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www.crainsdetroit.com Vol. 25, No. 39 OCTOBER 5 – 11, 2009 $2 a copy; $59 a year
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Page 3 Investor group proposes nine new nursing homes Biz, labor rally for coal plants
Business groups get ready Permits take too long, groups say for battle over tax hikes We’ve got business and labor BY AMY LANE unite with Democratic counter- “ AND TOM HENDERSON parts in a rally on the steps of the coming together for one key CRAIN’S DETROIT BUSINESS state Capitol to urge regulators to Inside speed up the stalled permit process issue: Put us back to work. Ever wonder what it takes to for two proposed new coal-fired ” achieve bipartisanship in this power plants. Patrick “Shorty” Gleason, state? Organizers say they hope a Michigan Building and Construction Trades Council FORTY Here’s the answer: Coal. crowd of 2,000 will help get the On that issue at least, folks in message across to Gov. Jennifer megawatt coal-fired plant near Lansing-based Michigan Building Lansing, as well as business and Granholm that there is broad- Bay City and a coal-fired plant pro- and Construction Trades Council. labor, can get along. based support to speed up the per- posed by Wolverine Power Coopera- “We’ve got business and labor UNDER On Tuesday, trade union offi- mit process and to urge the Michi- tive near Rogers City. coming together for one key issue: cials will unite with the Michigan gan Department of Environmental “It’s at high noon, like the shoot- Put us back to work,” he said. Chamber of Commerce, and some Quality to approve permits for Con- out at the OK Corral,” said Patrick Republican state legislators will sumers Energy Co.’s proposed 930- “Shorty” Gleason, president of the See Coal plants, Page 40
FORTY 2009 See who’s in this year’s class, Pages 9-26 Gilbert rolls Health Care Extra Carhartt and soul Slow with the flow: Hospitals lag in joining Workwear maker wants to be the dice for health info exchanges, Page 27 fashionable off the job, too Ohio casino BY NANCY KAFFER This Just In CRAIN’S DETROIT BUSINESS Buckeyes to vote; The model on the red carpet strikes a pose for a pho- Wayne State, Karmanos tographer, turning so his jacket is displayed to advan- Detroit casinos plan to expand partnership tage. The flashbulb goes off, and the model turns to the eye competition Wayne State University side, jacket once again prominent. School of Medicine and the What’s he wearing? It’s Carhartt. Barbara Ann Karmanos Cancer Dearborn-based Carhartt Inc., BY NANCY KAFFER Institute on Friday an- best known as a manufacturer CRAIN’S DETROIT BUSINESS nounced they will work to ex- of workwear, might seem like Quicken Loans founder Dan pand their long-term part- We want an unlikely fit for the Fashion Gilbert wears a lot of hats: fi- nership agreement in cancer “ In Detroit event, held last week nancier, mort- research, education and clin- to mix the at the Detroit Zoo in Royal Oak. gage magnate, ical care. But Carhartt’s vice president sports team Under the agreement, new with of merchandise and design, De- owner. which expands a 1994 pact, bra Ferraro, says the brand has the old. And if voters Wayne State’s medical always had off-the-job appeal. ” in Ohio go his school will create a new de- “We’re the brand of choice for Lindy Bleau, way on Nov. 3, partment for university sci- working-class America,” she Carhartt Inc. he’ll add anoth- entists whose primary ap- said. “And these guys do more er title to the pointments are at Karmanos. than work. They have an emo- list: casino own- Officials for the two De- tional connection to our brand.” er. troit-based institutions said Participating in events like Fashion in Detroit — Gilbert’s Rock Gilbert details of the new depart- whose organizers include former “Project Runway” Ventures L.L.C. is a major backer of ment will be worked out over contestant and Detroit native Joe Faris — puts Ohio’s Issue 3, a ballot proposal to the coming months. The goal Carhartt styles in front of new audiences or shows ex- A.J. MUELLER allow casino gambling in the is to encourage multidiscipli- isting customers different ways to wear the styles, Yup, it’s Carhartt on the red carpet (except for the Red state’s four major cities, Toledo, nary research, seek addition- Ferraro said. Wing boots). The clothing line known for ruggedness was Cleveland, Columbus and Cincin- al grants and, ultimately, in- The show includes some of Carhartt’s spring 2010 part of Fashion In Detroit last week at the Detroit Zoo. nati. Buckeye voters have defeated crease the number of looks, including traditional items and more main- past gaming proposals, but this medical researchers at the stream offerings, said Lindy Bleau, of Carhartt’s ree or the logger jeans, with some outerwear jackets, measure’s gaining traction. communications department. coats, sweatshirts, hoodies,” she said. According to a poll published See This Just In, Page 2 “All these items are paired with Carhartt’s vin- “We want to mix the new with the old. We’re last week in the Cleveland Plain tage product offerings like the double-front dunga- reaching out to our core consumer by offering cloth- Dealer, 59 percent of respondents ing that can be used on the job and off the job.” said they’d support Issue 3. The 120-year-old company has faced tough times And that has some in Detroit’s in the past years, as jobs have disappeared from its casino and tourism community core customer base. worried. Sales are down about 5 percent this year, Ferraro “Our research shows that gam- said. ing is Detroit’s number one Carhartt’s 2008 revenue was listed in Crain’s Pri- tourism draw, and our research vate 100 at $530 million, flat with the revenue it re- shows that Ohio is the top state for NEWSPAPER See Carhartt, Page 39 See Casino, Page 40 20091005-NEWS--0002-NAT-CCI-CD_-- 10/2/2009 6:16 PM Page 1
Page 2 CRAIN’S DETROIT BUSINESS October 5, 2009
commission; Denise Ilitch, owner Ambassador Gateway Project to Terms of the deal weren’t made building after having owned it THIS JUST IN and publisher of Ambassador build a new interchange for the public. Match.com spent nearly since 1991. It is currently 40 per- magazine, owner of Denise Ilitch crossing and I-75 and I-96. $75 million in domestic measured cent vacant, according to data from ■ From Page 1 Designs, of counsel at Clark Hill “The bottom line of the report media last year and $37 million CoStar Group. The Southfield office P.L.C and former president of Il- is that the bridge is in perfectly over the first six months of 2009, of CB Richard Ellis represented the medical organizations. itch Holdings Inc.; and Joe Walsh, a good condition for the commerce according to industry reports. seller; Southfield-based Farbman “This new agreement solidifies retired Ford Motor Co. executive. that it does,” said Phil Frame, a di- —Bill Shea Group represented itself. Karmanos’ and Wayne State Uni- The team committed thou- rector of communications for The deal is so cheap that Farb- versity’s long-term commitment sands of volunteer hours, Ilitch Warren-based CenTra Inc., the par- Farbman Group gets deal man can now charge rent far be- to one another and supports our has said, meeting regularly to ent company of the firm that low the market rate, said Steve joint mission of excellence in can- present a straightforward view of manages the bridge. on Southfield building Morris, managing director of the cer research, education and clini- the city’s inner workings to Bing. Dingell wanted a copy of the re- A Class A office building in Southfield office of Newmark Knight cal care,” said Karmanos’ inter- —Nancy Kaffer port and its safety condition con- Southfield has been sold for at Frank. im CEO Ann Schwartz in a tent made