans do not save, News summaries about Michi- resented the state personal income Matt Turnbull is a resident of this; little will change. and young adults save even less. gan losing the VW plant to Ten- tax. Grosse Pointe Park.

LETTERS CONTINUED ■ From Page 8 Another quote taken completely out of context in Crain’s drive to negatively slant the articles in- volved one piece of a long e-mail I’d written the entire Quicken Loans staff around Thanksgiving 2002. In the e-mail, I thanked everyone for their hard work over the past year. Because rates had moved down, I suggested they might want to in- form friends and family over the holiday about the favorable market. We had recently rolled out our “Mortgage Insider” program, which allows a team member to arrange for discounted fees/points for a friend or family member — similar to plans the car companies offer their workers. I thought it might be timely for team members to mention these fac- tors so their friends and family could take advantage of the new dis- count plan and favorable market. A bad thing? Here is how Crain’s wrote about this e-mail, quoting some court magistrate who is assisting on the overtime case: “In one e-mail, he (Dan Gilbert) encouraged loan consultants to sell loans at Thanksgiving dinner, telling them ‘always be closing.’ ” As a mortgage lender, we have avoided the fate of other lenders during the current storm, precise- ly because we have chosen not to make a quick buck in the type of schemes that have taken other companies down the abyss. The best days of Quicken Loans, our sister companies and our thou- sands of hard-working, honest and selfless team members are ahead. We’ve created thousands of jobs in a city and state that are in desperate need of more companies like ours, and we look forward to being a leader in the comeback of Detroit and Michigan’s business communi- ty. I have never been more excited about the future than I am right now! It is shameful and curious that Crain’s would launch such a horren- dous “hack job” against our compa- ny and its extremely loyal, hard- working, and dedicated workforce. Integrity and character are the price of admission to walk through our doors. I wish I could say the same about Crain’s Detroit Business. Dan Gilbert Chairman Quicken Loans Inc. DBpageAD.qxd 9/23/2008 4:24 PM Page 1

CM&D ISPROUDTO ANNOUNCETHERECOGNITION OF Charles M. Moore ASAMEMBEROFTHE Crain’s 40 Under 40 CLASSOF

c-m-d.com

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DETROIT – CORPORATE HEADQUARTERS CHICAGO NEW YORK 3OUTH/LD7OODWARD!VE 3UITE 7EST-ADISON!VENUE 3UITE !VENUEOFTHE!MERICAS 3UITE "IRMINGHAM -) #HICAGO ), .EW9ORK .9         

ATLANTA DAYTON SHANGHAI #ENTRAL0ARKWAY .% 3UITE .ORTH-AIN3T 0ERFORMANCE0LACE 3HANGHAI4IMES3QUARE (UAIHAI:HONG2D !TLANTA '! $AYTON /( 3UITE 3HANGHAI          DETROIT BUSINESS MAIN 09-29-08 A 11 CDB 9/26/2008 10:20 AM Page 1

2008 40under 40 DETROIT BUSINESS MAIN 09-29-08 A 12,13 CDB 9/26/2008 10:54 AM Page 1

Page 12 CRAIN’S DETROIT BUSINESS September 29, 2008

40 UNDER 40

or the past 18 years, in developing Web sites back Janis Acosta, 39 ing in April 2007 and played an inte- Crain’s Detroit Business when the Internet was in its infan- gral role in the creation of the com- Vice president and general counsel F has honored the best and cy. Another rose from being a pany out of Lear Corp.’s former inte- International Automotive Components brightest in Southeast Michigan homeless teenager to success as a Group North America Inc. riors operations in North America. who have made their marks in leading health care human-re- Dearborn As one of the company’s top three business before age 40. sources executive. Others travel executive officers, Acosta manages Biggest accomplishment: Playing a Crain’s 40 Un- the world negoti- central role in the 2007 founding and all company merger and acquisition der 40 Class of MEET THIS YEAR’SCLASS ating internation- growth of auto supplier Internation- activity and is the company’s chief 2008 includes a al business deals. al Automotive Components Group legal adviser. Crain’s will host a reception to mix of rising More than 400 Since the company’s founding, honor this year’s class from 5-9 North America Inc. stars. Some have p.m. on Oct. 30 at The people were nom- Current goal: Helping the company Acosta has overseen all company ac- started new com- Reserve/Big Rock Chophouse in inated for this stay forward-thinking as it contin- quisition activity, including opera- panies and found Birmingham. Tickets are $75, year’s 40 Under ues to grow in a volatile industry. tions from now-defunct Collins & Aik- $40 for 40 Under 40 alumni. success. Others 40. Crain’s evalu- man Corp., which fueled the have come up Visit www.crainsdetroit.com ated candidates Janis Acosta majored in political /events by Oct. 24 to purchase company’s growth from 28 North economy with a minor in biology be- through the tickets. based on person- American locations and $2.5 billion fore graduating from Hillsdale Col- ranks at Detroit’s al achievement in revenue to 41 locations and $3.3 leading compa- and community lege in 1992. But a summer internship with an Indiana senator billion in revenue. nies. Still others are working to impact. Acosta also oversees company marketing and pub- improve the offerings and reach A team of staff members evalu- in Washington, D.C., persuaded her that the law was to be her professional calling. lic relations, and she works closely with other man- of area nonprofits. ated candidates and checked ref- After earning her law degree from Wayne State Uni- agers and the board of directors. One honoree was a trailblazer erences to develop our final list. versity in 1997, Acosta rose through the ranks of corpo- And even as IAC faces a challenging market in rate law to her current position, vice president and North America, Acosta says the company plans con- Photos by Nathan Skid, Crain’s Detroit Business, unless otherwise noted. general counsel of IAC North America Inc. tinued growth. Acosta joined the company before its official found- — Ryan Beene To see additional photos of all winners, go to www.crainsdetroit.com/40s

Utz-Jens Beister, 38 automotive market, Beister said. Beister’s efforts secured the in- President vestment it needed to grow in the re- IAV Automotive Engineering Inc. Class of 2008 gion. Northville He began to restructure the com- Janis Acosta Page 12 Amin Irving Page 21 Biggest accomplishment: Leading pany in 2005 and added powertrain IAC Group North America Inc. Ginosko Development Co. the development and implementa- tion of a restructuring plan, expand- design and integration services to Utz-Jens Beister Page 12 John Lesser Page 21 ing the product and service portfo- the powertrain control and calibra- IAV Automotive Engineering Inc. Plante Moran Financial Advisors lio, increasing local jobs and tion capabilities that were the com- boosting revenue. pany’s core focus. The company has Jeff Luckoff Page 22 Jesse Berger Page 12 Current goal: Continuing to grow powertrain testing capabilities, Clear Channel Radio Inc. Eastern Michigan Kenworth Inc. IAV’s size and reach in North Amer- which are needed by suppliers and ica, enabling it to become a leading Amal Berry-Brown Page 13 Christian Lupo Page 22 automakers to get new, fuel-efficient NSF-ISR engineering service provider for products on the market quickly. Comerica North America. Under Beister’s leadership, the Leanne Bowen Page 13 James Maher Page 23 IAV is one of a handful of engi- private company boosted its gross Jones Lang LaSalle Maher Restoration and Construction neering firms in metro Detroit help- profits by 32 percent in 2006 and 44 Rick Brockhaus Page 13 Kristina Marshall Page 23 ing automakers and suppliers gear percent in 2007, while increasing Soave Enterprises L.L.C. Mentoring Solutions up to build more fuel-efficient vehicles, but it may not staff by 38 percent in 2006 and 43 percent last year. have gotten there without Utz-Jens Beister. The company now employs more than 100 people Ted Canaday Page 14 Charles Moore Page 24 Beister spearheaded creation of the company’s case and has annual revenue of about $20 million. to expand its product offerings and increase its Ger- Elemental Detroit L.L.C. Conway Mackenzie & Dunleavy IAV is also on the move. man parent company’s investment in the North Dawndenise Capers Page 14 Heidi Mucherie Page 24 American market. Beister is focusing on IAV’s relocation to a new facili- Diageo North America Community Legal Resources He pitched the importance of investing in Detroit to ty in Northville and expects to add more than 100 jobs. the parent company’s board of directors in Germany. Beister says he expects to double IAV’s employee Heather Carmona Page 15 Mary Margaret O’Donnell Page 25 Even as the Detroit region has seen automotive jobs headcount over the next five years. Woodward Avenue Action Association Rader Fishman & Grauer P.L.L.C. dwindle, it is still the center of the North American — Ryan Beene

Francoise Colpron Page 15 Stephen Potter Page 25 Valeo Patriot Services Corp. cations,” said Dave Widlack of Com- David Ripple Page 26 Jesse Berger, 37 Laura Covintree Page 16 munity Central Bank, which has fi- Lighthouse of Oakland County Wayne State University President nanced some of Berger’s operations. Eastern Michigan Kenworth Inc. Steven Rybicki Page 26 “He’s a good operator, and a good Antoine Dubeauclard Page 16 Dearborn leader.” Infinity and Ovation Yacht Charters Media Genesis Inc. Biggest achievement: Becoming the Then in 2006, Berger went big- youngest Kenworth Trucks dealer- Rita Fields Page 17 Lauren Scarpace Page 27 time. He flew to Seattle to apply to ship owner in the United States. senior managers at Kenworth Trucks, Henry Ford Health System CB Richard Ellis Current goal: To continue to build a one of the leading manufacturers of customer-focused, growth-oriented, Saylor Frase Page 17 Matt Schenk Page 27 medium- and heavy-duty trucks, for financially secure company. Nuspire Corp. Wayne County the rights to a Kenworth franchise. The company gave Berger the green Scott French Page 18 Matthew Sosin Page 28 Jesse Berger has been around light, and Berger became the trucks for as long as he can recall. Lear Corp. Northern Equities Group youngest Kenworth dealership own- Growing up, he went to work with er in the United States. his dad, a diesel truck mechanic, in Matt Friedman Page 18 Rich Stromback Page 28 His company now has a staff of 60, the summers. As he got older, the Tanner Friedman Ecology Coatings, Stromback Foundation and combined annual revenue of hobby turned into an apprentice- more than $39 million. Marie Galindo Page 19 Janice Suchan Page 29 ship of sorts, and then a summer job Berger acquired the Eastern Michi- Butzel Long SHW Group that helped pay for college. Finally, in 1997, Berger purchased Berger & Sons gan Kenworth of Dearborn truck dealership in April Michael George II Page 19 Michael Tenbusch Page 29 Truck Service from his father, who had purchased the 2006 and renovated his first location in January 2007, George Enterprises United Way shop from his father in 1980. renaming it Eastern Michigan Kenworth of Clinton Town- The company was small. There were 12 employees ship. Lisa Grosso Page 20 Terence Thomas Sr. Page 29 and $2 million in annual sales. But Berger grew it. In Now, Berger owns three truck service, parts, sales, Kinetic St. John Health 2005, after 30 months of negotiations, he added a sec- rental and leasing locations. He has also formed a sub- ond facility in Macomb County. The new location sidiary L.L.C. — Eastern Michigan Leasing, DBA Eastern Kelley Hamilton Page 21 William Wildern Page 30 more than doubled total staff and revenue. Michigan PacLease — operated within the three loca- Detroit Public Television Hydra Professionals L.L.C. “He (Berger) was extremely clever in negotiating tions. and purchasing the Sterling Heights and Dearborn lo- — Christiana Schmitz DETROIT BUSINESS MAIN 09-29-08 A 12,13 CDB 9/26/2008 9:31 AM Page 2

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Leanne Bowen, 35 I’d be in real estate, I would have struction projects such as the laughed,” she said. Hilton Garden Inn and the Wayne Senior project manager The Denn-Co job helped Bowen State University Fitness Center. Jones Lang LaSalle work her way through college, Particularly harried was the Detroit and created her first post-college time in 2006 when she moved Ernst Biggest achievement: Achieving job as the company’s purchasing & Young out of the Comerica Tow- career success in a male-dominat- manager. Despite her family’s ad- er and into One Kennedy Square ed construction industry. vice to be happy with the job she at the same time she was moving Current goal: To eventually take had, Bowen put her résumé out London-based WPP’s local adver- her boss’ job. and landed a job at Detroit-based tising houses out of Comerica Turner Construction Co. Tower and into Dearborn. Leanne Bowen’s career in real And when a job opened in the “It’s like moving from your own estate started when she was a re- Detroit office of Chicago-based house, and there are huge expecta- ceptionist for Denn-Co Construction Jones Lang LaSalle, she went for it tions,” she said. “But you have to Inc., a small Detroit-based drywall and got it within two days. exceed expectations.” contractor. The lesson: Go for the big job. Bowen takes over next year as Once an aspiring journalist, the “People sit around and wait for president of the Commercial Real idea of ascending in a real estate something to fall in their lap, but Estate Women and recently became career entered her mind late in it won’t happen that way,” Bowen accredited under the LEED pro- her college career. And she never household names such as Master- said. gram through the U.S. Green Build- Amal Berry-Brown, 38 would have imagined that she’d Card. As a project manager, she has ing Council. be advising companies with “If someone would have told me had oversight of ground-up con- — Dan Duggan Vice president National Arab and Chaldean American business affairs manager president of finance and treasur- ton-based Waste Management Inc. — Comerica Bank Rick Brockhaus, 38 er, and became the youngest mem- a transaction worth $750 million in Detroit Treasurer and vice president of ber of its board of directors in 1998 when the sale closed, Brock- finance Biggest accomplishment: Berry- 2004. haus recalls. Soave Enterprises L.L.C. Brown joined the bank in 1999 “I’ve always been pretty good “We’ve counseled Soave in sev- Detroit with the mission to grow the with numbers and at analyzing eral (merger-acquisition) transac- bank’s business in the Arab and Biggest achievement: Rising cause-and-effect relationships,” tions, and I’ve noticed when we Chaldean communities. Today, from accounting intern in the he said. need to check certain facts or num- the Warren-Calhoun branch in 1990s to become the youngest-ever Soave reports $1.77 billion in rev- bers, Rick always has them, or Dearborn is Comerica’s top-per- director to serve on the board of enue across its more than 100 hold- knows them,” said Ira Jaffe, found- forming branch of more than 400 Soave Enterprises. ings for 2007 and is on pace to earn ing partner of Detroit-based Jaffe nationwide, based on deposits. Current goal: To continue to grow more than $2 billion in 2008. It em- Raitt Heuer & Weiss P.C. “He doesn’t Current goal: To develop a Sharia- the company and maintain or ex- ploys more than 2,200 people in real often have to send someone chas- compliant line of products and ser- pand its financing relationships estate development firms, bever- ing that information for us.” vices that can enable Muslims to with 15 different banks and lenders age distributors, automotive deal- Brockhaus also said he works at buy homes and fund businesses de- in a very tight credit market. erships, metal recycling compa- growing the company’s largest spite religious proscriptions against nies and luxury transportation banking relationships, and its cus- Laws and rules of governance borrowing and lending, and by do- services. tomers have increased financing may change, but successful busi- ing so expand nationally Comerica’s Though it is still sometimes his- more than 25 percent since early nesses will always need people outreach in the Arab and Chaldean torically associated with waste- 2007. He is also watching closely with math and memory skills. tern at Detroit-based Soave Enter- communities. hauler services, Soave divested it- the national financial crisis for its That may be a factor in the me- prises while attending the Universi- self of waste by turning City impact on the credit market. teoric rise of Rick Brockhaus, ty of Michigan as an undergraduate Amal Berry-Brown has a partic- Management Corp. over to Hous- —Chad Halcom ular understanding of her clients’ who started as an accounting in- in 1991. Brockhaus is now vice needs, many of them immigrants or first-generation Americans. She arrived as a Muslim immigrant in the U.S. at age 5 with her parents and siblings, who were fleeing civ- il war in Lebanon. Her older broth- ers and sisters had arrived first and bought a home on Walwit Street in Dearborn. A short time Attorneys on a MissionTM after their arrival, her parents bought their own house down the street, where they still live. At McDonald Hopkins, we have more than “I learned that in order to suc- 130 legal minds focused on a winning strategy: ceed, one must have their family close by,” said Berry-Brown. “My To help clients achieve their missions. entire family has been extremely supportive. My mother in particu- We take a proactive and cost-effective approach lar has played a significant role in to every challenge to create insightful legal solutions defining who I am and aspire to be.” Berry-Brown was promoted in that work. That is why in our recent survey, we found 2006 to her current title of business that our clients are intensely loyal and confident in us. affairs manager for the Arab and Chaldean communities, with the mission of dramatically growing Your mission is our mission. the bank’s presence nationally while continuing to grow it locally. What began as a 13-member We never lose sight of it. group based in Southeast Michigan has grown to 80, with teams now also in Houston and Los Angeles. Berry-Brown hopes that Sharia- compliant services and products can continue that growth. She heads the committee that will make a request for approval to in- McDonald Hopkins – a full service law firm. stitutionalize Sharia practices and is in the process of capturing data 39533 Woodward Avenue, Suite 318, Bloomfield Hills, MI 48304 • 248.646.5070 regarding the Muslim communi- www.mcdonaldhopkins.com ties in Comerica markets. Berry-Brown recently was Stephen M. Gross named by Gov. Jennifer Granholm Office Managing Member to the Michigan Public Educational Chicago Managing Member Facilities Authority. Chicago • Cleveland • Columbus • Detroit • West Palm Beach — Tom Henderson DETROIT BUSINESS MAIN 09-29-08 A 14 CDB 9/26/2008 9:45 AM Page 1

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Ted Canaday, 35 Elemental specializes in helping companies develop and launch CEO new-media strategies online, such Elemental Detroit L.L.C. as a forthcoming interactive 3-D Troy timeline on the Charles H. Wright Biggest achievement: Turning ex- Museum of African American History’s perience as a musical artist into Web site. launching a media marketing The company also launched in business in 2003. April its own social network Current goal: Growing the compa- geared toward Southeast Michi- ny’s national presence. gan’s creative class: deepcanvas. com. Ted Canaday’s Doing solid credentials as a work and pick- Detroit musician ing up awards and producer — along the way eight Detroit Mu- have helped the sic Awards, per- company contin- forming on the ue to grow in a same stage as crowded indus- Stevie Wonder try, and the cre- and Mos Def, and ativity from his mentions in musical side has Rolling Stone and helped the slide Vanity Fair — into business, are solid. Canaday said. His bona fides His co-founders as a businessman were creative aren’t too far be- people with hind. whom he worked Canaday, who closely in audio plays guitar with and video pro- Detroit hip-hop duction. and soul group Black Bottom Collec- “It was a chance with my part- tive, co-founded new-media mar- ners to take that (creative) think- keting company Elemental Detroit ing to the online environment. L.L.C. in 2003, and last year saw its CEO is a steep one. revenue grow to $1 million from “It’s been a huge transition. I’d $490,000 in 2006. The Troy-based consider myself a self-taught busi- company, whose clients include nessman,” he said. “As a business- Compuware Corp. and Delta Dental, man, I’m responsible to my part- also went from five to 12 employ- ners, clients and employees.” ees in that time. — Bill Shea

Dawndenise Capers, 39 just waiting to burst out.” Capers started in an entry-level Michigan marketing manager position at a marketing firm, work- Diageo North America ing on the operations and manage- White Lake Township ment side, and doing marketing Biggest achievement: Creating a work when she could. When she market for a brand that had no lo- saw a chance to get in on the ground Wayne County congratulates cal market and was perceived as floor of a marketing startup, she unappealing to many customers. took a chance. Assistant County Executive Current goal: To be known for ex- Capers worked her way up the cellence and crushing the competi- marketing food chain to her current Matthew Schenk on being tion. position as Michigan marketing manager for Diageo, a multination- selected as a Crain’s Dawndenise Capers — or “Didi” al spirits, wine and beer company. as she’s often called — is a force to Among Capers’ signal achieve- be reckoned with. ments is the suc- 40 under 40 recipient. She’s the kind cess of a market- of person to ing campaign to whom you can introduce liqueur give a budget and Baileys Irish Cream a directive, sit to Michigan’s Matt, we’re proud of the back and wait for black population. impeccable re- “My first fine work that you do. sults, said Troy thought was, Mercer, a Chica- ‘Wow, Baileys?’ I’ve been in the go-based market- spirits industry ing manager with for a while, and London-based Di- as an African- ageo plc’s North American, it was American divi- not something I’d sion. even consid- The self-deter- ered,” she said. mination Capers Among the brings to her challenges Ca- marketing clients pers faced was is the kind she WILLIAM PUGLIANO Robert A. Ficano overcoming the showed in build- Wayne County Executive ing her own career. incorrect percep- After graduating from Michigan tion some customers had that Bai- State University with a journalism de- leys would cause digestive prob- gree, Capers’ switched gears. lems for blacks, a demographic “I was delivering news rather group more likely to develop lactose than making news and shaking intolerance. Capers said she knew things up,” she said. “I wanted to she’d found the recipe for success You’re simply the best! tap other skills and get into a differ- when one Baileys-sponsored event ent field, and that led me to market- had a line out the door before 9 p.m. ing because my creative side was — Nancy Kaffer DETROIT BUSINESS MAIN 09-29-08 A 14,15 CDB 9/26/2008 9:30 AM Page 2

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Heather Carmona, 39 has been able to pursue increased economic development, tourism de- Executive director velopment, heritage-historic pro- Woodward Avenue Action gramming, and physical improve- Association ments across the communities Royal Oak bordering Woodward. Biggest achievement: Bringing The association’s revenue has in- new funding to the region and ad- creased from $146,000 in 1999 to vocating for change efforts — like $258,815 in 2007 and $692,000 this mass transit. year. She expanded the associa- Current goal: Creating and main- tion’s staff and its board to include a taining a regional welcome center broader mix of businesses. on Woodward Av- Carmona has enue and build- convened busi- ing the Wood- nesses, nonprof- ward Tribute its, neighborhood public art effort. associations, and municipal lead- Heather Car- ers at the same mona is working table, and she’s to promote re- forged new part- Saluting the gionalism along nerships between the Woodward accomplishments with other orga- corridor. nizations such as She took the the Michigan De- helm of the Wood- partment of Trans- that make a healthier ward Avenue Action portation, Detroit Association in Metro Convention community 1999. She’s & Visitors Bureau, brought new re- Cultural Alliance of sources to the as- Southeastern sociation and di- Michigan and De- Henry Ford Health System congratulates Rita Fields, our vice president of versified funding troit Renaissance. with new foundation grants, in- Now Carmona is seeking to iden- Talent and Workforce Strategies at Henry Ford West Bloomfield Hospital, for cluding $35,000 each from the Com- tify a location, partners and an esti- being named one of Crain’s Detroit Business’ 40 Under 40. We applaud your munity Foundation for Southeast mated $2.5 million to open a Wood- professional achievements and honor your devotion to strengthening our Michigan and the General Motors ward Welcome Center. Foundation, and $4 million in Fed- To further put her advocacy tal- health system, as well as the community. eral National Scenic Byway fund- ents to work, Carmona launched Rita Fields ing since 2002 when the Woodward purealternatives.net, an organic Vice President, & corridor got National Scenic By- wellness consulting and advocacy Talent Workforce Strategies Henry Ford West Bloomfield Hospital way designation. company and Web site. With the funding, the association — Sherri Begin

Francoise Colpron, 38 Colpron joined the company in 1998, working in Paris as a legal di- National director, North America rector, where she oversaw details Valeo of deals with customers and part- Troy ners in Europe, Asia, North Amer- Biggest accomplishment: Leading ica and South America. the North and South American le- In 2005, Colpron was promoted gal departments of auto supplier to deputy general counsel, where Valeo, in addition to being named she was responsible for legal af- national director, the company’s fairs in North and South America, top post in North America. which includes more than 11,000 Current goal: Increasing North employees and 38 locations. American sales. The company is looking at strengthening its presence in When you’re working through North America, both through part- complex le- nerships and organic gal issues on growth, even as the an interna- market faces its tional stage, share of turbulence. sometimes She said the goal is to things can increase sales in Congratulations get lost in North America to 20 translation. percent of the compa- But Fran- ny’s global sales to- coise Col- tal, up from a current pron comes 15 percent. “We’re al- Marie Galindo! ready for the ways interested in communica- any opportunities,” tion chal- she said. lenge: She For example, Col- speaks pron represented the French, company in sorting We are very proud of your Spanish and out the legal details English. of a joint venture Her lan- between Valeo and guage skills Chinese carmaker Crain’s 40 under 40 recognition carried her and Valeo through the FAWER. The venture, now called complex international negotia- FAW Valeo Climate Control, involved tions surrounding various busi- Japanese, German and French ness deals. partners because of the different Colpron’s 15 years of experience controlling interests. as a commercial lawyer working Her experiences have prepared across the globe prepared her for her for her current role — leading her current role as Valeo’s top ex- Valeo’s North American business Ann Arbor Bloomfield Hills Boca Raton Detroit Holland Lansing New York Palm Beach Washington D.C. ecutive in North America. She is unit, which posted an estimated Alliance Offices Beijing Shanghai Mexico City Monterrey Member Lex Mundi 313 225 7000 www.butzel.com the first woman in her company to $1.8 billion in revenue in 2007. be national director. — Ryan Beene DETROIT BUSINESS MAIN 09-29-08 A 16,17 CDB 9/26/2008 9:28 AM Page 1

