CNYB 03-31-08 A 1.qxp 3/28/2008 8:48 PM Page 1

TOP STORIES BOARDS: THETOP Yahoo loses execs to smaller NYC media companies PAGE 3 ® 25 Page 19 Brit club owner aims for VOL. XXIV, NO. 13 WWW.CRAINSNEWYORK.COM MARCH 31-APRIL 6, 2008 PRICE: $3.00 enduring empire PAGE 2 Home Depot New surgery hard to stomach could drop for most patients PAGE 3 Harlem lease Cruise New bloomberg news York Harbor for PROJECT IN PERIL: Moynihan Station, seen here in an artist’s rendering, may not be built. to Franklin D. Roosevelt Drive. Frail economy drives “We are re-evaluating this site $50,000—really other chains to pull to determine if it still makes sense NEW YORK, NEW YORK, P. 6 for our business,” a Home Depot plug on growth plans, spokeswoman says. Why mega-projects too; some soldier on The home-improvement chain has been promising for 10 years to BUSINESS LIVES open a store at the former Wash- are falling apart BY ELISABETH BUTLER CORDOVA burn Wire Factory site,where Tar- get and Best Buy have also signed the home depot inc. may walk leases. Real estate sources say that Financing is crucial, approval. When even just one of away from long-standing plans to Home Depot would be responsible those legs is broken,the project can open a 100,000-square- for subleasing its space if but so is political, weaken and, in some cases, fail. foot store at East River RECESSION it decides not to open a community support That reality has become Plaza, a major new de- store there. painfully apparent in the past cou- velopment from Forest WATCH Home Depot’s hesita- ple of weeks,as some of the biggest City Ratner Cos. and tion comes at a time BY THERESA AGOVINO projects in the city—Atlantic Blumenfeld Development Group. when the economy is stumbling, Yards,Hudson Rail Yards,Moyni- Last week, Atlanta-based forcing retailers of all sizes to re- successful development proj- han Station and Pier 40—appear Home Depot acknowledged that it consider their expansion plans. He’ll have a ects in New York City rest on a to be at risk. is reconsidering its lease in the Some are pulling back on rollouts, martini with three-legged stool of financing, The biggest threat to Atlantic 500,000-square-foot develop- postponing the launch of risky new that meeting. political support and community See MEGA-PROJECTS on Page 8 ment, located on six acres adjacent See HOME DEPOT on Page 8 PAGE 31 AT DEADLINE Top execs settle into easy living BOTH THE YANKEES AND THE METS ARE ON PACE TO attract record crowds this Investor activists question fairness of free rent, other rich perks season, the last in their current stadiums.The Yankees have reach its peak shows that while some companies are sold 3.8 million tickets so far, BY AARON ELSTEIN reining in such largesse, many more are not. 400,000 more than a year ago. Instead, they are continuing to fly executives The Mets have sold 2.8 certainly it’s no great surprise that when off to their vacations on corporate jets, million tickets—300,000 more investment banker, corporate lawyer and Bill pick up the tab for everything from than last year, and a pre- Clinton golf partner Vernon Jordan works in cars to country club dues, and pay for opening-day record. Mets New York, he stays in an apartment in the utilities. But even investors accus- officials hope the club will posh Regency Hotel on Park Avenue. tomed to corporate gluttony are aghast reach the 4 million mark this The surprising thing is that he doesn’t pay to discover that some of the world’s high- season for the first time, and a dime. That honor falls to his employer, est-paid executives are still getting their they’re pulling out all the stops Lazard Ltd., which quietly picks up the housing costs covered in the nation’s with an advertising and monthly $24,000 tab.That’s on top of the most expensive real estate market. marketing blitz to make sure it $3.9 million in compensation the invest- “The apartment perk may be this happens.The Yankees drew ment bank gave Mr. Jordan last year. year’s winner for gouging share- 4.27 million fans last year. Welcome to Easy Street, where holders,” says Timothy Smith, di- lavishly paid executives live large on rector of socially responsive invest- ONLINE AD FIRM EYEBLASTER the corporate tab. ment at Walden Asset Management. INC. IS PLANNING A $115 Many shareholder activists had as- At least half a dozen New York companies million initial public offering, sumed that the harsh winds blowing have already owned up to paying for their which, if successful, would be through the economy would force compa- top executives’ apartments. They include See AT DEADLINE on Page 2 nies to cut back on perks this year.The stream Bank of New York Mellon Corp.,

of annual corporate reports now beginning to linnell stephen See TOP EXECS on Page 8 getty images 13

5 VERNON JORDAN, senior managing director at Lazard, $288,000 $221,000 ELECTRONIC EDITION received: IN ANNUAL RENT TO COVER TAXES ON RENT GIFT 71486 01068 0 CNYB 03-31-08 A 2 3/28/2008 6:46 PM Page 1

AT DEADLINE

Continued from Page 1 affiliates around the country. only the second New York tech IPO in the past two years.The THE STATE LABOR DEPARTMENT company, which specializes in REPORTED THAT THE CITY delivering rich media ads to sites added 2,300 jobs in February, on behalf of advertisers, is one of but economists say the office the few independent ad sublease market indicates that providers based in Manhattan employment data will soon that didn’t get swallowed up by reflect major job cuts. Close to giants such as Google last year. 2.1 million square feet of Eyeblaster’s profits rose 70% last available sublease space has been year, to $7.5 million, on added to the market since Jan. 1, revenues of $44.7 million, which according to an analysis by were up 62% from 2006 levels. Eastern Consolidated.The real JONATHAN SEGAL estate investment firm estimates decided to make the ST. VINCENT’S MANHATTAN that this shift could translate One Group a pioneer in HOSPITAL IS SLATED TO into a loss of more than 8,000 developing a new kind publicly present its controversial office jobs. Crain’s reported on of hybrid nightclub. plan to construct a 21-story March 17 that troubled hospital on Seventh Avenue to financial firms are preparing to the Landmarks Preservation unload 600,000 square feet of Commission on Tuesday.The space. proposal must be approved by the commission because the THE THREATENED FAILURE OF institution is located in the THE PRIVATE EQUITY BUYOUT historic district of Greenwich of Clear Channel Village, and the plan involves Communications may mean demolishing seven hospital further cost cutting at the media buildings. Neighborhood giant’s radio stations.The residents, some of whom have stations have been paring criticized the size and design of expenses and have lost some the project, also will be able to name talent. Stanford Group speak at the meeting. media analyst Frederick Moran says the company will need to THE ART INSTITUTE OF NEW “reattract shareholders” by YORK CITY WILL DISCONTINUE driving earnings growth through its culinary program at 75 cost cuts. Revenues for the five Varick St. next year when its stations in the New York cluster lease expires.The rent there is fell 2.6% in 2007 according to doubling, and the school, which estimates released Friday by BIA Empire builder has 16 kitchens and 600 Financial Network. Billings for students, has been suffering the New York radio marketplace from declining enrollment, says were down 3.5%. A Clear West Village hot spot owner doesn’t lounge around a spokeswoman.The institute Channel spokesman said the also has an art and design company is focused on closing program at 11 Beech St., plus 40 the deal. BY LISA FICKENSCHER

CORRECTION five years ago, British transplant Jonathan Segal stood on the corner of Ninth Avenue and Lit- Ann Acierno, the new chief executive of Bill Blass New York, previously served as senior vice tle West 12th Street in the meatpacking district for the first time and fell in love with its cobblestone president of the New York design office for Kohl’s Corp. Her former title was misstated in the March 24 “Corporate Ladder” because Bill Blass New York provided incorrect information. streets and ghost-town atmosphere. Today, the trendy neighborhood boasts about 30 bars and restaurants—no fewer than five of which are owned by Mr. Segal himself. Meanwhile, the success of those outposts, including such hot spots as STK, Tenjune and One—his first creation—has helped him expand to Los Angeles THIS WEEK IN CRAIN’S and Miami. In the process, his company, the One Group, has exploded in size to 800 employees, nine venues and revenues of $35 million. SMALL BUSINESS ------11 “Most people are impressed by how much revenue he’s generated in this neighborhood,” says 33 David Rabin, president of the New York Nightlife Association. ALAIR TOWNSEND ------13 Mr. Segal owes some of his success to the bankroll he brought with him from his family’s hos- THE INSIDER------14 pitality business in Britain, and the experience he gleaned from running the family firm for more See CLUB on Page 10 WEEK IN REVIEW ------16

REAL ESTATE DEALS------17 REPORT: BUSINESS JOURNALISM CONTEST RESULTS

CORPORATE BOARDS------19 NEIGHBORHOOD Crain’s cited for excellence 35 JOURNAL------27 crain’s new york business was honored for for work in 2007 by daily newspapers, CLASSIFIEDS ------28 overall excellence in the 13th annual Best in business weeklies, magazines, wire services THE WEEKS AHEAD ------30 Business Journalism Contest sponsored by and news Web sites. BUSINESS LIVES------31 the Society of American Business Editors Crain’s New York Business was among five and Writers. winners in general excellence for CORPORATE LADDER------33 In addition, Crain’s editor Greg weeklies.Two other Crain EXECUTIVE MOVES------34 David (right) won an award for his publications—Advertising Age and BOB LAPE ------35 columns in 2007. Financial Week—were also honored, vol. xxiv, no. 13, march 31, 2008—Crain’s New York Business (issn 8756-789x) is published weekly by Crain Communications Inc., 711 Third Ave., New York, NY 10017. Periodicals The SABEW contest began in as were two other regional business postage paid at New York, N.Y. and additional mailing offices. Postmaster: Send address 1995 to help set standards and publications, the Boston Business changes to: Crain’s New York Business, Circulation Department, 1155 Gratiot Avenue, Detroit, MI 48207-2912. for subscriber service: Call (888) 909-9111. Fax (313) 446-6777.$3.00 a recognize role models for Journal and Triangle Business Journal. copy, $59.79 one year, $109.79 two years. (GST No. 13676-0444-RT) ©Entire contents copyright 2008 by Crain Communications Inc. All rights reserved. outstanding business journalism. A Mr. David was one of three weekly record 842 entries were submitted columnists recognized.

2 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 3 3/28/2008 5:50 PM Page 1 Yahoo’s talent drain

world’s brightest and creative talent, Takeover attempt [and] we continue to strengthen and aside, exiting execs ADIEU, YAHOO build on this key asset: our people,” Executives who have departed in the past year. a spokesperson says. cite entrepreneurial Many former Yahoo executives opportunities NAME/TITLE NEW EMPLOYER/TITLE say the takeover move wasn’t the JACKI KELLEY Martha Stewart Living reason for their exit. But if Mi- VP of worldwide sales, Omnimedia crosoft is successful in striking a BY AMANDA FUNG strategies, solutions Executive VP, media deal—creating an even bigger com- sales pany—they expect that even more yahoo is trying to fend off Mi- MITCHELL KREUCH MySpace Yahoo executives will jump ship. crosoft Corp.’s takeover attempt, Regional VP of sales VP of sales, East Coast but a growing number of executives Lost edge won’t be around to find out what WENDA MILLARD Martha Stewart Living “the best talent wants less bu- happens. They’re ditching the In- Chief sales officer, U.S. Omnimedia reaucracy and more innovation, a ternet giant to work for smaller, President of media fast-moving place where they can high-growth companies—many of JERRY SHERESHEWSKY Grandparents.com make decisions,”says Michael Flan- them in New York City. FRESH FIELD: Bill nery, senior managing partner of Drolet, who built Ambassador Chief executive The defections come at a bad health care ad sales plenipotentiary to Redwood Partners,a recruiting firm time for Yahoo. The takeover battle for Yahoo, just joined Madison Avenue that specializes in tech. is a major distraction for a company Waterfront Media. Some say Yahoo has been losing

already plagued with problems. Ya- buck ennis its edge for some time. hoo continues to lose market share George Stewart left his job as na- to Google, and its stock plummeted a month. “Yahoo has reached a point buy electronics. tional sales director at Yahoo Music to a 52-week low on Jan. 30, two “Waterfront is poised to tran- [where] growth is more incremen- “I had a great run,” says Mr. last year to lead ad sales at days before Microsoft made its buy- scend the current health and tal than substantive,” says Shawn Rubenstein, who now leads me- NextNewNetworks, a provider of out offer. lifestyle marketplace,” Mr. Drolet Banerji,a managing director at exec- dia sales for Manhattan-based original online video programs. He Yahoo, based in Sunnyvale, says. “It’s an entrepreneurial oppor- utive search firm Russell Reynolds ExpoTV.The online catalog of about had joined Yahoo in 2001 when it Calif., is now losing talented senior tunity I could not pass up.” Associates. 250,000 consumer reviews of video bought Launch Media, an online managers like Bill Drolet.He joined Investors and headhunters have products is distributed on sites like music company he helped develop, Yahoo’s New York office three years Experts skeptical been taking advantage of the com- YouTube and video-on-demand tel- for $12 million. Revenues at Yahoo ago to develop advertising sales in it’s not hard to see why, espe- pany’s vulnerability by offering its evision. Music grew more than tenfold un- the pharmaceutical and health care cially given Yahoo’s lackluster executives leadership roles at fast- “An opportunity to join a compa- der his oversight. industries. prospects. Once revered as a domi- growing firms. Yahoo is a great ny with fewer than 20 people and [to “I enjoy building,” Mr. Stewart After helping to generate more nant force, the company is trying to training ground, recruiters say. have] a seat at the executive table at says. “The structure of Yahoo was than $70 million in revenue from reverse two years of earnings de- A call from a headhunter late last a company at the cusp of something changing. It’s part of what big com- those sectors, Mr. Drolet left in ear- clines and recently laid off 1,000 of year prompted David Rubenstein’s big trumped everything,” Mr. panies do—they centralize power. ly March to become vice president its 14,000 employees worldwide. departure in early March. Mr. Rubenstein says. Those of us who were part of build- of ad sales at Brooklyn-based Wa- Despite Yahoo’s efforts,industry ex- Rubenstein had spent almost three Yahoo insists that it isn’t con- ing the business became less influ- terfront Media. It operates the na- perts remain skeptical, especially years at Yahoo, where he helped cerned and that it continues to hire ential.” tion’s second-largest health care about its ability to grab a bigger conduct a groundbreaking study on in vital business areas. site, with 14 million unique visitors piece of the online ad market. how consumers use the Internet to “We remain a destination for the COMMENTS? [email protected] Open Skies treaty arrives late, lame in NY

Skies,” says Henry Harteveldt, an Newark Liberty International air- A big deal in Dallas, airline industry analyst with For- ports. That situation contrasts agreement adds rester Research Inc. “Jet fuel is so sharply with what is happening in expensive that airlines are only go- places like Dallas/Fort Worth In- little here; hopes ing to enter a market if they think ternational Airport, which got its fade for price wars they have a better-than- first direct flights to both DRS. MARC BESSLER AND PETER good chance of making a Heathrow and Amster- STEVENS (from left) aim to recruit 100 patients for their study. profit, and New York is dam’s Schiphol airport. BY HILARY POTKEWITZ not the ideal place to 4 To celebrate their new buck ennis start.” routes, British Airways after years of fitful negotia- NUMBER of and KLM Royal Dutch tions, the Open Skies Treaty relax- Traffic increase additional U.S. Airlines showered tea ing flight restrictions across the under the treaty,Eu- carriers now biscuits and windmill Surgery takes North Atlantic finally went into ef- ropean airlines can now able to fly cakes all over the fect Sunday. For New Yorkers, the fly to the United States to Heathrow Dallas/Fort Worth air- wait was not worth it. from any city in Europe. port on Sunday. yucky approach Here, the treaty promises sever- Previously they could fly Sunday came and al more flights from area airports to only from their home countries. went without much fanfare in New London Heathrow Airport, a few The agreement also gives four ad- York as Continental Airlines and New endoscopic procedure put to the test more choices when flying to Paris ditional U.S.carriers coveted access Delta Air Lines moved a handful of and Amsterdam, and a smattering to Europe’s key gateway,Heathrow flights to Heathrow from London’s So far,though,just three patients of April sales on last-minute fares airport. Up until Sunday, only more remote Gatwick Airport. BY GALE SCOTT have agreed to try it. The problem? to the United Kingdom. But New American Airlines and United “The big problem was not hav- Call it the “yuck” factor. Yorkers hoping that Open Skies Airlines enjoyed that privilege. ing access to the most important when manhattan surgeon Marc Instead of cutting through mus- would translate to open warfare be- Those new flights, however, international market in the Bessler began offering an experi- cle and tissue, Dr. Bessler removes tween carriers—and lower fares for represent only a modest addition to world—New York to London mental gall bladder surgery last year gall bladders and other diseased or- all—will be disappointed. the 22 direct flights previously of- Heathrow,” says Glenn Hauen- that offered a quicker and easier re- gans from the abdominal cavity “New York is not going to see fered to Heathrow each day from stein, executive vice president of covery than standard operations, he through an orifice, such as the much immediate effect of Open John F.Kennedy International and See OPEN SKIES on Page 10 expected it to be popular. See UNUSUAL on Page 9

March 31, 2008 | Crain’s New York Business | 3 CNYB 03-31-08 A 4 3/28/2008 7:40 PM Page 1

IN THE MARKETS HIGHLIGHTS REEL Cheap E*Trade shares -1.6% The Bloomberg/ still downwardly mobile Crain’s New York Index

➡ fell 1.6%, to ment team. But its problems can be raise cash. The firm is expected to post a end the Company’s value is summed up like this: E*Trade’s net worth loss of 8 cents a share this year, according week at 317. undermined by sinking of $2.8 billion is overwhelmed by $35 bil- to Reuters Estimates, before returning to The S&P lion worth of mort- profitability next year. 500 Index mortgage-related assets gage-related assets of But predictions of fell 1.7%, fast-fading value, ac- profits hinge on a re- closing at cording to Citigroup covery in the housing 1315. BY AARON ELSTEIN Inc. market, which seems Finding a new nowhere in sight. ast november, hedge fund buyer to rescue E*Trade’s biggest Citadel Investment Group E*Trade from this problem may be its saw what looked like a terrif- mess seems unlikely. $11.9 billion portfolio ic opportunity. The giant “We don’t believe of home-equity loans. hedge fund snapped up $2.5 the firm is a viable The firm has set aside RISERS Lbillion worth of shares and debt in down- takeover candidate $459 million of re- 5-DAY 1-MONTH 3-MONTH CLOSING trodden E*Trade Financial Corp.—one based on its rate and serves for future loss- % CHANGE % CHANGE % CHANGE PRICE of the earliest victims of the subprime credit risk profile,” es, but warns in its an- Bear Stearns +80.9% -87.2% -87.7% $10.78 crisis. wrote Citigroup ana- nual report that it may Coach +20.5% -52.5% -50.4% $11.60 Since then, the shares have tumbled lyst Prashant Bhatia suffer up to $1.5 bil- 28%. Investors looking to bottom-fish in a recent report. He lion in losses over the Dice Holding +20.1% +26.9% +13.3% $9.01 may be tempted by E*Trade at these rates E*Trade a “sell” next three years. More Hertz +10.7% -3.7% -20.8% $12.35 prices,but the company is still no bargain. and estimates the Market cap $1.8 billion than 40% of the loans Children’s Place +10.2% +12.9% -4.7% $24.53 Over the past decade, the discount stock is worth $2.75 a 52-week price change -82% were made to con- broker distinguished itself as one of Wall share, about 30% be- Total debt $3 billion sumers who provided Street’s savviest marketers by using hu- low its current price. no documentation of SINKERS morous ad campaigns and low prices to Recently, however, their income—the in- 5-DAY 1-MONTH 3-MONTH CLOSING lure 4.7 million customers fed up with ex- analysts have noted famous “Ninja” (no % CHANGE % CHANGE % CHANGE PRICE pensive full-service brokers. But E*Trade that brokerage customers who fled after income, no job) loans. Lehman -22.2% -30.7% -41.4% $37.87 was always as much a bank as it was an in- E*Trade’s problems surfaced last fall are In addition to its problems with hous- Merrill Lynch -14.8% -22.7% -24.6% $39.93 novative discount broker, and that’s why beginning to return. Yet even here the ing-related loans, E*Trade has $2.6 bil- it dove deep into home equity loans and Ambac -13.3% -50.8% -76.9% $5.81 outlook is dim.Daily average trading rev- lion of boat and recreational vehicle loans mortgages whose value has crumbled. enue fell 17% in February. on its books. Such loans typically take on Scholastic -12.0% -15.1% -14.3% $30.25 The Manhattan-based firm is franti- Last year, E*Trade posted a net loss of water in recessions. Bank of NY Mellon -11.0% -10.6% -14.9% $41.29 cally trying to right itself by selling assets, $1.4 billion, or $3.40 a share, reflecting a raising cash and installing a new manage- huge loss it suffered from selling assets to COMMENTS? [email protected]

STOCKS TO WATCH by Erik Ipsen Harsh new reality slow to register with Bed Bath & Beyond holders ONE OF CORPORATE AMERICA’S longer winning streaks ended in January, when Bed Bath & Beyond posted its first—2%—dip in earnings in a decade. Next week, the retailer is expected to post its second decline, 18%. Given that, and the severity of the housing slump behind it, you would think the stock would be a big loser. Instead, it’s flat this year. Sure, the retailer is best in its class. But it’s not that good. Nice work if you can get it. For months, BlackRock has benefited from investors’ “flight to safety” as they stashed more of their cash in funds Attention Mets and Yankees Fans! managed by the firm, viewed as having some of the safest hands on Wall If you are a season ticket holder and would like to sell any of your tickets, Street. Late last month, the Federal Reserve did much the same, handing call Admit One today! Our Market Makers are ready to make you an offer. If you would like to Bear Stearns’ $30 billion portfolio to BlackRock to manage. The favor drove purchase tickets for any game, our Event Specialists are standing by ready to assist you. its shares up 35% in a week. They have gained 28% over the past year. Admit One is the trusted source for the acquisition and sale of live event tickets. On the Buy side Few firms have stepped up lately to and Sell side — we offer our clients true market value, secure transactions and dependable service. forecast earnings growth of 8% to 9% through 2011, as Public Service Enterprise did recently. Not many can match its shares’ 48% gain last year—or its plan to build a huge wind farm off the Jersey coast, for that matter. Despite all that, PSEG seems to have fallen victim to its own (646) 307-4239 success. Investors, betting that such www.admitone.com • email: [email protected] • 1412 Broadway, New York, NY growth can’t go on, have sent PSEG’s stock into a 19% stumble this year. On the Bloomberg Terminal: Type TIXX or email [email protected] charts: lindström bekka

4 | Crain’s New York Business | March 31, 2008 Project2 3/19/08 6:46 PM Page 1

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200873 CNYB 03-31-08 A 6 3/28/2008 4:09 PM Page 1

NEW YORK,NEW YORK edited by Valerie Block

Clicking with the stars abloid favorites Paris Hilton, Nicole Richie, Amy Winehouse and Eliot Spitzer—or rather, actors who look Tlike them—will be parading around midtown on Tuesday to help launch a gossip news Web site that aims to give celebrity fans a fantasy league of their own. Celebrifantasy.com, in addition to aggregating news about the likes of Paris and Amy, will allow visitors to create fantasy teams of bold-faced names and compete against each other based on whether their “players” make the pages of Us Weekly, People and In Touch. Britney Spears Angelina Jolie zuma press

has another meltdown? is landov

pregnant again? Score! getty images “We’re set up to suck people’s days away,” says founder Marc Mitchell, the former chief operating officer of UrbanDaddy.com. He’s added social networking components like live chat and member profiles to differentiate the new site from competitor Fafarazzi.com. Mr. Mitchell also plans to launch companion sites of interest primarily to women, including ones covering fashion and beauty.“I think [the network] will be very attractive to advertisers,” he says. vessel, gorge on a gourmet meal that book last week before it even Developer hits and spend the night in a top suite went to auction, according to the Heights of a luxury hotel. It’s not such a two editors who had been bad deal, considering that a interested in bidding. The book’s real estate developer Peter Fine presidential suite at a fancy joint agent, Shawn Coyne, has not has added a hot uptown property identified the publisher and did to his portfolio.The president of not return a call. Atlantic Development Group put More titles will follow. more than $1 million into the Writers from New York, the Broadway run of In the Heights, Lin- Financial Times, and The New Manuel Miranda’s acclaimed musical York Times—as well as another Weiser LLP is pleased to announce that about life in Washington Heights. Journal reporter and a former The show opened March 9 at the Journal reporter—have proposals Richard Rodgers Theatre. out, an insider says. David Casten Mr. Fine says he first went to Meanwhile, Doubleday has see the play during its off- like the Mandarin Oriental can signed up The Last Tycoons author & Mark Farber Broadway run as a favor to Mr. run $14,000 a night. William D. Cohan to write about the Miranda’s father, who works as a “The package is geared toward Bear Stearns collapse.That title political consultant for Atlantic. art enthusiasts who want to see a will compete with The Sellout,by have been admitted into its partnership. “I expected to see a class play, once-in-a-lifetime exhibit,” says CNBC’s Charles Gasparino,from but was blown away by the story,” Andreas Sappok, general manager of Collins. he says. Circle Line. “[The Cohan and Gasparino New York City David Casten, CPA - Principal As the son of a cab driver who For those with less disposable books] are going to duke it out 135 West 50th Street Rick Wolff New York, NY 10020 brings with him over 30 years of grew up in public housing in income, the Ritz-Carlton at over Bear Stearns,” says , Tel 212.812.7000 experience, including more than 25 Queens, Mr. Fine identified with Battery Park will offer a $5,000 executive editor of Business Plus, Fax 212.375.6888 years as a tax partner in a Big Four firm. the musical’s portrayal of life on package for corporate groups that which just acquired Game Over by New York City’s streets. want to take a 30-minute break investment adviser Stephen Leeb. Long Island He has provided tax and related financial 3000 Marcus Avenue accounting services to a diverse client The newly minted producer between their business sessions to “Our book is more broad-scope.” Lake Success, NY 11042 base across a wide variety of industries. now has the Broadway bug. He’s hop on a New York Water Taxi and Tel 516.488.1200 In addition, he is an adjunct professor at on pace to recoup his investment see the sight (rendering above). Contributors: Lisa Fickenscher, Matthew Fax 516.488.1238 the Boston University Law School Graduate Tax Program. in the next seven months, and is Flamm, Daniel Massey Westchester Mr. Casten can be reached at 646.315.6123. looking into other opportunities 660 White Plains Road in theater and film. Good books Tarrytown, NY 10591 GIRL POWER Tel 914.333.0555 Mark Farber, CPA - Partner for hard times Fax 914.333.0556 possesses more than 20 years of The high art every cloud has a silver HILLARY CLINTON’S CHANCES for New Jersey experience in providing accounting lining, or at least the making it to the White House 399 Thornall Street and tax services. He specializes in tax of sightseeing Edison, NJ 08837 chance of one: The book might be slim, but What’s issues surrounding financial services the gates in central park publishing industry is Your Point, Honey?, a new Tel 732.549.2800 companies including banks, hedge Fax 732.549.2898 drew 4 million visitors and $250 hoping to cash in on the funds, private equity firms, REITs, and film from Mad Hot Ballroom million in tourist dollars to the tanking economy with producer Amy Sewell, takes www.weiserLLP.com foreign inbound investment related to these entities. In addition, he has significant experience city in 2005.The tourism industry books that explain it. up the crusade for a future working with the tax implications and compliance issues is banking on a similar bonanza In recent days, female candidate. The film of financial institutions in the bankruptcy and from Olafur Eliasson’s New York publishers at half a dozen chronicles the lives of restructuring arena having worked on some of the City Waterfalls, coming to New houses have acquired titles seven young women from largest restructurings. York Harbor in July. on the subject, including Project 2024, an initiative Circle Line Sightseeing Flip-Flop, about how Weiser LLP Mr. Farber can be reached at 212.375.6559. sponsored by COSMOgirl to help a woman Certified Public Accountants Cruises, for one, is designing a math whizzes destroyed become president by that year. private cruise to view the 90- to the economy, by the Wall What’s Your Point, Honey? will premiere Scott 120-foot art installations. For a Street Journal’s in New York on Mother’s Day, May 11. mere $50,000, a family can tour Patterson. the falls in a brand-new chartered A publisher bought