public, something the least one quarter of its value from The competitive rate for leasing statement. bridge company scrambled to eight years ago and roughly 15 in Southfield is currently $17 per Dr. Valerie Parisi, Wayne State’s Detroit International Bridge Co. prevent in federal court because percent of the cost to build it new. square foot, Morris said, and he es- medical school dean, said the it believes the information to be sues to halt release of report The Riverside Center building timates that Farbman can make partnership “demonstrates the critical to national security and The Detroit International Bridge at 25925 Telegraph Road has been an operational profit even charg- principles of a true academic doesn’t want it falling into the Co. sued last week to stop the re- purchased by the Farbman Group ing $13 per square foot. partnership.” wrong hands. “They’re in a position now — Jay Greene lease of a report on the bridge to Dingell received the report for $5 million, according to U.S. Rep. John Dingell, D-Detroit, sources close to the deal. where they can undercut the en- from the highway administra- tire market if they want to,” he who had asked the Federal High- tion, which got it from M-DOT, The 183,000-square-foot build- said. Bing’s turnaround team way Administration for a copy in before a judge ruled this week ing was under contract to be sold The building sold for $27 per the spring. that nothing should be done with to a Wisconsin investor for to release report Wednesday square foot; Morris estimated that The 2007 inspection report of the report for 10 days. $21 million in 2000, though the the building cost for a new office Detroit Mayor Dave Bing is ex- the Ambassador Bridge indicated The bridge was built in 1929, deal never closed. building would be $175. pected to release his turnaround that the bridge deck needs to be re- and its owner, Grosse Pointe Seattle-based Kennedy Associ- — Daniel Duggan team’s report Wednesday at a 10 placed in the coming few years — transportation mogul Manuel ates Real Estate Counsel L.P. sold the a.m. press conference, said Karen which would be a massive project Moroun, is trying to build a $1 bil- Dumas, Bing’s director of commu- that could disrupt the flow of traf- lion replacement span adjacent to nications. fic and trade across the border. it. CORRECTIONS The all-volunteer team of ex- There’s no immediate need or — Bill Shea Ⅲ A story on Page 1 in the Sept. 28 issue dis- perts’ mission was to delve into plan to do so, however. played an incorrect photo of a building re- the city’s troubled finances and The 2,000-page report was pre- ferred to as the Farmington Hills Corporate processes and prepare a slate of pared by Mechanicsburg, Va.- Campbell-Ewald lands ad Center. The correct photo of the building, recommendations that Bing based bridge engineering firm now fully owned by Kojaian Ventures, is shown could act upon. Modjeski & Masters as part of the account for Match.com at left. It is at 27555 Executive Drive in Farm- Co-chairing the roughly 50- agreement between the Detroit In- Warren-based advertising COSTAR GROUP ington Hills. member team are former Deputy ternational Bridge Co. and the agency Campbell-Ewald has picked Ⅲ The name of a Birmingham barber shop was incorrectly written on Mayor Freman Hendrix, who is a Michigan Department of Transporta- up online dating Web site Page 23 of the Sept. 28 issue. The shop is The Barber Pole. The date of its candidate for the city’s charter tion as part of the $230 million Match.com as a new client. celebration was also incorrectly stated. The event will be Oct. 10.
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October 5, 2009 CRAIN’S DETROIT BUSINESS Page 3
Inside ArtServe seeks funding plan 9 new nursing homes proposed for cultural groups, Page 37 Franklin attorney leads investors; combined cost is $234M Crain’s
BY GABE NELSON The developments would in- state’s certificate-of-need program, “We’re in the very early stages breakfast SPECIAL TO CRAIN’S DETROIT BUSINESS clude both licensed nursing beds said the proposals, received by the of planning,” he said in a Tuesday and unlicensed residential areas, state office on Sept. 14, appear to be interview. speaker A group of investors led by according to the proposals, sug- an effort to start a chain of nursing In a written statement issued Franklin attorney Richard Levin gesting the facilities would be re- homes, but the identities of the de- Wednesday, Levin said he leads “a to wax is seeking permission from state tirement homes with on-site nurs- velopers are still unclear. consortium of investors” trying to optimistic regulators to develop at least nine ing facilities. The registered agent for each of “create a continuum of residential new nursing homes in Michigan, The nine developments would the companies listed on the letters options for older adults in South- about Valenti according to letters of intent filed cost a combined $234.2 million, of intent is Levin, the manager of east Michigan.” with the Michigan Department of with costs at Detroit-area develop- Richard L. Levin and Associates Each application came from a economic future, Page 37 Community Health in September. ments ranging from $15.7 million P.L.L.C. in Franklin. different company registered at Seven of the proposed develop- for a facility in Auburn Hills to Levin acknowledged the nurs- the Cavaliere Cos. office suite on ments would be in Macomb, Oak- $36.7 million for one in Grosse ing home proposals but declined to Schoenherr Road in Warren. Calls land and Wayne counties, and two Pointe Woods. discuss details of the plans or the Company index would be in Genesee County. Larry Horvath, manager of the parties involved. See Nursing homes, Page 41 These organizations appear in this week’s Crain’s Detroit Business: Anderson Economic Group ...... 38 Arboretum Ventures...... 37 Asterand...... 37 Growth comes Carhartt ...... 1 Business groups gird Cavaliere Cos...... 3 Consumers Energy ...... 1 Covisint ...... 28 through reduction Crittenton Hospital and Medical Center ...... 27 for tax hike battle Detroit Medical Center ...... 27 Detroit Metro Convention & Visitors Bureau ...... 40 Detroit Regional Chamber ...... 3 ImageSoft helps cut piles of paper Lawmakers hunt budget revenue DSS ...... 41 DTE Energy ...... 40 BY TOM HENDERSON BY AMY LANE EBuy Media...... 4 CRAIN’S DETROIT BUSINESS CAPITOL CORRESPONDENT REVENUE IDEAS Greektown Casino Hotel ...... 40 Henry Ford Health System ...... 33 Despite the economy, South- Possible state tax measures field-based ImageSoft Inc. contin- LANSING — Business groups Huron Valley Physicians Association ...... 27 are gearing up to fight tax increas- include: ues to hire employees and grow ImageSoft ...... 3 es that could start to move this Reducing business tax credits. its revenue, driven by the need KarmanosCancer Center ...... 1 week, even as they haven’t known Extending Michigan’s 6 percent for such large entities as govern- sales tax to live entertainment and Lotus Bank ...... 39 ments, medical institutions and what those items will be. State House Democrats have in- some services. Masco Corp...... 37 insurance companies to convert Lowering or eliminating MGM Grand Detroit ...... 40 paper files to digital records. dicated they could start acting on Michigan’s marquee film tax credit. Macomb Business Assistance Center ...... 39 The company opened an office bills to provide revenue to back-fill cuts in budgets negotiated by law- Raising cigarette taxes. Michigan Association of Health Plans ...... 28 in Portland, Ore., in December Delaying or altering a rise in and is pursuing acquisitions in makers last week. Michigan Building Trades Council ...... 1 Possibilities that some in the Michigan’s earned income tax the Midwest and California. credit. Michigan Chamber of Commerce ...... 