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Laura Covintree, 39 to the envelopes and requests for donations Antoine Dubeauclard, 35 changing ideas with people all over the and still are sending in donations from last world.” Chief development officer year’s campaign, Covintree said. President Today, he’s co-owner of Media Genesis Lighthouse of Oakland County The effort has brought in more than Media Genesis Inc. Inc., a growing company that creates Pontiac $125,000 in donations, up from $65,000 the Troy Web sites in metro Detroit for a wide Biggest achievement: Increasing the individ- year before. Biggest achievement: Overseeing a 50 spectrum of clients that ranges from ual giving revenue stream at Lighthouse to Cultivating a similar, personal relationship percent, on average, growth rate in the Chrysler L.L.C. to The Whitney. $700,000 this year from $200,000. with volunteers has helped bring in more and online and Detroit auto sectors. “We have a range of clients that are Current goal: To integrate increase the time they give Current goal: Grow- the usual automotive social networking into the to Lighthouse of Oakland ing the company’s na- manufacturing, a lot of organization’s volunteer re- County and its clients. tional business. clients that are retail- source department. In fiscal 2006, before Cov- focused or nonprofit, a intree joined Lighthouse, it The online universe lot of law firms,” he Since joining Lighthouse valued its volunteer hours at of the 1980s bore little said. “We help busi- just over two years ago, Lau- just over $26,000, but it did resemblance to the in- nesses figure out how to be more effective with ra Covintree has worked to not track how many volun- formation superhigh- Web technology. make the nonprofit’s rela- teers it had. way of today. Dubeauclard, who tionships with donors and Covintree counts each vol- No spam. No was born in Canada and volunteers more personal unteer and can tell you that Google. No MySpace. raised in France before and more fruitful. last year Lighthouse had Rather than a super- moving to Michigan She’d had some experi- 1,255 people donating more highway, it was akin and graduating with a ence in the endeavor, hav- than 24,000 hours valued at to a muddy cart path literature and creative ing worked at the St. Vincent nearly $445,000. traveled by online pio- writing degree from the & Sarah Fisher Center as de- Covintree has instituted neers. University of Michigan, velopment director for five simple things such as Antoine began his career as a years, and before that at St. making sure the agency’s Dubeauclard was one salesman for Media Joseph Mercy Hospital as ma- volunteer application is on- of those trailblazers. Genesis in 1997, a year jor gifts coordinator. line, posting opportunities As a teenager 20 years after the company was At Lighthouse, Covintree on volunteermatch.org — a ago, he was program- founded. has changed business as usual. Web site that matches volunteer opportuni- ming code to develop rudimentary dial- By 2001, he owned half the company. She began by personalizing the agency’s di- ties with potential volunteers — and begin- up text-based sites called multiuser dun- With a roster of high-profile clients rect mail brochures asking for support — to ning to build more personal relationships geons, a sort of “World of Warcraft” and a portfolio of cutting-edge work, the show donors exactly what their dollars will with volunteers. For example, they are includ- without graphics or millions of players. company has seen growth in an age of support. ed in e-mailed newsletters, and receive e-mail He also oversaw a cadre of other young cutbacks. This year, the company, which By telling donors that their $100 donations, blasts and birthday cards. programmers working on the same pro- has 65 employees, expects to hit $8 mil- for example, could help furnish a person’s At Covintree’s urging, volunteers and ject. lion in revenue and has averaged 50 per- apartment, that donor feels a part of some- donors now get thank you calls from the He first began computer programming cent annual growth for several years, thing, Covintree said. agency’s CEO and board members. at age 7. Dubeauclard said. She also pushed the nonprofit’s end-of-year “We’re not just contacting them when we “I was an early adopter, you could “More and more people realize we are campaign back to October to give potential need something,” Covintree said. say,” Dubeauclard said. “For me, it was donors more time to respond. People hang on — Sherri Begin amazing I could be speaking and ex- See Dubeauclard, Page 17 DETROIT BUSINESS MAIN 09-29-08 A 16,17 CDB 9/25/2008 1:22 PM Page 2

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Rita Fields, 35 school and going to college. Her ca- executives. reer took off, and she still makes Fields found that the process Vice president of talent and education a priority. sometimes ground to a halt be- workforce strategies “What I love about my job now cause scheduling a physical, wait- Henry Ford West Bloomfield is learning. I soak it up like a Discover Hospital ing for tests to come back and sponge,” she said. “It is the key to Henry Ford Health System bringing candidates back in for ad- freedom in a lot of ways.” ditional information took up to the leader in you, Detroit Hired in March to oversee re- four weeks. like Jesse Berger. Biggest accomplishment: Study- cruiting at Henry Ford’s newest “We cross-trained (human-re- ing for a doctorate in management hospital, which is opening in sources employees) and took out while blending in 70-hour work March, Fields has developed sever- Congratulations to Jesse Berger, some steps and we have it down to weeks. al innovative approaches to hiring seven to 10 days,” Fields said. President of Current goal: To hire 1,600 people some 1,600 employees. Overall, the entire time it takes Eastern Michigan Kenworth, Inc. to open Henry Ford West Bloom- “We are developing a place for a person from when they apply on being named to field Hospital by March 2009. where patients and employees can to their first day at work is 30 live out their Crain’s 40 Under 40. Rita Fields rose dream,” Fields days, although some positions through the ranks said. “We are must be filled in less than 14 days, with such titles as getting the she said. headhunter, tech- fruits of our ef- Still pursuing her individual nical recruiter, forts returned dreams, Fields is back at school and senior physi- to us.” again. A year ago, she started cian recruiter to One of the work toward earning her doctor- her current posi- paradigm shifts ate of management in executive tion of vice presi- Fields accom- leadership. dent of talent and plished was to “I go to Walsh College (Novi). It is www.northwood.edu workforce strate- overhaul the incredibly demanding. I have so gies at Henry Ford system’s re- much work to do. The only place I West Bloomfield cruiting and re- don’t bring my BlackBerry is to Hospital. tention church,” she said. She’s always process. — Jay Greene brought a positive “We added a and vibrant atti- lean process tude to her work. borrowed from But success was the auto indus- far from automatic try to our re- for Fields. She faced enormous cruiting and hiring that wrings personal obstacles when she was out the waste in the system and young. helps us attract the very best can- “I was a high school dropout didates possible,” she said. when I was 17. I was homeless and After candidates apply online, a pregnant,” Fields said. “It has cre- software program screens people ated a real passion for education out who do not meet the minimum and community involvement.” requirements. People fitting the After a year on the streets, bill are then selected for struc- Fields decided to pursue her child- tured interviews, which range hood dream of finishing high from 30 minutes to two hours for

Saylor Frase, 33 President Nuspire Corp. Commerce Township Biggest accomplishment: Growing Nuspire, which provides managed network security, from four em- ployees and no revenue in 1999 to nearly 40 employees and projected revenue this year of more than $7 million, with clients including General Motors Corp. and Fox Net- works. Current goal: To continue diversi- fying from the auto industry into the retail and financial-services industries, with a five-year plan to grow Nuspire into a company with revenue of $100 million. WILLIAM PUGLIANO earth science. Before graduating Saylor Frase got the entrepre- in 1998, he founded a boutique neurial bug in college at Central computer programming company, Michigan University, where he ma- selling it in 1999 after meeting his jored in computer science and See Frase, Page 18

Dubeauclard: Self-taught ■ From Page 16

the ones you go to for this kind of part of the technological surge work,” he said. that changed the way mankind So how does a lit-writing major communicated. And just as he be- get from The Iliad to the Internet? gan managing other program- “The medium really started de- mers as a teenager, he does so to- veloping when I got out of college day. in the mid-1990s,” he said. “You “I love (programming). I spent couldn’t major in what I was do- hours a day doing it,” he said. “But ing. They just didn’t teach it.” I liked the human element more.” So, he taught himself, and was — Bill Shea DETROIT BUSINESS MAIN 09-29-08 A 18,19 CDB 9/25/2008 1:20 PM Page 1

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Scott French, 39 In 2004, French was sent to Eu- that experience was watching the rope to lead the turnaround of team grow and gain confidence as Vice president of global metals Lear’s interiors operations. The di- the turnaround plan gained mo- Lear Corp. vision lost about $38 million that mentum and ultimately succeed- Southfield year and had about 10,000 quality ed,” he said. Biggest accomplishment: Lead- problems per million components French’s track record ultimate- ing the financial turnaround of made — dreadful by industry stan- ly led him to be one of the youngest Lear’s money-losing European in- dards. of Lear’s top leaders in the compa- teriors operations in 2004-2005, im- French and his management ny’s automotive seat business proving product quality and earn- team put a plan in place that in 18 when he was promoted to his cur- ing $175 million in new business. months swung the division into rent position last February. Current goal: Profitably growing the black. It posted net income of Lou Salvatore, Lear senior vice Lear’s global metals business unit. more than $3 million, a $40 million president and president of the boost to operating income and dra- company’s global seating systems, As vice president of Lear Corp.’s matically improved quality to 19 promoted French to his current $934 million global metals busi- problems per million. French said role. ness, Scott French has to travel that besides the tangible results, “He’s an up-and-comer; he’s go- the world to find the lowest-cost the turnaround gave a chance for ing to be a very, very senior leader metals available. individuals to shine. in the industry,” he said. He’s used to working abroad. “The most memorable aspect of — Ryan Beene Matt Friedman, 37 Partner

© Tanner Friedman 08Nrhr rs Corporation. Trust Northern 2008 Farmington Hills Greatest achievement: Launching own firm, netting a wide range of contracts and building a success- ful business in just under two years. Current goal: To continue to grow the business, with Tanner Fried- man recognized as the most re- spected firm of its kind in the Mid- west by 2012.

Matt Friedman thinks big. Not content with a successful ca- reer in broadcast journalism, Friedman joined a large metro De- troit public-relations firm. Not See Friedman, Page 19

Frase: Was inspired ■ From Page 17

current partner, Steve Whitener. They had talked about computer networking and how in the coming IDEAL EXPENDITURE OF ENERGY years the Internet would be used to on family business transport massive amounts of data and to do so would require strong- ly managed, secure network ser- vices. The company had $6 million in revenue last year, and in the last year has added 10 employees. If worrying about plans to expand in Europe work company’s future out — Frase spent a month there this summer working on possible mentoring company’s deals — that employee total could future CEO climb rapidly. Another boon to employment? The InkSpot Inc. shops, which added 100 new locations in the last year. Nuspire manages its store You want to keep the family business in the family. And, like your family, you want it to prosper. At Northern Trust we network. Frase says he took his inspira- bring a collaborative, integrated wealth management approach to both your business and personal needs. Helping tion from his grandfather, John you maximize assets by offering expertise in everything from liquidity management to multi-generational planning Humphrey, who is now 86. His strategies. And allowing you to focus on what really matters: growing your business and the next generation of grandfather owned three H&O su- management. To learn more, call Northern Trust or visit northerntrust.com. permarkets: in Dearborn, Ham- tramck and Detroit. Frase as a boy • • • • Bloomfield Hills Daniel Pienta 248-593-9212 Grosse Pointe Farms Marita Grobbel 313-881-1065 would visit his grandfather at his cabin up north, where he’d make money doing odd jobs around the property, such as helping plow the garden or pulling out a stump. “After receiving the money, I would proclaim that I was rich,” Private Banking | Investment Management | Financial Planning | Trust & Estate Services | Business Banking said Frase. “My grandfather would always say, ‘You’ll never be rich working for someone else.’ ” — Tom Henderson DETROIT BUSINESS MAIN 09-29-08 A 18,19 CDB 9/25/2008 2:05 PM Page 2

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Marie Galindo, 35 It’s become a leading professional organization for the members of the Friedman: Thinks big Special legal consultant automotive industry, the major Butzel Long growth area in Mexico. ■ From Page 18 Detroit Fluency in German, French and content with a successful PR all facets of the business,” he Biggest accomplishment: Develop- Italian — as well as English and career in someone else’s firm, said. “Being able to create a ing the law firm’s Mexico practice Spanish — has aided Galindo in in- he founded his own. culture from scratch has been and helping to establish successful terpreting and clarifying regula- Just two years later, Tan- a very fulfilling experience.” businesses in South tions, sophisticat- ner Friedman has become a Not content simply to run America. ed free trade household name in metro De- his own firm — Friedman pro- Current goal: To agreements and troit’s marketing-savvy cir- jects $1.2 million in revenue develop in Detroit other internation- cles. for 2008 — community service the fifth North al transactions for “When (partner) Don Tan- clients so they can is an important part of his American incuba- ner and I started the firm, we take part in global life. tor funded by the decided to take the advice trading. Recently named the Detroit U.S.-Mexican Founda- we’d been giving our own Galindo also is Regional Chamber’s volunteer tion for Science. This clients — networking and vis- helps certified tier- very active in Tech- of the year, Friedman dedi- ibility are important,” he two and tier-three nology Business Ac- cates time to such organiza- said. “It has proven to be good Mexican companies celeration-Michigan tions as DMC-Children’s Hospi- advice. You hear stories in establish and grow (Tech-BA). It’s a the PR business all the time Michael George II, 36 tal of Michigan, Yatooma’s businesses in program that uses about the cobbler’s kids who President Foundation for the Kids and the Southeast Michi- seminars, work- have no shoes. We didn’t want Hispanic Business Alliance, to gan. shops and a net- George Enterprises that to happen to us.” name a few. work of consul- Farmington Hills Friedman wanted to strike “I wanted to help,” he said. As the only li- tants, mentors and Biggest achievement: Diversify- out on his own for many rea- “It isn’t just all business.” censed-in-Mexico experts who assist ing the family business and suc- sons, among them continuing The value of community attorney in Michi- companies under- cessfully establishing Six Degrees a four-generation family his- services is something Fried- gan certified by the stand the complex- magazine in four U.S. cities. tory of business ownership State Bar of Michigan to advise on ities of doing business in Michigan. Current goal: To place Six Degrees and taking a more hands-on man learned at home. Mexican law, Marie Galindo and The mostly small automotive-relat- in 10 cities and grow the magazine role in his career. Both Fried- “There’s a long history in her law firm have become key busi- ed businesses get technical, manager- to $12 million in advertising sales man and Tanner left positions my family in terms of service ness liaisons here for the Mexican ial and financial assistance from annually in three years. at Marx Layne & Co., also in to this community, and it’s government. Tech-BA to help them find potential Farmington Hills, to start important to me,” he said. “I Michael George II, the youngest Galindo also helped established partners and clients and to compete their firm. was raised with that. It’s very of five brothers, is not overshad- Apromex, the largest association of internationally. “One of the reasons I was fulfilling to be able to con- owed by the accomplishments of Mexican professionals outside of Galindo also seeks to expand Red tribute to an organization and his family. The namesake of one of really interested in having her home country, and serves as ad- de Talentos, a worldwide network the area’s prominent families is my own firm, as opposed to receive something other than ministrative vice president and le- linking Mexican professional talent taking his turn at the reins. being a partner in a bigger a paycheck in return.” gal representative to this Association back to their homeland. firm, was to be able to touch — Nancy Kaffer of Mexican Professionals in Michigan. — Robert Ankeny See George, Page 20 DETROIT BUSINESS MAIN 09-29-08 A 20,21 CDB 9/25/2008 2:07 PM Page 1

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Lisa Grosso, 34 “We were working really, really hard, and when you’re working Vice president and director of sales that hard, it’s the American dream and marketing to do it for yourself,” she said. “So Kinetic we decided to take that leap of Southfield faith.” Biggest achievement: Founding For the first three months, Kinetic with her partners and Grosso and her partners worked growing the business from five em- 17-hour days, sans paycheck. “We ployees to 16. worked on sweat equity,” she said. Current goal: Become the creative Grosso knew the business would media resource for metro Detroit be a success seven months in, and beyond, double annual when Kinetic billings within landed a job for Foley congratulates Terence A. Thomas, Sr., two years and post-production make Kinetic a of the Ford Motor Chief Advocacy Officer of St. John Health, role model for Co. centennial good business. materials. for being selected as one of Crain’s 40 Under 40. “We won all of Lisa Grosso, the it,” she said. “We vice president and won the entire director of sales job, and for such and marketing for a small company Kinetic, a film, to take on that video and audio amount of na- For more information about Foley, please contact Nicole Y. Lamb-Hale in post-production our Detroit office at [email protected]. tionally recog- firm, graduated nized work …” from Wayne State Grosso’s University with a charge is creat- Foley.com degree in crimi- ing a bridge be- nal justice. tween Kinetic’s But before the potential clients ink was dry on and talented cre- her diploma, she’d discovered an- ative team — after all, she notes, other love. the most adept creative team isn’t During college, Grosso worked as successful if the jobs don’t come in. an on-set production assistant. Her These days, Kinetic is certainly first post-collegiate job was as a re- BOSTON • BRUSSELS • CENTURY CITY • CHICAGO • DETROIT • JACKSONVILLE • LOS ANGELES • MADISON • MIAMI • bringing in work — annual rev- ceptionist at Farmington Hills- MILWAUKEE • NEW YORK • ORLANDO • SACRAMENTO • SAN DIEGO • SAN DIEGO/DEL MAR • SAN FRANCISCO • SHANGHAI • enue is about $3 million, and the based production and post-produc- SILICON VALLEY • TALLAHASSEE • TAMPA • TOKYO • WASHINGTON, D.C. shop’s credits include a contract tion firm Grace & Wild Inc., the with cable channel Nickelodeon’s largest full-service creative techni- ©2008 Foley & Lardner LLP preschool hit, “The Wonder Pets!” cal firm in the Midwest. The company’s success is grati- “I really enjoyed it from the very beginning, all the aspects of the job, fying and bodes well for Detroit. from production to post-produc- “A very strong goal is to have tion,” she said. “I learned as much the rest of the country recognize as I possibly could, and I really en- Detroit as the creative mecca that joyed the behind-the-scenes post- it is,” she said. “Once (a Detroit production aspect of advertising.” firm) has their name roll in the In 2002, Grosso and four other credits of a show that’s national, post-production professionals de- that’s a big ‘atta boy’ for Detroit.” cided to start their own firm. — Nancy Kaffer

George: Publishing ■ From Page 19 “My father provided me with George, his family and partners, re- CONGRATULATIONS the tools and guidance to be able to cently patented a cleaner that re- handle the tough decisions that I moves and kills black mold spores. have to make on the daily basis,” The food-based disinfectant, which TO said George. “My brothers have is healthier than bleach, can be given me the support, trust and used to sanitize hospitals. JOHN LESSER! strength to guide their businesses George still dabbles in the food now and in the future.” industry by using resources to de- The George family is known for velop Health Treat, a process that ties to food products and brands removes cholesterol from food by such as Melody Farms Dairy, Stroh’s using separators to modify fat Ice Cream and Pioneer Snacks. The found in dairy products. Another family sold its food businesses to business called Lifestyle Brand Man- Dallas-based Dean Food Co. in 2003. agement, a manufacturing repre- George has taken George Enterpris- sentative company, was formed to es into other industries to diversify. market and sell Motley Bird ener- George’s most recent project is gy drink and other products. Six Degrees magazine, a pocket- George is also the president of sized publication that provides en- tertainment information of life Michael J. George Charity, named af- and culture in various cities. In its ter his father for his years of work third year, the magazine is geared in the community. The charity tar- PMFA salutes our colleague John Lesser and his fellow toward young professionals “seek- gets terminal diseases, education “40 Under 40” designees. Your hard work and proven ing the finer things in life.” and poverty. The foundation gives leadership mean outstanding service for our clients “The word ‘luxury’ has come a and raises money for other every day. We are all proud of your accomplishments! long way,” said George. “Now luxu- 501(c)(3) organizations. —The PMFA Team THRIVE. ry is more affordable and Six De- George holds a bachelor’s de- grees is bringing people to that gree in marketing from the Univer- To learn more, visit pmfa.com. lifestyle.” sity of Michigan and a master’s de- Six Degrees can be found in Mia- gree in finance from Wayne State mi, Atlanta, Detroit and Las Vegas. University. Urth Tech, a company formed by — Bernadine Stallings DETROIT BUSINESS MAIN 09-29-08 A 20,21 CDB 9/25/2008 2:08 PM Page 2

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Kelley Hamilton, 37 national trend of declining mem- bership, she said. Vice president of development Hamilton assumed responsibili- Detroit Public Television ty for heading the station’s $22 mil- Wixom lion capital campaign a year ago Biggest achievement: Creating when it stalled after raising about one of the most successful individ- $12 million. The Detroit Area Pre-College Engineering ual giving programs among PBS Since then, she has successfully Program (DAPCEP) would like to recognize our stations around the U.S. garnered a $1.25 million challenge Sponsoring Organizations for their continuous Current goal: To raise the final grant from the Kresge Foundation support of Metropolitan Detroit Youth and $3.6 million needed to receive a and another $5 million by shifting Science, Technology, Engineering and $1.25 million challenge grant from the focus of the campaign from the the Kresge Foundation and close out station’s new Wixom building, Mathematics education. the station’s $22 million capital which had been paid off, to new Your support enables DAPCEP to excite campaign. programming areas. Those in- and motivate the next clude children and education, arts generation of technology For more It took Kelley Hamilton only six and culture, energy and environ- workers. information, years to move from memberships ment, health and safety and leader- please visit manager at Detroit Public Television ship. www.dapcep.org in 1996 to vice president of develop- Hamilton also helps run the sta- List of Corporate Sponsors at time of print: costs to raise money when revenue ment. tion’s “Kids’ Club,” a membership Corporate Partners declined. • Dow Corning Corporation University Partners As head of development, Hamil- club for donors which produces • 3M Foundation • Exam Experts Hamilton is tapping the Inter- • Lawrence Technological ton today is in charge of raising special activities and educational • Alcoa Foundation • The Herbert H. & Grace A. Dow University net to bring in more money for • Automation Alley Foundation about 60 percent of the station’s projects aimed at children and • Michigan State University DPTV, through things such as a • Bank One / JPMorgan Chase • DTE Energy Foundation revenue, or $9 million annually, more general audience program- • Michigan Technological University • Black United Fund of Michigan • Ford Motor Company through on-air and online pledge “box office” on the station’s Web ming on issues related to them. • Oakland University • Blue Cross Blue Shield of • General Motors Corporation drives, direct-mail campaigns and site, www.dptv.org, which offers In that role, she became host of • University of Detroit Mercy Michigan • Rollin M. Gerstacker Foundation grant proposals to foundations. tickets to local events donated to a half-hour show on Detroit Public • University of Michigan - Ann • City of Detroit Block Grant • Himmel Foundation Arbor She’s headed efforts that have the station for a set pledge amount. Television, “Get Up, Get Out,” a • Charles J. Strosacker • The John S. and James L. Knight • University of Michigan - Dearborn brought in at least 60 percent of to- Under her leadership, the sta- weekly series that encourages Foundation Foundation • Wayne State University tal revenue each of the past eight tion has been able to keep its mem- children to engage in outdoor ac- • Charlotte R. Schmidlapp Fund • Michigan Space Grant Consortium years — and cut fundraising ex- bership consistent over the past tivities. • Chrysler Corporation • National Science Foundation penses to keep down the station’s three years, at 68,000, bucking a — Sherri Begin • Comerica Bank (NSF) • Compuware • Nissan USA • Denso International America, Inc. • Tabernacle Missionary Baptist • Detroit Public Schools Church • Detroit Regional Chamber • The Skillman Foundation Amin Irving, 31 John Lesser, 39 • Detroit Youth Foundation • State of Michigan • Dow Chemical Company • Tiger Woods Foundation President Partner • Dow Chemical Co. - Dow Promise • Visteon Corporation Ginosko Development Co. Plante Moran Financial Advisors Milford Auburn Hills Biggest achievement: Deciding to leave investment Biggest accomplishment: Growing a financial adviso- banking in New York City at age 22 without job leads ry business for Plante & Moran P.L.L.C’s wealthier tax in Michigan. Created a development company to own clients from a staff of five with $500,000 in revenue to a and/or manage affordable housing. staff of 22 with $7.3 million in revenue. Current goal: To create diversity in revenue streams Current goal: To replicate the wealth management and increase efficiency of business processes to reach model across Plante & Moran’s footprint. In the next 50 percent revenue growth and retained earnings for year, he will spend a lot of time in the firm’s offices in the next three years. Ohio and Illinois, and expects to add $1 million in rev- enue from those operations in 2009. Amin Irving’s Milford-based Ginosko Development Co. has grown revenue from just over $1.1 million af- John Lesser said he got good advice from a mentor ter its founding in 2002 to more than $5.1 million last early in his career that what the CEO and COO want year. from a CFO isn’t numbers — it’s what the numbers Among Ginosko’s deals has been New Center mean. And he tries to apply that to his role overseeing Pavilion, a 71- wealth manage- unit Detroit ment for clients. apartment He and his building that team get to know used $3.5 mil- clients, what lion in tax cred- their goals are its and also is and what invest- seeking a $1 mil- ment models are lion Detroit most appropri- Home Funds ate. grant. When he Other pro- joined Plante & jects have in- Moran P.L.L.C. in clude Willow 1996, the firm Vista, a 52-unit served the in- complex in vestment needs Lansing; of its ultra- Northville wealthy clients Farms, with 525 with a staff of units; and five and was con- Spring Lake Village in Pontiac, a 250-unit project. sidered something of an afterthought. Lesser asked if He also has done two 100-unit HUD Section 8 pro- he could roll out what he called a CFO model, offering jects in Chicago, Springgrove Tower and Parkview a full range of financial advice and wealth manage- Tower, and Springview Tower in Battle Creek. He ment services. His bosses, he said, told him to go currently works on Devon Square Apartments in Fer- ahead, that he’d either be very successful, or would ndale, a joint venture with Brighton-based Unified crash and burn in grand style. Property Group L.L.C. The business takes a holistic approach, involving Irving holds a bachelor of business administration investment consulting, estate planning, trust services, in finance and real estate from the University of Michi- insurance consulting, philanthropic advice and in- gan’s Stephen M. Ross School of Business. His work in come tax planning. “I particularly enjoy educating sec- New York for Citigroup’s real estate equity division in- ond-, third- and fourth-generation family members cluded financial analyses for sale-leaseback and syn- and watching them become financially responsible thetic lease deals of more than $450 million that in- business leaders,” he said. cluded work for Huntington Bank and Samsung Lesser has put his skill with numbers to good use in properties. other ways: He has been treasurer of the Macomb Sym- Irving has served on the board of FLECS Inc. (Fi- phony Orchestra for four years and chairman of the zon- nancially Liberated Extra Curricular Students). ing appeals board in Sterling Heights for five years. — Robert Ankeny — Tom Henderson DETROIT BUSINESS MAIN 09-29-08 A 22,23 CDB 9/25/2008 3:24 PM Page 1

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Jeff Luckoff, 39 manager. And most of that is new spending, not revenue drawn from General sales manager competing stations, he said. WJLB 97.9 FM, WMXD 92.3 FM “We’re not just trading dollars,” Clear Channel Radio Inc. he said. Farmington Hills His goal now is to boost the total Biggest achievement: Expanded dollars in the 22-station market radio advertising share targeting from about 17 percent aimed at blacks at his stations by 30 per- black listeners to about 22 percent. cent. Total annual Current goal: spending on ra- VN.Efbscpso!tbmvuft!Bmvnob!Bnbm!Cfssz.Cspxo!)Õ:8* Further increase dio advertising the share of radio in Detroit is po!cfjoh!obnfe!pof!pg!DsbjoÖt!51!Voefs!51/ advertising tar- about $200 mil- geting blacks. lion, he said. While radio ad Radio and ad- spending has vertising run been in the de- deep in Jeff Luck- cline here, about off’s genes. 10 percent a His father runs year, he said, the a pair of stations dollars targeted in San Francisco. to the black audi- His late grandfa- ence has poten- ther and late un- tial to grow. cle ran an adver- “It’s a viable tising agency in consumer (ad- Dpohsbuvmbujpot!up!bmm!pg!Nfusp!EfuspjuÖt!Mfbefst!boe!Cftu/ Detroit, L.H. Luck- vertisers have) off and Co. been ignoring Today, Luckoff and not inviting is in charge of sales for Detroit’s in their business. They were leading radio stations aimed at spending in Detroit, but not on black audiences, WJLB 97.9 FM and African-American stations,” Luck- WMXD 92.3 FM, both owned by off said. “People need (radio) more Clear Channel Radio Inc. than ever. Businesses that just The stations ranked No. 6 and used to open their doors now need No. 8 in the Detroit market by rev- to advertise.” enue in this year’s Crain’s Book of A California native, but a third- umd.umich.edu Lists, and have a combined rev- generation University of Michigan enue of about $25 million. Luckoff graduate, Luckoff was eventually wants to improve not only those lured back to the region because of rankings, but the amount of radio family ties, and he has thrived. advertising dollars spent targeting “When I had a chance to move to the black audience in the entire Detroit, I jumped at it,” said Luck- market — an audience he believes off, the president-elect of the De- is largely untapped by advertisers. troit Radio Advertising Group. “I have For his stations, he’s boosted a lot of family history here. I love black-targeted ad sales from $33 the passion the listeners have for million to about $43 million during the radio stations.” his three years as general sales — Bill Shea

