DETROIT BUSINESS MAIN 01-14-08 A 1 CDB 1/11/2008 6:49 PM Page 1

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http://www.crainsdetroit.com Vol. 24, No. 2 JANUARY 14 – 20, 2008 $2 a copy; $59 a year

©Entire contents copyright 2008 by Crain Communications Inc. All rights reserved THIS JUST IN 2007 Huron Capital ends year Cobo may be with flurry of deals Newsmaker Detroit-based Huron Capi- tal Partners L.L.C. will an- nounce Monday it closed of the Year five deals in December, capping its busiest year ever. It made four acquisi- Ron Gettelfinger honored tions in the month and sold tax-free zone one company. For the year, it had 12 acquisitions and for historic labor agreement three divestitures totaling $225 million, according to hen 2007 began, one question loomed over State may give $150M for expansion managing director Brian the auto industry: Could the United Auto Demkowicz. W Workers and the Detroit 3 reach new labor BY DANIEL DUGGAN Oakland County exec- In December, Huron ac- agreements and avoid crippling strikes that would CRAIN’S DETROIT BUSINESS utive, said it’s his un- quired a controlling inter- derstanding that est in Livonia-based Michi- further damage Michigan’s ailing economy? A package of legislation is expected to Granholm’s office will gan Orthopedic Services The answer, fortunately, was yes. be announced at the North American Inter- find $150 million in L.L.C. It also bought NSO The parties negotiated ground- national Auto Show this week aimed at ad- state funding for the Press Inc. of Denver for a vancing efforts to renovate and expand breaking contracts that provided plan. See This Just In, Page 2 Cobo Center. “We’ve been asking for the UAW to take over Sweetening the deal will be a plan for for the state to be at responsibility for retiree health “tax-free zones” extended to Michigan the table since the convention centers in which exhibitors care from the automakers, two- Ficano spring of 2003, so it’s tier wage structures and other can sell products to consumers without great that they’re in- charging sales tax. LAST CALL FOR ENTRIES agreements that together are volved,” he said. “That mitigates a lot of Boats, electronics — and possibly au- other sins.” Involved in a merger or expected to save automakers tomobiles — are included in the mea- The legislation will include the cre- acquisition in 2007? Ron Gettelfinger $1,000 a car by 2010. sure, giving the region a heavy-duty tool ation of a regional authority of govern- You may be eligible for the to recruit new shows. ment bodies, which will own and operate first Crain’s M&A Awards And while several UAW executives played key roles, “We’ll be able to draw new shows to Cobo, and a seven-year extension of the competition. UAW President Ron Gettelfinger was in charge. the state, where nine times out of 10 we current hotel and liquor tax. Crain’s For helping to make the automakers, and ultimately weren’t getting those shows before,” said Along with the legislation, Ficano will Detroit Michigan, more competitive, Ron Gettelfinger has Wayne County Executive Robert Ficano, roll out details of his latest expansion Business is who is pushing the plan. working with been selected as Crain’s Newsmaker of the Year plan, which differs from the last proposal Ficano announced the tax-free zone in the Detroit for 2007. by Oakland County Executive L. Brooks chapter of February last year but now may have Patterson. the See stories, Page 20. gained support from Gov. Jennifer Association for Corporate Granholm. Robert Daddow, assistant See Cobo, Page 18 Growth to honor companies and individuals in the following categories: Best Deal of the Year — Three awards: Up to $25 million in value; more than $25 million-$100 million; and more than $100 million. War economics Deal Maker of the Year — M&A experts, lenders, CPAs, consultants and attorneys, Defense supply industry growing among others, are eligible. Entries may be for individuals BY CHAD HALCOM stuff we supply is to replace a part or firms. CRAIN’S DETROIT BUSINESS on a piece of equipment that may Lifetime Achievement — have been damaged or broken in the Senior-level executive who has An industry that helps fight the field, like in Iraq or Afghanistan.” been involved in significant nation’s wars will also help put a lit- transactions and made a Coordinated Defense has grown tle fight back into Southeast Michi- significant impact on the from two workers — Jozefiak and community. gan’s job market during 2008. partner Jim Dial — when it opened Best Minority/Woman For Clinton Township-based Coor- in March 2006 to 10 full-time employ- Enterprise Deal dinated Defense Supply Systems Inc., ees as of this month, and Jozefiak Applications for the M&A awards troop deployment in Iraq and expects to do more hiring. The com- can be found at www. Afghanistan has been a contribut- pany handles distribution and crainsdetroit.com/nominate. ing factor to growth since its launch makes some specialized parts — like The deadline for entering is two years ago. President Michael wiring harnesses and armor compo- Thursday. Winners will be Jozefiak IV estimates the company nents — on a requisition basis for announced at a March 13 has done $1 million or so in revenue the military. reception and strolling dinner at since last March. Also increasing its local presence JOHN F. MARTIN the Troy Marriott and profiled in is BAE Systems Inc., the Rockville, an edition of Crain’s. “The war has played a large part Michael Jozefiak IV has seen his company grow from two workers to 10 since in our business,” he said. “A lot of See Defense, Page 19 it opened in March 2006, and he expects it to continue to grow.

Chinese automakers at Business groups target tax NAIAS, Page 8; suppliers’ surcharge, Page 3

NEWSPAPER plans for show, Page 3 DETROIT BUSINESS MAIN 01-14-08 A 2 CDB 1/11/2008 6:50 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS January 14, 2008

velopment Group, which is devel- and which is currently investi- Jewish Fund contributes Skid, 25, is a recent graduate of THIS JUST IN oping the site, said his company gating a possible public offering. the University of Missouri School of plans to demolish the Kmart — Tom Henderson to hospital campaign Journalism with a degree in con- ■ From Page 1 building in April and begin con- The Jewish Fund said it made a $2 vergence jour- struction midsummer. The com- Venture fund investments million grant to DMC Sinai Grace nalism. The portfolio company it bought in pany will recycle or salvage up to Hospital to support the silent phase newly created July, TouchPoint Print Solutions Corp. 50 percent of the Kmart building include Ann Arbor company of its $25 million capital campaign program com- of Chicago. Huron also bought two materials. The Pavilions and the to build a new emergency medi- bines radio, transportation companies in the transit center at Maple and Credit Suisse will announce television, Monday that it has approved two cine facility. southeastern U.S and sold Califor- Coolidge are to be built by 2010. The hospital expects to begin print and the nia-based Guest Technologies L.L.C., — Chad Halcom more investments from the $95 Web. million Venture Michigan Fund, construction on the 50,000-square- which sells radio frequency soft- foot expansion within 18 months, For Crain’s, ware and services. which it manages, in Ann Arbor- Skid will com- Vines joins Compuware 2.0 based RPM Ventures L.L.C. and said Katie Spillane-Knight, vice pres- —Tom Henderson ident of development. bine his talents Jason Vines, 47, who left his po- Louisville, Ky.-based Chrysalis Skid to add photog- Ventures L.L.C. Sinai Grace is working with sition as vice president of com- Farmington Hills-based HKS Archi- raphy, sound, and video to our Troy considers streetcar route The amount of the investments munications for Chrysler L.L.C. in tects P.C. on the project. Web site, www.crainsdetroit.com. will not be disclosed, but the pre- A possible bus or streetcar December, will join Detroit-based — Sherri Begin Skid is a native of St. Louis, Mo. route between the redevelopment Compuware Corp. on Jan. 21 in the vious five investments have been His college class was only the sec- at the former Kmart Corp. head- newly created post of senior vice for either up to $7.5 million or up Multimedia reporter joins Crain’s ond to ever graduate from the quarters and a Troy regional president, Compuware 2.0. to $10 million. convergence journalism pro- Mark Weiser, RPM’s managing transit center near the edge of When asked what the “2.0” re- Nathan Skid has joined Crain’s De- gram. director, confirmed that the mon- Birmingham is being discussed ferred to, Vines said: “You’ll troit Business as multimedia re- He can be reached (313) 446-1654 ey will go toward a new fund the porter. by Troy officials. know more about that in a couple or at [email protected]. firm is raising, which is expected A formal proposal for such a of months. Not to be coy, but we’ll to be at least $75 million. service could be months or even have some announcements in the The new fund has already in- CORRECTIONS years away, said Troy Assistant next couple of months regarding vested in six companies, three Ⅲ An incorrect age was given for Walter Richburg in a Jan. 7 obituary. City Manager Brian Murphy. The where Compuware is going.” with Michigan ties — Ann Arbor- He was 84. concept is proposed for sometime A press release from Com- based Arbor Photonics Inc., Quan- Ⅲ An article on Page 121 of the Crain’s Book of Lists published Dec. 31 after 2010. puware said Vines will be in- tum Learning Technologies Inc., and incorrectly stated that University of Michigan researcher Arul Chinnaiyan Murphy, one of the attendees volved in all internal and exter- Mobius Microsystems Inc. conducted prostate cancer research with a team from Harvard Universi- Friday at the Troy Chamber 2008 nal communications, investor Credit Suisse’s New York- ty’s Brigham and Women’s Hospital. The article should have said that Annual Meeting, confirmed the relations and government affairs, based Customized Fund Invest- Chinnaiyan and a UM team conducted the research, and the Harvard city has had discussions with the and will work closely with Com- ment Group manages both the hospital validated it. Suburban Mobility Authority for Re- puware’s Chairman and CEO, Pe- Ⅲ VMF and the state’s $109 million Last week’s issue was incorrectly dated on the front page and gional Transportation and with De- ter Karmanos Jr., to continue should have read Jan. 7-13. 21st Century Investment Fund. troit Regional Mass Transit CEO downtown Detroit revitalization. Ⅲ A story on Page 2 of the Jan. 7 edition should have indicated that a John Hertel about a mass transit Vines said he will also be in- Koleman Karleski, a managing di- 1,700-unit student housing development at the corner of South Forest route between the sites. volved with Covisint, a Com- rector at Chrysalis, said the firm and South University avenues in Ann Arbor will be adjacent to the Hunter Richardson, president of puware subsidiary that began in will open an Ann Arbor office. University of Michigan campus. A press release provided to Crain’s Reston, Va.-based Richardson De- 2000 as a venture of the Detroit 3 — Tom Henderson incorrectly stated the project would be on the U-M’s central campus. DETROIT BUSINESS MAIN 01-14-08 A 3 CDB 1/11/2008 7:16 PM Page 1

January 14, 2008 CRAIN’S DETROIT BUSINESS Page 3 CRAIN’S MBT surcharge targeted INDEX Intersecting the surcharge, said Jared Rodriguez, ideas: Southfield’s Critics look for ways to trim state budget vice president of public policy and mayor, developers look to government affairs. create a city center. BY AMY LANE Manufacturers Association, told law- end the defined benefits system for The chamber is looking at steps Page 5. CAPITOL CORRESPONDENT makers last year that while the sur- new teachers in Michigan public Oregon took to prioritize Medicaid Cash charge provided the best and fastest schools and move those teachers to a spending by medical diagnoses and leader: LANSING – The nearly 22 percent way for the state to avoid the Dec. 1 defined contribution system. procedures or treatments. Mitt surcharge that was tacked onto the start of the service tax, he would lat- Changing a 1969 state law that “We need to go away from the cur- Romney Michigan Business Tax late last year er return to press for its rollback. mandates binding arbitration for po- rent model in Michigan, which is to wins state is again becoming a target — this fundraising “It was the lesser of two evils. It lice and fire union contract disputes, determine eligibility based on in- time, for reduction or repeal. wasn’t that we wanted to have it. But and measures that increase the abili- derby. comes,” Rodriguez said. He said the Page 4. Business groups that supported we had to get rid of the service tax ty of local governments to consoli- chamber plans to seek bids for a study Romney the surcharge as a means to kill the because of what that meant for our date services, are additional areas to look at the outcome and potential To the WiMax: Companies widely unpopular tax on services are members,” Hadden said. the MMA is eyeing. savings of an Oregon-type change in beefing up, speeding up now looking at ways the state could “There are savings that can come At the Grand Rapids Area Chamber of Michigan’s system, while still achiev- afford to lessen or eliminate the 21.99 out of government, and that should Commerce, Medicaid reform is a con- wireless networks. ing the chamber’s goal of increasing Page 11. percent MBT. go toward reducing the surcharge.” tinuing focus and one of the ways the the number of insured individuals. Chuck Hadden, vice president of The MMA sees one potential area state could find savings to lessen New direction: KeyBank scraps expansion plan for government affairs for the Michigan of savings in legislation that would businesses’ tax burden, including See Tax, Page 18 metro Detroit. Page 21.