1 ImageSoft, founded in 1996, Capitol are watching include: re- Michigan Dept. of Community Health ...... 3 ducing business tax credits, such A penny-a-bottle tax on water. opened the Oregon office to sup- Michigan Dept. of Environmental Quality ...... 1 as those for personal property or Taxes on soft drinks. port a major contract it recently Michigan Economic Growth Authority ...... 38 for compensation, investment and A tax on estates of $2 million or won to convert the paper files of more, excluding family farms or Michigan Health Information Network ...... 28 all 36 of the circuit courts in that research and development under the Michigan Business Tax; ex- businesses. Michigan Manufacturers Assoc...... 3 state to digital files available on- Michigan Public Service Commission ...... 40 line. tending Michigan’s 6 percent sales week) and be ready for whatever DUSTIN WALSH/CRAIN’S DETROIT BUSINESS tax to live entertainment and some Michigan State Medical Society ...... 28 President Scott Bade said the President Scott Bade said they try to throw at us,” she said. company is on track for revenue Southfield-based ImageSoft Inc. services; and lowering or eliminat- If Democrats want to move MotorCity Casino Hotel ...... 40 of more than $10 million this expects revenue of more than ing Michigan’s marquee film tax quickly, they could discharge bills Premiere Surgery Center of Michigan ...... 32 year, up from $9 million in 2008. $10 million this year, up from credit. that are in committees directly to Presbyterian Villages of Michigan ...... 41 In August, it completed the ac- $9 million last year. Also mentioned: raising ciga- the House floor and take them up Renaissance Venture Capital Fund...... 37 rette taxes; delaying or altering a quisition of 13 accounts from a for- clients, including the Mayo Clinic, — a strategy that could send bills Richard L. Levin & Assoc...... 3 scheduled increase in Michigan’s mer competitor, Indianapolis- Duke University Health System, to the Republican-controlled Sen- Rock Ventures ...... 1 earned income tax credit; putting a based Tronitech, Wayne and Washte- ate with maximum time to work 1 cent per bottle tax on water sold Sam Bernstein Law Firm ...... 4 including Time Warner naw counties, Grand support in that chamber before the in Michigan; levying taxes on soft St. John Health System ...... 41 Cable, the City of Cincin- Valley State University, state’s continuation budget ex- OntheGrow drinks; and placing a tax on es- TV Works...... 4 nati Retirement System, Ford Motor Co. and pires Oct. 31. United Physicians ...... 27 and the Pepsi-Cola bot- On the Grow is a Federal-Mogul Corp. tates of $2 million or more, exclud- Last week, House Democrats ing family farms or businesses. University of Michigan Health System ...... 33 tling companies of feature that will The company end- passed a supplemental spending Sarah Hub- Wayne State University ...... 33 Lexington, Ky., and appear in most issues ed 2008 with 41 em- bill that would lessen cuts in Med- highlighting growing bard, senior Columbus, Ohio. ployees and expects icaid, state aid to libraries, the William Beaumont Hospitals ...... 29 companies, large and vice president of Also in August, it to have at least 50 by Michigan Promise scholarship WJBK Fox ...... 4 small. Know of a government re- landed a contract the end of the year, and revenue sharing. The bill re- company you think lations at the De- with the Canadian Au- Crain’s should write including three new lies on $261.9 million in unspeci- troit Regional Department index tomobile Association of about? Contact hires for what is fied revenue in addition to nearly Chamber, said a South Central Ontario. Managing Editor now a one-person of- $175 million in federal funds. BANKRUPTCIES ...... 39 coalition of 16 It is the largest auto Andrew Chapelle at fice in Oregon. Mike Johnston, vice president of BRIEFLY ...... 39 [email protected]. major business club in the Canadian Three years ago, the government affairs at the Michigan CALENDAR ...... 36 groups that’s Automobile Associa- company employed Manufacturers Association, said he’s been driving CAPITOL BRIEFINGS...... 37 tion, with more than 1.8 million about 25. It also has sales offices concerned that lawmakers may home a budget- Hubbard CLASSIFIED ADS ...... 36 members in Ontario and about 5 in Ohio, North Carolina and see it as more palatable to reduce reform, no-tax-increase message to million overall in Canada. Grand Rapids. business tax credits than to enact a KEITH CRAIN...... 6 The company has more than 150 lawmakers is not letting up. LETTERS...... 6 See ImageSoft, Page 41 “We’re going to meet early (this See Tax, Page 38 MARY KRAMER ...... 7 OPINION ...... 6 Need a job? Have a job to post? Washtenaw and Livingston Tweet, tweet PEOPLE ...... 36 THIS WEEK @ Crain’s is connecting employers Want to know what's going on? Follow us on Twitter: RUMBLINGS ...... 42 and job seekers. Go to www.crains Sign up for our weekly e-mail at twitter.com/ WWW.CRAINSDETROIT.COM detroit.com/careerworks. www.crainsdetroit.com/getemail. crainsdetroit WEEK ON THE WEB ...... 42 20091005-NEWS--0004-NAT-CCI-CD_-- 10/2/2009 4:56 PM Page 1
Page 4 CRAIN’S DETROIT BUSINESS October 5, 2009 Blackouts, budget cuts block some from buying Lions ads
BY BILL SHEA games as part of parent Fox televi- CRAIN’S DETROIT BUSINESS sion’s contract to broadcast NFC You have a fan games. The good news, depending “ The affiliate has no control over on your perspective and toler- base that will ticket sales or the quality of the ance, is that the Detroit Lions product, but it does have to refund were on television Sunday. watch them advertising dollars if the games That’s because they played are blacked out, or offer ad time in Chicago. no matter during alternative programming. In Detroit, six of the team’s WJBK declined to comment or past seven games, dating back how bad they say which advertisers are new this to last season, have been are. Your core year or have ceased buying spots. blacked out on local television A 30-second local commercial because the Lions didn’t sell is always during a Lions game on WJBK out Ford Field — and that makes costs between $5,000 and $7,000, lo- buying local advertising spots a going to be there. cal media buyers say, and there dicey proposition, even with dis- ” are seven to eight minutes of local counts being offered by WJBK FOX 2. Andy Winnie, eBuy Media Inc. commercial time available during Andy Winnie, owner of Ply- a typical three-hour broadcast. mouth-based eBuy Media Inc. thinks dium. That meant only fans inside The same 30-second spot on a the Lions remain a good buy for Ford Field saw the Lions win for the Sunday afternoon during non-NFL advertisers, but only if they’re go- first time since beating the visiting programming costs about $300. ing to be on television. Kansas City Chiefs on Dec. 23, 2007. WJBK has also discounted some “You have a fan base that will The Lions must sell 54,500 tick- inventory up to 20 percent, Noor watch them no matter how bad ets to sell out. Premium/club seat- said. • • they are. Your core is always going ing at NFL stadiums is exempt Attorney Mark Bernstein of Commercial Residential Retail to be there,” he said. from sellout requirements. Southfield-based Sam Bernstein Law The problem is the threat of The NFL mandates that games Firm, a heavy advertiser on all lo- blackouts is compounded by the must be sold out 72 hours prior to cal channels, said his firm occa- recession driving down advertis- kickoff or they are blacked out sionally buys spots during Lions ing budgets, he said. EBuy clients within a 75-mile radius of the games if it’s discounted last- Architectural Glass • Ornamental Glass • that