20120716-NEWS--0001-NAT-CCI-CD_-- 7/13/20126:46PMPage1 ©Entire contentscopyright2012byCrainCommunicationsInc.Allrightsreserved ecutives Smith &WessonSecurityex- within 30days. tions Smith &WessonSecuritySolu- purchasing theassetsof Mehta President andCEO ing companyheadedby tal consultingandengineer- construction, environmen- subsidiary oftheDetroit — anewlyformedNashville nounced Friday. tween thecompaniesan- quisition agreementbe- Holding Corp. sidiary of perimeter securitysub- Group Inc FutureNet said. tune 500companies, al agenciesandseveralFor- stallations, 16distinctfeder- at morethan110militaryin- perimeter securityprojects has completed$130millionof will stayinNashville. FutureNet Security,which president, respectively,of dent andexecutivevice neth Grant Page 11 3rd quarterSBAloans, Page 8 suppliers: Isitworking? Coaching forminority-owned Rocker/CEO revsupsupplier Punk meetsmetal: have midwivesonthemove Health systems’changes Smith &Wesson subsidiary FutureNet Grouptobuy
NEWSPAPER www.crainsdetroit.com Vol.28,No.29 Crain’s Crain’s Second StageExtra This JustIn Page 3 Detroit-based Terms werenotdisclosed. FutureNet SecuritySolutions Smith &WessonSecurity of Franklin,Tenn., — planstocloseon List Wesley Foss . planstobuya will becomepresi- Smith &Wesson — ChadHalcom , underanac- FutureNet and Perry Ken- seek counselingafteranApril23ex- gents’ recommendationthatMartin with alcohol. pline onexecutivesforincidents lenges ofimposingcorporatedisci- a vacuum,anditshowsthechal- headlines lastweekdidn’toccurin dent SusanMartinthatgrabbed Michigan University nesses. lions ofdollarsinrefundstoMichiganbusi- by onestateestimateadduptohundredsofmil- awaiting actionintheMichiganSenate,could EMU president’s troublesreflectcorporatechallenges Deduction for materials,supplieskeyissue MBT redux:Refundsapossibility Local expertssaidtheboardofre- A recentreprimandby Advocates saybusinesshasbeenrightfully A smallchangeinbusinesstaxwording, CRAIN’S DETROITBUSINESS SPECIAL TOCRAIN’SDETROITBUSINESS B Y C HAD B Y H A ALCOM against Presi- MY L ANE Eastern get help,theuniversitypresident mended thatshe board recom- nesses. sities andbusi- as otheruniver- Eastern aswell surrounding political climate the timingand may berelatedto ter president change withanEMUalumnichap- After the JULY 16–22,2012 when lawmakersreturnforaone-daysession. the SenateRepublicancaucusWednesday the now-repealedtax. Tax bill.Thebillmakesnumerouschangesto the costliestiteminalargerMichiganBusiness als andsuppliesoverfouryearsofreturnsis issue surroundingthedeductibilityofmateri- due thatmoneyforthepastfouryears.But Senate Bill1037isexpectedtobediscussedin Martin BBK Ltd. field-based advisoryfirm ident andCEOoftheSouth- ragged, saidBillDiehl,pres- ers arerunningtheirplants creasing numberofsuppli- and productionmeananin- were idled. and hundredsofplants motive industrycontracted duction capacity. cope withpressureonpro- make contingencyplansto large andsmallsuppliersto auto salesareprompting Choices toughfor maxed-outplants this letterwaswrittenoutofcon- last weeksaidshewoulddoso. program orelsewhere,andMartin the school’semployeeassistance support andcounselingthrough recommended thatMartinseek Snow HealthCenter. cludes alcoholawarenessatEMU’s student wellnessprogramthatin- nate an$8,764raisethisyeartoa she wouldseekcounselinganddo- of fouryearsannouncedlastweek Surging NorthAmerican Today, risingautosales Three yearsago,theauto- “I canstateunequivocallythat The universityinaMay17letter CRAIN’S DETROITBUSINESS B Y D USTIN W ALSH “DETROIT INDUSTRY,”DIEGORIVERA/DETROITINSTITUTEOFARTS gested bythe think therevenueimpactwillbeashighsug- that bill,onWednesday,”hesaid. impact tothestate. and tryingtoclarifyquantifytherevenue roe, saidplanscallforreviewingfiscalanalyses Majority LeaderRandyRichardville,R-Mon- to ahalfbilliondollars. Supporters ofthelegislationsaytheydonot “We plantomoveallofthatbill,orpart Legislation supporterssayitisneededto mand isstillachallenge. but therapidriseinde- the mostrecentdownturn, phisticated comingoutof ers havebecomemoreso- tracts —andmidsize spend capitalorditchcon- facing bigdecisions— some smallsuppliersare Page 19 transmissions, efficient company’s fuel- president onthe North America Q&A with D MN RISES EMAND In SoutheastMichigan, the university.” the importantandpositiveworkof us andarecontinuingtoaddress said inastatementto gents ChairmanRoyWilbanks see herbesuccessful,”boardofre- President Martinandourdesireto cause oftheboard’ssupport gan University.Itwaswrittenbe- responsibility toEasternMichi- cern forPresidentMartinandour Michigan DepartmentofTreasury “We haveputthismatterbehind See Capacity,Page19 ZF See Alcohol,Page18 $2 acopy;$59year See MBT,Page20 say suppli- watchers mode. ning lated plan- in acalcu- pliers are large sup- Industry Crain’s ® . : up 20120716-NEWS--0002-NAT-CCI-CD_-- 7/13/2012 4:02 PM Page 1
Page 2 CRAIN’S DETROIT BUSINESS July 16, 2012
MICHIGAN BRIEFS Grand Rapids looks at linking plans to liquidate under Chapter 7 bankruptcy. The manufacturer of ‘wage theft’ to city contracts Oil spill report leaves pipeline firm with mud on its face metal-forming machines was ac- Grand Rapids officials are con- quired in 2005 by Monomoy Capital The Associated Press called it “the most expen- terpreted them. sidering new rules governing com- Partners LLC. sive onshore oil spill in history.” The head of the Na- In addition, NTSB investigators said, Enbridge panies that do business with the Ⅲ FireKeepers Casino near Battle tional Transportation Safety Board, which investigated, knew in 2005 that a stretch of pipeline near Mar- city after a McClatchy Newspapers Creek planned a job fair today. said that in studying the response to the spill, “you shall, about 95 miles west of Detroit, was cracked report last month on “wage theft” More than 300 openings must be can’t help but think of the Keystone Kops.” and corroded but didn’t perform work that might featured a Grand Rapids woman. filled by fall before its hotel opens, The target of the cop comment was the Canadian- have averted the rupture. Examples of wage theft include not along with an expanded gambling based pipeline company Enbridge Inc., which last The spill dumped about 843,000 gallons of heavy operation. An executive at the 3- paying overtime, paying less than week said it would wait until a final report before re- crude oil into the Kalamazoo River and a tributary year-old casino told MLive that it minimum wage, stealing tips or sponding. The U.S. Department of Transportation’s creek, contaminating more than 35 miles of water- currently employs 1,500 “thrill- misclassifying employees as inde- Pipeline and Hazardous Materials Safety Adminis- ways and wetlands. About 320 people reported makers.” So “Have a nice day” ap- pendent contractors. tration has proposed a record $3.7 million civil symptoms from crude oil exposure. parently isn’t good enough any- At the urging of the nonprofit penalty against Enbridge. Enbridge’s cleanup costs have exceeded $800 mil- more. Micah Center two years ago, Grand Oil began leaking from a 30-inch pipeline that lion. Ⅲ After Holland’s publicly owned Rapids Mayor George Heartwell runs from Griffith, Ind., to Sarnia, Ontario, on July The report also faulted weak regulation of En- utility spent a year studying commissioned a task force to 25, 2010. Although alarms sounded at the Enbridge bridge’s oil spill response plan by the federal whether it made sense to build its study whether wage theft is a control center in Edmonton, Alberta, staffers misin- pipeline administration. own wind farm — in part to meet problem. the state’s requirement that utili- “We found wage theft stories ties generate 10 percent of their en- everywhere that we went in this marks the hotel’s 125th anniver- fill’s nephew and current hotel and take on maintenance costs for sary — or about one year for every president. the 385-room wood-frame building ergy from renewable sources by city,” said Eric Foster, a task force 2015 — the city determined that the member and vice chairman of the story written about the hotel’s an- Ⅲ On July 11, 1939, the hotel had that shuts down for half the year.” niversary last week. 11 paying guests served by 411 em- Said Bob Tagatz, the hotel’s his- project wouldn’t fly because of a Grand Rapids Urban League. Heart- lack of (wait for it) wind. well said the city will study the One of those articles, from ployees. One would surmise that torian and concierge, “If someone task force’s proposal for cost and MLive’s Melissa Anders, offered customer service complaints were didn’t care about it and have an in- legal implications. these historical nuggets — or, if few. terest besides just the money side, Find business news from you don’t mind another obscure Ⅲ When the last recession hit in we wouldn’t exist — trust me.” around the state at crainsdetroit reference to the hotel’s traditions, September 2008, Musser said: “It .com/crainsmichiganbusiness. A hotel that has survived 125 years pecan balls: was like a light switch went off, MICH-CELLANEOUS Sign up for Crain's Michigan probably can call itself ‘grand’ Ⅲ In the early 1900s, the hotel and I’ve never been happy that we Business e-newsletter at crains leased space for illegal drinking have to close for half the year ex- Ⅲ Niles-based Hess Industries Inc. detroit.com/emailsignup. Although readers of this news- and gambling because it wasn’t cept for that year. We couldn’t paper generally identify the Grand making money on more tradition- close fast enough.” The survival Hotel as the mother ship of the De- al hotelier pursuits. strategy included cutting employ- CORRECTION troit Regional Chamber’s annual Ⅲ During the Great Depression, ee pay, benefits and work hours Ⅲ In the story “Employers’ deadlines for decisions now loom,” that be- Mackinac Policy Conference, the owner William Stewart Woodfill but not the number of staffers. gan on Page 1 in the July 2 issue, Advance Insurance Agency Inc. in War- Mackinac Island destination goes paid employees with room and Anders wrote, “There’s no line ren was given an incorrect company name. back somewhere in time. This year board, said Dan Musser III, Wood- of hotels wanting to buy the Grand
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July 16, 2012 CRAIN’S DETROIT BUSINESS Page 3 Oakwood grows midwife program Innovations: Energy tal were concerned they were los- Numbers dwindle at DMC as support fades ing too many deliveries to the mid- wives — many of whom have pri- BY JAY GREENE program, but Theodore Jones, lack of emergency coverage by the vate offices and see their own CRAIN’S DETROIT BUSINESS M.D., former director of DMC’s private group has led to a reduc- patients. program and now director of Oak- tion in the number of deliveries Officials for DMC declined to Oakwood Healthcare in Dearborn wood’s midwife program, said he performed by all midwives at comment about changes within its expanded its nurse midwife pro- believes one private group of ob- DMC. midwife program and referred gram earlier this year by recruit- stetricians and gynecologists at “Over the last six months, the comments to Wayne State. ing seven independently certified DMC has declined to work with support at DMC for the nurse mid- According to a statement by nurse midwives who are employed midwives for required emergency wife program has (diminished),” Robert Frank, M.D., Wayne State- by Wayne State University Physician coverage. Jones said. “It is hard to say exact- affiliated nurse midwives contin- Group and formerly affiliated with That has led to a shift to Oak- ly what happened.” ue to deliver babies at Hutzel and Detroit Medical Center. wood and other local hospitals for But Jones said he believes some other DMC facilities, including the DMC won’t talk about changes midwives. of DMC’s private practice obstetri- Novi company’s food waste to its decades-old nurse midwife Sources told Crain’s that the cians at DMC Hutzel Women’s Hospi- See Midwives, Page 21 digester feeds into drive for renewable energy, Page 12
Expansion has Company index These companies have significant mention in this Salvation Army week’s Crain’s Detroit Business: Alpha Group ...... 22 Bank of America ...... 19 BBK ...... 1 looking to hire Blue Cross Blue Shield of Michigan ...... 13 Brighton Center for Recovery ...... 18 Brooks Wilkins Sharkey & Turco ...... 19 Job fair set; up Carhartt ...... 4 Citizens for Better Care ...... 5 Comerica Hatch ...... 22 to 200 openings Consumers Energy ...... 12 Conway Mackenzie ...... 9 BY SHERRI WELCH Denso International America ...... 19 CRAIN’S DETROIT BUSINESS Detroit Central City Community Mental Health . . . . 17 The Salvation Army ARC is looking Detroit Medical Center ...... 3 to hire 150-200 people by August to Dow Corning ...... 10 help it run its growing chain of DTE Energy ...... 13 Eagle Advancement Institute ...... 18 thrift stores in the region. Eastern Michigan University ...... 1 And those jobs are just the be- EcoMotors International ...... 12 ginning. Elijah McCoy U.S. Patent and Trademark Office . . . 10 In the coming year, the Salvation Ford Global Technologies ...... 10 Army Southeast Michigan/Romulus FutureNet Group ...... 1 Adult Rehabilitation Centers plans to Goodwill Industries of Greater Detroit ...... 21 relocate its New Baltimore store to Henry Ford Health System ...... 21 a larger, more visible site in DAVID LEWINSKI IHS Automotive ...... 19 Chesterfield Township and its Off-road aftermarket Jeep components are part of the picture for Livonia-based supplier Quality Metalcraft Inc., led by Indianwood Golf and Country Club ...... 22 CEO and punk rocker Michael Chetcuti. Bruce Township store to the same ITC Holdings ...... 13 type of location in Romeo. Kalitta Air ...... 17 It also plans to expand stores in Key Plastics ...... 19 Southfield and Livonia and open National Air Cargo Group ...... 17 new stores in Taylor and Ypsilan- National Industrial Supply ...... 9 ti. Collectively, those moves will High gear, low volume Newtech3 ...... 9 create an additional 100 jobs. Novi Energy ...... 12 In 2014, the Salvation Army Miller Canfield ...... 20 hopes to expand its stores in Quality Metalcraft revs up portfolio, not production runs Oakwood Healthcare ...... 3 Washtenaw County and move into Oakwood Hospital and Medical Center ...... 21 Original Equipment Suppliers Association ...... 19 St. Clair County. BY JOSEPH LICHTERMAN Quality Metalcraft’s payroll, and Pension Benefit Guaranty Corp...... 5 It’s also opened five new ware- CRAIN NEWS SERVICE “the phone won’t stop ringing” Piston Automotive ...... 19 with new business, Chetcuti said. houses, giving it eight in all, said We’ll do anything Quality Metalcraft ...... 3 Merle Miller, administrator of the Michael Chetcuti is a job cre- “ Last year, Quality Metalcraft and St. John Providence Health System ...... 18 Salvation Army ator. He even has a T-shirt to with a piece of metal American Expedition Vehicles — prove it. Salvation Army ARC ...... 3 Southeast Michi- one of Chetcuti’s other business Service Brands International ...... 16 Chetcuti, 48, is CEO of Quality gan/Romulus if there’s a dollar ventures, which sells off-road af- Standard Components ...... 8 Metalcraft Inc., a supplier that spe- ARC, which em- termarket parts for Jeeps — had Tanner Friedman ...... 18 ploys more than cializes in manufacturing proto- on it. about $100 million in total rev- UAW Local 174 ...... 20 1,200 people. types and low-volume production ” enue, he said in a December inter- United Way for Southeastern Michigan ...... 5 “During our parts. The Chevrolet Volt under- Michael Chetcuti, view. University of Michigan ...... 9 growth period, body, Chevrolet Camaro ZL-1 Quality Metalcraft Inc. Wayne State University ...... 3, 18 we haven’t been hood and Cadillac CT-S coupe un- ZF North America ...... 19 able to fill all the derbody are all manufactured by tion floor at the company his fa- Low volume, highly competitive positions we’ve Quality Metalcraft at its metal ther, Al, started in 1964 with eight Chetcuti understands that Department index Miller had available,” processing facilities. business partners. Quality Metalcraft can’t compete said Jacqulynn Idzior, Salvation The Livonia-based company fo- Chetcuti wears sneakers, jeans, with larger firms that manufac- BANKRUPTCIES ...... 18 cuses solely on limited produc- dark glasses and, yes, a gray T- Army ARC director of operations. ture parts and bodies on a mass BUSINESS DIARY ...... 14 “Ads on Career Builder, foot tion runs and is expanding its shirt emblazoned with “Job Cre- scale. CALENDAR ...... 15 traffic were just not getting as portfolio outside the automotive ator” in bold black letters under a “If you said you needed 50,000 many qualified people as we need, sector to diversify its business black zip-up sweatshirt as he ex- (units), we wouldn’t be very com- CLASSIFIED ADS ...... 17 so we thought we’d try to tackle and remain competitive. plains the production process on petitive,” Chetcuti said. “The low- JOB FRONT ...... 16 this in a different arena.” Chetcuti, called Chet by nearly a tour through the supplier’s er the volume, the more competi- KEITH CRAIN...... 6 everyone who knows him, began 250,000-square-foot facility. LETTERS...... 6 See Salvation Army, Page 21 working at age 18 on the produc- More than 500 people are on See Metalcraft, Page 20 MARY KRAMER ...... 7 OPINION ...... 6 Don’t let summer slip by Getting to work OTHER VOICES ...... 6 People on the move, job postings and other THIS WEEK @ Check out what the weekend holds with “10 PEOPLE ...... 16 Things to Do in Detroit,” posted every Thursday career information can be found at Crain’s WWW.CRAINSDETROIT.COM afternoon at crainsdetroit.com/tenthings. Job Front at crainsdetroit.com/jobfront. RUMBLINGS ...... 22 WEEK ON THE WEB ...... 22 20120716-NEWS--0004-NAT-CCI-CD_-- 7/13/2012 4:00 PM Page 1
Page 4 CRAIN’S DETROIT BUSINESS July 16, 2012 Carhartt works store expansion plans, considers Detroit-area site
BY CHAD HALCOM ingham, he said. give a nod to the quality of an in- CRAIN’S DETROIT BUSINESS “With all that’s happening again store product, and it’s got street- downtown, that also might not be a wear appeal.” Dearborn-based Carhartt Inc. will bad fit for a stand-alone store,” he Chad Halcom: (313) 446-6796, Business on Need growth capital? When businesses open its seventh corporate-owned face the up-and-down demands of said. “There’s a certain cool factor [email protected]. Twitter: retail outlet next month and plans to it, the work-wear roots would @chadhalcom the rise? growth, purchasing goods, or even to make to have nine stores in eight states payroll, Crestmark’s service and by late fall. innovative solutions can be the answer. The work and branded clothing Providing accounts receivable financing and manufacturer-distributor has leased a store in the Loop district of asset-based lending to small- and mid-sized Chicago. Set to open in late August, businesses nationwide for over 15 years. the store will be Carhartt’s second in that city and has a design motif Contact us today! reflecting the region’s textile indus- CATERING Scott Frederick try, compared with an iron work- Matt Dekutoski ers theme at the Wicker Park loca- www.crestmark.com tion it opened in April 2011. 888.999.8050 Anntreal Hemmingway-Smith A store in Woodbridge, Va., will “The Pig Roast was a big hit OVER $100,000,000 PROVIDED TO NEW CLIENTS IN 2012 follow using a military “supply de- and great end to the day. pot” design theme, then a tempo- Nothing but smiles from rary location at the Mall of America in Bloomington, Minn., will open ear to ear. Way beyond our by late October, said Carhartt COO expectations.” Linda Hubbard. Based on that store’s performance, the company - Philip Shelton - Tournament Director U.S. Amateur Disc Golf Championship could choose a permanent location in the Minneapolis market in 2013. The company is also considering Catering Food Service Management store sites in the Pittsburgh, Cleve- land and Milwaukee areas under a multiyear retail development plan Celebrating more than 30 years of — along with a possible hometown store in Southeast Michigan. spectacular events. “Certainly, Carhartt has a great affinity for Detroit,” Hubbard said. 248.608.0690 “We’ve been here 123 years in the region and have a soft spot for it. So we definitely will consider it, along with other cities. But it has to be a good business decision and fit well with the larger rollout strategy.” The retail push began in June 2009 with Carhartt’s first corpo- rate-owned store, in Portland, Ore. It is focused for now in areas with large populations of blue-collar workers in major cities where the company doesn’t already have a sizable network of retailers with Carhartt distributor agreements, Hubbard said. Carhartt products are sold in more than 100 metro Detroit retail stores, many of them locations of Waterford Township-based Dun- ham’s Inc. or Grand Rapids-based Meijer Inc. Hubbard said the retail push is also to find customers who want a broader selection than the retailer network can offer. “Another part of the thought be- hind that is we really wanted to be able to introduce the brand to a larger number of blue-collar work- ers that may already know the brand, to understand and make greater use of the brand,” she said. Ed Nakfoor, a Birmingham- based retail analyst and public rela- tions consultant, called Carhartt’s one-year expansion from three stores to seven “impressive growth.” He said he could see a vi- able Carhartt store in the Detroit area, even with the company’s siz- able network of other retailers. The chain could be benefiting from a post-recession consumer sentiment for “real workers” and America’s manufacturing roots and disaffection for Wall Street banks after the market collapse of 2008, Nakfoor said. Possible store sites could be along the Woodward Avenue corridor including Mid- town Detroit, Royal Oak or Birm- 20120716-NEWS--0005-NAT-CCI-CD_-- 7/13/2012 5:18 PM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 5 Pension agency to administer plan for United Way, other nonprofits