Christian Lupo, 39 processes for the aerospace, auto- motive, medical devices and General manager telecommunications industries. NSF International Strategic In 2004, concurrent with enter- Registrations ing the MBA program at the Univer- Ann Arbor sity of Michigan, Lupo was promot- Biggest achievement: Increasing ed to general manager of NSF NSF ISR’s revenue by 30 percent International Strategic Registra- The Holiday Party since 2004 by improving opera- tions. tions and establishing a presence The following year, he helped in- that will go down in Europe, South America and tegrate the opera- Asia. tions of Deloitte in history. Current goal: Quality Registra- To sustain the tions, following We invite you to write your growth by diver- NSF’s purchase own chapter of history at a sifying into high- of the Windsor- growth areas based unit of De- place where legends have such as green- loitte & Touche walked. A place so revered, house gas verifi- L.L.P. cation while look- Today Lupo so treasured, it was ing for other oversees the NSF honored as “Best Holiday acquisition op- ISR’s sales, mar- portunities. keting and field Venue” by the Michigan staff and revenue Meetings and Events Best Christian of $21 million. Lupo is oversee- Last year, of Industry Awards in 2008. ing a budding Lupo helped es- business for Ann tablish a joint Arbor-based NSF venture in China Henry Ford Museum® International Inc. before complet- Lovett Hall He joined NSF ing his MBA. in 1999 as a northeastern U.S. sales In addition to hunting for other Greenfield Village® representative based in Auburn, international acquisition opportu- Ford Rouge Factory Tour N.Y. nities, Lupo is overseeing develop- Two years later, he moved to its ment of the division’s greenhouse Ann Arbor office to become techni- verifications services. This would 313.982.6220 cal manager, overseeing internal accredit corporate claims of re- processes and international and moval or reduction of gases so www.TheHenryFord.org/privateevents accreditation requirements for clients can qualify for incentives. staff. He also developed auditing — Sherri Begin DETROIT BUSINESS MAIN 09-29-08 A 22,23 CDB 9/24/2008 1:21 PM Page 2

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Kristina Marshall, 31 As a high school senior in 1994, posed to the founder of Winning Marshall was among the first Futures that she’d like to come President and CEO group of high school seniors from home and lead the program. She Mentoring Solutions, dba Winning Warren Mott High School to go took the reins of the nonprofit at Futures through Winning Futures’ pro- age 21 in 1998. Warren gram to help students define and Since then, she’s expanded the Biggest achievement: Increasing achieve personal success. program beyond one high school the number of students served She was awarded a scholar- in Warren to offer those personal last year to 500 from 75 in 2004 — ship from Winning Futures and growth services to 15,000 elemen- went to Michigan Technological Uni- after funding cuts — by diversify- tary through high school students versity for environmental engi- ing funding sources, expanding to throughout metro Detroit. neering, initially. When Marshall first started in additional school districts and But during college, Marshall 1998, the organization served 500 implementing a consulting divi- realized what she really wanted students. A year later, she in- sion. to do was lead Winning Futures creased the number of children Current goal: To market Win- and help give other youths the life served by the agency to 1,000 kids ning Futures’ Five-Year Planning skills they needed to be success- in mentoring programs and moti- Student Workbooks and training ful. vational assemblies. manuals on a national scale She switched majors to busi- WILLIAM PUGLIANO through an online store. ness administration and pro- See Marshall, Page 24 James Maher, 36 President Maher Restoration and Construction Co. Walled Lake Biggest achievement: Steadily growing the business in a strug- gling economy. Current goal: Maintaining a bal- ance of work, community volun- teering and family.

As a youngster growing up in a family of small-business owners, James Maher always dreamed about opening up his own busi- ness. So in 2003 he founded Maher Restoration and Construction Co. in Walled Lake. Maher Construction NGRATS has two primary business lines: re- modeling and insurance restora- tion. Maher said the company’s motto is: “If anything happens, just call Maher.” Moreover, each truck sports a sign: “Maher Makes It Happen.” “We have a large passion for the insurance restoration side of our business. When people have an emergency at their home (fire or flood), we are first on the scene. We are there to help individuals out and let them know everything is OK.” For example, in February, a family was vacationing when a wa- ter line broke in their 4,800-square- foot, three-story house in White Lake Township. “It flooded from top to bottom,” Maher said. “We had to remove 80,000 gallons of water, packed up all the belongings and dried every- ! T#OMERICA"ANK WESALUTE thing out.” TO A RISING Maher said full restoration of !MAL"ERRY "ROWNFORBEING the house took two-and-a-half months. STAR. ONEOFTHISYEAR´SUNDER “They were very happy because we put their house back together,” Maher said. “This is what we do.” Each year, Maher Construction has grown in revenue from $500,000 in 2003 to more than $2.2 million projected for 2008. The company employs nine, including sister Angie, who as marketing di- rector helps build relationships with municipal organizations and clients. Aside from working about 60 hours a week, Maher said he serves on various civic and com- munity groups. For example, he is a member of the Walled Lake Urban Design Committee, the Wixom Plan- -%-"%2&$)#%15!,/00/245.)49,%.$%2 comerica.com ning Commission, Rotary and the Fra- ternal Order of Police. — Jay Greene DETROIT BUSINESS MAIN 09-29-08 A 24,25 CDB 9/24/2008 2:49 PM Page 1

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Charles Moore, 36 Moore heads the financial advisory practice at the firm, the largest business unit with 16 employees and Senior managing director Congratulations, Utz! $16.5 million in revenue. Conway Mackenzie & Dunleavy Soon after beginning his engagement with Greek- Birmingham Now the world knows what we have town, Moore secured $150 million in financing the Biggest accomplishment: Being always known and we are very proud casino needed to finish its stalled named the youngest equity partner construction. The casino is the first to be working with you. and senior managing director in the in Michigan to go into bankruptcy history of Conway Mackenzie at the and will be a landmark case, testing age of 35. From your IAV team several aspects of Michigan’s gam- Current goal: As lead restructuring ing law. adviser to Greektown Casino since May, he is in charge of directing the At Conway Mackenzie, one of business operations while it oper- Moore’s major successes was with ates under Chapter 11 bankruptcy Hastings Manufacturing Co. CMD won protection. He hopes to develop a the 2005-2006 Transaction of the plan that allows creditors to be paid Year Award from the Detroit chap- in full and lets existing equity- ter of the Turnaround Management As- holders retain ownership. sociation for overseeing its sale to The Anderson Group. Charles Moore joined Conway Moore, who was appointed in De- Mackenzie & Dunleavy, a crisis- cember to the Legislative Commis- management and turnaround con- sion on Government Efficiency to sulting firm, in October 2001 after a help trim waste in state govern- stint as CFO of Taylor-based Horizon ment, said his long-term goal is to Technology L.L.C., then a privately held $50 million di- eventually assume the role of president at Conway versified company with manufacturing, retail, real Mackenzie. estate and travel operations. — Tom Henderson

Heidi Mucherie, 33 Marshall: Executive director Community Legal Resources Detroit Mentoring Biggest achievement: Dou- erty Campaign to respond to ■ From Page 23 bled the staff and budget at the foreclosure crisis fallout. Community Legal Resources She coordinates this multi- during her first 18 months as year partnership between her In 2004, when the state cut higher edu- executive director and organization and the Universi- cation funding, Winning Futures’ fund- launched and led the Detroit ty of Michigan Taubman College ing from area schools fell and it was only Vacant Property Campaign, of Architecture and Urban Plan- able to serve 75 students, Marshall said. including ning and successful- Community But last year, under her direction and ly advocat- Development assistance in fundraising, the agency ing for the Advocates of served 1,700 Michigan children. Detroit Land Detroit, During her tenure, the organization Bank. which is has given out $850,000 in scholarships, Current funded by backed in part by the fundraising Mar- goal: To Detroit LISC shall does. constantly and the Kres- She’s raised $2.5 million over nine strive for ge Founda- years for the organization, mainly “our orga- tion. through corporate donations and grant nization to It seeks to be rele- writing. Part of that has gone into the aid neigh- vant and bors hit by nonprofit’s endowment fund for scholar- sustain- vacant-prop- ships and the rest to operations. able, and erty blight to This year, the nonprofit has a $500,000 for it to be develop tools annual budget. She oversees four full- an effec- and strate- time employees and 100 part-time volun- tive, well- gies to miti- teers. managed gate the neg- Marshall also began forging relation- operation ative effects ships with other mentoring groups when that can deliver real, mea- and put the vacant land and BZYZXdBZVchHZXjg^in she established the Metro Detroit Mentor surable results.” buildings back to productive Collaboration, a professional develop- uses. Heidi Mucherie has worked ment and networking group for mentor- Mucherie also is working to as an urban planner, policy ing professionals, in 2003. get the city to create a more analyst and program evalua- She was appointed as one of 20 mem- up-to-date vacant-property tor in community develop- management system. bers of the state’s Mentor Michigan ment in Detroit for more than “I approach my work with council in 2004 and has served on it since 10 years. the hope at the end of every then offering guidance on quality stan- She holds a master’s degree day that I’ve helped to build dards for mentoring and identifying in- in public administration from stronger neighborhoods, im- novative ways to bring funding to the Wayne State University, and she prove people’s opportunities state for mentoring and to recruit more coordinated an evaluation of to succeed, strengthen my Do you know who has mentors. the city of Detroit’s Commu- clients and partners, and access to your business? In January, Marshall began selling to nity Development Block make a noticeable, positive nonprofits across Michigan the work- Grant program at WSU under difference,” she said. With Medeco3 High Security locks, you know your locks are resistant to picking, books and curriculums that Winning a research grant in 1997. Mucherie sets a high bar drilling, bumping, and other forms of physical attack. Be confident in your security. for herself in her work. Futures developed to teach life skills Community Legal Re- “If it feels too comfortable, 8VaajhidYVn[dgV[jaahZXjg^inVhhZhhbZci# through mentoring. In the past month, sources, aided by volunteer lawyers, gives pro bono legal it probably needs to be chal- that’s added up to about $3,000 in new representation to Michigan lenged, so a leader must ask revenue. This coming January, she nonprofit organizations tough questions and push the plans to begin contacting national men- working with disadvantaged envelope through hard work toring groups to promote and hopefully communities and individuals. and service to leave commu- sell the nonprofit’s materials nation- At Community Legal Re- nities better off than we find (&("*(*"%)%%™lll#gZY[dgYadX`#Xdb wide. sources, Mucherie helped cre- them.” — Sherri Begin ated the Detroit Vacant Prop- — Robert Ankeny DETROIT BUSINESS MAIN 09-29-08 A 24,25 CDB 9/24/2008 1:25 PM Page 2

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 25

40 UNDER 40 Mary Margaret O’Donnnell, 36 Partner Rader Fishman & Grauer P.L.L.C. Bloomfield Hills Biggest achievement: Managing Returning to the U.S., she com- worldwide trademark portfolios in pleted her Juris Doctor degree at a thriving intellectual-property Wayne State University School of Law, “Individual commitment to a law practice. graduating cum laude in May 1998, Current goal: and joined Rad- group effort — that is what makes Continuing to ex- er Fishman two pand Rader Fish- years later. man & Grauer’s O’Donnell a team work, a company work, a trademark prac- has moved on to tice, particularly co-chair the for innovative trademark liti- society work, a civilization work.” products and ser- gation subcom- vices, and contin- mittee of the – Vince Lombardi uing to recruit American Bar As- new talent as the sociation Intel- practice expands. lectual Proper- ty Litigation Mary Margaret Committee and As we congratulate our colleague Matt Friedman on being O’Donnell is a sort is an immediate of international past board named to Crain’s “40 under 40,” we want to also acknowledge police watchdog. member of the and thank our clients, collaborators and partners. As co-manager Women’s Bar As- of the trademark sociation of practice at Rader Michigan, where We all share together in this recognition. Fishman, she shares responsibili- she was mentorship co-chair. She ty with Mike Fishman for oversee- also teaches an international ing the work of more than a dozen trademark class at the Thomas M. lawyers and six paralegals to pro- Cooley School of Law. tect trademarks around the world. On any given day, she may be “She plays an important role, es- called on to deal with counterfeit- pecially in our foreign trademark ing of clothing, auto or electronic practice,” said R. Terrance Rader, parts, in Turkey, China or Europe. a founding partner in the firm that in the past 10 years has obtained “It’s exciting and fun to be in a more than 11,000 patents and job where you can use your foreign www.tannerfriedman.com 14,000 trademarks for clients. language skills; eight years of con- O’Donnell said her decision to jugating verbs wasn’t a waste at go into intellectual-property law all,” she said. was cemented by a 1995 internship On the personal side, she has at a Paris law firm which special- two sons and is on the board of the ized in that area while she earned Drayton Avenue Cooperative an advanced degree in IP law at a Preschool. Bordeaux university. — Robert Ankeny

Stephen Potter, 38 Founder and president Patriot Services Corp. Walled Lake Biggest achievement: Lining up startup homeland security firm Patriot Services Corp. as a subcon- that was headquartered in his tractor to Science Applications Inter- Clawson basement for its first year national Corp. in a new contract or so. worth up to $500 million with the “The timing was right,” he said U.S. Department of of the move. Defense. Patriot “The Department Services will like- of Homeland Se- ly handle a seven- curity had al- figure component ready formed within the SAIC and was getting legs, and there deal. ® Current goal: To were starting to help with organi- be grants avail- zation and identi- able under ap- propriations The World’s Best fying $5 million in venture-capital (passed in late 2003) to aid local funds for the new- agencies and and One of Detroit’s Best. ly incorporated schools in emer- Michigan Home- gency prepared- land Security Re- ness.” source Fund, Potter found- where he serves Congratulations to Jesse Berger ed the company on the board of di- with Thomas of Eastern Michigan Kenworth! rectors. Quisenberry, formerly the Oakland County un- Kenworth not only makes the World’s Best trucks, it also has the World’s Best dealers. The For someone who has built a ca- dersheriff and a fellow consultant Kenworth Truck Company is thrilled to see Jesse Berger’s commitment to quality, reliability and reer in safety and security, with Potter at Plante. Another of excellence at Eastern Michigan Kenworth recognized in Crain’s Detroit’s 2008 40 Under 40. Stephen Potter seems fairly com- the company’s co-owners, Scott fortable taking on a venture with Hiipakka, served with him at the an element of risk. Pentagon in 2002-03 as part of the Potter, president of Patriot Ser- 210th Military Police Battalion in vices, said he wasn’t particularly Operation Noble Eagle, handling nervous about leaving his public security support after Sept. 11. safety consultant position at Plante & Moran P.L.L.C. in 2004 to head a See Potter, Page 27 DETROIT BUSINESS MAIN 09-29-08 A 26,27 CDB 9/24/2008 3:02 PM Page 1

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David Ripple, 36 from a staff of 42 to staff of 100. It’s also meant understanding and tak- Vice president of development ing on more of the duties of the de- and alumni affairs partment, since I was previously Wayne State University handling just one part of it,” he said. :fe^iXklcXk`fej# Detroit Ripple joined the department in Biggest accomplishment: Helping mid-2006 as an associate vice presi- DXkk_\nJfj`e to reach and surpass the $500 mil- dent of development and was lion fundraising goal of WSU’s largely responsible for coordinat- Wayne First capital campaign. ing fundraising efforts in the Current goal: school’s Wayne Launch new ini- First campaign. tiatives for giv- When he took it ing by 2009. over, the cam- paign had raised Sometimes the $329 million to- reward for tack- ward its $500 mil- ling a challenge is lion goal. Now it to get a bigger is at $870 million, one. including a $407.8 Ripple in Sep- million in-kind tember gained gift to the school’s permanent ap- College of Engi- pointment from neering from the Wayne State Uni- Partners for the Ad- Efik_\ieiflg versity President vancement of Col- gifl[cpXggcXl[jfli Jay Noren as vice laborative Engineer- president of de- ing Education last ZfdgXepgi\j`[\ek velopment and year. ]fiY\`e^eXd\[kf alumni affairs at Before coming Wayne State Uni- WILLIAM PUGLIANO to WSU, he :iX`eËj ;\kif`k 9lj`e\jj +' le[\i +' versity. It’s a posi- worked for New ]fi )''/% tion Ripple has held on an interim York-based CCS Fundraising, where basis since late June. he handled a $30 million donor He obtained the post after a rec- campaign for the Michigan Opera ommendation from Noren to the Theatre in Detroit. WSU Board of Governors, and re- David DiChiera, general direc- places Susan Burns, who left the tor of the opera theater, said he I\Xc

Steven Rybicki, 32 to see all the things that were wrong, and being educated General manager through business school, I knew Infinity and Ovation Yacht Charters what I would do if was in a posi- St. Clair Shores tion to make changes.” Greatest achievement: Hiring the When Continental bought the right people and building the right company, and appointed Rybicki team. “You feel as though when general manager, he had the GAMING N DINING N ENTERTAINMENT N HOTEL N SPA you have the right team in place, chance to enact his plans. you can do anything.” “We made a change in our man- Current goal: Rybicki hopes to agement team, rebranded our- continue to grow the business by selves, stopped doing public events moving into new endeavors in oth- because our guests appreciated ex- er industries with the same busi- clusivity, built a new yacht, start- Naturally festive. ness model. ed watching the trends …” Ry- Steven Rybic- bicki said. ki’s story would Revenue make a good would fall in the movie — as a first few years, teenager, he start- Rybicki knew, ed as a dishwash- because re- er on a charter branding the yacht called the boat initially Infinity. Today, meant fewer en- he’s the general gagements. manager of Infinity “But then we and Ovation Yacht began to build Charters, owned our revenue in by Sterling another direc- Heights-based tion,” he said. Continental Dining In 2005, the Services Inc. business added

Mom Sara Ry- another vessel, ‘ bicki, a nurse, had WILLIAM PUGLIANO the Ovation, Tis the season... to start planning your holiday party. delivered the baby doubling busi- of the Infinity’s then-owner. The ness overnight. It replaced the In- N yacht’s staff lacked a dishwasher, finity with a sleeker vessel in 2007. Whether you’re planning an intimate gathering for Sara Rybicki lobbied for her son, The company now can attract new 25 or elaborate event for 1,500, our four-diamond and he got the job. kinds of business, like larger, resort can accommodate your holiday party! “I worked almost every position more traditional weddings. It has and had been given greater respon- the capacity for parties of 150-300 Call 1.888.7.EAGLE.7 ext. 55385 for details. sibility over the years,” he said. people. Rybicki oversees a budget Experience More. Rybicki became general manag- of $3.8 million. N MT. PLEASANT, MI N SOARINGEAGLECASINO.COM er at age 24, and used his knowl- The view from the water, edge of the charter business to re- Rybicki said, is good. Enterprises of the Saginaw Chippewa Indian define the brand. “I believe we have one of the Tribe of Michigan “The previous company that best ways to showcase the city of owned the boat had confused the Detroit,” he said. marketplace,” he said. “I was able — Nancy Kaffer DETROIT BUSINESS MAIN 09-29-08 A 26,27 CDB 9/24/2008 3:02 PM Page 2

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Lauren Scarpace, 30 Matt Schenk, 36 for the county’s aerotropolis concept, and crafting a funding and governance structure for the expansion Senior associate Assistant county executive of Cobo Center. CB Richard Ellis Office of the Wayne County Executive Schenk is the lawyer in the background at all the Southfield Detroit meetings, advising the top elected officials and find- Biggest achievement: Attracting the $600 million Biggest achievement: Two recent and leasing. ing ways to make ideas come to fruition. Chrysler L.L.C. Phoenix to Tren- “He’s not one of those people deals that helped companies ex- Among his significant deals, ton, because it was so meaning- who says ‘we can’t do it,’ ” said pand and create jobs in the area — Scarpace was part of the team that ful to the local community. Wayne County Executive Robert retaining Seco Tools Inc. and selling attracted Hino Motors Manufacturing Current goal: To see a renovat- a Macy’s distribution center, which USA — of which Toyota Motor Corp. ed and expanded Cobo Center Ficano. “He says ‘let’s see how we can get there,’ and then he gets you later brought new jobs to the re- owns a controlling interest — from plan approved by the end of the there.” gion. the East Coast to Farmington year. Schenk was a legislative analyst Current goal: Hills. He was also Expand his It often takes an army of peo- for Detroit City Councilwoman part of the group client roster ple to make anything happen in Sheila Cockrel, a position where he that kept Seco in through execut- government. gave advice and was involved with Michigan when it ing successful While the big ideas come from crafting such legislation as the relocated its real estate the top — where the credit goes city’s ethics ordinance and the city’s headquarters to as well — it takes smart imple- strategies with- purchasing ordinance. mentation people to make things in metro Detroit Troy from War- From 2000 to 2004, he was legisla- work. and assisting in ren. tive assistant corporation counsel Matt Schenk is one of those projects outside His résumé is in the city of Detroit’s law depart- people. of Michigan. further padded by Out of law school, Schenk opt- ment. Schenk then took his current a 1 million- ed not to work at a corporate law job as part of Ficano’s inner circle of Over the square-foot sale of firm but rather to work in gov- five assistant county executives. course of a com- an Ohio manufac- ernment. Since then, he’s been behind the scenes After 12 years of working in government, Schenk mercial real es- turing plant by drafting legislation and wrangling with legal is- still enjoys his work and looks for new challenges. tate broker’s ca- L.G. Phillips. sues on some of the region’s most significant top- “The job is different every day,” he said. “And you reer, they often CB Richard El- ics. know at the end of the day that the work you’re do- make a change lis had put him on Here’s a partial list: Legal issues with Detroit’s ing really matters to a lot of people, people who you from being a some of its most casinos, the Super Bowl XL application, Chrysler see on a daily basis.” — Daniel Duggan street broker to important multi- L.L.C.’s expanded engine plant in Trenton, planning a corporate real estate adviser, a state clients, such as Volkswagen of difference between getting dirty in America. Institutional property industrial buildings versus giving owners including First Industrial Re- presentations to C-suite execu- alty Trust, Liberty Property Trust and tives. Sears Holding Corp. have hired him At the age of 30, Lauren to lease their real estate. Scarpace has filled both roles, said In 2002, his former employer, Mike Gerard, senior managing di- Cushman & Wakefield, named him rector based at the CB Richard Ellis “Rookie of the Year,” and then office in Southfield. “Junior Broker of the Year” in “It’s a paradigm shift that he’s been able to handle at a very 2003. The Bethesda, Md.-based real young age,” Gerard said. estate research company CoStar Scarpace, a commercial real es- Group named Scarpace among the tate broker focusing on industrial top 20 brokers in the Detroit mar- real estate, has not only been able ket in 2004. to find tenants for some of De- In addition to real estate, troit’s vacant buildings, but also to Scarpace has a passion for cars. He find — and keep — businesses and his family own a race car, and here. he competes in the Sports Car Club Since 2005, he has done more of America’s Great Lakes Division. than 3 million square feet of sales — Daniel Duggan

Potter: Timing it right ■ From Page 25

Both men are officers in the Michi- or nuclear attack. The company gan National Guard. also has several clients in public Patriot Services soon relocated health agencies, in Michigan and to Walled Lake after landing one of other states, but Potter also sees its first contracts, with Walled other areas of concern that need Lake Consolidated Schools. response training, such as water Now with 11 employees and 20 supply systems. contractors, the company has sev- Several weeks ago, Potter also en school district clients in Michi- became chairman of a newly elect- gan and one in Denver, and topped ed board of directors for the Lans- $1.2 million in revenue for 2007 ing-based nonprofit. Michigan compared with $731,000 in 2006. Homeland Security Consortium. He Those numbers will likely con- also sits on the board of the Michi- tinue to climb, as Patriot Services gan Homeland Security Resource earlier this year became a subcon- Fund, a venture-capital fund for- Introducing Remote Deposit for your business tractor to Science Applications Inter- mally incorporated in late July. national Corp. on an extension of Potter said support from his Talk about innovative. Announcing Remote Deposit, Flagstar’s newest the latter’s Guardian contract to wife, Betsy, has been invaluable. Business Banking service. Now save drive time and gas money with protect infrastructure and func- The family had no savings and this faster and easier way to make bank deposits. And it’s as safe and tion within the Department of De- used a credit card for three months secure as it is efficient. Visit Flagstar.com and search keyword Treasury fense. until Patriot’s revenue started Management or call (800) 642-0039 for details. Patriot Services provides train- coming in. ing and consulting services to “She has always served as a clients, mostly in the public sector, sounding board for ideas, a confi- Get your business $100 just for getting started. Ask how. on emergency preparedness and dant, and someone who believed in Consistently ranked tops in customer satisfaction surveys. Member FDIC | (800) 642-0039 | www.flagstar.com response to terror threats or to me.” chemical, biological, radiological — Chad Halcom DETROIT BUSINESS MAIN 09-29-08 A 28,29 CDB 9/24/2008 2:59 PM Page 1

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40 UNDER 40 Matthew Sosin, 33 President Northern Equities Group Farmington Hills Biggest achievement: Overseeing “To be a developer, you have to the completion of the infrastruc- know a little about a lot,” he said. ture for a 200-acre business park. “And you have to know about Current goal: To carry on the some things more than others.” company with the same mission But it wasn’t until August 2007 and philosophy that Sosin’s fa- his father had ther, Neil, named when the com- him to the position pany was start- of president of the ed. company. Matthew was Matthew eased into the po- Sosin always sition, he said. knew he’d be Since being taking over the named president, real estate busi- Matthew Sosin ness his father has handled most started in 1979. of the leasing ne- But he didn’t gotiations, strate- want it to be a gic decisions for given. And he the company and didn’t want it to day-to-day opera- be merely hand- tions. Neil Sosin ed over. still plays a role in So after he the company as graduated from the University of CEO, but Matt has become more of Michigan Law School in 1999, he the face of the company. went to New York to work for the Occupying much of his time has corporate law firm Willkie Farr & been working on the second phase Gallagher L.L.P. As a real estate at- of the Haggerty Corridor Corpo- torney, he learned about the nu- rate Park in Novi. He handled the ances of leases and purchase 200-acre project from its early agreements along with high-level planning stage, took it through financing scenarios such as con- city, county and state government duit lending. approvals and has overseen the By 2001, he was ready to work construction of roads and infra- with his father. See Sosin, Page 29