These organizations appear in this week’s Crain’s Detroit Business: 2008 North American International Auto Show Ashley Capital ...... 21 Troy real estate: AT&T ...... 11 Axiom Graphics Inc...... 19 BAE Systems ...... 1 Brogan & Partners Convergence Industrial good, Marketing...... 20 BYD Auto Co...... 8 CB Richard Ellis ...... 3 Changfeng Motor Group ...... 8 office weak Chamco ...... 8 Coordinated Defense Supply Systems ...... 1 BY DANIEL DUGGAN Democratic National Committee . 4 CRAIN’S DETROIT BUSINESS Denso International America . . 21 The end of 2007 brought good news and bad news for Detroit Auto Dealers Association 8 the Troy real estate market. Detroit Regional Chamber . . . . . 3 While the Troy industrial market near John R from Enlighten Inc...... 13 14 Mile to Big Beaver roads emerged as a bright spot Federal-Mogul Corp...... 21 for Southeast Michigan, the city continued to bleed of- ePrize L.L.C...... 13 fice space, hitting a vacancy rate of almost 30 percent. ExhibitWorks Inc...... 9 Driving demand in the industrial market is new- Ford Motor Co...... 9 found confidence following the resolution of the state Friedman Real Estate Group . . . 21 WIECK PHOTO budget and the United Auto The overhead console for the Chrysler Town & Country is one of several interior features that Geely International ...... 8 International Automotive Components Group will promote at the auto show. Workers talks paving the way for corporate expan- General Motors Corp...... 9 sions. Google Inc...... 11 9% Grubb and Ellis ...... 3 “Once the UAW con- The increase in Troy’s tracts were ratified, you IAC Group ...... 3, 20 office vacancy rate. saw a lot of new business H.B. Stubbs Cos ...... 21 Supplier strategies It slid from 26.2% in released to suppliers and Johnson Controls Inc...... 21 the third quarter to smaller manufacturers,” KeyBank Michigan ...... 4 28.6% in the fourth said Lauren Scarpace, a Lipari Foods Inc...... 21 IAC plans to showcase products; others stay low-key quarter despite small senior associate in the Michelin North America ...... 21 leases and Southfield office of CB Michigan Manufacturers Assoc. . 3 expansions. Richard Ellis. Motor City Interactive ...... 13 BY BRENT SNAVELY are going to be displayed where we have ex- Troy, he said, played a Plastech Engineered Products . 21 CRAIN’S DETROIT BUSINESS tensive content.” large role in leasing and RCO Engineering ...... 20 Formed in April, IAC Group has about $6 sales activity along the I-75 corridor, the area between For International Automotive Components billion in annual sales. The company is a glob- I-696 and Lapeer Road. CBRE reported 1 million square Rossetti Architects ...... 5 Group North America Inc., the De- al interiors supplier assembled by feet of lease and sale activity for the quarter. Siemens Lifecycle Software . . . 21 troit auto show is an opportunity Biz groups promote financier Wilbur Ross through sev- A 23,000-square-foot building at Sprint Nextel Corp...... 11 for the young multibillion-dollar region to Chinese eral acquisitions. Mostly it is a 750 Chicago Road in Troy had been Verizon Wireless ...... 11 supplier to raise its profile. combination of Lear Corp.’s former vacant for four years and was leased ZF Group ...... 20 While the public part of the automakers. interiors division and various divi- in December, along with a 27,000- North American International Auto Pages 8 and 9. sions of Collins & Aikman Corp. square-foot building at 800 Chicago Show doesn’t start until Saturday, But IAC Group is one of just a Road that had been vacant for one BANKRUPTCIES ...... 4 press conferences began Sunday handful of suppliers seeking to year, said Larry Emmons, regional BRIEFLY...... 17 director in the Southfield office of BUSINESS DIARY...... 14 and are followed by several industry days. make a big impression next week. Most sup- First Industrial Realty Trust, which CLASSIFIED ADS ...... 16 On Wednesday, Dearborn-based IAC Group pliers take a low-key, behind the scenes ap- owns the buildings. KEITH CRAIN ...... 6 North America plans to give automotive jour- proach, ensuring that cars — and not the com- International Automotive Compo- LETTERS ...... 6 nalists a tour of the show floor at Cobo Center ponents used to assemble them — are the Scarpace nents Group North America Inc. filled OPINION...... 6 and point out vehicles that feature interiors stars of the show. both buildings. CB Richard Ellis brokered the deal at OTHER VOICES ...... 7 made by the company. Out of 39 scheduled press conferences, just 750 Chicago Road and Grubb & Ellis did the deal at 800 PEOPLE ...... 15 Chicago Road. IAC Group also plans to display its technol- four are planned by suppliers while the ma- RUMBLINGS ...... 22 “We’re pleased because for a long time we didn’t ogy to the press and industry contacts at the jority of the rest are planned by automakers. WEEK IN REVIEW ...... 22 Sheraton Detroit Riverside, formerly the Ladd, who previously worked for Siemens VDO even have showings on those buildings,” Emmons said. “And there are other buildings like that, where Pontchartrain. Automotive Corp., said many suppliers are re- there haven’t been showings for a long time and now “We are probably the biggest company luctant to seek the spotlight at the auto show. people are looking at them and even leasing space.” you’ve never heard of,” said Dave Ladd, exec- “This show is for our customers, it’s about The industrial vacancy rate in southeast Oakland CALENDAR utive director of marketing and communica- our customers’ products,” he said. County went from 12.3 percent to 11.2 percent between For a list of current tions for IAC Group. “What we want to do is Federal-Mogul Corp., for example, plans to events, visit www.crainsdetroit.com. sort of identify four or five key vehicles that See Suppliers, Page 21 See Troy, Page 21 DETROIT BUSINESS MAIN 01-14-08 A 4 CDB 1/11/2008 6:39 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS January 14, 2008 Mitt Romney leads state fundraising derby; McCain next

BY ROBERT ANKENY Ann Nicholson, $6,900 each. CRAIN’S DETROIT BUSINESS RUN FOR THE MONEY Robert Schostak, partner, Schostak Bros. & Co., $2,300. Republican presidential hope- Federal Elections Commission ful Mitt Romney is the early fa- data show Michigan contributors vorite of Michigan campaign con- donated $5,037,406 to Hillary Clinton The Capitol Hill Summit presidential candidates in the first The Capitol Hill Summit will bring together environmental and waste tributors in Tuesday’s Brian Hermelin, owner, Rock- presidential primary election. nine months of 2007. Republicans executives from corporations both large and small, as well as companies received $3,514,313; Democrats, Bridge Equity L.L.C., and Doreen Her- Romney, a Michigan native, ex- that provide environmental services to corporate America. This conference $1,523,093. The breakdown by melin, investor, $6,900 each. will address all waste streams – solid waste, hazardous waste, wastewater governor of Massachusetts and the candidate included: Heidi Jacobus, CEO, Cybernet son of one-time Systems, $2,300. and air pollution. Focus issues will range from regulatory concerns about Mitt Romney (R) $1,885,647 greenhouse gas to emerging developments affecting recycling and reuse of American Motors Kathleen Ligocki, former CEO, waste and industry by-products. Corp. president John McCain (R) $949,942 Tower Automotive Inc., $4,600. and former Hillary Clinton (D) $608,430 The Capitol Hill Summit will bring the latest information about environmental Michigan Gov. regulation and legislation to stakeholders nationwide. Drawing on the George Romney, Barack Obama (D) $514,122 Barack Obama experience of industry experts, the conference will provide opportunities to garnered almost Rudy Giuliani (R) $454,833 Gilbert Silverman, CEO, Silver- be a part of interactive sessions with local, state and federal government and $1.9 million, man Cos., $2,300. John Edwards (D) $294,134 regulatory leaders. Featured speakers will discuss not only what's happening more than half Trudy DunCombe Archer, retired in Congress and at the Environmental Protection Agency, but how it will of all the money Ron Paul (R) $100,586 judge, $2,300. affect public and private sector day-to-day operations. donated to GOP Romney Fred Thompson (R) $37,363 Melvin Farr, owner, Triple M Ac- candidates by ceptance Corp., $2,300. Who Should Attend Michigan donors through Sept. 30, Mike Huckabee (R) $8,521 • Environmental Executives • Executives at Waste Management 2007. Sources: www.fec.gov, Rudy Giuliani at Fortune 500 Companies and Recycling Companies Romney’s take, as reported to www.opensecrets.org • Compliance Officers • Attorneys the Federal Election Commission for Matthew Cullen, general man- • Federal and State • Consultants that period, exceeds Michigan con- Staffing Solutions, $2,300. ager, General Motors Corp., $2,300. Legislators/Regulators • Association Leaders tributions to all Democratic candi- Jeff Sakwa, president, Noble Re- Ilitch family members Michael, • Municipal Leaders dates (about $1.5 million) by al- alty, $2,300. Marian, Christopher, Kelle, Atanas, most 20 percent. Richard E. Dauch, CEO, Ameri- and Patricia, $2,300 each. Corporate Sponsorships Available Fundraising for the Democrats can Axle & Manufacturing, $2,300; Roger Penske, chairman, Contact Ted Mathews at (330) 865-6175 or [email protected]. may have been adversely affected Sandra Dauch, self-employed prop- Penske Corp., $2,300. by the fact that of major Democrat- For inquiries about speakers or the program, contact Tracy Treon at Waste erty manager, $2,300. ic candidates, only Hillary Clinton News’ partner for the event, the law firm Porter Wright Morris & Arthur LLP, at Alfred Taubman, retired devel- will appear on Tuesday’s ballot. Other donations (614) 227-1930 or [email protected]. To learn more about Porter oper, $2,300. Most other candidates, includ- Wright Morris & Arthur LLP, visit www.porterwright.com Anthony Soave, Soave Enterpris- Former U.S. Sen. Spencer Abra- ing Barack Obama and John Ed- es, $2,300. (Also gave $2,300 to Clin- ham, $2,400 to Republican Fred wards, withdrew after the Democ- Register Online Today: www.capitolhillsummit.com ton.) Thompson. ratic National Committee voted in Peter Secchia, chairman emer- ©Crain Communications, Inc. 2007 December to strip Michigan of all John McCain itus of Universal Forest Products Inc., 156 of its delegates to the national convention in Denver Aug. 25-28. John Krasula, president, Trusti- $2,300 each to McCain, Romney The move was aimed at punish- nus L.L.C., $6,900. and Giuliani. ing Michigan for scheduling its Robert Liggett, chairman, Thomas Celani, owner, Luna En- presidential primary prior to Feb. Liggett Co., and Victoria Liggett, tertainment and MotorCity Harley 5, a violation of party rules that $6,900 each. Davidson, $2,300 each to Giuliani, prohibit states other than Iowa, Alphonse Lucarelli, retired McCain and Romney. His wife, New Hampshire, Nevada and managing partner, Ernst & Young, Vicki, $2,300 each to McCain and South Carolina from such early $6,900. Giuliani. contests. James Nicholson, CEO and Robert Ankeny: (313) 446-0404; The following sample is taken president, PVS Chemicals Inc., and [email protected] from FEC data of Southeast Michi- gan business contributors to the leading presidential candidates. STREET TALK Mitt Romney THIS WEEK’S STOCK TOTALS: 22 GAINERS, 45 LOSERS, 6 UNCHANGED A.M. Kiriluk II, Kirco Manage- 1/11 1/04 PERCENT ment Services, $4,200. CDB’S TOP PERFORMERS CLOSE CLOSE CHANGE Bob Page, Page Toyota, $2,300. Cynthia Pasky, CEO, Strategic 1. Amerigon Inc $17.50 $16.38 6.84 2. Comerica Inc 42.38 39.92 6.16 3. Taubman Centers Inc 46.78 44.79 4.44 4. PSB Group Inc 9.25 8.90 3.93 5. FNBH Bancorp Inc 13.50 13.00 3.85 6. Caraco Pharmaceutical 16.79 16.25 3.32 7. DTE Energy Co 44.30 43.00 3.02 BANKRUPTCIES 8. American Axle & Manufacturing 16.77 16.28 3.01 9. Agree Realty Corp 28.20 27.60 2.17 The following businesses filed for 10. Champion Enterprises Inc 8.12 8.01 1.37 Chapter 7 or 11 protection in U.S. Bankruptcy Court in Detroit Jan. 4-10. 1/11 1/04 PERCENT CDB’S LOW PERFORMERS CLOSE CLOSE CHANGE Under Chapter 11, a company files for reorganization. Chapter 7 involves to- 1. Dearborn Bancorp Inc. $5.48 $6.75 -18.82 tal liquidation. 2. Syntel Inc. 28.14 33.80 -16.75 Bison Plumbing Inc., 8350 Fairfax 3. TechTeam Global Inc. 9.65 11.57 -16.60 Drive, Sterling Heights, voluntary 4. Kaydon Corp. 44.06 51.15 -13.86 Chapter 11. Assets: $311,146. Liabili- ties: $459,700. 5. Community Central Bank Corp. 5.75 6.54 -12.08 First Mercury Financial Corp. 20.75 23.52 -11.78 www.crainsdetroit.com/lists Delmar Restaurant Inc., 1307 E. 11 6. Mile Road, Royal Oak, voluntary 7. Michigan Heritage Bancorp Inc. 5.20 5.85 -11.11 Chapter 11. Assets and liabilities not 8. Noble International Ltd. 13.10 14.70 -10.88 available. 9. Energy Conversion Devices Inc. 27.58 30.50 -9.57 Williams Home Service Inc., 13051 E. 10. Perceptron Inc. 9.60 10.56 -9.09 Austin Road, Manchester, voluntary Source: Bloomberg News. From a list of publicly owned companies with headquarters Chapter 7. Assets: $50. Liabilities: in Wayne, Oakland, Macomb, Washtenaw or Livingston counties. Note: Stocks trading $41,919. at less than $5 are not included. — Compiled By Jonathan Eppley DETROIT BUSINESS MAIN 01-14-08 A 5 CDB 1/11/2008 4:04 PM Page 1

January 14, 2008 CRAIN’S DETROIT BUSINESS Page 5 Southfield ponders city center Companies sought for