BY SHERRI WELCH sions involving the pension plan. CRAIN’S DETROIT BUSINESS That could include contracted vendors, in- vestment committee members and others After a 2½-year review, the Pension Benefit who acted as a fiduciary for the plan. Guaranty Corp. has agreed to assume adminis- Created by the Employee Retirement In- tration of the underfunded pension plan for come Security Act of 1974, PBGC operations the United Way for Southeastern Michigan and are financed by insurance premiums set by numerous other nonprofit employers. Congress and paid by sponsors of defined The move ensures that the plan’s 1,572 benefit plans, investment income, assets vested participants will all receive the maxi- from pension plans run by PBGC and recov- The Florine and J. Peter Ministrelli Women’s mum benefits under federal law. eries from the companies formerly responsi- Heart Center, MPURE But it doesn’t erase liabilities for the 18 ble for the plans the PBGC takes over. nonprofit employers that remained in the Cis Maisel Kellman Endowed Fund plan until its termination in March 2010 — for Women’s Heart Health or for those employers that were in the plan Fund history for the five years prior to that termination, Established in 1945 by United Community Ser- the PBGC said. vices, which merged with United Way in There were at least 31 agencies in the plan 1995, the United Way pension plan was during those five years, according to reports formed to lessen administrative costs and im- from Crain’s. The PBGC is covering the prove benefit coverage for smaller nonprofits. plan’s shortfall of nearly $24 million. But it It had been adequately funded until 2004, will seek to recover that amount, collective- but poor market returns and declines in in- ly, from the employers that contributed to terest rates increased agency liabilities. the plan within five years of its termination. United Way and the pension advisory The agency also plans to seek termination board informed the plan’s 55 other nonprofit premiums of $1,250 per participant from the participants late in 2004 that the plan was employers, adding up to about $2 million for underfunded. In March 2005, United Way Walter & Marilyn Wolpin Comprehensive three years, which will help cover its costs froze the plan, preventing further accrual of Breast Care Center to administer the plan. benefits and the addition of new employees. But the employers won’t have to make up By the end of 2006, United Way and its Beaumont Women’s Urology Center – what others don’t or can’t pay, the PBGC predecessor organization, United Commu- Gift from Susan E. Cooper said, adding that it often settles with em- nity Services, had the largest liability, ow- ployers based on their ability to pay. ing a shortfall of $4.16 million, or 18.5 per- cent of the total liability. The two employers with the next-largest How can people Distressed pension liabilities as of the end of 2006 were Detroit- The pension plan, formally known as the based Catholic Social Services of Wayne County, Employee Benefit Plan for United Way for owing $2.23 million, or 10 percent of the to- Southeastern Michigan and Affiliated Agen- tal, and Adult Well Being Services in Detroit, who never went to cies, had assets of $29.8 million when it was with a shortfall of $1.15 million, or 5 percent. terminated. It was underfunded by $23.6 mil- Between 2005 and July 2008, 20 agencies lion, the PBGC said. disaffiliated, creating mirror plans to cover medical school Detroit-based United Way, the plan’s for- current and former employees. mer administrator, deferred all comment to Another five nonprofit employers with- the PBGC. drew from the plan over the same period, pay- But in a July 3 letter sent to employers ing their liabilities and leaving their past and save women’s lives? that were participants in the plan during the present employees as “orphans” in the plan. past five years, United Way said the decision United Way replaced itself as plan admin- Behind the innovative specialty centers, the renowned to file was driven in part by the financial dis- istrator and Mutual of America as record keep- physicians and the lifesaving research in women’s tress the plan was under and the difficulty er in July 2008. Toledo-based Findley Davies that participating agencies were having in Inc. took on responsibility for record keep- health at Beaumont are some very special people. keeping the plan fully funded. ing at that point and Comerica Inc. for over- “We believed this was the best course of seeing investments and retiree benefits for Community and business leaders who inspire us by action to attempt to preserve most of the the plan’s remaining nonprofit members. their very commitment to us. By their energy and their benefits the participants in the pension plan Just before filing its appeal to the PBGC to generosity. And by their desire to help women they’ll were owed,” United Way CEO Michael Bren- take over administration of the pension nan said. plan, United Way withdrew from the plan in never meet. As plan sponsor, United December 2009, as did the Children’s Aid Soci- Way is working with the ety and Franklin-Wright Settlements Inc. Their gifts have allowed Beaumont to establish the PBGC to finalize termina- “The folks running the plan didn’t know first Women’s Heart Center in Michigan and the fi rst tion paperwork, turn over what they were doing,” said Champagne, Women’s Urology Center in the Midwest. And to offer necessary documentation who negotiated pension and health care ben- and coordinate the trans- efits for the United Auto Workers for 20 years breast cancer patients the most advanced treatment fer of assets and process- before joining Citizens for Better Care. options available anywhere. ing to the PBGC, he said. When the plan was rich, well before Bren- The federal agency will nan’s tenure at United Way, administrators Most of all, these people prove that it doesn’t take a now communicate direct- declared a premium holiday, which gave medical degree to save women’s lives. ly with the employers con- Brennan employers a break from making a payment, nected to the plan and expects to do so with- Champagne said. All it takes is a heart. in 60 days, Brennan said. At the same time, they gave benefit in- The years-long pension issue has been “a creases for participants, “a deadly combina- financial albatross” that’s difficult to ex- tion,” she said. plain to potential funders and donors, said A number of the employers in the plan in Laura Champagne, managing director of De- the past had talked about suing United Way troit-based Citizens for Better Care, one of the over what they perceived as mismanage- 18 employers that remained in the plan be- ment, she said, adding that fiduciary liability fore its 2010 termination after ceasing its insurance would have covered the shortfall. A Not-for-Profi t Provider own contributions in 2007 in part because of But many of the employers in the plan financial distress, but also because of its un- were funded by United Way at that time and ease over its estimated obligations. didn’t want to compromise their funding by “It’s unfortunate that previous United suing, Champagne said. Way administrators have saddled Detroit- The issues appear to be coming to an end, area nonprofits with this untenable econom- “and Citizens for Better Care looks forward to ic burden,” she said. a conversation with the PBGC that will final- Find out how you can save lives, too. If you would Though United Way no longer has a fidu- ly allow us to better manage the pension oblig- like to make a gift, please go to our website at ciary responsibility to administer the plan, ation and get on with the business of protect- foundation.beaumont.edu or click on the code the PBGC said it has three years to review ing our vulnerable seniors,” Champagne said. with your phone. any actions taken not only by United Way as Sherri Welch: (313) 446-1694, administrator but anyone who made deci- [email protected]. Twitter: @sherriwelch 20120716-NEWS--0006-NAT-CCI-CD_-- 7/13/2012 6:04 PM Page 1
Page 6 CRAIN’S DETROIT BUSINESS July 16, 2012 OPINION OTHER VOICES Martin, EMU can Computer modeling boosts biz Relatively recent ad- track billions of charged reason to rev up their research en- vances that link product droplets moving through gines to speed U.S. economic design and manufacturing an electric field to under- growth. are helping companies stand how to drive up per- Here’s an example of what can move past incident across Michigan expand formance of our “turbine- happen: When L&L Products in their product offerings less” electrohydrodynamic Romeo started using HPC simula- while lowering develop- wind energy technology. tions in its business, revenues rose ime to get back to work — for Eastern Michigan Univer- ment and manufacturing This predictive innova- from $150 million to more than sity President Susan Martin, EMU’s board of regents, costs. tion approach has shown $250 million, and employment T employees, alumni and supporters. The processes of pre- us how to build and test grew from 350 to 600. Imagine what The private reprimand regents issued to Martin in mid- dictive innovation and hardware that radically could happen if all of Michigan’s Dawn White May about a drinking-related incident became public last digital manufacturing improved results while 3,500 small and midsize manufac- have the potential to revitalize providing direction on how to turers now using some computa- week and the furor began. Did the board leak the reprimand? Michigan’s manufacturing sec- bring a commercial product to via- tion tools could accomplish the Does the EMU president have a drinking problem? The story is tor. And soon, Michigan compa- bility. same transformation. The Nation- giving online comment boards plenty of grist. nies may have access to best-in- Many Southeast Michigan com- al Center for Manufacturing Sci- Martin self-reported the incident — a heated, profanity- class resources for their panies can benefit from these same ences, based in Ann Arbor, is laced argument with an alumni chapter president — to the implementation. tools. A recent study showed that working to establish the nation’s The use of computer modeling to there are 10,000 small and midsize first Predictive Innovation Center board chair four days after it occurred, Crain’s learned. But accelerate product development manufacturers in Michigan with to help these companies start that within weeks, the incident may have been leaked; the Detroit and improve performance isn’t re- fewer than 500 employees. These process right away. Free Press filed a Freedom of Information Act request to re- ally new, but the greater power companies make limited use of That means that the roughly ceive Martin’s personnel file, setting off the chain of events and ease of use of major computer computation; only about 30 per- 140,000 employees at these compa- that led to her own public release of the reprimand and, by codes and increased access to high- cent have the capability to employ nies today could grow to 280,000 performance computation (HPC) HPC modeling and simulation new jobs, and with an indirect job week’s end, her pledge to undergo counseling. through the cloud are changing strategically. multiplier for advanced manufac- In a week when another university — Penn State — was the game. Detailed new insights Forty years ago, most corporate turing of about 5:1, a total of up to chastised for not dealing with important issues appropriately, are driving predictive innovation research and development was 1.4 million new jobs could result. it appears the EMU board handled the issue appropriately — and digital manufacturing. performed by Fortune 500 compa- That’s a vision worth implement- and privately. As an example, Accio Energy nies. Today, about 60 percent of re- ing. uses high-performance computa- search is conducted by small and Dawn White is president of Ann Martin was named president at EMU in 2008; she has tion and customized models to midsize manufacturers, a great Arbor-based Accio Energy Inc. worked steadily and successfully to repair the university’s rep- utation, tarnished by scandals in the administrations of her two predecessors. Her latest review, according to the Free Press, in- cluded high scores from regents for “an overall excellent job.” As Chad Halcom reports on Page 1, alcohol is a big part of public life — and business life. Properly dealing with incidents LETTERS can be a management challenge. Martin will now be under a microscope — as have other of- ficials who have found themselves in similar predicaments. Aluminum the better material Both Martin — and EMU — can survive. And thrive. Editor: cent Ducker Worldwide survey of The July 2 article “Lighter, Crain’s Detroit Business automakers. stronger: Severstal says it has win- welcomes letters to the editor. As manufacturers look for a Hold off on spending surplus All letters will be considered for ning strategy” highlights the im- fast, safe and cost-effective materi- publication, provided they are portance of vehicle weight reduc- al to reduce both fuel consumption Advice to Lansing: Don’t spend any budget surplus yet. signed and do not defame tion as automakers face stricter and greenhouse gas emissions, Gov. Rick Snyder has touted his financial chops as a certi- individuals or organizations. fuel economy and emissions stan- you can bet they’ll rely on alu- fied public accountant, the first CPA to be elected governor. He Letters may be edited for length dards, but does a disservice to and clarity. minum. led the successful effort to overhaul the state’s business tax. readers by focusing on steel solu- Randall Scheps tions. Write: Editor, Crain’s Detroit Chairman, Aluminum Association’s The Michigan Association of Certified Public Accountants Business, 1155 Gratiot Ave., In fact, in a survey DuPont re- aluminum transportation group is now leading the charge to amend the now-dead and unla- Detroit, MI 48207-2997. automotive marketing director leased earlier this year, automak- mented Michigan Business Tax. If legislative changes suggest- Alcoa ers cite aluminum — not mild steel Email: [email protected] ed by the MACPA are put in place, Michigan companies could and not high-strength steel — as be owed millions in refunds. As Amy Lane reports on Page 1, “the most helpful material” to Green space wrong that’s based on state estimates on the impact of, among other meet the new standards. of high-strength steels.” The fact is that automakers are priority in these times things, a different interpretation for deductions on materials To put a finer point on it, an arti- cle in WardsAuto, “Steel Domi- shifting, now more than ever, Editor: and supplies. nance Fading in Future Auto Bod- away from steel toward alu- The article in the July 2 edition Refunds could put a dent in Snyder’s short-term budget ies,” quoted a Honda executive as minum. Auto aluminum use is at about how Henry Ford aims to sow plans for Michigan. If so, we could call the refunds “the re- saying, “We’re approaching the an all-time high, and expected to venge of the CPAs.” practical limits of the application double by 2025, according to a re- See Letters, Page 7 KEITH CRAIN: World doesn’t seem to be getting better I happened to be gone last week, prosperity that seems to into the quicksand. Sort example of a political party and po- tics. for a week. Spending some time in be evident in pockets of like many in Italy, litical system that have been toler- Detroit seems to be hurtling to- Europe changes your perspective around Europe. Al- where a lot of the popu- ated for decades. ward the cliff without any sense of on what’s going on in the United though there seem to be lation seems to be able Meanwhile, chaos continues to the enormous consequences that a States. all sorts of economic to ignore the current reign in Detroit government as the bankruptcy of this city will hold Make no mistake, there are challenges, things are business climate and city gets closer and closer to bank- for everyone. some very serious problems in Eu- looking pretty good on continue with business ruptcy. Yet every day, businesses It may well be far past the point rope, and in all likelihood they will the surface. It’s an as usual. open up and life continues for the of no return. Even if it isn’t, there sooner or later come to the U.S. amazing contradiction. Every day there is vast majority of citizens and busi- doesn’t seem to be anyone in pow- and have a negative impact on an It’s not unlike De- some new revelation nesses in our city and region. er in Detroit with the resolve to do already weak economy. troit. Businesses seem about the situation in I am not sure what it will take what has to be done before we go No one has any idea how it’s go- to be moving along, do- Wayne County — for the citizens of Italy to realize over the cliff. ing to play out in Europe, and un- ing what has to be done where, it would seem, that this time, it’s real. In many It’s probably too late for any res- fortunately only time will tell. regardless of what’s around them. there has been an existence of parts of Europe, people are rioting cue. Now we can sit by on the side- But I have to admit what really Government seems bent on contin- cronyism for decades. Our county to show their anger and frustra- lines and watch the consequences. surprised me is the amount of uing its slide deeper and deeper executive is only the most current tion about the economy and poli- Just like Europe. 20120716-NEWS--0007-NAT-CCI-CD_-- 7/13/2012 6:05 PM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 7 MARY KRAMER: Culture change could help Detroit schools
Pop quiz: Which is the one pub- charter high schools principal of the Rowe- reading and math, with 70 minutes of foundation funding school reform ef- lic high school in Detroit that pro- with astonishing track Clark campus in Chica- instruction on each every day. forts, is a veteran of Southfield pub- duces graduates who are consid- records for graduates go’s Noble network of And it’s aspirational. Noble lic schools. ered “college ready,” with ACT moving on to college. charter schools, gave us school hallways are lined with col- Chicago still has a long way to go, scores of 20 or more? Charles Payne, a the Noble model. lege pennants. Students are encour- but Detroit is even further behind. Answer: It’s not Cass Tech. Re- school reform expert It starts with disci- aged to study and start thinking But the “culture comes first” im- naissance High School — like from the University of pline and structure; stu- about where they want to go to col- perative is one that should resonate Cass, a school that requires admis- Chicago, told us the se- dents earn demerits for lege from the moment they enter with business people — and fun- sions tests — is the only school. So cret sauce is simple: everything from sloppy high school. ders. what kind of future can Detroit Culture trumps in- shirttails to “talking out Interestingly, Tenbusch is one of a have with only one public school struction. That senti- of turn.” It’s a twist on handful of school reformers in Mary Kramer is publisher of preparing students successfully ment is not unlike Good the “broken window” Chicago with strong Detroit ties. Bob Crain's Detroit Business. Catch her for college? to Great author Jim theory of policing, one Boik, chief of staff for Chicago Public take on business news at 6:10 a.m. And why doesn’t Detroit have Collins’ pronouncement that “cul- administrator told us. They sweat Schools, worked in Detroit’s public Mondays on the Paul W. Smith show more schools like Renaissance? ture eats strategy for lunch.” the small stuff so it never gets big. schools under two emergency man- on WJR AM 760 and in her blog at Creating small, high-quality So how do you build culture? De- Academic rigor is next; freshmen agers. Terry Mazany, president of www.crainsdetroit.com/kramer. high schools is a huge part of the troit native Joe Tenbusch, founding and sophomores “double up” on the Chicago Community Trust, a E-mail her at [email protected]. school reform movement — in De- troit and across the country. Last week, I was part of a contingent of Skillman Foundation board mem- bers who spent two days in Chica- go listening to school reform veter- ans and visiting high-achieving A LOAN WITH LETTERS CONTINUED
■ From Page 6
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Questions remain on bridge issue Editor: Keith Crain’s column in the June 18 edition (“Matty, it’s time to let them build the bridge”) has triggered a whole lot of ques- tions, at least for me. Where, exactly, is this new bridge going to be located? Who will be paying for the Michigan side, the infrastructure that leads to this new bridge? Who runs Michigan’s part of the operation? The governor, the Canadians or the people of Michigan? Who’s in charge? And how much more time and fuel will be required to get to and from the new location? It sure seems that those of us using the new bridge will bear a lot of the additional cost as indi- viduals and companies. Joel Bussell Adjunct faculty emeritus University of Phoenix Detroit 20120716-NEWS--0008-NAT-CCI-CD_-- 7/13/2012 3:59 PM Page 1
Page 8 CRAIN’S DETROIT BUSINESS July 16, 2012 Extra OPEN FOR BUSINESS Patent office expected to cut time, costs, Page 10
growing small businesses A CONVERSATION WITH Coaching for growth Brian DeBano, Michigan Restaurant Association Program helps minority-owned suppliers diversify;