Rich Stromback, 39 attention of Time, The New York Times and the World Economic Fo- CEO rum. Stromback Foundation Stromback went through a se- Bloomfield Hills lective process and was one of 200 Biggest achievement: Being se- young leaders from around the lected as one of only 200 Young globe named to the power forum, “At Leonard & Company, decisions are made right Global Leaders by the World Eco- which is composed of the world’s nomic Forum. wealthiest individuals, heads of here on site, not in a series of calls to New York. Current goal: To further establish the largest corporations and other the Ecology Sum- notables, three This kind of rapid response helps me stay focused on mit, a national fo- years ago. what’s most important — my clients.” rum for notable In March, he “green” advo- joined former cates, co-hosted British Prime — David Aquilina, Leonard & Company, Troy with former Minister Tony British Prime Blair and Sir Minister Tony Richard Bran- Blair, as well as son, founder of At Leonard & Company… Virgin Group Virgin Group, in Founder Richard co-hosting a Branson. meeting for no- table green ad- …we listen to our brokers. And our brokers listen to their clients. Rich Strom- vocates, includ- back had early ing Google’s Leonard & Company is Michigan’s largest independent brokerage firm. success with Web Larry Page and Group, an IT con- Paul Allen of Mi- We are a regional investment firm with an entrepreneurial environment that very sulting firm he crosoft Corp., successful brokers want and need — a comfortable, stress-free atmosphere where they can founded in 1997 who founded experience independence, build their business, and best serve their clients. when he was 28. Vulcan Ventures, The company a venture-capi- We provide the finest amenities and the latest in research and technology, with securities grew to $10 million in revenue and tal firm funding green and clean carried by one of North America’s largest financial institutions. about 80 employees and was projects and technology. ranked among Inc. Magazine’s 500 One of the things that came from fastest-growing companies from the meeting, Stromback said, is 1997 through 2002. Stromback sold that Blair broke the deadlock on it for an undisclosed amount in climate change. The major coun- 2002 to Arrow Strategies. tries are meeting in Bali to come A year later, he acquired the up with some sort of agreement on Bloomfield Hills-based research how they can collectively address 1450 West Long Lake RoaDsSuite 15sTroy,MI4809s248-952-5858 and development company Ecology climate change, Stromback said. www.leonardandcompany.com Coatings. He’s been working the He also founded the Stromback past few years to market the com- Foundation, established to fund Michigan: Corporate Headquarters — Troy. Birmingham. Grand Rapids. Grosse Pointe Farms. Sterling Heights. pany’s energy-saving coatings green initiatives and projects and Colorado & New York technologies and ensure patent to raise awareness about environ-

Member FINRA, SIPC protection for them. Stromback is mental sustainability. chairman. That work gained the — Sherri Begin DETROIT BUSINESS MAIN 09-29-08 A 28,29 CDB 9/24/2008 3:16 PM Page 2

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Janice Suchan, 37 Michigan University Education Building, a $50 million gold Sosin: Principal Bridgeway LEED-certified building; the SHW Group Wayne State University Medical Ed- Berkley ucation Commons Building, a $30 Apprentice Biggest accomplishment: Be- million silver LEED building; coming a partner at SHW at 33 in the Grand Valley State University li- ■ From Page 28 the male-dominated world of ar- brary, a 130,000-square-foot Congratulates structure. He also handled most of chitecture building in de- the negotiations for the park’s first where, accord- sign phase; and Jesse Berger of lease, 120,000 square feet built for ing to industry the Jackson Ryder Corp., and is working on the reports, only 16 Community Col- development of the speculative percent of part- lege Center for buildings planned for the project. ners are Health Profes- The first phase of the corporate women. sions, a $22 mil- park has had more activity than Current goal: lion silver most parks, attracting a diverse To continue her LEED building for being selected in range of tenants, such as 117,000 company’s in its design phase. square feet in new space and lease building of bet- renewals for Harman Becker Automo- ter educational Projects in- Crain’s Detroit Business’ tive Systems Inc. after the company facilities while clude the Lans- received a $2.5 million tax credit keeping a cap ing Community Class of 2008 forty from the state to create 135 new jobs. on project costs College Univer- under Detroit-based Henry Ford Health and at the same sity Center, which won the 40 System was signed to a 130,000- time increasing square-foot lease, and Pennsylva- their sustain- 2008 AIA De- nia-based Art Institutes Inc. leased ability. troit Design 37,000 square feet for a creative Honor Award; and applied arts school called the Janice Suchan is one of two the Schoolcraft College Biomed- Art Institute of Michigan. principals in charge of the 62- ical Technology Center; and the Matt Sosin also spearheaded a member SHW. She managed a Jackson Community College Infor- corporate initiative, which is tak- budget of $3.5 million in 2007 and mation and Technology Center. ing Northern Equities Group in a oversees half the employees and All of which involve working new direction. Northern Equities entire teams on projects — all in- far more than 40 hours a week. formed a joint venture with in- volving higher-education clients Suchan credits her husband, vestors Ian Burnstein and David — including project managers, Kevin Finn, dean of students at Levenfeld under the name Storage designers, engineers and archi- Lawrence Technological University, Opportunity Partners to acquire a tects. for helping out on the home portfolio of storage properties. In Projects she is in charge of in- front, and credits her daughter, addition to the title of president, clude several green buildings Jamie, 7, as well. She often ac- Sosin also carries the title of ap- built to Leadership in Energy companies her mom to the office prentice, he said. and Environmental Design stan- on weekends. — Daniel Duggan dards. Those include the Central — Tom Henderson

Michael Tenbusch, 39 creasing the number of youth par- Leaders are many things. They are strong, but fair. ticipants in its programs to 5,000 Terence Thomas Sr., 39 Vice president from 2,000. Senior vice president They are collaborators and independent thinkers. United Way for Southeastern In 2005, Think Detroit merged of advocacy They are fierce in their beliefs and never Michigan with the Detroit Police Athletic St. John Health compromise their ethics. The Woodward Avenue Detroit League Inc., and today it serves Warren Biggest achievement: Giving De- 13,000 youths each year. Biggest achievement: Working Action Association Board of Directors would like troit youth an opportunity to play Tenbusch left the nonprofit in to increase reimbursement for to congratulate our leader, Executive Director in athletic leagues with well- his friend Varner’s hands and doctors working in the medical- Heather Carmona, on winning the Crain’s 40 trained coaches and to build char- moved on to become COO of Univer- ly underserved area of Detroit’s acter through his sity Preparatory east side. under 40 award. co-founding of High School in De- Current goal: Bringing togeth- Think Detroit (now troit before do- er people and organizations to ThinkDetroit/PAL). ing consulting improve medical care in South- Current goal: To work for the Skill- east Michigan. create high-per- man Foundation. forming K-12 In January he Terence Thomas Sr. sees his schools through joined United job as senior vice president of the use of best Way as vice pres- advocacy at St. John Health as practices for ident of educa- part of a mission to improve the every young per- tional prepared- health of everyone in Southeast son in the region, ness. In that role, Michigan — not just to lobby regardless of he’s currently for the interests of the seven- what neighbor- overseeing ini- hospital Catholic system based hood or city they tiatives to ensure in Warren. live in. children in Hired in 2003 from Miller, Can- Wayne, Oakland field, Paddock and Stone P.L.C. in Michael Ten- and Macomb Detroit, Thomas did not have a busch has spent counties are health care background before more than a reading at grade being offered the advocacy job decade improving the lives of De- level by third grade and to de- by St. John’s former CEO Elliot troit children. He started by found- crease the dropout rates at 30 area Joseph. Thomas specialized in ing a nonprofit and continues high schools. election laws, intellectual prop- through a key position he now Tenbusch led the establishment erty and commercial litigation. holds for United Way for South- in August of the Greater Detroit Edu- Thomas said he learned eastern Michigan. cation Venture Fund, a $10 million about passion for your job In 1996 when he was just 27, he fund to help those low-performing while studying history at Albion co-founded Think Detroit, a non- high schools improve their gradu- College. He garnered a law de- profit organization to build char- ation rates and secured a $1 mil- gree in 1993 from the University acter in Detroit children through lion grant from the AT&T Founda- of Wisconsin. sports and leadership develop- tion toward that end. Thomas also is chief advoca- ment. He recently helped organize a cy officer of the Michigan mar- Under Tenbusch and co-founder dropout prevention summit in ket for Ascension Health in St. Dan Varner, the organization conjunction with One D, the re- Louis, the parent company of grew to a budget of $1.2 million, af- gional collaborative of civic orga- St. John. He works regularly ter many funding challenges, and nizations. with state and federal legisla- maintained that budget while in- — Sherri Begin See Thomas, Page 30 DETROIT BUSINESS MAIN 09-29-08 A 30 CDB 9/24/2008 1:27 PM Page 1

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William Wildern, 39 tal Partners and Southfield-based fessionals on acquisition considera- kind of guy who can do 15 things at BBK Ltd., Wildern started Hydra tions to become a full-service trans- once, never comes unraveled. He’s CEO and founder Professionals L.L.C. He is working mission sub-system supplier. an incredibly ethical guy.” Hydra Professionals L.L.C. on projects ranging from rejuve- Wildern said his business plan’s He said Wildern’s work repre- Novi nating mature businesses to help- guiding principles include integri- senting General Motors Corp. and Biggest achievement: Assisting in ing ailing businesses looking to ty, understanding, innovation, the then-DaimlerChrysler in the Ven- the turnaround of businesses in hire problem-solving leaders. perseverance and simplicity. “Ele- ture Industries bankruptcy case need of capital, management For example, a Georgia-based gant and creative solutions to com- was impressive. changes or strategic guidance. floor mat manufacturer, Pretty plex problems are based in sim- Prior to his foray into the turn- Current goal: Helping more com- Products L.L.C., hired Wildern to as- plicity,” he said. around world, Wildern was an ex- panies reinvigorate or grow sist in focusing the business on While at Resilience Capital, ecutive at GM in the 1990s, holding through the consulting work of mats made with the most efficient Wildern was on the board of direc- such titles as luxury vehicle plan- Hydra Professionals. manufacturing process, consoli- tors and managed BBI Enterprises ner, manager of strategic planning dating a plant, and negotiating an and Penda Corp. With the new com- for advanced technology vehicles, William Wildern’s vision is to be agreement to resolve issues with a pany started this summer, he’s on and senior financial analyst. the consulting firm of choice for customer that had unprofitable track for 10 employees and more He has an MBA from Harvard Uni- businesses facing a transition. products. Steel Parts Manufacturing than $3 million in revenue by late versity, and a bachelor’s and mas- After working for several years Inc., of Tipton, Ind., which has its next year. ter’s from GMI (now Kettering Uni- for other turnaround specialists Detroit sales and engineering office Dan Ravid, director at BBK in versity). such as Novi-based Resilience Capi- in Novi, is working with Hydra Pro- Southfield, said Wildern is “the — Christiana Schmitz

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Thomas: An advocate ■ From Page 29

tors to increase or maintain fund- ing to St. John. For example, Thomas, along with several other competing hos- pital lobbyists, helped to save up to $400 million in Medicaid funding that was targeted for cuts in the state’s 2008 budget. One of the cuts included reducing coverage to adults aged 18 to 21, he said. Thomas also helped to persuade Medicare to designate Detroit’s east side as a medically under- served area. The designation in- creased reimbursement to several dozen primary-care doctors who serve the poor and underprivi- leged. “I went door-to-door with a physician manager (in 2006) to in- terview doctors and confirm they were working in the area,” he said. Thomas serves on nearly a dozen civic and community orga- ebk bjlqflkp ork tfia) ibsbi*eb^aba mobpbos^qflklc `^mfq^i)^karkfjmbaba`ifbkq nization boards to provide feed- T back and guidance on health care fksbpqjbkq ab`fpflkp dbq qo^jmbiba+ >k^ivpqp fkqbo^`qflk+Pr`eob^plkpj^vbumi^fktevlro issues. `^ii fq _be^sflo^i Ûk^k`b) ifkhfkd foo^qflk^i ^kkr^idoltqee^pilkdbu`bbabaqebfkarpqov Some of the groups include: De- cb^oqleboajbkq^ifqv+T^iiPqobbq)jlobqlqeb ^sbo^db+>katevlro`ifbkqp) troit Wayne County Health Authority, Greater Detroit Area Health Council, mlfkq) `^iip fq _r__ibp ^ka jbiqaltkp+ Bfqebo tfqe dob^q `ljcloq) m^v ifqqib The Center for Concern and the De- t^v)cloqeb^sbo^dbfksbpqlo)fqÒp^afp^pqolrp ^qqbkqflk ql qeb pq^jmbab troit Regional Chamber. “Being an advocate for St. John t^vql_rfia^kaprpq^fktb^iqe+>qDobbkib^c ^olrkaqebj+@^iiJ^ohG^kklqq is not just lobbying in Washington Qorpq)peloq*qbojbjlqflkq^hbp^_^`hpb^qql ^q /15+010+6-- lo 5--+1.3+1222 and Lansing,” he said. “It is pro- `ljmobebkpfsb obpb^o`e) ^ppbq afsbopfÛ`^qflk) fcvlrÒaifhbqlib^okjlob+ Cfk^k`f^iPb`rofqvcoljDbkbo^qflkqlDbkbo^qflk moting the mission and values of St. John Health and trying to find the right partners to make sure the work is done for people in the re- .//`lk`loaol^aprfqb.-/_illjcfbiaefiip)jf150-1ttt+dobbkib^cqorpq+`lj/15+010+6---5--+1.3+1222 gion.” — Jay Greene DBpageAD.qxd 6/5/2008 11:15 AM Page 1

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Page 32 CRAIN’S DETROIT BUSINESS September 29, 2008 BUSINESS DIARY ACQUISITIONS footwear products to the U.S. market. been selected by Chrysler L.L.C., starting in Waterford Township in Oc- sional Association and the Michigan Auburn Hills, to provide auto show tober. Food and Beverage Association, War- Solid Concepts Inc., a rapid prototyp- NLM, a Detroit logistics company, has staffing and other event services for ren, and Identity Theft Loss Preven- ing and manufacturing company in renewed an agreement with Allison the Chrysler, Jeep and Dodge brands. Valencia, Calif., has finalized the ac- Transmission, an Indianapolis trans- EXPANSIONS tion, Ottawa Lake, have established an identity-theft information program quisition of Composite Tooling Tech- mission company. NLM will remain a Abney Advertising & Marketing Inc., Snap Fitness-Birmingham, 108 Willits for the association’s member compa- nologies Inc. in Troy to expand its ex- provider for Allison Transmission’s Livonia, has been named agency of St., Birmingham, features state-of-the isting CNC and cast urethane critical shipments and dynamic ship- record for Pliz Automation Safety L.P., art fitness equipment, cardio ma- nies. It includes a video about the a German-based manufacturer with products while adding Fiberglas-rein- ment procurement tool. chines with individual plasma TVs need for information-security policies U.S. operations in Canton Township. forced plastic to its offerings. Millsap & Singer L.L.C., a Missouri- and training by former pro boxer Scot- and a Webinar series about informa- based law firm that serves the mort- Cornerstone Building Group, Troy, ty Buck. The new fitness center is a tion security. CONTRACTS gage-banking industry, has retained was the successful bidder for a new franchise of a Minnesota-based com- Becky Stevens Holistic Alternatives Identity Marketing & Public Relations, bank branch for Comerica Bank at pany. Telephone: (888) 388-5225. Web L.L.C., a Mt. Clemens medical intu- EWI Worldwide, Detroit, produced the Bingham Farms. Grand River Avenue and Beck Road site: www.snapfitness.com. itive and energy healer, offers crain- Coca-Cola Pavilion, known as the in Novi, which is scheduled to be com- Shuang Experience Center, at the 2008 Hile Design L.L.C., an Ann Arbor ad- Peterson American Corp., a South- osacal therapy and therapeutic mas- vertising and graphic-design compa- pleted by the end of the year. It also sage services in addition to her Beijing Olympic Games. EWI provid- has completed a major renovation of field-based automotive supplier, an- ny, has been selected to redesign the current alternative therapies. Tele- ed creative development for several the Livonia operations center for nounced it is completing a new Peter- Web site of Ann Arbor’s Ufer & Co. In- phone: (586) 468-5723. interior spaces and led the production Comerica Bank in June. son Spring manufacturing plant in surance, at www.uferinsurance.com. Queretaro, Mexico, in October. and installation of all interior and ex- Contracting Management Corp., a de- Strategic Energy Solutions Inc., a OTHER terior graphics, signs, exhibits, the- sign/build construction-management Ferndale engineering-services compa- matic elements and interiors. firm in Brighton, has been selected by MOVES Stefek’s Auction House, Grosse Pointe ny, has contracted with Next Energy, 3.7 Designs, Ann Arbor, helped Oakland Hills Country Club to manage RCN Security Corp., from Center Line Detroit, to provide marketing services Farms, is a newly renovated auction Brighton-based Hands on Mind and construction of the new halfway to 615 Griswold St., Suite 820, Detroit. in the alternative-energy industry. house specializing in property liqui- Body redesign and relaunch its Web house at the country club in Bloom- Telephone: (313) 963-7922. Web site: The focus will be on geothermal heat- dations that involve antiques, fine fur- site. Hands on Mind and Body is an in- field Hills. The project is scheduled for www.rcnsecuritycorp.com. ing and cooling technology and ser- niture, fine art and paintings. Auc- dependently owned massage therapy completion this fall. Contracting Man- vices in Michigan. Harelik, Shapiro, Wolgin and Fine P.C. tioneer Lori Stefek is the owner and and psychotherapy service. Its Web agement Corp. also has been selected FH Martin Constructors, Warren, is Certified Public Accountants, to 30445 an accredited appraiser. Telephone: site is at www.handsonmindand by the Hills of Lone Pine Association Northwestern Highway, Suite 200, body.com. the general contractor for the conver- to design, contract and manage recon- (313) 881-1800. Web site: www. sion of a Grosse Pointe Woods Kroger Farmington Hills. Telephone remains: stefeksltd.com. Western Creative, a Redford Township struction of the roadway system for (248) 851-2211. advertising agency, was named the new store into a Kroger Fresh Fare store. the association in Bloomfield Town- Also, FH Martin has been selected to agency of record for Preferred Financial ship. NEW PRODUCTS DIARY GUIDELINES Services, an Andover, Md.-based debt- build a new bank branch for J.P. Mor- Vaughn Custom Sports, a hockey settlement company. Also, Dr. gan Chase & Co. at Hall and Heyden- goalie-equipment manufacturing Ideal Shield, Detroit, now offers the Send news releases for Business Holmquist Healthcare L.L.C. of Mandev- reich roads in Macomb Township, and company based in Oxford, has stream- Ideal Shield decorative bollard cover, Diary to Joanne Scharich, Crain’s ille, La., signed an agency-of-record to serve as the general contractor for lined its order-entry, manufacturing, a polyethylene thermoplastic cover Detroit Business, 1155 Gratiot the construction of a new Menards agreement with Western Creative to accounting, shipping and customer- for existing steel bumper posts. Cov- Ave., Detroit, MI 48207-2997 or store in Sandusky, Ohio. help launch its Bruise Relief product. In relationship management systems ers are available in hundreds of colors send e-mail to jscharich@crain. addition, Damand Promotions of Poway, DesignHub Inc., Saline, designed and with a new, custom software applica- and multiple sizes and styles, and the com. Use any Business Diary item developed the new Web site for indus- Calif., signed an agency-of-record agree- tion designed by Iwerk of Royal Oak. company says they eliminate the need as a model for your release, and trial-fastener supplier Marshall Sales ment with Western Creative for adver- Auto-Lab Franchise Management for painting bollards. Web site: look for the appropriate category. Inc. of Detroit. The site is at www. tisements and a new Web site for its Corp., Plymouth, entered into a three- www.idealshield.com. Without complete information, your Parent’s Homework Dictionary; and So- marshallsales.com. unit development agreement with Nu- item will not run. Photos are los Footwear of Montreal has signed an Gail & Rice, a Southfield-based brand Mac Automotive Group. NuMac plans NEW SERVICES welcome, but we cannot guarantee agency-of-record agreement with West- communications and experiential to open three new Auto-Lab Complete they will be used. ern Creative to introduce its Canadian marketing agency, announced it has Car Care Centers in Oakland County, The Michigan Business and Profes-

For the 25th time, Northwestern Mutual has been named FORTUNE ® magazine’s “Most Admired” company. And for the 25th time, we’re extremely honored.

We are honored to be the only company named Fortune magazine’s “Most Admired” in its industry for the 25th time. And we are committed to continuing to do what’s earned us such respect: helping families let their worries go. From our financial representatives who help clients achieve financial security to the Northwestern Mutual Foundation whose charitable donations help society at large, we are thankful to all who make everything we accomplish possible.

The Wilshire Financial Group Brad P. Seitzinger, CLU,® ChFC,® CLTC Managing Partner 901 Wilshire Drive, Suite 300, Troy, MI 48084 (248) 362-2220 • [email protected] For Career Opportunities, please contact Marcy Tucker at (248) 244-6023 or log on to www.nmfn.com/wfg

05-2779 ©2008 The Northwestern Mutual Life Insurance Company, Milwaukee, WI (NM). Securities offered through Northwestern Mutual Investment Services, LLC, a wholly-owned company of NM, broker dealer and member FINRA and SIPC. NM and The Wilshire Financial Group are not broker-dealers. FORTUNE® magazine, March 17, 2008. 8032-559B DBpageAD.qxd 9/18/2008 10:07 AM Page 1

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Page 34 CRAIN’S DETROIT BUSINESS September 29, 2008 The Macomb Group: Bigger can be better — and successful able markup, McGivern said. That In Detroit, there’s one BY CHAD HALCOM generated some new capital, and way to face down risk... CRAIN’S DETROIT BUSINESS since then the company has relied upon both organic growth and ac- Bill McGivern thinks that grow- quisitions. A business insurance ing from a small sup- The Columbus office plier to a medium- was a Macomb Group expert you can trust. sized regional OntheGrow acquisition of IEP Inc., distributor of pipe, finalized in January, Jim Merkel, Director of Sales valves and fittings is On the Grow is a and specializes in a great strategy — feature that will appear in most issues equipping wastewater even if it didn’t end highlighting growing treatment plants and well the last time With a degree of integrity and understanding that’s unmatched, our Detroit companies, large and public infrastructure. someone tried it. team will work to protect and advance your interests with the best possible small. Know of a Grand Rapids and McGivern, CEO of company you think Cincinnati are new of- risk management and employee benefit plans available. Sterling Heights- Crain’s should write fices built from scratch based The Macomb about? Contact We continue to build one of the nation’s strongest insurance agencies, Group, said the com- Managing Editor and born of expansion. never losing sight of the importance of local business knowledge. Learn pany has seen accel- Andrew Chapelle at That brings The Ma- [email protected]. comb Group to 13 loca- more about Wausau Signature Agency by contacting Jim Merkel, erated growth in the aftermath of the 2003 tions and 250 employ- 800.782.0012 x620 or visiting www.WausauSA.com/Detroit. bankruptcy dissolution of Grand ees, including 65 or so Rapids competitor U.S. Flow Corp. at the corporate headquarters, Mc- Better Options. Easier Decisions. Revenue was just under $110 Givern and Margolis said. By next million for the fiscal year that end- year the company plans to open a ed last March and is on pace to ap- new office in the Ann Arbor area. proach $150 million this fiscal A 2006 growth strategy calls for the year, according to McGivern and company to reach 21 locations, in- CFO David Margolis. With three cluding three in Indiana, by 2012. new offices opened or acquired That will make it more or less a ©2008 Wausau Signature Agency. All rights reserved. this calendar year — Cincinnati, three-state operation, much like Columbus and Grand Rapids earli- U.S. Flow was shortly after the er this month — McGivern ac- 1999 merger. knowledges the company bears an Fred Satterlund, president of increasing resemblance to the for- Warren-based pipe distributor Sat- mer U.S. Flow. terlund Supply Co., is a bit skeptical “But we’ll be different, because about The Macomb Group plan. they were growing with visions of “Look at how well it went for grandeur and had a strategy to be- them (U.S. Flow) the first time,” he come national, maybe even go pub- said. “For some reason, in this in- lic,” McGivern said. “Our focus is dustry the large national outfits do Michigan, Ohio, and Indiana, and really well, the small guy works at maybe a little bit of movement in keeping his customers and does all the Pittsburgh area and Kentucky right, and the medium in-between markets. We want to protect the companies really struggle. We like mitten (Michigan) and this (re- to stay smaller and closer to the gional strategy) is as much as we marketplace.” plan to grow.” At $12 million in sales and 35 Although revenue has climbed employees at one location, Satter- each year since 1991, when Mc- lund Supply has occasionally held Givern bought the $1 million-per- talks about acquisitions or expan- year operation from its founder, the sion but has never had a regional growth began accelerating for The strategy like The Macomb Group, Macomb Group at the end of 2003. Satterlund said. At that time, U.S. Flow was sell- McGivern and Margolis note ing its remaining assets in U.S. that, even in struggling times for Bankruptcy Court. That company construction businesses, the com- had formed in 1999 as a merger of pany has stayed on solid financial Grand Rapids-based The Bertsch ground because it has no real resi- Co., Cincinnati-based Mutual Manu- dential component to its business facturing and Conyers, Ga.-based and has sought out pipe supplier Piping & Equipment. agreements for construction pro- At that time, The Macomb jects at local university campuses Group was a $46.1-million-a-year and school districts, which have operation with six branch offices. weathered the economic downturn It picked up two more locations, fairly well. Midland and Lansing, out of the The company also makes sure U.S. Flow bankruptcy as well as a its branch locations are within a considerable inventory of pipe and two-hour drive or so of each other, steel products. so they can make use of each oth- “If you want to be entrepreneur- er’s inventory and also contain ial as a company, times like that fuel costs while meeting customer also become an opportunity to pick orders, McGivern said. He adds up some of the right people,” Mar- that sustained, controlled growth golis said. “We got a lot of good tal- has served the company and its ent out of (U.S. Flow) that has also customers well over the years. helped us grow.” “Sometimes, if you reach for the Then steel prices jumped consid- stars but land on the moon, every- erably in 2004, allowing The Ma- one is happy,” he said. comb Group to sell much of the Chad Halcom: (313) 446-6796, U.S. Flow inventory at a consider- [email protected] DBpageAD.qxd 9/4/2008 3:29 PM Page 1

