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DETROIT BUSINESS MAIN 05-12-08 A 1 CDB 5/9/2008 6:41 PM Page 1 ® www.crainsdetroit.com Vol. 24, No. 19 MAY 12 – 18, 2008 $2 a copy; $59 a year ©Entire contents copyright 2008 by Crain Communications Inc. All rights reserved THIS JUST IN Credit union‘equals’to merge Funding for airports requires state vote and Clinton Township-based Ma- Pressure is mounting for Will be fourth largest in state comb Schools and Government Credit lawmakers to act quickly Union merged into the $725 million on legislation that would BY TOM HENDERSON will be based in USA’s headquar- Michigan Schools and Government enable Michigan to collect CRAIN’S DETROIT BUSINESS ters and run under its state char- Credit Union. nearly $163 million in fed- ter. USA’s CEO, Mary McDonald, “Genisys” is a reminder of both eral funding for airports Executives at Bloomfield Hills- will help with a transition period credit unions’ roots: “gen” for Gen- around the state. based T&C Federal Credit Union and before retiring. eral Motors — T&C was founded in As Crain’s reported in Auburn Hills-based USA Credit Pending approval by members 1936 as General Motors Truck & March, the funding autho- Union expect to complete the and regulators, the credit union Coach Credit Union — and “sys” for Unisys. USA was founded in 1954 as rization for airport pro- largest credit union merger in will have $1.2 billion in assets and Addington McDonald Burroughs Employees Credit Union, jects is embroiled in debate state history later this year. will rank as the second-largest The previous largest merger and after Burroughs Corp. merged over whether the state The combined entity will be credit union in Southeast Michi- was in 2005, when Troy-based should also approve fund- known as Genisys Credit Union, run gan and the fourth-largest in South Oakland County Credit Union See Genisys, Page 69 ing for bond-supported by T&C CEO Dianne Addington. It Michigan. construction and renova- tion of buildings owned by universities and communi- ty colleges, as well as state agencies. The latest action on the Red Cross may capital-outlay budget came last Thursday, when the state House sent a version of Senate Bill 511 back to the Senate, after reattach- leave United Way ing college and university projects stripped by the Senate. Some lawmakers say the Agency says cuts force it to try to raise own cash state has until June 1 to act, but airport officials BY SHERRI BEGIN (fundraising) opportunity that is de- say the authorization for CRAIN’S DETROIT BUSINESS creased, as well as the dollars.” state and federal spending In exchange for receiving funding needs to move now for pro- United Way for Southeastern Michi- through United Way, member agen- jects slated to begin con- gan could find itself competing cies agree not to conduct their own struction statewide. And against one of its largest member fundraising from September they worry that Michigan agency for donations. through November while the Torch could lose some of its share The American Red Cross, Southeast- Drive is taking place. of federal funds to other ern Michigan Chapter is considering “The United Way blackout period states if the Legislature separating from the United Way for takes a quarter of the year out of our doesn’t act soon. Southeastern fundraising ability, “The construction sea- Michigan so it can which is a big son is now. And we are be- raise more money This is about the handicap to agen- cies that are now coming alarmed,” said on its own to offset “ having to look for Michael Conway, director of an anticipated cut fact that primary funding public affairs for the Wayne of at least $2 mil- from (other) County Airport Authority. lion of its $2.6 mil- we need sources,” Nine “These are projects that lion in annual Unit- enough said. were approved long ago, ed Way funding. The cut repre- The Red Cross that can create jobs and dollars understands why economic opportunities.” sents 22 percent of GM marches forward its annual budget, United Way shifted In Southeast Michigan, to operate. its focus, she said. projects include recon- which stands at ” about $9 million for “They have a di- struction of a taxiway and As General Motors Corp. prepares to mark 100 Sue Nine, board vice chairman, fiscal 2008 ending minishing pool of apron critical to the new American Red Cross money.” years in business, the company is celebrating June 30. north terminal at Detroit But with a con- The Red Cross Metropolitan Airport, run- milestones but paying more attention to what’s next. gressionally man- board plans to decide the issue of af- way safety area improve- We’ve followed that formula with our report that