BY DANIEL DUGGAN CRAIN’S DETROIT BUSINESS Mideast trade mission Amid slow economic times, Southfield’s mayor has joined ROPOSED BY SHEENA HARRISON businesses, since more than two- forces with a coalition of the re- P CRAIN’S DETROIT BUSINESS thirds of U.S. exporters have few- gion’s most active developers to er than 20 employees, according SOUTHFIELD The U.S. Commercial Service and craft a long-range plan for a down- Cultural building to the export assistance center. East Michigan District Export town area. CITY CENTER the The trade mission has drawn The developers are pitching a Council, branches of the U.S. De- the interest of companies such as plan to redevelop the intersection partment of Commerce, are seek- Aqaba Technologies, a search-en- of Evergreen Road and Civic Cen- ing 14 small to midsize business- gine marketing and Web strategy ter Drive into a walkable town cen- Farmers’ market es to participate in a trade firm based in Sterling Heights. ter. Along with street-level retail, mission to Qatar and the United The company has five employees Mixed use Ice arena/ office and residential on the upper Arab Emirates March 21-28. in Michigan and more than 40 in fountain floors, the town center would in- Several local organizations are Pune, India. clude a landscaped courtyard with partners in the trade mission, in- President and CEO Ramsey seating and fountains. cluding Automation Alley, the Amer- Sweis said his company has been Matt Rossetti, president of ican Arab Chamber of Commerce, the interested in expanding its busi- Southfield-based Rossetti Archi- Detroit Regional Economic Partner- ness in the Middle East, and be- tects, presented the plan last week ship and the World Trade Center De- lieves the trade mission would to Southfield’s decision-makers on Landscaped Seating area troit/Windsor. The trip also is open make it easier to establish credi- behalf of the City Center Advisory park to Ohio companies. ble leads in the region. Board, a nine-member panel made The trade mission aims to help “Working with the (U.S.) De- up largely of developers who have Existing local businesses sell goods and partment of Commerce is going apartment an interest in Southfield. services in the Middle East, said to help eliminate any potential “This city has been blessed for Mixed use Richard Corson, executive secre- hazards that we would otherwise the first 50 years, but we’ll have to tary of the export council and di- be exposed to,” he said. work hard to be just as prosperous rector of the U.S. Export Assistance Ned Fawaz, CEO of Energy Inter- for the next 50 years,” said Doug Center in Pontiac. national Corp., said the trade mis- Etkin, chairman of the advisory ROSSETTI ARCHITECTS Industries to be represented in This plan from Rossetti Architects shows changes proposed for the area sion is especially important in board and prin- the trade mission include med- surrounding Evergreen Road and Civic Center Drive. City Hall is just fostering business relationships cipal with the ical equipment and services, in- Southfield- northeast of the Cultural Building, and Southfield Town Center is southwest and goodwill between the Middle of the development. formation technology, legal ser- East and Michigan. based real estate vices, and energy conservation The cost of the trade mission is company Etkin and renewable energy. $6,995 per person, which includes Equities Inc. as the creation of a road to encircle With very little development Trade mission partners will Rossetti’s the development area. The city happening, now is the time to plan, try to accommodate small busi- airfare, hotel, business meetings, study was paid would eventually need to move City Lawrence said. nesses that do not fit into those ground transportation and mis- for by the advi- Hall and also pay for streetscape im- “It’s a bad phrase, but it’s true; categories, Corson said. cellaneous expenses. The dead- sory board as provements with amenities such as you plan when there’s blood in the Qatar and the United Arab Emi- line to register is Feb. 29. Etkin the foundation trees and lighting. streets,” she said. “There’s noth- rates have booming economies For more information, contact for future devel- One possibility is the use of a tax- ing much happening, so we can get that offer a growing number of op- Corson’s office at (248) 975-9604 or opment of 170 acres of city-owned increment financing district for the the creative juices going.” portunities for American busi- at [email protected]. property and the surrounding pri- area and the creation of a new Daniel Duggan: (313) 446-0414; nesses, Corson said. Sheena Harrison: (313) 446- vate property along the Lodge downtown development authority. [email protected] That’s especially true for small 0325, [email protected] Freeway and I-696. The board also includes South- field-based Redico, Southfield- based Schostak Bros. & Co., Bloom- field Hills-based Kojaian Management Corp., Troy-based Kir- At McDonald Hopkins, we have co Realty and Development Ltd., teams of experienced attorneys Bloomfield Hills-based Pomeroy In- Attorneys vestment Corp. and New York-based who are driven to help automotive Blackstone Group. suppliers at every level with all of Mayor Brenda Lawrence said your legal issues. Whether you that if one company or developer confront supply chain issues, came up with a plan, it would not who are driven... have the same potential. purchase order negotiations, labor “These are some very powerful concerns, intellectual property players that we have at the table,” issues, capital needs, litigation, she said. “They’re all very much complex restructuring, creditor vested in this city, they know their stuff and they have their own representation, or the pocketbooks.” sale/purchase of a business, we Nik Banda, Southfield’s plan- have the expertise to steer you ning director, said there is no spe- cific development currently being down the right road. considered for the area, but there McDonald Hopkins can help you are several that may come to light soon that would work into the navigate the most challenging overall framework. business roadblocks with “If any development is going to innovative and practical legal take place, it should be a coordi- solutions. nated effort that includes the en- tire area,” he said. Banda said this project is differ- ent from other “downtown” plans 39533 Woodward Avenue, for Southfield because it focuses Suite 318 on the long term and urges private developers to fill in the pieces over Bloomfield Hills, MI 48304 time. With a daytime working popula- Stephen M. Gross tion of 175,000 people and 26 mil- Office Managing Member lion square feet of office space, 248.646.5070 Southfield is the logical place to have such a project, Banda said. Chicago • Cleveland • Columbus The next step is to consider a fi- www.mcdonaldhopkins.com nancing structure for improve- Detroit • West Palm Beach ments the city would pay for, such DETROIT BUSINESS MAIN 01-14-08 A 6 CDB 1/11/2008 5:26 PM Page 1

Page 6 CRAIN’S DETROIT BUSINESS January 14, 2008 OPINION State of the State must give answers et the games begin! As Amy Lane reports on Page 3, several business or- L ganizations are mobilizing to remove or reduce the 22 percent surcharge on the Michigan Business Tax that they largely supported mere weeks ago in order to eliminate the short-lived tax on services. It’s one more example of how far we’ve moved from at least attempting to govern to policy or public-service objectives, and instead have moved into an arena of letting the lobbyists duke it out. Lobbying always plays a part, of course, but last year’s free-for-alls on the budget and taxes seemed to devolve into an abdication of political leadership, especially from the gover- nor’s office. It’s also what opponents of term limits said would happen with a less-experienced Legislature. The business associations involved are trying to be good stewards. They are looking for ways to pay for cuts by finding specific ways to save money in the budget instead of simply citing “waste.” Possibilities include changes in pension bene- fits for teachers, cost-cutting in the corrections system and Medicaid reform. LETTERS Any or all of those may be good ideas, but we can’t help but wonder where Gov. Granholm will be in all of this. Does she have an executable plan for the remainder of her term that State should tackle its debt moves beyond reacting to moving events? What does she want her legacy to be? Editor: sary to achieve intergenerational Crain’s Detroit Business We hope to hear some of the answers to these questions in I read with great interest Keith fiscal equity. welcomes letters to the editor. her Jan. 29 State of the Sate address. Crain’s Dec. 3 column expressing I also have decided that our only All letters will be considered for hope to stop the fiscal insanity at his dismay that Michigan’s 2007-08 publication, provided they are budget is up $600 million from the signed and do not defame all levels of government and to UAW chief led the way in ’07 2006-07 cost to run the state. individuals or organizations. avoid an intergenerational war is Sadly, absent “real” cost reduc- Letters may be edited for length to get Generation X and Genera- tion Y on board — as it is them Naming Ron Gettelfinger our Newsmaker of the Year for tions, this budget increase, though and clarity. disturbing, is too small if the state that today’s “leaders” are sending 2007 was a relatively easy decision. Write: Editor, Crain’s Detroit does not want to bankrupt future Business, 1155 Gratiot Ave., into the fiscal abyss. Although there were some very notable accomplishments generations of taxpayers. If Gov. Detroit, MI 48207-2997. I recently sent my Gen X and Gen Y contacts a letter urging among our other nine newsmakers as outlined in our Jan. 7 is- Jennifer Granholm and her band E-mail: [email protected] sue, Gettelfinger rose to the top because this year’s UAW labor of cowards had any interest in be- them to insist on policies for gov- ing honest and forthright with ernment employees that prevent agreements help the Detroit 3 cut costs — by perhaps as much debt, the state is sending an ever- Michigan’s citizens, the cost in- retirement before age 62 at the as $1,000 a vehicle — and put the industry in a position to be bigger and ever-more unafford- crease would have been $2.8 bil- youngest and that the Social Secu- more competitive in the future. lion. The additional $2.2 billion is able debt to Michigan’s future tax- rity retirement age be raised to 72. The agreements were not without risk. The UAW agreed to the annual amount needed to payers. Unfortunately, most in my take over responsibility for retiree health-care benefits and amortize the $30.6 billion in un- Mr. Crain then stated that he baby-boom generation appear un- agreed to do so at a discount from the automakers’ estimated funded liabilities for the state’s re- “didn’t know what it’s going to willing to fight the horrific battles necessary to save the next genera- future obligations. Gettelfinger says he believes it will work, tirees ($22.9 billion owed to the take for politicians to understand that we’re not going to let them tions from an unbearable debt and will provide for retiree benefits for 80 years. Michigan Public School Employ- ees’ Retirement System and $7.7 live in a different world in Lans- load. Gettelfinger is not the loudest leader in town, but he’s John Boyle billion owed to the Michigan State ing.” I share his frustration — and helped to lead the UAW into the future. If the contracts do in- Principal Employees’ Retirement System), I have decided that the current J.L. Boyle International deed help the Detroit 3 to rebound, that’s good for everyone in which are now due. crop of legislative “leaders” is not Livonia Michigan. By not paying this ever-growing willing to fight the battles neces- See Letters, Page 7

KEITH CRAIN: Here’s a great idea for Cobo Center I am delighted to realize that our didn’t have the finances ment, and it is spread Cobo will be free of sales tax. Fi- pose this would do so at his peril. Wayne County executive, Robert to get it done. But he is all over the tricounty nally, the consumer is going to The funding is nothing more Ficano, hasn’t given up on the idea enthusiastically sup- area. have something to shout about. than a continuation of an existing that we all must do something to- porting this plan and re- Now there is a plan The idea of not paying sales tax on tax. The plan is realistic and more gether to help make Cobo Center alizes its importance. that just about every- any purchase at Cobo is going to modest, making Cobo as modern competitive to keep what we have The real key is that one is signing on to. make it the most sought-after U.S. as its competitors. And the and attract additional conventions everyone finally under- The really exciting part convention and trade show site. changes would add a small amount and trade shows. (See Page 1.) stands the magnitude of of the plan could make Think about what a boost this of exhibit space along with It’s equally important to realize the North American In- Cobo the jewel of our could give to the auto show or the changes to help make the facility that he has built a coalition to get ternational Auto Show country: It would be boat show or a hundred other more efficient for exhibitors. it done. It was a few years ago on the economy of the first completely shows that would find Detroit’s But most of all, it would be a when Detroit Mayor Kwame Kil- Southeast Michigan. sales tax-free zone in Cobo Center irresistible. sales tax-free zone. patrick put forward an ambitious This show brings to any convention center Obviously, there are details to It’s a great plan with benefits for plan to expand Cobo. Unfortunate- Southeast Michigan more than in U.S. be worked out, but it’s a great idea; all of us. We need to start work on ly, it became evident that Detroit $500 million in economic develop- Simply put, anything you buy at and any politician who would op- Cobo now. Let’s get going. DETROIT BUSINESS MAIN 01-14-08 A 7 CDB 1/11/2008 2:24 PM Page 1

January 14, 2008 CRAIN’S DETROIT BUSINESS Page 7 OTHER VOICES: Democrats’ energy plans will hurt state In medicine, the first that there truly is a mar- model, Michigan will be forced to ratepayer-financed bailouts? own 85 percent of wind capacity rule is “do no harm.” It ket opportunity. rely upon monopoly utilities for In a competitive market, suppli- To achieve the goals articulated covers instances when be- Unfortunately, her rem- developing cost-effective renew- ers and shareholders bear the by the governor, Michigan must ing half-right can be all edy is all wrong. She sug- able resources: the same compa- costs related to renewable pro- adopt legislation that establishes a wrong, when a diagnosis gests the best way to in- nies that saddled customers with jects, such as the purchase of wind well-functioning competitive mar- is correct but the pre- crease renewable energy cost overruns and inefficiencies turbines and land for wind farms. ket. Michigan could become an scribed remedy may kill and alternative-energy associated with power plant con- In the model recommended by the economic powerhouse if the Legis- the patient. companies is through struction in the 1980s and 1990s. governor and House Democrats, lature and governor were simply Gov. Jennifer Gran- mandated standards, not DTE Energy’s Fermi 2 plant in those costs, and the financial risk, to improve the overall business cli- holm and House Speaker the marketplace. Monroe had cost overruns exceed- would shift to captive ratepayers. mate by minimizing regulation. Andy Dillon are making Similarly, House De- ing $4 billion. Costs for Consumers Studies confirm competitive Giving in to DTE Energy and Richard Haworth that mistake regarding mocrats argue that the Energy’s Midland nuclear plant suppliers are leaders in the devel- Consumers Energy’s demands is a Michigan’s electricity industry. elimination of competition and a exceeded initial estimates by more opment of renewable sources of prescription for disaster. It would The proposals they’ve unveiled return to utility monopolies is the than $5 billion. The Midland pro- electricity. According to the U.S. set back any attempts to develop a have the potential to do real long- only way for renewable energy ject was eventually abandoned and Department of Energy, indepen- true renewable energy market in term harm to our energy future. and new large power plants to be the utility instead opened a natur- dent power producers built 71 per- our state for years to come. Granholm has called on the Leg- developed. al-gas co-generation facility there. cent of new wind capacity in 2006. Richard Haworth is chairman of islature to pass a renewable portfo- Absent a competitive market Have our leaders forgotten these In addition, competitive suppliers Haworth Inc. lio standard that would require Michigan utilities and alternative- energy suppliers to obtain a cer- tain percentage of their power from renewable sources. The gov- ernor was right when she said companies involved in this type of investment will not make a com- mitment unless they can establish Our Clients