previously bought airtime on home team’s stadium. If a team is minute inventory. Back Painted Glass • Decorative Glass • WJBK during games aren’t doing close to a sellout, the league some- But frequent blackouts and the Tub & Shower Enclosures • Stair & Patio so this year, such as Tom Holzer times will grant a 24-hour exten- less-than-desirable Sunday timing Railings • Bathroom & Kitchen Sinks • Ford in Farmington Hills. sion to sell tickets. Such a reprieve mean the firm doesn’t buy regular Faucets • Countertops • Water Walls • “Sports marketing is an expen- allowed the Lions to sell the final spots during games. Glass Flooring • Glass Tiles • Windows • sive type of advertising,” he said. 1,500 tickets for the Sept. 20 home Curtain Wall • Cabinet Inserts • Marker “We believe it’s important to be opener this season against Min- Boards • Tables • Mirrors • Closet Doors • “Some pay for it, some don’t. in front of people with frequency,” nesota Vikings Partition Walls • Room Dividers • Stairs • They’re paying more to reach a . he said. Back Splashes • Doors certain number of eyeballs, but Nine of the NFL’s 256 regular- The Lions believe they’re doing times are tight and they need to get season games were blacked out in enough off-field to entice fans to buy results.” 2008 — five of which were Lions tickets, and defend those efforts. Tina Noor, owner of Port Huron- games. “The Minnesota game was a sell- based TV Works Inc., does the media This past weekend, the team was out and we are close to selling out We do service work for all glass buying for Warren-based furniture at Chicago, so fans and advertisers Pittsburgh,” said Bob Raymond, products mentioned above and retailer Gardner-White. The compa- in Detroit could see the game on the team’s vice president of busi- correlating hardware ny buys a single 30-second spot WJBK, and the home game this ness operations, in an e-mail to • FREE Estimates & Design Installations during Lions games, Noor said, Sunday has a good chance of selling Crain’s. “Last week’s victory has but there is trepidation because of out because the visiting opponent, certainly created enthusiasm • Specializing in Custom Installations 313.928.0428 the blackouts. the Pittsburgh Steelers, are a popu- amongst our fans.” • SHOP online @ trainorglass.com/retail “There’s an audience there to lar draw (and the defending Super He cited the changeover in watch, there’s just not ticket buy- Bowl champions) whose fans are coaches and players, new ticket 7420 Allen Road Allen Park, MI. 48101 ers. I’m not nervous about buying near enough to drive to Ford Field. discount and value-added ticket the game from the point of view of After that, games against the plans as evidence that the fran- will people watch.” she said. “If the lowly St. Louis Rams (Nov. 1) and chise is doing what it can amid the game airs, I think it’s a good buy.” Cleveland Browns (Nov. 22) re- local recession. The team ended its 19-game los- main before the traditional “I think it’s obvious that the ing streak on Sept. 27 at home with Thanksgiving Day game against economy continues to be a definite a 19-14 victory over the Washington the Green Bay Packers. factor,” he said. Redskins, but the paid attendance Stuck in the middle is WJBK, Bill Shea: (313) 446-1626, Go Green. was just 40,896 at the 65,000-seat sta- the Detroit affiliate that airs Lions [email protected] Green. Beaumont hospital system makes exec changes
BY JAY GREENE Ⅲ Reduce your solar installation costs A. Neil Johnson has been promoted to senior vice CRAIN’S DETROIT BUSINESS president and associate chief medical officer for clini- up to 85% by taking advantage cal operations of the Beaumont system. He had been William Beaumont Hospitals last week announced sev- of limited time incentives and senior vice president of alternate sites of care. eral changes in its executive management structure tax credits. Ⅲ Eric Hunt succeeds Johnson as senior vice presi- and two retirements, said CEO Kenneth Matzick. dent and director of alternate sites of care. He had Effective Oct. 1, the executive changes included: been vice president of operations in Beaumont’s am- Ⅲ Paul Peabody, vice president and chief informa- bulatory division. tion officer, is retiring after 35 years with the Beau- Ⅲ Charles Shanley is now Beaumont Hospitals’ se- mont system. Subra Sripada, former associate chief in- nior vice president and associate chief medical officer formation officer, succeeds him. Peabody will remain for professional services. He had been senior vice at Beaumont through year-end to help implement a president for surgical services for Beaumont Hospi- new electronic medical records system at the hospi- tal, Royal Oak. tals’ emergency centers. Ⅲ Paul Misch is now the system’s senior vice presi- Contact Joshua Brugeman to Ⅲ Shane Cerone, COO of Beaumont Royal Oak, has dent and medical director of primary and ambulatory schedule a consultation. [email protected] been appointed director of the hospital. Cerone suc- care. He will continue as chairman of family medicine. 734.864.0364 ceeds John Labriola, who is retiring after 40 years Ⅲ Larry Lloyd has been promoted to vice president of www.jsvig.com with Beaumont. Labriola will continue to serve as an quality and safety from senior vice president of surgi- adviser for the next year. cal services at Beaumont Hospital, Grosse Pointe. DBpageAD.qxd 8/31/2009 3:03 PM Page 1
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Page 6 CRAIN’S DETROIT BUSINESS October 5, 2009 OPINION Uncertainty hurts business in state usiness needs certainty, and certainty is what energy companies and businesses that pay energy bills thought B they had last year with the passage in Lansing of a bi- partisan package of new energy laws. The laws set new goals for the generation of renewable en- ergy while revamping rates customers pay. The bills also were predicated on the construction of addi- tional coal-fired energy plants to eventually replace the aging plants online now. But in February, just four months after the legislation was passed, Gov. Granholm unveiled new energy policies that seemed to delay — if not derail — energy plants in the pipeline. (See story, Page 1.) That’s why Republican business leaders and traditional De- mocratic building trade unions will join together in Lansing on Tuesday to send a message to the governor — and the Legis- lature. Aside from the obvious problems with this reversal in di- rection in Lansing, it sends a message to business in general: Michigan is a funny place. You can’t make significant invest- ments in the state because the policies — whether it’s regula- LETTERS tion or business taxes — may change from one day to the next. Last week’s inability of elected leaders to create a budget simply underscores that point. Gov’t: Fix, don’t run, health care