6 | Crain’s New York Business | March 31, 2008 cn011877.qxt:Advertorial 3/27/08 4:03 PM Page 1

Special Advertising Section • Part II Of II

Slashing the Business Tax Burden

FICA on those contributions and the business can avoid pay- Corporate Tax Minimization ing its matching share, too. Employees also get a tax deduction Strategies from Eisner LLP for the contribution. I Track out-of-state business travel. Rock stars already pay income tax in all the venues where they perform; now, says Peter Michaelson, an Eisner tax partner, more states are look- ing to tax ordinary employees who happen to do business in By Robert J. McGarvey their jurisdiction. Pay a visit to a New Haven client to help them better use software they bought from your company and, RADY bingo, you just may owe income tax on that day. You never B heard of such a thing? Join the club. As most people aren’t ILL f you are in business, like it or not tax agencies expect their :B share of your profits. How much they take is up to you aware of the practice, companies are getting caught flat-footed. and your CPA. Attention to detail, creativity in using tax However, because penalties can quickly add up, Eisner is ad-

vising its clients to take a hard look at travels and tax implica- HOTOGRAPHY

minimization strategies, and staying abreast of changing P IRS positions will make a sizable difference in a business’s tax tions. Note: Sales calls, in most instances, are tax exempt. bill, assure the tax experts at Eisner LLP, a Manhattan-head- Service calls are what states want to tax. Eisner accountants Carolyn Dolci and Peter Michaelson. I I Profits interest. Gaining popularity within LLCs, profits quartered accounting firm with offices also in New Jersey and Long Island. interest allows a company to make an award in an interest in Eisner experts check off areas that could mean tax savings future profits to key employees. “This is a very powerful tool repairs and maintenance ought to be tax deductible. for their clients: in attracting and retaining talent,” says Michaelson. Say the I Hold onto what’s yours. Expect to record a loss for the I Deducting 2008 expenses from 2007 taxes. For businesses company is valued at $1 million. A new hire might be given a 2008 tax year in the stumbling economy? A sliver of good on an accrual accounting method, it may be possible to deduct 5% share in profits beyond $1 million. If the company sells for news, says Dolci, is that if you owe taxes on profits registered recurring expenses for legal, accounting, and similar fees from $900,000, the employee gets nothing. If it sells for $1.5 mil- in 2007, you may be able to defer paying those taxes because 2007 taxes, even if the bills are not paid until 2008, says Car- lion, he gets $25,000. The advantage: the employee does not of the anticipated carryback loss. That just may take some of olyn Dolci, an Eisner tax partner. This can deliver significant owe any taxes until the targets are achieved. the sting out of economic upheaval. savings on the tax bills that are coming due. I Lease backs. A strategy gaining favor is for the individual Some of this is new to you? That’s not surprising – tax code I FICA tax benefit. This is win-win, for employees and the to own real estate assets which are leased back to the company. is in constant flux. That’s why consultation with professional business. For employees who contribute their own money to a Set up properly, this can reduce taxable income while keeping tax accountants is crucial. “Our job is to take all the surprises “health care flexible spending account,” they can avoid paying cashflow at the same level. Benefits multiply. For instance: all out of the tax code for you,” says Dolci.

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PeterPeter MMichaelsonichaelson ESTATES,ESSTTAAATES,TES, TRUSTS, STSTATETAAATETE AND LOCAL TTAX AX VisitVisit eisnerllp.com to receivereceiveceive our frfree ee ANANDND PRIVATEPRIVVAAATETE FOUNDAFOUNDATIONS ATIONSTIONS [email protected]@eisnerllp.com COCORPORATEORPORAATETE T TAXAX SOLUTIONS e-newsletter TTaxax Alert orr send an email 2212.891.416412.891.4164 ININDIVIDUALDIVIDUAL AND FAMILYFAMILFAMILLYY INTINTERNATIONALTERNAATIONALTIONAL TTAXAX to [email protected] CarolynCarolyn DDolciolci [email protected]@eisnerllp.com 973.593.7072973.593.7072 CNYB 03-31-08 A 8 3/28/2008 7:58 PM Page 1

Home Depot could drop Harlem

Continued from Page 1 On a smaller scale, optical chain “For some retailers, there’s an op- concepts and shuttering underper- Moscot, which operates three stores portunity to get into locations they forming stores. Industry executives in the city, recently scrapped a plan couldn’t get before,” says Steven worry that adding locations will to open three more full-size stores Greenberg,founder of real estate ad- cannibalize their existing businesses here. Instead, co-owner Kenny visory firm The Greenberg Group. as consumer spending slows, and Moscot is investing in his e-com- some don’t have the cash to build merce site. He’s also launching a Juicy gets flagship more stores. new mixed retail strategy, which though liz claiborne inc.decid- “Why spend money trying to calls for opening mini freestanding ed to close its 54 underperforming force growth when growth will be stores one-third the size of Moscot’s Sigrid Olsen stores, the fashion hard to come by?” asks Marshal Co- current 1,500-square-foot loca- house is aggressively seeking space hen, chief analyst at retail trend- tions,small shop-in-shop boutiques for Kate Spade, Lucky and Juicy tracking firm NPD Group Inc. and temporary pop-up shops, in- Couture. It just signed a lease for a cluding one in The Earnest Sewn flagship Juicy at 650 Fifth Ave., at HOME ALONE: The retailer Chain reaction Co. denim store in the meatpacking West 52nd Street. has two Manhattan stores.

clothing chain Ann Taylor district. Another retail giant, Limited bloomberg news Stores Corp. reacted to the eco- “We see a lot of potential for that Brands Inc., is sticking with its plan nomic slowdown in January by an- model,” Mr. Moscot says. “I think to open three Henri Bendel loca- very closely.” ago,” says Tom Johnson, Aéro- nouncing the closing of 117 stores. this is the best way to approach [the tions this year. Teen retailer Aéropostale Inc. postale’s chief operating officer.“It’s It will also shelve until 2009 the market].” “We take the long-term view aims to open 70 stores in the Unit- not full steam ahead, clearly, with launch of its chain targeting baby Meanwhile, some chains are with real estate,” says Jamie Bersani, ed States and 15 in Canada in 2008 current economic conditions, but boomers. For now, the company is pushing on with their expansion executive vice president of real estate and will end the year with about 900 we have a fully established real estate going after bargain hunters and will plans, hoping to take advantage of for Limited.“Because of that,we try locations. plan.” introduce its first 10 Loft Outlet lo- competitors’ woes and score favor- not to react too dramatically, but “We’re trying to move down the cations this year. able rents. [we] are scrutinizing new projects path of the plan we established years COMMENTS? [email protected]

“I think MSG is making a busi- ensure the integrity of the 14-acre ness decision because they don’t see site. The Related Companies was Mega-projects falling apart any light at the end of the tunnel,” prepared to pay for repairs in return says Kathryn Wylde, chief executive for the right to build an entertainment Continued from Page 1 issues that held up the projects seem came after years of debate. The de- of the Partnership for New York and retail complex there, but it could Yards and Hudson Yards is the cred- to be going away.Lawsuits had long cision dealt the $14 billion project a City. “MSG’s action isn’t directly af- never get the neighborhood’s sup- it crisis. hobbled the Atlantic Yards project. potentially fatal blow. fected by the credit market, but in a port. Residents believe the project is Two weeks ago, Bruce Ratner, Just one more legal challenge re- Government agencies and elect- sense it feels like it is losing money for too big and too commercial and don’t chief executive of Forest City Rat- mains, but the lack of financing is ed officials haven’t been able to agree every day that it doesn’t renovate.” want the ballfields moved,which Re- ner, said that its $4 billion Brooklyn slowing the project down now. lated’s plan would have done. project faces delays because of the fi- There was disagreement about State help Neighborhood resistance and nancing environment. what to build on the Hudson Yards ‘We need more ms. wylde hopes that the an- problems over the length of the And though Tishman Speyer site for years.At one point,it looked nouncement will help unblock the lease led the Hudson River Park was chosen last week to develop the as if a football stadium would rise of these catalyst logjams and that the state will step Trust’s board to shelve Related’s 26-acre Hudson Rail Yards on the there,but that plan fell victim to po- in before MSG begins renovating. proposal last week. Two other West Side, the company has an up- litical and community pressures. A projects that She thinks Sen. Charles Schumer’s groups, one of which is made up of hill battle to fund the multibillion- proposal was eventually crafted for a idea of putting the plan under the community residents, have been dollar project, especially as it hasn’t mixed-use development. lead to recovery’ jurisdiction of the Port Authority of given 90 days to develop an alterna- lined up any major tenants for the of- New York and New Jersey could in- tive plan, which is likely to depend fice buildings it hopes to build there. Political inertia stigate new action. on bonds for funding. “The financial markets are crip- at moynihan station, the prob- “Because the economy is falter- But Diana Taylor, chairwoman pling deals,” says Paul Fried, a prin- lem is largely one of political inertia, ing, I think now we need more of of the Hudson River Park Trust, is cipal at AFC Realty Capital Inc., an although money has also been an is- on the size and scope of Moynihan these catalyst projects that help lead concerned that the credit markets investment bank. “There are no ex- sue. Last week’s announcement by Station or cobble together the neces- to a recovery,” Ms. Wylde says. could be an impediment to such a ceptions.” Madison Square Garden that it sary public financing.Over time,cost Community opposition has been proposal. Ironically, the crisis descended would renovate its arena rather than estimates have ballooned. The Gar- the stumbling block at Pier 40,where just as the political and community build a new one at a nearby location den’s owners couldn’t wait any longer. improvements are sorely needed to COMMENTS? [email protected]

habit to break. Bristol-Myers Squibb Co., for CORPORATE PERKS Top execs settle into easy living example, paid $25,500 in monthly rent for an apartment for CEO James Cornelius Continued from Page 1 and even $4,700 for parking. York Mellon promised to “signifi- James Cornelius while he moved to CEO, Bristol-Myers which pays for an apartment for Mr. Kelly was awarded $20.1 cantly reduce the number of New York from Indianapolis last Squibb Steven Elliott, a senior vice chair- million in total compensation last perquisites offered to executives” in year.The drugmaker even pitched in $204,000 in man who was awarded $19.7 mil- year, which included $438,000 just its most recent proxy. about $1,200 to cover his power bills. housing costs (plus lion in compensation last year. to cover the taxes associated with all More companies seem sure to A spokesman says he believes other $1,189 to cover electric bills) Bank of New York Mellon does of his perks. follow. Perks have come under companies pay for utilities as part of Steven Elliott not disclose the full cost of Mr. El- “It’s an abuse of shareholders’ heavy scrutiny from shareholders executive relocation programs. Senior vice liott’s apartment, but says it paid dollars,” says Richard Ferlauto, di- since the Securities and Exchange chairman, Bank of $149,000 last year to maintain it Commission two years ago forced Rent question rector of pension and benefits poli- New York Mellon while he wasn’t there. A spokesman cy at the American Federation of companies to disclose such pay- as for mr. jordan, he joined $149,000 in says Mr.Elliott flies to New York al- State, County and Municipal Em- ments in greater detail. Consulting Lazard in 2000 when the company most every week from his Pitts- ployees, which holds Bank of New firm Mercer last year found that 14 was struggling and needed his apartment maintenance costs burgh home as he helps tidy up last York Mellon shares in its pension of 110 companies surveyed had cut world-class Rolodex. It was eager to Charles Oglesby year’s merger between Bank of New fund. “The top people at the bank back on perks. offer a fancy apartment to help lure CEO, Asbury York and Mellon. can afford their own cars and any- Robert Sedgwick,head of the ex- him to New York from his home in Automotive Group Mr.Elliott’s perks,however,are a thing else they might need.” ecutive compensation practice at Washington. Still, the firm’s deci- $45,000 in rent, pittance compared with his boss’s. law firm Morrison Cohen, says he sion to keep paying his $24,000 in plus $4,400 for Bank of New York Mellon lavished New right for shareholders? urges clients to forgo perks when monthly rent puzzles some. gym membership and $25,000 $1.7 million worth of largesse on afscme is sponsoring a resolution negotiating employment contracts “For that amount, why wouldn’t in commuting expenses Chief Executive Robert Kelly. at the bank’s annual meeting next to spare themselves potentially em- you own something?” says William About half the cost came from relo- week that would give shareholders barrassing headlines later. D.Cohan,a former Lazard executive Patrick Regan cating the CEO to New York, but the right to advise the firm on how “I tell them, ‘Please do without and author of a book about the firm Chief financial the rest consisted of such things as it pays top people. Last year, a simi- this [perk],’ ” he says. “No one will called The Last Tycoons. A Lazard officer, Willis Group $179,000 for a company car and lar resolution garnered 42% of squawk about an executive getting spokeswoman declined to comment. $30,000 in driver, $16,000 for a personal car, shareholders’ votes. Facing more paid an extra $100,000 instead.” apartment rent $13,000 for club membership dues opposition this year, Bank of New Still, raking in perks is a tough COMMENTS? [email protected]

8 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 9 3/28/2008 2:36 PM Page 1

cember surgical workshop conduct- ed by Dr. Bessler and colleagues at Unusual surgery procedure a tough sell New York-Presbyterian. “We’re still in the gee-whiz stage, Continued from Page 3 tomies, as well for removing kid- lems,but there are 25 manufacturers the flexible endoscopic instrument but doctors at our conference were mouth, rectum or vagina. Last neys.They expect that it will also be working on them,”Dr.Stevens says. used in many natural orifice proce- very enthusiastic,” Dr. Stevens says. April, he became the first surgeon used for biopsies and weight loss Once that happens, he says, dures, says he has had no trouble The verdict isn’t in yet, though, in the United States to remove a pa- surgery. NOTES will be more available to getting patient testimonials. says Dr. Arnold Berlin, interim tient’s gall bladder through her But so far, the most successful men. Patients who have agreed to A TV news clip on Novare’s Web chairman of surgery at Montefiore vagina. variation on the procedure has been the procedure have been intrigued site shows a patient identified as Medical Center in the Bronx. Surgeons using the procedure are entering the abdomen through the by the promise of not having post- Mary Ann Rieden playing with a The approach could turn out to making steady progress refining vagina. Drs. Bessler and Stevens say operative pain, he says. But mostly child at a playground. be a misadventure “or the best thing their technique, but they have had entering through the mouth is still they “understand that they will be “I have three children, and this since sliced bread,” Dr. Berlin says. less luck recruiting subjects. problematic because of the risk of helping us learn more.” was a lot easier than childbirth,”Ms. “It’s a highly specialized procedure “You ask patients if they would be stomach acid leaking into the ab- Rieden says, referring to having the involving proficiency in a surgical interested, and you get something dominal cavity. And the rectal ap- Patient testimonials gall bladder surgery. “I was back at technique that most of us don’t like: ‘You’re going to do what? From proach presents the greatest risk of none of the New York patients work in four days.” have,” he says.“Do I plan to learn it? where?’ ” says Dr. Bessler, director of infection. agreed to be interviewed, but a Physicians have shown a lot of Yes.” laparoscopic surgery at New York- “It will take new developments in spokesman for Cupertino, Calif.- interest. About 200 surgeons from Presbyterian Hospital/Columbia. medical devices to solve those prob- based Novare Surgical, the maker of around the world attended a De- COMMENTS? [email protected] Though the technique—natural orifice transluminal endoscopic sur- gery, or NOTES—is still in its ear- ly stages, Dr. Bessler believes it could become a routine option in as little as two years.It reduces the time and pain involved in surgery, as well as the length of hospital stays, he says. An added bonus: No surgical incisions equals no scars. Guidelines set the procedure was first used on lab animals in a Johns Hopkins Univer- sity study in 2003. After unsubstan- tiated reports surfaced of doctors us- ing it with humans—particularly in countries were studies are less regu- lated than in the United States—two medical-specialty societies held a conference in 2006 to set up guide- lines for future studies. In New York City, Dr. Bessler and colleague Dr.Peter Stevens,di- rector of endoscopy at New York- Top This Presbyterian/Columbia, began of- fering the procedures last year and hope to recruit 100 patients for their study. A similar program is under way across town, at New York-Presbyterian/Cornell, Dr. Stevens says. Surgeons have used NOTES for appendectomies and hysterec- 68,348 RSF Contiguous OVERCOMING Block in Midtown YUCK FACTOR PROMOTING natural orifice Spectacular Signage transluminal endoscopy surgery poses a challenge, even for a Opportunity atop Building prize-winning Madison Avenue ad agency. The solution is not to get into specifics, says Ellis Verdi of DeVito/Verdi, whose clients include Mount Sinai Medical Center. “The advertising should just provide awareness that this is an awesome procedure,” Mr. Verdi says. “The strategy should be to Please contact for details: make it sound just amazing, Paul Amrich absolutely wonderful” and create 212-984-8122 / [email protected] an aura that enhances the hospital’s name. Elie Gross Mr. Verdi should know. The 212-317-1133 x239 / [email protected] agency once did a successful Patrice Hayden campaign centered on brain 212-984-7122 / [email protected] surgery performed through the Hunter Kass nose. “You just tell people how 212-984-8076 / [email protected] terrific this is,” he says. As for any unpleasant details, WESTBROOK just rely on that familiar tagline: PARTNERS “Visit your physician to learn if this procedure is right for you.”

March 31, 2008 | Crain’s New York Business | 9 CNYB 03-31-08 A 10 3/28/2008 2:22 PM Page 1

CRAINS_1-28_ unidata_brain_ad-outlined.ai 63.2566.6770.71 lpi 71.57°18.43°0.00°45.00° 1/23/2008 1/23/2008 4:00:02 4:00:02 PM PM Process CyanProcess MagentaProcess YellowProcess Black Club empire builder

Continued from Page 2 from food. For that venue, Mr. Se- than a decade.But it was also helped gal departed from his usual model of by his decision to make the One supplying his own cash by bringing Group a pioneer in developing a in 15 Wall Street bankers, who own new hybrid nightclub.It’s one where 15% of STK. patrons flock for a good meal in the The idea was not just to grab evening and linger late into the their cash but to have them use their night partying to loud music. It’s Rolodexes to help pack the place. also the kind of place more likely to The formula worked so well that endure than notoriously short-lived Mr. Segal was able to earn back his nightclubs. investment in just 18 months. Instead of relying just on their vibe and their liquor tabs, Mr. Segal’s es- Fatherly financing tablishments have a strong food com- buoyed by such successes, he has ponent, which gives them another opened half a dozen places within source of income and also extends the past 18 months.The bulk of the their hours into the early evening. financing has come from Mr. Segal, “It’s one-stop shopping,” says whose father founded a hospitality Matthew Johnson,managing partner company in 1967 called The Mod- of SushiSamba, a Japanese/Brazilian ern Group, headquartered on the restaurant known for being among tiny island of Jersey off the coast of the first to combine dining with a France. late-night scene. “If you don’t con- At its peak, the company owned centrate on your food,you’ll be a flash businesses ranging from hotels and in the pan,” he adds. restaurants to a travel agency and The problem is that even the best charter boats.At age 28,13 years af- of models may not be good enough ter he dropped out of boarding to survive the soaring rents in the school to work for the family’s trav- meatpacking district. el agency in Paris,Mr.Segal became “The first restaurants here won’t the group’s managing director. be able to hold onto their leases,” Shortly afterward, he began to con- says Mr. Segal. vert many of its holdings to cash. In 2001 he came to New York de- Keeping up with fickleness termined to put his hoard to good in addition, Mr. Segal faces con- use on a bigger stage. Although he stant pressure to keep his places rel- has already recouped two-thirds of evant in the notoriously fickle his $15 million U.S.investment,Mr. nightlife scene, a problem that Segal plans to use less of his own grows exponentially as he adds more funds as he steps up the pace of his outlets and expands to new cities. expansion by partnering with hotels, This month, for example, he is including the Gansevoort in Miami. spending nearly $1 million to reno- There, the One Group is handling vate five-year-old One. all the food and beverage service for Mr. Segal’s edge is food. its three restaurants scheduled to Nowhere is that clearer than at open this year at the hotel. STK, the steakhouse and lounge Closer to his adoptive home, he that Mr.Segal launched in 2006 and is eyeing space in what he believes that still ranks as his biggest hit. will be the next meatpacking dis- “I was trying to reinvent the trict, the Bowery area, and at the steakhouse,” he says. Among other same time is looking to open an departures, STK was designed to STK in midtown. appeal to women with its modern Growth definitely looms large decor and fresh flowers nestled be- on his menu. tween white banquettes.Its slogan is “I have aspirations for this com- “Not your father’s steakhouse.” pany becoming one of America’s Commingling dining, drinking major hospitality names,” he says. and partying, STK last year brought in $12 million—45% of which came COMMENTS? [email protected] Open Skies arrives

Continued from Page 3 panding first- and business-class planning for Delta. capacity and stepping up marketing Even Heathrow regular Ameri- efforts. Delta, for example, began can Airlines upped its bet there by offering complimentary chauffeur shifting three Gatwick flights to service to its BusinessElite mem- Heathrow. bers flying to London. The service The problem for the airlines is that offers pickups and drop-offs within such routes don’t come cheap. a 50-mile radius of JFK, Heathrow Heathrow is operating at capacity.So and Gatwick airports. in order for U.S. carriers to make use American Airlines recently up- of their new London rights,they have graded business-class service on its to buy landing slots from other air- New York to London routes and now lines at hefty prices—making it even offers lie-flat beds,red-carpet securi- harder for them to cut seat prices. ty check-in and a higher-end menu. This summer, British Airways Good for business travelers will launch a subsidiary aptly named while new york’s leisure travelers OpenSkies,offering flights to Paris, may find little to cheer about in the Brussels and Amsterdam on planes Open Skies era, business travelers geared mostly to first- and business- should fare better. Lured by the big class travelers. profits to be made in the front of the cabin, airlines are aggressively ex- COMMENTS? [email protected]

10 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 11 3/27/2008 3:20 PM Page 1