LETTERS CONTINUED Don’t NEED ■ From Page 6 Competition benefits all Editor: Life Insurance. Mary Kramer began her story about cable monopoly (“Comcast learns from online gripe-fest,” Nov. 26) by quoting Advertising Age writer Bob Garfield (“Comcast Must Die,” Advertising Age, Nov. 19) with “Comcast must die.” To solve the several issues associated with cable monopoly cited in Kramer’s article, the answer is not TheyWANT It. for Comcast to die, but for competi- tors to be able to live and grow. The last paragraph of Kramer’s Most of our clients don’t need life insurance to ensure their heirs maintain a comfortable article mentions that Comcast is lifestyle. And many are liquid enough to pay estate taxes. Yet they continue to invest in offering better services because of competition from other cable unique life insurance-based strategies designed by our firm. providers. This is the direct result of the Michigan Legislature’s deci- Since 1939, Schechter Wealth Strategies has been quietly working with families and sion in 2006 to pass the Uniform Video Services Local Franchise their advisors using life insurance in sophisticated and uncommon ways. Schechter is one Act. Now cable providers such as of a few elite firms in the country that has a multi-disciplined team applying their expertise AT&T and Arial Link can offer competition to consumers. solely to: So, why is Mary Kramer’s arti- cle still valid? It’s because not Generate Cash Flows in Excess of Fixed Income Market Yields every Michigan consumer can Transfer Wealth with No Gift or Estate Tax Consequences reap the benefits of cable competi- Leverage Philanthropic Gifts tion. Unfortunately, some munici- Reduce Costs of Existing Life Insurance Portfolio palities are attempting to put in place obstacles to infrastructure Sell Unwanted Existing Policies improvements that have the effect of creating roadblocks to achiev- ing a competitive environment. The result is to deprive customers of lower rates, better services and technological innovations. My organization, Citizens for In- novative Technology, is dedicated to advancing and promoting full and fair access to the latest tech- nology. On behalf of CIT’s 18,000 members in Michigan, I encourage consumers who are not receiving Robert Schechter, MBA, CLU, ChFC • Jason Zimmerman, MBA, CLU • Marc R. Schechter • Robert M. Heinrich, JD • Paul Snider cable choice to contact their local Robert F. Boesiger, CPA, JD, LLM • BradleyK.Feldman,JD • Ron Dumars • David Elkin, JD, CPA • Kelli Saperstein • Ilana Liss mayor and city council and ask them to free their constituents from the cable monopoly. And, if they’d like support in doing so, please contact us at www. consumers4it.com. Peter Van Dyke Executive Director 251 Pierce, Birmingham, MI • 248.731.9500 • www.schechterwealth.com Citizens for Innovative Technology Detroit DETROIT BUSINESS MAIN 01-14-08 A 8,9 CDB 1/10/2008 3:06 PM Page 1

Page 8 CRAIN’S DETROIT BUSINESS January 14, 2008

2008 North American International Auto Show

REPORTER’S NOTEBOOK

Brent Snavely writes about auto suppliers, steel and restaurants. Call (313) 446- 0405 or write bsnavely@ crain.com Selling Michigan Brent Snavely Auto execs plan R&D pushed as reason for Chinese to locate in state BY MARTI BENEDETTI an organizing rally for economic-develop- tion Alley on export missions, and it is in the green show SPECIAL TO CRAIN’S DETROIT BUSINESS ment groups such as the Michigan Economic process of formalizing a partnership with Development Corp., Ann Arbor Spark, the Detroit Ann Arbor Spark. It also interacts with Oak- outheast Michigan economic-develop- All eyes are once again on Detroit Regional Chamber’s Detroit Regional Economic land County Planning & Economic Development ment organizations are racking up this week as thousands of journalists Partnership and Wayne and Oakland county on business attraction and a little with the S plenty of airline miles to China. economic-development departments. descend upon the city to see Macomb County Economic Development Corp. automakers unveil new cars at the Their mission: Develop and nurture rela- The organizations are working apart and North American International Auto Show. tionships with Chinese manufacturers that together with the goal of bringing Asian and Analysts and auto industry could lead to more automo- Indian companies to Michigan. Meaningful Trade missions tive research and develop- executives say they will be watching the progress, these economic leaders say, is Warmbier-Ramp said the state plans to lead show in an attempt to gauge the mood ment operations in Michi- made by understanding opportunities and its first “State of Michigan Reverse Invest- of the industry’s top executives and for gan. working persistently. ment Mission” from China to Michigan in insight into the design direction of the Five Chinese automo- John Carroll, executive director of the part- April. automakers. tive companies are partici- nership, said industry watchers estimate During the trip, Warmbier-Ramp hopes to Flashy concept vehicles and the pating in the North Ameri- there are roughly 120 Chinese automakers “showcase the state as having the type of latest advancements in green cars and can International Auto Show now, but a major shakeout over the next 10 to knowledge and workers that their businesses fuel-efficient technology are likely to this year — four more than dominate the headlines. 15 years could leave just 10 of them standing need to succeed in the global marketplace.” last year. That means po- — a situation not unlike the dozens of auto In addition to Warmbier-Ramp’s work, the Chrysler L.L.C. plans to introduce a tential op- trio of environmentally friendly concept Warmbier-Ramp companies in Detroit in MEDC actively works with the Michigan Global portuni- cars including the Jeep Renegade, Ford the first quarter of the 20th Partnership in organizing biannual working ties for Motor Co. plans to unveil its next- COMING TO TOWN century. missions to China to recruit Chinese compa- economic-development orga- generation F-150 pickup truck and Carroll said success in nies to Michigan. nizations to promote Michi- The first Chinese automaker to Toyota Motor Sales U.S.A. Inc. will stage attracting investment The global partnership is composed of eco- the premiere of the new 2009 Toyota gan’s R&D brainpower and exhibit at NAIAS was Geely from the stronger compa- nomic-development agencies throughout Venza crossover sedan. sell the state as a place to in- International in 2006. nies that survive requires Michigan as well as private companies that On Tuesday, Johnson Controls Inc. is vest. Last year, the Changfeng Motor building long-term rela- have an interest in recruiting investment scheduled to unveil new sustainable “Most are in need of R&D Group participated. tionships. The DREP regu- from China. It started as an MEDC initiative. technology and news related to its because they want to im- This year, those two will be joined larly sends out e-mails Among the MEDC’s recent success stories lithium battery. prove the quality of the cars by BYD Auto Co., China America Cooperative Automotive Inc. with positive news stories was the October news that NEAPCO Driveline, a Kim Korth, president of Grand they sell in China and even- (Chamco) and Li Shi Guang Ming about the region to 8,000 subsidiary of a company that is a North Rapids-based automotive consulting tually hope to sell in the Auto Design Co. companies worldwide. American affiliate of Wanxiang Group, a Chi- firm IRN Inc., said U.S.,” said Yvonne Warm- she will be watching For Automotive News’ take on “We’ve been working nese supplier, would invest in a $29.4 million bier-Ramp, director of the to see how these automakers: the Chinese market for 10 Detroit-area manufacturing plant. The plant State of Michigan China Of- automakers handle www.crainsdetroit.com/naias. years,” Carroll said. will create 285 new jobs at a former Johnson fice. “Many of them are also the issue of global “There’s about 2,000 com- Controls Inc. site in Van Buren Township. looking for strategic rela- warming and how panies in China we’ve Meanwhile, Carroll said DREP’s Bernard heavily they will be tionships with North Ameri- AUTO SHOW DATES: met, and there are about Pekor, director of new markets and Asia, talks touting fuel can automakers or parts Press preview: Today and Tuesday. 200 companies we call regularly with overseas business owners. He economy. Korth suppliers.” Industry preview: Noon-9 p.m. Wed. makes about four trips a year to Asia, and Car- also said she will be Other Chinese executives prospects.” Korth and 7 a.m.-9 p.m.Thursday roll goes once a year. The partnership has seeing which are looking for management automakers are introducing vehicles Charity preview: 5 p.m. Friday talked with Changfeng, Geely and met repre- training or seek to recruit Working together designed to appeal to “eco-boomers,” Open to public: 9 a.m.-10 p.m. sentatives from BYD Auto in October at a sem- Michigan automotive engi- or Generation Y. Saturday through Jan. 26; 9 a.m.-7 By working together on inar in Beijing and also is in communication neers. “ ‘Green’ seems to be the buzz of p.m. Jan. 27 pitches, organizations say with Chamco. Warmbier-Ramp lives in this year’s show — anything that offers they are using resources “We tell them if they are going to do some- China and has had her job fuel efficiency, lighter weight, or more effectively. thing in the U.S., they need to be in Detroit,” environmental innovations,” said Frank with the state for 10 years. WATCH THE WEB “We’ve taken a look at Carroll said. Buscemi, manager of media relations She comes back to Michigan Check out Crain’s auto show business opportunities in He pointed out that Asian automakers Toy- for ZF Group North American Operations on business twice a year, in- coverage at www.crainsdetroit.com China and the Middle of Northville. “And we’ve got products ota, Hyundai and Nissan already have technical cluding to attend the Detroit /naias. East. We have limited re- that speak specifically to that point.” hubs in Michigan. auto show. sources, so we tried to be The urgency to create new fuel But those who are trying to woo other Chi- Warmbier-Ramp said her opportunistic,” said efficient automotive technology office is focused on the Chinese automakers nese companies to the state said it is a long- increased in December when Congress Michael Finney, CEO of Ann Arbor Spark, participating in the show and other Chinese term process that can take years. The state is adopted new regulatory standards. which is working with both the MEDC and original-equipment manufacturers and tier- working many leads, including companies The legislation, signed by the Wayne County. one suppliers. the state assisted with initial visits, Warm- president, updated the Corporate Finney said the first priority is selling bier-Ramp said. Average Fuel Economy rules adopted in “First we educate them on what Michigan Michigan as a whole to Chinese businesses. has to offer. Then we try to find out what “We have been in contact with hundreds of 1975. It requires manufacturers to “If we get interest, we Chinese companies over the past three meet the average fleetwide target of 35 their needs are as a developing automaker or think they might want to years,” she said. miles per gallon by 2020, a 40 percent parts supplier and try to give them more de- locate research and devel- Some of the area’s leading suppliers are al- increase over current levels. fined assistance based on their needs and its opment activity in the ready ahead of the game on building relation- “From our perspective, the “green” benefit to the state.” Ann Arbor area. ships with the Chinese. theme was already there, but the CAFE “We’ve also had mean- Manley Ford, director of communications regulations certainly heightened the ingful discussions with awareness,” Buscemi said. Long courtship Wayne County and expect for Livonia-based TRW Automotive Holdings David Cole, chairman of the Ann The Troy-based Detroit Auto Dealers Associa- more of that to come,” he Corp., said that while TRW does a significant Arbor-based Center for Automotive tion, which hosts the show, began courting said. amount of business in China, it is doubtful Research, said that when he goes to Chinese manufacturers more than three there will be many meetings with the Chinese Finney Carroll said the partner- the auto show he watches for what years ago to participate at the Detroit show. this week at the auto show. executives don’t say. There’s the ship works with Wayne product, and then there’s the mood of The first Chinese automaker to exhibit at County on attracting business from Asia. A “We work very closely with all the Chinese the show. NAIAS was Geely International in 2006. Last recent success story was persuading a divi- automakers in China, and just about every- Last year’s most important product year, the Changfeng Motor Group participated. sion of Chinese supplier Tempo Group to open thing in our portfolio is made in China. Very introduction was General Motors Corp.’s This year, those two will be joined by BYD an R&D center in Canton Township last little of it is exported,” Ford said. “So we’re al- Chevrolet Volt — a plug-in electric hybrid Auto Co., China America Cooperative Automotive year. ready pretty well established with the Chi- scheduled for production in 2010. “When Inc. (Chamco) and Li Shi Guang Ming Auto De- Carroll said DREP also will work with the nese companies.” we saw the Volt, we knew that it was a sign Co. MEDC on getting Indian firms interested in Reporter Brent Snavely contributed to this potential game-changer,” Cole said. The increased Chinese presence has been doing business in the state. It aids Automa- story. DETROIT BUSINESS MAIN 01-14-08 A 17 CDB 1/11/2008 5:58 PM Page 1