Editor: lation to police these companies? Make bridge inspections public Crain’s Detroit Business I would like to comment on Kei- Just look at what Blue Cross Blue The Ambassador Bridge is a privately owned, international th Crain’s Sept. 21 column, “Our welcomes letters to the editor. Shield of Michigan recently did: All letters will be considered for president is wasting his charm.” increase the cost of the coverage border crossing. Thousands of vehicles — cars, trucks and bus- publication, provided they are I agree that the majority of peo- and then hand out a bunch of es — pass over it every day. signed and do not defame ple don’t want a government-run bonuses to their executives. individuals or organizations. As such, it requires inspections by the government. But health care system. First, it seems You are right about voting these should those inspections be public? Letters may be edited for length to me that nobody trusts what the and clarity. people out of office. The problem is The Detroit International Bridge Co. and its owner, Manuel government says. The government that the only people that ever run Write: Editor, Crain’s Detroit has lied about the wars in Iraq and for office are Democrats and Re- Moroun, is fighting in federal court to keep a 2007 inspection re- Business, 1155 Gratiot Ave., Afghanistan, the recession that we publicans. What we need is a third port private. It had been provided, at his request, to U.S. Rep. Detroit, MI 48207-2997. weren’t in for years, as well as now major party to hold them in check. John Dingell by the Federal Highway Administration. saying that the recession is over. E-mail: [email protected] Maybe we should start a new The bridge company is arguing that it’s a national security But the cost of health care is the party that really represents the issue — you don’t want terrorists to get their hands on detailed issue. Almost everyone would tions. Maybe if these costs were best interests of the people, and reports on the bridge, right? Besides, it says, it had a confiden- have health care insurance if they driven down, health insurance start by nominating and electing would be more affordable. tiality agreement with the Michigan Department of Trans- could afford it. That is the issue people from what was once the How much overcharging and working class. They will at least portation that should have barred M-DOT from sharing the re- not being addressed. The government thinks passing charges for services not rendered know the issues and problems that port with the feds in the first place. a law that will require everyone to are being billed to insurance com- face the middle-class taxpayer. We suspect the real reason for keeping the report private is have health insurance will solve panies? I cannot afford to buy Mike Timko its observation that the bridge deck will need to be replaced in the problem. Not so. If you make it health care insurance on my own Trenton coming years. mandatory, then health insurance as I have not worked in over a year. The health insurance at the Regardless, though privately owned, it has public utility. costs will skyrocket, just as auto Column was fair insurance did. last two companies I worked for Inspections should be public documents. If you doubt it, just The government should investi- was terrible. The only parties that Editor: ask the folks in Minneapolis who wish they would have been gate why health care costs are so benefited were the insurance com- Keith Crain’s Sept. 21 column, “Our president is wasting his more diligent about reviewing inspection reports for the I-35W expensive. That includes hospital panies. bridge over the Mississippi River. stays, office visits and medica- Where is the government regu- See Letters, Page 7 KEITH CRAIN: Be careful what you wish for, Detroit The magazine division of Time Sports Illustrated had ries about the chal- whether the glass is half full or time-consuming job in his life. Inc. has bought a house in De- a cover story on the lenges Detroit faces. half empty. If you assume it’s half And at best, it’s a thankless job troit’s West Village neighborhood. Tigers, which was a real There are even more empty, you’ll have a lot of expo- that’s going to get him a lot more They plan to use it as a base for a natural for any sports interesting stories if sure of the gritty side of our city grief than applause. bunch of journalists from across magazine. those folks take a look with little or no opportunity to He’s said that he’s a one-term their publications who will rotate Time had a cover sto- at the entire region showcase our positives. mayor. Considering the job, he’s through Detroit over the coming ry on Detroit that was a rather than just the city It’s difficult, if not impossible, to smart to run for a single term. year, living in Detroit and writing roundup of all the city’s of Detroit. showcase the city without calling He’ll be completely worn out by about their experiences. ills. We’ll have to wait attention to the challenges it faces. the end of it. The first stories from this pro- Let’s all hope that as and see. Regardless of whether you can We’ve got some great assets in ject were recently — and simulta- the reporters get to It seems every time vote in Detroit, I admire Mayor Detroit and in our community. neously — published in Fortune, know more about the some great event hap- Dave Bing for even running for of- Unfortunately, they are all too of- Time and Sports Illustrated. city, they will discover pens in our city, some- fice. At a time when most folks ten surrounded by rubble. Let’s Fortune ran three separate sto- that there are a lot of op- one wants to take the would be thinking about winding help our visitors clear away the ries on the future of General Mo- portunities for some great positive opportunity to show the blight and down and putting their feet up, he rubble so they can experience the tors. stories, as well as the obvious sto- poverty. It’s the old story of is taking on the toughest, most full story. 20091005-NEWS--0007-NAT-CCI-CD_-- 10/2/2009 4:58 PM Page 1
October 5, 2009 CRAIN’S DETROIT BUSINESS Page 7 MARY KRAMER: ArtPrize shows value of common vision
Richard DeVos co-founded downtown to hold the We were wowed. $500,000 in prizes. never surface because we’re so busy Amway Corp. and ranked 61st on most unusual of art ex- ArtPrize seemed to One of the Detroiters with me fighting among ourselves, especial- Forbes list of richest Americans hibits: a popular one engage the entire com- said at one point: How many ar- ly among elected leaders. We don’t last week. His son, Dick, ran for that thousands of peo- munity, from the rows do you think it would take in share a common vision for what it governor three years ago. ple — art fans and not venues to the thousands our region to shoot such a great will take to make our region great. But these days in Grand Rapids, — are flocking to. of folks of all ages, races idea down? It’s the business community the new joke goes, both men are Companies are loan- and ethnicities who are The biggest cultural difference that lets our public officials get perhaps best known as the grand- ing vacant buildings, streaming downtown between metro Detroit and Grand away with this. Maybe we should father and father of Rick DeVos. Steelcase has used the until Oct. 10 to be part of Rapids may be this: When it comes try to borrow some of West Michi- A star has been born in that opportunity to show- it. By Wednesday, more to the economy and good ideas, the gan’s DNA. West Michigan city which has em- case a new line of out- than 2,000 people had private sector leads in Grand braced 27-year-old Rick’s brain- door furniture, and ho- visited the Grand Rapids (and even Kalamazoo) and Mary Kramer is publisher of child — ArtPrize. tels and restaurants are Rapids chamber of com- the elected government officials Crain's Detroit Business. Catch her If you can, head to GR this week packed. Some actually merce — one of a hand- tend to support or get out of the take on business news at 6:10 a.m. to see it for yourselves. More than ran out of food the first weekend. ful of registration sites — to register way. Sure, it helps to have money. Mondays on the Paul W. Smith show 1,200 artists from around the world Last week, I was among a dozen for online voting for their favorites. DeVos had his family’s foundation on WJR AM 760 and in her blog at connected online with more than business folks from Detroit who Artists whose works land on the 10 backing his amazing Big Idea. www.crainsdetroit.com/kramer. 150 venues within three miles of traveled to see this phenomenon. most popular of the show will split But in our region, good ideas may E-mail her at [email protected].