Michigan’s food industry is growing. A report released last week by the federal process, ROI debated as backers seek renewed funding Bureau of Labor Statistics found that the state’s food service industry added 4,600 jobs during the 12-month period BY MEGHANA KESHAVAN ending in May. Brian DeBano, president SPECIAL TO CRAIN’S DETROIT BUSINESS of the Michigan Restaurant Association, spoke with Crain’s reporter Nathan Skid terling Heights-based Standard Compo- about the areas of growth for restaurant nents Inc. went through a painful — chains, food distributors and S but crucial — business analysis and independent operators. improvement program so it could success- fully diversify into new lines of business Why are restaurants and other food and operate its automotive business more industry employers hiring? efficiently. Independent operators are opening in The company was one of 21 minority- Michigan, but chains are opening, too. owned auto suppliers that received inten- I think the encouraging thing is the sive coaching and consulting through De- growth seems to be in a lot of sectors, troit’s Urban Entrepreneur Partnership not just fast food. program. The program aimed to help 150 I think the increase in restaurant jobs is minority-owned automotive suppliers in a factor of Michigan’s economy showing the metro Detroit area diversify. signs of life. I think, in a lot of ways, as Results from the Ewing Marion Kauffman Michigan’s economy grows, restaurants Foundation-backed initiative have been grow. Travel is on the grow too, which mixed, however. While some companies at- really helps since Michigan’s restaurant tribute revenue growth to the UEP’s ef- industry is affected by tourism — as forts, critics say return on investment data people get more disposable income, is inconclusive and that not enough com- they will venture out more. panies were helped. Supporters say UEP helps companies get Which sector of the industry was hit to the next level. hardest during the downturn? The The business improvement process was independents were hurt the worst. rigorous, said James Wilkins, president BRENDAN ROSS When the economy collapsed, the and CEO of Standard Components. President and CEO James Wilkins submitted Standard Components Inc. to the Urban Entrepreneur corporations could survive and sustain, “They analyzed every aspect of our busi- Partnership coaching program to help the company diversify into new lines of business. but the independent operators were the ness — supply chain, marketing, manage- ones that couldn’t survive. It’s nice to ment, our financials — and they didn’t initial goal was to help minority suppliers Daryl Williams, president and CEO of see those come back. spare us,” Wilkins said. “It was an impor- expand into markets like aerospace, med- the UEP, said a priority has been to build a tant process, but painful. It felt like they ical devices and agricultural equipment. replicable model for minority business How is membership at the Michigan were calling our baby ugly.” Ric Monkaba, a senior UEP consultant, growth that could help companies in other Restaurant Association? We saw About 60 percent of the company’s busi- said the recession created a sink-or-swim cities. membership decline as the economy ness is automotive, and 40 percent is in environment for many minority suppliers, UEP outposts in New Orleans, Florida, declined. A lot of it was because aerospace, Wilkins and many caved under Missouri and Texas focus mainly on small- restaurants were just simply going out said. Standard Compo- of business. financial pressure. business growth. The program in Detroit nents was already “Every sector got hit is thus far the only one to help larger mi- We had a peak in 2005. At that point, They analyzed working on branching nority-run companies grow revenue. we had about 2,500 members. But it “ hard with the downturn out into the aerospace in automotive, but the Monkaba, a former General Motors Co. dropped to 1,900 in 2011. industry before getting every aspect of our feeling was that the one plant manager who oversaw more than The interesting piece to all of this is that involved with UEP — business. ... It was an sector that got hit worse 4,000 employees and a $500 million operat- the restaurant number has not changed in 2009 it was named a than the rest was minor- ing budget, consults out of UEP’s TechTown- as much as the membership number … preferred supplier by important process, ity-owned,” he said. based office with two other industry veter- maybe one guy bought out another Savannah, Ga.-based The UEP was started ans. Coaches from Bloomfield Hills independent operator, so if he buys Gulf Stream Aerospace but painful. business advisory firm Fulcrum Edge Inc. another business, my membership Corp. And it has been in 2004 by the National Ur- ” and the Michigan Aerospace Manufacturers went down, but the number of bolstered by the auto ban League, a civil rights restaurants stayed the same. James Wilkins, Association in Warren also helped guide industry’s recent re- organization in New Standard Components company leadership. bound in addition to York City with roots dat- What about total employment levels? the UEP help. ing back to 1906. The NEI grant ends in October, so as We are at about the highest “We were fortunate because we were al- The Kauffman Foundation, a nonprofit year three winds to a close, the program’s employment levels since September ready deemed a key supplier, so we didn’t focused on entrepreneurship and business backers are looking to renew funding of 2008 as far as people working in get hurt too bad by the downturn,” Wilkins growth and based in Kansas City, Mo., through 2015. the restaurant industry. We peaked in said. “And after (the automakers) came out took control in 2005. Williams said the UEP is working with June of 2006 at 321,800, and now of bankruptcy, there were fewer players in In Michigan, roles were initially divided other grant providers in Michigan to ex- we are 301,700 through May, and it the sandbox, so to speak, so we’ve done among the NEI, the Kauffman Foundation tend funding and expand the program’s seems to be growing still. well.” and the Michigan Minority Supplier Develop- services across the state. June is always the high-level mark each ment Council. It can point to several success stories, year, and we are a seasonal industry. The MMSDC identified the 150 target such as Standard Components. The compa- It’s all positive, but nowhere near where The goal suppliers, and the UEP analyzed each com- we were in 2006. It’s growth, but it’s ny reported revenue of $11.1 million in UEP Detroit launched in 2009 and oper- not, “Hey, we are back to where we pany and provided feedback to companies 2011 and expects $12.8 million in 2012. ates with a $3 million, three-year grant were.” There is still a long way to go. that might not have had the resources to from Detroit’s New Economy Initiative. Its independently employ outside consultants. See Page 9 20120716-NEWS--0009-NAT-CCI-CD_-- 7/13/2012 10:36 AM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 9 Second Stage Extra
From Page 8 back to the Detroit 3 because they order in higher volumes than other Another success story is industries might,” Monkaba said. Newtech3 Inc., a Wixom-based low- “It’s been a challenge to convince volume manufacturer of wire har- companies to stay in it for the long nesses and circuit boards. haul.” Jack Long, president of He said that there’s also a bias Newtech3, said the UEP created a against minority suppliers. plan based on the company’s per- “Some minority suppliers were formance and potential. It was ad- propped up by the automotive in- vised to expand into agricultural dustry,” he said.“So that’s what and miscellaneous manufacturing. our job became: to cull out the best The UEP helped streamline the of the best,” he said. “The compa- company’s processes and make im- nies we deal with are high-perform- portant introductions, he said. ing companies who happen to be “The UEP helped us tailor our minority-owned.” bidding processes so we only ap- proached new markets whose needs fit our capacity.” Criticism comes The company projects $4 million Louis Green, president of the in sales this year — up from $1.5 Michigan Minority Supplier Devel- million in 2009. opment Council and a former UEP “The UEP helped us take a more Detroit board member, said that focused, narrow, planned ap- while the UEP is a well-intentioned proach to business,” Long said. “A effort, he doesn’t think it accom- You need working capital. We have it. small business doesn’t have to run plished what it set out to do. by the seat of its pants — it can run “Twenty-one companies out of like a large business, and the UEP 150 — those are not the results you showed us you just have to scale it Hennessey Capital helps entrepreneurs on their journey to success by want to see over three years,” he to your size.” said. “The companies that were offering the working capital they need to grow their business Mary Brett, president of National successful were great companies Industrial Supply Co., a Troy-based and realize new opportunities. already, so it’s not clear to me what supplier, said that without the incremental value the UEP UEP it would have been extremely brought to make them more suc- difficult for her company to com- cessful.” plete the change needed to stream- Let us put our growth capital and financial UEP Detroit’s website still lists line its processes. The family-run the MMSDC as a partner along wisdom to work for your business! company sells custom industrial with the Kauffman Foundation and chains and wire ropes to automo- the New Economy Initiative. But tive OEMs, and is branching into Green said he has not been a UEP the agricultural equipment. board member for more than a year “We realized that if we were go- 248.658.1100 HennesseyCap.com and that several members of the ing to survive this downturn and initial advisory board also have come out a better company, we’d stepped away. have to become better business “I don’t think there’s a business owners and better managers.” case for a funding renewal,” Green said in a June interview. “If you The results think about how you can use $3 million to make an impact on the An impact report released in business community in Michigan, I May said that between 2009 and would hazard a guess that a lot of 2011, 111 companies entered the competing initiatives might be able UEP Detroit 150 program. The re- to make a more compelling case for port classified them in two cate- funding.” gories: clients and participants. Today, more than ever, global competition, new Other industry observers say it’s There were 21 clients and 90 par- hard to separate what business technologies, and corporate streamlining ticipants. growth is due to the UEP business Clients received complete coach- improvements and what is due to require innovative thinking and leadership ing from the UEP, whereas partici- the overall rebound of the automo- pants applied to the program but abilities. Continuing your education can tive industry. withdrew, failed to complete all “It’s difficult to entirely at- the requirements or were not qual- be key to your success. From “fast track” tribute revenue growth of these ified to become clients, the report companies to this program, but it certificates in alternative energy engineering said. was likely a positive factor,” said Of the 21 companies that re- technology and energy and environmental Fred Hubacker, executive manag- ceived intensive coaching, 15 re- ing director of turnaround firm ported financial results. The com- management to doctoral degrees in Conway MacKenzie Inc. Hubacker panies’ average revenue increased said, however, that an “inordinate- mechanical and civil engineering, Lawrence from $60.9 million in 2010 to $95.7 ly high” number of companies — million in 2011. The average em- Technological University offers innovative nearly 80 percent — didn’t make ployment in these companies in- the grade. creased by 30 percent, from 193 programs to prepare you for the jobs of To date, Williams said, the num- people to 252, UEP said. ber of participants is still at 111, the future. The report said that three UEP though the UEP is on track to eval- companies were awarded $87.2 uate 150 by the end of the grant pe- million in new contracts, and that riod. their likelihood of receiving these Don Grimes, a senior researcher Waive your application fee at contracts was increased by UEP’s at the University of Michigan Institute www.ltu.edu/applyfree involvement. Based on these num- for Research on Labor, Employment bers, the report said that the UEP and the Economy, called the impact created 1,936 jobs and had an eco- report hard to interpret: “$187 mil- nomic impact of $187 million. lion in economic impact seems But the report did not include quite overblown.” He added, how- Possible is everything. numbers for the 96 other compa- ever, that the program itself nies evaluated, because UEP De- seemed effective for the companies troit 150 had a high dropout rate. Explore over 100 undergraduate, master’s, and doctoral programs in Colleges of involved. Architecture and Design, Arts and Sciences, Engineering, and Management. This caused the consultants to “In any case, the program’s cost shift gears and focus on the compa- was very modest at $3 million,” he 2012 2012 2012 nies that were committed to the said. “So even if the impact was AMERICA’S BEST BEST COLLEGES MILITARY UNIVERSITIES in the Midwest FRIENDLY program. half of what they reported, I’d say U.S. News & Princeton SCHOOL World Report® Review® G.I. Jobs® “A lot of companies were only the program was still very worth- interested in diversifying when while.” Lawrence Technological University | 21000 West Ten Mile Road, Southfield, MI 48075-1058 the auto industry was suffering, Gary Anglebrandt contributed to 800.225.5588 | [email protected] | www.LTU.edu but recently there’s been an exodus this story. 20120716-NEWS--0010-NAT-CCI-CD_-- 7/13/2012 10:35 AM Page 1
Page 10 CRAIN’S DETROIT BUSINESS July 16, 2012 Second Stage Extra Patent office opens; local access expected to cut time, expenses
BY CHAD HALCOM recently found that the average first CRAIN’S DETROIT BUSINESS action allowance rate for those who use the early interview with an ex- Second-stage companies in aminer was 24.9 percent, versus 11 Southeast Michigan could save percent for those who take the nor- more than the cost of a plane flight mal application route and don’t use or a retainer to an out-of-state law the interview program. firm by having easy access to the Local access and savings could new Elijah McCoy U.S. Patent and give a serious leg up to small-busi- Trademark Office in Detroit. ness owners who are daunted by The fee-funded the costs of federal agency in patenting their Alexandria, Va., products globally. TM For the smaller Technology’s Matchmaker for Business formally opens its “ That cost, Khan first satellite of- company, this said, often deval- That’s what Automation Alley does. We create partnerships for our nearly 1,000 fice today, when ues a company patent examiners approach ... can later during a members and their diverse technology businesses by matching them with the report for work at prospective sale tools, resources, opportunities and other businesses they need to succeed. the 31,000-square- make a great to a large corpo- foot leased office rate buyer. Join today and let us make the same connections for you. space inside the difference. “One of the former Stroh ” major discounts Brewery head- Call (800) 427-5100 or go to automationalley.com Azam Khan, USPTO we see in these quarters building valuations and at 300 N. River Place. transactions is that they (acquir- Director David Kappos of the ing companies) feel they need to USPTO and Acting Secretary of have this technology the (small Commerce Rebecca Blank also an- business) has. But they also need nounced this month that the to have it be (legally) protected agency’s other three satellite of- everywhere,” he said. fices will open in Denver, Dallas Small businesses in Detroit can and the Silicon Valley region of also make use of the Motor City In- California. No dates are set for novation Exchange, which opened those openings, but federal offi- earlier this summer in Allen Park cials expect all three will roughly in a collaboration between Ford emulate the Detroit office, which Global Technologies LLC, TechTown starts with 40 employees and will and the nonprofit AutoHarvest, said grow to more than 120 by mid-2013. William Coughlin, Ford Global But Azam Khan, a former South- Tech president and CEO. east Michigan resident and now TechShop, also housed in the Running my business is no small task. deputy chief of staff for USPTO, same building owned by Ford Motor That’s why I turned to First State Bank said startup and second-stage busi- Land Development Corp. in Allen ness owners in the region can also Park, also offers a special “hot- for financing and cash management tools streamline and cut costs on patent line” phone that connects directly application and prosecution to the USPTO for business owners that help me operate more efficiently through easy access to satellite of- and entrepreneurs with IP ques- fices. Streamlining the process can tions, Coughlin said. and plan big things…for my small business. mean a difference of months, and “We wanted to give these inno- vators a chance to display their -Jody thousands of dollars, for obtaining an individual patent, Khan said. technology, make connections First State Bank “Within larger businesses, you within their industry that can help Business Customer would have a lot more ability to ab- with commercialization,” he said. sorb that difference into their “But we are also definitely taking overall expense of your IP budget,” advantage of the announced plans he said. “But for the smaller com- for this (USPTO office) within the pany, this approach is neater and same region.” can make a great difference.” For example, second-stage com- panies might be the perfect interest- Cost-saving measures can in- ed buyers for a patent monetization clude making direct use of the in- program being developed at Dow tranet Examiner’s Automated Corning Corp., said Sharon Brady, as- Search Tool on computer termi- sistant general counsel of IP for nals in the Detroit office rather Dow. When it comes to making big decisions about your small business, than retaining consultant experts The joint venture company has you need to be equipped with the right information. That’s why to do research in Virginia, or by about 5,000 patents in its portfolio, we’re committed today – and every day – to backing businesses taking advantage of the First Ac- but Brady said it is proposing to with a diverse product line and expert advice so that they’re not tion Interview Pilot Program. shop around only a handful of its just thinking big…but growing even bigger. That program, launched by the patents at first, where the compa- USPTO in 2009, allows applicants to s 3"! OR #ONVENTIONAL %QUIPMENT ,OANS ny is not currently using the tech- hold interviews in person with an nology and it has no connection to s 4ERM AND 2EAL %STATE ,OANS examiner and resolve patentability any of its core businesses. s ,INES OF #REDIT issues early in the application. This “Patent monetization has been, s #ASH -ANAGEMENT 3ERVICES is much easier when both work in so far, largely tied to fear of an in- the same area, and it improves the fringement,” she said. “But we are #ALL TODAY TO lND OUT HOW WE CAN PARTNER TO HELP www.thefsb.com/business applicant’s “first action allowance hoping to dialogue with those who your business. 866-372-1275 rate,” or the chances of advancing are truly interested in taking these to the next step, in obtaining a innovations to market.” Earning your trust today…and every day. patent without a rejection or ques- Chad Halcom: (313) 446-6796, tion from the examiner. [email protected]. Twitter: An internal evaluation at USPTO @chadhalcom 20120716-NEWS--0011-NAT-CCI-CD_-- 7/13/2012 10:30 AM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 11 A WEEKEND OF BASEBALL. CRAIN'S LIST: LEADING SMALL-BUSINESS LENDERS A LIFETIME OF DREAMS. 7(a) Guaranty-loan activity by lender, through third quarter 2012; ranked by number of SBA loans in Michigan Detroit Tigers 20I2 Number of approvals Summer Fantasy Camp Total number of loans/ Preferred Total loaned Lender at Comerica Park. Lending institution amount Program SBA Express Other Rank City 1. Huntington Bancshares Inc. 462 90 366 6 SEPTEMBER 7 – 9, 20I2 Columbus $100,682,576 Ever dreamed of playing for the Tigers? 2. J.P. Morgan Chase & Co. 144 3 138 3 New York $12,327,400 We can make your dreams come true. Citizens Republic Bancorp Inc. 81 11 69 1 3. Flint $10,989,400 Lake Michigan Financial Corp. 38 22 16 0 4. Holland $19,063,000 Capitol Bancorp Ltd. 31 5125 5. Lansing $13,699,800 Chemical Financial Corp. 29 01712 6. Midland $10,735,200 Fifth Third Bancorp Inc. 27 5175 7. Cincinnati $6,285,800 TCSB Bancorp Inc. 26 0188 8. (Traverse City State Bank) $3,109,700 Traverse City RBS Citizens, National Assocation 25 0250 9. (Charter One) $1,600,500 Providence Horizon Bancorp 22 769 10. Michigan City $4,911,900 KeyCorp 21 11 9 1 11. Cleveland $8,514,700 12. Mackinac Financial Corp. (mBank) 21 0138 Manistique $9,649,850 For more information or reservations Hantz Holdings Inc. 19 0712 13. Southfield $8,369,600 United Bancorp Inc. 19 0415 CALL 3I3-47I-2550 14. Ann Arbor $18,608,510 or visit detroittigersfantasycamp.com PNC Financial Services Group Inc. 18 8100 15. Pittsburgh $5,079,000 Founders Financial Corp. 17 0125 16. Grand Rapids $2,830,600 Wells Fargo & Co. 15 933 CORPORATE FLEET SERVICES 17. San Francisco $6,017,400 Level One Bancorp Inc. 15 177 18. Farmington Hills $6,160,000 First State Financial Corp. 15 10 5 0 19. St. Clair Shores $7,976,000 20. Independent Bank Corp. 14 0113 Ionia $6,123,000 NO FEES Comerica Inc. 14 806 21. Dallas $11,855,800 Honor Bancorp Inc. 12 075 corporate-À eet.com 22. Honor $1,761,700 Michigan State University Federal 12 066 23. Credit Union $2,008,800 Fleet leasing service with, you East Lansing 1st Source Corp. 10 253 guessed it, no fees. 24. South Bend $958,000 • Experts since 1963 in managing and À nancing Talmer Bancorp Inc. 10 811 25. Troy $5,036,364 automobile, truck, and specialty equipment Á eets American Heritage Holdings 8 602 throughout the United States and Canada, with 26. $3,007,000 La Mesa, Calif. international services available through our global Total ቢ 1,329 235 819 275 $389,029,300 business partners.