January 14, 2008 CRAIN’S DETROIT BUSINESS Page 17 CRAIN’SEXECUTIVE RECRUITER BRIEFLY Physician groups unite existing building with a focus on mechanical and electrical systems, ADMINISTRATIVE REAL ESTATE REAL ESTATE Michigan United Outstanding Physi- structural improvements and a cians L.L.C. in Dearborn announced Associate Executive Director new roof. – Premier PROPERTY MANAGER an affiliation agreement in Decem- Administrator Property Manager Eastern is financing the project industrial real estate organization is ber with Livonia-based Olympia Temple Israel of West Bloomfield, MI seeks Emmes & Company was founded in 1992 primarily through a sale of bonds an Associate Executive Director/Temple Ad- seeking an experienced property as a privately owned opportunistic real Medical Services P.L.L.C. and will repay the bonds through a ministrator for its vibrant 3,400+ family-unit manager to oversee a portion of our estate investment company. Since its in- The two physician groups said 4 percent tuition increase that member congregation. Temple Israel pro- ception, Emmes has acquired over 385 in a release that they will collabo- vides a spiritual, educational and cultural large industrial portfolio. Require- assets on behalf of its affiliated entities, took effect in 2006. A portion of the home for Jews of all ages in the Detroit Met- ments include: Bachelor’s Degree; comprising 23.5 million square feet and rate in several areas, including project cost is covered by tuition- ropolitan area. As we enter our 67th year, having a market value in excess of $1.5 medical management, quality im- this historic congregation continues to provide excellent communication, computer billion. Emmes is currently investing in re- hike funds that have already been a life-long innovative, supportive and caring and tenant relation skills; experience tail, office, industrial and multifamily prop- provement, contracting, adminis- collected but remain unspent. Jewish environment. erties across the United States. trative services and joint ven- preparing budgets, financial reports, www.emmesco.com — Chad Halcom The Associate Executive Director tures. lease abstracts and reconciliations. /Administrator is responsible for day-to-day The Property Manager will be responsible UOP’s nearly 1,000 physician synagogue operations, HR, membership and RPA or CPM designation preferred. for 1.2 million square feet of office space facilties management. In addition, the Asso- located in Troy, Michigan. Position re- members work with Southeast Automation Alley membership up ciate Executive Director supervises other staff Mail resume to: quires the ability to reposition the property Michigan’s largest hospitals, while Troy-based technology business as well as secretarial, support and other cus- effectively, manage tenant relations, capi- todial employees. tal expenditures, associated staff and gen- Olympia’s more than 600 members association Automation Alley an- This dynamic manager provides leadership Attn: Personnel Dept. eral operations. primarily are affiliated with Bots- nounced a 19 percent membership and works in partnership with the Executive ford and Garden City hospitals. Director, Rabbis and Cantors, staff, lay lead- 41965 Ecorse Road, Suite 320 Our ideal candidate is a dynamic, energet- jump in 2007, increasing its total ers, Board of Directors and congregants to Belleville, MI 48111 ic individual possessing strong leadership — Sherri Begin membership to 850. develop and carry our Temple policies and and negotiation skills, outstanding commu- programs. or email to: nication and interpersonal skills to interact “2007 proved to be a phenomenal Interested candidates should forward their re- [email protected] with brokers, tenants and vendors. Former Sears building bought year for Automation Alley,” said sume, salary requirements and three referen- No phone calls, please. Ken Rogers, association executive ces to: If you possess the qualities to strive in a fast-paced, dynamic environment, please The former Sears Holdings Corp. director, in a statement. Sixteen Temple Israel, West Bloomfield, MI submit your cover letter and resume, customer appliance repair center companies joined the association which must state salary requirements for David Tisdale / [email protected] CRAIN’S consideration. Only those resumes with in- and hardware store in Sterling last month in the aerospace and No phone calls please EXECUTIVE terest will be contacted. Fax resume and Heights has been acquired for $1.1 defense, education, design, manu- salary requirements to: 212-293-8813 or million by The Macomb Group, a e-mail [email protected] facturing, health care and infor- RECRUITER pipe supplier on adjacent proper- SALES We offer a competitive salary and mation-technology sectors. comprehensive benefits package including ty. WORKS! health coverage and 401(K). No Agencies, — Jonathan Eppley The distributor of pipe, valves, To Place Your Ad Call please. Equal Opportunity Employer fittings and fixtures on Mound SALES POSITION (313) 446-6068 or Road south of 15 Mile Road closed New features on state Web site the sale in late December and Outstanding opportunity to join one of Fax (313) 446-1757 Crain’s Classifieds Gets Results The latest changes to the Michi- Michigan’s most experienced com- plans to use the 35,000-square-foot gan Business Tax, including the mercial real estate brokerage firms. space for expanded warehousing new surcharge on the MBT, are Responsibilities will include sales and and fabrication work on its fit- now part of a tax estimator on the leasing of industrial and office properties. tings. The company’s real estate Michigan Department of Treasury’s For an appointment please contact Jason entity, Flint Acquisitions L.L.C., ac- Capitani at 248-637-9700 or email Web site. resumes to [email protected]. CRAIN’S RESIDENTIAL PROPERTIES quired the site. Treasury has updated the Web The building has been vacant site feature that enables business- since Sears closed all its Michigan es and tax professionals to esti- hardware stores in early 2006. mate a firm’s tax liability. The site GENERAL WATERFRONT PROPERTY Advertise your Grubb & Ellis represented both par- now includes changes passed by A Great Reason to Live in Michigan! goods and services in ties in the sale. the Legislature on Dec. 1 and Come home to your new custom home (your plans or — Chad Halcom signed into law, including the ours). Enjoy water sports and stunning sunsets. Crain’s Detroit Business In Brighton at HiltonPointeEstates.com 21.99 percent MBT surcharge. The tax estimator is at CMU-RC President/CEO AUCTIONS Economy to help IT outsourcing www.michigan.gov/mbt. The Central Michigan University Research — Amy Lane Corporation (CMU-RC) is a not-for-profit organization A poor economy in 2008 would established to facilitate innovative research and de- real estate auctions Starting Thu., Jan. 17th create more opportunities for com- velopment opportunities for the faculty, staff, and stu- panies that do IT outsourcing, ac- Gibbs Technologies to hire 20 dents of Central Michigan University (CMU) and to cording to a study by Troy-based partner with businesses, industry, and the entrepre- Syntel Inc. (Nasdaq: SYNT) of 250 IT Gibbs Technologies Inc. said it neur community. The President/CEO plans, devel- managers of Fortune 1000 compa- plans to hire 20 employees over ops, establishes, and implements policies and objec- nies. the next three months to support tives, has administrative responsibility for the corpora- When asked, “If the financial its development office in Ply- tion, leverages collaborations for growth opportunities markets continue to struggle into mouth. and business development with a market/sale focus. 2008, how do you think it will affect Isle of Man-based Gibbs has de- The minimum qualifications include an advanced de- your firm’s spending on global out- veloped amphibious prototype ve- gree and/or equivalent work experience with increase sourcings?” responsibility and professional experience in a related hicles — cars that can drive on a field with a proven record in senior management posi- Ⅲ 52 percent said they’d in- road or retract their wheels and tions including the ability to build and manage teams crease outsourcing to accomplish operate as a boat. The company be- in a large and diverse environment. 13567 Hannan Road, Romulus, MI more with less. lieves the biggest potential market Ⅲ 28 percent said they’d spend Please see http://www.cmurc.com/index.htm for its vehicles is in the U.S. and is ROMULUS, MI - 13567 Hannan Road FARMINGTON, MI - 26272 Meadowview Dr less to conserve budgets. for additional information. 4BR 3BA 3,500sf+/-. Built 1939. 3BR 3BA 3,731sf+/-. Built 1962. evaluating sites for a manufactur- Opening Bid: $50,000 Opening Bid: $50,000 Ⅲ 19 percent said it would have ing plant and a permanent North Inspections: 1-4pm Sun. Jan. 6th & 13th and 2hrs prior to sale. NORTHVILLE, MI - 47238 S Chighwidden little or no impact. American headquarters. Sells: 2:30pm, Thu., Jan. 17th 4BR 2.50BA 2,008sf+/-. Built 1963. Opening Bid: $50,000 — Tom Henderson Gibbs Technologies President CHIEF FINANCIAL OFFICER Inspections: 1-4pm Sat. Jan. 12th & 19th and Neil Jenkins said he thinks there LAKE ORION, MI - 187 Elizabeth St 2hrs prior to sale. is enough market demand in the The Southeast Michigan Community Alliance 4BR 2.50BA 2,290sf+/-. Built 2000. Above properties sell: 12:30pm, Thu., Jan. EMU signs pact for addition (SEMCA) seeks experienced CFO for a non- Opening Bid: $50,000 24th at 26272 Meadowview Dr, FARMINGTON U.S. to support production of profit 501(c) (3) corporation that administers GOODRICH, MI - 10234 Mill Pointe Drive Eastern Michigan University is en- 100,000 vehicles annually. human services for Wayne & Monroe County 4BR 2.50BA 2,238sf+/-. Built 2004. FARMINGTON HILLS, MI - 30705 Huntsman Dr E tering a contract with architecture The company opened its first (excluding the City of Detroit). Candidate will Opening Bid: $50,000 4BR 3.50BA 3,195sf+/-. In-ground pool. firm Lord, Aeck and Sargent for $4.5 U.S. office in Troy in April and be involved in all aspects of financial state- Inspections: 1-4pm Sun. Jan. 13th & 20th and Opening Bid: $50,000 ment preparation and analysis which include 2hrs prior to sale. Inspections: 1-4pm Sun. Jan. 13th & 20th and million to complete architecture currently operates out of an office 2hrs prior to sale. managing fiscal staff, developing budgets, au- Above properties sell: 10:00am, Wed., Jan. 23rd at 187 Elizabeth St, Lake Orion, MI Sells: 2:30pm, Thu., Jan. 24th and engineering design work in in Plymouth. Michigan is in the dit preparation overseeing all A/R, A/P and the $100 million expansion and health care billing operations. running for the company’s perma- ROCHESTER HILLS, MI - 3783 Walnut Brook HIGHLAND, MI - 5450 Knobby Hill Dr renovation of its Mark Jefferson nent headquarters but is less like- Candidate must have at least 3-5 years Corpo- Land. Lot only in the Walnut Brooke Estates 3BR 2BA 2,685sf+/-. Built 1988. Science Complex. ly to be the company’s choice for a rate Controller/CFO experience in a govern- subdivision. Opening Bid: $50,000 Opening Bid: $50,000 The Atlanta-based architectural ment or non-profit organization. Educational HIGHLAND, MI - 119 Aberdeen manufacturing plant. requirements include a minimum of Bachelors BIRMINGHAM, MI - 816 Knox St. 3BR 2.50BA 2,628sf+/-. Built 2001. firm’s offices in Ann Arbor will do “We have a number of proper- Opening Bid: $50,000 Degree in Accounting-Masters/CPA preferred. 3BR 1.50BA 1,912sf+/-. Approx .22ac lot. the design. The university Board ties we have identified in South- Strong communication/leadership skills and Opening Bid: $50,000 Inspections: 1-4pm Sun. Jan. 13th & 20th and of Regents originally authorized east Michigan, and we are work- proficiency in MS Word, Excel and Fundware Inspections: 1-4pm Sat. Jan. 12th & 19th and 2hrs prior to sale. desired. Candidate reports to the CEO. Salary 2hrs prior to sale. Above properties sell: 4:30pm, Thu., Jan. 24th its executive vice president and ing on those. We are also working at 5450 Knobby Hill Dr, HIGHLAND, MI is negotiable based on experience. Above properties sell: 11:30am, Wed., Jan. vice president of finance to sign 23rd at 3783 Walnut Brook, ROCHESTER HILLS closely with MEDC to see if we can Send resumes with cover letter to e-mail the deal in late November. make that happen,” Jenkins said. address: [email protected] Deadline: The science complex, which Gibbs is also considering sites February 4, 2008. NO PHONE CALLS williamsauction.com opened in 1969, will undergo a in Kentucky, Georgia, North Car- 154,000-square-foot addition in the olina and Texas for its North 800.801.8003 Williams & Williams first phase of the project. A second American headquarters. Crain’s Classifieds Gets Results phase involves renovation of the — Brent Snavely DETROIT BUSINESS MAIN 01-14-08 A 18 CDB 1/11/2008 5:58 PM Page 1

Page 18 CRAIN’S DETROIT BUSINESS January 14, 2008 Cobo: Tax-free zone? ■ From Page 1 Ficano’s latest plan reduces the ensure that the region continues to expansion to 120,000 square feet benefit from the powerful econom- PRESENTING SPONSOR from 270,000, also reducing con- ic impact generated by Cobo and struction costs from $400 million the auto show.” to $287 million. The construction Auto show officials say she is costs are in line with Patterson’s scheduled to attend the show past plans. Thursday. Ficano will call for a $25 million House Speaker Andy Dillon, D- covered walkway connecting Cobo Redford Township, supports the PLATINUM SPONSOR with the Renaissance Center and idea of tax-free zones as an eco- The Advanced Sheraton at Detroit Riverside ho- nomic-development measure, said Thursday February 7 • 7:30 – 9:30 a.m. Strategies tels, as well as a $20 million pay- his press secretary, Greg Bird. Sheraton Riverside • Detroit Group, Inc. ment to the city of Detroit for ac- “This is one piece of an overall Wealth Preservation & Transfer Specialists quisition of the structure. proposal that we hope will help (formerly the Ponchartrain Hotel) Patterson’s plans have left out the grow economic activity in South- GOLD SPONSORS walkway and called for Detroit to east Michigan and perhaps other Is Michigan a Good Place retain ownership. areas of the state,” Bird said. Funding for the plan will in- Senate Majority Leader Mike to Start a Business? clude an extension of the existing Bishop, R-Rochester, could not be Find out Michigan’s rank on the 2007 Entrepreneurial hotel and liquor tax, though that reached for comment after two Scorecard at Crain’s February 7 Business Over Breakfast. extension will be for seven years, messages were left for his press compared with 13 years in Patter- secretary, and an online request The event will also feature an analysis of the results son’s last plan and 22 years in Fi- for an interview was filed on his on how Michigan ranks among other states. LOCATION SPONSOR cano’s first proposal. Web site. KEYNOTE SPEAKERS Daddow said Oakland and Carl Galeana, Wayne counties have come closer senior co-chair- Mark Clevey together on plans for Cobo, but man of the auto Vice President for Entrepreneurship, there are issues remaining, such show, supports Small Business Association of Michigan (SBAM) as payment to Detroit and the cov- the theory of Executive Director, IN PARTNERSHIP WITH ered walkway. sales tax-free Small Business Foundation of Michigan (SBFM) However, Daddow said there auto sales at the Graham Toft needs to be more participation show. Founder from Macomb County, the Detroit While cars GrowthEconomics casinos and from the Detroit 3. Galeana are primarily TICKETS: Daddow said Patterson was displayed at the Early bird registration asked in December to support leg- show, dealerships currently send before Jan. 25 – $35 islation about Cobo, but nothing sales members to work the floor REGISTRATION:Visit www.regonline.com/febbusiness has been supplied to the execu- and try to sell cars, he said. After Jan. 25 – $45 tive’s office in writing. “Selling cars tax-free at the REGISTRATION DEADLINE: Feb. 4 • QUESTIONS? 313/446-0300 In theory, Daddow supports the show would certainly add a differ- tax-free zone as long as Rock Fi- ent dynamic,” he said. “But at the nancial Showplace in Novi is in- end of the day, we’re all here to sell cluded. Granholm supports the cars anyway.” creation of tax-free zones and also Overall, he is excited about any supports the expansion of Cobo, new ideas that would benefit Cobo said Elizabeth Boyd, the gover- Center and expedite its expansion. nor’s press secretary. The tax-free zone would likely She said the governor will be in be extended to Van Andel Arena in Detroit to tour the auto show but Grand Rapids, said Ficano’s staff, would not confirm whether a pub- though a decision has not been lic announcement is forthcoming. made yet regarding Novi’s Rock Boyd also would not confirm the Financial Showplace. $150 million in funding. Ficano expects the state’s loss in Ficano said state support would sales taxes to be offset by greater be a boost for the expansion efforts. spending in the region as people “We are hopeful that Gov. stay in local hotels and eat at local Granholm and the state will assist restaurants. with the Cobo expansion plan,” Fi- Daniel Duggan: (313) 446-0414; cano said. “Such support will help [email protected]