SMALL BUSINESS BUTTERCUP’S PAWTISSERIE 2 pet firms run on different routes Retailer LAUNCHED May 2004 (home), December 2005 (store) carrot, and turkey sausage and Ro- manufacturers who are jumping on EMPLOYEES 6 Buttercup’s Pawtisserie jumps for retail; mano cheese have paid off. Today, the organic bandwagon. REVENUES $300,000 Robbie Dawg curls up with wholesale Robbie Dawg biscuits are sold at 700 Ms. Wong has big ambitions as 5-YEAR PLAN Open 2 to 3 stores nationwide, including Pier 1 well,but she readily concedes that she more stores in NYC Red Hook. Like any successful en- and Whole Foods Market. doesn’t have much spare time. She ROBBIE DAWG BY STEVE GARMHAUSEN trepreneur, Ms. Fortunato hustles works seven days a week. while she’s on the job, overseeing all Seeking new stores One of the things she would like Wholesaler ew yorkers are pam- aspects of the business. But whole- the snazzy packaging, designed to devote more time to is an expan- FOUNDED 2003 pering their pooches as saling leaves her ample time to spend by Ms. Fortunato, bolsters the bis- sion of her own wholesaling opera- EMPLOYEES 7 never before. For with her husband and teenage son. cuits’ upscale appeal. Her aim is to tion,which contributes about a third REVENUES $1 million proof, one need look Meanwhile, her focus on coming double and redouble sales by signing of Buttercup Pawtisserie’s revenues. 5-YEAR PLAN Push revenues to no further than two up with such attention-getting fla- up new stores. Eventually, she says, $10 million NBrooklyn outfits: Buttercup’s vor pairings as peanut butter and she may sell out to one of the larger COMMENTS? [email protected] istockphotos Pawtisserie and Robbie Dawg. Both cater to discriminating ca- nines with such esoteric organic of- ferings as yogurt- and carob-frosted pastries. Both are also headed by women and are in growth mode.But there the similarities end. Buttercup’s owner, Betty Wong, operates out of a 650-square-foot store on trendy Fifth Avenue in Park Slope. A committed retailer, she hopes to grow revenues by opening more stores. In contrast, Robbie Dawg founder Lisa Fortunato has put her chips on wholesaling, crank- ing out goodies in a 2,700-square-foot factory in Red Hook and constantly signing on new stores as customers. Both approaches have their mer- its. Typically, wholesaling allows a business to grow faster and is easier to scale up, notes Edward Rogoff, director of Baruch College’s Field Center for Entrepreneurship. The liability is that wholesale margins pale in comparison with those of re- tailers. Retailers also have the ad- vantage of constant feedback from their customers. “There’s an old saying that it’s the plumber who makes the most mon- ey off of the faucet,”says Mr.Rogoff. Personal touch buttercup pawtisserie’s Ms. Wong cites another reason for her preference for retailing: the person- al contact that a storefront brings. Her tiny shop, with its open kitchen, is typically bustling with people and dogs.“I could have gone the wholesale route, but for me the fun of it is in meeting customers,” says Ms.Wong,who ditched her ca- reer as risk manager for Orix USA, a financial services company. Those interactions also provide Not everything in life requires teamwork. valuable, instant feedback as to Real Estate issues are another story. whether there really is demand for freshly baked, all-natural delicacies like liver and cheese brownies.They also clue her in to the optimal serv- ing size, shape and price. Robbie Dawg’s Ms. Fortunato was aware of the pluses of retailing, Curling up with a good book probably isn’t your idea of a group activity. But, getting good real estate advice for your business is a whole but for her they simply failed to out- weigh one of the biggest negatives. di1erent story. At Buchanan Ingersoll & Rooney, we o1er some of the 4nest Real Estate attorneys in the country. And while they bring “The reason I didn’t first open a you considerable experience in their practice area, they also bring you something equally invaluable – access to our other excellent shop in Park Slope is because I knew attorneys. So whatever needs arise, our Real Estate attorneys can handle them, or put you in touch with someone who can – from the hours during the week and Corporate Finance and Intellectual Property to Financial Services and Litigation. Get to know our renowned Real Estate attorneys, as well weekends would be all-consuming,” as the rest of our team, at buchananingersoll.com/team. Then open a new book on the way you work with your law 4rm. says the former fundraiser for a pri- vate school in Brooklyn. She started her business in her Prospect MAKING A CASE FOR TEAMWORK Heights apartment, with Robbie, her Tibetan spaniel, looking on. Soon, Ms. Fortunato was strug- gling to keep up with demand, and Ellen L. Shapiro 620 Eighth Avenue 23rd Floor New York, NY 10018 T 212.440.4400 F 212.440.4401 by December 2004, she expanded into her present industrial space in

March 31, 2008 | Crain’s New York Business | 11 CNYB 03-31-08 A 12 3/27/2008 8:30 PM Page 1

VIEWPOINT Tishman deal and city’s future editor in chief Rance Crain publisher Jill R. Kaplan

t the end of a Tishman Speyer Three times in recent decades, a booming New York EDITORIAL presentation late last year on its economy has peaked at around 3.8 million jobs. In each editor Greg David deputy managing editors Valerie Block, development plan for Hudson Yards, instance, the city’s economy has faltered. While economic Erik Ipsen Chairman Jerry Speyer was asked if there cycles bear some blame, the more important constraint is the assistant managing editor Robert Hordt was anything he wanted to add about the lack of prime office space.That was underlined in a report contributing editor–reports competition for the much-desired 26-acre from Sen. Charles Schumer at the end of the past decade and Elizabeth MacBride columnist Alair Townsend site on Manhattan’s West Side. in all the studies that led to a rezoning of the Hudson Yards senior reporters Aaron Elstein, Erik Engquist, “You haven’t asked how much we want it,” he replied. And neighborhood by the Bloomberg administration.Tishman’s Lisa Fickenscher, Matthew Flamm, Samantha Marshall, Miriam Kreinin Souccar then he answered his own question. “Very much,’’ he said. commitment is to bring major corporate tenants to the site reporters Theresa Agovino, Barbara Benson, A Elisabeth Butler Cordova, Amanda Fung, Today, it’s clear Mr. Speyer meant it.To win the bidding that will transform the area and break the job ceiling. Daniel Massey, Hilary Potkewitz, Gale Scott, war, he found a way to assure the site’s owner, the Not everyone understands that economic rationale. Matthew Sollars Metropolitan Transportation restaurant critic Bob Lape Members of the art director Steven Krupinski Authority, that his firm had the NY needs to community favored the deputy art directors Carolyn McClain, Daniel Mednick financial wherewithal to undertake proposal from The Durst staff photographer Buck Ennis the project even after it lost its develop the rail Organization and copy desk chief Wendy Zuckerman anchor tenant.Then he raised Vornado Realty Trust copy editors Michele Arboit, yards as a Thaddeus Rutkowski Tishman’s bid to just over $1 because it emphasized research editor Denise Southwood associate research editor billion to top a rival offer by some commercial area residential units.The Adrianne Pasquarelli $160 million and clinch the deal. sentiment reflects the www.crainsnewyork.com There’s little doubt that Mr. tishman speyer belief that New York online reporter Kira Bindrim Speyer will need even more needs housing more than EDITORIAL AND ADVERTISING OFFICES 711 Third Ave., New York, NY 10017-5806 determination in the coming years anything else. editorial: 212.210.0277 Fax 212.210.0799 advertising: 212.210.0259 to make his impressive plan a reality. His firm must arrange This is where Ms. Quinn becomes crucial.The guidelines Cable craincom nyk financing in the most difficult credit market in decades, under which Tishman competed for the site were revised to Fax 212.210.0499 Entire contents ©copyright 2008 Crain undertake the complicated challenge of building a platform meet her demands for housing, a school and other Communications Inc. All rights reserved. ®CityBusiness is a registered trademark of MCP over the working rail yards at the site, and nail down anchor community amenities. One could argue that she was the Inc., used under license agreement.

corporate tenants amid a downturn in the economy.Tishman most important political figure in shaping the elements of the TO SUBSCRIBE: will also need help from political and government leaders to competition. While there is always room for revision in the Call 888.909.9111; fax 313.446.6777. $3.00 a copy, $59.79 one year, $109.79 two years. navigate the approval process still required. On that point, the Tishman plan, the unstated but clear quid pro quo in meeting www.crainsnewyork.com spotlight will be on City Council Speaker Christine Quinn. Ms. Quinn’s previous requests was that she would make sure ADVERTISING AND MARKETING The MTA says it chose Tishman because it offered the the winner’s plan would move through the approval process. advertising director Jeff Adler senior account managers most money and had the best credentials to complete the Keeping such promises is what mayors do, of course. Robert N. Grossman, William E. Squitieri project.The city clearly had another crucial rationale—New Since that is the job Ms. Quinn aspires to, Hudson Yards account executives Andrew Carlin, Robert Christiaanse, Irene Irvill, York needs to develop the rail yards as primarily a will be a good test of whether she is up to the task. Courtney McCombs commercial office district if its economy is to prosper, and western account manager Ellen Mazen (Los Angeles) 323.370.2477 Tishman is prepared to do that. COMMENTS? [email protected] sales manager, classified print & online John Gallagher newsletter product manager Catherine Evans Gittens sales coordinator, print & online LETTERS TO THE EDITOR Lulé Haznedari sales coordinator Anita Perrino credit Pat Grondziak 313.446.6082 marketing director Amy Crossman marketing manager Jill H. Bottomley marketing coordinator Jenny Mashberg Readers see much pain, no gain circulation manager Andrea Richardson assistant circulation manager Rosalie Ford THE WORST IS YET TO COME. (See guarantee nonperforming home risk management strategies Joe can afford to purchase.That general manager, interactive Crain’s Online Poll, Page 13.) Bear loans and add more regulation to a throughout your portfolios. means a full 50% downturn or Marc Minardo Stearns was early for a clear banking industry already weighted dave richards more to return to normalcy. reason, and others are not far down by onerous regulations. This downturn will be painful. NEW YORK PRODUCTION behind. Brilliant, isn’t it? AS A LONGTIME professional eddie carr production and pre-press director Michael Corsi If you add up the losses on the If you’re an investor, do your consultant in credit and advertising production manager books today and consider the homework; if you’re in the market collections, I think this has all the WRITE TO US Marilyn DeMilta present value of those losses, we for a home, make sure that you earmarks of a very painful time Letters to the Editor: Crain’s New York Business, PUBLISHED BY CRAIN COMMUNICATIONS INC. have another 15% to 20% of fully understand the terms, ahead for us.Thank you, GOP 711 Third Ave., New York, NY 10017. Fax letters to chairman Keith E. Crain (212) 210-0799. Send e-mail to Crain’s staffers market value losses to rightsize conditions, current and future administration. Rance Crain by using their first initial, their last name and president this condition. payments. j. ashton Merrilee Crain @Crain.com. For example, Editor Greg David is at secretary j. abbourd If you’re a bank CFO, please [email protected]. Names are in the list to the treasurer Mary Kay Crain study the concept of due diligence HOME PRICES will have to fall until right. All letters are subject to publication, provided executive vp, operations William Morrow LIBERALS WANT the government to and employ reasonable and correct they’re at a level where the average they are signed. senior vp, group publisher Gloria Scoby group vp, technology, circulation, manufacturing Robert C. Adams vice president/production & manufacturing David Kamis WHAT’S COMING UP IN CRAIN’S? chief information officer Paul Dalpiaz corporate circulation director Top Small Wealthy Top Education Top Patrick Sheposh architecture business New Yorkers banks, special M.B.A. founder G.D. Crain Jr. (1885-1973) firms report report top thrifts report programs chairman Mrs. G.D. Crain Jr. (1911-1996) April 7 April 14 April 21 April 21 April 28 April 28

12 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 13 3/27/2008 7:45 PM Page 1

There are other Executive Sedan Companies servicing New York City

rior to what they can ever hope to re- and Boston, but not at our rates! ceive. Because most local governments in New York provide similarly lavish health benefits for their retirees, re- formers have been urging retrench- TOWN CAR INTERNATIONAL ment. But public employee unions and their many friends in the Legis- Ready to upgrade to Premium? lature have fought back. They have pushed state legislation that would Call: 212.727.7800 let local governments trim heath www.towncarinternational.com benefits for retirees only if the ...See for yourself why we are Corporate America’s unions accepted the same cuts for active workers. Ground Transportation Solution! They know that union veto pow- er would usually be fatal to reform and that the price for union accept- ance would be too high. It’s the same old story about state mandates: State legislators seek to enshrine generous benefits for local workers. They don’t have to worry about the costs, because the state doesn’t pay them. Local taxpayers get the bill, mu-

john h.john howard nicipal unions get the goodies and state lawmakers get the gratitude of unions in the form of campaign checks and other election help. And if the costly benefits squeeze fund- Unions’ benefits, ing for essential local public services like police, fire and education, the legislators assume that mayors, school boards and county executives taxpayers’ dime will raise taxes or cut services. Bills protecting retiree health he city of buffalo has been offering a group of benefits are again being considered its employees who work about one-third of a year in Albany.The chief sponsors of the Assembly bills are all from New virtually free health insurance. The workers— York City, where the unfunded lia- school-crossing guards—have been paying $5 a bility for retiree health care is almost month for single coverage and $10a month for fam- $60 billion. Which tooth fairy do ily coverage; the latter costs local taxpayers nearly $9,400 a year. Democrats Peter Abbate, William T Colton and Audrey Pheffer think As with so many other outlandish provisions for public will come to our rescue? The Senate sponsor of identical employees, these bene- Like many other bills is Hugh Farley, Republican- fits were negotiated by cash-strapped munici- Conservative Independence Party elected officials to buy palities, Buffalo can’t lawmaker who represents upstate peace or favors, or be- afford this openhand- areas that have been hemorrhaging cause the tab for them edness. So—in ex- jobs. Playing ball with public em- would come due on change for considerably ployee unions is a bipartisan sport someone else’s watch. higher pay—the cross- in Albany. They far exceed what ing-guard union re- You might think that with the part-time private-sec- cently agreed that its economy deteriorating and prices tor workers receive, but active and retired work- rising, state legislators would think the real shocker is that ers would pay 5% of the twice about piling more costs on be- the benefits continue ALAIR cost of individual and leaguered local taxpayers. Most do into retirement. Only TOWNSEND 10% of family coverage. not. Take another look at your local 2% of the nation’s em- These concessions are a tax bill. Shout! Stomp! Make a big ployers offer free health step forward, even noise! Write someone responsible! coverage to retirees who worked though local taxpayers will be pay- full-time—let alone part-time. ing for benefits that are vastly supe- COMMENTS? [email protected] VIPVIP Clients Clients •• CRAIN’S ONLINE POLL VIPVIP EventsEvents VIPVIP VenuesVenues IS THE WORST OF THE FINANCIAL CRISIS BEHIND US? We rent peace of mind. Nationwide rental, staging, sales and OVER TWO-THIRDS of the 632 respondents installation of state-of-the-art audio No, the market say the worst of the nation’s financial crisis No, a more visual equipment at the most will keep falling severe is yet to come, compared with just below until we know recession competitive rates. how severe the .45% 30% who say we’ve already weathered the is on credit crunch 26%. its way storm. A quarter of respondents believe a will be more severe recession is on its way, and 45% say the market will continue heading Yes, the Fed .6% Yes, but the stopped the 23%. market will downward until it’s clear how the credit tread water crunch will affect every financial sector. panic 1.800.862.3210 www.kvlav.com For readers’ comments, See Letters to the Editor on Page 12. Depend on KVL like CRAIN’S

March 31, 2008 | Crain’s New York Business | 13 CNYB 03-31-08 A 14 3/28/2008 1:59 PM Page 1

by both the council and the state Legislature this week or the city PATERSON WATCH will lose $354.5 million in federal funds for implementation. THE INSIDER DAVID PATERSON APPEARS to have turned the first corner of his Meanwhile, fence-sitting City HOT incipient governorship. Last Wednesday, he finally stopped Council members are being courted by Erik Engquist and Matthew Sollars aggressively. Both sides are focused talking about his personal indiscretions, which had whipped on Larry Seabrook of the Bronx, Leroy up a media frenzy just as Albany was striving to portray a Comrie of Queens and Diana Reyna, professional image. Later in the week, the focus moved to the Erik Dilan and Mathieu Eugene of state budget and congestion pricing, which are sure to Congestion fee lobby momentum Brooklyn. Letitia James of Brooklyn dominate the headlines in the week ahead. and Robert Jackson of Manhattan “The business of government may just be the main news ayor Michael Bloomberg’s congestion pricing plan now favor congestion pricing. coming out of Albany for the next couple of weeks,” one political consultant says. “Getting this [personal] stuff off faces a do-or-die week, but one reason it’s gaining the front pages and onto the middle pages can’t hurt, and momentum is the amount of money that supporters Central Park fights that’s where you want the story to be if you want to get Mhave raised for lobbying and advertising. union campaign things done.” Well-heeled business interests have funded their own His fledgling administration was damaged because Mr. district council 37, the city’s Paterson, accustomed to speaking from obscure posts, campaign, and environmental groups are flush with cash from largest public employees union, has NOT underestimated the impact of his statements as governor. His foundations friendly with the mayor. launched a campaign to organize acknowledgement of past drug use during a debate among Überlobbyist Patricia Lynch has been pushing the issue in hundreds of Central Park workers. lieutenant governor candidates hardly caused a ripple. But when he repeated Albany for nearly a year, and various lobbyists are working the The drive aims to erase a two- the admission as governor, a tabloid bonanza ensued. tiered system that has the park’s Luckily for him, the consultant notes, “the Capitol is City Council. Outgunned foes, 24-person union staff receiving consumed with getting a budget done.” The formal funded partly by parking garage pension and job security benefits deadline is midnight Monday, but a modest delay would owners, are relying on Walter not offered to its more than 200 surprise no one, given Mr. Paterson’s late arrival to the McCaffrey Corey Bearak nonunion workers. DC 37’s process. , and membership in Central Park has Brian Meara. At the same time, Albany, if it gets a go- dropped since control was handed ahead from the City Council, has until April 7 to The mayor’s proposal or over to the Central Park pass a congestion pricing plan. Mr. Paterson’s Conservancy following the 1970s something close to it decision to support the controversial fiscal crisis. initiative was cheered by the business must be approved “It is a workforce that does not enjoy basic rights that other community. workers in New York City have,” He faces a difficult period of governing, says Edgar DeJesus, the union’s but that could be exactly what he needs. organizing director. bloomberg news He says park officials have responded to the campaign with information on benefits, which the energy policy priority. antiunion petitions and one-on- group says are competitive. Mr. Cahill says the Assembly’s one meetings to intimidate “The Conservancy feels strongly budget bill will be a litmus test of workers. But Central Park that each employee—once they’ve that optimism. It includes a Conservancy President Douglas been given a chance to learn all of provision for an intervenor fund, Blonsky says he has met with the facts—has the opportunity to which would use siting fees to pay

bloomberg news workers only to provide vote in a free and open government- for local environmental impact administered election,” Mr. Blonsky studies of new projects.The fund says. “Transparency is vital in this has been opposed by the energy process.” lobby. “I’m willing to accommodate them by treating some of those Savino’s hopes issues separately from a siting bill” for the future so that the state can develop a comprehensive energy plan, Mr. state sen. Diane Savino’s chances of Cahill says. But he insists that the eventually winning Rep. Vito energy lobby must also be willing to Fossella’s Staten Island-Brooklyn compromise. seat got a boost when David Paterson became governor. Ms. Savino hopes Mr. Fossella’s Weiner talks conservative district will be city coup redrawn in her favor, the Staten Island Advance reports. While rep. Anthony Weiner, D-Queens former Gov. Eliot Spitzer said he (below), hammered away last week would insist on nonpartisan at what will be a major theme of his redistricting, Mr. Paterson is mayoral campaign: retaking control expected to adhere to the of the city’s finances and traditional political process. development from Albany. Speaking at the annual Metropolitan Business Network Power plant- breakfast, Mr. Weiner said one of siting signal the biggest problems with congestion the new chairmen of pricing is that revenues the Legislature’s go “to an unelected Energy committees— state authority.” Assemblyman Kevin Addressing the Cahill, D-Ulster, and subject of mayoral Sen. George Maziarz, control, which he R-Newfane—are supports, the signaling that it might congressman www.cbre.com/33washingtonstreet finally be possible to wondered why the pass a power plant- mayor must ask Albany siting law, according to for permission to observers. zuma press govern its own schools. The previous measure, known “We’re the adults, we should be as Article X, expired in 2002, supervising them,” Mr. Weiner and most observers say that said, citing Albany’s penchant for renewing it should be Albany’s top dysfunction and scandal.

14 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 15 3/27/2008 6:34 PM Page 1

EXPLORING CAREERS GROUP SEEKS HOST BUSINESSES Harvard Law’s aid plan THE GREATER NEW YORK COUNCILS’ Exploring program is seeking businesses to host educational sessions offering high school students the chance to explore various industries and make better decisions about raises bar for local schools possible career choices. The Exploring program puts together groups of 15 to 25 students $3 million annually to its effort. comparison to those being offered by interested in specific fields. The student groups meet at the host businesses Big tuition waiver for Meanwhile, 26% of Brooklyn Harvard Law,there are good reasons: after school for four or more sessions, learning about career ladders, public service work Law School graduates go into pub- Fewer Harvard students go into educational requirements, salaries and what people in their selected fields lic interest or government, making public service,and the school is rich. actually do. is beyond means of the institution the city’s leading pro- “It’s a very generous program,” For more information, please call Exploring director Bob Hayes at ducer of public service lawyers. The says Joan Wexler, dean of Brooklyn (212) 651-2808, or visit www.nyexploring.org. many; NYU a leader school guarantees a $5,000 stipend Law. “But when 97% of the class for each law student interested in do- goes into private practice, the num- BY HILARY POTKEWITZ ing a public service internship,and it bers aren’t really so big.” grads than schools where more than says.“And if I had an endowment of offers as much as $7,000 per year in In other words, Harvard could a quarter of the graduates are eligible. $1.7 billion, I would do it, too.” some of new york city’s biggest loan forgiveness for five years. end up making much smaller expen- “What Harvard has done is ab- law schools are on the defensive in While such incentives pale in ditures to support its public service solutely extraordinary,” Ms. Wexler COMMENTS? [email protected] the wake of Harvard Law School’s highly praised plans to waive third- year tuition for students who com- mit to five years in public interest law after graduation. “Of course it puts the pressure EMCOR is Here, in the World’s Most Competitive Market. on,” says Mary Daly, dean of St. John’s University School of Law. From fi nance to fashion, New York is the international proving ground for every kind of business. “This illustrates the ever-widening EMCOR delivers world-class facility services—everything from electrical and mechanical construction gap between elite schools, which have vast resources, and the rest of to mobile services to transportation and energy infrastructure—to help these businesses win. us.” Ms. Daly calls any effort to en- courage students to enter public service well worth it, but her enthu- siasm for the Cambridge school’s initiative is tempered. “Harvard can afford to do this,” she says.“Frankly, I would challenge it to do more.” St. John’s, which sent 20% of its PUBLIC DOMAIN Percent of ’07 grads from NYC schools who went into public interest law. Brooklyn Law School 26% St. John’s University School of Law 20% Fordham Law School 17% NYU School of Law 13% Harvard Law School 10% Benjamin N. Cardozo School of Law 9% Columbia Law School 9%

2007 graduates into public service, can afford only a modest loan-for- giveness program. It waives about $2,000 per year of debt for each EMCOR in Greater New York City. Always on. qualifying student. Hail, Columbia officials at Columbia Law School FOREST ELECTRIC WELSBACH ELECTRIC OF L.I. declined to comment on the Har- Salvatore Caputo, President & CEO Joseph P. Florio, President & CEO vard move. Just last month, Colum- Electrical Services Electrical Services bia announced a revamp of its own public service program. Under the WELSBACH ELECTRIC EMCOR SERVICES NEW YORK/NEW JERSEY new plan, the number of years of Keith D. Carney, President & CEO Frank Cooney, President public service required in order for Electrical Services Mobile Services student debt to be waived will be slashed to three from seven. About PENGUIN AIR CONDITIONING EMCOR FACILITIES SERVICES 9% of Columbia Law graduates take Daniel P. Dubin, President & CEO Paul Asmar, Vice President public interest or government jobs. Mechanical Services Site-based Facilities Services The picture at New York Univer- sity School of Law is a little different. HERITAGE MECHANICAL EMCOR ENERGY SERVICES “We’ve been doing this kind of thing for 50 years,” says Deb Ellis, Jeff Porrello, President & CEO Art Strenkert, President assistant dean for public interest law Mechanical Services Energy Services at the school.“I’m glad that Harvard is following our model.” NYU Law offers three-year scholarships to students who com- CALL: 866.890.7794 (US & Canada) EMAIL: [email protected] VISIT: www.emcorgroupny.com mit to 10 years in the public sector. The school spends about $2.5 mil- HOW CAN OUR SOLUTIONS HELP YOU? lion per year funding 20 students in each class. Harvard has committed

| | 15 NYPeop_CrainsNY_Jr_3_31.indd 1 March 31, 2008 Crain’s New3/7/08 York Business8:04:13 AM Process CyanProcess MagentaProcess YellowProcess Black CNYB 03-31-08 A 16 3/28/2008 11:03 AM Page 1

WEEK IN REVIEW For daily news updates, go to www.crainsnewyork.com

ECONOMIC SPOTLIGHT serve as nonexecutive chairman. Citi settling on Enron citigroup inc. agreed to pay $1.66 billion to Enron Corp. creditors, who charged that the bank used shady accounting to keep them in the dark about Enron’s financial troubles. Citigroup was the final defendant in the “megaclaims” lawsuit, a bankruptcy suit filed in 2003 against 11 banks and brokerages. New Fat City rates of both obesity and diag- nosed diabetes jumped 17% in New York City between 2002 and 2004, Air bill of rights tossed according to a report from the city’s Department of Health and Men- A FEDERAL APPEALS COURT threw out New York’s AIRLINE tal Hygiene. Nationwide, obesity PASSENGER BILL OF RIGHTS, which guaranteed fresh air, rates rose 6% in the same period, working toilets and other amenities to travelers delayed with no change in diabetes rates. more than three hours on the tarmac. A lower-court judge Economy Watch had upheld the law in November. But the AIR TRANSPORT NYU, Columbia ASSOCIATION appealed the measure, which was prompted losing luster The 12-month rise in area prices was the lowest in four months. The big drop in the city’s jobless rate may mean that many people called off their job hunts. by a series of airport delays in 2006 and 2007. The after three consecutive years as JANUARY ’08 FEBRUARY ’08 COMPARISON appellate court said the bill was pre-empted by federal laws. No. 1, New York University dropped to No. 4 on students’