This list was compiled from information provided by the Michigan district office of the SBA through the fiscal third quarter, ending June 30, 2012. The Preferred Lender Program allows selected lenders to make certain SBA loans without prior approval from the SBA. SBA Express allows PLP lenders to • CertiÀed by GM, Ford, Chrysler and the import use many of their own forms, analyses and procedures to process, service and liquidate SBA loans of up to $350,000. Other includes Regular 7(a), manufacturers Community Express, Patriot Express, Certified Lenders Program, Dealer Floor Plan Loans, Export Working Capital, Export Express and Lenders Advantage Program. • All available Áeet discounts, rebates, and incentives (1) Figures are statewide totals, including institutions not listed because they had fewer than eight approvals. provided by the manufacturers are incorporated into 504 LOAN APPROVALS FOR FISCAL THIRD QUARTER 2012; RANKED BY NUMBER OF LOANS IN MICHIGAN our nationally competitive rates Certified development company* Number of loans Amount • And the “no fees” tagline? We mean it. You get expert 1. Michigan Certified Development Corp., East Lansing 106 $61,604,000 2. Economic Development Foundation, Grand Rapids 41 $22,509,000 Áeet management for one rate with no hidden fees. 3. SEM Resource Capital Inc., Livonia 32 $14,437,000 None. 4. Oakland County Business Finance Corp., Waterford Township 22 $8,157,000 5. Lakeshore 504, Holland 16 $8,140,000 6. West Central Partnership Inc., Lima, Ohio 1 $596,000 313-868-5000 :: corporate-Á eet.com 7. Metro Growth and Development Corp., Southgate 1 $172,000 Total 219 $115,615,000 * Certified development companies are nonprofit financial institutions that work with the Small Business Administration to provide 504 loans, which are designed for the purchase of fixed assets such as equipment or real estate. Source: Compiled from information provided by the Michigan district office of the SBA through fiscal third quarter, ending June 30. 20120716-NEWS--0012-NAT-CCI-CD_-- 7/13/2012 10:34 AM Page 1
Page 12 CRAIN’S DETROIT BUSINESS July 16, 2012
NOTEBOOK $32M fuels work on green diesel engine EcoMotors International, an Allen innovations: Energy Park-based lightweight diesel engine company, will use a new round of funding to continue the development of a new type of green engine. The company received its third round of funding, this time for $32.5 million, it announced Tuesday. Hungry for renewable energy The funding was led by New York- based Braemer Energy Ventures, Microsoft Corp. founder Bill Gates and California-based venture capitalist Novi company’s digester joins state’s solar, wind efforts firm Khosla Ventures. BY AMY LANE EcoMotors designed a diesel SPECIAL TO CRAIN’S DETROIT BUSINESS engine that has 15 percent to 50 percent better fuel economy and t will gobble up tons of food-processing costs 20 percent less to build. It’s waste such as fruits and vegetables, dairy called an “opposed piston-opposed I products and other organic materials. cylinder,” or OPOC, engine. And, through the innovation by a Novi- It can be used wherever traditional based energy consulting company, it will diesel engines are required. help power Michigan’s renewable energy The company works with local goals. suppliers such as Auburn Hills-based Slated to begin operation in November is Borg Warner Inc., Southfield-based the Fremont Community Digester, a $22 mil- Federal-Mogul Corp. and Farmington Hills-based Robert Bosch LLC to lion operation in West Michigan that will purchase parts for the engine. process between 350 and 400 tons of organic Federal-Mogul supplies pistons, and waste daily — from baby food maker Gerber Bosch, injectors. EcoMotors has a Products Co. and other sources — and create joint agreement with Borg Warner to methane to generate electricity purchased build an by Consumers Energy Co. The digester will electrically also produce liquid plant nutrients and com- controlled post. turbocharger. “This is 100,000 tons (annually) that EcoMotors CEO would otherwise go to a landfill, being con- JON BROUWER Don Runkle, who Anand Gangadharan, CEO of Novi Energy LLC, expects the Fremont Community Digester next month to verted to biogas, liquid fertilizer or com- begin accepting food waste that will be broken down by bacteria to create biogas for energy. worked for years post,” said Anand Gangadharan, president at General Motors and CEO of Novi Energy LLC, the Novi-based that Consumers will purchase from the Corp. in such energy development and consulting com- digester represents only a small fraction positions as of the renewable energy Consumers will president of pany that is developing the digester. “It’s This is 100,000 tons Runkle just decomposition in a very controlled en- “ need to meet the state’s standard, the util- engine and energy ity sees the Fremont digester as innova- management and vice president of vironment, in a space where there is no (annually) that would tive and a chance to experience the oper- engineering, said that late last year oxygen.” otherwise go to a ating capabilities and viability of a his team — in anticipation of funds The Fremont operation, which is said to technology that’s been used in Europe. drying up — began pitching potential be one of the first commercial-scale anaer- landfill. “It is the first of its kind in Michigan. It investors like Braemer. Runkle also obic digesters in the U.S. that is primarily ” gives us an opportunity to interact with helped spin out Delphi Corp. from GM. focused on food industrial waste — and, Anand Gangadharan, Novi Energy LLC (the technology),” said Thomas Clark, se- The EcoMotors engine features two Gangadharan said, currently the only one nior engineer in the transactions and re- horizontally opposed cylinders of that type in Michigan — is a piece that powering a crankshaft in the center. It source planning department at Con- will help Consumers meet a state mandate ed Novi Energy in 2002. The 20-employee sumers. eliminates traditional valves and that utilities derive 10 percent of their company had 2011 revenue of about $10 mil- cylinder heads, reducing the weight The utility has a $55 million, 20-year power from renewable sources by 2015. lion and has business lines that include con- and number of required parts and contract to purchase electricity from the sulting for energy companies and govern- boosting efficiency. Utilities are meeting that renewable digester. portfolio standard prescribed in 2008 ener- ments. In South Boston, Va., it is developing Gates and Vinod Khosla, owner of Clark said that unlike wind or solar pow- gy law by building or purchasing power a $180 million, 49.9 megawatt electricity gen- Khosla Ventures and co-founder of er, which are intermittent, the digester is from wind farms and through projects eration project slated to operate in 2013 that Sun Microsystems Inc., were both expected to have a stable output of electrici- will process waste wood into energy. investors during the second round. such as solar, landfill gas, biomass and ty. other renewable sources. EcoMotors has a two-pronged Each day, some 12 to 15 tractor-trailer Gangadharan — a physicist, nuclear engi- approach to making money: sell trucks will supply feedstock that will go neer and former executive manager of dis- Organic energy engines and sell patents to into storage and then into giant steel While the approximately 20,000 companies that build engines. tributive power and micro-power systems at Consumers parent CMS Energy Corp. — found- megawatt-hours of electricity annually See Page 13 The $32.5 million will be used to continue developing the OPOC engine, start the development of a gasoline Construction of the digester nears completion in Fremont, engine and begin working with northwest of Grand Rapids. compressed natural gas. Runkle said most will be used toward the diesel engine development. EcoMotors plans to launch the manufacturing end of the business within five years, said John Coletti, president and COO. Coletti spent more than 30 years at Ford Motor Co. The company plans to open a manufacturing facility in Southeast Michigan and separately is waiting to hear from the U.S. Department of Energy on a $209 million loan. It’s relying on $63 million in tax abatements from the city of Troy and the state of Michigan, though most of that money depends on employment, Runkle said. — Ryan Kelly 20120716-NEWS--0013-NAT-CCI-CD_-- 7/13/2012 11:37 AM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 13 Innovations: Energy
From Page 12 and another in which Edison puts fied the savings that the year-old wind farm, so ITC is constructing and a to-be-determined supplier utility-owned solar installations system is producing, but he said two new substations and making for a purchase-power agreement digester tanks where bacteria on its own property or on that of that wasn’t really the point. system upgrades. DTE is currently negotiating. thrive and consume the organic commercial and industrial cus- “I think that we went into this But beyond that, there’s the With Consumers Energy’s $235 matter. Decomposition takes 25 to tomers. thing with Detroit Edison … that biggest project in ITC’s history: A million, 100-megawatt Lake Winds 35 days, depending on the material, Lauer said that with the cus- there was a mutual benefit for both $510 million, 140-mile transmis- Energy Park in Mason County, Gangadharan said. Biogas will be tomer-owned solar generation, of us to develop and use it,” Warn- sion line that will traverse four and its $369 million, 150 megawatt collected and burned to produce “instead of consuming electricity er said. “It’s a renewable energy counties in Michigan’s Thumb and Cross Winds Energy Park under electricity. from the utility, they are spinning offset of our base power, and it is a serve as a backbone for wind ener- development in Tuscola and Gangadharan said Gerber and a the meter backward and offsetting very low-maintenance, simple sys- gy generated in that area. Huron counties, the utility expects half-dozen other Michigan food the electricity that they would oth- tem that is providing that. We did- “The state determined from a adequate transmission capacity. processing companies will supply erwise purchase from the utility.” n’t really do it for the savings. policy perspective that it wanted Jeff Holyfield, executive director the digester. He expects the plant On the utility-owned solar gen- More so, we did it because it’s the to implement a renewable portfo- of media relations and communica- to begin accepting waste in August eration, power feeds directly into right thing to do.” lio standard,” and the Thumb Loop tions services at CMS Energy, said for a filling process that will take Detroit Edison’s distribution grid Warner said that “if we were to project is a significant piece to- the Mason County park benefits three months. that supplies all its customers. do this by ourselves, it’s tough to ward achieving that RPS, said Gre- from the existing transmission in Detroit-based DeMaria Building Nova Consultants Inc. in Novi is justify the cost. It is a very expen- gory Ioanidis, president of ITC place for the Ludington Pumped Co. is the engineering, procure- DTE’s contractor on the utility- sive form of energy.” But he said Michigan. Storage Plant in northwest Michi- ment and construction contractor owned solar program. the project is “a good way to pilot And, he said, “in addition to be- gan, which is co-owned by Con- for the 2.85 megawatt plant. Installations range from cus- technology. It’s like research and ing able to interconnect wind ca- sumers and Detroit Edison and Project partners include Indus tomers like Ford Motor Co. and Gen- development in a way, and I think pacity, this project certainly bol- pumps water to generate electricity. Energy LLC, a Bingham Farms- eral Motors Co. to DTE’s downtown it’s performing very well.” sters the reliability profile in the Ludington has a role in Michi- based investor group, and Wabash, campus and a DTE location in Scio area.” gan’s march toward renewable en- Ind.-based North Central Township near Ann Arbor. At that The project includes four new ergy. The plant is undergoing a 10- Cooperative, location, DTE in- Harnessing wind power substations and will use infrastruc- year, $800 million upgrade with which will also stalled both fixed- On the biggest end of Michigan’s ture that includes about 815 steel $400 million apiece being spent by market the fertil- position solar renewable spectrum is wind. monopoles, an average of about six each utility owner to boost the izer. This is the first of panels and track- Of the $2 billion being spent by per mile for the 140-mile line. The plant’s power generation and effi- Gangadharan “ ing solar, in DTE and $3 billion being spent by monopoles will range in height ciency. With the development of declined to state its kind in which panels ro- CMS to meet Michigan’s RPS, the from about 125 feet to 150 feet. The wind energy, utility officials say, project equity Michigan. It gives tate with the sun bulk of spending will be on wind monopoles “have a much smaller the plant’s use is expanding. provided by Novi for maximum ex- energy — wind farms built and footprint than typical lattice tow- Wind turbines’ off-peak produc- Energy and its us an opportunity posure. Lauer owned by the utilities, as well as ers,” minimizing impact on sur- tion of electricity can be routed to partners. A $12.8 said one of the as- power purchased from wind farms rounding land, Ioanidis said. Ludington and used to pump water million U.S. De- to interact with the pects DTE wanted built by other developers. The system is designed to meet uphill into the plant’s 27 billion- partment of Agri- to determine is if DTE has purchase-power agree- the wind energy potential of the gallon reservoir. Then when pow- culture loan guar- technology. the costlier track- ments with three wind farms, in- Thumb region. The first phase of er is needed at peak times, the wa- antee is backing ” ing solar is worth cluding a 212.8 megawatt project in the project is under way, and the ter that’s been pumped up can be debt financing Thomas Clark, Consumers Energy the investment. mid-Michigan’s Gratiot County entire line is expected to be com- released to generate power. provided by Com- The indication that is the largest in the state in plete and in service in 2015. Wind Wind energy generally isn’t erica Bank, he so far, Lauer said: terms of energy production and be- generators to utilize the new trans- stored, Holyfield said, but Luding- said. “Probably not. Fixed position is gan operating in June. DTE co- mission include DTE’s upcoming ton “is the closest thing to a bat- He said the project probably probably the way to go.” owns the 133 turbine wind farm Echo Wind Park in Huron County tery we’ve got.” wouldn’t have happened without In downtown Detroit, an innova- with an affiliate of Chicago-based the onset of Michigan’s renewable tive solar project is a $1 million in- Invenergy Wind LLC. The project was portfolio standard, or RPS, and he stallation on the roof of a Blue Cross constructed by Aristeo Construction hopes to develop other digesters in Blue Shield of Michigan parking Co. in Livonia. the state that will utilize food structure. Lauer said that while DTE plans to build an additional Our friends in Congress waste as well as manure. the majority of solar installations 110-megawatt, 70-turbine wind Trying new technologies is in are on the ground, the Blue Cross park in Huron County, and it start- won’t take time part what the RPS has brought. It project is notable for using a roof ed construction this year on a 110- provided “a way for us to under- mount in an urban setting. megawatt development in parts of to remind you, so we are... stand the different renewable tech- Ray Warner, director of facili- Huron and Sanilac counties that nologies, and how to build a re- ties and support services for Blue encompasses three small wind newable portfolio that would best Cross, said the Blues had been farms totaling 69 turbines. South- Your $5,000,000 transfer tax gift card benefit our customers. Because talking with Detroit Edison about field-based Barton Malow Co. is there is no one technology that’s “whether there were any opportu- building those three farms. DTE is set to expire on December 31, 2012. best,” said Trevor Lauer, vice nities to partner on solar panels,” expects to spend $500 million on president of marketing and renew- and that the experience has been the four farms. ables at DTE Energy Co. positive. Wind energy flows onto the elec- The 200 kilowatt system covers tricity grid, but sometimes there Solar innovations about 32,000 square feet of the are constraints. And that’s where 42,000-square-foot roof, and on sun- new transmission and technology ongress’ gift DTE, for example, has had two ny days it meets the expectation of upgrades come in. For example, C Detroit Edison Co. programs focused producing about 20 percent of the Novi-based ITC Holdings Corp. is do- to your heirs on solar installations — one that continual power needed. ing a project to aid the Gratiot provided financial incentives to The DTE program gives partici- County wind park. residential and commercial cus- pating customers like Blue Cross Transmission capacity was in- $5,000,000 tomers who purchased and in- an annual credit on their energy sufficient to support the energy stalled their own solar systems, bill. Warner said he hadn’t quanti- that would be flowing out of the