LETTERS CONTINUED ■ From Page 6 charm,” was entirely accurate. It was fair and balanced and truthful. All those who have carefully fol- lowed this issue know that govern- ment health care will be much too expensive and not at all better than what we have today. Instead of improving health care, a gov- ernment-run system will not only stifle new treatment discoveries but will be extremely expensive, yet inferior, and will create long lines which for many will be too Graduate Degrees Offered little and too late. Please continue to educate your College of Arts, Sciences, and Letters readers as you deliver to them the Applied and Computational Mathematics (MS) Environmental Science (MS) balanced information they need so Liberal Studies (MA) that they can better understand Psychology/Health (MS) this issue. Public Administration (MPA) Phil McCafferty Boca Raton, Fla. Public Policy (MPP)
College of Business A sports stadium by Accounting (MS) any other name Business Administration (MBA) Business Administration (MBA) & Finance (MS) Editor: Business Administration (MBA) & Health Services Keith Crain, in his Sept. 28 col- Administration (MHSA from Ann Arbor) umn, “Maybe they should try Business Administration (MBA) & Industrial something different,” wonders and Systems Engineering (MSE) why Ford Motor Co. is paying $20 Finance (MS) million for naming rights for Ford Information Systems (MS) Field. The answer: At the time naming rights were offered pub- College of Engineering & licly, Bob Eaton was CEO of Computer Science Chrysler and chairman of the Automotive Systems Engineering (Ph.D.) board of Detroit Renaissance. He GRADUATE DEGREES Information Systems Engineering (Ph.D.) knew that if Chrysler put in a bid Automotive Systems Engineering (MSE) for the naming rights, Ford Motor THAT OPEN DOORS Computer Engineering (MSE) would be compelled to bid. Other- Computer and Information Science (MS) wise, the stadium would be named Electrical Engineering (MSE) Chrysler Field. Can you imagine Discover the key to secure your future as you choose from over 30 Engineering Management (MS) the Lions playing in Chrysler Masters and Doctoral degrees from the University of Michigan-Dearborn. Industrial and Systems Engineering (MSE) Field? Industrial and Systems Engineering (MSE) & Detroit Renaissance, at the Business Administration (MBA) time, was being supportive of the s 'AIN THE POWER OF A -ICHIGAN DEGREE n A DEGREE that is Information Systems and Technology (MS) effort to build the stadium. Bob RESPECTED WORLDWIDE Manufacturing Systems Engineering (MSE) Mechanical Engineering (MSE) Eaton prompted Chrysler to make classes or s %NJOY THE mEXIBILITY OF ONLINE CLASSES EVENING Software Engineering (MS) the bid, and sure enough Ford fol- a combination of both lowed with the winning bid. Keep in mind that the stadium is s -AKE THE RIGHT CONNECTIONS AND OPEN DOORS through our School of Education owned by, and was built with bond EXTENSIVE 5 - ALUMNI NETWORK OF OVER WORLDWIDE Education (Ed.D.) money from, local government. Education (MA) The money that paid for naming s 2ATED A "EST 6ALUE AMONG PUBLIC UNIVERSITIES BY +IPLINGERS Educational Leadership (MA) rights does not go to the Ford fami- Science Education (MS) ly, it is part of the revenue stream Special Education (MEd) that supports stadium operations The Teaching (MAT) and bond payments. For more information visit Degree that Makes the Michael Glusac umd.umich.edu/graduatestudies ™ Retired vice president, Chrysler Corp. Difference Former president, Detroit Renaissance Grosse Pointe Farms DBpageAD.qxd 10/2/2009 3:42 PM Page 1 20091005-NEWS--0009-NAT-CCI-CD_-- 10/2/2009 11:56 AM Page 1
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or 19 years, Crain’s Detroit with cancer research and has Business has honored the started two companies taking lab NICOLE ANTAKLI, 37 F best and brightest in South- research to commercialization. President and CEO east Michigan who have made Others travel the world selling Intraco Corp. their marks in business before their products or managing ex- Troy age 40. port deals. Crain’s 40 under 40 Class of About 300 people were nomi- Biggest achievement: Building on 2009 includes rising stars at large nated for this year’s class. the company’s foundation to cre- organizations Crain’s evaluated ate and drive profitability, and and entrepre- candidates based learning how to manage and bal- neurs finding MEET THIS YEAR’S CLASS on achievement ance that with the debt structure success with a Crain’s will host a reception to and community of the company. business niche honor this year’s class from 5-9 impact. Current goal: To become a billion- or innovation. p.m. Oct. 29 at The Reserve/Big A team of staff Rock Chophouse in Birmingham. dollar company within five years. Still others are Tickets are $60, $40 for alumni. members evaluat- working to im- ed candidates and Visit www.crainsdetroit.com Nicole Antakli stands athwart prove the opera- checked refer- /events to purchase tickets, or two very different worlds. tions and reach call (313) 446-0300. ences to develop She’s president and COO of of area nonprof- our final list. It’s Troy-based Intraco Corp., the archi- its or to improve the economic a difficult task, but this year, and tectural glass and after-market sales, marketing and distribution JUSTIN CHERFOLI, 34 conditions of the region. every year, the final list helps auto parts exporting and distribu- on its own. Managing director, One honoree is leading the fi- showcase the region’s young tion company her father founded Intraco, which expects to reach dispute advisory and forensic nancial turnaround of a major re- leaders and their brainpower, in 1971. She’s also a first-genera- $200 million in revenue this year, services group gional hospital. Another helped creativity and business savvy. tion Syrian-American proud of her recently launched a company Stout Risius Ross Inc. attract much of the business in- To see additional photos of all heritage . aimed at South American and Southfield vestment in downtown Ferndale. winners, go to www.crainsdetroit. With U.S. sanctions in place Latin American exports, and is in- Yet another is leading the way com/40s. against Syria since 2004, Antakli is creasing its business in Asia. Biggest achievement: Found- in an unusual position. Antakli also has shepherded the ing and growing a fledgling Photos by Nathan Skid/Crain’s Detroit Business “It’s part of my responsibility to company’s product diversification subgroup business into a pro- educate people” about Syria, she in the face of global competition fu- jected $2.4 million endeavor in said. Intraco was founded on the eled by online access. three cities. concept of building bridges between “The company was founded on Current goal: To further grow people and nations, peace through essentially making available to oth- the Stout Risius family law commerce. er counties North American prod- group and to help expand Un- Class of 2009 Antakli started her career 10 ucts,” she said. “The world has cle D’s New York Pizza into a years ago as Intraco’s manager of gone more global, and that’s forced regional restaurant franchise. information systems, and rose Nicole Antakli Page 10 Benjamin Miles Page 18 us to look at other products.” rapidly to her current position. Intraco St. John Providence Park Hospital It’s now shipping up to 500 con- Breaking up is hard to do — She’s orchestrated the company’s and can be harder to audit, if Shane Cerone Page 10 Daniel Milstein Page 18 growth to more than 250 global tainers overseas monthly. It also has two General Motors Co. dealer- one’s spouse owns a business. William Beaumont Hospitals Gold Star Mortgage Financial Group clients today. That might explain an ex- Intraco, which buys its goods di- ships in Syria — selling Chevy Justin Cherfoli Page 10 Jami Moore Page 19 products that have less than 10 ploding demand for the ser- rectly from manufacturers and re- vices of Justin Cherfoli’s fami- Stout Risius Ross JEM Computers percent U.S.