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Page 36 CRAIN’S DETROIT BUSINESS September 29, 2008 Mexican companies to rent space in TechTown, Chinese negotiating

BY TOM HENDERSON Randal Charlton, TechTown’s ex- phones, comput- will provide intro- tor he designed to members of the CRAIN’S DETROIT BUSINESS ecutive director, said negotiations ers and other ductions to local local medical community and are under way with economic-de- equipment in Until now, company execu- Wayne State researchers. TechTown, the business incuba- velopment officials in the Chinese what is being “ tives and econom- Mishler said the push to get tor and research park associated city of Wuhan to called the Soft NAFTA has been ic development of- more Mexican companies to estab- with Wayne State University, has establish a simi- ficials in counties lish U.S. operations is a result of a signed an agreement with the Mex- Landing Center. primarily a one- lar relationship. Visitors will also around Southeast Mexican-based joint venture of the ican government that will provide He hopes to have Michigan. U.S. and Mexican governments be able to avail temporary office space to about 25 the first Chinese way relationship This will be the called TechBA, short for technology themselves of oth- Mexican companies looking to es- company here fifth such collabo- business accelerators. tablish partnerships or find cus- by the end of the er TechTown re- going south. This is ration involving “Until now, NAFTA has been tomers in Michigan. year. sources, includ- a way to get things Mexican compa- primarily a one-way relationship, The first company is expected to TechTown ing office support nies. Others al- going south,” said Mishler. “This arrive in November. The first com- has started a staff, discounts ready under way is a way to get things flowing in panies will be auto suppliers hop- flowing in the China Business on printing needs are at Stanford Uni- the opposite direction.” ing to make inroads with the local Charlton Club in conjunction with WSU and and such office opposite versity, the Univer- “We’re going to make it easy to auto supply chain, with future sity of Austin and bring new businesses here,” said hosted the club’s third meeting equipment as fax- companies being in life sciences universities in Charlton. “Another advantage last week. es and copiers. direction. and alternative energy, said Four or five of ” Toronto and we’ll be selling is we’re right on Robert Mishler, TechTown’s inter- To accommodate foreign visi- the offices will be Robert Mishler, Madrid, Spain. the border with Canada.” im general manager. The compa- tors, TechTown is equipping nine dedicated to the TechTown Charlton said Mishler said the official arrival nies are expected to arrive in the offices in 5,000 square feet of space Mexican compa- translators even- date in November of the first Mexi- next couple of years. on the first floor with desks, nies. Charlton said they will be es- tually will be available through can company will be based on the tablished, small companies, not ten- Wayne State in 100 languages as availability of the Mexican secre- ants in need of incubation services. TechTown expands the program. tary of commerce. He said Tech- He said companies can rent the For now, both receptionist Nitza Town will host a welcoming event space for as little as a day, if, for ex- Ramirez and Mishler speak fluent for the company and the secretary, ample, officials are flying in for Spanish. inviting 300 executives from the meetings, or for months while they The Soft Landing Center had its auto supply chain, including meet with prospective customers or first customer earlier this month, OEMs and tier-one suppliers. look for permanent space to lease. a professor from Hungary who Tom Henderson: (313) 446-0337, He said TechTown officials also wanted to show a fetal heart moni- [email protected] Forgotten Harvest to start mobile food pantry for area’s poorest neighborhoods

BY SHERRI BEGIN boxes in their own facilities and distributed them CRAIN’S DETROIT BUSINESS from their own trucks, tapping community groups to get the word out about the distribution. Over six It may seem paradoxical that many areas of metro weeks, the program provided food for 1,055 families Detroit don’t have access to fresh foods and even and 2,738 children, said Monica Luoma, director of shelf-stable foods, given the area’s predominantly ur- communications and events, in an e-mail. ban landscape. But overlays of poverty-stricken areas Of those families, 83 percent said they were unem- in Wayne, Oakland and Macomb ployed. counties against pantry and emer- There are countless areas that need the food, Good- gency food providers in those coun- ell said, but Forgotten Harvest initially plans to re- ties show another picture, said Su- turn to Osborn and to distribute in the Brightmoor san Ellis Goodell, executive and Northend neighborhoods, provided it can find director of Oak Park-based food res- church or community groups to help get the word out cue Forgotten Harvest. and to help distribute food. “In reality, when we start The nonprofit agency has increased the amount of drilling down ... we realize there food it rescues by 1 million pounds for each of the past are whole areas of our community eight years, and it plans to do it again this year, Good- that don’t have the services they Goodell ell said. need,” she said, because there isn’t Forgotten Harvest rescued 9.5 million pounds of a strong nonprofit agency or pantry in place to pro- food in fiscal 2008 ended June 30, with help from new vide food. food donors including Great Northern Hydroponics in “The agency partners we have are wonderful, but Ontario, Sam’s Club and 15 new stores that Kroger we have to recognize there are neighborhoods that bought from Farmer Jack, Goodell said. don’t have them, and we still have an obligation to get Still, “this is not a one-truck solution,” Goodell food to those,” Goodell said. said. “This community really needs to find ways to Forgotten Harvest distributes rescued fresh and get food into these neighborhoods.” perishable foods to 147 soup kitchens, shelters and Forgotten Harvest and Gleaners are looking for pantries in the tri-county area. In October, it plans to ways to continue collaborating on mobile food pantry launch a mobile food pantry to take food into the poor- services, she said. est pockets of those counties starved for emergency Getting food into impoverished areas of the three food providers. They’ve identified those areas counties is a goal of Gleaners’ through U.S. Census data. strategic plan, DeWayne Wells, The three-year project will be funded by a $105,000 president of Gleaners Community grant from the Jewish Fund. Food Bank in Detroit said. The food Forgotten Harvest is benchmarking the Second Har- bank is looking at ways to integrate vest Gleaners Food Bank of West Michigan Inc. in Com- the truck it acquired and retrofitted stock Park near Grand Rapids in developing its mo- for the pilot project into its regular bile food-pantry operation. “We are … basically adapting the mobile pantry food distribution operations. concept that was developed largely to serve under- The model is a cost-effective way served rural areas … (for) underserved urban areas,” to get food to residents in those ar- Goodell said. Wells eas, since it doesn’t require that an- Forgotten Harvest’s mobile food pantry launch fol- other nonprofit have a building or lows a pilot project — funded by Charter One Bank — space with installed refrigeration, he said. for distribution of food to the Osborn neighborhood in “I certainly think it (also) has applications as we northwest Detroit this summer with Gleaners Commu- look at being a part of disaster (response) planning,” nity Food Bank of Southeastern Michigan. Wells said. Under that program, the two nonprofits prepacked Sherri Begin: (313) 446-1694, [email protected] DETROIT BUSINESS MAIN 09-29-08 A 37 CDB 9/26/2008 10:21 AM Page 1

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 37 More manufacturers scout military contracts Did You Get the Message?

® Inner Circle 2008 as auto industry lags Microsoft Dynamics Top 1% of first tech direct Presidents Club Microsoft Dynamics® 2008 more than software Partners Worldwide BY CHAD HALCOM finish a database of all businesses CRAIN’S DETROIT BUSINESS in the state PTAC system before the end of the year. The directory Two years ago, many Michigan will be a reference tool for govern- First Tech Direct specializes in selecting, implementing, deploying manufacturers and suppliers ment agencies seeking manufac- and managing Microsoft Dynamics GP, Microsoft Dynamics SL, seemed to think their automotive turing or production capabilities. Microsoft Dynamics CRM (Customer Relationship Management) customers soon would recover Lott also said his office is meeting and Microsoft Dynamics AX. First Tech Direct offers extensive from the downturn, and many its 2008 fiscal year goal of doubling Microsoft Dynamics experience and proven methodologies that missed or ignored signs of in- both the number of PTAC clients will increase your business’ efficiency, productivity creased defense industry activity and the contract dollars directed to and profitability. in the state. Michigan client companies. Events Now, the message is sinking in. The fiscal year ends Sept. 30, and “Popping with Greatness” Microsoft Dynamics CRM Event About 300 people — many of in the third quarter ending June 30 Oct. 16, 2008 | 3:00pm - 6:00pm Your Microsoft Dynamics® them representing suppliers, fab- the center had already tallied $493 Microsoft Regional Office | Southfield, MI Partner ricators and other manufacturers million in contracts to Michigan 2008 in Southeast Michigan — attended companies, up from $312 million in Register At: www.firsttechdirect.com/CRM_showtime.htm the second annual Fall Business fiscal 2007. Top Killer VARS by Accounting Technology Event earlier this month in Troy, That puts the center on pace to Services: andImprove service customer effectiveness satisfaction “Building Your Toolkit for Gov- total between $600 million and $650 Marketing: ernment Business,” held by the Na- million in contracts by the end of marketingMake more decisions informed tional Defense Industrial Association this month, Lott said. Michigan Chapter. 2482910138 Sales: leadsGenerate and moreclose He’s already set ACT deals faster

That’s an in- his sights on a CONT 2482910138 crease from the More suppliers goal of doubling 225 or so who at- “ the aggregate val- tended last year’s and other ue of all Michigan inaugural gather- contracts again, ing, said event companies are to more than $1.2 26622 Woodward Ave., Suite 105 chairwoman Con- billion in fiscal Royal Oak, MI 48067 stance Blair, pres- looking seriously at 2009. p: 248.291.0138 ident of Warren- “Adding that [email protected] based defense us who weren’t a much more to the contractor Tech- state in just one nology Ventures couple of years year is a bit of a Inc. and a member stretch goal,” he of NDIA-Michi- ago. said. “But I’ve set gan’s board of di- ” the goal because I rectors. Beth Cryderman-Moss, think we can Blair estimated Macomb County and Thumb PTAC make it.” that only 100 or so office at MCC Both Lott and attendees were re- Beth Cryderman- peat visitors. Moss, director of the Macomb “I’d say either they (new atten- County and Thumb regional PTAC dees) had a small presence in the office at MCC, said the military industry and are now looking to has an elevated demand for manu- grow on that with new contracts, facturing, and the main challenge You’ve earned it. or they (were) here to learn the has been finding the manufactur- guidelines and get involved for the ers with the specific capability and first time,” she said. “Defense is interest to meet it. beginning to attract new business “But we definitely see new inter- and land entirely new contract dol- est. More suppliers and other com- lars with Michigan companies, panies are looking seriously at us and that is encouraging.” who weren’t a couple of years ago Also on the increase is business when they still thought the auto- participation in the state’s 11 Pro- motive (industry) was going to re- curement Technical Assistance cover.” Centers, nonprofit organizations That seems to be part of the sto- co-funded by the federal Defense ry for Clinton Township-based Logistics Agency and the state’s De- Burkard Industries Inc., which pro- fense Contract Coordination Center, vides coatings and paintings for an agency of the Michigan Economic some automotive equipment and Development Corp. began taking on military produc- Currently, the state’s PTACs tion work in 2006. have 2,192 active client companies The company, an exhibitor at pursuing U.S. Department of Defense the NDIA event last month, be- contracts. About 977 are new clients came a supplier for primary de- who have signed on since last Octo- fense contractor BAE Systems earli- ber, said Rosanne Oliver, capture er this year and recently began team manager for the Defense Con- providing top coat paintings to tract Coordination Center. components of Mine Resistant Am- The procurement centers assist bushed Protected vehicles, now in businesses in landing contracts heavy production and deployed with the Department of Defense into Iraq and Afghanistan, said and some state and local govern- vice president Dona Burkard. ment contracts. Some 1,088 local In two years, defense-related businesses have signed on as work has grown to nearly 20 percent Trust your wealth clients through the three local of the company’s $6 million to $7 management to PTAC offices at Macomb Community million annual revenue, and the College, Schoolcraft College and company will likely add up to 10 jobs people who get it. Powerful. Personalized. Performance. Wayne State University. to its nearly 100 employees for a sec- Bradley Lott, director of the De- ond shift of production, she said. 734.242.2205 UÊÜÜÜ°“L>˜`Ì°Vœ“ fense Contract Coordination Cen- Chad Halcom: (313) 446-6796, ter, said his agency is working to [email protected] DETROIT BUSINESS MAIN 09-29-08 A 38 CDB 9/26/2008 10:21 AM Page 1

Page 38 CRAIN’S DETROIT BUSINESS September 29, 2008 Utilities look for gold in garbage and gas

BY MAUREEN MCDONALD the company with anticipated sales SPECIAL TO CRAIN’S DETROIT BUSINESS of $10 million in 2008, up from $9.5 in 2007, runs an environmental con- Methane gas isn’t the easiest ma- sulting and construction business terial to handle. Highly flammable, in several states and is a consultant it is usually burned off at landfills to the landfill. St. Clair County built rather than captured for use. two, 3-acre trash disposal sites, in- But with soaring energy costs, jecting one with leachate and one utilities are looking to make the with bacteria-laden septic waste most of waste-to-energy initiatives. that accelerates decomposition to Detroit-based DTE Energy Co. sub- produce methane. The dual waste sidiary DTE Biomass Energy has streams make it unique. marked 20 years of methane har- St. Clair County generates 3 mil- vesting at a 120-acre site in the lion gallons of septic waste each Riverview Land Preserve operated year, and nearby wastewater treat- by the city of Riverview. It uses de- ment plants do not treat septic TH composed waste, called leachate, for sludge, according to Subbarayan. 10 ANNIVERSARY CELEBRATION fuel. A celebration of continuous re- Until 2005, when his company lob- ENJOY OUR SPECIAL MENU FEATURING A 3 COURSE MEAL FOR $47. newable power bied the Michigan generation took Department of Envi- For a limited time only. place at the facili- Methane is a ronmental Quality ty, 20000 Grange “ and the state Sen- Road, on Sept. 15. natural leachate . . . ate with commis- “Technology for sioners from St. turning methane the pilot study is to Clair County to into fuel was in its pass enabling leg- infancy then,” make it happen at a islation, septic said Scott Simons, waste wasn’t al- senior specialist, much faster rate, lowed in landfills. external commu- The patented nications, for DTE call it a brand new process hastens Energy. decomposition by The Riverview munching weaving pipes for septic seasoning www.Camerons-SteakHouse.com s project is part of the biomass sub- machine. of the trash sidiary with 28 ” through the top, methane recovery Chuck Hersey, middle and bot- programs thriv- Southeast Michigan Council tom of the landfill. ing in the United of Governments A similar network States, including of pipes collects Orlando, Fla., and Montgomery, methane from the bioreactor. Ala. Methane is one of the most vir- By 2010, St. Clair County expects ulent of greenhouse gases, 20 times to harvest methane, build a process- as potent as carbon dioxide at trap- ing plant at the landfill and make ping heat in the atmosphere. The biofuel for electrical generation, DTE process traps methane into heating, and possibly vehicle fuel. wells and pipes connected under- “The difference between the St. ground to a recovery facility. Clair project and most landfills is The gas-recovery project in that methane is a natural leachate Riverview, constructed in 1987 for ... the pilot study is to make it hap- $8 million, recoups more than 4.2 pen at a much faster rate, call it a million cubic feet of gas per day, ac- brand new munching machine,” cording to DTE. Two solar gas tur- said Chuck Hersey, environmental bines operate 24 hours a day to use program manager at the Southeast landfill gas and generate electricity Michigan Council of Governments. “If it for sale to DTE Energy. The 6.6- works properly, it will create ener- megawatt facility produces enough gy faster, create more trash space in “clean” electricity to continuously the landfill and allow a green dis- power more than 5,000 homes. posal method for human waste.” With Riverview as one of its Beyond capturing landfill energy templates, DTE Biomass generated sources, there are efforts to find or- 2007 revenue of $32 million. At the ganizations that can use waste same time the cities control their products to produce other products landfill-gas emissions, what DTE or generate energy. Biomass Facility Manager Jeff Michael Donahue, vice president Macek calls “a good fit — a perfect for water resources and environ- 8PYÀ^ ,YY`LW .LWPYOL] meeting of fuel and function.” mental services for the Southfield =PQ  !5 The company is the nation’s sec- office of San Francisco-based URS Md ;L_PV ;STWT[[P ond-largest producer of recycled Corp., an engineering and planning landfill gas and is looking for more service company, has been working sites, said DTE Energy Chairman with SEMCOG and the U.S. Business and CEO Anthony Earley Jr. in an Council for Sustainable Development to interview earlier this year with find private-sector partners for a pi- Crain’s. lot study for turning waste streams “The trick is finding a site into fuel or manufacturing materi- where the gas production is large al. The idea is to make Michigan a enough to justify building the in- site for grants for demonstration frastructure,” Earley said. projects such as sewer line backfill, DTE isn’t alone in its interest in landscape screening berms and con- landfill gas. struction foundations. Brighton-based engineering firm Progress is slower than Don- CTI and Associates Inc. developed a ahue had hoped. But he and SEM- bioreactor at Smiths Creek Landfill COG are working toward generat- in St. Clair County that is expected ing more financial support. www.ahee.com to produce methane for fuel by 2010. Staff writer Amy Lane con- Morgan Subbarayan, president of tributed to this story. DBpageAD.qxd 7/28/2008 3:04 PM Page 1

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Page 40 CRAIN’S DETROIT BUSINESS September 29, 2008 PEOPLE ARCHITECTURE DMC-Children’s Hospital of Michigan, member, Ann Arbor, from partner, real estate analyst, from real estate Butzel Long, Ann Arbor. analyst and developer, Fairview to direc- Detroit, from assistant professor of pe- Alan Cobb IN THE SPOTLIGHT Builders, Rochester Hills; and David tor of sustainable diatric urology and director of pedi- Sam Locricchio atric urology basic research, Johns MANUFACTURING Beneteau to vice president of project design, Albert management, from healthcare and Kahn Associates has been Hopkins University School of Medi- Steve Tokarz to director, new product named higher education business sectors, Inc., Detroit, from cine and Medical Institutions, Balti- development, BrassCraft Manufactur- Skanska USA Building-Midwest Re- director of archi- president of more. ing Co., Novi, from senior director of Troy-based gion, Southfield. tectural and de- Daniel Dwyer to product engineering. Also, Patty Stin- John Bailey & sign services. senior vice presi- son to director, business development Jeff Gourlie to president, Kramer-Triad Associates dent, mission in- gas products, from director of busi- Tracy Koe Wick to Management Group L.L.C., Ann Ar- Public tegration, Trinity ness planning; Mahesh Cheerla to di- director of client bor, Farmington Hills and Troy, from Relations. Health, Novi, rector, business development water services, Neu- vice president and COO. Also, Craig mann/Smith Ar- Locricchio, 43, from director of products, from director of product de- velopment; and Tod Mapes to director, Koss to regional vice president, Asso- Cobb chitecture, South- was hired as mission and com- packaging engineering with responsi- cia, from president, Kramer-Triad field, from manager, The Kirkwood munity health, Locricchio vice president bility for green initiatives, from direc- Management Group L.L.C. Group, Ann Arbor. Sisters of Mercy in November tor of product engineering. and replaces founder John Bailey, Health System, SUPPLIERS CONSTRUCTION who becomes the agency’s Chesterfield, Mo. Joan Byrne to pur- chairman and will also be a senior chasing manager, Jason Forcier to vice president and Robert Stempien Stahls’ ID Direct, counselor to clients. Dwyer INFO/TECHNOLOGY general manager-global electronics, to senior director St. Clair Shores, Lear Corp., Southfield, from president Robert Little to president, SolidThink- of business devel- Before joining John Bailey & from director of and CEO, Etas Inc., Ann Arbor. opment, Barton Associates, Locricchio had been ing Inc., Troy, from president, Altair purchasing for Malow, South- communications manager for Engineering Canada, Toronto. North America, field, from direc- Chrysler L.L.C. in Auburn Hills. David Brunet to Plastic Omnium PEOPLE GUIDELINES tor of business de- Locricchio earned a bachelor’s PeopleSoft prac- Auto Exteriors, velopment. degree in speech communications tice director, Troy. Also, Brian Announcements are limited to and public relations from Wayne MiPro Consulting, McLeod to gener- management positions. Nonprofit EDUCATION State University. He’s also the lead Milford, from se- al manager, from and industry group board nior principal Byrne vice president of Marick Masters to singer of the Exhaust Tones, a appointments can be found at consultant. corporate marketing, Roland DGA director of the local rock band made up of www.crainsdetroit.com. Send Stempien Group, Irvine, Calif. Douglas A. Fraser automotive industry folks. LAW submissions for People to Joanne Center for Work- Scharich, Crain’s Detroit Business, tor of equal oppor- REAL ESTATE place Issues and Michael Blum to 1155 Gratiot Ave., Detroit, MI tunity, from partner, Foster, Labor@Wayne, Steve Kim to real estate transaction 48207-2997, or send e-mail to deputy executive Swift, Collins and Wayne State Uni- Brunet manager, Plante Moran Cresa, South- [email protected]. Releases director, the Smith P.C., Farm- versity, Detroit, field, from corporate real estate con- must contain the person’s name, Hawaii Civil ington Hills, from shareholder, Abbott from professor of sultant, Newmark Knight Frank-De- new title, company, city in which Rights Commis- Nicholson P.C., Detroit. troit, Farmington Hills. Also, Lacy business adminis- the person will work, former title, sion, Honolulu. Steven Enwright to member, Dickin- Vandruska to real estate transaction tration and public son Wright P.L.L.C., Detroit, from manager, from associate, Newmark former company (if not promoted and international HEALTH CARE principal, Raymond, Enwright & Ul- Knight Frank-Detroit, Farmington from within) and former city in affairs, the Univer- rich P.C., Farmington Hills. Also, Hills; Alicia Washeleski to senior pro- which the person worked. Photos sity of Pittsburgh, Yegappan Laksh- Robert Powell to member, Detroit, ject manager, from senior project are welcome, but we cannot Jones Pittsburgh, Pa. manan to chief of from in-house attorney, Ford Motor planner, General Motors Corp., De- guarantee they will be used. Also, Christopher Leon Jones Jr. to direc- Lakshmanan pediatric urology, Co., Dearborn; and James Hughes to troit; and Carolina D’Anna Furnari to DETROIT BUSINESS MAIN 09-29-08 A 41 CDB 9/26/2008 10:22 AM Page 1

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 41 CALENDAR 1:30pm. Oct. 9. De- CEO, Henry Ford Health System; Mari- Contact: Kalisha Gaines, (313) 596- Future. Vladmir’s, Farmington Hills. TUESDAY troit Economic anne Udow-Phillips, director, Center for 0392. $30. Contact: (248) 353-0735, ext. 112. SEPT. 30 Club. Marc Morial, Healthcare Research & Transforma- president and tion, Ann Arbor; John Schwarz, former New Leadership for America-What Detroit Economic Club. 11:30 a.m.-1:55 CEO, National Ur- U.S. Representative; and Ron Dz- Leadership Detroit Alumni Rockin’ on Does it Mean for U.S. Manufacturing? p.m. Matt Ferguson, president and CEO, ban League. Ma- wonkowski, editorial page editor, De- the Rooftop. 5-7:30 p.m. Oct. 14. De- 11:30 a.m.-1:30 p.m. Oct. 13. Detroit careerbuilder.com. Troy Marriott. $40 sonic Temple, De- troit Free Press. Detroit Marriott at the troit Regional Chamber. Join Leader- members, $50 guests of members, $75 Economic Club. John Engler, presi- troit. $40 Renaissance Center. Free. Reserva- ship Detroit alumni for this informal nonmembers. Contact: (313) 963-8547. dent, National Association of Manu- members, $50 tions required. Contact: (313) 874-7178. facturers and former Michigan gover- networking event. Zaccaro’s Market, guests, $75 others. nor. Cobo Center, Detroit. $40 Detroit. $35 Leadership Detroit Alum- Contact: (313) 963- ni, $45 others. Contact: Beverly Mad- WEDNESDAY Maverick Marketing Monday-“Be- members, $50 guests of members, $75 8547. nonmembers. (313) 963-8547. dox, (313) 596-0343. OCT. 1 Morial come Relevant or I’ll Ignore You.” Noon-1:30 p.m. Oct. 13. Detroit Re- Engineering Society of Detroit’s Re- Health Coverage in America: Under- gional Chamber. Peter DeLegge, pub- The Role of Professional Societies in Leadership Michigan: Driving Busi- gional Development Breakfast. 7 a.m. standing the Issues and Proposed So- lisher, “Marketing Today” blog and Re-Engineering Michigan’s Economy. ness Success. 7:30-10:30 a.m. Oct. 14. Oakland County Executive L. Brooks lutions. 6-8 p.m. Oct. 9. Michigan Cov- online magazine. The Detroit Zoo, 5:30-9:30 p.m. Oct. 13. Engineering So- Engineering Society of Detroit. Gerald Patterson. Rock er the Uninsured Network. Henry Ford Education Center, Royal Oak. ciety of Detroit and the Detroit Chap- Financial Show- Aaron, senior fellow, Brookings Insti- $20 Detroit Regional Chamber mem- ter of ASM International. Keith van Grinsen, CEO, Henry Ford Hospi- place, Novi. $35 tution, Washington, D.C. Nancy bers, $40 nonmembers, $65 for a Mav- Cooley, director, Michigan Depart- tal West Bloomfield. ESD headquar- members, $50 oth- Schlichting, chair, Michigan Health & erick Marketing season one pass ment of Labor & Economic Growth; ters, Southfield. $95 members, $125 ers. Contact: (248) Hospital Association and president and (available to chamber members only). and Lou Glazer, president, Michigan others. Contact: (248) 353-0735, ext. 155. 353-0735, ext. 112.

Town Hall: “Blue- print D p3.” 6-8 p.m. Fusion De- troit, the young Patterson professionals or- ganization of the Detroit Regional Chamber. Communi- ty forum for young professionals. Taqueria El Nacimiento, Detroit. Free. Contact: (313) 596-0488. FRIDAY OCT. 3 “I’m a better doctor than I am a CFO. Business and Legislative Forum.7 a.m.-noon. Michigan Business and My patients should be reassured of that.” Professional Association. Dave Bing, The Bing Group. With a roundtable discussion on the Dr. Bodrogi came to us for a checking account. But when we listened to her plans, we found other ways we Michigan Busi- ness Tax. Burton Manor, Livonia. could help her business, with a line of credit, and even a retirement plan while she focused on her practice. $25 members, $40 others. Contact: (888) 277-6464. We also introduced her to Key4Women, where she found networking opportunities that led to a new lawyer and a

TechTown First business partner. Introduce yourself to Key4Women and get more of the story at moneyneedsattention.com Friday. 4-6 p.m. Bing Networking event for meeting entrepreneurs and getting to know the TechTown community. TechTown, Detroit. Contact: www.techtownwsu.org. COMING EVENTS Automation Alley’s Marketing Plan Bootcamp. 8 a.m.-4 p.m. Oct. 7. Semi- nar to build a 2009 marketing plan. Automation Alley, Troy. $60 mem- bers, $120 others. Contact: www. automationalley.com.