1 ap images NY area inflation change +0.2% +0.5% +3.6% “dream colleges” list, published by NYC unemployment rate 6.1% 4.4% 4.8%2 Officer Daniel McGowan was The Princeton Review. Columbia NYC employment change n/a +2,300 +47,1003 Senate reviews asked to resign and will leave April University fell to seventh from 1.The ouster was part of a power fifth place. Harvard University 1-Inflation rate for the latest 12-month period. 2-U.S. unemployment rate. 3-Change for the better Bear deal latest 12-month period. n/a Not available. struggle resulting from HIP and took the top spot. the u.s. senate Finance and GHI’s merger to form NYC Hotel Stats Broadway Stats Banking committees are reviewing EmblemHealth. the government-backed sale of Fox says no Hotel occupancy and daily room In the week ended 3/23, attendance Bear Stearns Cos. to J.P.Morgan to nudity fine rate both dropped in January, PKF and gross reached their highest lev- Chase & Co. Senators asked MTA postpones Consulting says. However, occu- els since the last week of 2007, The executives of both companies for improvements news corp.’s Fox Network refused pancy edged up from the year- League of American Theatres and details and documents related to to pay the federal government a earlier level of 74.8%, and the room Producers says. Six plays and 25 mu- the metropolitan Transpor- $91,000 fine for indecent exposure rate topped last January’s $239.42. sicals are now playing on Broadway. tation Authority postponed $30 during an episode of Married by million in service improvements, America. Fox asked the Federal saying that a decline in real estate Communications Commission to taxes has worsened its finances. review its decision, which involved The MTA said it will reconsider the “pixelation” of body parts. the issue in June when it gets a clearer view of its revenue picture. Crane caution city officials initiated new Sirius, XM deal crane inspection rules after the redux clears antitrust March 15 collapse (below) that J.P. MORGAN CEO James Dimon (right) as killed seven people. Buildings he walks to Bear Stearns’ headquarters. sirius satellite radio inc.’s Commissioner Patricia Lancaster, proposed acquisition of XM Sat- whose department is inspecting 30 the deal, less than a week after J.P. ellite Radio Holdings Inc. won fed- of the city’s tower cranes, said the Morgan increased its offer to $10 eral antitrust clearance. In approv- machinery must be checked by a Capital IQ’s Weekly Deals Report a share from $2. ing the deal, the Justice Depart- building inspector and engineer TRANSACTION SIZE ment said that the combined before being raised or lowered. COMPANY/LOCATION (in millions) BUYER/INVESTOR TRANSACTION TYPE company would have adequate —from staff reports and JetBlue’s founder competition from other forms of bloomberg news reports The Bear Stearns Cos. $1,456.3 J.P. Morgan Chase & Co SB M&A Manhattan flying south audio entertainment.The Federal Ziff Davis Enterprise $20.0 Bessemer Venture Partners GCI Communications Commission Manhattan jetblue airways corp. founder must also approve the transaction. ThumbPlay Inc. $18.0 MeriTech Capital Partners, New GCI and former Chief Executive David Manhattan Enterprise Associates, i-Hatch Ventures, Neeleman announced plans to SoftBank Capital, Verizon Investment create a Brazilian airline, which Steve Madden Management Corp., Redwood Partners, will start flying early next year. Mr. Brookside Capital Management, Cross chief walks Creek Capital, Bain Capital Ventures Neeleman, a native of Brazil, said ClubMom Inc. $12.0 Draper Fisher Jurvetson, GCI the airline will use 118-seat steven madden ltd. Manhattan Highland Capital Partners Embraer aircraft.The venture Chairman and Chief Executive Gizmoz Inc. $6.5 Benchmark Capital, Columbia Capital, GCI currently has $150 million in Officer Jamieson Karson Manhattan DoCoMo Capital Inc., NGI Capital Inc. financing; Mr. Neeleman has resigned to pursue other oppor- Amadesa Inc. $5.4 Carmel Ventures GCI ordered jets valued at $1.4 billion. tunities. Edward Rosenfeld, the Manhattan shoe retailer’s executive vice Selected deals announced during the week of March 16 for companies headquartered in metro president of strategic planning New York. GCI: Growth capital investment represents new money invested in a company for a HIP head out minority stake. SB M&A: Strategic buyer M&A represents a minority or majority acquisition of and finance, was named existing shares of a company without the participation of a financial buyer. hip health plan of New York interim CEO. Independent bekka lindström bekka President and Chief Operating director Walter Yetnikoff will bloomberg news

16 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 17 3/27/2008 6:36 PM Page 1

REAL ESTATE DEALS TheLadders.com extends in Hudson Square

here,” says Michael Glanzberg, a “They were very particular about 27,300 square feet at 535 Madison ed Partnership. Jobs site adds Sinvin Realty broker who worked the space,” says Gene Spiegelman, a Ave., between East 54th and East Monarch, which invests in dis- 20,000 square feet with Christopher Owles to represent Cushman & Wakefield Inc. broker 55th streets. tressed debt, was spun off from pri- the property owners, Helene and who represented the tenant with Monarch Alternative Capital vate equity group Quadrangle ear- to accommodate Alan Luchnick. For example, the colleague Alisa Amsterdam. will take over the 26th floor— lier this year. The firm will move current Kisan store carries kids ap- —elisabeth butler cordova about 15,000 square feet—in the into temporary quarters at 535 growing workforce parel by Flora and Henri and mag- first half of 2009, as the current Madison soon. Newmark Knight nets from Three by Three Seattle. tenant isn’t moving out until year- Frank brokers Neil Goldmacher heladders.com,an Kisan’s owners searched SoHo Financial services end, according to Brian Gell, a and Arthur Draznin represented employment site spe- for six months before taking the on Madison broker at CB Richard Ellis Inc. He Monarch. cializing in jobs that Greene Street spot, which was va- and colleague Laurence Briody ne- Meanwhile, Banco do Brasil will pay a minimum of cated by clothier Y & Kei earlier this two financial firms have signed gotiated on behalf of the landlord, take over the building’s 34th floor— $100,000, is expanding month. 10-year leases for a total of nearly Madison Tower Associates Limit- See REAL ESTATE on Page 18 Tin the Hudson Square area. Founded four years ago with six staffers, the company now has 220 employees and needs more space. It recently signed an eight-year deal for 20,000 square feet—about two- thirds of the eighth floor—at 205 Hudson St., between Watts and Des-

Defensive Play? All Rights © Reserved. 2008 LLP. Dickstein Shapiro Strategic Maneuver.

205 HUDSON is a few blocks from 137 Varick.

brosses streets. The space is a few blocks from the company’s head- quarters at 137 Varick St. Asking rent was $52 a square foot, according to Marc Shapses, a broker at Studley who represented the tenant with colleague Jason Schwartzenberg. The landlord, Trinity Church, was represented by its leasing agents, Jason Pizer and Tom Lynch. —theresa agovino Retailer comes in from the cold icelandic retailer Kisan Inc.will open its first U.S. store in SoHo. The company, which now has just one shop, in downtown Reyk- javik, recently signed a 10-year lease EXPERIENCE INNOVATION. for 3,500 square feet at 125 Greene St., between Prince and Houston EBS GROUP LIMITED DOES. streets.The store is slated to open in May. EBS Group Limited (EBS), which was acquired by ICAP plc, is the world’s leading provider of foreign exchange trading and Asking rent was about $210 a square foot for the 1,700-square- market data solutions to thousands of trading professionals and organizations. When patent infringement threatened its foot ground floor. The location in- revolutionary technology in a competitive marketplace, EBS turned to Dickstein Shapiro’s experienced intellectual property cludes a large mezzanine and a attorneys for comprehensive, strategic counsel. EBS obtained a highly favorable settlement after a Markman decision in 600-square-foot basement; both which the courts sided with EBS on all disputed claim terms. Additionally, the U.S. Patent and Trademark Office granted will be used as additional selling EBS several additional patents for its industry-leading technology, providing significant future coverage and protection. As space. Owners Thorunn Anspach and a result, Dickstein Shapiro has become a key advisor to EBS for a wide range of intellectual property matters. Olivier Brémond plan to stock the emporium with children’s clothing, household goods, travel items and WASHINGTON, DC | NEW YORK | LOS ANGELES gifts that they collect from around Prior results do not guarantee a similar outcome. the world. “They’ll sell products from a lot of designers who don’t have stores

March 31, 2008 | Crain’s New York Business | 17 CNYB 03-31-08 A 18 3/27/2008 6:38 PM Page 1

1,800-square-foot basement. deal; Ryan Lobo of Corbett & Dul- The attorneys plan to open Sol de lea Realty Inc. negotiated on behalf Real Estate Deals Ibiza, a high-end clothing and ac- of the tenant. cessories shop featuring Spanish and —elisabeth butler cordova Continued from Page 17 $150 a square foot if it did. other European designs. The store 12,300 square feet—over the sum- —theresa agovino will exclusively sell several lines, in- mer. The bank currently occupies cluding Charo Ruiz and Piluca Os- Sleepy’s beds down 33,000 square feet at 600 Fifth Ave. aba, though the partners intend to in 72nd St. condo and will sublet that space as part of Lawyers venture eventually distribute the collections a cost-cutting plan, which includes into SoHo to upscale department stores. sleepy’s has signed a 10-year lease moving its back-office operations to Ms. Bettison, president of Sol de for a 4,000-square-foot store on the Orlando, Fla. two lawyers are launching a Ibiza, and Mr. Foncillas, vice presi- ground floor of Harsen House,a 16- Jonathan Schindler and Aron retail venture in SoHo. Leslie Bet- dent, have worked extensively in story condominium building at 120 120 W. 72ND ST. is a condo building. Schreier, brokers at Colliers ABR, tison and Ignacio “Nacho”Foncillas Latin America and had established W. 72nd St. represented the bank and will han- just signed a five-year deal for 1,800 careers in law and investment bank- The asking rent was $175 a man & Associates, who represented dle subletting the Fifth Avenue square feet at 52 Greene St., between ing before hatching the idea for their square foot. the landlord, Anbau Enterprises. space. Broome and Grand streets. apparel business. The mattress retailer was drawn Linda Feinblum and David Lu- Mr. Gell says that 535 Madison Asking rent was $125 a square Stephen Tarter, principal of to the location because it is on a ma- cas of Julius M. Feinblum Real Es- has no space available but that ask- foot for the ground-floor space. In Tarter|Stats Realty, represented jor crosstown artery, according to tate Inc. represented Sleepy’s. ing rent would be between $125 and addition, the lease includes an building owner Panjo Realty in the Barry Fishbach of Robert K.Futter- —andrew buck ADVERTISEMENT 4 B’klyn ENCOURAGING A NEW areas GENERATION OF DIGIGIRLZ

By Laura Wallace, get hit General Manager, New York Metro District, Microsoft Corporation Home sales, prices drop as financing dries up; a trend? In recent years, fewer take an introductory class in computer science. Capti- young women have been vated by the numeric puzzles of computer algorithms, I BY DANIEL MASSEY pursuing degrees in earned a degree in mathematics and computer science, information technology and I began my career developing software at IBM be- home prices over the past six (IT). Experts offer many reasons: limited awareness of fore moving into sales and marketing at a variety of IT months declined in four Brooklyn neighborhoods hit hard by the sub- technology careers, stereotypes about people who work companies, including Microsoft. prime lending crisis, a downturn in IT, few women mentors and a lack of encouragement In addition to the rewarding parts of my job— that could soon spread to the rest of for girls to take science and math courses. This decline working with talented people, helping customers solve the borough. has occurred despite the fact that technology continues real-world challenges and traveling to interesting Also, sales volume in the neigh- to have a profound impact on our daily lives—and that places—I’m proud to work for a company committed to borhoods—Bedford-Stuyvesant, East New York, Brownsville and many of society’s most exciting innovations are taking attracting talented women to the IT industry and to its Ocean Hill—dropped 64%, accord- place in computing and on the Internet. own workforce. We do this through college internships, ing to a report by Sam Heskel, exec- Microsoft’s DigiGirlz program aims squarely at leadership and career development opportunities for utive vice president of HMS Associ- changing this trend. Over the past eight years, the employees, generous work/life balance programs, and ates, a Brooklyn-based appraisal firm. program has given thousands of high school girls the awareness programs like DigiGirlz. The price of two- to four-family opportunity to learn, up close, about the wide range of homes fell 4% in Bed-Stuy and career choices available in business and technology— Brownsville, the report says, as and to see the important contributions that women DigiGirlz has given thousands of young women homeowners reduced prices in order bring to the workplace through their diverse viewpoints, the opportunity to learn about career choices to find qualified buyers. “Financing is simply not avail- creativity, unique talents and ability to work collabora- in business and technology. able,” says Mr. Heskel. tively. East New York home sales de- At 16 day-long workshops and seven multi-day clined to 125 during the six months camps held around the country this year—including four With as many as 1 million new IT jobs becoming ending March 24,compared with 400 in the same period a year earlier.Sales in the New York City area—DigiGirlz participants will get available in the United States over the next six years, in Bed-Stuy fell from 291 to 111. to know women who work at Microsoft, experience cool the importance of creating a pipeline of talented young The neighborhoods studied by new Microsoft technology and products, and participate women interested in IT careers is greater than ever. Mr. Heskel were among the 10 with in hands-on computer experiences. Equally important are the contributions that the next the highest rates of subprime lending in the city in 2006, according to an At a recent DigiGirlz workshop in the area, I had generation of DigiGirlz can make by applying their analysis by the Furman Center for the opportunity to talk about the incredibly broad range talents and diverse viewpoints to help companies in- Real Estate and Urban Policy. of technical and nontechnical jobs at Microsoft—from novate and develop products and services that meet a HMS released a report in Febru- software development to product design and marketing. wide range of customer needs. ary that showed the Brooklyn mar- I owe my 25-year career in the technology industry, ket outside these four neighbor- hoods remained strong last year. He in part, to a mentor who helped expand my horizons. predicts HMS’s next report, due in Throughout my school years, I excelled in math, but Laura Wallace oversees sales, marketing and service delivery to Microsoft’s largest enterprise customers in the five boroughs two weeks, will show an overall de- I wouldn’t have considered a job in the IT industry if of New York City, Westchester County, southern Connecticut and cline in home values. it hadn’t been for a professor who encouraged me to northern New Jersey. But Frank Percesepe, regional vice president of the Corcoran Group in Brooklyn, says he hasn’t noticed a downturn in sale prices or Learn more at microsoft.com/issues volume in the borough’s pricier neighborhoods. © 2008 Microsoft Corporation COMMENTS? [email protected]

18 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 19 3/27/2008 3:10 PM Page 1

CORPORATE BOARDS INSIDE Highest-paid CFOs in New York area, ranked by compensation PAGE 20 “We don’t want to ... micromanage, but boards should be accountable.” —Hye-Won Choi, head of corporate governance, TIAA-CREF, Page 21

Activist investors prep for proxy battles Investment banks under fire for bad risks, overgenerous compensation

BY STEVE GARMHAUSEN

merrill lynch & co.’s former chief executive, Stanley O’Neal, presided THE BEST BOARDS over record losses at the investment scored well on audit bank. But he still walked away with committee structures, succession plans and $161 million when he was forced to other measures. retire last year. This year, Merrill’s directors face istockphoto the ire of shareholders, who want the board to get a handle on execu- tive pay, especially when the firm’s On governance issues, biggest firms results are so atrocious. “The gatekeepers have funda- BOARDS in NYC often fail to make the grade mentally failed,”says Daniel F.Ped- rotty, director of the AFL-CIO in- WHEN IT COMES TO CORPORATE GOVERNANCE,a handful of New York City companies are stand- vestment office, which along with outs. A larger number need to head back to school. other activist shareholder groups is Crain’s asked experts at RiskMetrics Group to analyze corporate governance practices at targeting New York City invest- AT THE TOP the largest 25 public companies in New York City.The results were decidedly mixed.While ment banks. companies like PepsiCo are a model for other firms, many of the giants based in New York fall short on basic governance standards. Not surprisingly, investment banks were often Getting religion flagged for paying executives excessive amounts. Some media companies, meanwhile, have corporate governance issues are stock structures that put a lot of control in the hands of insiders. returning with a vengeance this The RiskMetrics analysis includes more than 180 pieces of data. Among those that car- spring as activist shareholders at- ried a lot of weight were audit committee structures, succession plans, and restatements of tempt to hold boards accountable financial results within the past two years. Crain’s assigned a grade to each for the financial crisis and question FOCUS company based on how it compared with all companies in the S&P 500. how effectively directors are manag- Companies that were in the top 20% got an A, those in the second 20% a ing risk and overseeing executives. PROFILES B,and so on.Companies were also compared with firms of all sizes in their The movement might also AIG, PepsiCo, industries, a much lower standard, and those percentages are included in spread to other kinds of public com- NewsCorp., the descriptions. Companies are listed by revenues for the latest year avail- panies. Investor groups are reintro- Bristol-Myers Pages 22-23 able; the three-year total return to shareholders is as of March 1. ducing resolutions they have pushed —elizabeth macbride with mixed results for the past few years. One is “say on pay,” which 25 would give shareholders an annual #1 Citigroup annual stock option “burn rate” #3 J.P. benefit shareholders. The compa- vote on executive compensation A over the past three fiscal years was A- ny’s burn rate, however, is in the policies. Inc. GRADE greater than 2% of outstanding Morgan GRADE high range, and its executive com- “Everybody gets corporate gov- Revenues: $146.9 billion shares. Grading on the curve: Citi Chase & Co. pensation was judged excessive. ernance religion during a bear mar- 3-year return to shareholders: scored better than 98% of compa- Grading on the curve: J.P.Morgan ket,” says James Allen, senior policy Revenues: $99.3 billion -43.5% nies in diversified financials. scored better than 96.7% of com- director for the capital markets 3-year return to shareholders: panies in diversified financials. group at the CFA (Chartered Fi- market doubts about its size #2 American +22.5% nancial Analyst) Institute Centre. notwithstanding, Citi is a leader D the bank’s charter or bylaws #4 IBM Corp. At the investment banks, the in corporate governance,especial- International GRADE can be amended with a simple ma- movement is turning personal, fu- ly among investment banks. It jority vote of shareholders, and Revenues: $91.4 billion eled by anger over write-offs in the gets particularly high marks for its Group Inc. mergers can be approved the same 3-year return to D billions and pay packages in the audit committee; all members are Revenues: $113.5 billion way. Measures like that play well shareholders: +27.8% GRADE hundreds of millions. Merrill, Citi- deemed “financial experts.” On 3-year return to shareholders: with corporate governance experts, the board is controlled by a su- group, Goldman Sachs Group the downside, it issues a lot of -27.7% who want companies to be open to permajority of independent out- and Morgan Stanley are among stock options to its leaders: The SEE PROFILE, Page 22 takeovers and mergers that may See BOARDS on Page 24 those facing resolutions on execu- See ACTIVIST on Page 21

March 31, 2008 | Crain’s New York Business | 19 CNYB 03-31-08 A 20 3/27/2008 4:48 PM Page 1

REPORT CORPORATE BOARDS New York Area’s Highest-Paid CFOs Ranked by 2006 compensation Stock Long-term Other Company’s Total Short-term Option awards in cash awards compensation 2006 pay in 2006 pay in 2006 awards in 2006 2006 in 2006 in 2006 revenues Rank CFO/age Company/ticker symbol (in thousands) (in thousands) (in thousands) (in thousands) (in thousands) (in thousands) (in millions)

1 David A. Viniar (52) Goldman Sachs Group Inc. (GS) $40,334.1 $20,843.5 $7,653.1 $11,479.5$0.0 $358.0 $69,353.0 2 Samuel L. Molinaro Jr. (50) Bear Stearns Cos. (BSC) $27,814.5 $13,217.5 $1,260.8 $10,971.8$0.0 $2,364.5 $16,551.4 3 Jeffrey N. Edwards 1 (46) Merrill Lynch & Co. (MER) $14,093.9 $5,895.8$0.0 $8,183.4$0.0 $14.7 $68,622.0 4 Steven J. Bensinger (53) American International Group Inc. (AIG) $12,806.0 $4,000.0 $1,215.4 $4,059.4 $3,512.8 $18.3 $113,489.0 5 Sallie L. Krawcheck 2 (43) Citigroup Inc. (C) $10,573.3 $6,320.0$0.0 $4,253.3$0.0$0.0 $146,905.0 6 Michael J. Cavanagh (41) J.P. Morgan Chase & Co. (JPM) $9,389.2 $3,500.0 $2,889.2 3 $3,000.0$0.0$0.0 $99,302.0 7 David F. Devoe (60) News Corp. (NWS.A) $8,786.0 $6,933.3$0.0 $1,699.4$0.0 $153.3 $25,327.0 8 Fredric G. Reynolds (57) CBS Corp. (CBS) $8,705.9 $5,500.0 $1,429.9 $1,750.0$0.0 $26.1 $14,320.2 9 Thomas J. McInerney (43) IAC/InterActiveCorp (IACI) $8,307.5 $1,800.0$0.0 $6,500.0$0.0$7.5 $6,277.6 10 Andrew C. Richardson 4 (41) NorthStar Realty Finance Corp. (NRF) $7,783.1 $1,150.0$0.0 $633.1 $6,000.0$0.0 $196.4 11 Bruce W. Van Saun 5 (50) Bank of New York Mellon Corp. (BK) $7,458.7 $4,023.0 $1,096.5 $2,140.8$0.0 $198.4 $9,062.0 12 Wayne H. Pace 6 (61) Time Warner Inc. (TWX) $7,187.0 $3,750.0 $1,574.1 $1,305.0$0.0 $557.9 $44,224.0 13 Mark Loughridge (54) International Business Machines Corp. (IBM) $6,576.8 $1,779.2 $765.1 $3,900.1$0.0 $132.4 $91,424.0 14 Doreen A. Toben (58) Verizon Communications Inc. (VZ) $6,373.5 $1,827.4$0.0 $4,331.8$0.0 $214.3 $88,144.0 15 Christopher M. O’Meara 7 (46) Lehman Brothers Holdings Inc. (LEH) $6,071.5 $2,500.0$0.0 $3,571.5$0.0$0.0 $46,709.0 16 Randall J. Weisenburger (49) Omnicom Group Inc. (OMC) $5,726.0 $5,475.0$0.0$0.0$0.0 $251.0 $11,376.9 17 Paul J. Siracusa 8 (63) Hertz Global Holdings Inc. (HTZ) $5,570.5 $1,373.4 $4,185.0$0.0$0.0 $12.1 $8,058.4 18 Gregory F. Hughes (43) SL Green Realty Corp. (SLG) $5,415.2 $4,150.0$0.0 $703.0 9 $0.0 $562.2 $596.5 19 Frank Mergenthaler (47) Interpublic Group of Companies Inc. (IPG) $5,176.5 $1,850.0 $448.3 $2,729.2$0.0 $149.0 $6,190.8 20 Andrew R.J. Bonfield 10 (45) Bristol-Myers Squibb Co. (BMY) $5,153.1 $1,549.9 $2,546.1 $945.6$0.0 $111.5 $17,914.0 21 C. Edward Chaplin 11 (51) MBIA Inc. (MBI) $4,886.7 $1,600.0 $670.7 $2,571.1$0.0 $44.9 $2,680.5 22 Nancy E. Cooper 12 (54) CA Inc. (CA) $4,759.4 $1,307.5 $637.4 $2,265.5$0.0 $548.9 $3,796.0 23 Joseph Macnow (62) Vornado Realty Trust (VNO) $4,720.2 $1,250.0$0.0 $3,152.4$0.0 $317.8 $2,974.0 24 Joseph M. Leone (54) CIT Group Inc. (CIT) $4,507.6 $1,550.0 $958.7 $1,875.0$0.0 $123.8 $6,927.7 25 Alan G. Levin 13 (46) Pfizer Inc. (PFE) $4,414.7 $1,365.2 $1,544.7 $1,434.5$0.0 $70.3 $48,201.0 Challenging times in finance: Between 2007 and 2008, eight of the Top 25 CFOs left their companies or moved up to replace other executives who did. CFOs who are no longer in their positions are listed in a red-ruled box.