-made parts to meet sells them overseas, acts as a sort of ly law valuation and the U.S. sanction rules. middleman to Middle Eastern mar- consulting group, part of the Arul Chinnaiyan Page 11 Dara Munson Page 19 kets for those companies, doing the — Bill Shea University of Michigan Big Brothers Big Sisters dispute advisory and forensic of Metropolitan Detroit services group at financial ad- William Cosnowski Jr. Page 11 visory firm Stout Risius Ross. Delphi Marisa Farinacci Nicely Page 20 SHANE CERONE, 38 Cherfoli, a managing direc- Starfish Family Services Senior vice president and hospital tor at the firm’s Southfield of- Jennifer Lynn Dale Page 11 director fice and practice leader of fam- Matrix Human Services Raj Patel Page 20 William Beaumont Hospitals ily law valuation, launched the Plante & Moran Royal Oak divorce-related business unit Deb Dansby Page 12 as himself and one-half of a MEDC Glenn Pavey Page 21 Stout financial analyst, mak- Biggest achievement: Helped Sterling Group Limited ing about $300,000 in the divi- Beaumont Hospitals execute cost- Angela Davison Page 12 sion’s inaugural year. J. David Posch Page 21 saving measures and get back into Amcor PET Packaging USA Revenue in 2009 is on pace to the black with net income. American Surgical Centers reach a record $2.4 million, Jonathan Dwoskin Page 13 Current goal: Further enhancing and the practice group has ex- Marcus & Millichap Susan Rafferty Page 21 patient care and aiding in develop- panded into Cleveland and SEE ment of new medical school cur- Chicago. Azzam Elder Page 13 riculum. Wayne County Wendy Robinson Page 22 “Typically we’re involved when a business is involved, so Valassis Communications William Beaumont Hospitals post- we do a valuation as part of the Matthew Farrell Page 14 ed a net loss of $214 million in 2008, Douglas Salzenstein Page 22 divorce,” he said. Core Partners due to last year’s stock market fall Honigman Miller The group’s consultants are and slumping patient volumes. “We’re trying to really engage the Mikki Gardner-Mood Page 14 retained by one or both parties Since then, it has been streamlin- staff and create systems for them to Kevin Schnieders Page 22 in a pending divorce, usually Mood Events ing its processes and services. Cost- lead these changes and be support- Educational Data Systems via a law firm referral. The cutting isn’t always easy; Beau- ive of them,” Cerone said. Omar George Page 15 group completes a forensic ac- Karriem Shakoor Page 23 mont also confirmed last month it Beaumont’s recent cost-savings Waste One Management counting or helps to craft eliminated 425 employees. strategies, which included layoffs Blue Cross Blue Shield of Mich. agreements that divide marital Paul Gieleghem Page 15 The hospital hired Shane Cerone in low-volume departments, pay cuts and elimination of unfilled po- assets and debt without the Macomb County Board Cristina Sheppard-Decius Page 23 last year to be its senior vice presi- sitions, resulted in a $10 million case proceeding to court. of Commissioners Ferndale DDA dent and COO. He was promoted savings of its $2 billion budget. The settlement rate is good. last week to hospital director. Kelly Smith Page 23 Beaumont projects 2009 net income Of the approximately 175 cases Mick Goik Page 15 “He directs this hospital and Oakwood Heritage Hospital of $12 million. this year, Cherfoli estimates 10 Crestmark Bank manages people and finances in a “Shane understands the business or fewer will require one of the Jeremy Gump Page 16 Kevin Smith Page 24 very complex organization,” said side and the human side and han- consultants to testify at a trial. Leslie Rocher, senior vice president Daimler Financial Services Miller Canfield dled this with great aplomb; people Cherfoli is also a co-owner of and medical director. “He’s brought respect that,” Rocher said. Ann Arbor-based Quattro Fratel- Mark Harper Page 16 Luke Song Page 24 in a lot of new tools to assess pro- John LaBriola, retiring hospital li Inc., the franchisor company Black Lotus Brewing Moza ductivity.” director, said Cerone “has helped us that handles franchise fees and Cerone was tasked with evaluat- accelerate our transition to becom- royalties for new locations of Timothy Swanson Page 25 Jonathan Kramer Page 17 ing the hospital’s work systems and ing more efficient and effective.” Ann Arbor-based New York Piz- Orchard, Hiltz & McCliment J.P. Morgan Chase maximizing the time its staff spends Cerone, former associate hospi- za Depot. Since 2007, Quattro with patients. Cerone and Beau- tal director at University of Iowa Fratelli has opened three fran- Ryan LaFontaine Page 17 Casandra Ulbrich Page 26 mont joined the University Health- Hospital, also will work on the de- chise locations of Uncle D’s Wayne State University LaFontaine Automotive Group System Consortium — an alliance velopment of the Oakland Universi- New York Pizza. Corey Leon Page 18 A.J. Weiner Page 26 of teaching hospitals that collabo- ty William Beaumont School of A fourth location, in Indiana, rate to maximize clinical and opera- Medicine, to open in 2011. is expected to open next year. AKT Peerless Jones Lang LaSalle tional services. — Dustin Walsh — Chad Halcom 20091005-NEWS--0010,0011-NAT-CCI-CD_-- 10/2/2009 11:39 AM Page 2
October 5, 2009 CRAIN’S DETROIT BUSINESS Page 11 40 under 40
And she implemented a grant ARUL CHINNAIYAN, 39 JENNIFER LYNN DALE, 37 management system to make sure Director Vice president of marketing grant reporting to funders is done University of Michigan Center and development in a timely manner and grants are for Translational Pathology Matrix Human Services spent appropriately. The effort has Co-founder Detroit helped to attract new grants from Compendia Bioscience, funders such as the Detroit Area Armune BioSciences Biggest achievement: Shifted Ma- Agency on Aging 1-A. Ann Arbor, Kalamazoo trix’s reliance on event and con- Dale’s efforts helped increase Ma- tract revenue to include 1,500 indi- trix’s annual fund revenue by 21 Biggest achievement: His lab dis- vidual donors. percent, bringing its revenue to covered that a majority of prostate Current goal: To attain a certified $16.5 million at the end of fiscal 2008. cancers harbor gene fusions. The fundraising executive license. Dale led the launch early this discovery has major potential for year of a five-year, $5 million capi- diagnosis and treatment. Jennifer Dale’s fundraising ca- tal campaign, an effort that will Current goal: Commercialize reer began when she was 16. fund debt pay-down, building up- technologies with a focus on diag- An avid volunteer and a mem- dates and to renovate a new admin- nostics and therapies for tumors. ber of several organizations, in- istrative headquarters and culinary cluding the Lawton Lions Club on training kitchen. biotechs.” Dr. Arul Chinnaiyan is well Michigan’s west side, she was fundraising department to having a The campaign so far has secured Compendia also helps biotech re- along toward his goal of commer- asked to help write a grant propos- very well-respected one, said CEO a little more than $570,000. searchers analyze their own data. cialization for medical innova- al seeking $50,000 to refurbish a and President Marcella Wilson. Dale also helps other Matrix Armune has raised about $1 mil- tions. In 2006, he co-founded Ann winery into a community center. After joining Matrix in 2007, Dale nonprofit partners in their grant Arbor-based Compendia Bioscience lion in angel funding and is in the The club got the grant, and Dale developed a plan to fund annual op- work by directing them to the Inc., which offers Web-based DNA process of raising its first major was hooked on fundraising. erating costs, capital improvements right organizations and people and data profiles of tumors to acade- round of venture capital to help As Matrix Human Services develop- and endowments. She also estab- by helping to review their grant mics and for-profit biotech re- the company further develop ment director, she has taken the lished a donor recruitment and com- applications. searchers. blood tests that signal the presence agency from having virtually no munications program. — Sherri Begin Welch In 2008, he co-founded Armune of cancer. BioSciences Inc., which is develop- Armune is targeting two big ing tests that use a person’s own markets first: prostate cancer and immune system to detect early- lung cancer. stage cancers. Chinnaiyan said that it is hoped Armune has a lab in Ann Arbor that Armune’s prostate test will and headquarters in Kalamazoo, sharply reduce PSA test false posi- home of its major investor, Apjohn tives. Armune also hopes to develop Ventures Fund. better tests to detect breast cancer. Compendia has 23 employees Chinnaiyan, who is an M.D. and and is on track for up to $4 million a Ph.D, has proven an able in revenue this year. fundraiser as well. Compendia has “We make the research avail- received funding from Ann Arbor able for free to academics,” Chin- Spark and the Michigan Economic naiyan said. “Where we make our Development Corp. and grants from money is selling access to the data the National Institutes of Health. to pharmaceutical companies and — Tom Henderson
WILLIAM COSNOWSKI JR., 38 Divisional counsel and litigation attorney Delphi Corp. Troy
Biggest achievement: Protecting Delphi’s intellectual property and saving the company more than $600 million in potential lawsuit li- abilities. Current goal: Launching a Web site that tracks and catalogs intel- lectual-property litigation in the automotive industry.