Entrepreneurship and Excellence. 8:30 a.m.-5:30 p.m. Oct. 8. Wayne State Uni- versity. David Brandon, president and CEO of Domino’s Pizza; and Mary Ellen Dr. Anita Bodrogi Sheets, founder and former CEO of Two Key4Women Member Men and A Truck. Wayne State Univer- sity, Detroit. $150. Contact: Nicole Yel- land, (248) 304-1442.

CEO Forum featuring Quicken’s Bill Emerson and first gentleman Dan Mul- hern. 8:30-10 a.m. Oct. 9. Quicken Loans, Michigan Economic Develop- ment Corp., and the office of first gen- tleman Dan Mulhern. Quicken Loans, Southfield. Free. Contact: Bob Met- zger, (517) 241-4015.

The Need for a Plan to Confront Ameri- ca’s Jobs and Housing Crisis. 11:30 a.m.-

CALENDAR GUIDELINES More Calendar items can be found on the Web at www.crainsdetroit. com. Please send news releases for Calendar to Joanne Scharich, KeyBank is Member FDIC. All credit products are subject to credit approval. ©2008 KeyCorp. Crain’s Detroit Business, 1155 Gratiot Ave., Detroit, MI 48207- 2997, or e-mail jscharich@ crain.com. You also may submit Calendar items in the Calendar section of crainsdetroit.com. DETROIT BUSINESS MAIN 09-29-08 A 42 CDB 9/26/2008 10:29 AM Page 1

Page 42 CRAIN’S DETROIT BUSINESS September 29, 2008 Federal fund valuable tool for small-biz innovators

BY NANCY KAFFER two-year, $500,000 contract. proposals. CRAIN’S DETROIT BUSINESS Twenty years later, Jacobus is “It’s a federal set-aside,” said the CEO of Ann Arbor-based Cyber- Lisa Kurek, managing partner of In 1989, Heidi Jacobus was a grad net Systems, the company she built Ann Arbor-based Biotechnology student with a part-time job in the around those early SBIR grants. Business Consultants. “It’s mandat- University of Michigan library system. Her success, Jacobus said, could ed to set aside the budget to fund Asked to index proposals to the fed- programs. The agencies don’t have be replicated by any company with eral government’s Small Business In- the discretion to not spend the innovative work and the ability to novation Research program, Jacobus, money in small business.” submit a SBIR proposal. whose academic work centered on a Kurek’s firm helps small-busi- The SBIR program is a federal field called ergonomic cognition, ness owners apply for SBIR fund- saw an opportunity. fund, this year worth $2.5 billion, ing, through grants or contracts, Jacobus’ own proposal was ac- set aside for 11 federal agencies to under a contract with the Michigan cepted and she received a $50,000, allocate to tech-oriented small- six-month U.S. Department of Defense business owners. The program Economic Development Corp. contract to develop technology used publishes a list of solicitations for “We’ve been doing training in airplane cockpits, followed by a which business owners may write through the MEDC for almost eight years,” Kurek said. “By no means do we help everyone in Michigan, but we get them funded at about two times the national av- MARKET PLACE erage.” Many small-business owners choose to do their own paperwork, ANNOUNCEMENTS & BUSINESSES FOR SALE and others seek assistance from companies like Kurek’s. SERVICES Franchise Bounce Party facility. Established cus- tomer base, strong repeat business. Below market In 2007, 99 of 551 proposals were FILE STORAGE lease. New equipment. Perfect for hands-off or -on funded, about 18 percent, accord- owner. Owners’ transferring. Call 734-455-0323 Large scale (MAXI) storage units. Great for RV’s, ing to the Ohio-based State Science boats, cars, warehousing. 14 x 14 door, heated, 24/7 INVESTMENT OPPORTUNITIES and Technology Institute, a nonprofit entry, secured. Buy/Lease - I-94 & 26 Mile Area that tracks such statistics. The na- 800-945-5816/www.stclairstoragecondos.com Newly formed Detroit area corporation engaged in infrastructure repair and MDOT work is tional average is 17.2 percent, FINANCIAL SERVICES SEEKING INVESTOR / PARTNER Kurek said. Contact 248-941-3469 Neighboring states fared about FINANCING AVAILABLE For Small to Upper Mid-sized firms, private or public, EQUIPMENT & the same, with 19 percent of Illi- in Tech, Med’l, Health & Service Ind.- confidentiality nois’ proposals receiving awards maintained. Contact: [email protected] MERCHANDISE and 17 percent of Ohio’s. Wiscon- Corporate Finance Professional Available to assist with bank refinance, capital raise, INDUSTRIAL EQUIPMENT sin has a 23.3 percent approval sale or acquisition assistance. 30 yrs exp. Transac- rate, according to SSTI. tions $3 to $100 million. [email protected] Need More Space? Kurek said some business own- COMMERCIAL LENDING 100K-25M - No Income Verification ers are discouraged by the propos- Hard / Soft Money / Many Sources al process, about 25 pages long. Ja- [email protected] or call Larry 248-474-8470 NATHAN SKID/CRAIN’S DETROIT BUSINESS cobus likens the level of difficulty Heidi Jacobus is CEO of Cybernet Systems, the company she built from grants to an advanced term paper, noting she received through the Small Business innovation Research program. CAPITAL AVAILABLE that it’s not a fill-in-the-blank style If you have an opportunity that requires form, but said most people should the funding. SBIR awardees. funding but does not fit traditional be able to handle it. banking parameters - contact us. We do “The ‘I’ is for ‘innovation,’ so “Michigan has a small program “The problem for small busi- not fund senior/mezzanine debt or $ , 95.00 you need to be doing something in- like this, they will match $15,000 working capital. We focus on special Starting at 1 8 nesses is, if you’re unfamiliar with novative,” she said. “But there are situations with investment size ranging of a $100,000 proposal,” she said. ARESCO, Inc. how to read the solicitation or how a lot of topics that could be put out $500K to $10 million. Total “Some states have seen SBIR as a committed capital of $100 million. We Pontiac, MI aresco.org to write a proposal, you may write there, and there are a lot of compa- have an in-house legal team, can think 1-877-227-3726 a proposal that is uncompetitive,” huge economic-development "outside the box" and act quickly. Toll Free nies in Michigan that don’t even tool.” Please refer to www.etccapital.com Kurek said. know they’re doing something in- or call 248-560-0203 ext. 101 OFFICE FURNITURE That’s where her company novative that could give it a Nancy Kaffer: (313) 446-0412, for more information. comes in. whirl.” [email protected]. MUST SELL, OFFICE CLOSED “You’re not going to get a hit if The SBIR program can be a valu- Desks $99, Chairs $39, Files $49, Partitions $50, LEGAL SERVICES - IMMIGRATION Lateral Files $99, Cubicles, Office Phone Systems you don’t get up to the plate,” able tool to build the high-tech Call (248) 548-6404 or (248) 474-3375. Kurek said. “You have to know the business community, Jacobus N. Peter Antone baseball game is going on and that said. CAREER AV-rated Immigration Attorney TELECOMMUNICATIONS “You have customer validation Adjunct Professor Immigration Law at MSU you can get up to bat. Improving LUCENT . . . AVAYA. . . 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Economy Protected, No Selling, Not MLM enough time to complete the pro- she said. “See how it’s a perfect www.ezbankroll.com / 800-931-1480 WILL BUY new business situation for eco- ALL OFFICE TELEPHONE EQUIPMENT Call Us For Personalized posal. Please Call: 877-RICHARD Jacobus said that resources are nomic development?” Please Call: 877-742-4273 Service: (313) 446-6068 there for innovative businesspeo- Ideally, she said, the state VIDEOCONFERENCE SERVICES ple who are interested in seeking should offer matching grants to CLOSING TIMES: Monday 3 p.m., Complete Videoconference Services one week prior to publication date. Job Interviews, Legal Depositions, Business Meetings Convenient Troy Location, 3 Rooms, 1-200 Capacity Please call us for holiday closing times. Midwest Video 248-583-3632 www.midwestvideo.com FAX: (313) 446-1757 BUSINESS & E-MAIL: [email protected] INVESTMENTS INTERNET: Ann Arbor Film Festival selling DVD www.crainsdetroit.com/section/classifieds FRANCHISE OPPORTUNITIES The Ann Arbor Film Festival has be- award-winning and favorite short Confidential Reply Boxes Available gun selling on DVD a collection of films from the festival, along with PAYMENT: All classified ads must be films from this year’s 46th festival. experimental footage, commen- prepaid. Checks, money order or “We’re excited to extend the (fes- tary and auditions. Crain’s credit approval accepted. tival’s) efforts into distributing The festival is selling the DVD Credit cards accepted. some of our filmmakers’ work and collection for $25 by itself or as A FRESH ALTERNATIVE TO FAST-FOOD! See sharing revenue with them,” Exec- part of memberships at the $125 GREAT LOCATIONS AVAILABLE utive Director Donald Harrison, level or higher through its Web Contact Area Developer @ 248-207-6374 Crainsdetroit.com/Section/Classifieds said in an e-mail. site at www.aafilmfest.org. www.saladcreations.net for more classified advertisements The collection includes 10 — Sherri Begin DETROIT BUSINESS MAIN 09-29-08 A 43 CDB 9/26/2008 10:32 AM Page 1

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 43 Mileage bill could help put, keep nonprofit volunteers on the road

BY SHERRI BEGIN said Karen Schrock, president and CEO of D-N.Y.; John Ensign, R-Nev.; and 30 other duction rate, which has been fixed at 14 CRAIN’S DETROIT BUSINESS Adult Well Being Services, Detroit. co-sponsors, including Michigan Sens. Carl cents per mile since 1997. Current federal law — which hasn’t been Levin and Debbie Stabenow, as companion Ⅲ Raise the volunteer mileage deduction Federal legislation that would nearly dou- updated since 1997 — caps the tax exempt legislation to House Bill 6854, which was in- immediately to 27 cents per mile and ensure ble the volunteer mileage deduction to 27 mileage reimbursement for volunteers at 14 troduced Sept. 10. it doesn’t fall below the rate for medical cents could help stave off volunteer losses if cents per mile, said Lisa Sommer, media re- According to the Michigan Nonprofit Asso- mileage expenses in the future. it becomes law, nonprofits say. lations manager for the Michigan Nonprofit ciation, the legislation would do three things: Legislators hope to attach the GIVE Act While some nonprofits say volunteers are Association in Lansing. Reimbursement be- cutting back because of rising gas costs, oth- yond that must be treated as income. Ⅲ Exempt from a volunteer’s taxable in- to any bill that is currently moving ers have been able to maintain their volun- Senate Bill 3532, the Revised Giving In- come any reimbursement by a charity for through the Senate and House, such as the teer numbers — for now. centives to Volunteers Everywhere Act of mileage up to the business rate of 58.5 cents economic stimulus bill or disaster relief “We have not lost any volunteers yet, but 2008, or GIVE Act, was introduced last week per mile. bill, said Sommer. we’ve had (some) say to us they don’t know by U.S. Sens. Benjamin Cardin, D-Md.; Ⅲ Give the U.S. Treasury Department au- Sherri Begin: (313) 446-1694, how much longer they’ll be able to do it,” Olympia Snowe, R-Maine; Charles Schumer, thority to change the volunteer mileage de- [email protected] REAL ESTATE

AUCTIONS AUCTIONS AUCTIONS Horse Lover’s Paradise! Real Estate Auction Real Estate Auction On-site Sunday October 12th at 1pm Preview & Registration at 11am Open Houses: Sun Sept. 28th & Oct. 5th Noon-4pm Paradise anytime of the year! Magnificent slice of mother nature. 38 miles north of Oakland county sits 40 acres of serenity nestled between 2 lakes. Activities include swimming, boating, fishing, golfing, snow mobile riding, hunting, & more. 3 hole golf course, many accessible docks, trails for riding, 3 deer blinds, & beautiful views of all 4 seasons. Entertain On-Site Saturday Oct. 11th at 1pm your guests at the lake-side Tiki bar located on your private beach. Pole barn w/ walk out Preview & Registration at 11:30am horse stall & plenty of room for your four wheelers, golf carts, snow mobiles, etc. Custom built log cabin with panoramic views. Sensational property! www.40acres.org Opening Bid $350,000 Rose Auction Group, LLC Originally Listed at $1,950,000 877-696-7653 Beth Rose 1978 N. Youngs Road 2721 Metamora Rd., Lapeer Twp 48455 RoseAuctionGroup.com CAI Auctioneer Attica, MI 48412 Open Houses: Sun. Sept. 28th & Oct. 5th Noon-3pm Unspoiled natural beauty surrounds this INVESTMENT PROPERTY 38.49 acre parcel. Private lake and stocked pond. 80x120 Indoor arena, 2 cement and Luxury Lot Auction steel barns with 14 walk-out stalls and stallion barn. An additional 40 acres are 10 Lots - Mystic Cove at Stonewater available. Private artist’s studio with incredible breath-taking views. Fabulous 2 Lots will Sell to Highest Bidder! 3205 +/- sq ft colonial sporting all the grandeur of barn wood, stained glass, lead Horse glass French doors, skylights and musicians alcove in the grand living room. Offers 4 bedrooms and 3 full baths. Life's finer moments can have no more appropriate Facility Auction Northville Schools setting than this country estate! Luxury Walk-out Lake Lots Rose Auction Group, LLC Surrounded by High End Homes 877-696-7653 Chelsea, MI RoseAuctionGroup.com Beth Rose, CAI Auctioneer

INDUSTRIAL PROPERTY 80 acres located 15 minutes west of Ann Arbor. 80 x 200 Auction on-site Sun. Oct. 19th at 1pm AVAILABLE NOW indoor arena with 52 stalls, office, observationobservation room, room, area area for for Premier Location Preview and Registration at Noon tack store. Show barn with 40 stalls, 3 Olympic size outdoor Northville, MI 4,000 to 100,000 sq. ft. South Off 7 Mile between Beck & Ridge Road Also 10,000 & 25,000 sq. ft. arenas, and 2 warm-up arenas. New roof and some electric. Six Shimmering lakes, a boulder-strewn trout stream and a collection of distinctive Free Standing Bldgs w/truckwells. Facility has been prime show and training facility since the custom-built homes. At the heart of magnificent Stonewater stands Mystic Cove, the 1 Mile from Metro Airport middle 1960’s. Sealed bids to attorney must be accompanied with newest and most beautiful neighborhood. An enchanting group of custom-built homes embraced by the lovely Mystic Lake. Few neighborhoods offer the level of REA CONSTRUCTION letter from bank regarding financialfi nancial qualification qualification of purchaser of purchaser and and rewards that are so easily accessible along Mystic Cove. Swim or sail its crystalline lakes. (734) 946-8730 no finance contingency, $50,000$50,000 EMD, EMD, hard hard upon upon acceptance. acceptance. Soak in breathtaking views of the water, winding, landscaped streets, boulevards, and lovingly-tended parks and pathways. Call today for a brochure! Also Heavy Industrial Land Available Rose Auction Group, LLC Call Jim Chaconas for showings www.reaconstruction.net 877-696-7653 Beth Rose RoseAuctionGroup.com CAI Auctioneer (734) 995-1860 INVESTMENT PROPERTY OFFICE BUILDING CANTON: CONTRACTOR PROJECT LENDER ORDERED AUCTION Booming rental business and new construction. You build it and we’ll rent. 2.59 acres, next to Oakwood Three Commercial Buildings Medical Center. 18-20,000 cars pass daily. Ready to FORFOR SALESALE oror LEASELEASE Selling Absolute Over $600,000 build, $630,000. Call 734-320-7500 or 248-380-6418 62 East Lee Street LYON TOWNSHIP/BANK OWNED 12,000+/- sf with Offices & Warehouse with Four Drive Auction Date: in Dock Doors 12-unit rental townhouse project available. th Get a great deal on this investment opportunity. Tuesday, Oct 14 ,10:00 AM Contact Karen Shepherd at 248-290-5300 ext. 311 Auction Location:

62 East Lee Street & RESIDENTIAL PROPERTY 360 South Maple Street 360 South Maple Street 22,740+/- sf with Offices, Showroom & Warehouse with RAVINES OF NORTHVILLE 15 Drive in Dock Doors Grant, MI 49327 26 Unit Self-Storage Building John Bippus, Auctioneer/Broker 10% Buyer’s Premium, Other terms apply 2,000 built, Cape Cod, 4,000 sq. ft.+ 3,000 walkout. 30701 W. Ten Mile Rd. 2365-2369 Franklin Rd. 990 E. South Blvd. Multi-family ready, Imported upgrades, natural park Farmington Hills, MI Bloomfield Hills, MI Troy , MI for backyard. Everything else you would expect in this price home. $895,000. •12,700 SqFt Office Building •13,000 SqFt •6,744 SqFt Office Building Call 734-320-7500 or 248-380-6418 •2,500 - 6,500 SqFt Available •Freestanding Office Building •Suites Available from COMMERCIAL PROPERTIES INDUSTRIAL PROPERTY •Single Story Contemporary •Upgraded Finishes Throughout 800 - 6,744 SqFt Design •Single Story FEDERAL LEASED BUILDINGS/ AAA CREDIT WATERFRONT PROPERTY •Central Bloomfield Hills •Built in 2001 Location •Contemporary Style Ann Arbor, Port Huron, Flint •Easily Divisible 7 ½ % CAP $1.1M NOI •Separate Suite Entries •Located in Northeast Troy, ON ORCHARD LAKE •In Place Workstations Available 810-394-5522 •Close Proximity to I-96 Close to Rochester and M-59 4 bedroom ranch, 3 1/2 baths on •Close to All Major Freeways INDUSTRIAL PROPERTY 1.4 acres premium lot. 248-335-0104 •On Site Backup Generator Now Leasing: 83,700 sq. ft. www.5081commerce.com For More Info Please Contact: Leasing 2 Adj. Units - 50,000 & 56,000 s.f.(106,000 Where Quality Tenants Find Exceptional Value 200’ LAKEFRONT- 15 min. from Novi/Ann Arbor 248.324.2000 Rick Kaplan Todd Hawley comb) @ Burt Indust’l Pk. (I-96/Telegraph), Very on All sports Woodland Lake. 4100 sf new const. [email protected] [email protected] Clean, Dry, Well-Maint., Docks, Truck Pkg, EZ Catellus Group, LLC 810-695-7700 You select interior finishes. The dock is in, enjoy the Freeway Access. (248) 356 - 5466 lake now, move by Aug. 810-533-5014 or 18. 34975 W Twelve Mile Rd •Farmington Hills • Michigan • 48331 • www.friedmanrealestate.com DETROIT BUSINESS MAIN 09-29-08 A 44 CDB 9/26/2008 10:23 AM Page 1

Page 44 CRAIN’S DETROIT BUSINESS September 29, 2008 Beaumont: Downgrade of planned bond issuance a glitch in plans

BY JAY GREENE ty and multimillion-dollar losses stacked up with their rating level,” CRAIN’S DETROIT BUSINESS BEAUMONT HOSPITAL PROJECTS at Beaumont Grosse Pointe Hospital. Williamson said. “... They have Henry Ford Health System and St. solid operations, but they put a lot with shared financing under review Dennis Herrick believes the Royal Oak campus John Health System in Warren plan to of money into their plant.” nearly $900 million in bonds by Beaumont and ProCure, to be Ⅲ open two hospitals in West Bloom- Williamson said Beaumont’s ag- planned to be issued by William Renovations to the central and completed by 2010. north tower include a 50-bed gressive cost-cutting plan could Beaumont Hospitals over the next field Township and Novi, respec- medical progressive-care unit, Troy campus tively. In October 2007, Beaumont help improve its financial picture. year to fund the three-hospital sys- support space for respiratory care, acquired Beaumont Grosse Pointe Over the next two years, Beau- tem’s efforts to create a regional acute dialysis, pediatrics and Ⅲ Three-story, 131,015-square- mont plans to cut $60 million in ex- delivery system in Southeast foot ambulatory center on the east from Bon Secours Health System. neonatal intensive care, an penses by improving employee Michigan will expansion of the rehabilitation campus that includes outpatient During the first six months of and physician productivity, reduc- be worthy in- program from 26 to 33 beds and services for radiology, laboratory, 2008, Beaumont Grosse Pointe lost ing supply and malpractice ex- vestments. upgrades to 14 operating rooms. cardiology, nuclear medicine and $3.6 million, compared with a bud- penses, and controlling employee But with in- Projected cost: $127 million, to be vascular services. geted $7.6 million loss from opera- and retiree medical costs. vestment comes completed by December. Projected cost: $47.3 million, to tions and a $10.7 million loss in the risk, and Fitch Ⅲ A four-story, 346,300-square- be completed by May. same period in 2007. The losses de- In 2010, Beaumont and Oakland Ratings, Moody’s foot North Pavilion project that Ⅲ A two-story, 126,782-square- clined because of a 17 percent in- University plan to open a medical foot expansion to the emergency and Standard & includes replacing the emergency crease in admissions, Fitch said. school. More than $25 million al- center, building a new 36-bed center and a 3,000-square-foot Poor’s have is- Herrick said Grosse Pointe is ex- ready has been raised through intensive care unit, expanding auditorium with additional space philanthropy. sued cautionary critical care space and replacing for pharmacy and other services. In pected to lose money this year, financial re- “There was some concern to rat- Herrick four operating rooms. addition, a 104,000-square-foot break even in 2009 and turn a prof- ports in the past critical care tower and a west bed it in 2010. ing agencies about it, and there are Projected cost: $177.6 million, to some costs to add to execute this,” month that indicate continued be completed by December 2011. tower expansion. The three agencies also noted Herrick said. “On the short term, drops in Beaumont’s operating Ⅲ A two-story, 65,000-square-foot Projected cost: $122 million, to be additional downgrades could be profit margins and a planned $1.1 proton-beam therapy cancer center completed by August 2010. forthcoming if operating margins this can be a little drag on our op- billion spending plan through 2013 with five treatment rooms in a for- Ⅲ A two-story atrium project that continue to drop below the 0.51 erations, but long-term, this can could lead to bond downgrades. profit joint venture with ProCure includes a bridge from the east percent recorded for the first six really help to differentiate our- campus to the main hospital. While Beaumont’s bond-rating Treatment Centers, Bloomington, months of 2008 from 0.9 percent for selves with our competitors.” Ind. outlook remains stable, the agen- Projected cost: $7.2 million, with both 2006 and 2007. Total operating Overall, Herrick said the down- Projected cost: $158.7 million, expected completion date of July. cies downgraded a planned $757 revenue was $1.85 billion in fiscal grades will increase financing million bond issuance, noting a costs by about $1.5 million a year. Source: City of Royal Oak Hospital Finance Authority, 2007, Fitch said. weak balance sheet for its still Michigan Department of Community Health From 2000 to 2005, Beaumont’s Herrick said the hospital system above-average rating. The agen- average operating margin was 2.6 is delaying its planned $765 mil- cies also suggest that competitors the bond downgrades),” said Her- pending bonds to A from AA-. percent, Herrick said. But that still lion bond issuance because of the are growing stronger and could rick, Beaumont’s CFO. “We had Fitch also assigned an A+ rating was lower than the 3.5 percent fallout from Wall Street turmoil. threaten Beaumont’s dominant 26 been preparing our board about to the expected issuance later this Beaumont also could pay more percent market share. margin average from 1995 to 2000. the potential risk with a number of month of $757.3 million of hospital While Beaumont’s admissions in 2009, when it plans to issue an- But Herrick believes the down- the strategies we have been imple- revenue bonds through the City of rose 7 percent in 2007 to 85,829 other $175 million in bonds to fi- grades are a temporary glitch in the menting to reposition the system Royal Oak Michigan Hospital Finance from 80,115 the prior year, 40 per- nance a number of ongoing and master plan and that Beaumont’s for the long term.” Authority. cent of the increase came by new capital projects at its Royal long-range strategic plan — which Since early August, Fitch down- The rating agencies downgraded adding Grosse Pointe. Oak and Troy hospitals. includes developing a larger outpa- graded $655 million in Beaumont the bonds for three main reasons: But declining profit margins led “The rating agencies get con- tient footprint in Wayne, Oakland bonds to A+ from AA-, Moody’s Beaumont’s five-year $1.1 billion cerned when they see declining op- and Macomb counties — ultimately downgraded Beaumont’s upcom- capital expenditure plan, competi- Standard & Poor’s to conclude that erating margins,” he said. “We will generate higher margins. ing bond issue to A1 from Aa3, and tion from two new hospitals slated the AA rating is too high, said Bri- still generate a lot of cash flow. “We were not surprised (about Standard & Poor’s downgraded the to open in western Oakland Coun- an Williamson, S&P’s associate di- rector in Chicago. Historically, it has been 12 per- “When you look at Beaumont cent. It has fallen to 10 percent. We from a historical context, their bal- are still generating lots of cash.” ance sheet from days’ cash on Jay Greene: (313) 446-0325, ªGUFFO hand (92 days) never really [email protected] ÌÜœÊ i>`ÃÊ Karmanos seeking grant to expand >ÀiÊLiÌÌiÀÊÌ >˜Êœ˜i hospital network for cancer research

BY JAY GREENE declined further comment. CRAIN’S DETROIT BUSINESS Steve Paulus, vice president for planning and network develop- The Barbara Ann Karmanos Cancer ment for Saint Joseph Mercy Health Institute is developing a grant pro- System in Ann Arbor, confirmed posal to fund an expansion of its that the system is developing a cancer research program to multi- statewide cancer treatment net- ple hospitals in Southeast Michi- work among its Michigan hospi- gan, said Dr. Patricia LoRusso, tals. Karmanos’ chief researcher and Paulus said the network, intend- director of the Phase I Clinical Tri- ed to offer integrated care for can- als Program. cer patients, will be expanded to LoRusso said the first hospital research and include additional to partner with Karmanos could be hospitals outside Trinity. St. Joseph Hospital in Ann Arbor. St. However, Paulus said he was Joseph is part of Trinity Health, a 44- not aware of Karmanos’ research hospital system based in Novi, network plans, but that he also did with 13 hospitals in Michigan. not know what medical re- As a CEO, you can’t always turn to colleagues and friends for opinions and LoRusso made the announce- searchers within Trinity might be advice. When you become a TEC member, you tap into unbiased insight from ment Sept. 4 in an acceptance discussing with Karmanos. someone who shares your experience, or who has been there before. It’s like speech she gave at Crain’s Detroit Karmanos is one of two compre- having a team of your own professional advisors to help guide the way. Business’ Health Care Heroes lun- hensive cancer centers in Michi- You don’t have to go it alone. Start the right conversation today. cheon at Michigan State University’s gan. The other is at the University of Management Education Center in Michigan Hospitals & Health Centers Troy. LoRusso declined further in Ann Arbor. Nationwide, there comment. are 41 comprehensive cancer cen- www.tecdetroit.com ;/,>693+»:3,(+05.*,64,4),9:/0769.(50A(;065 Patricia Ellis, Karmanos’ media- ters designated by the National Can-