Source: Equilar Inc., Redwood Shores, CA., (877) 441-6090, www.equilar.com; additional research by Denise Southwood, Sarah Studley and Heather Holland New York area includes New York City and Nassau, Suffolk and Westchester counties in New York, and Bergen, Essex, Hudson and Union counties in New Jersey. This ranking is based onCrain’s list of the 300 largest publicly held companies in the New York area and includes CFOs who were with those companies atthe end of their fiscal years, except where noted. Executivesmay have additionaltitles.Executive ages are derived from biographical informationdisclosed in company proxy statements and may not reflect recent birthdays. Annualized base salaries are obtained from employment agreements when availab le and estimated when necessary. All financial data are derived from the most recent 10-Ksor newswire data availableasofApril 30, 2007.Thedatafor companies with fiscal years ending in March through December are for the year ended in 2006, and thedatafor companies with fiscal years ending in January and Febru ary are for the year ended in 2007. Compensationdata are derived from company filings availablefrom the SEC asof May 31, 2007. Compensation and financial figureshave been rounded to one decimalplace. Calculations for totalpay and short-termpay are based on unrounded numbers. Total pay represents the sum ofbase salary, bonus, option awards, stock awards, long-termcash awards(attarget) and other compensation. Short-term pay represents the sum ofbase salary and bonus. Option awards as disclosed forall new-regulation companies includesservice- and performance-based option awards and the target value of long-term incentive plan awards denominated in options; as disclosed for old-regulation companies includes service-based option awards and the target value of long-term incentive plan awards denominated in options(when available).Estimated valuefor old-regulation companies(when necessary). Stock awards represents the aggregatevalue of service- and performance-based stock awards and the target value of long-term incentive plan awards denominated in stock and/or units for new-regulation companies; it represents the aggregatevalue ofrestricted stock awards and the target value of long-term incentive plan awards denominated in stock and/or units for old-regulation companies. Long-term cash awards includesthe target value of long-term incentive plan awards denominated in cash. Other compensation represents thevalue of perquisites and benefits awarded to executives.For old-regulation comp anies, this valueiscalculated as the sum of other annual compensation and all other compensation. 1-Mr. Edwards wasCFO until Dec. 7, 2007, when hewas replaced by Nelson Chai. 2-Ms. KrawcheckwasCFO through March 12, 2007, when shewas replaced by Gary CMris.tt Krawenden.check continues to serve with the company aschairman and CEO ofglobal wealth management. 3-Includes restoration (orreload) option grants. 4-Mr. Richardsonbecame CFO in April 2006. Annualized base salary. 5-Mr. Van Saun ceasaedsCserving FO in Sept. 2006.Hecontinuestoserve as vice chairman and was replaced by ThomasP. Gibbons. 6-Mr. PacewasCFO through Dec. 31, 2007, when hewas replaced by John Martin. 7-Mr. O’Meara wasCFO through Dec. 1, 2007, when hewas replaced by Erin Callan. 8-Mr. SiracusawasCFO through Aug. 31, 2007, when hewas replaced by ElyseDouglas. 9-Includesmaximum value of performance share grants, as opposed to the target value of performance share grants. 10-Mr. Bonfield served asCFO until March 31, 2008, at which time hewas replaced by Jean-Marc Huet. 11-Mr. Chaplin became CFO in June 2006. Annualized base salary. 12-Ms. Cooper became CFO in August 2006. Annualized base salary. 13-Mr. Levin was CFO through Sept. 10, 2007, when he was replaced by Frank D’Amelio.

CFOs TO WATCH by Aaron Elstein MARK LOUGHRIDGE FRANK MERGENTHALER When the credit crisis In a meeting that’s fast has grasped a fact that has been CFO of began last summer, becoming legendary on collectors of everything Interpublic Group for two MBIA CFO CHUCK Wall Street, Goldman from fine art to old and a half years. That CHAPLIN told investors Sachs CFO DAVID record albums have makes him a grizzled that the bond insurer’s VINIAR summoned his known for years: veteran compared with exposure to billions of troops just before The less there is of an his predecessors. Mr. fast-deteriorating Christmas in 2006 to item, the more valuable Mergenthaler was IPG’s subprime mortgages discuss the housing it is. To make sure there fourth CFO in three “does not appear to market. The group are fewer IBM shares to go around, Mr. years when he joined the advertising holding pose much of a threat to the company.” How decided that housing prices were quickly Loughridge has spent $30 billion on stock company, then struggling through an wrong he was. The little-known company’s fight weakening and it was time for the firm’s traders buybacks since becoming CFO four years accounting scandal. So far, it’s been mostly a for survival has become one of the biggest to bet against mortgage-backed securities. ago, reducing the share count by 17%. lost decade for IPG and its shareholders, but stories on Wall Street in recent months, one Their timing was impeccable. Shorting That helped lift IBM’s earnings per share by the problems finally are showing signs of that has captured the attention of everyone mortgages just as housing began to tank 92% while its stock price rose nearly 40%. easing. After piling up more than $1.4 billion in from insurance regulators to investment banks. spared the firm the massive write-downs that Mr. Loughridge is something of a rarity losses over four years ending in 2006, the firm The scrutiny is surely more than Mr. Chaplin hammered rivals like Merrill Lynch and Morgan himself for his longevity at one company: at last returned to the black last year. Analysts bargained for when he joined MBIA two years Stanley and helped it coin a record $11.6 billion He’s been climbing the ranks at IBM for 30 predict that the firm’s revenues will finally ago after more than 20 years at Prudential, in profits last year. Mr. Viniar, who made $57.5 years. return to their 2000 level in 2009. where he was treasurer. million in 2007, is Crain’s top-earning CFO.

20 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 21 3/27/2008 3:12 PM Page 1

REPORT Activist shareholders

Continued from Page 19 our judgment for that of the board tive pay. or micromanage compensation de- Directors may actually be voted cisions,” Ms. Choi says. “However, off boards this spring. Labor unions we believe directors should be ac- are launching a campaign to per- countable for their decisions.” suade investors to vote against Mor- Activists are split on the other is- gan Stanley Chief Executive John sue that promises to take center Mack and board members Howard stage during the proxy season this Davies and Robert Kidder—the last year: whether boards did enough to two were on the firm’s audit com- manage risk. mittee—saying the three exposed Firms like investment banks are the company to too much risk. by definition waist-deep in the busi- “That is one trend we’re watch- ness of taking risks, which could present directors with a catch-22. ‘Settlement Wrong bets “this is not a corporate gover- fever has been nance problem,” says Holger What makes Amper the 10th largest Crain’s New York Business CPA firm? It’s the Mueller,an associate professor of fi- trust and confidence that thousands of clients have placed in us for more than 40 years. epidemic in nance at New York University’s We work closely with management to get it right…the first time. recent years’ Stern School of Business.“Control- ling risk levels is a CEO’s responsi- You should know that Amper: bility; a lot of people just made the wrong bets.”
Handles privately held and publicly traded companies with revenues up to $1 billion Still, boards have learned from experience that proxy fights are best
Offers “Big 6” talent, many of whom have served as CFO, Chief Accounting Officer, VP ing,” says Doreen Kelly Ruyaki, di- avoided, and directors are increas- of tax, Director of Internal Audit and Controller rector of strategic planning at the ingly receptive to compromise, says National Association of Corporate Patrick McGurn, special counsel at
Ranks among the Top 20 largest auditors of public companies Directors, who notes that share- RiskMetrics Group.
Understands what keeps you up at night: “doing more with less,” corporate holders have no way of knowing ex- “Settlement fever has been epi- actly what role an individual played demic in recent years,”Mr.McGurn governance, SOX, FIN 48, Fair Value accounting, complex M&A transactions, in discussions on a particular topic. says.“And I think we are going to see international tax and accounting, compensation, and business metrics “Full boards are accountable, not the biggest outburst ever this sea- and you can too. committees and committee mem- son.” CFOs of companies large and small rely on Amper, bers,” Ms. Ruyaki says. For more information, visit amper.com or contact us today: There is some irony in this latest COMMENTS? [email protected] surge. In the last major period of re- New York form early in the decade—after the Peter Bible downfall of Enron and other corpo- GREAT WORK 6 East 43rd Street rate scandals—activists pushed to New York, NY 10017 Average total compensation for board “Seeing Beyond the Numbers...” expand the power of boards. Reso- members in various industries, 212.682.1600 lutions were passed to split the po- in millions. [email protected] www.amper.com sitions of chief executive and chair- man and to provide for more independent directors. $2.72 Fight the power Petroleum products directors’ increased clout led to such high-profile moves as the ouster of Pfizer Inc.CEO Henry A. $1.3 McKinnell, who collected lavish Pharmaceuticals compensation even as the drugmak- er’s stock price plunged. This time around, investors $1.29 themselves seek to counterbalance Financial services/securities directors’strength.Companies have largely accepted the idea of inde- pendent, powerful directors; how hard companies or boards will fight $1.15 the new cycle of activism remains to Insurance/property and be seen. casualty Many boards view even advisory votes on executive pay as an en- croachment on one of their funda- mental roles—as basic as selecting $1.14 company leadership, according to Computer hardware Daniel Booker,a partner at law firm Reed Smith. Directors aren’t likely to object to broad strategic deci- $1.08 sions about compensation struc- Media and entertainment tures, but many balk at shareholder input on specifics, such as dictating executive performance criteria, Mr. Booker says. $1.07 Retirement plan giant TIAA- Health care products CREF is asking several companies to allow advisory votes on pay.Hye- Won Choi, head of corporate gov- $0.9 ernance at TIAA-CREF,says com- Apparel pensation is one of the hardest things for boards to get right. Source: The Corporate Library “We do not want to substitute CNYB 03-31-08 A 22 3/27/2008 3:15 PM Page 1

REPORT CORPORATE BOARDS

#2 American International Group Inc. #15 PepsiCo Inc. Still playing catch-up Changes boost grade

american International being paid 20% more than the medi- in early 2003, PepsiCo New listing standards at the New D Group Inc., is headed in an at firms of similar size. A+ Inc. pulled off the corpo- York Stock Exchange and Nasdaq GRADE the right direction when it AIG also falls short in areas like its GRADE rate governance equiva- had prompted many companies to comes to governance—but lack of stock ownership guidelines. lent of transforming itself make their key director committees that doesn’t mean the insurer’s critics Corporate governance standards call from a C to an A student. more independent. But PepsiCo are satisfied. for companies to spell out more clear- Among a slate of changes, the “took the opportunity to go ahead “Their business includes insuring ly how much stock executives should Purchase, N.Y.-based food and bev- and clean house,” Mr. Warren says. boards,” says Nell Minow, co- own, according to the length of their erage giant eliminated its anti- The company now boasts a corpo- bloomberg news founder of The Corporate Library,a bloomberg news tenure at the company. takeover poison pill. It formed a gov- rate governance quality in the top governance research firm. “They Robert Willumstad Compensation practices notwith- ernance committee. And it gave its Indra Nooyi percentile of the food, beverage and should understand how many risk standing,AIG’s corporate governance nominating,compensation and audit tobacco industry, according to Risk- factors they themselves have.” is improving, though not as fast as companies in committees the ability to hire outside advisers. Metrics Group.That’s a far cry from the begin- Ms.Minow says the company’s compensa- other industries. Its governance is better than “They were firing on all cylinders,” says ning of 2003, when it was better than 75.7% of tion packages are “badly aligned” and calls that of 79.5% of insurance companies, accord- Gregg Warren, a Morningstar analyst. “They such companies. them a high-risk factor for future litigation ing to RiskMetrics, up from 64.2% five years decided to extend their highly respected man- Even more impressive, PepsiCo’s gover- and liability.She adds that AIG executives are ago. But it beats just 37.8% of companies on the agement standards to the board.” nance beats 97.5% of companies in the S&P S&P 500 index—down from 43% five years ago. 500 index,compared with 34.2% five years ago. BOARD HEAVY HITTERS A watershed was the 2005 departure of BOARD HEAVY HITTERS James Schiro, former CEO of the world’s Chairman Maurice Greenberg, who stepped largest accounting firm, chairs PepsiCo’s audit G William S. Cohen, former U.S. Secretary of down in the midst of an accounting scandal. G Ian M. Cook, chief executive, Colgate- committee. Defense and senator During his regime, the board was controlled Palmolive Co. But don’t expect PepsiCo’s good-gover- G Stephen L. Hammerman, retired vice by AIG executives and outsiders tied to the G Dina Dublon, former chief financial officer, nance halo to earn it a pass from activists push- chairman, Merrill Lynch & Co. business. In Mr. Greenberg’s wake, AIG’s J.P. Morgan Chase & Co. ing for additional reforms, warns Mr.Warren. G Richard C. Holbrooke, U.S. ambassador to board remade itself, tapping outsiders. Robert G Victor J. Dzau, MD, chief executive, Duke Its chairman and CEO positions are held the United Nations Willumstad, former chief operating officer of University Health System. jointly, by Indra Nooyi, a situation that in any G Fred H. Langhammer, chairman, global affairs, Citigroup, is now chairman. G Ray L. Hunt, CEO, Hunt Oil Co.; chairman, company raises concerns about self-policing, and former chief executive, Estée Lauder Cos. Hunt Consolidated Inc. he says. And shareholders pushing for cut- G Michael H. Sutton, former chief accountant Steve Garmhausen wrote the profiles spotlighting G James J. Schiro, chief executive, Zurich ting-edge reforms on executive compensation of the Securities and Exchange Commission these four corporate boards. Financial Services could target PepsiCo precisely because it’s a role model.

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22 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 23 3/27/2008 3:18 PM Page 1

REPORT CORPORATE BOARDS

#20 News Corp. #21 Bristol-Myers Squibb Co. Didn’t get the memo Slipping backward?

news corp. excels at many “Anytime [investors] are look- bristol-myers squibb The Corporate Library, complains F things,but corporate gover- ing at success, they are not going to A Co. is a solid performer that Mr. Cornelius hasn’t laid out a GRADE nance isn’t one of them. argue,”says Charles Elson,director GRADE with a few weaknesses sufficiently detailed strategic blue- Thanks to features like of the University of Delaware’s that keep it from crack- print for the company,which faces the its dual-class share structure, Chair- John L. Weinberg Center for Cor- ing the highest ranks of well-gov- constant challenge of developing man Rupert Murdoch’s media con- porate Governance.“But corporate erned companies. popular new drugs. glomerate ranks above just 2.7% of governance is a circuit breaker The drugmaker’s mark is better Bristol-Myers directors simply the companies in the S&P 500 index against bad decisions.” than 89.9% of the businesses in the aren’t pushing him hard enough, Ms.

and just 50% in the relatively weak bloomberg news Weighing against News Corp.is S&P 500 index, compared with Minow says. “There is a lack of ur- media industry, according to Risk- Rupert Murdoch its poison pill, which blocks share- 81.5% five years ago. It bests 99.8% James Cornelius gency on the board.” Metrics Group. holders from accepting a potential- of companies in its industry, versus That could be because Mr. Cor- News Corp.’s stock price has doubled over ly lucrative buyout. What’s more, a superma- 97.6% five years ago,according to RiskMetrics. nelius is board chairman. As part of a settle- the past five years, even after big acquisitions jority vote is required to amend the company’s The performance and status of Chairman ment three years ago over federal charges that like that of Dow Jones & Co. But experts say charter or bylaws. and Chief Executive James Cornelius keep it it had inflated sales and earnings,Bristol-My- the company’s weak governance structure Mr. Murdoch also rankled many investors from earning the highest praise. ers agreed to appoint a director, James Robin- might prove to be its Achilles’ heel. last year when, in the midst of his quest to ac- Nell Minow, co-founder of research firm son III, non-executive chairman to ensure a quire The Wall Street Journal, he tapped the high level of corporate governance. BOARD HEAVY HITTERS young and questionably qualified Dow Jones BOARD HEAVY HITTERS Mr. Robinson will retire as a director in heiress Natalie Bancroft, an opera singer, to May, according to the company. In February, G José María Aznar, former president of Spain join News Corp.’s board of directors. G Lewis B. Campbell, chairman, Textron Inc. the chairman and chief executive positions G G Peter Barnes, chairman, Ansell Ltd. But no single factor looms larger in the Louis J. Freeh, managing partner, were reconsolidated—a step backward in the Freeh Sullivan Sporkin G firm’s low rating than its dual-share structure. view of experts. Rod Eddington, non-executive chairman for G Australia and New Zealand, J.P. Morgan Chase The structure ensures that a small group of in- Dr. Laurie H. Glimcher, Harvard School Otherwise, Bristol-Myers has a slate of of Public Health G Mark Hurd, , Hewlett- siders calls the shots. features that underpin its strong numbers. chairman and CEO G Michael Grobstein, retired vice chairman, Packard Co. Last year, an Australian shareholder led a Ernst & Young Among them:The company lacks a poison pill G Andrew Knight, director, Rothschild failed attempt to eliminate the structure. But G Leif Johansson, chief executive, and has just one share class and an active gov- Investment Trust C.P. the Murdoch family would have to vote to re- Volvo Group ernance committee.Additionally,it has joined G John L. Thornton, professor and director of linquish their power, Mr. Elson points out. G James D. Robinson III, general partner, the first wave of firms to implement majority global leadership, Tsinghua University “There’s not much that the other shareholders RRE Ventures voting, in which director candidates must re- can do,” he says. ceive a majority of votes cast to be elected.

March 31, 2008 | Crain’s New York Business | 23 CNYB 03-31-08 A 24 3/27/2008 4:51 PM Page 1

REPORT

Some see a narrow ray of light. CITY LEADS New York is an oasis of good governance, but companies that give out lots of stock options or have a dual-class stock structure ding the city’s standing. COMPANIES NYC NATIONWIDE Have an anti-takeover “poison pill” 21% 27% Are made up of at least 90% outside directors 18% 6% Majority vote is standard to elect 10% 3% Grant stock options liberally 23% 18% We see the full spectrum. Have dual-class stock structure 13% 5% Boards at the top 25

Continued from Page 19 tobacco companies. siders. But IBM’s chairman and chief executive positions are joint, Broad perspective. Complete solutions. executive compensation was judged #8 Goldman Sachs At Venable, we immerse ourselves in your business so that we fully understand excessive, and the company’s lack of Group Inc. the context of your legal issues. The perspective we gain enables us to partner a board-approved chief executive Revenues: $69.4 billion more effectively with you in addressing your challenges. When you work succession plan knocked the grade 3-year return to B with Venable, you get lawyers who are recognized by clients and peers as the way down. Grading on the curve: shareholders: GRADE leading practitioners in their fields. You also get people you can count on to IBM scored better than 88.3% of +59.5% deliver creative, pragmatic and integrated solutions, grounded in the reality technology companies. independent outsiders comprise that matters most. Yours. the nominating and compensation #5 Verizon committees, and all of the compa- CALIFORNIA • MARYLAND • NEW YORK • VIRGINIA • WASHINGTON, DC ny’s audit committee members are Communications financial experts. A low burn rate www.Venable.com / 1.888.VENABLE sets Goldman apart from some low- Inc. er-scoring financial firms.But it has Revenues: $88.1 billion takeover defenses that knock its 3-year return to B grade way down, and its executive shareholders: GRADE +19.9% compensation was deemed exces- the good news is that the telecom sive. Grading on the curve: Gold- company’s board is run by a super- man outscored 90% of diversified fi- majority of independent outsiders nancial companies. and that financial experts make up its audit committee.The bad new is #9 Merrill that its stock-based incentive plans D were adopted without shareholder Lynch & Co. GRADE approval. Grading on the curve: Revenues: Verizon scored better than 98.3% of $68.6 billion 3-year return to shareholders: telecom companies. -11.2% The Best though its board is controlled by #6 Morgan a supermajority of outsiders, Mer- A- rill’s stock-based incentive plans Stanley GRADE have been adopted without share- holder approval. It also has some Revenues: of Both Worlds $76.6 billion takeover defenses, and its board 3-year return to shareholders: -3.4% members serve three-year terms, outside directors of the invest- which makes them less account- Are all accounting and audit fi rms created equal? ment bank meet without the chief able. Its executive compensation We don’t think so. executive present—a plus by good- has been judged excessive. And governance standards.But Morgan some moves that might benefit As a regional fi rm, Mitchell & Titus can provide Stanley does not use performance- shareholders, such as a merger, re- tailored accounting, audit, tax, transaction support based equity awards for which quire a supermajority vote.Grading and business advisory services. And, our status specific criteria are disclosed, and on the curve: Merrill scored better as a member fi rm of Ernst & Young Global Limited its compensation was judged ex- than 82% of diversified financial allows us to tap the technological resources and the cessive. Grading on the curve: companies. collective knowledge base of the other member fi rms Morgan Stanley scored higher than 95.3% of diversified financials around the world. As our client, you can benefi t from #10 MetLife firms. D our unparalleled access to a “Big Four” fi rm while GRADE working with the largest minority-controlled fi rm in Inc. the United States. #7 Altria Revenues: $48.4 billion D 3-year return to shareholders: GRADE Combine the above with our nearly 35 years of Group Inc. +46.5% experience and you have the perfect complement to Revenues: $70.3 billion outside directors meet sepa- your fi nance team. 3-year return to shareholders: +66.7% rately without the chief executive— the full board is elected annual- considered a plus—and board per- (212) 709-4500
mitchelltitus.com ly. But Altria’s directors are not formance is regularly reviewed. But subject to stock ownership guide- the insurer’s takeover defenses are lines—a major flaw in the eyes of high, and its board members are corporate governance experts— elected every three years—one of and the company paid its auditor several structures that keep the a relatively large sum for non-audit board from being as accountable as services, calling the objectivity of experts want. Grading on the curve: New York Philadelphia Washington, D.C. Rutherford, N.J. Baltimore the audit into question. Grading MetLife’s score was higher than on the curve: Altria scored better that of 76.7% of other insurers. © 2008 Mitchell & Titus LLP than 82.1% of food, beverage and See BOARDS on Page 25

24 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 25 3/27/2008 6:58 PM Page 1

REPORT

#20 News Corp. Boards at the top 25 Revenues: $25.3 billion 3-year total return to F shareholders: +12.8% GRADE Continued from Page 24 #15 PepsiCo A+ SEE PROFILE, Page 23 #11 Pfizer Inc. Inc. GRADE Revenues: $48.2 billion Revenues: 3-year return to B $35.1 billion #21 Bristol-Myers 3-year return to shareholders: shareholders: -4.5% GRADE +36.8% Squibb Co. SEE PROFILE, Page 22 the drug company has a strong Revenues: $17.9 billion audit committee:It consists solely of 3-year return to A GRADE independent outside directors, all of #16 Prudential shareholders: +3.2% whom are deemed financial experts. The presence on the board of a for- Financial Inc. SEE PROFILE, Page 23 mer chief executive of the company, Revenues: $32.5 billion William Steere Jr., nicked its rating, 3-year return to A- #22 Loews Corp. however. Grading on the curve: GRADE shareholders: +32.4% Revenues: Pfizer scored better than 98.3% of $17.2 billion 3-year return to companies in biotech and life sci- the company has a dual-class F shareholders: GRADE ences. stock structure, with the more pow- +79.4% erful shares concentrated among in- the diversified giant’s board is #12 Lehman siders, which is anathema to corpo- controlled by a supermajority of C rate governance activists. But both outsiders, and the board has a gov- Brothers GRADE share classes are freely traded, miti- ernance committee. But its co- gating much of the impact on the chairmen are insiders from the Holdings Inc. grade.The company is controlled by Tisch family,and executives and di- Revenues: $46.7 billion a supermajority of outsiders, and it rectors are not subject to stock own- 3-year return to shareholders: +14.7% has a governance committee. Grad- ership guidelines. Grading on the ing on the curve: Prudential curve: Loews scored better than the board is made up of a super- outscored 96.6% of companies 68.4% of companies in the food, majority of independent directors, within its industry. beverage and tobacco sector. and there are financial experts on its audit committee. But the board #17 Alcoa Inc. #23 Bear is authorized to increase or de- F crease its size without shareholder Revenues: $30.4 billion Stearns Cos. GRADE approval, and the company does 3-year return to C- GRADE Revenues: not conduct performance reviews shareholders: +22.7% $16.6 billion 3-year return to shareholders: of individual directors. Its execu- on the upside, the aluminum com- -17.4% tive compensation was deemed ex- pany’s board is large,with between 13 ill-fated bear stearns is the cessive, and it has a high burn rate. and 15 directors, and the company’s lowest-scoring investment bank. Its Grading on the curve: Lehman takeover defenses are low. But direc- array of takeover defenses, high ex- scored better than 88.7% of compa- tors, who serve three-year terms, are ecutive pay, and lack of disclosure nies in financial services. paid solely in cash, and the company about how it determined executive does not disclose some of its impor- pay were all red flags. Grading on #13 Time tant policies, such as the length of the curve: Bear Stearns did, howev- C+ time a director or executive must hold er, score better than 68.7% of finan- Warner Inc. GRADE stock after exercising options to buy cial services firms. it. Grading on the curve: Alcoa Revenues: $44.2 billion scored better than 79.8% of compa- 3-year return to shareholders: -6.3% nies within the materials industry. #24 CBS Corp. the company has a governance Revenues: $14.3 billion committee,and the full board faces 3-year return to F annual elections, though directors #18 Hess Corp. shareholders: -8.7% GRADE are elected by plurality instead of Revenues: $28.1 billion though the board is controlled by majority, which makes it easier for 3-year return to D- a majority of outsiders,there are a sig- a company-favored director to shareholders: +185.4% GRADE nificant number of insiders on the win. Also, Time Warner does not though all of the gas and oil board, including Chairman Sumner review directors’ performances, company’s important committees Redstone. Related-party transactions and a supermajority vote of share- are made up of independent direc- have taken place between the compa- holders is required to amend cer- tors, Hess’ wide array of takeover de- ny and directors or officers. But what tain charter provisions or bylaws, a fenses troubles corporate governance really hurts CBS’s score is the dual- significant negative. Grading on experts. Hess also does not conduct class voting structure,with more pow- the curve: The company scored reviews of directors. Grading on the erful shares held by insiders. Grading better than 98% of other media curve: The company scored better on the curve: CBS scored better than companies. than 79.8% of energy companies, a 75.7% of media companies. sector traditionally weak in corporate #14 Medco Health governance. #25 Arrow Solutions Inc. #19 American Electronics Revenues: $42.5 billion Revenues: $13.6 billion 3-year return to C+ Express Co. 3-year return to B GRADE GRADE shareholders: +99.5% Revenues: $27.1 billion shareholders: +21.2% 3-year return to A- the company has a governance shareholders: GRADE the computer parts company’s committee and publicly disclosed -8.1% board is controlled by a supermajor- governance guidelines. But it does the charge card and travel compa- ity of outsiders, and all directors are not have performance-based stock ny has a committee that oversees gov- elected annually. But its takeover awards for which it discloses the cri- ernance issues. But, in a negative for defenses are high, and, most signif- teria.And its directors are elected by good governance advocates,its chair- icantly, executives are not subject to Manhattan • Grand Central plurality, which makes it easier for man and chief executive roles are one stock ownership guidelines. Grad- 1-800-367-7701 directors the company puts forth to position. There have also been relat- ing on the curve: The company be elected, despite shareholder op- ed-party transactions involving offi- scored better than 98.4% of compa- F G P S, Take Note. position. Grading on the curve:The cers or directors other than the chief nies in the technology hardware cat- company scored better than 94.7% executive. Grading on the curve: egory. of other health care equipment and American Express outscored 96% of services companies. financial services firms. COMMENTS? [email protected]