GIFT CARD NOMINATIONS SOUGHT FOR STATE’S HEALTHIEST EMPLOYERS Expires December 31, 2012
Michigan companies will have an create healthy workplaces across be announced Oct. 16 at a opportunity to be Michigan as breakfast preceding fourth annual recognized for their determined by Health Care Leadership Summit. healthy workplace Indianapolis-based A similar event will be held in practices in a new Healthiest Employers West Michigan by MiBiz to awards program. LLC, which has used recognize winning West Michigan Download our white paper about this unprecedented its healthiest companies. Priority Health, tax legislation that allows for a cumulative , maximum with Crain’s Detroit employers All winners will be profiled in a Business and MiBiz methodology in 40 special supplement to run in Crain’s lifetime gift of $5,000,000 per person - estate and gift cities across 25 as media sponsors, Detroit Business and MiBiz on Oct. tax free and how Schechter can maximize this gift to is seeking states. 29. nominations for Companies can The deadline to enter is Aug. 13. your heirs. Visit: www.schechterwealth.com/giftcard Michigan’s enter by filling out a Questions about the awards Healthiest Employers survey found at program can be directed to Crain’s awards. crainsdetroit.com Deputy Managing Editor Daniel The awards recognize best /nominate. There is no entry fee. Duggan at [email protected] or 248.731.9500 practices used by employers to Southeast Michigan winners will (313) 446-0414. 20120716-NEWS--0014-NAT-CCI-CD_-- 7/13/2012 10:32 AM Page 1
Page 14 CRAIN’S DETROIT BUSINESS July 16, 2012
UPCOMING BUSINESS DIARY
PARTNER EVENTS ACQUISITIONS MOVES the quality of life for those in need through research, collaboration and Superior Capital Partners LLC, Detroit, Sports Media Direct LLC, a marketing product development. Website: a private equity firm, acquired the and advertising agency, moved from Crain’s partners with a variety of organizations www.lifebeyondbarriers.com. gourmet desserts division of Heinz Commerce Township to 120 W. Main on events and special subscription offers North America, Pittsburgh. The newly St., Suite 201, Northville. Website: PayAnywhere LLC, Troy, a mobile formed entity will be called Dianne’s www.sportsmediadirect.com. point-of-sale company, announced for their members. Please visit their websites below. availability of its mobile payment ap- Fine Desserts, Newburyport, Mass. Fitness Therapy Unlimited LLC moved plication and credit card reader for from Southfield to 3250 W. Big Beaver Acromag Inc., Wixom, a defense and BlackBerry smartphones. The Road, Troy. Telephone: (248) 792-3633. Macomb County Chamber Summer Member Mixer: industrial electronics company, ac- PayAnywhere mobile payment sys- quired the assets of Xembedded LLC, Website: www.ftunlimited.com. iÌÜÀÊÜÌ ÊÌ iÀÊLÕÃiÃÃÊ«ÀviÃÃ>ÃÊÊ>ÊvÕÊ tem now is available in retail stores. Ann Arbor. Mullen, an advertising agency, moved Website: www.payanywhere.com. >`ÊÀi>Ýi`ÊÕÌ`ÀÊÃiÌÌ}ÊÜÌ Ê>ÊLi>ÕÌvÕÊÛiÜÊvÊ from One Woodward Ave., Suite 1100, OpTech LLC, Troy, an IT and engineer- >iÊ-Ì°Ê >À°Ê,ivÀià iÌÃÊÜÊLiÊÃiÀÛi`° to Suite 1000, Detroit. Telephone: (313) CONTRACTS ing staffing provider, has launched a 596-9002. Website: www.mullen.com. July 19ÊUÊx\ÎäÊqÊÇ\ÎäÊ«°°ÊUÊ->/iÊ iÌÀÌ]Ê- ÀiÊ Preh Inc., Novi, is represented as a de- new cyber security practice. Website: ÕLÊ >À>]ÊÓääÊ- ÀiÊ ÕLÊ ÀÛi]Ê-Ì°Ê >ÀÊ- Àià velopment and manufacturing part- www.optechus.com. ÃÌ\ÊÀii°Ê,-6*ÊÌÊ ViÊ V iiÊ>ÌÊNicole@ma- ner for the iDrive control system in NEW PRODUCTS Building Industry Association of combcountychamber.com ÀÊV>ÊxnÈ{ÎÇÈääÊvÀÊ the new BMW 3 Series. In addition, for Domino’s Pizza, Ann Arbor, now of- Southeastern Michigan, West Bloom- ÀiÊvÀ>Ì° this model, the automotive supplier fers a gluten-free crust. Website: field Township, launched Made In provides two switch units for opera- www.dominos.com. America/Built In Michigan – The Red, tion of driver assistance and comfort Cartridge World, Troy, has added White and Blueprint for Recovery, a features. printers to its eco-friendly product grassroots effort to generate local jobs Crain’s Women: Profiles in PowerÊà ÜV>ÃiÃÊ££ The Gale Group Inc., Farmington Hills, line of ink and toner printer car- by working with BIA member compa- }>iV >}}ÊÜiÊÜ Ê >ÛiÊà ÜÊ ÜÊÌÊLÀi> a publisher of research and reference tridges. Website: www.cartridge nies to build new homes using as many “made in Michigan” products ÕÌÊvÊÌ iÊLÝÊÌÊ«>VÌvÕÊV>ÀiiÀðÊ/ iÃiÊ«>VÌvÕ resources, and Wolper Information Ser- world.com. vices, Easton, Pa., announced an agree- as possible, with 100 percent of each ÜiÊÜÊLiÊ Ài`Ê>ÌÊÌ iÊiÛiÌÊ>`ÊÜÊà >ÀiÊÌ i Rubicon Genomics Inc., Ann Arbor, ment to distribute Gale subscription launched the ThruPlex family of sam- home’s materials made in the United iÃÃÃÊÌ iÞ½ÛiÊi>Ài`Ê>}ÊÌ iÊÜ>Þ°ÊÕiÃÌÊëi>iÀ\ products and major reference works in ple preparation products for next-gen- States. Website: www.builders.org. ->À>Ê >ÃV iÛiÀ]ÊV>ÕÌ ÀÊvÊWomen Don’t Ask: print and electronic form into the spe- eration sequencing applications. Web- Awecomm Technologies LLC, Troy, Negotiation and the Gender Divide. cial library market. Wolper will ex- site: www.rubicongenomics.com. launched a free nutritional informa- August 8 UÊx\ÎäÊqÊÊ«°°ÊUÊ/ iÊiÀÞÊÀ`] pand distribution of key resources by Altair Engineering Inc., a global tion resource at www.healthyhome offering them to libraries and individu- ÓäääÊ">Ü`Ê Û`°]Ê i>ÀLÀ provider of simulation technology and cooking.com and a list of unique gifts als within corporations, medical and engineering services, released the at www.uniquegiftlists.com. health care facilities, government first version of its HyperWorks com- agencies and nonprofit institutions. puter-aided engineering software PUBLICATIONS Also, the historical archive of Liberty The Grand Rapids House PartyÊ«ÕÌÃÊÃiÊvÊÌ iÊ suite designed to run on Mac OS X. The Automotive Applications Council Magazine now is available in a digital ÃÌÊ`Þ>VÊ>`ÊVÀi>ÌÛiÊ iÊÜiÀÃÊ>`ÊvÌÊ Website: www.altair.com. of the format from Gale. Steel Market Development Insti- `ÜiiÀÃÊÌ}iÌ iÀÊÜÌ ÊiÜiÀÌÌ iVÕÌÞÊ Are You a Human LLC, Detroit, a com- tute, Southfield, released AHSS 101: Dykema Gossett PLLC, Detroit, was ÀiÃ`iÌÃÊÊ>Êiv>`ÊiÛi}°Ê̽ÃÊÌ iÊÕÌ>ÌiÊ pany that designs simple games used Evolving Use of Advanced High- appointed as a member of the Korean to verify human interaction on web- strength Steels for Automotive Applica- iÌÜÀ}Ê«>ÀÌÞÊ>`ÊiÊÌ >ÌÊÜÊà ÜÊiÜViÀÃÊ Auto Parts Park, Troy, an advisory sites, announced PlayThru, its game- tions. The AHSS 101 document, which ÕÃÌÊ ÜÊVÕÃÛiÊ>`ÊÜiV}ÊÕÀÊVÌÞÊðÊ-iiÊÌ iÊ group. KAPP, a business incubator for based human authentication tool. explains the various types of ad- LiÃÌÊÀ>`Ê,>«`ÃÊ >ÃÊÌÊvviÀÊÊÌÃÊ`ÛiÀÃiÊ«i«iÊ lower-tier Korean auto suppliers, has Website: www.areyouahuman.com. vanced high-strength steel and the been launched jointly by the Korea >`Êv>LÕÕÃÊÛ}Êë>ViÃ°Ê CFI Group, Ann Arbor, a customer ex- benefits of each, is available online at Trade Investment Promotion Agency August 29 UÊx\ÎäÊqÊ\ÎäÊ«°°ÊUÊ"-/Ê V }>] perience management company, an- www.autosteel.org. and the Ministry of Knowledge Econo- nounced the official rollout of its new ÈäxÊ-iÜ>À`Ê 7]Ê-ÕÌiÊ£ä£]ÊÀ>`Ê,>«`à my. KAPP is designed to help facilitate rangela@grand technology platform. Website: STARTUPS /ÊÀi}ÃÌiÀ]ÊVÌ>VÌÊiÝÃÊ,>}iÊ>ÌÊ working relationships between De- www.cfigroup.com. rapids.org ÀÊÈ£ÈÇÇ£äÎäΰ troit-based auto companies working The Sardine Room, at 340 S. Main St., directly with Korean parts manufac- ImageSoft Inc., Southfield, a provider Plymouth. Telephone: (734) 416-0261. turers. Dykema is one of four advisers of document and process management Website: www.thesardineroom.com. — and the only law firm — that will software, announced the latest release Save the Date! GDAHC Annual Business Meeting provide strategic counsel and assis- of TrueSign 3.0, its electronic signa- tance to KAPP and to those businesses ture software for courts. Website: And Salute To Healthcare in Southeastern Michi- www.imagesoftinc.com. DIARY GUIDELINES . Join the who’s who in healthcare for housed in the facility. gan Awards Send news releases for Business this Annual Awards Celebration. Brendy Barr Communications LLC, NEW SERVICES Rochester, has been chosen by Gard- Diary to Departments, Crain’s September 20ÊUÊ{\ÎäÊqÊnÊ«°°ÊUÊ iÌÀÌÊÃÌÌÕÌiÊv ner-White Furniture Co. Inc., Warren, ProQuest LLC, Ann Arbor, is launch- Detroit Business, 1155 Gratiot ÀÌÃ]ÊxÓääÊ7`Ü>À`ÊÛi°Ê iÌÀÌ to handle public relations initiatives ing Udini, a cloud-based workflow Ave., Detroit, MI 48207-2997 or send email to cdbdepartments@ {\ÎäÊqÊx\ÎäÊ«°°ÊÊ ÊÕ>Ê iiÌ} for Gardner-White’s 100th anniver- management research service. Web- sary celebration. site: udini.proquest.com. crain.com. Use any Business Diary x\ÎäÊqÊÈ\ÎäÊ«°°ÊÊ ÌiÀÌ>iÌÊ>`Ê-ÌÀ}Ê iÀ Signature Associates Inc., Southfield, Urban Science Applications Inc., the item as a model for your release, È\ÎäÊqÊÇ\£xÊ«°°ÊÊÜ>À`ÃÊ*À}À> has been awarded the representation Wayne State University College of En- and look for the appropriate Ç\£xÊ«°°ÊÊ ÌiÀÌ>iÌÊ>`Ê iÃÃiÀÌÃÊ of 216,003 square feet of office space at gineering and Rehabilitation Institute category. Without complete ÊiLiÀÃ\Êf£ää]ÊiLiÀÃ\Êf£Îx 24901 Northwestern Highway, South- of Michigan, Detroit, launched Life information, your item will not run. Visit www.gdahc.org field, by Centrum Officenter LLC, Troy. Beyond Barriers, an initiative that Photos are welcome, but we cannot ÊvÀÊvÀ>ÌÊ>`ÊÌÊÀi}ÃÌiÀ° combines medicine, science, engineer- Xpert Technologies Inc., Sterling guarantee they will be used. ing and entrepreneurship to enhance Heights, has had its contract renewed by Burtek Enterprises Inc., Chesterfield -ÕLÕÀL>Ê`ÜiiÀÃÊiiÌÊÕÀL>Ê`ÜiiÀÃÊÌÊiÝ«iÀiVi Township, a defense contractor, to pro- ÀiÃ`iÌ>ÊÛ}ÊÊ iÌÀÌÊÜÌ ÊÌ iÊÃÝÌ Ê>Õ> Crain’s vide full-time managed IT services. House Party, a collaboration between Crain’s Detroit BusinessÊ>`ÊÌ iÊ V }>Ê-Ì>ÌiÊÕÃ}Ê>`Ê EXPANSIONS iÛi«iÌÊÕÌ ÀÌÞÊ - ®°ÊÀÊÓÈÊVVÌ>Ê Beier Howlett PC, Bloomfield Hills, «>ÀÌiÃÊ>ÌÊ iÌÀ̽ÃÊwiÃÌÊ ÃÌÀVÊ iÃ]ÊvÌÃ]Ê announced the expansion of its legal V`ÕÃÊ>`Ê>«>ÀÌiÌÃ]Ê>ÌÌi`iiÃÊVÛiiÊ services with the reintroduction of its family law division and the recent in- >ÌÊ>Ê>vÌiÀ}ÜÊvÀÊÌ iÊiÌÜÀ}ÊViiLÀ>ÌÊvÊÌ iÊÞi>À° troduction of the bankruptcy division. September 20 UÊx\ÎäÊqÊ£äÊ«°°ÊUÊ/ iÊ,ÃÌiÀÌ>] Website: www.bhlaw.us.com. £ääÊ >ÀµÕiÌÌiÊ ÀÛi]Ê iÌÀÌ Janesville Acoustics, Southfield, an ,i}ÃÌiÀÊ>ÌÊΣÎ{{ÈäÎääÊÀÊ>ÌÊ[email protected]. auto supplier, opened a 90,000-square- foot plant in central Mexico. Website: www.janesvilleacoustics.com. Art Van Furniture Inc., Warren, broke V Ê«ÀÕ`ÞÊ«ÀiÃiÌÃÊÌ iÊ2012 MichBio Expo & ground on a 10,000-square-foot design Conference, V }>½ÃÊ«ÀiiÀÊLÃViViÊiÛiÌ°Ê center, Scott Shuptrine Interiors, at ½ÌÊÃÃÊÌ ÃÊ««ÀÌÕÌÞÊÌ\ 32301 N. Woodward Ave., Royal Oak, UÊ i>ÀÊvÀÊÌ iÊ`ÕÃÌÀÞÊi>`iÀÃÊ>`ÊiÝ«iÀÌà and opened a PureSleep center at «>iÃÌà 30821 Milford Road., New Hudson. Telephone: (888) 227-0494. Website: UÊ *>ÀÌV«>ÌiÊÊÌ iÊ iÀ}}Ê ÃViViÊ «>Þ www.artvan.com. - ÜV>Ãi]Ê q*VÞÊ,Õ`Ì>Li]ÊÌÀ>VÊÃiÃÃÃ] Painting with a Twist, Ferndale, an art «ÃÌiÀÊÃiÃÃ]ÊÌÕÀÃÊ>`ÊÀi studio, opened a location at 33033 UÊ iÌÜÀÊÜÌ ÊÞÕÀÊ«iiÀÃÊ>`Ê«ÀëiVÌà Grand River Ave., Farmington. Tele- UÊ 6iÜÊiÝ LÌÃÊvi>ÌÕÀ}ÊÌ«ÊLÃViViÊV«>ià phone: (248) 476-7928. Website: www.paintingwithatwist.com/far >`ÊÃiÀÛViÊ«ÀÛ`iÀà mington. SAVE THE DATE! Inteva Products LLC, Troy, is expand- November 7–8 U i}}Ê viÀiViÊ iÌiÀ] ing its Asia Pacific footprint to West- Ó£Ê ÀÌ Ê>ÀÀÃÊ,>`]Ê >ÃÌÊ >Ã} ern China with the opening of a Roof ÀÊÀiÊvÀ>Ì]ÊÛÃÌÊwww.michbio.org/expo Systems manufacturing plant in Chengdu. Website: www.intevaprod ucts.com. 20120716-NEWS--0015-NAT-CCI-CD_-- 7/13/2012 10:32 AM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 15
CALENDAR
TUESDAY WEDNESDAY ESD headquarters, Southfield. $75 Pitching Your Business to Make Im- RAIN S HONORS POWERFUL ESD members ($10 off with a group or pact. 9-11 a.m. Aug. 1. Ann Arbor JULY 17 JULY 18 C ’ multi-course registration), $99 non- Spark. With Marisa Smith, president members, $158 to attend and join ESD and founder, The Whole Brain Group; Inforum’s Emerging Leaders Value Keys to Success in the Competitive WOMEN AT AUG. 8 EVENT at a 50 percent discount on your first Megan Torrance, president and CEO, Group. 5:30-7:30 p.m. Inforum’s Emerg- Food Industry. 9 a.m.-noon. The Cen- Crain’s Detroit Business and title year’s membership. Contact: Leslie Torrance Learning; and Joe Marr, ing Leaders, Great Lakes Business ter for Empowerment and Economic sponsor KPMG present Crain’s Smith, (248) 353-0735, ext. 152; email: president and CEO, Sandler Training Credit and Skandis Fine Wines. With Development, Chase, and City of De- Women: Profiles in Power, 5:30-9 [email protected]; website: Ann Arbor. Spark Central, Ann Ar- Christine Skandis, founder, Skandis troit Office of Neighborhood Com- p.m. Aug. 8 at The Henry Ford, www.esd.org. bor. Free; registration required. Con- tact: (734) 372-4071; email: Fine Wines LLC. Great Lakes Busi- mercial Revitalization. With Torya Dearborn. Blanchard, owner, Good Girls Go to ESD/Nexteer Automotive Engineering [email protected]; website: ness Credit, Troy. $10, exclusively for The 11 women being honored have www.annarborusa.org. Inforum members. Contact: Dana Ar- Paris Crepes. Focus: Hope, Detroit. shown how to break into impactful Career Fair. 3-7 p.m. July 25. Engineer- ing Society of Detroit. Nexteer Auto- menteros, (347) 907-1105; email: Free. Contact: (313) 255-1020; website: careers. The keynote speaker is motive, Troy. Free. Website: www.miceed.org. Sara Laschever, co-author of [email protected]; website: www.esd.org. ALENDAR GUIDELINES www.inforummichigan.org. Women Don’t Ask: Negotiation and C the Gender Divide. If you want to ensure listing online ESD Networking Mixer. 5:30-7:30 p.m. Tickets are $50 for current CDB and be considered for print Turbocharging vs. Supercharging: The FRIDAY July 25. Engineering Society of De- publication in Crain’s Detroit Key to Engine Downsizing. 7-9 a.m. subscribers; $45 for Small Business JULY 20 troit. Skyline Club, Southfield. Free Business, please use the online SAE Detroit Section. With Karen Be- Association of Michigan members for ESD members. Contact: (248) 353- and groups of 10 or more; $75 for calendar listings section of van, senior engineering specialist, 0735; website: www.esd.org. Starting Your Own Business. 9 a.m.-4 nonsubscribers; and $74.50 with a www.crainsdetroit.com. Here’s Eaton Corp.; Tom Grissom, director, p.m. Ann Arbor Spark, Ann Arbor special CDB subscription offer. how to submit your events: business development, turbo systems, State Bank, Michigan Small Business Guests will receive 50 percent off Legal and Financial Basics for Small From the Crain’s home page, click & Technology Development Center, Business. 9 a.m.-noon July 31. Witzke BorgWarner; Jeff Kittridge, manager, by bringing someone they’re “Detroit Events” in the red bar Berry Carter & Wander PLLC. Pro- application engineering, Honeywell; and others. Spark East, Ypsilanti. $25. mentoring. near the top of the page. Then, and David Dronzkowski, senior man- Contact: (734) 761-9317; website: vides entrepreneurs an understand- click “Submit Your Entries” from www.annarborusa.org. For more information, call (313) ing of the key legal and financial ager, system and component reliabili- the drop-down menu that will 446-0300 or go to considerations when starting and ty, Chrysler Group LLC. San Marino www.crainsdetroit.com/events. appear and you’ll be taken to our Team SBA Loan Orientation operating a business. Oakland County Club, Troy. $30 SAE/SPE members, Business Center, Waterford Town- online submission form. Fill out Workshop. 9 a.m.-noon. Michigan $45 nonmembers, $15 SAE student ship. Free. Contact: Karen the form as instructed, and then Small Business & Technology Devel- members, reserved table of six $180. Deaver-Lear, (248) 858-0783; email: click the “Submit event” button at opment Center. MI-SBTDC at Tech- COMING EVENTS Contact: Lynn Norwood, (248) 324- [email protected]; website: the bottom of the page. That’s all Town Detroit. Free. Contact: Brian ESD Master Series: The Art of Reflec- there is to it. 4445, ext. 5; email: lnorwood@sae-de- www.oakgov.com. King, (313) 967-9295; email: tive Selling. 8 a.m.-noon July 24. Engi- More Calendar items can be found troit.org; website: www.sae-de [email protected]; website: neering Society of Detroit. With ESD at www.crainsdetroit.com. troit.org. www.misbtdc.org. institute director Christopher Webb. Selling Smart Workshop Series – Your Bank’s Not Lending?