586.443.5880 (U(MÄSPH[LVM=PZ[HNL0U[LYUH[PVUHS^^^]PZ[HNLJVT relations manager, said the grant cer Institute. application was several months Jay Greene: (313) 446-0325, away from being completed. She [email protected] DETROIT BUSINESS MAIN 09-29-08 A 45 CDB 9/26/2008 5:03 PM Page 1

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 45 Gateway Park principal says project on track despite setbacks

BY NANCY KAFFER table, but we replaced them with had missed a payment. velopers may be an untried enti- CRAIN’S DETROIT BUSINESS another large anchor.” “We had an option on the prop- ty,” he said. “It’s not that it’s in De- It’s going to take a Schrott said his team is negotiat- erty, and we fully compensated troit, it’s that we’re in difficult Minus a developer and its sole an- “ ing with three retail anchor ten- our local partners for that option, times. The tenant would ask, ‘is chor tenant, the proposed Shoppes national player with ants and should be able to an- and we no longer owe them any- this a person we know will get the at Gateway Park is moving forward, nounce leases within a month. thing,” he said. “We’re paid in full, job done and get the job done right says a principal in the project. national clout to The site is the recipient of tax- and I don’t think it would be appro- with the right tenants?’ It’s a confi- In the wake of Chicago-based real increment financing through a priate to go into (the question of a dence issue.” estate investment trust General bring players Corridor Improvement Authority late payment).” The capital market for projects Growth Properties Inc.’s departure created in 2007. General Growth, the nation’s that haven’t broken ground has from the project, the owners aren’t to the table. Schrott said he hopes to have in- second-largest real estate invest- turned off, Nisch said. looking for another development ” frastructure work at the site done ment trust, joined the project in “Retail companies have cut back partner, said Gateway Park in- Ken Nisch, JGA Inc. in time for anchor tenants to begin 2006. General Growth’s local prop- on growth, and they’re going to vestor and part-owner Bernard foot retail development with about construction in May or June. erties include Lakeside Mall in Ster- pick locations where there’s signif- Schrott. 40 stores and restaurants, at an es- The owners of the property end- ling Heights and Taylor’s South- icant landlord allowance (on “We’re hiring two major compa- timated cost of $90 million. ed their relationship with General land Center. At the time, Schrott nies that do retail brokerage,” he Plano, Tex.-based J.C. Penney Growth in July, said Schrott, alleg- told Crain’s that the REIT would rents), or where there’s no risk in- said. “We don’t want to take on an- signed a letter of intent last year to ing that General Growth failed to add clout to the effort to attract na- volved,” he said. “And if a develop- other partner, there are too many is- build a 100,000-square-foot store at make a payment on an option to tional retailers to the project. er can’t get tenants, they can’t get sues.” Gateway Park, with an estimated develop the site. Local developers may find it diffi- money.” The project has been in the opening date of March 2009, but it “They defaulted on making that cult to draw national retailers in Nisch also said, “It’s going to works since 2000. Plans to develop is no longer part of the project, payment and we would not give the current economic climate, said take a national player with nation- the site, at Eight Mile Road and Schrott said. them an extension,” Schrott said. Ken Nisch, chairman of Southfield- al clout to bring players to the Woodward Avenue near the State “J.C. Penney wanted to delay Jim Graham, senior director of based retail consultants JGA Inc. table.” Fairgrounds, were announced in the starting of their store,” he said. public affairs for General Growth, “National tenants really trust Nancy Kaffer: (313) 446-0412, 2006. They call for a 330,000-square- “Their scenario is still on the wouldn’t say if his organization national developers, and local de- [email protected]. RVs: Dealers rethink plans Airport: New leader for board ■ From Page 3 ■ From Page 3 like that any more.” aren’t so bad — sales are down 5 per- has been one of his pet projects, dropped objec- Michal’s troubles mirror the woes of cent to 10 percent, said co-owner Loren tions to an authority and brokered a deal with OUTGOING? the RV industry nationwide. Baidas. General RV stocks between then-Gov. John Engler. Sales nationally are down about 20 1,400 and 2,000 RVs at six stores in The law setting up the authority gives the Wayne County Airport Authority percent from last year, said Phil Ingras- Michigan and one in Ohio. Wayne County executive four appointments, the board members whose terms end this year are: sia, director of communications at the “Michigan as a whole, whether it’s governor two, and one to the Wayne County ■ Fairfax, Va.-based National Recreational in the Saginaw-Flint area or the Detroit Board of Commissioners. The terms are for six Authority Chairman David Treadwell. He’s president and Vehicle Dealers Association. market, I think we’re all sort of in that years, but the initial appointments varied in CEO of Inkster-based “RVs are discretionary purchases,” same economic crunch,” he said. “With length so that the whole slate of commissioners EaglePicher Corp. Appointed by Ingrassia said. “If people don’t feel as us, Michigan has felt a lot of what the wouldn’t leave at the same time. A board member Gov. John Engler in 2002. He’s comfortable with their economic situa- country’s now feeling.” can be reappointed just once. filling out the term of appointee tion, they’re not going to make discre- Ingrassia said he believes the decline Ficano, who said creativity is one of his crite- William McCormack, who left tionary purchases like boats and RVs.” in RV sales isn’t based on a lack of in- ria for his appointments and has a candidate pool the board after resigning as CEO Smaller models known as travel terest in the product. he’s narrowing, said his choices will be “busi- of CMS Energy in May 2002 trailers can cost as little as $10,000, “We think there’s a lot of pent-up de- ness-oriented.” amid an accounting scandal. Michal said, but a high-end motor mand and our long-term prognosis re- “What I’m looking for is vision, looking down ■ Wayne Doran, former home starts at around $60,000 and tops mains very good,” he said. the road 10 years,” he said. chairman of Ford Motor Land out around $500,000. That’s what John Buday, president He also said he’s considering the outgoing Development Corp. Appointed by And fueling an RV isn’t cheap — members in his pool, but declined to say who else Wayne County Executive Ed of Clawson-based American Recreational McNamara. Best known for diesel and standard gasoline RVs get he might consider. Vehicles, is hoping. leading the 2,400-acre Fairlane from six to 10 miles per gallon, Michal Buday is preparing to launch a new The airport is a front-burner issue for Ficano be- master-planned area in said. With tank sizes ranging from 55 to cause he’s led the effort to attract new jobs in avia- product, the Way Cool Hauler, that al- Dearborn and the development 150 gallons, that means hundreds of tion-dependent industries on land between the two lows RV owners to transport two trail- of the Renaissance Center in dollars spent with every trip to the airports, the so-called aerotropolis project. 1977. ers with additional recreational vehi- pump. Liz Boyd, Granholm’s press secretary, would ■ Michael Glusac, former senior Sales at Warren-based Eastside RV cles simultaneously. say only that the governor will announce her adviser and chairman of Detroit have dropped between 15 percent and “We’re launching a product in a selections next month. Renaissance Inc., former vice 20 percent, said President Kim Kinnie. down market, so we’ve got negatives to The business community is keeping an eye on president of government affairs Eastside sells new RVs, but it also of- that,” he said. “But we have a product the authority’s makeup. for Chrysler Corp., and former executive director of the fers maintenance and storage, and sells nobody else has, so that’s going to help “We certainly would encourage the executive propane, parts and accessories. and governor to tap other strong businesspeople Southeast Michigan Council of us launch and be successful.” Governments. Appointed by McNamara. Those sales help, he said. in the region,” said Sarah Hubbard, vice presi- The hauler and the travel trailer nec- “It stabilizes the pinch,” Kinnie said. dent of government relations for the Detroit Re- essary for its use retail for between He has had to cut inventory, with gional Chamber. way. only 12 models currently on the lot. It’s $40,000 and $50,000. And having a labor-friendly chairman isn’t a The authority contracts its shuttle services, not been a popular move with cus- Finding financing for customers has problem, she added. which potentially could be replaced to some degree tomers, but Kinnie said he has no become difficult in the tightening cred- “The UAW, and everyone, recognizes our need by the monorail, with Taylor-based Metro Cars Inc., choice. it market. to diversify our economy and new business com- which operates 51 Teamster-driven shuttles and “Why should I have RVs here to col- “Like any financing market, that is a ing to our area,” she said. other vehicles at the airport. lect dust?” he said. little bit of a tougher thing for a lot of Of the airport’s 699 employees, 617 are mem- Labor leaders don’t see Settles’ pending chair- He’s also had to cut staff, eliminating dealers,” he said. “You can sell a lot of bers of 10 different unions that have contracts manship marking significant change for the air- all three part-time employees and one products, but if you can’t get the financ- with the airport, according to the authority. Not port and labor issues. of two full-time workers. ing for the retail customer …” one is UAW affiliated. “I don’t know if it will make any difference,” “With gas prices up, anybody who He hopes to reach $20 million in rev- Several major issues face the incoming board, said Mike Finnegan, vice president of Wyan- says they’re doing great doesn’t live in enue during the first year of sales. including questions about its $3.6 billion, 20-year dotte-based Teamsters Local 283, which has mem- metropolitan Detroit,” he said. Ingrassia said about 300,000 motor master improvement plan that had drawn objec- bers running some of the parking lot booths at “It’s not just new RV sales that are homes are sold each year. About 86 per- tions from local communities because it included the airport. “He’s got the fiduciary responsibility down, but parts sales are down, be- cent are of the towable variety. a 10,000-foot landing strip, the airport’s seventh of that board in mind first. They’re like everyone cause people aren’t taking them out. At Walt Michal’s, work is progress- runway. else with budget concerns and budget problems.” Storage is down, because they can’t af- ing on the conversion of the lot. A new A deal was brokered earlier this year that basi- The airlines also have asked the board to trim ford to do that. And since propane is an sign was installed last week, and a slew cally pushed the runway question years into the additional costs from its $274.5 million budget ap- oil product, that’s up. Every aspect is of used vehicles were set to arrive. future. However, the plan also includes a monorail proved Sept. 23 because it contains a nearly $40 up” “Our United Auto Workers people who proposal that airlines, most notably primary air- million increase for carriers to use the airport. The cost of RVs has increased by 3 live in Wayne County, half are unem- port tenant Northwest Airlines Corp., have objected to The board agreed to consider an amended bud- percent to 6 percent, said Kinnie, who ployed right now,” he said. “This is the because the carriers foot much of the bill. get by Oct. 31, but the issue could linger as the predicts that things will worsen before only way to stay alive.” The monorail, which would connect the termi- airline industry faces spiraling fuel costs and sales improve. Nancy Kaffer: (313) 446-0412, nkaf- nals to parking garages and off-site parking lots, fewer passengers. At Wixom-based General RV, things [email protected]. also was pushed into the future with the new run- Bill Shea: (313) 446-1626, [email protected] DETROIT BUSINESS MAIN 09-29-08 A 46 CDB 9/26/2008 4:02 PM Page 1

Page 46 CRAIN’S DETROIT BUSINESS September 29, 2008 Silverdome: Critics question Parker’s ability to pull off the deal ■ From Page 3 to the city before Nov. 1. Parker restaurant operations in the facili- Oct. 9 hearing on his application will supply some of the money and THE THREE-PHASE PLAN ty and lease the retail space. has been scheduled with the Michi- some will come from his business Bloomfield Hills lawyer H. Wallace Parker is set to close on the purchase of A second phase of Parker’s plan gan Office of Racing Commissioner. partner, Richard Mazur, chairman the Pontiac Silverdome by Nov. 1, kicking off a three-phase plan for the 35- would start a new $250 million de- “You have to apply for the rac- of Madison Heights-based Mid-Ameri- year-old stadium and surrounding 127 acres. velopment. It will include an eques- ing dates so far in advance, I had to ca Associates. Ⅲ Phase 1: Bring the stadium back to life as an entertainment venue. Hire trian research facility as a joint ven- do it now for 2009,” he said. “Other- The rest will be coming from pri- a booking company to find concerts and shows, and revive the retail space ture with a college. He has not wise, if we had something going vate investors. Parker declined to and restaurants. started negotiations with any col- next year, we couldn’t do a race name them, citing their request to Ⅲ Phase 2: Petition the Michigan Legislature to allow an additional lege. He also hopes to bring polo and until 2010.” remain anonymous. thoroughbred horse racing track and build a structure for races. Also, he dressage events to the Silverdome. As for attaining a license, Park- Following the closing, Parker plans a joint venture with a college to build an equine research facility. Also in the plans is the creation er plans to lobby the Legislature to will start the heavy lifting. Ⅲ Phase 3: Pursue an expansion of casino gambling to have gaming at the of a thoroughbred horse racing approve a change in the horse-rac- Silver Stallion Development Corp., track in addition to racing. Also build a luxury hotel on the site. track on the 127-acre parcel of land ing statutes to allow an additional of which Parker is president and surrounding the Silverdome. track in the region. CEO, will sign a contract with a ing the facility back to operation he would not say who it is because Parker has applied for 110 rac- His third phase for the site takes booking company to start signing with concert bookings and other the contract won’t be signed until ing dates in 2009 for the planned the gaming concept even further. acts at the Silverdome. events, Parker said. He said the after the closing. track, even though the three avail- With an operational track, Park- The first phase includes bring- booking company is lined up, but He also plans to revive the able licenses are all being used. An er plans to pursue a statewide bal- lot referendum to expand gaming. The Pontiac track would become a “racino,” a combination of a horse- racing track and a casino. A hotel also would be built on the site. The complex plans are full of po- tential pitfalls, experts say. It is very difficult to operate a venue, for example, without a ma- jor tenant, said Alan Ostfield, COO of Palace Sports and Entertainment. “A primary tenant enables you to have a mainstay of revenue to cover the fixed costs,” he said. “Without that, it’s a lot harder to be prof- Others cut corners. We own them. itable, especially in this economy and at a time when artists are tak- ing more and more of the revenue.” At the intersection of sport and luxury sits the 2009 E 350 Sport Sedan. With a breathtaking Parker said he has been in negoti- ations with the fledgling football op- THE 2009 268-horsepower V-6, 12-speaker harman/kardon LOGIC7® digital surround-sound system with Dolby® eration United National Gridiron League, but nothing has been signed. E-Class ® Digital 5.1 and standard Bluetooth connectivity. One ride and it will leave you feeling anything but Also in question is demand for wanting. Visit your local authorized Mercedes-Benz dealer for a test drive today. MBUSA.com the new horse racing track. Thoroughbred racing began in July at the $142 million Pinnacle Race Course in Romulus. Tracks also exist in Hazel Park and Northville. Parker said the market is big enough for both. “Highest Ranked Midsize Premium Car However, expanding the num- in Initial Quality, Two Years in a Row (tied in 2008)” ber of track licenses in the area would draw resistance from Pin- nacle and likely the other tracks said Michael McInerney, president of Pinnacle. “We’d all be taking the position that another track would dilute the revenue of the other three and jeopardize the ability for everyone to operate,” he said. Experience is also an issue. While not familiar with Parker or his Silverdome plan, Gary Roberts, CEO of the Plymouth- based real estate development company DeMattia Group, said large, complex projects aren’t as easy to complete as they might seem and require a large organiza- tion of professionals. “It takes a diversity of expertise and a number of individuals in- volved,” he said. “It’s not something that you can just pick up and do.” Financing has been challenging for most Michigan developments recently, and Parker said he will look at unconventional financing programs. He acknowledges the project is ambitious, and it is clear that the phased approach is needed so plans can progress incrementally. The Special Rates Available to Chrysler Employees overall goal is about horses though. “This is something that will pro- Mercedes-Benz of Bloomfield Hills Mercedes-Benz of Novi Mercedes-Benz of Rochester mote the equestrian industry,” 36600 North Woodward Ave. 39500 Grand River Ave. 595 South Rochester Rd. Parker said. “It needs it because (248) 644-8400 (248) 426-9600 (248) 652-3800 its an area that’s lost some momen- tum in recent years.”

Mercedes-Benz E-Class received the lowest number of problems per 100 vehicles among midsize premium cars in the proprietary J.D. Power and Associates 2007–2008 Initial Quality Study,SM tied in 2008. 2008 study based on responses from Daniel Duggan: (313) 446-0414, 81,530 new-vehicle owners, measuring 344 models and measures opinions after 90 days of ownership. Proprietary study results are based on experiences and perceptions of owners surveyed in February–April 2008. Your experiences may vary. [email protected] Visit jdpower.com. 2009 E 350 Sport Sedan shown with optional equipment. ©2008 Authorized Mercedes-Benz Dealers For more information, call 1-800-FOR-MERCEDES, or visit MBUSA.com. DETROIT BUSINESS MAIN 09-29-08 A 47 CDB 9/26/2008 5:03 PM Page 1

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 47 Incubator moves up opening to get funds

is expected by early November. Rave Computer Association Inc. “We’re a 20-year-old company at Macomb County-OU center The county obtained a $282,000 Rick Darter, president and CEO this point, and these are going to federal budget appropriation earli- of Rave Computer, said getting in- be mainly startups in the incuba- er this year with assistance from volved in the incubator is a poten- tor program,” he said. out to get $250,000 from state U.S. Rep. Sander Levin, D-Mich., tial benefit to his own company as “But there is an opportunity for for an accelerator. well as the local defense industry. us as well as the economy of the re- BY CHAD HALCOM tential tenants will take at least an- The incubator also stands to re- Rave generates about $30 mil- gion, because some of these new CRAIN’S DETROIT BUSINESS other couple of months. ceive another $250,000 from the lion in yearly revenue making in- companies may be able to work Macomb County, OU and Ster- A new incubator to nurture de- state appropriation for operating formation-technology and comput- with us as suppliers or customers ling Heights prepared an applica- fense and homeland security busi- costs, proposed funding up to er hardware systems, and Darter of our products.” nesses will open its doors Tuesday tion to the state to create Michigan $400,000 in a current federal budget said military contracts have For more information, see (586) to qualify for new state budget SmartZone business accelerator proposal and funds from corporate grown from roughly 20 percent of 463-2542. funding on Wednesday, after district in the city, which would sponsors like a recent $10,000 con- revenue 10 years ago to more than Chad Halcom: (313) 446-6796, working out a few prelaunch de- include the incubator. A decision tribution by Sterling Heights-based 50 percent this year. [email protected] tails. The new Macomb-Oakland Univer- sity Incubator will open with a small staff at the former Venture Indus- tries manufacturing site on 15 Mile Road in Sterling Heights. Detroit September 2008 A staff of training and business Pittsburgh assistance experts will be provided by Macomb County and Oakland University. Tenant businesses will come later. “We thought when we got start- ed that we were going to have a year or so to get this ready, so we went through a process that in- cluded (apply- ing for) a Smart- Zone designation,” said Stephen Cassin, execu- tive director of the Macomb Cassin County Planning and Economic Development Depart- ment. “But because of the state fund- ing, we had to move quickly, even though there is at least another 45 days or more to go on the Smart- Zone decision.” The driving motivation to open the center quickly is a budget ap- propriation for $1.25 million in op- Skilled in Business Services erating funds for business incuba- tors in five counties, including $250,000 for the Macomb proposal, for the new state fiscal year, which Huron Capital has a long track record of investing in companies in the business services sector. begins Oct. 1. Since our founding in 1999, we have been an active builder of businesses in the service industry. “There is a designation within In fact, 26 of our 43 platform and add-on investments to date have been in service sectors. that (funding) legislation that indi- cates the fund- Our ability to deliver creative equity financing solutions for growth-minded entrepreneurs has ing in fiscal 2009 been proven time and again. Huron Capital is ready to partner with outstanding executives to is for incubators that are in oper- scale business service companies who seek an operationally focused partner. ation at the end of fiscal 2008,” Huron Capital’s current business service portfolio companies include: said David Spencer, execu- tive director of SmartZone de- Spencer velopment at OU Inc., the univer- sity’s on-campus business incuba- tor. “It’s a ripe opportunity, and it’s giving us the impetus to move forward.” Spencer and Cassin said much of the preparatory work was al- ready done to open the incubator site. Sterling Heights is working to HURON CAPITAL PARTNERS LLC expedite a certificate of occupancy for the incubator, and should have PLATFORM INVESTMENT CRITERIA TRANSACTION TYPES it complete before Tuesday’s open- ing, said Luke Bonner, economic Revenues $20 million to $200 million Buyouts Buy & Build development manager for the city. EBITDA $3 million to $20 million Recapitalizations Growth Initiatives Talks are ongoing with eight to Equity per Deal $10 million to $50 million Family Successions Corporate Spin-offs 10 local startups and entrepre- www.huroncapital.com neurs looking to launch a business that fits with the incubator and its 500 Griswold, Suite 2700 I Detroit, Michigan 48226 I Tel: 313.962.5800 location, Spencer said, but the due- 225 Ross Street, 4th Floor I Pittsburgh, Pennsylvania 15219 I Tel: 412.201.7040 diligence process of reviewing po- DETROIT BUSINESS MAIN 09-29-08 A 48,49 CDB 9/26/2008 5:44 PM Page 1

Page 48 CRAIN’S DETROIT BUSINESS September 29, 2008

Struggling community banks find little help in Wall Street bailout

BY TOM HENDERSON the nation’s struggling retail banks. “It would be helpful if a plan benefited all finan- CRAIN’S DETROIT BUSINESS The timing of the trip was fortuitous. Koons said it cial institutions instead of a few big ones. I still had been set for about a year, and just coincidentally view it as a positive initiative, but I would prefer There are limits to what even $700 billion can do. ended up being timed to one of the most tumultuous regional banks be able to participate in a large The plan to bail out Wall Street for buying and selling con- weeks in the history of the banking industry. way,” he said. “A bailout plan is important, and voluted mortgage-backed securities apparently will do little “The operative word is ‘some hope,’ ” said Koons, it’s important to be done quickly. A quick resolu- to ease the pain for conventional bankers who actually is- when asked if his delegation’s visit to Sens. Debbie tion will calm markets.” sued the mortgages. Stabenow and Carl Levin might end up with some Patrick McQueen, chairman and CEO of Bloom- Michigan’s banks, both public and private, have been hit financial assistance for traditional banks. field Hills-based The Private Bank-Michigan, thinks hard by poorly performing loan portfolios. “No commitments were made. I’m not sure if the package that eventually gets passed will in- Their pain wasn’t caused by exotic and anyone knows what will happen in the next few clude some relief for all banks, not just those complicated high-risk securities, said days,” he said. holding collateralized securities. Dennis Koons, president and CEO of the He said he had three questions about the pro- “There will be something in there for all Lansing-based Michigan Bankers Associa- posed bailout: “Just what do they intend to banks,” he said. “What it is, I don’t know.” tion, but by the double whammy of a long- purchase? Who do they intend to shore up? Audrey Mistor, president of Northville- time statewide recession and a housing How does that benefit Main Street, Michigan?” The bailout based Main Street Bank, said small banks have slump that led to defaults and foreclo- Requests for comment from Stabenow’s and “ been hurt by the ripple effect of Wall Street’s sures by business customers who did resi- Levin’s offices went unanswered. seems to be just now discredited mortgage-backed securities, dential and commercial developments While Koons held out “some hope” that re- “but no one seems to be talking about that.” and by homeowners who lost their jobs. tail banks would be included in a bailout, ana- for the so-called Main Street was particularly hard hit by Koons Koons and others in the local banking lysts didn’t. residential and commercial developers who community are frustrated that the bailout Terry McEvoy, an analyst with New York- significant went into default, had to write off millions in attention seems focused on those tumbling from the collapse based Oppenheimer & Co. Inc. who follows Mid- poorly performing loans and is now under a of their high-wire financial acts and not on the struggling west and community banks, issued a report institutions. ... I decree by the Federal Deposit Insurance Corp. to conventional banking community that didn’t get in trouble on Monday titled “Wall Street Bailout and the shore up its balance sheet. wheeling and dealing for big returns. Impact on Main Street Banks.” The subhead don’t know how Its capital-to-asset ratio is 2 percent and Any substantial relief state banks get from the national was “Tough to See the Direct Benefit.” must get to 6 percent. A federal bailout applied bailout likely will be of the trickle-down variety. In an interview with Crain’s, McEvoy said: this will play to conventional banks could help that along. “If the bailout plan is successful, it will provide liquidity “I can understand why traditional banks who “We’ve already written down portfolios by to large institutions, but for smaller institutions, there didn’t create these problems are wondering out, but I don’t 90 percent. If our loans were backstopped (by won’t be any direct bailout or purchase of portfolios,” said why they’re not getting any benefit, but there the government) at 50 percent, could we add Todd Sprang, leader of the Midwest financial institutions will be very little benefit to community banks think anyone’s the difference to our balance sheet?” Mistor practice at Grant Thornton L.L.P. or regional banks. They just haven’t had the asked. “Community banks get their liquidity by borrowing from enormous losses that the big investment worrying about “The bailout seems to be just for the so- large institutions, and that’s been cramped,” he said. “As banks have had.” called significant financial institutions,” she the plan provides liquidity to large institutions, that should “It looks like the primary target of the community said. “They say, ‘They’re too big to fail.’ But trickle down.” bailout plan will be mortgage-backed securi- banks. the problem with community banks is we’re Koons and a contingent of about 25 state bankers spent ties and those who made a major market in not too big to fail. I don’t know how this will Tuesday, Wednesday and Thursday last week in Washing- them. Main Street banks have not been major ” play out, but I don’t think anyone’s worrying Audrey Mistor, ton calling on all state members of the House and Senate and players in that,” said William Hartman, presi- about community banks.” Main Street Bank on federal regulators to try to convince them that a bailout dent, CEO and chairman of Flint-based Citi- Tom Henderson: (313) 446-0337, thender- of such enormous size should have at least some relief for zens Republic Bancorp Inc. [email protected] Local views mixed on Wall Street banks’ entry into retail banking