March 31, 2008 | Crain’s New York Business | 25 Project1 3/28/08 9:40 PM Page 1 CNYB 03-31-08 A 27 3/27/2008 6:32 PM Page 1

NEIGHBORHOOD JOURNAL

cal Councilmember Letitia James Airport village taking off in Queens are forming a community supported agriculture group, or CSA. The idea is that the CSA will be- downtown Jamaica upgraded the dows, green space and a sky lounge tailers by drawing more visitors. come a food-buying club through Hotels to anchor area around the AirTrain terminal overlooking the lobby are some of “Hotels really anchor an area,” which families will be able to buy development to mixed-use, allowing commercial the features planned for the hotel. says Mr. Towery. “They bring new fresh organic produce from upstate and residential projects on the once- Ms. Graham expects to break people and new shopping patterns.” and Long Island farms. In return for around Jamaica industrial blocks where the new ho- ground by the end of the year. The residential component of quarterly club dues, each member tels are planned. Nearby, on an 18,000-square- the projects has Mr. Towery eyeing will get a box of mixed fresh vegeta- AirTrain terminal The largest of foot site on some of John F. Kennedy Interna- bles delivered weekly to the local the hotels will be a Archer Avenue, tional Airport’s 40,000 workers. farmer’s market. The plan is mod- little over a week Marriott Court- Flushing-based —hilary potkewitz eled on roughly 50 CSA groups that into spring, the long- yard, planned for C&G Construc- have sprouted in the city over the last awaited blossoming of the corner of 95th tion Group is de- 18 years, the nearest one being just a an “airport village” in Avenue and Sut- veloping two Clinton Hill veg plan few blocks away in Clinton Hill. downtown Jamaica, phin Boulevard, more hotels. One taking root Michael Backer, executive direc- AQueens, looks like it will actually about a block is likely to be a tor of the Myrtle Avenue Brooklyn happen. south of the Ja- Marriott brand last year, the Associated Super- Partnership, says the CSA will not

In the past month, developers maica Long Is- bloomberg news designed for market, a longtime retail fixture on only offer vegetables fresher than have entered into separate agree- land Rail Road AIRTRAIN has sparked development plans. longer residential the corner of Myrtle Avenue and those at grocery stores but will do so ments to build at least two major ho- station. Plans call stays. The hostel- Prince Street in Brooklyn’s Fort at a lower price by cutting out the tels near Jamaica’s two-year-old Air- for a 172-room ry will have about Greene, was demolished to make middleman—the retailer. Train terminal. Both hotels will be hotel, plus 348 units of middle-in- 150 rooms and be geared toward ac- way for yet more luxury condomini- A weekly box containing as many under the Marriott flag,marking the come housing and about 200,000 commodating flight crews. Chris ums. While area residents can still as 10 different kinds of organic pro- first major chain to venture out past square feet of retail space. Xu, owner of C&G Construction, find many items in small local stores, duce would be enough for a family of the airport along the AirTrain line. Jamaica-based developers Gra- says he is also in talks with the Star- fresh produce is not among them. four and would sell for $19.The same “We’ve had this concept of an ham Associates, a father-daughter wood Hotel Group to develop an- Concerned about the impact of amount of conventionally grown airport village for a while now,” says team, own the 1.6-acre city block other 150-room hotel. A parking that scarcity, particularly among produce from a Pathmark would cost Carlisle Towery, president of the and are developing the site. They garage that formerly operated on poorer residents who don’t own cars $24.86,according to the Fort Greene Greater Jamaica Development spent 10 months negotiating the the site is shuttered,and Mr.Xu says and can’t drive to large grocery CSA.A similar assortment at Whole Corp. “It’s a very big step once you deal with Marriott. he will start demolition next month. stores,a group of community organ- Foods would run to $43.07. have a hotel [group] willing to oper- “Our hotel will be more custom- Successfully luring hotels down- izations is taking action. The Myr- Backers of the Fort Greene CSA ate here. It’s a vote of confidence in designed than other Marriott town is an important milestone for tle Avenue Revitalization Project hope to make their first food deliv- the area.” Courtyards people have seen,” says the overall village plan. The hotels and Families United for Racial and eries this summer. They aim to sign The deals come less than six Vice President Yesenia Graham. A will not only provide jobs but will Economic Equality, with help from up as many as 50 families for the first months after a massive rezoning of large banquet hall, walls of win- help boost local restaurants and re- the Fort Greene Association and lo- year and add more the next year.

Get your CHOO-CHOO on.

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March 31, 2008 | Crain’s New York Business | 27 nb13p28_29cls.qxp 3/27/08 1:30 PM Page 28

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The Post Office and affordable communication & Haber, P.C.,111 W. 40th St., 33rd Fl., NY, NY Lois M. Vitti, Esq., 12 Perry Street, 2C, NY, address to which the SSNY shall mail a copy solution. Enjoy the clearer voice 10018. Purpose: any lawful activity. NY 10014. Date of Dissolution: 12/31/2095. of any process against the LLC served upon capabilities and enhanced battery life that digital provides. Principal business location: 317 Pavonia Ave., him/her is C/O the LLC 131 Essex #5 South. Notice of Formation of Mangan/Horan LLC. #8, Jersey City, NJ 07302. Purpose: Any New York, NY 10002. Purpose of LLC: to • Integrated voice and data engage in any lawful act or activity. Street Advertise on for increased productivity Arts. of Org. filed with Secy. of State of N.Y. lawful activity. and privacy (SSNY) on 3/6/08. Office location: NY County. address of Principal Business location is: 131 • Supports GPS Essex #5 South. New York, NY 10002. and text messaging SSNY designated as agent of LLC upon whom Notice of Formation of CHAMPION PARKING • Doubles the call capacity process against it may be served. SSNY shall 74 LLC. Arts. of Org. filed with Secy. of State www.crainsnewyork.com on a single channel – of N.Y. (SSNY) on 1/30/08. Office location: NY Notice of Qualification of Meso LLC. Authority for the price of one license mail process to principal business location: The LLC, c/o Mona Mangan, 1025 Fifth Ave., County. SSNY designated as agent of LLC filed with NY Dept. of State on 1/18/08. Call us today for a professional, upon whom process against it may be served. no obligation survey or on-site demo. NY, NY 10028. Purpose: any lawful activity. Office location: NY County. LLC formed in Call John Gallagher SSNY shall mail process to: The LLC, 655 Delaware (DE) on 1/9/08. NY Secy. of State Name of Foreign LLC: W&M WEST 40TH Third Avenue, NY, NY 10017. Purpose: any designated as agent of LLC upon whom STREET LENDER, LLC. App. for Auth. filed NY lawful purpose. process against it may be served and shall 307 Fifth Avenue, New York, NY 10016 mail process to the principal business @ 212-210-0189 212-532-7400 Dept. of State: 1/11/08. Jurisd. and date of www.metrocomradio.com org.: DE 9/26/07. County off. loc.: New York Notice of Qualification of Goldman Sachs address of the LLC: 315 E. 68th St., Apt. 4B, Vintage IV PMD QP Fund, L.P. Authority filed NY, NY 10021. DE address of LLC: 2711 The Largest Motorola Dealer in New York State County. Sec. of State designated as agent of foreign LLC upon whom process against it with Secy. of State of N.Y. (SSNY) on 1/11/08. Centerville Rd., Ste. 400, Wilmington, DE may be served. The Sec. of State shall mail Office location: NY County. LP formed in 19808. Cert. of Form. filed with DE Secy. of copy of process to: Wien & Malkin LLC, 60 Delaware (DE) on 3/5/07. SSNY designated State, Townsend Bldg., Dover, DE 19901. East 42nd Street, New York, NY 10165. Addr. as agent of LP upon whom process against it Purpose: any lawful activity. PUBLIC & LEGAL NOTICES of foreign LLC in DE is: c/o National Corporate may be served. SSNY shall mail process to: Research, Ltd., 615 South DuPont Hwy., 85 Broad Street, NY, NY 10004. DE address GOTHAM DIGITAL VENTURES, LLC, Articles of of LP: 2711 Centerville Road, Ste. 400, REQUEST FOR PROPOSALS Dover, DE 19901. Auth. officer in DE where Org. filed N.Y. Sec. of State (SSNY)30th day of Cert. of Form. filed: Harriet Smith Windsor, Wilmington, DE 19808. Name/address of each October, 2007. Office in New York Co. at 92 Division of Corporations, P.O. Box 898, Dover, genl. ptr. available from SSNY. Cert. of LP filed Perry Street, Ste 4, New York, NY 10014. Requests for Proposals DE 19903. Purpose: any lawful activity. with DE Secy. of State, Townsend Bldg., Dover, SSNY desig. Agt. Upon whom process may be DE 19901. Purpose: any lawful activity. served. SSNY shall mail copy of process to 92 18-HOLE GOLF COURSE, CLUBHOUSE, AND Notice of Formation of Mary Alice Orito Perry, Ste 4, New York, NY 10014. Reg. Agt. NOTICE OF FORMATION of SYZYGY SOLUTIONS, Psychotherapy Licensed Clinical Social Work Upon whom process may be served: Albert FOOD SERVICE AT MARINE PARK, BROOKLYN LLC. Articles Of Org. filed with Secy. Of State PLLC, a professional service limited liability Tucker & Associates, LCC 295 Madison Ave. In accordance with Section 1-13 of the Rules of the Franchise and Concession Review Committee (“FCRC”), the of N.Y. (SSNY) on 2/04/08. Office location: NYC 10017 212.686.3200 Purpose: Any company (PLLC). Arts. of Org. filed with Secy. New York County. SSNY designated as agent New York City Department of Parks and Recreation (“Parks”) is issuing, as of the date of this notice, a Request of State of N.Y. (SSNY) on 10/22/07. Office lawful purpose. for Proposals (“RFP”) for the renovation, operation and maintenance of an 18-hole golf course, clubhouse, pro- of LLC upon whom process against it may be location: NY County. SSNY designated as served. SSNY shall mail process to: 48 W shop and food service facility at Marine Park, Brooklyn. Notice of Qualification of 224-232 Atlantic agent of PLLC upon whom process against 86th St., #2, NY, NY 10024. Principal business Avenue Investor, LLC. Authority filed with All proposals submitted in response to this RFP must be submitted no later than Wednesday, June 4, 2008 at 3:00 it may be served. SSNY shall mail process location: 48 W 86th St., #2, NY, NY 10024. Secy. of State of N.Y.(SSNY) on 2/8/08. Office p.m. Parks will hold a proposer meeting on Wednesday, April 23, 2008 at 11:00 a.m. at the proposed conces- to: Corporation Service Company, 2711 Purpose: Any lawful activity. sion site, which is located at 2880 Flatbush Ave., Brooklyn, NY 11234. All interested parties are urged to attend. Centerville Road, Ste. 400, Wilmington, DE location: NY County. LLC formed in Delaware (DE) on 10/29/07. SSNY designated as agent Hard copies of the RFP can be obtained, at no cost, commencing on Thursday, March 20, 2008 through 19808. Purpose: practice the profession of Licensed Clinical Social Work. Notice of Formation of Stonex Natural Stone, of LLC upon whom process against it may be Wednesday, June 4, 2008, between the hours of 9:00 a.m. and 5:00 p.m., excluding weekends and holidays, at LLC, Art. of Org. filed Sec'y of State (SSNY) served. SSNY shall mail process to principal the Revenue Division of the New York City Department of Parks and Recreation, which is located at 830 Fifth 4/10/07. Office location: NY County. SSNY business location: The Dermot Company, Inc., Avenue, Room 407, New York, NY 10021. Notice of Qualification of Metropolitan Real designated as agent of LLC upon whom Estate Equity Management, LLC, App. for 320 W. 57th St., 5th Fl., NY, NY 10019. DE The RFP is also available for download, commencing on Thursday, March 20, 2008 through Wednesday, June 4, process against it may be served. SSNY shall address of LLC: c/o Corporation Service Auth. filed Sec'y of State (SSNY) 10/25/04. mail copy of process to c/o Karaahmetoglu & Luz 2008, on Parks’ website. To download the RFP, visit http://www.nycgovparks.org/sub_opportunities/ Office location: NY County. LLC org. in DE Company, 2711 Centerville Road, Wilmington, business_ops/index.php?view_page=con_listing and, after logging in, click on the “download” link that appears Firm, LLP, Attn: Barbaros M. Karaahmetoglu, DE 19808. Arts. of Org. filed with DE Secy. 7/18/02. SSNY designated as agent of LLC 1500 Broadway, 21st Fl., NY, NY 10036. adjacent to the RFP’s description. of State, 401 Federal St., Ste. 4, Dover, DE upon whom process against it may be served. Purpose: any lawful activities. For more information or to request to receive a copy of the RFP by mail, prospective proposers may contact the SSNY shall mail copy of process to 535 19901. Purpose: any lawful activity. Revenue Division’s Senior Project Manager, Joel Metlen, at (212) 360-1397 or at [email protected]. Madison Ave., 26th Fl., NY, NY 10022, the Notice of Qualification of Macquarie Equipment principal office addr. of LLC. Cert. of Form. on Notice of Formation of MARJORIE A. LAU, TELECOMMUNICATION DEVICE FOR THE DEAF (TDD) 212-504-4115 Finance, LLC. Authority filed with NY Dept. of LLC. Arts. of Org. filed with Secy. of State of file: SSDE, Townsend Bldg., Dover, DE 19901. State on 2/6/08. Office location: NY County. Purpose: any lawful activities. NY (SSNY) on 2/22/08. Office location: NY Principal business address: 2285 Franklin Rd., County. SSNY designated as agent of LLC Bloomfield Hills, MI 48302. LLC formed in upon whom process against it may be served. Notice of Qualification of GE Healthcare IITS Delaware (DE) on 11/27/07. NY Secy. of State PUBLIC & LEGAL NOTICES LLC. Authority filed with NY Dept. of State on SSNY shall mail process to principal business designated as agent of LLC upon whom location: 15 W. 72nd St., Apt. 9-0, NY, NY 12/31/07. Office location: NY County. Principal process against it may be served and shall business address: 540 W. Northwest Hwy., 10023. Purpose: any lawful activity. NOTICE OF FORMATION of Bryan Leder NOTICE OF FORMATION of Cactus and The mail process to: c/o CT Corporation System, Barrington, IL 60010. LLC formed in Delaware Talent, LLC. Article of Organization filed Peach Productions LLC. Articles Of Org. 111 8th Ave., NY,NY 10011,registered agent (DE) on 9/13/07. NY Secy. of State designated with the Secretary of State of NY (SSNY) filed with Secy. Of State of N.Y. (SSNY) on upon whom process may be served. DE Notice of Qualification of PlaneTechs, LLC. as agent of LLC upon whom process against on 01/25/08. Office location: NY County. 2/19/08. Office location: New York County. address of LLC: 1209 Orange St., Wilmington, Authority filed with NY Dept. of State on it may be served and shall mail process to: c/o SSNY has been designated as agent upon SSNY designated as agent of LLC upon whom DE 19801. Arts. of Org. filed with DE Secy. 2/14/08. Office location: NY County. LLC CT Corporation System, 111 8th Ave., NY, NY whom process against it may be served. process against it may be served. SSNY shall of State, 401 Federal St., Dover, DE 19901. formed in Nevada (NV) on 12/28/07. NY Secy. 10011, registered agent upon whom process The Post Office address to which the SSNY mail process to: 603 W 148 St., #10B, NY, NY Purpose: any lawful activity. of State designated as agent of LLC upon may be served. DE address of LLC: 2711 shall mail a copy of any process against the 10031. Principal business location: 603 W whom process against it may be served and Centerville Rd., Ste. 400, Wilmington, DE LLC served upon him is C/O the LLC 227 148 St., #10B, NY, NY 10031. Purpose: Any Notice of formation of GG MEDIA LLC. Arts. shall mail process to: c/o CT Corporation 19808. Arts. of Org. filed with DE Secy. of Riverside Dr. N.Y., N.Y., 10025. No Specific lawful activity. of Org. filed with the Secy of State of NY System, 111 8th Ave., NY,NY 10011, registered Date of Dissolution. Purpose of LLC: to State, 401 Federal St., Dover, DE 19901. (SSNY)on 2/04/08. Office location: New York agent upon whom process may be served. engage in any lawful act or activity. Purpose: all lawful purposes. County. SSNY designated as agent upon Principal business address: 1015 A St., P.O. Notice of Qualification of Creative Merchandise Box 2910, Tacoma, WA 98402. Arts. of Org. Group LLC. Authority filed with Secy. of State whom process against it may be served. Notice of Formation of Numbers And Media filed with NV Secy. of State, 202 N. Carson of N.Y. (SSNY) on 3/13/08. Office location: NY SSNY shall mail process to: c/o the LLC, 91 Notice of Qualification of GGCP SEQUOIA LLC, Art. of Org. filed with the Sect. of State St., Carson City, NV 89701. Purpose: any County. LLC formed in Delaware (DE) on Fifth Avenue, 7th Floor, New York, NY 10003. PARTNERS, L.P. Authority filed with Secy. of N.Y. (SSNY) on 12/12/07. Office location: lawful activity. 11/20/07. SSNY designated as agent of LLC Purpose: all lawful activities. of State of N.Y. (SSNY) on 1/30/08. Office N.Y. Co., SSNY designated as agent of LLC upon whom process against it may be served. location: NY County. LP formed in Delaware upon whom process against it may be served. SSNY shall mail process to: c/o The LLC, Notice of Formation of 160 Montague LLC. Notice of Qualification of IOC Project 4 LLC, (DE) on 12/19/05. SSNY designated as agent SSNY shall mail process to: C/O Numbers 1375 Broadway, 15th Fl., NY, NY 10018. DE Arts. of Org. filed with NY Dept. of State on App. for Auth. filed Sec'y of State (SSNY) of LP upon whom process against it may be And Media LLC, 2266 5th Ave., Suite 136, address of LLC: c/o United Corporate Services, 2/13/08. Office location: NY County. Secy. of 2/11/08. Office location: NY County. LLC org. served. SSNY shall mail process to principal New York City 10037. Purpose: Any Lawful Inc., 874 Walker Road, Ste. C, Dover, DE State designated as agent of LLC upon whom in DE 2/5/08. SSNY designated as agent of business location: 800 Third Ave., 23rd Fl., Purpose. LLC upon whom process against it may be NY, NY 10022, Attn: Mr. Geoffrey Gwin. DE 19904. Arts. of Org. filed with DE Secy. of process against it may be served and shall State, Townsend Bldg., Dover, DE 19901. mail process to the principal business address: served. SSNY shall mail copy of process to address of LP: 2711 Centerville Road, Ste. 400, Notice of Formation of RMG Marriage and 23-25 Greene St., NY, NY 10013. Reg. Agt. Wilmington, DE 19808. Name/address of each Purpose: any lawful activity. c/o Wharton Realty, 500 5th Ave., 54th Fl., Family Therapy LLC. Arts. of Org. filed with NY, NY 10110. Purpose: any lawful activity. upon whom proc may be served is CSC, 80 genl. ptr. available from SSNY. Cert. of LP Secy. of State of NY (SSNY) on 12/18/07. State St., Albany, NY 12207. DE office addr.: filed with DE Secy. of State, Townsend Bldg., Notice of Formation of DELCAL HOLDINGS Office location: NY Co. SSNY designated as c/o CSC, 2711 Centerville Rd., Wilmington, Dover, DE 19901. Purpose: any lawful activity. LLC. Arts. of Org. filed with NY Dept. of State Notice of Formation of RR REO II LLC. Arts. agent of LLC upon whom process against it of Org. filed with Secy. of State of N.Y. (SSNY) DE 19808. Cert. of Form. on file: SSDE, on 2/22/08. Office location: NY County. Secy. may be served. SSNY shall mail process to: Townsend Bldg., Dover, DE 19901. Purpose: of State designated as agent of LLC upon on 2/12/08. Office location: NY County. SSNY NOTICE OF FORMATION OF 75 East 2 Street The LLC, 49 Lambert Rd., Southport, CT designated as agent of LLC upon whom process any lawful activities. LLC. Article of Organization filed with the whom process against it may be served and 06890. Purpose: any lawful activities shall mail process to the principal business against it may be served. SSNY shall mail Secretary of State of NY(SSNY) on 02/27/2008 process to principal business location: c/o The NOTICE OF FORMATION OF LIMITED LIABILITY Office location NEW YORK County. SSNY has address: 140 Franklin St., NY, NY 10013. Notice of Qualification of Mariner Port Chester Purpose: any lawful activity. LLC, 150 E. 52nd St., 27th Fl., NY, NY 10022. COMPANY. NAME: CHELSEA IMAGING been designated as agent upon whom process LLC, App. for Auth. filed Sec'y of State Purpose: any lawful activity. HOLDINGS, LLC. Articles of Organization against it may be served. The Post Office (SSNY) 1/8/08. Office location: NY County. were filed with the Secretary of State of New address to which the SSNY shall mail a copy Notice of Registration of FXFowle Architects, LLC org. in DE 11/19/07. SSNY designated Notice of Formation of LP-OREO, LLC. Arts. of York (SSNY) on 01/25/08. Office location: of any process against the LLC served upon LLP. Certificate filed with Secy. of State of as agent of LLC upon whom process against Org. filed with Secy. of State of NY (SSNY) New York County. SSNY has been designated him/her is C/O the LLC 182 Grand Street, 3E. NY (SSNY) on 2/28/08. Office location: NY it may be served. SSNY shall mail copy of on 1/23/08. Office location: NY Co. SSNY as agent of the LLC upon whom process New York, NY 10013. Date of Dissolution: No County. SSNY designated as agent of LLP process to 13 Oxford Rd., Hastings on designated as agent of LLC upon whom against it may be served. SSNY shall mail a specific date Purpose of LLC: to engage in upon whom process against it may be served. Hudson, NY 10706. DE office addr.: 160 process against it may be served. SSNY shall copy of process to the LLC, c/o Weltman & any lawful act or activity. Street address of SSNY shall mail process to principal business Greentree Dr., Dover, DE 19904. Cert. of mail process to: The LLC, 120 Broadway, Moskowitz, LLP, 270 Madison Avenue, Suite Principal Business location is: 182 Grand location: 22 W.19th St., NY, NY 10011. Purpose: Form. on file: SSDE, Townsend Bldg., Dover, Ste. 1050B, NY, NY 10271. Purpose: any 1400, New York, New York 10016-0603. Street, 3E. New York, NY 10013. practice the profession of architecture. DE 19901. Purpose: any lawful activities. lawful activities. Purpose: For any lawful purpose.