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EDUCATION president and maining director and quality manage- MARKETING chief compliance ment supervisor of the bone marrow IN THE SPOTLIGHT Cheryl Waites to Jackie Heiss to ac- officer, from man- transplant clinical laboratories and dean, Wayne State count executive, Service Brands International, Ann aging director, the J.P. McCarthy cord stem cell bank. University School Marx Layne & Co., Arbor, has named Craig Donaldson Also, Mara Jelich to executive director of Social Work, De- regulatory coun- Farmington Hills, of radiation oncology for the center, CEO. troit, from interim sel, Talmer Bank, from account as- from manager of ambulatory opera- Donaldson, 53, dean. Troy; and Michael sistant. succeeds Chaffee to vice tions. Brenda Price to president in busi- Brittany Zeller-Hol- David director, office of ness banking, LAW land to senior McKinnon, who Urban Leadership from managing graphic designer, co-founded SBI Initiatives, Mary- director, commer- Harrington Com- and will remain grove College, De- Fowlie cial loans, Talmer munications LLC, chairman of the troit, from urban Bank, Mt. Grosse Pointe board of Waites leadership fellow. Heiss Clemens. Woods, from se- directors. Mark Bierley to CFO, Learning Care nior designer, Col- Group Inc., Novi, from CFO and senior Bryan Besco to orbök LLC, Ann Donaldson had Midwest tax mar- vice president, The Pantry Inc., Cary, Arbor. Also, Helen Donaldson been president keting leader, N.C. Brown to office and CEO of Grant Thornton manager from of- various entities with Logan, Utah- LLP, Southfield, based Harris Research Inc., parent FINANCE remaining mar- fice manager, All Seasons Commu- company to Chem-Dry carpet and Kristin Potter to keting manager. nications, Romeo; upholstery cleaning. first vice presi- Rebekah Johnson and Andrea Colf to dent in commer- to marketing Donaldson earned a Bachelor of Hall Mitchell Ford graphic and lead cial real estate, manager, Christ- Arts degree in economics and an interactive de- Midwest group, Chaffee ian Financial MBA from Brigham Young Randall Hall to business law depart- signer from graph- University, Provo, Utah. Flagstar Bank, Credit Union, Roseville, from account ment leader, Plunkett Cooney PC, Zeller-Holland executive, Franco Public Relations ic designer. SBI is the parent company to Troy, from senior Bloomfield Hills, remaining partner. vice president in Group, Detroit. service-based franchises Mr. Jenice Mitchell Ford to senior counsel TRANSPORTATION commercial real and member of the education munici- Handyman, Molly Maid, ProTect estate, Bank of HEALTH CARE Kip Catlin to chief pilot, Pentastar Avi- Painters and 1-800-DryClean. pal practice and litigation practice America, Troy. Suanne Dorr to executive director of groups, Clark Hill PLC, Detroit, from ation Inc., Waterford Township, from Also, Mary Fowlie senior counsel, Foley & Lardner LLP, captain, Northern Jet Management Potter laboratory services, Barbara Ann Kar- to senior vice manos Cancer Institute, Detroit, re- Detroit. Inc., Grand Rapids.
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July 16, 2012 CRAIN’S DETROIT BUSINESS Page 17 Midtown senior health center proposed Kalitta, National Air Cargo win contracts BY CHAD HALCOM Services under the contract be- CRAIN’S DETROIT BUSINESS gin Aug. 1 and include pickup and BY JAY GREENE “We know that integrated health people, half of whom are home- delivery, customs processing and CRAIN’S DETROIT BUSINESS is a far superior way to deliver less. Ypsilanti-based Kalitta Air LLC care from a quality standpoint as A study this year by the Insti- clearance for roll-on/roll-off cargo and National Air Cargo Group Inc. are or cargo transferred on pallets Detroit Central City Community well as to lower costs.” tutes of Health found that 20 per- two of the three companies to win Mental Health Inc. is developing a Faber-Bermudez said one loca- cent of seniors have a mental among various CentCom bases a defense contract worth a maxi- and locations. The contract runs plan to apply for a federally quali- tion under study is the second health or substance abuse prob- mum $2.9 billion combined, to fly through July 31, 2013, with three fied health center in Midtown to floor in Woodbridge Estates, off lem. The report said seniors often cargo into areas of combat and the- optional one-year renewal periods. serve more than 1,000 senior citi- Mack Avenue and Supremes Dri- have problems finding mental ater support countries for the U.S. Kalitta and National Air Cargo zens who live in public housing. ve. She said that location would health care because of shortages Transportation Command. also have been part of the 10-com- In October, Detroit Central cost about $800,000 to renovate of providers who specialize in el- The two companies and Pur- City and the Detroit Housing Com- and equip for a health center. der care. chase, N.Y.-based Atlas Air Inc. are pany United Parcel Service contrac- mission received an $80,000 grant Only $150,000 would come from Detroit has five federally quali- the winners among nine bidders tor team to win annual contract through the Patient Protection the U.S. Department of Health and fied health centers and two “look- for international air cargo pick- awards from the U.S. Transporta- and Affordable Health Care Act to Human Services, she said. alike” health centers, and a total up/delivery service under the The- tion Command Directorate of Ac- develop a proposal for a health “We have to find a way to raise of about 24 publicly supported ater Express II program, within quisition at Scott Air Force Base care center. the additional amount,” said clinics. the U.S. Central Command area of in Illinois. Detroit Central City recently Faber-Bermudez, adding that an- The federal health centers are operations. The UPS contractor team con- completed a community needs nual operating expenses for the Detroit Community Health Connec- Central Command, or CentCom, tract, with a ceiling value of assessment that concluded a clinic could total $1.1 million per tions, Community Health and Social is a combatant command for the around $200 million, is to provide health center is needed in Mid- year. Services, Western Wayne Family U.S. military in charge of 20 coun- supplemental passenger and cargo town to serve senior citizens who If the health center is built, Health Centers, Covenant Communi- tries in Southwest Asia including transport for the military. sometimes have trouble getting Faber-Bermudez said, Detroit ty Care and Advantage Health Cen- Afghanistan and Iraq, the Middle Kalitta sister company Kalitta transportation to physician of- Central City’s mission will move ters. The “look-alike” health cen- East and Egypt. Charters LLC also received $12.6 fices. from solely providing mental ters are the Wellness Plan Health The indefinite-delivery, indefi- million in September to transport “We need an integrated health health services to a more inte- Centers and Health Centers Detroit nite-quantity award has a base val- the remains of service members clinic to do primary care and grated medical model of care. Medical Group. ue of $2,500, but an overall four- from Iraq and Afghanistan out of mental health services at the Each year, Detroit Central City Jay Greene: (313) 446-0325, year maximum ceiling program Dover Air Force Base to other air- same site,” said Irva Faber- provides counseling and direct [email protected]. Twitter: value of just over $2.9 billion for all ports and bases where they can be Bermudez, Detroit Central’s CEO. care services to more than 4,400 @jaybgreene three companies. collected by their families. JOB FRONT REAL ESTATE
GENERAL TECHNICAL AUCTIONS COMMERCIAL PROPERTIES Sr. Research Scientist for Toyota Motor Engineering & Engineering Lumileds Lighting, LLC has the following job 2 ONLINE-ONLY FOR LEASE Manufacturing North America, Inc., Ann Arbor, MI. opportunity available in Farmington Hills, MI: Duties: Conduct research into intelligent human machine multi-sensory interfaces, models, & systems, focusing Technical Solutions Manager (TSM-MI) - 1180 E. Big Beaver on sensing/estimating/predicting human states, goals & needs w/ automated systems in complex environments. AUCTIONS Design electronics driver circuitry for Lead efforts to develop driver impairment detection technologies, including researching, refining & developing Automotive LED (Light Emitting Diode) st emotion modeling frameworks for understanding cognitive states of drivers. Devlop mathematical models to Exterior Lighting applications. Tuesday, July 31 Signature Rights extract features from facial & complete body images to estimate human states & develop novel applications for driver state recognition to increase auto safety. Work independently & develop novel research themes for new Submit resume by mail to: Philips People Bid on lots individually or in combination. Available collaborative research projects. Mentor postdoc researchers & co-op students. Write technical reports & Services, International Mobility, 200 23 Vacant Lots invention disclosures & make presentations to North American & Japanese company management & staff. Minuteman Rd, MS 5303, Andover, MA 01810. Cobblestone Park Required. Ph.D. in Computer Science or Computer Engineering. 3 years post-doc experience in a computer Must reference job title and job code TSM-MI. North Oak Rd, Davison, MI 4,000 S.F. image processing research & Development position in the auto industry. Experience must include: research on BIDDING ENDS at 11:00AM th driver state recognition w/ special emphasis on detecting driver impairment due to fatigue & sleepiness; research Info: July 17 (11am-12pm) on Tract 31. 3K Off. - 1K Shop on human facial expression analysis & emotion estimation; applied computer vision in 2D & 3D facial image 42 Vacant Lots processing in industrial applications; & managing collaborative research projects, including developing Golfview & Rolling Hills Estates proposals, invention disclosures, budgets & contracts & writing technical reports. Experience can be acquired MARKET Hailees Pl, Kyles Pl, Golfside Dr, Lapeer, MI concurrently. BIDDING ENDS at 2:00PM th Apply online at: Toyota.com. Keyword: Sr. Research Scientist. Info: July 17 (12:30-1:30pm) on Tract 121. PLACE 248-528-2700 POSITIONS AVAILABLE FINANCIAL SERVICES (517)(517) 676-9800676-9800 OFFICE BUILDING IVY PRIVATE CAPITAL www.sheridanauctionservice.com Exquisite Loft Offices Detroit REFERRERS: EARN A 800-717-TEAM (8326) Over $400,000 Invested FORECLOSURE Call or email today for information For Sale $189,000 BAILOUT on a custom advertising plan! 4,733 S.F., 14’ Wood Ceilings • Commercial Wired for Voice and Data • Residential [email protected] Off street Parking w/Remote Access • 8-10% fixed interest rates 313.446.6068 www.1157concordave.com • 30-day closing CASH BONUS • Poor credit OK AUCTIONS: COMMUNITY PROPERTY • Foreclosure OK up to $4,000 when a hire is made • Bankruptcy OK 251 E. Merrill Street Suite 203 PUBLIC AUCTION Birmingham MI. 48009 [email protected] Tuesday, September 11th @ 3PM www.ivyprivatecapital.com 232,283 sq ft Former Lumberyard, Cleveland Ohio Call Us For Personalized Service: (313) 446-6068 8680 sq ft-2.47 Acres Truck Repair Facility - Tenant Occupied Wickliffe Ohio CLOSING TIMES: Monday 3 p.m., one week prior to publication date. 110,330 sq ft Industrial Bldg.-Tenant Occupied Wickliffe Ohio |JOB FRONT Please call us for holiday closing times. FAX: (313) 446-1757 50 Parcels of Vacant Industrial Land Wickliffe Ohio crainsdetroit.com/jobfront E-MAIL: [email protected] 66,490 sq ft-6.24 Acres Industrial Building-Tenant Occupied INTERNET: www.crainsdetroit.com/section/classifieds Warren Michigan Confidential Reply Boxes Available 597 Acres Raw Land Alturas California PAYMENT: All classified ads must be Advertise your Call or email today for information prepaid. Checks, money order or For information and bid packages on a custom advertising plan! Crain’s credit approval accepted. Products and Services Credit cards accepted. Williams & Lipton Company in [email protected] See www.williamsandlipton.com Crain’s Detroit Business Crainsdetroit.com/Section/Classifieds 313.446.6068 for more classified advertisements License #2007000129 20120716-NEWS--0018-NAT-CCI-CD_-- 7/13/2012 6:44 PM Page 1
Page 18 CRAIN’S DETROIT BUSINESS July 16, 2012 Alcohol: A thorny corporate issue ■ From Page 1 Local experts on alcoholism, cri- sis management and business cul- ture said the issues in these kinds I see appropriate conduct in of incidents can be complicated. “ Whether Martin or any execu- a board (at EMU) trying to be tive seeks counseling because they believe they have a problem — or vigilant, a good trait to have in simply want to appease superiors — treatment can still be a good op- crisis management. tion to explore, experts said. ” ONE HU G ND Matthew Seeger, Wayne State University IN R T E “Even if someone is having their A D R Y B E arm twisted to attend counseling, E A
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E ple that Mackinac is an important S Martin earns a salary of $292,125 C 100 that doesn’t necessarily mean the counseling isn’t going to be effec- place to both network by day and under a contract with the universi- tive,” said Jeffrey Berger, medical to attend events by night, in a ty that expires in July 2013. director at the Brighton Center for more relaxed atmosphere. I think Other factors in the EMU board Recovery, a substance abuse treat- (alcohol at events) can serve a response and Martin’s reaction ment center owned by St. John Prov- function to help relax people, in could be sensitivities over the fir- idence Health System. what’s sometimes an uncomfort- ing of EMU’s previous president, “One of the fortunate things able situation,” he said. or even the timing of the Freeh working for various professionals Guests almost always drink re- Commission report findings last compared with other addicts is sponsibly, and they benefit from week on the Jerry Sandusky sex that there are also monitoring bod- the conference even if they don’t abuse scandal at Pennsylvania State ies within their professions,” drink, Tanner said. University, said Matthew Seeger, Berger said. “There is an interest “The casual atmosphere at a din- dean of the College of Fine, Per- from the government in these peo- ner party is great for building rela- forming and Communication Arts ple being licensed and able to prac- tionships, and people often follow at Wayne State University and a spe- tice their profession — and when a up on (business) discussions with cialist in crisis communication. problem surfaces, sometimes people they know and trust,” he “Eastern Michigan has had chal- they’ll be under monitoring for said. lenges with other issues in recent two to three years, until the treat- Berger said the conflict between years, and higher education insti- ing official and the monitor feel sobriety and executive networking tutions this week were under a they don’t pose a danger.” is more a perception than reality. tremendous amount of public Executives also may feel pressure “We have lots of medications scrutiny,” he said. to network at events and establish- available today for someone who “So the board may be acting in a ments that serve alcohol in the struggles with specific alcohol way that seems atypical … (but) I course of their professional duties. cravings. But the (networking) is- see appropriate conduct in a board 00 sue is more of a problem of percep- trying to be vigilant, a good trait to SAVE $100 OFF Many people view these events as a business development tool, said Don tion. If you stop and think about it: have in crisis management. I did- Tanner, founding partner at Farm- If you have to attend a meeting n’t see anything inappropriate in ington Hills-based Tanner Friedman, a where you have one person who’s its response.” public relations firm that handles drunk and another who’s sober, Michael Michael, an anesthesiol- some media functions for the annu- you’re probably not going to close ogist and medical director at Eagle al Mackinac Policy Conference of the deal that night anyway.” Advancement Institute in West Bloom- the Detroit Regional Chamber. Martin had one alcohol-related field Township, said for executives “We always recommend to peo- driving incident, from 2005 near who do have an established addic- Grand Rapids, and she said she in- tion problem, a combination of formed the board of it before she counseling and detox programs are became EMU president. Walter effective. A recovering substance Kraft, EMU vice president for com- abuser can also take advantage of munications, said the April 23 in- medically assisted detoxification cident is the only disciplinary mat- programs offered by health care ter in Martin’s record. providers but still needs counseling On that date was an argument be- and support to complete recovery. tween Martin and Michael Ferens, “We are now able to do a quicker of the university’s alumni chapter version of (detox) than in past pro- in Washington, D.C., where Martin cedures, but the medical part and had been attending a conference the immediate recovery is really and allegedly lapsed into profanity only 50 percent of the problem,” he in a discussion that touched on for- said. mer university President John Fal- “We have found our patients lon and a prior mascot, the Huron have a tremendously greater Indians. EMU switched mascots to chance of success with a (follow- the Eagles in 1991. up) support system in place.” Martin reported the incident to Margaret Williams, dean of the university board Chairman Roy College of Business at Wayne State, Wilbanks days later, saying her said universities and other em- conduct was in part a “result of ployers often have to consider how having not eaten and then consum- to discipline an employee based on ing alcoholic beverages,” accord- both the severity of an incident and ing to a letter to Martin signed by the frequency of a problem. members of the board. “The extent to which these Daniel Mathis, interim executive things affect business are really a vice president of alumni relations at question of whether they are iso- EMU, confirmed to Crain’s that he lated incidents or are part of a pat- was present for the brief exchange tern,” Williams said. between Martin and Ferens, and Chad Halcom: (313) 446-6796, about the subject matters, but he de- [email protected]. Twitter: ferred further comment to Kraft. @chadhalcom