Tax: Surcharge is target ■ From Page 3

The Detroit Regional Chamber is nity “proposed an idea that was focusing on cost controls in Michi- revenue-neutral, we would cer- gan’s correctional system. Sarah tainly take a look at it,” she said. Hubbard, the chamber’s vice presi- Granholm has consistently said dent of government relations, said that even with the budget agree- business needs to be more in- ment, the state has “more cuts and volved in finding ways to reform reforms to do,” such as changes in and reduce government spending sentencing guidelines, Boyd said. in general. And those discussions “We have resolved a budget cri- need to come first, if the revenue- sis and taken great strides to put strapped state is to consider reduc- our fiscal house in order. And we ing the MBT surcharge, she said. don’t want to move backwards,” “Because we don’t have a grow- Boyd said. “If we want to move for- ing economy, we can’t just say cut ward, that will include further re- the surcharge, make (it) up in sur- forms, in addition to those we have plus revenue. It’s really, cut the sur- already adopted. And if the busi- charge, because we’re going to help ness community has an idea on the you find the savings,” she said. business tax that they want to pre- Liz Boyd, Gov. Jennifer sent to the administration and the Granholm’s press secretary, said Legislature, certainly, we’d be open the surcharge was an important to hearing what they have to say.” part of an agreement on the state’s Amy Lane: (517) 371-5355, budget. But if the business commu- [email protected] DETROIT BUSINESS MAIN 01-14-08 A 19 CDB 1/11/2008 5:28 PM Page 1

January 14, 2008 CRAIN’S DETROIT BUSINESS Page 19 Defense: War boosts Michigan companies ■ From Page 1

Md.-based defense contractor that in total contract commitments with produces the M2/M3 Bradley, the Michigan companies by the end of M88 recovery vehicle, the M109 the current fiscal year. family of tanks and other infantry “I don’t expect to see traction vehicles. from the (new contracts) until Andy Hove, vice president of spring, and so if it were plotted on We Look Forward to Welcoming Your Family combat systems programs for the a chart I don’t think it would look BAE Ground Systems division in like a 45-degree angle of growth, York, Pa., said the company will fiscal year over fiscal year,” he Join us for OPEN HOUSE on hire engineers, program managers said. “There’s a period of startup, Sunday, January 27 from 1-3:00 p.m. and supply-chain managers as it and most of the doubling in growth grows its Sterling will come in the and experience the difference Heights presence last eight or nine of a Sacred Heart education. and a relationship Each $50,000 of months of the with the U.S. (calendar) year.” Army Tacom Life investment through Each addition- Cycle Manage- al $50,000 of in- ment Command a defense contract vestment through in Warren. a defense contract In 2004, the translates translates theo- ground vehicles retically into one division had 10 theoretically into Michigan job, the employees in Ma- contract coordi- comb County, one Michigan job. nation center esti- Hove said. It cur- mates. If the pro- rently has 60 gram meets its there, and will add another 10-15 goal, that would mean 9,000 new or within the next few months. But retained jobs over the next few BAE is also contemplating a larger years, based on contracts secured expansion that would add 150-300 during the 2007-08 fiscal year. positions companywide, and is “It doesn’t sound like much when still in the process of deciding a lo- you think of what Michigan has lost cation for the new jobs. in manufacturing,” Lott said. “But The Academy of the Sacred Heart, a member of the Network of Sacred Heart Schools, was founded in 1851 “When I’d like to know more the way I think of it is the new jobs and is Michigan’s oldest independent school. Located at 1250 Kensington Road in Bloomfield Hills, it is a about that (location) myself is some- mean people paying bills and pro- Catholic, college-preparatory school for girls (Age 3-Grade 12) and boys (Age 3-Grade 8) of many cultures time in the first quarter of 2008,” viding for their families.” and faiths. For more information, call 248-646-8900 or visit us on the Web at www.ashmi.org. Hove said. “And Michigan is under To that end, Lott is coordinating consideration; it’s one of a few good his efforts with the state’s 11 Pro- places to locate those positions.” curement Technical Assistance Also in contention for that ex- Centers — local centers created by pansion are BAE’s other Ground the federal Defense Logistics Systems locations in York, Santa Agency to connect local businesses Clara, Calif., and Anniston, Ala. — with federal, state and local gov- although Hove said Michigan is an ernment contracts. appealing place to hire because of Jozefiak’s company is one exam- its engineering and technical tal- ple of a technical assistance center ent pool and proximity to Tacom. project; Coordinated Defense has If Michigan is chosen for some secured a recent contract to han- ATTEND THE D BRAND SUMMIT! or all of the expansion hires, the dle some supply distribution to the company will likely host a job fair state of Michigan, making it the to recruit engineers, IT profession- company’s first civilian client, he als and those in other fields, com- said. pany officials said. The two local assistance centers, WHAT CAN THE D The expansion is not tied to any one at Schoolcraft College in Livo- specific ground vehicle project, nia and the other near Macomb but Hove said much of the compa- Community College in Warren, hope DO FOR YOU? ny’s recent growth is connected to to raise total contract spending in Mine Resistant Ambush Protected Southeast Michigan from $109.1 vehicles, or MRAPs, and a desire million last fiscal year to $180 mil- Don’t miss the Detroit region’s groundbreaking to move into design and virtual lion by the end of the current fiscal event for forward-looking brand marketers! prototyping work. year, Sept. 30. Hove also voiced confidence that Also benefiting from affiliation a new presidential administration with the assistance centers is Axiom 3 Join keynote speaker John Kao, author of Innovation Nation, next year or possible policy Graphics Inc., which recently moved and top industry professionals at the D Brand Summit 2008, changes in the war on terror from Novi to Shelby Township and February 1st at The Henry Ford. shouldn’t affect local growth. landed a recent contract to create “There’s growth coming out of display signs on 10 buses operating (MRAPs) that we realized when we at a military facility in Texas. Register early at www.dbrandsummit.com and save off the started out in that project,” he said. Owner David Stapels said his standard $200 registration. Register your group and enjoy “But we’re hiring people now company, which has four employ- even greater savings! whose goal it is to interact with and ees in the area and two in Min- develop our relationship with nesota, has seen an estimated rev- The D Brand Summit is a groundbreaking one-day event hosted KEYNOTE SPEAKER Tacom. And that growth is, I would enue bump of $100,000, or nearly 50 JOHN KAO, AUTHOR OF think, going to be pretty stable.” percent, since it became a client of by The Henry Ford to share cutting-edge brand-building skills, tools INNOVATION NATION Maj. Gen. Bradley Lott, director the Macomb assistance center in and insights that can make a real difference to the success of of the newly formed Defense Con- July. your organization — and the future of Detroit. tract Coordination Center at the Other jobs have included park Michigan Economic Development signs for the state of Washington www.dbrandsummit.com Corp., also predicted a ramp-up in and a display contract with the local job growth by the end of the city of Las Vegas. first quarter, due to new defense Because of the growth, Stapels is MARQUEE SPONSORS SIGNATURE SPONSORS PRESTIGE SPONSORS contracts within the state. hiring graphic designers and in- When Lott assumed the new post stallers on a contractual basis. Per- Crain’s Detroit Business The Henry Ford Applied Storytelling Clear!Blue Communications PVS Chemicals, Inc. DTE Energy in June, he said businesses in the manent new hires could follow Model D Strategic Staffing Solutions state received slightly more than shortly. Progressive Printing $300 million in defense contract Chad Halcom: (313) 446-6796, Ilitch Holdings work. He hopes to see $750 million [email protected] DETROIT BUSINESS MAIN 01-14-08 A 20 CDB 1/11/2008 5:27 PM Page 1

Page 20 CRAIN’S DETROIT BUSINESS January 14, 2008 Gettelfinger’s challenge: Managing VEBA

BY BRENT SNAVELY CRAIN’S DETROIT BUSINESS PROFILE WHAT IS A VEBA ANYWAY? United Auto Workers President Ron Gettelfinger, 63 A voluntary employee beneficiary Ron Gettelfinger led the charge President, United Auto association is an independent tax- last year in marathon negotiating Workers free trust fund. Employers make sessions with the Detroit 3. ■ Joined the UAW tax-free contributions into a special By mid-November, UAW mem- Local 862 in 1964 trust account on behalf of bership ratified the last of the and started his career as a chassis line employees. The fund is used to three contracts that salvaged thou- pay health care costs. Once the sands of union jobs and will help repairman at Ford Motor Co.’s Louisville money is in the VEBA, it cannot be the Detroit 3 compete with foreign assembly plant. returned to the employer. automakers. ■ First elected to the Collectively, UAW members and union’s top leadership the domestic auto industry post at the UAW’s VEBA SHORTFALL? breathed a sigh of relief. 33rd Constitutional The trusts are scheduled to begin “Before the contract talks, with Convention in 2002. operating Jan. 1, 2010, with about our members, there was a lot of ■ Elected to a second $30 billion of what ultimately will fear,” said Tony Pinelli, president term as president on be nearly $52 billion in automaker of UAW Local 400 in Utica. “And I June 14, 2006. contributions, an amount $33 think we ■ Is expected to billion short of their original WEB EXCLUSIVE brought serve until his term obligations for future retiree health home an expires in June 2010. care. See Brent agreement He cannot be re- The UAW believes the money will Snavely’s exclusive that will let elected because of a last for 80 years. Others aren’t so video interview with us be union age restriction. sure. Ron Gettelfinger at around REBECCA COOK www.crainsdetroit. awhile.” Lance Wallach, president of VEBA com/multimedia. tants to act as investment man- cent to 30 percent. Plan L.L.C. in Plainview, N.Y., said There’s also an But the 63- year-old Get- agers or administrators. “It was an outstanding deal,” he believes the money could run audio podcast with out in 20 years. additional telfinger is- 2007 “Those trustees are going to Dunn said. “Nobody likes change, comments. n’t slowing have the responsibility of deciding but what Gettelfinger did was he Variables that would make the down. who the investment managers preserved automotive jobs and money last longer are changes in Last Tuesday, he flew to Char- are,” Gettelfinger said. gave us a chance to grow our mem- the nation’s health care system or lotte, N.C., to open up labor negoti- Newsmaker Gettelfinger also said he expects bership.” UAW members’ lifestyles. ations with Volvo Trucks North Amer- the savings from the new UAW con- The labor agreements also have Tony Pinelli, president of UAW ica Inc. tracts with the Detroit 3 to go back implications for discussions with Local 400 in Utica, said members Also on the agenda this year: Ne- of the Year into investments in U.S. plants. automotive suppliers, notably De- know they must make changes. gotiations of labor contracts with Concessions granted by the troit-based American Axle & Manu- “It’s our fund. We have to do what automotive suppliers, negotiating Luncheon: Feb. 14. union to the automakers last fall facturing Holdings Inc. we can to use it prudently when it’s numerous local contracts for the Where: Hyatt Regency Dearborn. could save an estimated $1,000 per About 4,500 employees at plants set up,” he said. plants operated by the Detroit 3, Tickets: $50. Tables of 10 are vehicle, Automotive News reported. in Michigan and New York are Other key factors are increases in and making sure the union plays a $450. For General Motors Corp., that subject to a collective bargaining health care rate costs and how prominent role in the presidential Reservations: means $3.8 billion a year. Ford Mo- agreement that expires Feb. 25, ac- aggressive the union is with its election. It hasn’t endorsed a can- www.regonline.com/08newsmaker. tor Co. could save $2.4 billion, and cording to the company’s most re- investment strategy. didate yet. For questions or to reserve tables, Chrysler L.L.C. could save $2 billion cent annual report. In 2006, Gee said health care But Gettelfinger’s most impor- call (313) 446-0300. — if the automakers maintain “At American Axle, we had a costs rose between 6 percent and tant task will be the creation of a sales volume and market share. very positive opening and we are 7 percent, but in prior years the management structure to adminis- in an interview with Crain’s De- “We expect those savings to be looking forward to moving percentages were higher. ter three Voluntary Employee troit Business and Automotive put right back into American oper- through and getting an agree- Wallach said, “It almost goes Beneficiary Associations that are News that it began negotiations ations,” Gettelfinger said. ment,” Gettelfinger said. against their fiduciary to be set up to manage retiree knowing a VEBA was what it Gettelfinger prefers to give cred- This year, the UAW also must responsibility to go after a greater health care benefits. wanted. it for the completion of labor negotiate numerous plant-specific rate of return.” But, “from a bargaining stand- Theresa Gee, principal and prac- agreements with the Detroit 3 to agreements with the Detroit 3. The following is a breakdown of the point, we did not want to raise our tice leader for PricewaterhouseCoop- the union’s top executive team and Gettelfinger does not view last contributions the Detroit 3 agreed hand and signal that to the compa- ers L.L.P.’s automotive human-re- others. But Mike Dunn, chairman year’s labor agreements as his ca- to make and their original sources practice, said the nies,” he said. of UAW Local 5960 in Lake Orion, reer-defining moment. Instead, he estimated future obligations. corporations across all industries The UAW plans to establish three said it is Gettelfinger who de- said his most difficult moment Figures in billions. will likely create similar funds if VEBA funds, but will likely create serves the credit. came in 2005. Agreed Original the UAW is successful. one joint administrative structure. “Behind every good executive “Because our retirees had never Company contribution obligation “This is probably one of the Gettelfinger said the VEBA trust team, there is a great leader,” paid anything on their health care General Motors $29.9B $47B most complex arrangements I’ve fund will have a board of trustees Dunn said. since I hired in,” Gettelfinger said. Chrysler L.L.C. $8.8 $16 seen anybody come up with in the that includes more outside mem- Dunn’s local includes 2,700 “So, for me to make a decision to last number of years,” Gee said. bers than inside members. members and primarily serves pass costs back to our retirees was Ford Motor Co. $13.2 $22 Gettelfinger declined to reveal Although there was some sus- General Motors’ Lake Orion As- very, very hard.” Total $51.9 $85 pense whether the UAW would whether the union plans to hire an sembly Center. The local approved Brent Snavely: (313) 446-0405; Sources: UAW, Automotive News agree to a VEBA, Gettelfinger said independent company or consul- the national GM contract 70 per- [email protected] UAW members to star in commercials