BY TOM HENDERSON the sideline for now, but with some 300 bank they’ll go heavy after CDs and insured mon- Brian Pollice, partner and head of the fi- CRAIN’S DETROIT BUSINESS failures expected nationwide in the current ey-market accounts. But I don’t see them as nancial institutions practice at Southfield- credit cycle — on Thursday, Seattle-based being direct competitors for us. They’ll be go- based Plante & Moran P.L.L.C.: “Now you’ve got In the wake of the demise of Wall Street gi- Washington Mutual was taken over by regula- ing after the higher end another competitor coming to town who may ants Bear Stearns and Lehman Brothers and the tors and its assets sold to J.P. Morgan Chase for banks, like The Private- offer higher rates. And purchase of Merrill Lynch by Bank of America, $1.9 billion, the biggest bank failure in U.S. Bank.” they’ll be looking for re- the last two remaining giants of American in- history — there would be plenty of opportu- Patrick McQueen, gional banks to bolster vestment banking, Morgan Stanley and Gold- nities for both to grow at discount prices. chairman and CEO of their deposits.” man Sachs Group Inc., are reinventing them- Here’s what local bankers and analysts say Bloomfield Hills-based The David Widlak, presi- selves as retail banks. about possible impacts on regional and com- PrivateBank-Michigan, dent and CEO of Mt. They will compete for deposits with banks munity banks by the entry of Goldman Sachs which targets high-net- Clemens-based Community and thrifts, and come under the regulatory and Morgan Stanley into retail banking: worth individuals: “To the Central Bank: “When you auspices of the Federal Deposit Insurance Corp., Todd Sprang, leader of Grant Thornton extent this in the short see the two remaining big which was good news to some investors. L.L.P.’s Midwest financial institutions prac- term helps stabilize credit investment bankers get- On Tuesday, Warren Buffett said his Oma- Tierney tice: “They’ll compete against large national markets, it’s a great thing. ting into the retail bank- ha-based conglomerate, Berkshire Hathaway, Pollice banks and larger regional banks, but they Long term? The jury’s out. But I don’t see ing business, it’s going to would buy $5 billion in preferred stock in won’t have that great of an impact on small them as direct competitors. What they know put more stress on the local banking commu- Goldman Sachs, which would also grant it banks. They’ll probably grow their business best is investment banking. I don’t see them nity, in Michigan in particular. warrants to buy $5 billion of common stock. through acquisitions, but I don’t think that shedding that to move into retail banking. “We’ve seen every new entry into the local Last Monday, Japan’s largest banking will happen until the second or third quar- They’ll continue to focus on what they know. market — for example, the Royal Bank of Scot- group by market capitalization, Mitsubishi ter of 2009. “What it does is it forces them to leverage land when it bought Charter One — come in and UFJ Financial Group Inc., announced it would “It takes capital to do acquisitions, and the at a higher standard. They were leveraging at try to buy business with higher interest on acquire 20 percent of Morgan Stanley for be- regional players who can help you grow your 40 times their capital. Banks leverage at 10 deposits. They’ll be doing the same. It’s the tween $8 billion and $9 billion. footprint likely wouldn’t be accepting of your times their capital. So that puts them on the continued Wal-Mart-izing of the banking in- Wednesday, New York-based RBC Capital stock as currency. They’ll want cash.” same standard.” dustry. Every deposit they successfully get Markets, a unit of Royal Bank of Canada, issued He said any impact on community banks William Hartman, chairman, president out of the area will put more stress on the lo- a report predicting Goldman Sachs would would be short term. Customers might leave and CEO of Flint-based Citizens Republic Ban- cal banking community.” launch retail operations with $175 billion in for offers of better rates on deposits, he said, corp Inc.: “Investment banks becoming retail Dennis Koons, president and CEO of the assets and buy deposits from troubled banks but community bank customers are used to a banks is a good thing for the economy and Lansing-based Michigan Bankers Association: or FDIC receiverships, and that Morgan Stan- higher level of service and access to execu- puts them on an equal footing. The invest- “The regulators are now telling us the invest- ley would convert a Utah-based industrial tives and likely will return to their old banks. ment banks weren’t subject to necessary lev- ment banking community is gone, that loan firm with $36 billion in assets into a re- Michael Tierney, president and CEO of els of scrutiny. Frankly, we have so many they’re now retail banks. We find that ironic. tail bank and use its wealth-management of- Madison Heights-based Peoples State Bank: competitors for deposits now, I don’t see it But it’s just too early to speculate on how it fices as commercial banking branches. “They won’t be marketing to all of Main having an impact. I do think it is likely they’ll will play out. There are a lot of issues.” The report said difficulties in valuing po- Street America. They will create more mass- look for a regional-bank acquisition to accel- Tom Henderson: (313) 446-0337, thender- tential targets would keep both companies on market vehicles trying to raise capital, so erate the deposit-gathering process.” [email protected] DETROIT BUSINESS MAIN 09-29-08 A 48,49 CDB 9/26/2008 6:17 PM Page 2

September 29, 2008 CRAIN’S DETROIT BUSINESS Page 49

www.crainsdetroit.com Cockrel closes crime lab, EDITOR-IN-CHIEF Keith E. Crain PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] EXECUTIVE EDITOR Cindy Goodaker, (313) 446- 0460 or [email protected] MANAGING EDITOR Andy Chapelle, (313) 446- Bailout: 0402 or [email protected] Boost or announces appointments ASSISTANT MANAGING EDITOR/FOCUS Jennette Smith, (313) 446-1622 or [email protected] BUSINESS LIVES EDITOR Michelle Darwish, (313) 446-1621 or [email protected] BY ROBERT ANKENY Young; Detroit attorney Curtis Blessing, COPY DESK CHIEF Gary Piatek, (313) 446-0357 bust for Michigan? CRAIN’S DETROIT BUSINESS who advised on the transition team for or [email protected] GRAPHICS EDITOR Nancy Clark, (313) 446-1608 Mayor Dennis Archer; and Detroit CPA ■ From Page 1 or [email protected] Detroit Mayor Ken Cockrel Jr. contin- Ric Geyer, who served on the Kilpatrick COPY EDITOR Vic Doucette, (313) 446-0410 ued careful restructuring of the city ad- or [email protected] take when we started down that road.” transition team. ministration last week, announcing DATA EDITOR Anne Marks, (313) 446-0418 or Others say a bailout could help Michi- Cockrel continued selective appoint- [email protected] gan’s economic picture, loosening credit new appointments and reappointments. WEB GENERAL MANAGER Alan Baker, (313) 446- ments and reappoints last week. 0416 or [email protected] and enabling stalled economic-develop- Cockrel also acted quickly to keep the Among department heads retained or WEB EDITOR Christine Lasek, (313) 446-0473, ment projects to obtain financing and Detroit City Council in [email protected] appointed by Cockrel were: move forward, and causing consumers the loop in connec- WEB DESIGNER/PRODUCER Ai-Ting Huang, (313) Ⅲ Cathy Square, who continues as 446-0403, [email protected] to feel more confident about spending tion with his shut- RESEARCH ASSISTANT Joanne Scharich, (313) COO. Square is a former director of the 446-0419 money. down last Thursday city’s Department of Public Works and of EDITORIAL SUPPORT Anita Duncan, (313) To some industries, timing is no small of the Detroit Police 446-0329 the Greater Detroit Resources Recovery Au- matter. Michigan retailers, for example, Department crime lab NEWSROOM (313) 446-0329, FAX (313) 446- thority, which operates the city’s recy- 1687 TIP LINE (313) 446-6766 are approaching their biggest sales peri- after a Michigan State Anderson cling and incinerator systems. REPORTERS od of the year amid national forecasts of Police report showed Ⅲ Norman White, CFO, a former di- Robert Ankeny: Covers the city of Detroit, Wayne a challenging holiday season and the lowest holiday sales a 10 percent error County government, and law. (313) 446-0404 or growth since 2002. rate in ballistic evi- rector of the Detroit Department of Trans- [email protected]. Ryan Beene: Covers auto suppliers, steel. (313) A bailout is “certainly not going to hurt, and it’s probably dence, unrestricted portation. Cockrel Ⅲ 446-0315 or [email protected] going to help,” said Tom Scott, senior vice president with the access to firearms Pamela Scales, budget director. Sherri Begin: Covers nonprofits and services. and other shortcomings. Ⅲ Douglass Diggs, director, Planning (313) 446-1694 or [email protected] Michigan Retailers Association. Daniel Duggan: Covers real estate and hospitality. “The best scenario would be for some type of package to “His liaison to the council was giving and Development Department, a former di- (313) 446-0414 or [email protected] be passed, and some level of confidence restored in the finan- us a summary of the report as the press rector of community and economic de- Jay Greene: Covers health care, insurance and the environment. (313) 446-0325 or cial system. Just like the markets, consumers don’t like un- conference was going on,” Councilmem- velopment for Detroit Renaissance Inc. [email protected]. certainty,” Scott said. “If people are concerned about the ber Sheila Cockrel said. “That’s un- Ⅲ Amru Meah, director, Buildings and Chad Halcom: Covers education, non-automotive manufacturing, defense contracting and Oakland economy having a meltdown, they’re certainly going to be precedented with any of the previous Safety Engineering Department. and Macomb counties. (313) 446-6796 or more reluctant to spend.” mayors.” Ⅲ Al Jordan, director, Public Works De- [email protected]. Tom Henderson: Covers banking, finance, The national picture also could have bearing on Michi- Cockrel and Police Chief James Bar- partment. technology and biotechnology. (313) 446-0337 or gan tourism, at a time when the state is pushing ahead ren said all ballistics, fingerprint, DNA Ⅲ Charles Beckham, director of the [email protected]. Nancy Kaffer: Covers small business and retail. with its biggest-ever promotional budget. and drug testing will be handled by the Public Lighting Department. Beckham had (313) 446-0412 or [email protected]. Travel Michigan, the state’s tourism-marketing agency, is Michigan State Police crime lab for the been director of the Service and Recre- Bill Shea: Covers media, advertising and marketing, entertainment, the business of sports, full-tilt into fall advertising, preparing its first significant time being. ation departments under Kilpatrick and and transportation. (313) 446-1626 or winter advertising in 15 years and heading toward an in- Cockrel and his former council col- was head of the Detroit Water and Sewer- [email protected]. Nathan Skid: Multimedia reporter. Also covers the augural Michigan national campaign next spring — a $10 leagues also are reviewing recommen- age Department in the Coleman Young food industry. (313) 446-1654, [email protected]. million national promotion out of the $30 million the state dations from Loren Monroe, Detroit au- administration. LANSING BUREAU will spend in 2009. ditor general, on best practices for the Ⅲ Attorney Beth DunCombe, who was Amy Lane: Covers business issues at the Capitol, telecommunications and utilities. (517) 371- Travel Michigan Director George mayor’s office. president of the Detroit Economic Growth 5355, FAX (517) 371-2492, [email protected]. or Zimmermann said that “if people are Included are suggestions that the city Corp., has been named director of the De- 115 W. Allegan, Suite 220, Lansing 48933. not feeling secure, then travel is some- tighten monitoring on the use of credit troit Building Authority. ADVERTISING ADVERTISING DIRECTOR Marla Downs, (313) thing they might well cut back on, or cards, petty cash, vehicles and gasoline Ⅲ Tom Tuskey, director of the Civic 446-6032 or [email protected] hold off on. Things like consumer confi- cards by the mayor’s staff and develop a Center/Cobo Center. SALES INQUIRIES: (313) 446-6052; FAX (313) detailed budget for operating the 393-0997 dence play into the picture.” Ⅲ Sreenivas Cherukuri, director of ADVERTISING SALES Jeff Anderson, Terri But he also said a Michigan trip could Manoogian Mansion. the Information Technology and Services Engstrom, Matthew J. Langan, Tamara Rokowski, Monroe’s recommendations came af- Cathy Ross, Dale Smolinski be viewed as a closer and more affordable Department. WESTERN ACCOUNTS Ellen Mazen (Los Angeles) alternative than a trip out of the country. ter the auditor general’s office reported Ⅲ Pamela Turner was elevated to di- (323) 370-2477 CLASSIFIED MANAGER Melissa McKay, (313) While conditions aren’t ideal, Zimmer- to council that it was not given full and rector of the Detroit Water and Sewer- 446-1692 mann said, “like everything else in the Zimmermann complete information with which to age Department from an assistant direc- CLASSIFIED ACCOUNT EXECUTIVE Greg economy, you play the cards you’re dealt. properly audit operations of the outgo- Evangelista, 313-446-1655 torship. EVENTS MANAGER Nicole LaPointe “What are the options … not to be out there selling?” ing administration. Ⅲ Cockrel also has named Darchelle MARKETING PROJECTS MANAGER Jennifer Dunn Areas like tourism, retail and auto sales — and jobs — Among key transition team advisers Love, a former aide in the Dennis MARKETING ARTIST Sylvia Kolaski mean tax revenue for the state budget. Analysts expect SALES SUPPORT Suzanne Janik, Andrea for Cockrel are former city of Detroit au- Archer administration, his chief of staff. Beckham, YahNica Crawford state revenue for the current fiscal year, which ends Tues- ditor Joseph Harris; former Wayne Aides to Cockrel said reviews of key CIRCULATION Candice Yopp, Manager. day, to be at or slightly above projections. But they’re not County Deputy Executive Charles mayoral-appointed posts will continue. PRODUCTION MANAGER Wendy Kobylarz so certain about the new fiscal 2009 budget year. Williams, a one-time top aide and de- Robert Ankeny: (313) 446-0404, PRODUCTION SUPERVISOR Larry Williams, Jay Wortley, senior economist at the Senate Fiscal Agency, (313) 446-0301 partment head for Mayor Coleman [email protected] SUBSCRIPTIONS (313) 446-0450, said the impact of financial sector turmoil on state budget (888) 909-9111 projections is “hard to quantify at this point in time.” TO FIND A DATE A STORY WAS PUBLISHED: (313) 446-0367 or e-mail the Crain Information He said if a bailout plan “is successful in at least stabilizing Center at [email protected]. things, then that would be good for the economy” and could CRAIN’S DETROIT BUSINESS IS PUBLISHED BY help in areas like sales-tax collections. And “to the degree CRAIN COMMUNICATIONS INC. CHAIRMAN Keith E. Crain that it prevents credit from getting even tighter, that might PRESIDENT Rance Crain have a positive boost on motor vehicle sales,” Wortley said. Racino: Backers offer bill SECRETARY Merrilee Crain “The timing of it, how’s it going to play out in the econo- TREASURER Mary Kay Crain ■ Executive Vice President/Operations my a month from now, two months from now, a year from From Page 1 William A. Morrow give up their efforts to expand casinos, Wayne County’s Huron Township. Group Vice President/Technology, now, we’ve got to figure all that out.” Manufacturing, Circulation House Fiscal Agency Director Mitch Bean said businesses through racinos, throughout of the “Anything that enhances existing Robert C. Adams state.” revenues or creates new revenues is Vice President/Production & Manufacturing need to have access to capital at reasonable rates. “For Dave Kamis firms, even very successful, secure firms, if your cost of Robert Russell, a gaming analyst with something that we’re in favor of. These Corporate Director/Circulation East Lansing-based Regulatory Manage- are things that ought to happen at the Patrick Sheposh capital goes up, it cramps your ability to expand and hire G.D. Crain Jr. Founder (1885-1973) and so forth, and that’s what has an impact on Main Street, ment Counselors P.C., has grave doubts existing tracks. We’re not involved in Mrs. G.D. Crain Jr. Chairman (1911-1996) through the job market,” Bean said. about the viability of the racino effort. the bills, but we’re supportive of them.” EDITORIAL & BUSINESS OFFICES: “It’s not going anywhere, from what Meisner consulted with the Michigan 1155 Gratiot Ave., Detroit MI 48207-2732; (313) “When you start having increased job loss, that’s really 446-6000 where the rubber hits the road. And the tight credit mar- I’ve heard from people,” he said. “Does Racing Association when drafting his bill, Cable address: TWX 248-221-5122 AUTNEW DET (Meisner) have the political wherewith- said Joe Garcia, general counsel for Subscriptions $59 one year, $98 two years. Out of kets could certainly affect that.” state, $79 one year, $138 for two years. Outside al to push this, and who’s going to get Lansing-based lobbying firm Karoub As- U.S.A., add $48 per year to out-of-state rate for Jeff Williams, senior vice president at nonpartisan think surface mail. tank Public Sector Consultants Inc., said that in terms of helping behind it? It’s a challenging piece of leg- sociates, which represents the associa- Reprints: For inquiries call the reprints department islation because of the high hurdles the tion of four harness tracks. at: (800) 494-9051, Ext. 144 , or at to strengthen Michigan, the $25 billion in government loans [email protected] parties need to achieve due to the Proposal 1 also faces a legal challenge: proposed for the auto industry will have a more direct imme- CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is diate effect than a financial-sector bailout. statewide vote.” Northville Downs harness track has a published weekly except for a double issue the second week in August by Crain Communications But a bailout could make banks less conservative in Supporters acknowledge looming ob- pending lawsuit, filed in May against Inc. at 1155 Gratiot Ave., Detroit MI 48207-2732. stacles. the state in U.S. District Court in Detroit, Periodicals postage paid at Detroit, MI and additional lending, helping economic development projects, Williams mailing offices. POSTMASTER: Send address said. And it could also provide a psychological boost to “We think the racinos have a long claiming Proposal 1 is unconstitutional. changes to CRAIN’S DETROIT BUSINESS, Circulation Department, P.O. Box 07925, Detroit, MI 48207- Michigan residents, he said. way to go, and it’s an uphill battle as Bill Shea: (313) 446-1626, 9732. GST # 136760444. Printed in U.S.A. “I don’t think it’s the terms of the bailout,” Williams well,” said Michael McInerney, presi- [email protected] Entire contents copyright 2008 by Crain Communications Inc. All rights reserved. said. “I think it’s whether there is or is not a bailout.” dent of the new $142 million Pinnacle Daniel Duggan: (313) 446-0414, Reproduction or use of editorial content in any Amy Lane: (517) 371-5355, [email protected] Race Course thoroughbred track in [email protected] manner without permission is strictly prohibited. DETROIT BUSINESS MAIN 09-29-08 A 50 CDB 9/26/2008 6:05 PM Page 1

Page 50 CRAIN’S DETROIT BUSINESS September 29, 2008 RUMBLINGS WEEK IN REVIEW FROM WWW.CRAINSDETROIT.COM, WEEK OF SEPT. 20-26

cal-parody troupe A After a thorough (Habeas) Chorus Line has a Detroit cleaning, the Drivers win new show, “LOL,” that lam- “Spirit of Detroit” poons everything from shows off its Kwame Kilpatrick’s predica- Renaissance patina (left), ment to the recent banking which had been bailout and Sarah Palin. has plan to save covered by years in spat over “It has been a target-rich of dirt (below). environment,” said Justin Klimko, state $800M the group’s bridge study lyricist etroit Renaissance Inc. and a cor- has submitted to the D governor and state porate he winner of last transac- legislative leaders options it week’s squabble over FACTS ABOUT tion at- said in 10 years would pro- the $3.4 billion Michi- T torney duce $800 million in annual gan Department of Transporta- FAMILY BUSINESSES with De- savings by focusing on GREEN, NEWLY CLEAN tion budget for 2009 may changes in corrections, Med- About 100 people gathered troit law The city celebrated the restoration of 50-year-old landmark have been, of all people, dri- Klimko icaid, teacher retirement at the Motor City Casino firm “Spirit of Detroit” Tuesday. The cleaning and repair of the bronze vers. Thursday night for Crain’s Butzel Long. benefits and state employee statue, sculpted by Marshall Fredericks, cost $152,000. Depending on whom you health benefits. Family-Owned A sample of ask, the skirmish was ei- The CEO group says the provide tax incentives to with obstruction of justice Business Forum. Klimko’s ther a GOP-led fight, state needs to, among other attract industry to the for attempting to cover up lyrics bankrolled by Ambassador Keynote speaker 64% things: change incarceration “aerotropolis” between De- a bribe he received, the De- spoofing Bridge owner Manuel Mo- Paul Bernhard, Of what is generated policies and sentencing troit Metro Airport and Wil- troit Free Press reported. director of the roun to by family-owned Hizzoner, guidelines; restrict Medicaid low Run Airport. Ⅲ William Coleman III, business kill a pro- businesses? sung to eligibility; change benefit The 10-bill state House former superintendent of transition planning the tune posed See boxed item for policies for new teachers; package would allow for tax- Detroit Public Schools, was group at Plante & of “I Can’t new answer. and reduce state employees’ free renaissance zones, tax sentenced to a year of pro- Moran P.L.L.C., Get Next To bridge be- opened with a quiz benefits. credits through the Michi- bation and fined $5,000 af- tween De- designed to gauge You”: gan Economic Growth Au- ter pleading guilty to a troit and respondents’ knowledge of I can bulldoze MEGA board OKs tax thority, personal property misdemeanor charge of at- Windsor, family businesses. One run-down slums tax exemptions, real proper- tempting to influence a or it was telling tidbit: Did you know I can give employment to incentives for Volt projects ty tax abatements, and the grand jury during a feder- a Democ- that 64 percent of our all my high school chums formation of districts in al Dallas schools corrup- ratic ef- nation’s gross domestic Oh, I can hire an army The Michigan Economic Moroun Growth Authority board grant- which tax revenue can be tion case. fort to profit is generated by family- just to be my bodyguards ed General Motors Corp. more captured to support develop- Ⅲ Sharon McPhail, for- force a needless new cross- owned businesses? To read I pay my expenses with ment. mer in-house attorney for more about the event, visit than $130 million in tax ing on taxpayers. city credit cards House Bills 6502-6511 ex-Detroit Mayor Kwame www.crainsdetroit.com. credits Tuesday in a move to Unless the budget was ap- But my life is incomplete came up Thursday before Kilpatrick, will run in De- proved, with or without lan- persuade the automaker to and I’m so blue invest in the state for pro- the House New Economy troit’s Feb. 24 mayoral pri- guage about the ongoing De- claimed victory because the ’Cause I can’t get text to jects related to production of and Quality of Life Com- mary, the AP reported. troit River International bridge study survived, peri- you its upcoming Chevrolet Volt mittee, chaired by Rep. Ed Ⅲ Four Detroit Medical Crossing study, MDOT was od. Estimates have ranged The group is set to per- plug-in hybrid electric vehi- Clemente, D-Lincoln Park. Center hospitals — DMC-De- threatening to halt work on from $1 billion to more than form at 7 p.m. Oct. 4 at cle. GM is considering an Identical bills are to be in- troit Receiving, DMC-Harper- road projects all over the $3 billion for a new Detroit- Berkley High School. $838 million investment in troduced in the Senate. Hutzel, DMC-Sinai-Grace and state. Both parties reached Windsor link, which would Tickets are $15 and avail- manufacturing plants and DMC-Children’s Hospital of a compromise and rushed take several years to build. able at the door or in ad- facilities in Michigan to Michigan — have been to issue breathless press re- And in the meantime, ON THE MOVE vance by calling (313) 435- build the Volt. named to the Leapfrog leases praising themselves MDOT’s orange barrels and 2425 or e-mailing Ⅲ The Detroit Lions fired Group’s 2008 Top Hospital as saviors of the taxpayers concrete barriers will con- [email protected]. President Matt Millen on and accusing the other side tinue to infest Michigan’s Patterson touts Oakland list for patient quality and Shows are about 85 minutes Wednesday. Tom Lewand, safety. Also named were of not playing nice. highways in the forlorn executive vice president long and include about 25 hospital consortium Henry Ford Macomb Hospi- The Republicans, led by hope of a smooth drive. and COO; Martin Mayhew, songs. tals in Clinton Township DeWitt’s Alan Cropsey, got An Oakland County con- senior vice president and The group first began and the University of Michi- additional language in the sortium of hospital systems, new general manager; and Lawyers to ‘voice’ parodies performing in 1992 for the gan Hospitals & Health Cen- budget bill that puts more medical equipment suppli- Cedric Saunders, new vice Detroit chapter of the Feder- ters in Ann Arbor. oversight on MDOT during Instead of lawyers ers, higher education and re- president of football opera- the study process, especial- singing the praises of their al Bar Association, and Ⅲ Owners of Rock Finan- search firms, tentatively tions, will share his duties ly for land purchases relat- clients or cases, several lo- makes itself available for cial Showplace in Novi plan called Oakland Medical, could for the rest of the season. ed to a potential new cal barristers are comed- events such as fundraisers to start construction next generate up to 45,000 new bridge. ically crooning about a and parties. spring on a 132-room hotel jobs in life sciences by 2018, The Democrats, led by docket of issues — includ- Information about the OTHER NEWS to be adjacent to the exist- troupe, and songs from its said Oakland County Execu- Detroit’s Steve Tobocman, ing Detroit’s favorite texta- Ⅲ The Wayne County Com- ing convention center. tive L. Brooks Patterson, who whose 12th District would holic ex-mayor. CDs, is available at mission approved the coun- Ⅲ Delta Air Lines Inc. and announced the initiative be home to a new bridge, The Detroit-based musi- habeaschorus.com. ty’s 2008-09 budget Thurs- Northwest Airlines Corp. with health care leaders. day, setting the spending shareholders on Thursday If successful, organizers plan at $2.25 billion. approved an agreement believe the project could put Ⅲ Health care costs for combining the companies the county in a league with Detroit-area companies into the world’s biggest the Mayo Clinic, or the Cleve- and workers will increase carrier, the AP reported. land Clinic. by 6.8 percent in 2009, the The stock-swap deal still A report completed by third-lowest increase in See ‘40 Under 40’ photos, then bridge 96 East Lansing-based Anderson requires Justice Depart- nine years, according to a Economic Group L.L.C. indi- ment approval. report by Hewitt Associates. Funny thing about our photo out a new collaboration between cates health and life science Ⅲ U.S. Bankruptcy Court shoots — we always wind up with Crain’s Detroit Business and the professions account for OBITUARIES in Detroit has given Greek- a lot more pictures than we could Grand Rapids Business Journal. 93,584 jobs or 12.8 percent of town Casino L.L.C. an exten- Ⅲ Culver McCoy, who ever fit in the paper. Bridging 96 is a Web page and a all private sector wage and sion until Dec. 15 for filing founded McCoy Sauna and That’s why we’re using the power biweekly e-mail newsletter looking salary employment in Oak- its reorganization plan. Steam in Novi, died of respi- and unlimited capacity of the Web. at the ideas, initiatives and land for 2006. The number Ⅲ AT&T Internet Services ratory failure Sept. 11, his interests that tie the east and will grow by 2.2 percent an- Our newly created “40 Under 40” is hiring 300 people for a 87th birthday. west coasts of Michigan together. nually through 2018. section allows you to meet all our new call center it plans to Ⅲ Chesley Odom, who winners, and see extra photos of A print special report covering open in Detroit this year. founded Chesley Odom Design each. east and west also will run in our Aerotropolis tax-incentive Ⅲ Glenn Blanton, former Associates in Belleville and Go to www.crainsdetroit.com/40s WEB WORLD Oct. 6 issue. But you can get a director of Cobo Center, later owned Chesley’s Bar & for a look. Alan Baker head start and sign up for the e- bills introduced in House has been charged in U.S. Grille in Lincoln Park, died If you haven’t seen it yet, check Web General Manager mail at www.bridging96.com. New state bills would District Court in Detroit Sept. 9. He was 65. 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Celebrating your centennial, and knowing the best is yet to come.

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