BANKRUPTCIES The following businesses filed for ket St., Shelby Township, voluntary Chapter 7 or 11 protection in U.S. Chapter 11. Assets and liabilities not Bankruptcy Court in Detroit July 6-12. available. Under Chapter 11, a company files for Pelican Industries S-Corp., 9069 Emer- reorganization. Chapter 7 involves to- son Road, Saline, voluntary Chapter 7. tal liquidation. Assets and liabilities not available. D & T Emerald Creek Inc., 45343 Mar- — Ryan Kelly 20120716-NEWS--0019-NAT-CCI-CD_-- 7/13/2012 5:21 PM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 19 Capacity: Choices tough for suppliers with maxed-out plants ■ From Page 1 According to June reports, U.S. auto sales rose 20 percent, reach- ing an estimate of 14.1 million for Demand increases for ZF’s fuel-efficient transmissions the year, up from 12.8 million in 2011. ZF North America, the Carolina, we have lots of sales growth? some cases, demand is even high- “There are suppliers out there Northville-based North openings for manufactur- We foresee a complete switch er than what we can supply. running plants American hub of Ger- ing engineers. from conventional hydraulic 24/7,” Diehl Are you running around the clock in man supplier ZF Fried- steering to electric power steer- said. “The sup- some plants? richshafen AG, is posi- Raw material prices have ing. The Detroit 3 are our cus- ply base isn’t Yes. But my biggest concern tioned for big sales been volatile, though they tomers. We have a very good prod- shutting down is not about our own plants, gains, with Chrysler have fallen in recent uct, and the fuel savings are (automaker) but our suppliers. We are in a Group LLC adopting ZF’s months. How has that af- around 2 percent. plants yet. But strong (financial) position, and we eight- and nine-speed fected ZF? as volumes con- have a good capital structure. But transmissions for mass- Now, we don’t see huge What else is boosting sales? tinue to grow, our lower-tier sup- market models. It’s also price pressure. Last year Four-wheel dri- the constraints pliers have some coping with increased and early this year, the ve. We are seeing a are worrying. difficulties. They Diehl demand from custom- pressure was much high- higher take rate on Suppliers have In some cases, are willing to ers. er. For us, steel is the No. four-wheel drive, been running on the ceiling too “ grow, but the diffi- Julio Caspari, 61, presi- Julio Caspari, 1 metal. But it’s not the and it’s not only in demand is even long, so the question is: What’s go- culty is to get capi- dent of ZF’s North Amer- ZF North America only thing. You have to northern states ing to break and when?” tal to fund that ican operations, spelled add certain alloys, and that have bad higher than what North American automotive growth. out the company’s growth plans those elements are becoming ex- weather condi- plants are running at 88 percent ca- in an interview with News Editor pensive. Aluminum is the next- tions. Obviously, we can supply. What are you do- pacity, estimates Northville-based Charles Child and Special Corre- biggest item, and its price depends when you have ” ing about that? IHS Automotive Inc. Germany-based spondent David Sedgwick of Auto- on energy costs. four-wheel drive, Julio Caspari, We are trying to KPMG AG estimates that plant ca- motive News, an affiliate publica- your fuel consump- ZF North America find whatever so- pacity in the U.S. alone will reach tion of Crain’s Detroit Business. ZF has introduced eight- and nine- tion goes up. So we lution is possible. 94 percent by 2018. speed transmissions, and other sup- are working on a wheel disconnect But obviously, we won’t be fund- A May survey of suppliers by Is it difficult for you to find enough pliers are promoting dual-clutch trans- system (to permit two-wheel drive) ing our suppliers. the Troy-based Original Equipment qualified engineers? missions. Will these fuel-efficient so that you are not wasting all that Suppliers Association found that It is increasingly difficult — es- gearboxes take over North America? energy. Are your suppliers shipping parts plant capacity use was 85 percent pecially in the Detroit area, where The six-speed automatic still from Europe until they can raise across the supply base, up from 80 most of the suppliers’ technical has some life in it. The plants are For all parts, can you meet your enough capital to build factories in percent in September. centers are. (Finding engineers) tooled up. Six-speeds will be the customers’ production targets in North America? Crunch time is coming for many for a normal transmission is not a bread-and-butter transmissions in North America? Yes. If Europe is down in de- suppliers, and that has domino ef- problem. But for hybrid transmis- years to come, just as four- and In the U.S., our business plan mand, ZF may have spare produc- fects, Diehl said. sions or vehicle electrification, it five-speed transmissions were. was based on 13.5 million units, tion capacity in Europe to cover “It is a tricky issue to call as im- is very difficult to find experi- and we are seeing stronger de- us until we can get local capacity pacting any one particular compo- enced people. In this building, we Aside from transmissions, what mand than that. We are installing (in North America). The same is nent category or another,” he said, have 30 openings. And in South ZF products generate the most capacity for future demand. In true with our suppliers. “but supplier capacity constraints can impact nearly everyone to the summer shutdown of plants, said new equipment — and must hire extent that the lack of a single com- Dan Sharkey, a partner at Birm- — to take advantage of increasing ponent can derail production of ingham-based Brooks Wilkins volumes. the overall vehicle.” Sharkey & Turco PLLC. Automakers are geared up near- Ford Motor Co., Chrysler Group LLC ing pre-recession work levels. Why Should Contingency plans and General Motors Co. skipped two- North American production rose week summer shutdowns around 27 percent in the second quarter Northville-based Key Plastics LLC the Fourth of July holiday at sev- this year, the highest quarterly in- They Trust YOU? is closely watching its North Am- eral plants. Without the shutdown, crease since 2007, Michael Ward of erican suppliers, said Claire Wal- Ford said it boosted production by New York-based Sterne Agee Group ia, senior vice president of global 40,000 vehicles — which need mil- Inc. wrote in an analyst note. For purchasing. lions of parts from many suppliers. example, GM added more than “I’m not concerned about my “Half of what I work on is capac- 4,000 jobs in four states with new bigger suppliers like BASF,” she ity issues for suppliers,” Sharkey third shifts this year. BBB Accredited Businesses said. “It’s the smaller component said. “Without the summer shut- According to the OESA’s July suppliers with added volume re- downs, many are maxed out on ca- Supplier Barometer Survey, 28 are committed to honest, ethical quirements, more cash outlay and pacity, running three shifts.” percent of respondents said pur- more financial burden and risk. Redford Township-based Piston chasing capital equipment is their and fair business practices. That’s where we are looking at Automotive LLC added a third crew top priority this year. Another 28 more risk assessment.” to handle new business, said Paul percent said hiring direct hourly Southfield-based Denso Interna- Gorcyca, director of new business employees is their top priority. tional America Inc., which has seen development. Consultants and bankers also revenue grow 58 percent since “We are not experiencing any point to evidence of planning for Show Your Customers What 2010, monitors customer projec- capacity issues as of yet, but it is spending. tions diligently so it can respond, definitely on our radar of poten- Marshall Kleven, senior vice YOU Stand For said Executive Vice President Art tially critical issues,” he said. president of Bank of America in De- Shimmura. Walia said establishing success- troit, said suppliers are slowly “We’ve always had an internal ful long-term relationships with thinking about borrowing work- process in place in which we look suppliers is helping customers like ing capital money in the wake of at our customers’ production pro- Key Plastics and the automakers new contracts. jections and make adjustments keep components in supply as ca- “Companies are starting to fore- based on those numbers,” he said. pacity gets tighter. cast for working capital increases “This is not day to day or week to “We operate in a different envi- to support growth,” he said. “Most week but the six- and 12-month ronment today, where companies of our clients are looking to access process to make sure our plants don’t carry inventory and there’s capital later this year or early next ® can be prepared for meeting fluctu- more due diligence,” she said. year.” ations in demand. “People that play games with sup- Said Diehl: “You’ve got a lot of en- “There might be resource shifts pliers on pricing may find they trepreneurs out there that have re- or even additions, maybe even mi- can’t get material. You must have sisted spending capital because nor capital investment, to make good long-term relationships and there are still concerns — Europe, ® sure we can always meet our cus- more transparency these days.” gas prices, lame-duck Congress, etc. Start With Trust tomers’ demand.” Key Plastics projects revenue of “But they are getting to a point Walia said many suppliers are $400 million in 2012. where they won’t have a choice, getting pressured by last-minute and I’m left wondering if they can spot orders from customers need- access capital in time so they don’t Join the Better Business Bureau Serving Eastern Michigan and the Upper Peninsula ing more components than con- On the horizon: Spending crash and burn from overrunning tracted to keep up with demand. Mike Wall, director of automo- their equipment and people.” For more information: These spot orders likely tive analysis for IHS Automotive, Dustin Walsh: (313) 446-6042, stemmed from the lack of au- said capacity is a lingering issue [email protected]. Twitter: bbb.org or 248-223-9400 tomakers performing the typical in North America. Suppliers need @dustinpwalsh 20120716-NEWS--0020-NAT-CCI-CD_-- 7/13/2012 6:01 PM Page 1
Page 20 CRAIN’S DETROIT BUSINESS July 16, 2012 Tax: Wording changes to old MBT law could bring biz millions ■ From Page 1 eliminate ambiguities, problems ciable assets, and materials and analysis said. with the senator and we’ll contin- and what they say are misinterpre- MBT BILL PROPOSALS supplies to the extent they are not But Nowak said while he expects ue working with him to address tations of the tax, whose four-year Other proposed changes in the included in inventory or assets. a number of businesses will file the issues.” life ended Jan. 1 when it was re- MBT bill: But by Treasury’s interpreta- amended returns and seek refunds Tricia Kinley, senior director of placed by Michigan’s new corpo- Ⅲ Revising the MBT law to ensure tion, the MACPA says, a host of if the legislation passes, others may tax and regulatory reform for the rate income tax. that businesses in tax-free purchases are excluded. For exam- not see the financial impact of the Michigan Chamber of Commerce, Why amend a repealed tax? Be- renaissance zones have no MBT ple, office supplies bought by a ser- materials and supplies change as said the Legislature needs to ad- cause the MBT is far from gone liability. Existing law limits vice business and used at its head- substantial enough to do so. dress the MBT issues and that the and the items targeted in Senate renaissance zone MBT credits to quarters would not be deductible He said he does not think the alternative is court battles. Bill 1037 will affect returns that no more than the credit allowed because they do not fall under the magnitude of refunds will be as “If we don’t get some of these is- have been and are still being filed, under the MBT’s predecessor, the prescribed connection with inven- large as Treasury estimates and sues clarified and resolved in and MBT state audits yet to occur. single business tax. That’s left tory or assets, the MACPA says. that many businesses may have statute, it’s going to end up in liti- And bill supporters say that on some businesses paying tax and is “They imposed this very rigid filed their returns consistent with gation. And that just wastes tax- neither fair nor consistent with the several issues — including a cen- tax-free zone concept, said Greg restriction on the scope of what the bill’s proposed language and payers’ money, through a direct tral disagreement with Treasury’s Nowak, partner with Miller would be deductible,” Nowak said. thus would not be due refunds. hit on a business’ bottom line, but interpretation of what can be de- Canfield. The legislation would He said the interpretation goes In an email to Crain’s, Treasury also through taxpayer money ducted from one part of the MBT’s eliminate the SBT limit — a change against commonly understood public information officer Terry spent by the state on litigation,” base — lawsuits are inevitable. that Treasury estimates would meaning that a material or supply Stanton said “the significant cost she said. “Don’t view this as a dead issue lower state revenue by about $11 is simply a tangible item that is of this bill, which includes a num- The Michigan chamber opposed because the MBT was repealed,” million annually, the Senate Fiscal purchased and listed as an expense ber of changes, is problematic. The the 2007 final passage of the MBT said Greg Nowak, partner with analysis said. on a company’s books. MBT is no longer in effect and the and had found dozens of problems Miller, Canfield, Paddock and Stone Ⅲ Specifying that debts written off Nowak said service businesses, department estimates that such with the bill at the time, including PLC in Detroit and immediate past by creditors — such as in because they don’t produce goods, retroactive changes would reduce “vague, open-ended language,” chairman of the Michigan Associa- bankruptcies, foreclosures or are affected the most by the issue. state revenues by up to a half bil- Kinley said. And when the legisla- negotiated reductions in debt — tion of Certified Public Accountants, are excluded from the debtor’s But, he said, “I think it’s fair to say lion dollars.” tion took effect and the Granholm or MACPA, which is spearheading gross receipts tax base. it affects all businesses to some de- Additional Treasury comment, administration interpreted its lan- the legislation. Ⅲ Allowing assets that a business gree, because all businesses will including on the necessity of pro- guage, “all of our fears at that time The MACPA began an analysis constructs rather than purchases have some amount of materials posed changes, was unavailable just became reality,” she said. of the MBT shortly after its 2007 from other firms — such as a and supplies that are related to Thursday at Crain’s deadline for Kinley said the chamber re- passage and identified areas stamping press that a company their general or administrative ac- this story. mains hopeful the administration where the law was unclear or rebuilds rather than purchasing a tivities, or overhead.” Ken Silfven, deputy press secre- will support the legislation, which where it did not appear that Trea- rebuilt press — to be deductible in The new legislation, which tary for Gov. Rick Snyder, said the was approved by the Senate Fi- sury’s interpretation was consis- the gross receipts base. would be retroactive to the Janu- administration is talking with bill nance Committee in late May. She tent with the statute or its intent. ary 2008 start of the MBT, clarifies sponsor Senate Finance Commit- said it is “a package of reasonable The group, which presented the is- that materials and supplies are all tee Chairman Jack Brandenburg, solutions that the state would be sues first to the Granholm admin- duction for materials and supplies; tangible items consumed. R-Harrison Township better served by endorsing and istration and then the Snyder ad- part of the MBT is a modified It’s a change that Treasury esti- “We do have serious concerns supporting … rather than rolling ministration, has seen a few items gross receipts tax based on a busi- mates would reduce state revenue with the bill in its current form,” the dice and going into court.” addressed, but the bulk still ness’ gross receipts minus pur- by as much as $110 million a year he said. “Obviously, a possible re- Richardville said the legislation lingers. chases from other firms. and could add up to as much as duction to the budget of a half-bil- would provide clarity to business- The issue with the widest impli- Under current law, those pur- $440 million over four years of tax lion dollars has a lot of ramifica- es and reduce risk, and “make it cations has to do with the MBT de- chases include inventory, depre- returns, a Senate Fiscal Agency tions. We’ve had good discussions better to do business in Michigan.”