Earlier this decade, intellectual- property litigation between auto suppliers was a rare phenomenon. automaker and many suppliers. But today, with suppliers trying ATI argued that the defendants to edge out the competition with illegally used sensor technology de- technology in a sector with razor- veloped and patented by ATI in side thin margins, IP battles are com- impact airbag systems. Cosnowski mon and the stakes are high. advanced a unique defense — that When it comes to protecting Del- ATI’s patent was too vague and phi Corp.’s portfolio of more than shouldn’t prevent Delphi — and the Congrats to these Walsh alumni, winners of 5,000 patents, William Cosnowski rest of the industry — from using Crain’s Detroit Business 40 Under 40: leads the charge. the sensors in side impact airbags. Cosnowski, as divisional coun- But at first, it wasn’t a clear home Benjamin Miles (MBA ’03), sel for Delphi’s electronics and run. There was animosity from the is Director of the Neurosciences Services Line, safety division, is the primary liti- other defendant attorneys. gator for Delphi’s IP cases and has “There was a lot of skepticism Physical Medicine and Rehabilitation Services, successfully defended the compa- about how to accomplish the goal, St. John’s Providence Park Hospital – Novi. ny in almost a dozen patent law- and whenever you’re doing this, suits that sought a combined $600 the problem is that you make deci- Wendy Robinson (MBA ’02), million in damages. sions that could impact things that is Vice President of Strategic Sourcing, He also has won or favorably re- could happen later in the case,” Valassis Communications. solved contract disputes, product li- Cosnowski said. “A large number ability claims and warranty issues. of the defendants thought there Karriem Shakoor (BBA ’05; MBA ’06), A major victory for Delphi — was a better way to defend it.” is Senior Director of Systems Operations, and the auto industry as a whole — But the argument was presented came in 2005 in a case in which Au- to the court, and the case was ulti- Blue Cross Blue Shield of Michigan. tomotive Technologies International mately won. sued Delphi, as well as every major — Ryan Beene 20091005-NEWS--0012,0013-NAT-CCI-CD_-- 10/2/2009 11:17 AM Page 1
Page 12 CRAIN’S DETROIT BUSINESS October 5, 2009 40 under 40 That’s included selling legislators on NGELA AVISON school, Davison has cause to be thankful. DEB DANSBY, 37 changes to programs and incentives that can A D , 37 “My husband and I live a very ordinary COO benefit the state, staffing a team to assess an Associate general counsel life, and it’s wonderful.” Michigan Economic Development Corp. industry sector, doing research to make a Amcor PET Packaging USA Inc. Davison has engineered contracts with cus- Lansing compelling case to target an industry, and Ann Arbor tomers including PepsiCo, Coca-Cola, Johnson & developing an action plan. Johnson, Campbell Soup Co., Kraft Foods Inc. and Biggest achievement: Understanding eco- For example, in November 2006 an MEDC Biggest achievement: Negotiating a three- Unilever. Soon after becoming associate gener- nomic development and creating a strategy research effort that Dansby led identified the year, $100 million deal to supply plastic bot- al counsel, Davison closed a three-year, $100 that within three years has delivered major advanced battery sector as a key industry tles to a major manufacturer. million beverage company contract that had results for the state. that could leverage Michigan’s strengths. Current goal: To become the general counsel been mired in negotiations for about 18 Current goal: By the end of The MEDC then hired or chief technology officer months. The client, which 2010, completing the orga- engineers to create a of a multinational corpora- Davison said she could not nization’s three-year technical panel in that tion focused on technology. disclose, had continued op- strategic plan to diversify and other sectors and as- erating under a previous and expand Michigan’s sembled a team to help Angela Davison is contract while attorneys economy. identify federal funding proud of the multimillion- worked out issues such as opportunities. dollar contracts she crafts pricing and volume com- Deb Dansby didn’t have Out of the work came as associate general coun- mitments. much experience in econom- the concept of the Centers sel of Ann Arbor-based The success at Amcor ic development when she for Energy Excellence, in Amcor PET Packaging USA has provided stability joined the Michigan Economic which companies team Inc., but she’s just as proud Davison couldn’t dream of Development Corp. in 2005. with universities and of the obstacles she has as a child. But she brought with her other entities to re- overcome to get there. When her brother was from the Accident Fund Insur- search, develop and com- While growing up on the placed in a foster home ance Co. of America, where mercialize technologies, west side of Chicago, Davi- about 70 miles away, Davi- she was strategic affairs liai- creating industry clus- son moved more than 20 son dodged child services son, operational, financial ters. For example, Ann times because her parents officials and stayed in and strategic planning ex- Arbor-based Sakti3 is es- couldn’t maintain steady Chicago. In high school, pertise. And she’s parlayed tablishing a center fo- jobs and were frequently she slept in various places that into MEDC direction. cused on next-generation evicted. When her parents so she could continue Day to day, Dansby oversees internal oper- lithium battery technologies and processes. lost custody of their kids, Davison spent studying. She achieved a full college scholar- ations such as finance, human resources, IT Dansby and others at the MEDC worked several years homeless while finishing high ship at the University of Nevada-Las Vegas. and customer relations. She is the MEDC’s with the Legislature and governor’s office to school. After earning her law degree and working primary liaison with the governor’s office, create an unprecedented $800 million in tax Education was her way out. With degrees as a patent attorney, she landed at Amcor. and she oversees the team that puts together credits for the advanced battery industry. in engineering and law, she has found suc- Davison hopes to join the board of direc- incentive offers for prospective projects. Projects headed to Michigan as a result cess working for Amcor PET, a subsidiary of tors of the Sterling, Va.-based Orphan Foun- Dansby also is responsible for developing include General Motors Co.’s battery-pack pro- Melbourne, Australia-based packaging con- dation of America, for which she volunteers and executing the MEDC’s strategic plan and duction for the Chevrolet Volt, and four cell glomerate Amcor Ltd. and the world’s largest as a legal adviser and mentor to teenagers. making sure that units within the organiza- manufacturers — all of which received state maker of PET plastic bottles, the common “There’s a little something special that I tion stay aligned to goals. tax credits and in turn won a combined near- name for polyethylene terephthalate. add because I can say, ‘Look, I was there too. I “My job is really to ensure that the road- ly $967 million in federal grant assistance. Considering that less than a quarter of know how hard it is, but it can be done.’” blocks are moved,” Dansby said. — Amy Lane homeless children graduate from high — Gabe Nelson
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