dated mission of providing emer- ments at Willow Run Air- filiation with United Way in June af- gency aid disaster preparedness port, and runway and begins on Page 23. See www.crainsdetroit.com/gm ter three-year grant commitments services, the Red Cross does not are announced as part of its new other work at Oakland for Web-only features that include a video have the ability to change its focus County International Air- community impact model. and mission, “nor does this board port. on the GM battery laboratory and reader “This is about the fact that we think we should, even if we could,” —Amy Lane need enough dollars to operate,” Nine said. stories about GM. said Sue Nine, vice chairman of the See This Just In, Page 2 Red Cross board. “It’s the window of See Red Cross, Page 69 10 area women lawyers raise CRAIN’S LIST the bar on serving clients, Leading law firms, NEWSPAPER mentoring, Page 11 Page 18 DETROIT BUSINESS MAIN 05-12-08 A 2 CDB 5/9/2008 6:42 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS May 12, 2008 health insurance coverage for that advises companies on how to New hotel for Southfield well as rising commodity prices THIS JUST IN mental health and substance shape their Internet ad cam- and legacy costs for its hourly abuse, prescription contracep- paigns. Its customers include A 107-room Hampton Inn & employees, “noncompetitive ■ From Page 1 tives, wheelchairs, autism, food Sony and Gillette. Suites hotel will be developed in wage and benefit levels” and col- supplements and school vaccines. Beringea was the lead institu- Southfield as part of a facelift for lective bargaining agreements it Fairgrounds area may get Sen. Tom George, R-Kalamazoo, tional investor in iLG, which was the Applegate Shopping Center. called “restrictive.” said he called the hearing on sold to ECI for about $88 million. Southfield-based Etkin Equities — Ryan Beene mixed-use development mandates after receiving many —Tom Henderson L.L.C. will develop the hotel as part of a $12 million redevelop- A new development could be requests for bills from special-in- ment of the 55,000-square-foot re- Rochester College president quits coming to the state-owned land terest groups. Southfield getting IT firm tail center at 29649 Northwestern just north of the Michigan State Fair- George chairs the health policy Mike Westerfield announced Highway. grounds in Detroit. committee. George said he is op- Business Technology Partners May 2 his resignation as presi- — Daniel Duggan The 70 acres previously used for posed to most mandates. Inc., a New York-based IT consult- dent of Rochester Hills-based Softball City would be redeveloped The committee also will hear ing firm, has opened an office in Rochester College. Westerfield, into a mixed-use site if a developer testimony on a bill that would re- Southfield to serve the Midwest. More losses for Delphi president since 2003, is to remain interested in leasing the property quire hospitals to establish a Chris Sarsfield is the Midwest re- at the college as a tenured profes- Delphi Corp. widened its losses can be found, according to a re- strategic plan for managing its gional director. He was formerly sor of English. Philosophy and re- as revenue fell in the first quarter quest for proposals issued last supply of influenza vaccine. information-technology manager ligion professor Rubel Shelly will Opposing all insurance man- compared with a year earlier. serve as interim president for one week. A developer can also lease at Auburn Hills-based Gongos Re- dates is a broad coalition of The Troy-based auto supplier academic year. Shelly has been the 90 acres of land where the fair search Inc. is held as long as the fair opera- unions, payers, associations and posted a net loss of $589 million, with the college since 2005. companies under the umbrella Business Technology Partners or $1.04 per share, on revenue of The college’s board of trustees tions aren’t interfered with, ac- expects to create eight to 10 jobs cording to the document. The organization the Michigan Health $5.25 billion in the first quarter has been appointed to conduct a by the end of the year and 15-25 Southfield office of Staubach Co. is Purchasers Alliance. compared with a loss of $533 mil- nationwide search for a replace- jobs by the end of 2009. marketing the site. —Jay Greene lion, or 95 cents per share, on rev- ment. Shelly said in a statement — Tom Henderson “Whatever project we look at enue of $5.68 billion a year earli- that “it is humbling to be asked to will not interfere with the fair,” Beringea to sell a company er. In its quarterly report filed fill this interim role, and I look said Edward Woods III, director of with the U.S.