A second round of commercials featuring “We just wanted to tell the people side of union members, but the UAW’s presence in members of the United Auto Workers will like- the UAW,” UAW President Ron Gettelfinger the other cities isn’t as strong. ly hit the airwaves in January in five major said in an interview with Crain’s last week. Tony Pinelli, president of UAW Local 400 U.S. cities, including Detroit, and will run “We thought it was an opportunity for us in Utica, said he hopes that messages such through the first weeks of February before to say something positive about our mem- as the importance of workplace safety, inter- probably resuming later this year. bership and let the community … see what national child labor and wage abuses can be The ads, and a new Web site, feature we do from a positive standpoint,” he said. more effectively presented to the American union members talking about the union’s ef- The Web site and the first round of com- forts to support charitable causes, work- public if it’s delivered by average workers. mercials were launched in December in De- place safety, fair trade issues and higher “We were hoping that the overall message workplace standards in the global economy. troit; Indianapolis; Jackson, Miss.; is the UAW is the union of all workers now,” PHOTO COURTESY BROGAN & PARTNERS Louisville, Ky.; and Nashville, Tenn. The The campaign was developed by Brogan & Andrew Linko, an electrician for Ford Motor Co. Pinelli said. Partners Convergence Marketing in Birming- from Brownstown Township, talks about Web site is www.iamtheuaw.org. Detroit Brent Snavely: (313) 446-0405; ham. workplace safety in the UAW campaign. and Indianapolis are markets with lots of [email protected] DETROIT BUSINESS MAIN 01-14-08 A 21 CDB 1/11/2008 6:00 PM Page 1

January 14, 2008 CRAIN’S DETROIT BUSINESS Page 21

Suppliers: Some showcase products, others don’t www.crainsdetroit.com EDITOR-IN-CHIEF Keith E. Crain ■ From Page 3 PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] have products displayed in a room of the chaos,” Buscemi said. we are and what we do in the com- EXECUTIVE EDITOR Cindy Goodaker, (313) 446- on the second floor of Cobo Center Two suppliers that buck the low- munity,” Kerr said. 0460 or [email protected] SUPPLIERS AT MANAGING EDITOR Andy Chapelle, (313) 446- but has no major media events or profile philosophy at the auto This is the 14th year that John- 0402 or [email protected] press events planned. show are Denso International Ameri- ASSISTANT MANAGING EDITOR/FOCUS Jennette THE AUTO SHOW son Controls will have a major Smith, (313) 446-1622 or [email protected] Jennifer Raas, Federal-Mogul’s ca Inc. and Johnson Controls Inc. ■ International Automotive presence at the auto show as both BUSINESS LIVES EDITOR Michelle Darwish, (313) manager of corporate communica- Components Group Inc. Denso is one of just two suppli- event sponsor and exhibitor. This 446-1621 or [email protected] tions, said the Southfield-based ers with an exhibit on the main COPY DESK CHIEF Gary Piatek, (313) 446-0357 ■ Federal-Mogul Corp. year the company plans to return or [email protected] supplier believes that it is impor- show floor. The other is to its traditional 9,000-square-foot GRAPHICS EDITOR Nancy Clark, (313) 446-1608 tant to have a presence at the auto ■ ZF Group North American Greenville, S.C.-based Michelin or [email protected] space on the second floor of Cobo show so that it can meet with cus- ■ Denso International America Inc. North America Inc. COPY EDITOR Vic Doucette, (313) 446-0410 Center. or [email protected] tomers and exhibit its technology ■ Michelin North America Inc. For Denso, it is just the second DATA EDITOR Anne Marks, (313) 446-0418 or but typically doesn’t make major year that the company has had an For the past several years, John- [email protected] ■ Johnson Controls Inc. son Controls’ Plymouth-based au- WEB GENERAL MANAGER Alan Baker, (313) 446- announcements. exhibit on the show floor, said 0416 or [email protected] Transmission manufacturer ZF Julie Kerr, Denso’s manager of tomotive division has held the first WEB EDITOR Kevin Hill, (313) 446-0473 or sador Ballroom, on the second Group North American Operations of corporate communications. press conference of auto show on [email protected] floor of Cobo Center and overlook- WEB DESIGNER/PRODUCER Ai-Ting Huang, Northville also takes a low-key ap- Denso is planning to use a cock- Sunday morning. This year, John- (313) 446-0403, [email protected] ing the Detroit River. proach. pit demonstrator to showcase gaze son Controls plans to feature the MULTIMEDIA REPORTER Nathan Skid, (313) “The advantage we have with 446-1654, [email protected] Since ZF Group’s parent compa- detection technology and a new North American debut of a concept that room is that it is one of the few EDITORIAL SUPPORT Anita Duncan, (313) ny is based in Friedrichshafen, front lighting system. In addition, vehicle Sunday morning and plans 446-0329; Joanne Scharich, (313) 446-0419 rooms that has a complete view of NEWSROOM (313) 446-0329, FAX (313) 446- Germany, the company prefers to Denso will showcase several cars to announce news related to devel- the outside,” Buscemi said. 1687 TIP LINE (313) 446-6766 make its big product announce- developed by local colleges and opment of its lithium ion battery ments at the Frankfurt auto show ZF Group splits the room into universities due in part to spon- REPORTERS on Tuesday. Brent Snavely, senior reporter: Covers auto in the fall, said Frank Buscemi, two parts, one with product dis- sorships from Denso. suppliers, steel and restaurants. (313) 446-0405 “We see this as an excellent op- manager of public relations for ZF plays and another that is designed Denso’s exhibit was designed by or [email protected]. portunity to showcase our latest Robert Ankeny: Covers the city of Detroit, Wayne Group in North America. like a European cafe. ZF Group the company’s own designers in County government, and law. (313) 446-0404 or innovative technology to our cus- [email protected]. However, the company views serves light food along with Japan, and fabricated by Denstu Sherri Begin: Covers nonprofits and education. Detroit as an important opportuni- gourmet coffee and German beer Inc., a Japanese company, and H.B. tomers and the media,” said Debra (313) 446-1694 or [email protected] Andrew Dietderich: Covers health care, ty to meet with its North American to the media and automotive in- Stubbs Cos. in Warren. Lacey, communications manager transportation, international business and biotech. (313) 446-0315 or customers. dustry contacts. “Our intention is to just let the for Johnson Controls. [email protected]. For the seventh year in a row, “When people visit that room, public and the press know about Brent Snavely: (313) 446-0405; Daniel Duggan: Covers real estate and hospitality. (313) 446-0414 or [email protected] ZF Group will occupy the Ambas- it’s different and it’s out of the way us and become more aware of who [email protected] Chad Halcom: Covers services, environment and Oakland and Macomb counties. (313) 446-6796 or [email protected]. Sheena Harrison: Covers small business, retail and nonautomotive manufacturing. (313) 446- 0325 or [email protected]. Tom Henderson: Covers banking, finance and technology. (313) 446-0337 or [email protected]. Macomb industrial vacancies drop KeyBank scraps expansion Bill Shea: Covers media, advertising and marketing, entertainment, the business of sports, and Livingston and Washtenaw counties. (313) End-of-the-year leasing activity at pied 88,000 square feet of space in the 446-1626 or [email protected] one Warren building made up half the building. When International Automo- LANSING BUREAU plan for metro Detroit Amy Lane: Covers business issues at the Capitol, activity for all of Macomb County, tive Components Group North America Inc. telecommunications and utilities. (517) 371- 5355, FAX (517) 371-2492, [email protected]. or where the industrial vacancy rate im- inherited the space as part of its acqui- BY TOM HENDERSON 115 W. Allegan, Suite 220, Lansing 48933. proved by one percentage point in the sition of Leer’s interiors group, it ex- CRAIN’S DETROIT BUSINESS ADVERTISING fourth quarter. panded its presence by 50,000 square An aggressive expansion plan announced by KeyBank Michi- ADVERTISING DIRECTOR Marla Downs, (313) The 690,000-square-foot Warren Busi- feet to a total of 138,000 square feet in 446-6032 or [email protected] gan in June 2006 has been put on hold. Because of the economy ness Center started 2007 with 64 per- the building. SALES INQUIRIES: (313) 446-6052; FAX (313) in Michigan and recent financial woes nearly across the board 393-0997 cent of its space vacant. Warren-based Lipari Foods Inc. re- ADVERTISING SALES Jeff Anderson, Terri in the state’s banking community, its parent company, Cleve- Over the course of 2007, the building cently built a new facility next to the Engstrom, Matthew J. Langan, Tamara Rokowski, land-based KeyCorp, has decided to expand elsewhere for the Cathy Ross, Dale Smolinski near Grossbeck Highway and I-696 building, but outgrew it and then WESTERN ACCOUNTS Ellen Mazen (Los Angeles) foreseeable future. landed five significant deals — three leased 85,000 square feet at the Warren (323) 370-2477 On Jan. 2, the bank holding company announced it had closed CLASSIFIED MANAGER Melissa McKay, (313) of which closed in the fourth quarter, Business Center, also in November. 446-1692 on the $575 million purchase of U.S.B. Holding Co., the New York- filling nearly all of the vacant space. The strong fourth-quarter leasing CLASSIFIED ACCOUNT EXECUTIVE Greg based holding company for Union State Bank. Evangelista, 313-446-1655 comes on the heels of a 106,000-square- “They spent millions renovating “The question for us is what is the best time and the best way MARKETING DIRECTOR Michelle Minor foot lease to Dearborn-based Plastech EVENTS MANAGER Nicole Wiedling that building, and just after they fin- for us to grow? It won’t be with a big bang,” said William Engineered Products in February and MARKETING ASSISTANT Jennifer Dunn ished most of the space was leased up,” Koehler, who replaced Edward Reilly as Michigan president last 33,000 square feet leased to Roseville- MARKETING ARTIST Sylvia Kolaski said Dan Labes, a senior vice presi- June. Reilly was named president of the southwest Ohio district. SALES SUPPORT Suzanne Janik, Andrea based RCO Engineering in August. Beckham, YahNica Crawford dent in the Southfield office of Grubb & Reilly had announced shortly after he was named president of The Macomb industrial market va- CIRCULATION Candice Yopp, Manager. Ellis, who represented the building the Michigan district in 2006 that the bank was going to expand cancy rate dropped from 10.2 percent PRODUCTION MANAGER Wendy Kobylarz owner, Ashley Capital. “It’s a great suc- from 12 branches in Oakland, Macomb and Wayne counties to PRODUCTION SUPERVISOR Larry Williams, in the third quarter to 9.1 percent in (313) 446-0301 cess story.” about 44 branches over five years, and that its goal was to be the fourth quarter, based on 585,000 SUBSCRIPTIONS (313) 446-0450, In November, 105,000 square feet among the top five in market share in Southeast Michigan. (888) 909-9111 was leased to Toronto-based DeComa square feet of leasing activity. st TO FIND A DATE A STORY WAS PUBLISHED: At the time, it was 21 in market share in the Detroit Metro- (313) 446-0367 or e-mail the Crain Information Modular Systems. Lear Corp. had occu- — Daniel Duggan politan Statistical Area, according to the Federal Deposit Insur- Center at [email protected]. ance Corp., at 0.4 percent, and wanted to get to at least 8.5 percent, CRAIN’S DETROIT BUSINESS IS PUBLISHED BY CRAIN COMMUNICATIONS INC. which would have ranked it fourth behind LaSalle Bank Midwest CHAIRMAN Keith E. Crain N.A. (20.8 percent), Comerica Bank (20.7) and Chase Bank (16.8). PRESIDENT Rance Crain SECRETARY Merrilee Crain “We view the Michigan market as a growth market for us,” TREASURER Mary Kay Crain Reilly told Crain’s. Executive Vice President/Operations Troy: Since then, KeyBank has grown from fifth in deposit market William A. Morrow Office vacancies up Group Vice President/Technology, share in Washtenaw County, with 9.18 percent, to No. 1 at 15.36 Manufacturing, Circulation ■ From Page 3 nd Robert C. Adams percent. But it remains a blip elsewhere. It has fallen to 22 with Vice President/Production & Manufacturing 0.27 percent market share in the Detroit area, and has just 0.24 Dave Kamis the third and fourth quarters, accord- Hills-based Friedman Real Estate Group Corporate Director/Circulation percent market share in Oakland County, 0.30 percent in Ma- Patrick Sheposh ing to research from the Southfield of- represented building ownership. comb and 0.28 percent in Wayne. G.D. Crain Jr. Founder (1885-1973) Mrs. G.D. Crain Jr. Chairman (1911-1996) fice of real estate company Grubb & Troy is having a bad spurt, but has- “Our Washtenaw County share is great,” Koehler said. “We’re Ellis. EDITORIAL & BUSINESS OFFICES: n’t become less marketable, said Steve an impact player here. But on the macro level, you don’t get that 1155 Gratiot Ave., Detroit MI 48207-2732; (313) Troy’s office market, however, took Morris, managing partner of tenant feeling.” He said there are no plans currently to open or build 446-6000 a major hit with Texas-based EDS mov- Cable address: TWX 248-221-5122 AUTNEW DET advisory firm Newmark Knight Frank in any new branches. The bank’s last branch opening was in Shelby Subscriptions $59 one year, $98 two years. Out ing 475,000 square feet of office space Township in 2005. of state, $79 one year, $138 for two years. Farmington Hills. He says it remains a Outside U.S.A., add $48 per year to out-of-state out of Troy and into Pontiac. Office va- strong market with desirable build- Koehler said the bank will attempt to increase its market rate for surface mail. cancy for all classes was pushed to 28.6 Reprints: For inquiries call the reprints department ings. share throughout the region the way it has in Ann Arbor, at: (800) 494-9051, Ext. 144 , or at percent, according to CBRE’s re- [email protected] “Troy is still a high-quality location through community involvement and cross-selling current search. clients to broaden the services they use. CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is with access points on I-75, and the published weekly except for a double issue the Since the end of 2005, Troy has lost In December, the parent company, which has $97 billion in second week in August by Crain Communications firms I talk to say it’s a place they’re Inc. at 1155 Gratiot Ave., Detroit MI 48207-2732. 770,000 square feet of office space, ac- assets and operates in 13 states, warned that it, like other Periodicals postage paid at Detroit, MI and cording to CBRE’s figures. interested in,” he said. “But unfortu- banks, has been hard hit by losses in its commercial real es- additional mailing offices. POSTMASTER: Send address changes to CRAIN’S DETROIT BUSINESS, One positive step for the market nately, it has also been a place that’s tate and residential home-building portfolios. Circulation Department, P.O. Box 07925, Detroit, MI desirable to the automotive compa- 48207-9732. GST # 136760444. Printed in U.S.A. came at the end of the year, with Koehler said Michigan remains profitable for Key. “This is Entire contents copyright 2008 by Crain Siemens Lifecycle Management Software nies, which have been downsizing.” a market that has characteristics and needs that fit very well Communications Inc. All rights reserved. Reproduction or use of editorial content in any Inc. expanding by 30,000 square feet at Daniel Duggan: (313) 446-0414; ddug- with Key. There’s no question.” manner without permission is strictly prohibited. 5555 New King Court. Farmington [email protected] Tom Henderson: (313) 446-0337, [email protected] Ride-Along enclosed in Edition 3 DETROIT BUSINESS MAIN 01-14-08 A 22 CDB 1/11/2008 6:42 PM Page 1