28 | Crain’s New York Business | March 31, 2008 nb13p28_29cls.qxp 3/27/08 1:31 PM Page 29

PUBLIC & LEGAL NOTICES

Notice of Qualification of Antecip Bioventures Notice of Qualification of 180 Madison LEX34 EQUITIES LLC, a domestic Limited Notice of Qualification of Monarch Alternative A & T GOLDEN, LLC, a domestic Limited LLC. Authority filed with Secy. of State of PRISA II LLC. Authority filed with NY Dept. of Liability Company (LLC) filed with the Sec of Capital LP. Authority filed with NY Dept. of Liability Company (LLC), filed with the Sec of N.Y. (SSNY) on 2/22/08. Office location: NY State on 1/9/08. Office location: NY County. State of NY on 2-14-08. NY Office location: State on 2/1/08. Office location: NY County. State of NY (SSNY) on 1/23/08. NY Office County. LLC formed in Delaware (DE) on Principal business address: 8 Campus Dr., 4th NEW YORK County. SSNY is designated as Principal business address: 375 Park Ave., location:NEW YORK County. SSNY is designated 2/20/08. SSNY designated as agent of LLC Fl., Parsippany, NJ 07054. LLC formed in agent upon whom process against the LLC NY, NY 10152. LP formed in Delaware (DE) as agent upon whom process against the LLC upon whom process against it may be served. Delaware (DE) on 12/17/07. NY Secy. of State may be served. SSNY shall mail a copy of on 3/26/02. NY Secy. of State designated as may be served. SSNY shall mail a copy of SSNY shall mail process to: c/o The LLC, 630 designated as agent of LLC upon whom any process against the LLC served upon agent of LP upon whom process against it any process against the LLC served upon Fifth Avenue, Ste. 2074, NY, NY 10111, Attn: process against it may be served and shall him/her to Mark M. Altschul, 18 E. 12th St.,1A, may be served and shall mail process to: c/o him/her to TERRY F. KWONG, MANAGER, Herriot Tabuteau. DE address of LLC: 2711 mail process to: c/o CT Corporation System, NY, NY 10003-4458. Latest date to dissolve: CT Corporation System, 111 8th Ave., NY, NY 7-8 CHATHAM SQ., #C3, NY, NY 10038. Centerville Road, Ste. 400, Wilmington, DE 111 8th Ave., NY, NY 10011, registered 12-31-2036 General purposes. 10011, registered agent upon whom process General purposes. 19808. Arts. of Org. filed with DE Secy. of agent upon whom process may be served. may be served. DE address of LP: c/o CT DE address of LLC: The Corporation Trust State, 401 Federal St., Ste. 4, Dover, DE Notice of formation of limited liability company Corporation System, 1209 Orange St., Notice of Formation of GM125 REALTY LLC. Co., 1209 Orange St., Wilmington, DE 19801. 19901. Purpose: any lawful activity. (LLC). Name: AJIA Holdings LLC. Articles of Wilmington, DE 19801. Name/address of Arts. of Org. filed with Secy. of State of N.Y. Arts. of Org. filed with DE Secy. of State, Organization filed with the Department of genl. ptr. available from NY Secy. of State. (SSNY) on 1/25/08. Office location: NY 401 Federal St., Dover, DE 19901. Purpose: Notice of Qualification of Arcoda Global State of New York on January 31, 2008. Office Cert. of LP filed with DE Secy. of State, 401 County. SSNY designated as agent of LLC any lawful activity. Healthcare Fund, L.P. Authority filed with NY location: New York County. Secretary of State Federal St., Dover, DE 19901. Purpose: any upon whom process against it may be served. Dept. of State on 12/26/07. Office location: of New York (SSNY) is designated as agent lawful activity. SSNY shall mail process to: 400 W. 14th St., NY County. Principal business address: Notice of Qualification of Charles Street of LLC upon whom process against it may be NY, NY 10014. Purpose: any lawful activity. 529 5th Ave., NY, NY 10017. LP formed in Advisors LLC, App. for Auth. filed Sec'y served. The principal business location and Notice of Formation of Urban Organizer, LLC. Delaware (DE) on 12/18/07. NY Secy. of State of State (SSNY) 11/30/07. Office location: the address SSNY shall mail copy of process Arts. of Org. filed with Secy. of State of N.Y. NOTICE OF FORMATION OF LIMITED LIABILITY designated as agent of LP upon whom NY County. LLC org. in DE 4/9/07. SSNY to is Henry Kang, 52 West 14th St., Suite 2B, (SSNY) on 1/25/08. Office location: NY County. COMPANY. NAME: 21 SOUTH END AVENUE process against it may be served and shall designated as agent of LLC upon whom New York, NY 10011. Management of the SSNY designated as agent of LLC upon whom UNIT 209 LLC. Articles of Organization were mail process to: c/o CT Corporation System, process against it may be served. SSNY limited liability company shall be by one or process against it may be served. SSNY filed with the Secretary of State of New York 111 8th Ave., NY, NY 10011, registered shall mail copy of process to 177 E. 75th more managers. Purpose: to engage in any shall mail process to: Helene A. Laval, 255 (SSNY) on 03/17/08.Office location: New York agent upon whom process may be served. St., Apt. 9D, NY, NY 10021.DE office addr.: lawful act or activity. W. 84th St., #6D, NY, NY 10024. Purpose: County. SSNY has been designated as agent DE address of LP: 1209 Orange St.,Wilmington, c/o Agents & Corporations, 1201 Orange any lawful activity. of the LLC upon whom process against it may St., Wilmington, DE 19801. Cert. of Form. DE 19801. Name/address of genl. ptr. available Notice of Formation of 412 West 14 Realty be served. SSNY shall mail a copy of process on file: SSDE, Townsend Bldg., Dover, DE from NY Secy. of State. Cert. of LP filed with LLC. Arts. of Org. filed with Secy. of State of NOTICE OF FORMATION of Perfect World to the LLC, c/o Dr. Joy Browne, 21 South End 19901. Purpose: any lawful activities. DE Secy. of State, 401 Federal St., Dover, NY (SSNY) on 9/18/07. Office location: NY Co. Construction LLC. Arts. of Org.filed with Secy. Avenue, Suite 209, New York, New York DE 19901. Purpose: any lawful activity. SSNY designated as agent of LLC upon whom Of State of N.Y. (SSNY) on 8/8/07. Office 10280. Purpose: For any lawful purpose. NOTICE OF FORMATION OF LIMITED LIABILITY process against it may be served. SSNY shall location: New York County. SSNY designated Notice of Qualification of BE&K Construction COMPANY. NAME: ANTIK BOWERY LLC. mail process to: The LLC, c/o 433 West 14th as agent of LLC upon whom process against Company, LLC. Authority filed with NY Dept. Articles of Organization were filed with the St., Ste 429, 3R, NY, NY 10014. Purpose: any it may be served. SSNY shall mail process of State on 1/7/08. Office location: NY County. Secretary of State of New York (SSNY) on lawful activities. to: 136 Bowery Street, #1511, NY, NY 10013. Principal business address: 2000 International 10/25/07. Office location: New York County. Principal business location: 136 Bowery Coming Up Park Dr., Birmingham, AL 35243. LLC formed SSNY has been designated as agent of the 611 SHP LLC, a domestic Limited Liability Street, #1511, NY, NY 10013. Purpose: any in Delaware (DE) on 12/31/07. NY Secy. of LLC upon whom process against it may be Company (LLC) filed with the Sec of State lawful activity. 949281 j16-W f20 on the Calendar State designated as agent of LLC upon whom served. SSNY shall mail a copy of process to of NY on 2-15-08. NY Office location: New process against it may be served and shall the LLC, c/o Lawrence Kramer, 66 Madison York County. SSNY is designated as agent Name: Treadwell Farm LLC (LLC). Articles mail process to: c/o CT Corporation System, Avenue, Apartment 3F, New York, New York upon whom process against the LLC may of Organization filed with Dept. of State of 111 8th Ave., NY, NY 10011, registered agent 10016. Purpose: For any lawful purpose. be served. SSNY shall mail a copy of any NY on 11/20/07. Office location: New York upon whom process may be served. DE process against the LLC served upon him/her County. Secretary of State of NY (SOS) is address of LLC: 1209 Orange St., Wilmington, April 7th Notice of Registration of JFK Engineers to The LLC, 11 W. 18th St., 2W, NY, NY 10011. designated as agent of LLC for service of DE 19801. Arts. of Org. filed with DE Secy. of LLP. Cert. filed with NY Dept. of State on General purposes. process. SOS shall mail copy of process to Top Architects State, 401 Federal St., Dover, DE 19901. 3/26/07. Office location: NY County. Secy. 530 Park Avenue, NY, NY 10021. Purpose: Purpose: any lawful activity. of State designated as agent of LLP upon Any lawful act or activity. whom process against it may be served Notice of Qualification of Andro Capital Notice of Formation David Frank Real Estate Management, L.P. Authority filed with Secy. and shall mail process to: 15 W. 72nd St., Notice of Qualification of Tandem Global LLC art. of org. filed Secy. of State NY (SSNY) of State of NY (SSNY) on 3/11/08. Office Apt 5E, NY, NY 10023. Purpose: practice the Partners Management, LLC. Authority filed April 14th 10/15/07. Off. loc. in NY Co. SSNY designated location: NY County. LP formed in Delaware profession of engineering. with NY Dept. of State on 3/3/08. Office as agent of LLC upon whom process may be (DE) on 2/20/08. SSNY designated as agent location: NY County. LLC formed in Delaware Small Business served. SSNY shall mail copy of process to: of LP upon whom process against it may be Notice of Qualification of FC-CANAL LLC. (DE) on 2/4/08. NY Secy. of State designated 300 Albany St, 9-C, NY, NY 10280. Purpose: served. SSNY shall mail process to: c/o Authority filed with Secy. of State of N.Y. as agent of LLC upon whom process against Any lawful purpose. Kirkland & Ellis LLP, Attn: John L.Budetti, (SSNY) on 1/17/2008. Office location: New 153 East 53rd St., NY, NY 10022. DE address it may be served and shall mail process to: York County. LLC formed in Delaware (DE) of LP: Corporation Service Company, 2711 c/o CT Corporation System, 111 8th Ave., April 21st Notice of Qualification of HedgeForum on 12/6/2007. SSNY designated as agent of Centerville Rd., Ste. 400, Wilmington, DE NY, NY 10011, registered agent upon whom Criterion, LLC. Authority filed with NY Dept. LLC upon whom process against it may be 19808. Name/address of genl. ptr. available process may be served. DE address of LLC: Wealthy New Yorkers of State on 2/28/08. Office location: NY served. SSNY shall mail process to: c/o from SSNY. Cert. of LP filed with DE Secy. The Corporation Trust Co., 1209 Orange St., County. LLC formed in Delaware (DE) on United Corporate Services, Inc., 10 Bank of State, Federal & Duke of York Sts., Dover, Wilmington, DE 19801. Arts. of Org. filed with 2/25/08. NY Secy. of State designated as agent St., Suite 560, White Plains, NY 10606. DE DE 19901. Purpose: any lawful activities. DE Secy. of State, 401 Federal St., Dover, DE of LLC upon whom process against it may be address of LLC: 874 Walker Road, Suite C, 19901. Purpose: any lawful activity. served and shall mail process to the principal Dover, Delaware 19904. Arts. of Org. filed business address: 731 Lexington Ave., 25th Notice of Formation of SBG1 LLC, Art. of Org. April 28th with DE Secy. of State, Townsend Bldg., Dover, Notice of Formation of THINKTHINKTHINK Fl., NY, NY 10022. DE address of LLC: c/o filed Sec'y of State (SSNY) 1/31/08. Office DE 19901. Purpose: any lawful activity. MUSIC, LLC. Arts. of Org. filed with Secy. National Corporate Research, Ltd., 615 S. location: NY County. SSNY designated as Education of State of NY (SSNY) on 2/19/08. Office DuPont Hwy., Dover, DE 19901. Arts. of Org. agent of LLC upon whom process against it NOTICE OF FORMATION of 44th Street location: NY County. SSNY designated as agent filed with DE Secy. of State, 401 Federal St., may be served. SSNY shall mail copy of Restaurant, LLC Arts. of Org. filed with the of LLC upon whom process against it may be Dover, DE 19901. Purpose: any lawful activity. process to c/o Salans, Attn: Francois Chateau, Secy. of State of NY (SSNY) on 10/12/00. Esq., 620 Fifth Ave., NY, NY 10020. Purpose: served. SSNY shall mail process to principal Office location: NY County. SSNY designated any lawful activities. business location: 308 Mott St., Ste. 5A, NY, JEWELWEED LLC, a domestic Limited Liability as agent of LLC upon whom process against NY 10012. Purpose: music/entertainment May 5th Company (LLC) filed with the Sec of State of it may be served and shall mail a copy of company. NY (SSNY) on 4/24/06. NY office Location: LOUIS SIMPSON AND SAMUEL'S LLC Articles process to LLC, 16 East 40th St., New York, of Org. filed NY Sec. of State (SSNY) 1/16/08. Meetings & Conventions NEW YORK County. SSNY is designated as NY 10016, LLC’s principal business location. agent upon whom process against the LLC Office in NY Co. SSNY desig. agent of LLC Notice of Qualification of 101 West End Registered agent of LLC upon whom process upon whom process may be served. SSNY Affordable GP LLC. Authority filed with NY may be served. SSNY shall mail a copy of against it may be served is Marcel Doron, 16 any process against the LLC served upon shall mail copy of process to c/o Lazarus & Dept. of State on 3/6/08. Office location: NY East 40th St., New York, NY 10016. Purpose: Lazarus, P.C., 240 Madison Ave., 8th Fl., NY, County. Principal business address: 9200 E. him/her to C/O MARTIN SHAW, 350 5TH any lawful activity. AVE, STE. 2816, NEW YORK, NY 10118. NY 10016. Purpose: Any lawful purpose. Panorama Cir., Englewood, CO 80112. LLC May 12th General purposes. formed in Delaware (DE) on 2/28/08. NY Notice of Qualification of Goldman Sachs NOTICE OF FORMATION OF Derek Green LLC. Secy. of State designated as agent of LLC Small Business Select Fund II, LLC. Authority filed with Article of Organization filed with the Secretary upon whom process against it may be served Notice of Qualification of North American Secy. of State of N.Y. (SSNY) on 1/8/08. of State of NY (SSNY) on 11/29/07 Office and shall mail process to: c/o CT Corporation Energy Alliance, LLC. Authority filed with Secy. Office location: NY County. LLC formed in location New York County. SSNY has been System, 111 8th Ave., NY,NY 10011, registered of State of N.Y. (SSNY) on 3/5/08. Office Delaware (DE) on 11/29/07. SSNY designated designated as agent upon whom process agent upon whom process may be served. DE location: NY County. Principal business location: as agent of LLC upon whom process against against it may be served. The post office address of LLC: 1209 Orange St., Wilmington, May 19th Times Square Tower, 7 Times Sq., 25th Fl., NY, it may be served. SSNY shall mail process to: address to which the SSNY shall mail a copy DE 19801. Arts. of Org. filed with DE Secy. NY 10036. LLC formed in Delaware (DE) on Goldman Sachs Hedge Fund Strategies LLC, of any process against the LLC served upon of State, 401 Federal St., Dover, DE 19901. Real Estate 11/29/07. SSNY designated as agent of LLC 1 New York Plaza, NY, NY 10004. DE address him/her is C/O the LLC Derek Green.New York Purpose: any lawful activity. upon whom process against it may be served. of LLC: 1209 Orange St., Wilmington, DE City, NY 10026. Purpose of LLC: to engage in SSNY shall mail process to: c/o Corporation 19801. Cert. of Form. filed with DE Secy. of any lawful act or activity. Street address of Service Company (CSC), 80 State St., Albany, Notice of Qualification of Highbridge Principal State, P.O. Box 898, Dover, DE 19903. Principal Business location is: 100 W. 119th Strategies-Offshore Mezzanine Partners NY 12207. DE address of LLC: c/o CSC, 2711 Purpose: any lawful activity. St., #3A. New York, NY 10026 Centerville Road, Ste. 400, Wilmington, DE Master Fund, L.P. Authority filed with NY Dept. May 26th 19808. Arts. of Org. filed with DE Secy. of of State on 3/6/08. Office location: NY County. State, 401 Federal St., Ste. 4, Dover, DE 19901. Notice of Qualification of HIGHMOUNT Notice of App. for Auth. for foreign LLC named LP formed in Cayman Islands (CI) on 11/8/07. Biggest Companies Purpose: any lawful activity. ADVISERS LLC. Authority filed with Secy. Ideal Glass Atelier LLC filed with NY Dep. State NY Secy. of State designated as agent of of State of N.Y. (SSNY) on 4/11/02. Office 3/5/08; formed in DE 10/26/06; NY Office, LP upon whom process against it may be location: NY County. LLC formed in Delaware Principal Location and address to which Sec. served and shall mail process to the principal (DE) on 3/15/02. SSNY designated as agent of State can mail copy of process: 6 West 9th business address: 9 W. 57th St., 27th Fl., Advertise on of LLC upon whom process against it may be St., NY, NY 10011; NY Sec. of State designated NY, NY 10019. CI address of LP: c/o Maples served. SSNY shall mail process to: The LLC, as agent upon whom process against the Corporate Services Ltd., PO Box 309, Ugland To place your classified www.crainsnewyork.com 12 E. 49th St., 17th Fl., NY, NY 10017. company may be served; Office maintained House, Grand Cayman, KY1-1104, CI. Principal office/principal business location of in Juris. of Org.: Delaware Business Name/address of genl. ptr. available from NY ad call John Gallagher Call John Gallagher LLC: 17 E. 49th St., 17th Fl., NY, NY 10017. Incorporators, Inc., 3422 Old Capitol Trail, Ste. Secy. of State. Cert. of LP filed with Registrar Arts. of Org. filed with DE Secy. of State, 401 700, Wilmington, DE 19808; Arts. of Org. filed of Exempted LPs, Citrus Grove Bldg., George @ 212-210-0189 Federal St., Ste. 4, Dover, DE 19901. Purpose: with DE Sec. of State, 401 Federal St., Ste. 4, Town, Grand Cayman, CI. Purpose: any @ 212-210-0189 any lawful activity. Dover, DE 19901; Purpose: any lawful activity. lawful activity.

March 31, 2008 | Crain’s New York Business | 29 CNYB 03-31-08 A 30 3/27/2008 8:32 PM Page 1

THE WEEKS AHEAD

THIS WEEK’S EVENTS 101, 101 Park Ave. Fee: $205 members, $70 nonmembers. (973) 962-6300. (212) 481-8100, ext. 240, or approach. 7 p.m. to 9 p.m., Westin New APRIL 1 $255 nonmembers, $150 students. [email protected]. York at Times Square, 270 W. 43rd St., Robert Zicklin Center for Corporate (877) 625-HRNY. APRIL 7-13 APRIL 9 Broadway Ballroom. Fee: $20 members, Integrity holds conference on going APRIL 2 APRIL 7 Young Mortgage Bankers Association $25 nonmembers. (603) 352-5300 or green. 8:30 a.m. to 2 p.m., Newman Lower Manhattan Business Solutions Camba Small Business Services holds holds lunch on eco-friendly building [email protected]. Conference Center, 151 E. 25th St., Center holds seminar on operating a open house. 6 p.m. to 8 p.m., trends in real estate. 12 p.m. to 2 p.m., APRIL 10 room 750. Fee: $150. (646) 312-3231 or home business. 2 p.m. to 5 p.m., 110 884 Flatbush Ave., second floor, Union League Club, 38 E. 37th St. Fee: American Land Services holds course on [email protected]. William St., fourth floor. Free. Brooklyn. Free. (718) 282-2500 or $50 members, $75 nonmembers. environmental due diligence. 8:30 a.m. APRIL 2 (212) 618-6682 or [email protected]. [email protected]. (201) 440-8144 or [email protected]. to 12 p.m., 530 Fifth Ave., 15th floor. B’nai B’rith Real Estate Unit holds APRIL 2 APRIL 7 APRIL 9 Free. (212) 239-1000 or lunch on valuing Bear Stearns and NYU Wagner Graduate School holds Caribbean Business Network holds New York Investing Meetup holds [email protected]. other properties in a volatile year. health forum. 5:30 p.m. to 7:30 p.m., networking reception. 7 p.m. to 9 p.m., seminar on the Bear Stearns collapse APRIL 10 12 p.m. to 2 p.m., Cornell Club, Rudin Family Forum at NYU Wagner, Community Bridge Home, 120-50 and what it means for investments. New York Building Congress holds 6 E. 44th St., Ivy Room. Fee: $55 in 295 Lafayette St., second floor. Free. Springfield Blvd., Cambria Heights, 6:30 p.m. to 8:30 p.m., 1290 Sixth Ave. forum with U.S. Department of advance, $65 at door. (212) 885-7239 or (212) 992-9889 or [email protected]. Queens. Free. (917) 293-3984 or Fee: $5. (212) 255-7327 or Transportation Administrator James S. [email protected]. APRIL 2 [email protected]. [email protected]. Simpson. 8 a.m. to 9:45 a.m., Hilton APRIL 2 Business Network International holds APRIL 8 APRIL 10 New York, 1335 Sixth Ave., Trianon Sterling National Bank and Manhattan networking breakfast. 7 a.m. to New York County Lawyers’ Association Kelley School of Business Alumni Ballroom. Fee: $65 members, $85 Chamber of Commerce hold net- 8:15 a.m., 160 W. 54th St. Fee: $16. holds course on writing for lawyers. Association, New York chapter, holds nonmembers. (212) 481-9230. working reception. 6 p.m. to 8 p.m., (212) 978-1133. 6 p.m. to 9 p.m., 14 Vesey St. Fee: $125 lecture on marketing with a punk —adrianne pasquarelli 622 Third Ave., main level. Free. APRIL 3 members, $165 nonmembers if (212) 575-3404 or American Society of Training and preregistered by April 6; additional [email protected]. Development holds networking $25 for all thereafter. MIDCAREER PROGRAM APRIL 2 reception. 5:30 p.m. to 8 p.m., (212) 267-6646, ext. 215. Human Resources Association of New Computer Generated Solutions, World APRIL 8 York holds seminar on compensation Financial Center, 200 Vesey St., Asian Women in Business holds LOOKING FOR A FEW GOOD LEADERS trends for 2008. 8 a.m. to 4 p.m., Club Building 3. Free. (646) 243-8513. workshop on financing and insurance. THE CORO NEW YORK LEADERSHIP CENTER APRIL 3 6 p.m. to 8 p.m., Microsoft, 1290 Sixth is now accepting applications for School of Public Affairs at Baruch Ave., sixth floor. Fee: $15 members, $25 Leadership New York, its midcareer leadership program. Leadership New York TO LIST YOUR EVENT College’s Center for Nonprofit Strategy nonmembers. (212) 868-1368 or seeks civic-minded candidates from the private, public and nonprofit sectors Crain’s lists business meetings online and includes and Management holds workshop on [email protected]. who are committed to strengthening New York City. them in the print edition on a space-available basis. growth capital for nonprofits. 4 p.m. to APRIL 9 Participants challenge their own approaches to leadership by going Events in New York City with admission fees of less 6 p.m., Newman Vertical Campus, Foreign Policy Association holds lecture behind the scenes to examine different perspectives of New York City’s most than $300 are considered for the print publication. 55 Lexington Ave., room 14-220. Free. on Afghanistan. 5:30 p.m. to 7 p.m., complex urban issues, developing personal leadership skills and learning (646) 660-6743. McGraw-Hill, 1221 Sixth Ave., second Listings can be submitted only through the Crain’s from a diverse group of peers. The part-time program begins in September Web site. To submit a calendar listing, go to APRIL 3 floor, auditorium. Fee: free for members, www.crainsnewyork.com and click on “Events.” Business Marketing Association of $25 nonmembers, $5 students. and concludes in May. Coro New York is hosting two information sessions, on Sponsors have a choice of several free or paid list- New York holds breakfast on the new April 14 and May 8. To get more information, or to RSVP for an information ing options. All business events will be posted rules of pharmaceutical marketing. More meetings online at session and to apply, visit www.coronewyork.org or e-mail online within two business days. 8 a.m. to 9:30 a.m., Yale Club, www.crainsnewyork.com [email protected]. The application deadline is May 30. Crain’s can neither confirm receipt of listings nor say 44th Street and Vanderbilt Avenue, Click on “Events” if or when event listings will appear in the print edition. 20th-floor ballroom. Fee: $55 members,

30 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 31 3/27/2008 8:27 PM Page 1

BUSINESS CORPORATE LADDER Top exec’s new game plan for New York Liberty PAGE 33

GOTHAM GIGS Artists’ aide JUDILEE REED, 37, was recently promoted to executive director One deal, straight up of Leveraging Investments in Creativity, a 10-year initiative to assist artists in all disciplines. Workers head to the bar to get things done COUNTRYWIDE The nonprofit recruited Ms. Reed, who is from New Hampshire, in 2004. She was then at the New England Foundation for the Arts in Boston, and LINC “was an opportunity to work nationally,” she says. LINKED IN Partnering with community organizations in 14 cities, LINC focuses on needs like health insurance and studio space. Ms. Reed and her staff of five determine challenges and help find solutions. “Our approach is to develop programs and infrastructure that any artist can take advantage of,” she says. COMING UP This May, Ms. Reed will deliver a progress report at LINC’s annual conference. She’s often on the road, sharing program results with groups in various cities. “We see the transfer of knowledge and information as being most productive when done at a local level,” she says. —adrianne pasquarelli EXPERT OPINIONS WHAT’S THE SCOOP ON BASEBALL TICKETS? NEW ROUND: both new york teams open Andrew De Gasperi next week.This season—the likes to set up last for each team in its current meetings at Haru stadium—tickets will be in in Times Square. especially high demand. Be flexible in your dates, and buck ennis don’t expect to go to a Yankees-Red Sox game and BY ALIX STRAUSS pay face value for your ticket. IMBIBING It’s not going to happen. quity investor Eric Bannasch, 33, sits at a round table by the FOR BUCKS Select less popular times and massive windows at The Bar at the Four Seasons Hotel New York. days—Thursday afternoons Wearing dress shirt, jacket and slacks, he’s holding a meeting with Drinkers earn 10% to are your best bet.Try 14% more at networking to get tickets by two potential clients. It’s 3:22 p.m., and this is his third appointment checking with your HR of the afternoon. their jobs than department, or send an “I just started my own firm,” Mr. Bannasch says. “My office is up nondrinkers interoffice e-mail. Of course, the block, but I come here because it’s quiet and sophisticated and no there’s Craigslist and eBay, but one bothers you.” Men who drink it’s easier to start with your socially, visiting a bar friends. You can also try In fact, the library-like setting is swarming with people wielding checking the stadium legal pads, spreadsheets and folders while tapping their feet to the soft jazz. at least once a stores a few hours Though conducting business over dinner or an after-hours drink is hardly a new month, bring home before a game. development, more professionals are turning their favorite watering holes into their offices 7% more in pay —john williams E President during the day. Enabled by portable technology and encouraged by accommodating Source: Reason Foundation report New York Guest environments, these executives are spending their afternoons See TAKING on Page 32 istockphoto

March 31, 2008 | Crain’s New York Business | 31 CNYB 03-31-08 A 32 3/27/2008 8:29 PM Page 1