Page 22 CRAIN’S DETROIT BUSINESS January 14, 2008 RUMBLINGS WEEK IN REVIEW FROM WWW.CRAINSDETROIT.COM, WEEK OF JAN. 5-11

tional Venture Capital Associa- ment grant program, which Ⅲ State Rep. David Law, R- tion. Detroit DDA the group has been develop- Commerce Township, said Nationwide, 86 VC- ing since last year. he is running for Oakland E-billboards backed companies made Funded by 10 foundations, County prosecutor, The As- initial public offerings in OKs Cadillac some of which are local, the sociated Press reported. 2007, led by 32 in California New Economy Initiative Also, former Oakland and 19 in Massachusetts. will fund efforts to change County Judge Jessica Cooper Companies in 17 states Centre deal Southeast Michigan into an offer election said Thursday she will run went public, raising a total innovation-based economy. etroit’s Downtown De- as a Democrat, the Detroit of $10.3 billion, more than It plans to provide grants to velopment Authority ap- Free Press reported. double the $5.1 billion that nonprofits and municipali- D proved a develop- Ⅲ New York publisher was raised by IPOs in 2006. ties in three areas: talent de- ment agreement Wednesday Macmillan on Tuesday an- In the Midwest, four com- velopment and retraining; results with New York-based North- nounced it has purchased panies went public in Illi- innovative and entrepre- ern Group Inc. to be ready Plymouth-based Hayden-Mc- nois, three in Minnesota neurial activities; and trans- lection results are al understanding around within 18 months to build a Neil Publishing, which pub- and two in Wisconsin. forming the region’s culture moving onto a new the world. $150 million entertainment, lishes custom textbooks and There were 304 acquisi- to an educational, entrepre- E venue in Michigan: Daoud is being recog- retail and apartment com- lab manuals for higher edu- tions nationally in 2007 of neurial community. electronic billboards. nized for his work with the plex, called Cadillac Centre, cation. Terms were not dis- VC-backed companies, with Grants are not likely to Twenty-three billboards International Visitors Council on the Monroe Block near closed. The sale includes a total deal support construction or en- throughout Campus Martius. Hayden-McNeil Specialty Prod- value of $23.7 dowments, according to the state, in- The DDA will transfer the ucts, which produces car- billion. guidelines for the program. cluding sev- 2-acre site to Northern for bonless laboratory note- Deals were Grant guidelines for the en in South- $1, after the development books for students. done in 30 eight-year program are east group is satisfied about the Ⅲ General Growth Proper- states plus at www.neweconomy Michigan, ties Inc. has taken over leas- the District condition of the property, initiative.org. will display ing and management of Novi of Columbia, completes construction results of Town Center from Minneapo- with 110 in planning and cost estimates, Tuesday’s lis-based Capital Growth California and 31 in Massa- and provides proof it has fi- Survey: Qualified employees presidential primary. It is of Metropolitan Detroit and Madison Marquette. chusetts. In the Midwest, nancing. the first time in Michigan the American Arab Chamber will be hard to find Ⅲ About 60 workers at Cit- there were nine in Illinois, At a press conference, history that digital bill- of Com- izens Republic Bancorp, most five in Ohio, four in Wis- Alex Dembitzer, managing A survey conducted in No- boards have been used to merce. from Farmington Hills, will consin, three in Minnesota partner for Northern vember by Lansing-based re- provide election results, the The cen- lose their jobs over the next and one in Indiana. Group, declined to discuss search firm Epic/MRA says Outdoor Advertising Associa- ter said specifics of financing. But 13 percent of small- to mid- few months, The Associated tion of Michigan said last Daoud But does he make Brian Holdwick, vice presi- size business in Michigan Press reported. week. has devot- dent of the Detroit Economic are looking to hire about Ⅲ Detroit’s Winter Blast The billboards, provided ed his house calls? Growth Corp., told the DDA 260,000 new employees dur- returns to Campus Martius by Lamar Outdoor Advertising, time to board that Northern’s fi- ing the next six months. Park in Detroit Feb. 8-10. Detroit Mayor Kwame Kil- Adams Outdoor Advertising develop- nancing included a $20 mil- According to a statement Ⅲ A six-episode cable tele- patrick last week found a and CBS Outdoor, will post ing inter- lion equity investment. released by Lansing-based vision series about agents new way to laud his devel- results and frequent up- national Northern Group owns Accident Fund Insurance Co. from the Detroit office of the Daoud opment guru, George Jack- dates as reported by the delega- the Penobscot Building, of America, which commis- U.S. Drug Enforcement Adminis- son Jr., Michigan Secretary of State’s tions, promoting diplomacy First National Building and sioned the survey, many of tration will be shot entirely president office or The Associated overseas and community Cadillac Tower on the east those jobs will be difficult on location in Detroit and of the De- Press. service through those orga- side of the Monroe Block. to fill because of a lack of will air this spring on Spike troit Eco- The companies say they nizations. qualified applicants. TV. “DEA” was created and hope the billboards will The center plans to pre- nomic is being produced by NBC Growth generate interest in voting sent Daoud with his award Omnicom cuts staff weatherman Al Roker and his Corp. ON THE MOVE in Michigan’s August and a $5,000 donation for the At least two of the Omni- New York-based Al Roker Pro- Kil- statewide primary and the International Visitors Coun- com Group agencies in De- Ⅲ M. Scott Bowen to ductions Inc. patrick, Ⅲ November general election. cil during a Feb. 12 ceremo- troit that handle advertising Michigan lottery commis- The Michigan Office of outlining ny in Washington, D.C. work for Chrysler L.L.C. re- sioner, from director of the Racing Commissioner on the city’s Kilpatrick duced staff Wednesday. Office of the State Employ- Wednesday granted a dead- Car dealer wins national deal with line extension until Feb. 1 Venture-funded companies BBDO Detroit cut about 75 er. He replaces Gary Peters, diplomacy award New York City-based North- employees, Advertising Age who resigned. for Post-It Stables Inc. to sub- in Michigan sit tight ern Group Inc. for a $150 mil- reported, and an undeter- Ⅲ J. Grant Smith has been mit its full track application Tarik Daoud, chairman lion entertainment, retail named president of Clarkston for a new Wayne County Michigan was conspicu- mined number were let go and owner of Al Long Ford and apartment complex on from PhD Detroit. State Bank and president thoroughbred race course. ous by its absence last year Inc. in Warren, is one of six the Monroe Block, said “if It was also believed a and CEO of Clarkston Finan- Ⅲ The U.S. Department of when it came time to tally recipients nationwide for Detroit gets pneumonia third Omnicom agency, Or- cial Corp., the holding com- Labor is suing Cincinnati- the first-ever National up how many companies when Michigan gets a cold, ganic Detroit, Chrysler’s digi- pany for Clarkston State based Fifth Third Bank to re- Awards for Citizen Diplo- had been funded with ven- then it’s George Jackson tal agency, would be cutting Bank and Huron Valley State cover losses to the Troy- macy. ture capital and then either who’s here to put on woolen staff. Amanda Van Nuys, vice Bank. Edwin Adler resigned as based Operating Engineers The award is given by the went public or were sold. blankets and bring the or- president of corporate mar- CEO of the holding compa- Local 324 Pension Fund from Des Moines, Ia.-based U.S. Not a single Michigan ange juice, echinacea and keting at Organic’s San ny but will continue as its investments in the trou- Center for Citizen Diplomacy company funded by VC did vitamin C.” Francisco headquarters, de- chairman. Dawn Horner re- bled 1001 Woodward Build- and recognizes recipients either last year, according “Dr.” Jackson just smiled clined to comment. signed as president of the ing in Detroit. for promoting cross-cultur- to the Washington-based Na- at the applause. BBDO would not say how bank and was appointed ex- Ⅲ Alan Ralsky of West many are being laid off in ecutive vice president of re- Bloomfield Township, Detroit. The office, after tail operations. known as the “Spam King,” staff reductions, will have Ⅲ Diane Durance to execu- was arraigned Wednesday 675 employees, said Roy tive director, Great Lakes En- in a case accusing him of We’re covering the auto show in different ways Elvove, director of corporate trepreneurs Quest, Ann Ar- making at least $3 million communications for BBDO bor, from executive by manipulating Chinese We’re in the midst of press days for Year profile, which you can read on North America. director, Spark Zone, Ann stock prices, The Associat- the North American International Auto Page 1. In the video posted online, Two years ago, the Detroit Arbor Spark. She succeeds ed Press reported. Show. you can see Gettelfinger speak about office had an estimated 1,100 Art DeMonte, who is now a In addition to the coverage on Pages the United Auto Workers’ historic staffers. About 220 were let business consultant. OBITUARIES 8 and 9 of this issue, we’re reporting contract with the Detroit 3 go in early 2006 after a round automakers. To watch the video and Ⅲ from Cobo Center all week in a few of Chrysler cost-cutting. THER NEWS Vincent Meli, former different ways. We’ll have breaking read profiles of our other 2007 O owner of Detroit-based J&J news updates with video about the newsmaker nominees, go to Ⅲ Chesterfield Township Cartage and Alco Express, www.crainsdetroit.com/newsmakers. auto suppliers we normally cover, as $100M grant program officials on Monday ap- who was also linked to the well as content from sister This past week also saw the launch of proved a recommendation Detroit mafia, died Jan. 7. publication Automotive News. You’ll targets SE Michigan Small Talk, a Web-only feature that will He was 87. find all our show coverage at that a 103-acre closed Army house all our small-business news and The Community Foundation www.crainsdetroit.com/naias. garrison near Selfridge Air Ⅲ Joseph Schram, retired WEB WORLD features, as well as exclusive content for Southeast Michigan and National Guard Base be re- vice president of sales for Speaking of cars, United Auto nine other foundations on Workers President Ron Gettelfinger Kevin Hill and how-to articles. If you own or work developed into parkland, of- John V. McCarthy and Associ- went in front of the Crain’s camera as in a small business, make sure to go to Tuesday launched a $100 fices and housing, The De- ates in Southfield, died Jan. part of his interview for his Newsmaker of the www.crainsdetroit.com/ smalltalk. million economic develop- troit News reported. 7. He was 80. DBpageAD.qxd 1/10/2008 9:55 AM Page 1 DBpageAD.qxd 1/3/2008 2:56 PM Page 1

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