BUSINESS LIVES Taking a meeting at the bar NOW, THE THREE-WINE LUNCH BARS AND RESTAURANTS may be Continued from Page 31 cording to Michael Bonsor, the ho- Danbury, Conn. buzzing with late-afternoon business, composing e-mail messages, de- tel’s assistant director of food and “Eighty percent of my work is but lunchtime actually appears to be signing PowerPoint presentations beverage. “People aren’t inclined to done on the go,” says Mr. Heard, another growth area for booze. and holding strategy sessions— rush back to their desks if they can with a copy of BusinessWeek to his Last year, 21% of all restaurant while they nurse a cocktail or two. get the same information here as left, an open portfolio case on his visits between 11 a.m. and 2 p.m. Having already colonized neigh- they can in their office,” he says. right and a glass of wine in front of included the order of an alcoholic borhood coffee shops, this mobile Bernard Ros, the owner and ex- him. “I like knowing I can commu- beverage, according to a study by NPD workforce has moved on to their lo- ecutive chef of Meli Melo Restau- nicate over my Chardonnay.It’s not Group. That compares with 19% of all cal tavern,where the $16 Cosmo re- rant, on Madison Avenue at East superprivate, but like an airport, it’s visits during the same hours in 2006. places the $4.34 Latte Grande. Yes, 30th Street, sees a similar trend. filled with professionals.” The study also found that roughly they’re expected to tip a lot better, Since last year, his bar business has Thanks to customers like Mr. 18% of alcoholic beverages were sold but they find the seats more com- jumped about 20%,or $500 daily,on Heard, bar tabs at Michael Jordan’s in that time period and that beer and fortable,the amenities more upscale weekday afternoons. With compli- have jumped 6.7% during the 3 p.m. wine consumption had increased. and the beverages more satisfying. mentary Wi-Fi and phone-charg- to 6 p.m. time frame, according to

“The bar-as-workplace phe- ing at their fingertips, why would Glazier Group, the restaurant’s istockphoto nomenon is part of the gradual ero- customers leave? owner. sion of traditional 9-to-5 office cul- Such a convivial atmosphere work without feeling as if you are.” “The real question to ask yourself is, ture,something that has accelerated Most convenient helps grease the wheels for Andrew Most people aren’t ready to mix ‘If I have a drink or two and go back over the last decade,” says Larry for some executives, a bar is sim- De Gasperi, 30, an account manag- alcohol and work, and only some to the office,will my level of work be Samuel, the founder of Culture ply the most convenient place to get er with a thirst for martinis. He fre- will acknowledge drinking on com- altered in any way as a result of Planning, a consulting firm special- work done amid a hectic schedule. quents Haru’s in Times Square pany time. In a 2006 study by drinking?’ ” izing in the wealthy. “The once- Reginald Heard, 42, a finance about three times a week, and his CareerBuilder.com,just 22% of em- Bar-hopping workers who can clear lines between work and play executive, often gravitates toward clients, many of whom are also big ployees admitted to having an alco- effectively combine the two have are growing increasingly fuzzy.” Michael Jordan’s The Steak House martini fans,happily join him there. holic beverage during a regular other dilemmas to wrestle with,like, At the Four Seasons’ bar, sales of NYC, in Grand Central Terminal, “Meeting at a bar puts people at workday; only 10% reported a more “Am I taking a barstool away from alcohol between 3 p.m. and 5 p.m. before getting his 4:48 p.m. train ease, making it easier to seal a deal,” habitual pattern, saying that they someone who just wants a beer?” have risen 38% from last year, ac- back to his home (and office) in Mr.De Gasperi says.“Bars let you do consumed an alcoholic beverage “Sometimes I worry I’m taking with lunch at least once during the up valuable bar real estate,” says workweek. Tracey Toomey, co-author of The Perfect Manhattan, as she shuts Blurred boundaries down her computer. Her wine glass Multifamily Owners such behavior can threaten pro- is empty, and she’s ready to head ductivity and social norms when the home after spending five hours at boundaries between work and per- Bar 6 in the West Village. sonal environments are blurred. “But I like that I’m being social Multifamily building owners in New York: “Our mobile society certainly without being social,” Ms. Toomey liberates us from the traditional of- says. “I know that on any given day fice,” says Letitia Baldrige, business at 4 p.m.,people like me are working etiquette adviser at executive coach- here,sitting at tables,huddled in the ing firm Baldrige & Lewris. corner, getting their work done. It the more energy you save, “It should not,however,be a rea- makes me feel less lonely.” son for loosening the standards of professionalism,”Ms.Baldrige says. COMMENTS? [email protected] the more you get paid. THE CRAIN’S BEAT SHEET REPORTERS ELISABETH BUTLER CORDOVA REPORTER AARON ELSTEIN e-mail: [email protected] SENIOR REPORTER Covers retail and apparel. e-mail: [email protected] Covers Wall Street. AMANDA FUNG REPORTER ERIK ENGQUIST e-mail: [email protected] SENIOR REPORTER Covers technology and The New York Energy $martSM Multifamily e-mail: [email protected] telecommunications. Performance Program Covers politics and government, and works on Crain’s Insider newsletter. DANIEL MASSEY can help you make your building REPORTER more energy efficient. LISA FICKENSCHER e-mail: [email protected] SENIOR REPORTER Covers the New York economy, e-mail: [email protected] including labor and immigration. Find out how: Covers tourism, restaurants, hotels. You can reduce your building’s energy HILARY POTKEWITZ bill by 20% and get $600 or more per MATTHEW FLAMM REPORTER SENIOR REPORTER e-mail: [email protected] apartment. Plus, you may be eligible e-mail: [email protected] for a reduced interest loan. Covers legal issues, transportation and Covers media and entertainment. sports. Limited Time Offer: SAMANTHA MARSHALL GALE SCOTT SENIOR REPORTER REPORTER Gas customers in Con Edison Territory e-mail: [email protected] e-mail: [email protected] receive additional incentives for gas Covers education, and international Covers hospitals and insurers, and saving measures.* business and trade. works on Health Pulse newsletter. MIRIAM KREININ SOUCCAR Call 1-877-NY-SMART or visit SENIOR REPORTER MATTHEW SOLLARS REPORTER GetEnergySmart.org/MultiFamilyHomes e-mail: [email protected] Covers the business of arts and culture. e-mail: [email protected] for more information. Covers politics and government, and THERESA AGOVINO works on Crain’s Insider newsletter. Sponsored by the New York State Energy REPORTER Contributes to “Neighborhood Research and Development Authority (NYSERDA) e-mail: [email protected] Journal” column. and Con Edison. Covers commercial real estate. WEB STAFF * Eligible participants include all natural gas customers BARBARA BENSON in the Con Edison Service territory who are on a non- REPORTER KIRA BINDRIM interruptible, firm-rate structure, and pay the Monthly e-mail: [email protected] Rate Adjustment charge. Other restrictions may apply. ONLINE REPORTER Works on Health Pulse newsletter. e-mail: [email protected]

32 | Crain’s New York Business | March 31, 2008 CNYB 03-31-08 A 33 3/27/2008 7:49 PM Page 1

BUSINESS LIVES CORPORATE LADDER Carol Blazejowski Looking for a slam dunk New York Liberty’s Ms. Blazejowski has yet to replicate her record of success as the top ex- PERSONNEL FILE top exec aims to fill ecutive of the New York Liberty. The Women’s National Basketball ORGANIZATION New York Liberty scoreboard and seats; Association team, which is owned TITLE President, general manager by Madison Square Garden, has eyes championship struggled to fill both the scoreboard AGE 51 and the seats.The 11-year-old team RÉSUMÉ Director, basketball BY ADRIANNE PASQUARELLI ended its 2006 season with a dismal development, WNBA; director, record of 11 wins and 23 losses and licensing, NBA; national coordina- n 1973, the summer before her has yet to win a trophy. tor, women’s promotions, Adidas senior year at Cranford High in New Jersey, Carol Blaze- New game plan WORKOUT Basketball every jowski stormed into the ath- ms. blazejowski is not giving up. Sunday letic director’s office and of- The Liberty’s general manager— MANAGEMENT STYLE Wants Ifered him a choice: Either he could who has held the position since four everyone’s fingerprints on the start a girls’ basketball team, or Ms. months after the team’s founding— property

Blazejowski, a gifted player, would has taken on the new title of presi- buck ennis play on the boys’team.The AD chose dent and has a new game plan for the the former and watched from the 2008 season. She is determined to erty, Ms. Blazejowski jumped at the says Ms. Coyle. “We had gone the To grow the Liberty’s fan base, sidelines as Ms. Blazejowski led her bring a WNBA trophy to New York. opportunity. distance with the players we had and Ms. Blazejowski plans to hold one varsity girls’ team to the state cham- Her history indicates that she “Having a part in the growth of it was time to incorporate youth.” of this season’s games at a high-pro- pionship with a record of 35 and 1. can make it happen. women’s sports and changing the file and as yet-undisclosed venue in “I started basketball when I was After her 1978 graduation from culture,” she explains,“was very im- Better record New York City. She’s also working 10,” she says. “I just picked up the Montclair State College, where she portant to me.” so far, the strategy has paid off. to advance community outreach ball and started playing.” was an All-American, Ms. Blaze- Last year, in an effort to step up The team ended 2007 with a record programs, like Inspiring Women Ms. Blazejowski, who is nick- jowski went on to join Adidas. She on-court performance, Ms. Blaze- of 16 wins and 18 losses,an improve- Night on July 25, and nonprofit named “Blaze” for both her last stayed for a 10-year stretch in mar- jowski and head coach Pat Coyle ment over the previous year. The partnerships. name and her trailblazing sports ca- keting and promotions for women’s drafted a group of young players next season begins on May 18. “My goal has always been to reer, went on from Cranford to win sports. Working in licensing at the new to the league to fill their 12- On the business side, Ms. Blaze- bring the WNBA championship to numerous collegiate basketball ac- National Basketball Association, person roster. They’ve continued jowski intends to use her marketing the great city of New York,”she says. colades, eventually earning en- and then development at the this strategy with their draft picks expertise to build brand equity and “We’ll continue on with that vision, shrinement in the Madison Square Women’s National Basketball As- for the 2008 season. boost the team’s public profile. She grow our brand and make this a very Garden Walk of Fame and the sociation were easy next steps. “It was a conscious decision of has her work cut out for her, since viable long-term business.” Women’s Basketball Hall of Fame. When she received a call in January Carol’s, with the coaching staff, to home game attendance decreased Yet despite these achievements, 1997 to run the newly formed Lib- change the team by going younger,” 5% last year to an average of 8,615. COMMENTS? [email protected]

loew’s kings theater. choreograph our future.

SEEKING PROPOSALS FOR … New York City Economic Development Corporation (NYCEDC), in cooperation with the Office of the Brooklyn Borough President, is seeking a developer and operator for the former Loew’s Kings Theatre. Responses to this request for proposals (RFP) must present plans to lease, rehabilitate and operate the theatre.

RESPONSES ARE DUE NO LATER THAN 4:00 p.m. on Wednesday, May 7, 2008. Submission guidelines and requirements are outlined in the RFP, which can be downloaded at www.nycedc.com/rfp, or picked up at NYCEDC, 110 William Street, 6th floor, New York, NY, Monday - Friday, between 9:30 a.m. and 4:30 p.m.

REQUEST FOR PROPOSALS

March 31, 2008 | Crain’s New York Business | 33 CNYB 03-31-08 A 34 3/27/2008 7:47 PM Page 1

BUSINESS LIVES

EXECUTIVE MOVES

ACCOUNTING & CONSULTING as principal. He was formerly president Northfield Bank: Joan Dalton, 60, joined AlixPartners: Jack Gau, 47, joined as of KAL Architecture, which he as vice president and area manager for HOT JOBS managing director, performance founded. Bay Ridge, Brooklyn. She had been vice improvement. He was formerly a Perkins Eastman: David Beer, 73, joined president and area manager, Bay Ridge, director at PRTM. as principal. He was formerly principal at Independence Community Bank. WANTED: DIRECTOR Eric Dzwonczyk, 39, joined as director, and a founding partner at Brennan Beer Outside Ventures: Nathan Spiegel, 36, performance improvement. He had been Gorman Architects and Brennan Beer joined as director of underwriting, credit OF DEVELOPMENT senior IT director for new product Gorman Monk Interiors. and risk. He had been vice president of development at Campbell Soup Co. Spacesmith: Michel Franck, 43, joined as finance and risk management at United SCHOOL John Jay College of Criminal Justice Eisner: Ronald E.Taylor, 46, joined as managing principal. He had been a Bank Card. JOB DESCRIPTION Manage office, supervising directors of community, director of recruiting operations and principal at Owen & Mandolfo. RBC Capital Markets: Vito Sperduto, 39, corporate and alumni relations and other staffers diversity, a new position. He had been STV Inc.: Majid Hedayati, 53, was joined as managing director. He was national strategy and operations promoted to senior vice president and formerly managing director at CIBC MOST IMPORTANT TASKS Oversee fundraising activities and expand diversity recruiting director at KPMG. continues as director of transportation World Markets. through outreach and relationship-building Getzler Henrich: Elan Ben-Avi, 32, was and infrastructure. Stephens Inc.: Ann Poole, 36, joined as promoted to director from senior Judith E. Held, 53, was promoted to senior analyst. She had been a senior CREDENTIALS NEEDED College degree and eight years of fundraising associate. senior vice president from vice president analyst at Nollenberger Capital. experience Mark Podgainy, 41, joined as director. and continues as general counsel. SALARY $80,020 to $95,997 He had been a director at TRG. Samara Barend, 30, was promoted to vice HIGH TECH & NEW MEDIA president from associate. WGSN: Carolyn Cohen, 45, was named RECRUITER Internal ADVERTISING & COMMUNICATIONS Ashraf F.Basta, 44, was promoted to vice vice president of strategic client services, DOWNSIDE Acme Brand Content Co.: David F. president from senior associate. a new position. She had been vice Challenge of finding donations and other funding in a Caruso, 33, joined as president. He was Bruce Jabbonsky, 51, was promoted to president and general merchandise shrinking economy formerly chief operating officer at vice president and continues as project manager at Marc Ecko Enterprises. UPSIDE Benefits of working for a City University of New York school Alliance. manager. Robby Wells, 32, joined as chief strategy Dennis Nazzaro, 58, was promoted to HOSPITALITY & TOURISM John Jay seeks millions to fund President Jeremy Davis’ plans to improve officer. He had been vice president, vice president from senior associate. Impulsive Group: Jeffrey M. Stegman, 38, its campus and hire more full-time professors. Because graduates digital strategy, at Carat. Nadine Roper, 42, was promoted to vice was named general manager of the become police officers and other government employees, the school Chantre Randolph, 29, joined as president from senior associate. Sanctuary Hotel. He was formerly lacks wealthy alumni. The new director must find some deep pockets. development manager. She had been general manager at the Duane Street —ANDREW BUCK production manager at SportsNet NY. FINANCE & INSURANCE Hotel. Doremus: Martyn Straw, 54, joined as AXA Equitable Life Insurance Co.: Tracey planning director, a new position. He Gray-Walker, 45, was promoted to chief LAW was formerly planning director, North diversity officer from vice president of Dechert: Kevin P.Scanlan, 37, joined as America, at BBDO. business development and partner. He had been partner at Orrick TargetCast: Jennifer Samples, 32, was opportunities. Herrington & Sutcliffe. Jonathan E. Goldberg, 37, joined as relations. appointed senior vice president, director Citadel Investment Group: Patrik Edsparr, McKee Nelson: Thomas Glushko, 52, was partner. He had been of counsel at Time Inc. Media Group: Stella Araya-Weil, of digital media. She was previously vice 42, joined as chief executive, Citadel promoted to partner from counsel. Greenberg Traurig. 39, was named corporate sales director. president of media innovation at Infuz. Europe, based in New York and Phillips Nizer: N. Ari Weisbrot, 39, joined Sidley Austin: Timothy Treanor, 40, She had been consumer goods director London. He was formerly global head of as partner. He was formerly an associate joined as partner. He was formerly at Martha Stewart Living Omnimedia. APPAREL & RETAIL rates, securitized products, proprietary at Shapiro & Crowland. deputy chief, organized crime, in the TNS Media: Dean DeBiase, 49, joined as Everlast Worldwide Inc.: Adam Geisler, 31, positioning and principal investments at Seyfarth Shaw: Neil A. Capobianco, 43, U.S. Attorney’s Office for the Southern chief executive. He was formerly was promoted to acting president from J.P.Morgan Chase & Co. joined as partner. He had been of District of New York. chairman and chief executive of Fathom senior vice president of marketing. Laurus-Valens: Jay Drezner, 36, joined as counsel at Greenberg Traurig. Sonnenschein Nath & Rosenthal: Lisa Online. senior investment analyst. He was Brian S. Cousin, 34, joined as partner. He Weiss, 49, joined as partner. She had ARCHITECTURE & DESIGN formerly a director at Credit Suisse had been a shareholder at Greenberg been partner at Morrison & Foerster. REAL ESTATE Mancini Duffy: Kenneth Lill, 47, joined Securities USA. Traurig. Brown Harris Stevens: Louis Cerny, 46, MEDIA & ENTERTAINMENT joined as vice president of management Broadcast Music Inc.: Jodi Saal, 40, was accounting. He was formerly a principal promoted to vice president, corporate at Redirect Consulting, which he co- planning from assistant vice president, founded. business operations and technology. CresaPartners: Kenneth B. Witler,46, Faith & Values Media: Greg Nelson, 32, joined as vice president. He had been was promoted to director of television director of brokerage services at do more and new media, a new position, from Cushman & Wakefield. than satisfy your appetite. director of media operations. Grubb & Ellis Co.: Gary Schwartzman, 57, great meals Hachette Filipacchi Media U.S.: Bennett was promoted to managing director Theimann, 41, was appointed senior vice from associate managing director. president and chief procurement officer, Praedium Group: David Dowell, 30, a new position. He had been chief joined as vice president of acquisitions, financial officer at Cellfish Media. Midwest region. He had been an New York Media: Lanny Morris, 35, was associate director at GE Real Estate. named event sponsorship sales director, a new position. He was formerly vice SERVICES president, sponsorship sales, at HSM The American National Standards Group. Institute: George Gulla, 53, was Oxygen Media: Michael DuPont, 41, was appointed vice president of publications. promoted to vice president of He was formerly vice president and advertising sales from vice president of general manager, reference market ad sales, East Coast. services, at Standard & Poor’s. Rainbow Media Holdings: Jeremy Elice, Big Brothers Big Sisters of NYC: Ruth 30, was promoted to vice president of Rathblott, 38, was promoted to associate original programming from director of executive director, a new position, from development, AMC. senior director. Ben Davis, 27, was promoted to director LifeAt: Matthew Goldstein, 29, was of development and current series for promoted to chief executive from chief AMC from manager of development. operating officer. Real Simple magazine: Judy Sage, 39, Rockefeller Foundation: Ellen Taus,49, joined as executive beauty director. She joined as chief financial officer. She had had been executive beauty director at been chief financial officer at Oxford Health magazine. University Press. Scholastic Corp.: Michael Hansen, 46, —adrianne pasquarelli was appointed executive vice president and sarah studley and president of book fairs and international. He was formerly president EXECUTIVE PROMOTIONS and chief executive at Harcourt Manhattan | 212.245.9600 | 148 W. 51st St. Assessment Inc. Crain’s lists the promotion and hiring of New York Thirteen/WNET New York: Stephen area senior executives on a space-available basis, Lunch on Fridays | 11:45 am - 3:00 pm Segaller, 54, was promoted to vice with priority given to positions in New York City. president of national production, a new The fastest way to get an announcement into position, from director of news and Crain’s is to submit details online by filling out the group private dining available | reservations & gift cards at ruthschris.com public affairs. form at www.crainsnewyork.com/submit. The Kellie Specter, 46, was promoted to Executive Moves column is also available online. director of communications from Crain’s cannot confirm receipt of listings or say director of corporate and media when they will appear.

34 |RUTH08-82A_6x6.indd Crain’s New York Business 1 | March 31, 2008 3/18/08 12:43:52 PM CNYB 03-31-08 A 35 3/27/2008 7:37 PM Page 1

BUSINESS LIVES TABLE TALK by Bob Lape any menu, though not with a Service is welcoming. Mr. Rem- and a warm welcome at the early Parmesan crisp and dressing that ming, who knows his way around crossroads of immigration. combines grapefruit, avocado and the short but discriminating wine pine nuts. The ever-changing sea- list, recommends perfect pairings. Dovetail sonal soups include an impressive Some low-end markups are high, 103 W. 77th St. (between Colum- blend of puréed potato and broccoli though. bus and Amsterdam), Manhattan. rabe folded in a vegetable broth with (212) 362-3800. Elegant service and a topping of crème fraîche. COMMENTS? [email protected] wines match the inspired cooking Loving the entrée of seared div- of ex-Compass chefs John Fraser er scallops with braised leeks, cur- and Vera Tong. ried cauliflower and salsa verde,four BEST OF BOB LAPE guests had it served as an appetizer Park Avenue Spring on their next visit. Good strategy. More modern Americans around the www.parkavenyc.com Portion sizes at Avon Bistro are area: 100 E. 63rd Street (at Park Ave- modest but satisfying. The seafood nue), Manhattan. (212) 644-1900. paella served with saffron rice is a di- CulinAriane From the son-father team of verse, hefty dish. Lamb and farro www.culinariane.com Michael and Alan Stillman, a truly fricassee, slow-roasted in a clay pot 33 Walnut St., Montclair, N.J. seasonal restaurant, with new with French beans, is also a filling (973) 744-0533. A tiny jewel in a decor, food and wine every three and pleasing proposition,as are suc- residential part of Montclair boasts months. culent braised beef short ribs served some of the state’s best food. Fine with celery root-and-potato gratin. service extends to that of the wines The obligatory chicken dish is diners bring. not a conventional roasted one but a cashew-crusted and juicy breast Monteverde at Oldstone Manor presented with a warm quinoa-and- currant salad and the spicy choco- www.monteverderestaurant.com late sauce known as mole. 28 Bear Mountain Bridge Road Roasted rack of lamb is basted (Route 6), Cortlandt Manor, N.Y. with currant demi-glace and ac- (914) 739-5000. Chef Neil Fer- cented with sautéed bok choy and guson and service ace Glenn Vogt puréed sweet potatoes. And a nicely spark a transformation of the 1760 grilled, thick-cut pork chop— Van Cortlandt mansion high above enough to take home—arrives the Hudson. SUPERIOR OFFICE ringed by horseradish fries and AVAILABILITIES frisée salad with a fig vinaigrette. Allen & Delancey

buck ennis The Avon Bistro kitchen’s sweet www.allenanddelancey.net 212.594.2700 TAKE TWO: Chef Kevin Cahill, one of the choice hires made by owners Barbara and Paul stylings ($8) include an always- 115 Allen St. (at Delancey Street), Abramsky, has created a menu that refers to familiar classics and gives them a bit of flair. changing trio of small pots de Manhattan. (212) 263-5400. The crème—blueberry, cinnamon and four-star Monteverde team does passion fruit, for example—and a double duty with a comfortably SLGREEN.COM panna cotta redolent of orange blos- crowded mecca for wonderful food som and cinnamon, with hazelnut A delicate-ssen cookies on the side. M&K BUSINESS HEROES IT’S In the real world, we’re CPAs. transformation To our clients, we’re Superheroes. Avon Bistro makes Cahill has a real way with cassoulet, TAX TIME and with stews and paellas of all solid first impression variations. After 21 years at home on the with tempting design, range, Mr. Cahill can stop you with AND Bar Bites (most are $4 to $6) like food; great bar fare pulled pork belly with currant pan- cakes, sliders and artichoke-Parme- AVON BISTRO WE’RE gnore the year-old scaf- san tartlets. The bartender choruses 155 E. 52nd St. (between folding hugging the building with thoughtfully concocted liba- Lexington and Third avenues) and seek out Avon Bistro, a tions featuring fresh juices. A note- (212) 752-9587 READY delightful modern American worthy burger is layered with www.avonbistro.com newcomer in midtown East. Gruyère and house-made pickles. IThis multipurpose destination is House-marinated onions feature in FOR good for impromptu pit stops for some cocktails. CUISINE Modern American drinks and tempting bar food or for Move on to the sleek, 50-seat WINES 45 choices, 17 by the refined, reasonably priced dining. dining room with its rich horizontal It’s also a sleeper trembling on stripes of glossy maple and walnut, glass ACTION! the brink of discovery as early ex- and Mr. Bromley’s seductive the- DRESS No code plorers become regulars and crank atrical lighting design. The restau- NOISE LEVEL Moderate up the word-of-mouth. rant is noisy when full. Lunch has a The spot is a sea change for own- busy, buzzy atmosphere; dinner PRICE RANGE $19-$34 ers Barbara and Paul Abramsky, business is still growing. WINE MARKUP 100%-450% whose Avondale Deli formerly oc- Avon’s appetizers ($9 to $13) cupied the space. The Abramskys give further proof of the kitchen’s CREDIT CARDS All major commissioned Scott Bromley (Stu- confidence. Brandade of cod and RESERVATIONS Recommended dio 54) for a major face-lift,snagged mashed potatoes is not uncommon, HOURS Lunch, Mon.-Fri., a savvy young general manager- but the herbed crostini and compote 11:30 a.m.- 2:30 p.m.; Dinner, wine maven (Steve Remming) and of tomato and onion served with it Mon.-Sat., 5-10 p.m. capped their sound choices with are. Sage gnocchi in brown butter is Marcum & Kliegman LLP chef Kevin Cahill. elevated by Swiss chard,roasted car- = Outstanding Certified Public Accountants & Consultants His food is internationally ac- rots and aged goat cheese. Mussels = Excellent www.MKLLP.com cented American, reassuring in its with curried cream and shallots is = Very good 800.921.0777 familiarity and seasoned with flair another fine starter. = Good but with a reverence for flavor. Mr. Spinach salad can be found on NEW YORK MELVILLE GREENWICH GRAND CAYMAN

March 31, 2008 | Crain’s New York Business | 35 Project16 2/25/081:24PMPage1

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