Metalcraft: Livonia company diversifies with eye on low volume ■ From Page 3 tive (we are).” quired. John Zimmick, president AEV, which has offices in cent of the business in architec- signed the aluminum chairs in Quality Metalcraft is able to of UAW Local 174, which represents Wixom and Missoula, Mont., sells ture,” Chetcuti said. Chetcuti’s home together. Chetcuti thrive because of its flexible manu- the company’s employees, said suspension lifts, bumpers, skid Now, he says, the company’s at- has collected a number of pieces of facturing system. A single hem- Quality Metalcraft is able to at- plates and other parts for Jeeps. titude is: “We’ll do anything with a Pardo’s art. ming unit, for example, can hem tract superior workers because it The company outfits Jeep Wran- piece of metal if there’s a dollar on Pardo said Chetcuti’s combina- the Dodge Challenger Shaker gives its employees a fair shake, glers for its customers and also it.” tion of business and artistic inter- hood, the Ram RT hood and a wide treating workers as equals and not sells kits so drivers can acces- ests is rare in the automotive breadth of other parts, Chetcuti showing favoritism. sorize their vehicles themselves. world. said. “Quality Metalcraft is one com- Chetcuti and his business part- Experimenting “He’s got like bookend kind of Only a small piece of the tool is pany that actually sees the human ner, Mike Collins, bought into the It’s impossible to walk even a qualities,” Pardo said. “At the end specific to each part it produces, so side along with the business side,” 15-year-old business in 2006 as few steps in Chetcuti’s home, an of the day, he knows he needs to be the robots can be turned over Zimmick said. partners with founder Dave Harri- airy loft in a converted industrial a sensible businessman. But at the quickly and cheaply. Zimmick, who has headed the lo- ton. Since then, AEV has grown building in Royal Oak, without other end of it, he can be pretty ab- “In the old days, that was a $1 cal since 2007, can recall at least exponentially. In 2008, Quality finding something that was pro- stract, wild and dramatic, which million dedicated tool, and when three or four instances in the past Metalcraft manufactured two duced at Quality Metalcraft. are definitely characteristics that the product didn’t sell, you’d just five years when a Quality Metal- parts for AEV, Chetcuti said. By Chetcuti is always tinkering or you find in some kind of artist.” scrap it,” Chetcuti said. “These ro- craft employee suffered from alco- 2010 that number had grown to 30. experimenting with some aspect of A self-described foodie, Chetcuti bots don’t care what they’re do- holism or other problems, and in- Today, Chetcuti estimates that his home’s decor. is a partner in an upscale pizza ing.” stead of firing the employee, the AEV accounts for 15 to 18 percent Evidence of Chetcuti’s passion restaurant and a beer-and-wine That level of flexibility is avail- company worked with the employ- of Quality Metalcraft’s business. for industrial design is evident shop, both about a half mile from able on virtually all of Quality ee and got the employee help. Ideally, he said, he’d like AEV to throughout the 6,500-square-foot his home. The Royal Oak location Metalcraft’s robotic equipment; “The workers are just better- take up one-third of Quality Metal- loft: the sink in the powder room, of Pizzeria Biga opened in April. the company began moving seri- quality workers because they’re craft’s capacity so that Quality with its basin atop a stainless Chetcuti designed its interior. ously to robotic technology about treated well,” Zimmick said. Metalcraft can control its “own steel, jet-engine-like body; the two He’s also the lead singer of a six years ago. Chetcuti said Quali- destiny.” 800-pound contoured aluminum- punk band, The Chet Offensive, ty Metalcraft paid $1.6 million for Aside from AEV, Quality Metal- plated chairs on the second floor; and many of the group’s songs are its first piece of laser trimming Surviving the downturn craft diversified by looking outside and the steel railing surrounding auto-themed, having titles such as equipment, and his father “almost The depths of the recession the auto industry. In 2008, Quality the outdoor patio that’s imprinted “Motor City Threw a Rod” and had a heart attack” when he found wiped out a significant portion of Metalcraft won a bid to manufac- with 24,000 laser-made holes are “F—MPG.” out. the company’s capacity, and by ture the decorative stainless steel just some of the decorations that “I got scolded by (GM President) “He said, ‘There’s no way it’ll June 2009 Quality Metalcraft had for MotorCity Casino Hotel in De- were made at Quality Metalcraft. Mark Reuss because I said electric ever pay for itself,’ ” said Chetcuti. only 61 of the nearly 475 workers it troit. Quality Metalcraft designed Camilo Pardo, an artist and au- vehicles are trash,” Chetcuti said “We have 15 of them now.” had employed before the economy and produced the 11,000 tons of tomotive designer who spent more about the latter song, laughing. Even prototype parts are no tanked. stainless steel that wrap around the than 20 years at Ford Motor Co. and “I probably wouldn’t like what longer hemmed by hand. Robotic “There wasn’t a real warm and building. It was the company’s famously crafted the Ford GT, has I’m doing very much if I didn’t processes produce a higher-quali- fuzzy feeling toward the compa- first, and thus far only, major foray collaborated on several projects have all the side stuff going on. De- ty product much faster even in ny,” Chetcuti said. into architectural design. with Chetcuti. The pair met dur- signing the restaurant or playing such small quantities, Chetcuti Yet it survived, in part because “A week before we got the Motor ing production of the GT because in my band, you know, it’s a blast.” said. it began ramping up production of City Casino architectural metal Quality Metalcraft was producing Philip Nussel contributed to this While much of the process is au- parts for American Expedition Ve- (contract), we had zero architec- parts for the vehicle. Since then, report. tomated, human skill is still re- hicles. tural; the next year, we had 50 per- among other projects, they de- From Automotive News 20120716-NEWS--0021-NAT-CCI-CD_-- 7/13/2012 6:06 PM Page 1
July 16, 2012 CRAIN’S DETROIT BUSINESS Page 21 Midwives: Oakwood grows as DMC dwindles www.crainsdetroit.com ■ EDITOR-IN-CHIEF Keith E. Crain From Page 3 PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] National Institutes of Health Perina- “There has been a contraction at Oakwood expansion pital, Henry Ford West Bloomfield Hos- ASSOCIATE PUBLISHER Marla Wise, (313) 446- tology Research Branch at Wayne Hutzel Women’s Hospital, and (ob- pital, Beaumont Hospital Troy, St. 6032 or [email protected] Jones, who also is a faculty EXECUTIVE EDITOR Cindy Goodaker, (313) 446- State University. stetrical) care has shifted to Sinai- John Providence Health System and 0460 or [email protected] Frank, CEO of Wayne State’s Grace Hospital,” Jones said. member of the Wayne State med- the University of Michigan’s Von MANAGING EDITOR Jennette Smith, (313) 446- ical group, was hired by Oakwood 1622 or [email protected] medical group, however, declined Crain’s has learned that DMC Voigtlander Women’s Hospital. MANAGER, DIGITAL CONTENT STRATEGY Nancy to address Crain’s questions about recently closed its seven-bed in April to run its 16-physician ob- “There are a mix of models out Hanus, (313) 446-1621 or [email protected] stetrics and gynecology residency DEPUTY MANAGING EDITOR Daniel Duggan, (313) changes in DMC’s midwife pro- labor-delivery-postpartum-recov- there (at other hospitals),” said 446-0414 or [email protected] gram over the past year. ery unit at Hutzel because of low program and oversee the system’s Nancy Gray, Oakwood’s adminis- SENIOR EDITOR Bob Allen, (313) 446-0344 or growing nurse midwife program. [email protected] “Oakwood Healthcare in Dear- patient occupancy. DMC declined trator for women’s services. “We WEST MICHIGAN EDITOR Matt Gryczan, (616) 916- born is a new location where comment. “Women are looking to have the now offer both models, with mid- 8158 or [email protected] most satisfying experience they SENIOR EDITOR Gary Piatek, (313) 446-0357 or WSUPG nurse midwives will de- Cathy Collins-Fulea, Henry Ford wives working closely with physi- [email protected] liver from,” Frank said. Health System’s division head of can have in labor and delivery,” cians at the hospital and midwives SENIOR DESIGNER Jeff Johnston, (313) 446-1608 midwifery and vice president of the Jones said. “Before the midwife in independent practice.” or [email protected] DATA EDITOR Brianna Reilly, (313) 446-0418, American College of Nurse-Mid- program started here, most of that Like Oakwood, Henry Ford, St. [email protected] Competition for patients experience was exclusively with WEB PRODUCER Norman Witte III, (313) 446- wives, said obstetricians at some John Providence, Beaumont Hos- 6059, [email protected] For deliveries, state law and hospitals across the country are physicians in their offices.” pital Troy and Von Voigtlander EDITORIAL SUPPORT Robertta Reiff, (313) 446- hospital credentialing rules re- seeking to restrict nurse midwives’ Jones said Oakwood now offers have nurse midwives who see 0419; YahNica Crawford, (313) 446-0329 NEWSROOM (313) 446-0329, FAX (313) 446- quire certified nurse midwives to privileges for economic reasons. medical staff credentials to two their own patients and deliver ba- 1687 TIP LINE (313) 446-6766 types of midwives. The first is a make arrangements with physi- “The Centers for Medicare and bies at hospitals with physician REPORTERS cians for emergency backup sup- Medicaid Services just released new group of eight certified nurse mid- emergency backup. Daniel Duggan, deputy managing editor: Covers port. hospitals’ conditions of participa- wives and two nurse practitioners, “We are up a little in our births” real estate. (313) 446-0414 or [email protected] Jay Greene, senior reporter: Covers health care, Since 2009, births in Michigan tion for Medicare where they who are employed by Oakwood to 1,024 in 2011 (42 percent by mid- insurance, energy utilities and the environment. have dropped 8.35 percent, to strongly encourage giving midlev- and work as an extension of physi- wives) from 949 (39 percent by mid- (313) 446-0325 or [email protected] Chad Halcom: Covers litigation, higher education, 114,717 from 125,172 in 2007. DMC el practitioners credentials to the cians at Oakwood Hospital and Med- wives) the previous year, said non-automotive manufacturing, defense ical Center in Dearborn. contracting and Oakland and Macomb counties. did not provide Crain’s with birth full extent of their scope of prac- Collins-Fulea. Henry Ford has 11 (313) 446-6796 or [email protected] numbers. tice,” Collins-Fulea said. “One rea- Members of Oakwood’s new mid- midwives at its Detroit flagship hos- Tom Henderson: Covers banking, finance, wife group, the Wayne State mid- technology and biotechnology. (313) 446-0337 or But births provided by certified son for this was to address (restric- pital and six at West Bloomfield. [email protected] nurse midwives in Michigan have tive) nurse midwives’ hospital wives, also have received medical As at Henry Ford hospitals, Gray Nancy Kaffer: Covers commercial real estate, the staff credentials that define their city of Detroit and Wayne County government. been rising as a percent of total privileges.” said, Oakwood expects an increase (313) 446-0412 or [email protected] births. In 2009, midwives account- Collins-Fulea said a joint project patient care responsibilities and al- in deliveries by midwives now that Bill Shea, enterprise editor: Covers media, low them to practice more indepen- advertising and marketing, the business of sports, ed for 6,975 hospital births, or 6 between the American College of the system is offering women ex- and transportation. (313) 446-1626 or percent, compared with 6,672 Nurse-Midwives and the American dently than Oakwood’s existing em- panded midwifery services. [email protected] ployed midwives, who primarily Nathan Skid, multimedia editor. Also covers the births, or 5.3 percent, in 2007, said Congress of Obstetricians and Gyne- “There has been an increase in food industry and entertainment. (313) 446-1654, the Michigan chapter of the Ameri- cologists is under way to improve support inpatient care, Jones said. women choosing this option (else- [email protected] Dustin Walsh: Covers the business of law, auto can College of Nurse-Midwives. collaborations between nurses and “The new midwives have their where), and we don’t want to turn suppliers and steel. (313) 446-6042 or About 99 percent of births occur in doctors to stop the practice. own practices and offices,” Jones anybody away,” Gray said. [email protected] Sherri Welch: Covers nonprofits, services, retail hospitals. Under Michigan state law, certi- said. “They see patients, and pro- Over the next six months, Gray and hospitality. (313) 446-1694 or Nationally, midwife deliveries fied nurse midwives are registered vide prenatal care, delivery and said, Oakwood hopes to expand the [email protected] also have been steadily increasing, nurses who have advanced practice post-partum services. It is like the independent nurse midwife pro- ADVERTISING now up to 8.4 percent of all births. degrees in midwifery. They have old obstetrical provider model.” gram to the other two hospitals in SALES INQUIRIES: (313) 446-6052; FAX (313) But if Caesarean sections, which limited scope of practice as com- Wayne State has 17 certified which it offers obstetric services 393-0997 SENIOR ACCOUNT EXECUTIVES: Matthew J. nurse midwives aren’t allowed to pared with obstetricians. Individ- nurse midwives practicing at five — Oakwood Annapolis Hospital and Langan, Tamara Rokowski perform, are excluded, the percent- ual hospitals can grant midwives locations and several hospitals in Oakwood Southshore Medical Center. ADVERTISING SALES Christine Galasso, Lori Tournay Liggett, Dale Smolinski age rises to 12.1 percent, said the more responsibility, but only up to Southeast Michigan, Frank said. Last year, Oakwood delivered CLASSIFIED SALES (313)-446-0351 Journal of Midwifery & Women’s state scope-of-practice law. WSUPG has about seven full-time 5,508 babies, including 4,104 at EVENTS DIRECTOR Nicole LaPointe Health. Certified nurse midwives are al- equivalent nurse midwives at Oakwood Hospital and Medical DIRECTOR, INTEGRATED MARKETING Eric Cedo lowed to provide to women a full DMC, he said. Center in Dearborn. Oakwood EVENTS COORDINATOR Kacey Anderson Jones said the Wayne State med- SENIOR PRODUCER FOR DIGITAL/ONLINE ical group still has nurse mid- range of primary health care ser- Besides Oakwood and DMC’s does not separate out the number PRODUCTS Pierrette Dagg wives at DMC, but the numbers of vices, including gynecologic Hutzel and Sinai-Grace hospitals, of deliveries made by midwives. MARKETING ARTIST Sylvia Kolaski checkups, family planning ser- Jay Greene: (313) 446-0325, SALES SUPPORT Suzanne Janik, YahNica Crawford midwives and registered nurses other hospitals in Southeast AUDIENCE DEVELOPMENT MANAGER specializing in obstetrics have de- vices, preconception care, and pre- Michigan offer nurse midwife ser- [email protected]. Twitter: Candice Yopp clined at DMC. natal, birth and postpartum care. vices. They include Henry Ford Hos- @jaybgreene MARKETING COORDINATOR Jenny Griffith PRODUCTION MANAGER Wendy Kobylarz PRODUCTION SUPERVISOR Larry Williams CUSTOMER SERVICE MAIN NUMBER: Call (877) 824-9374 or write [email protected] SUBSCRIPTIONS $59 one year, $98 two years. Salvation Army: Out of state, $79 one year, $138 for two years. Expansion creates need to hire Outside U.S.A., add $48 per year to out-of-state rate for surface mail. Call (313) 446-0450 or ■ From Page 3 (877) 824-9374. SINGLE COPIES: (877) 824-9374 Salvation Army ARC will host a 50, Idzior said. But new, younger one who needs to shop there be- with its owners and hopes to close REPRINTS: (800) 290-5460, ext. 125; (717) 505-9701, ext. 125; or lindsay.wilson job fair at its Detroit site at 10th people are coming into the group cause of their economic situation the deal in September, Miller said. @theygsgroup.com and Fort Street Wednesday and and increasingly shopping at thrift to someone who wants to shop Salvation Army has many loca- TO FIND A DATE A STORY WAS PUBLISHED: (313) 446-0406 or e-mail [email protected] Thursday. stores, she said. there for the “treasures,” he said. tions in higher-income locations It’s looking to hire drivers, dock “Thrifting is “Consignment or retail shop- including Clarkston, Oxford, CRAIN’S DETROIT BUSINESS IS PUBLISHED BY CRAIN COMMUNICATIONS INC. workers, donation processors, huge with high ping is becoming the best thing to Keego Harbor, Utica, Ann Arbor CHAIRMAN Keith E. Crain sales clerks, cashiers and store school and col- do,” Ukrainec said. and Brighton, which are close to PRESIDENT Rance Crain SECRETARY Merrilee Crain managers for open positions to lege kids; Goodwill operates one thrift donors, said Idzior. TREASURER Mary Kay Crain meet the growing chain’s needs. they’re really store in Canton Township and “But in order to continue to Executive Vice President/Operations into that vintage plans to open a second store in grow, we have to go where the William A. Morrow Group Vice President/Technology, look,” she said. Dearborn this September and two population is,” she said. Manufacturing, Circulation Stores get street cred Robert C. Adams Others are at- stores per year following that. There’s significant population Vice President/Production & Manufacturing Miller projects revenue from the tracted by the “Our target going out of the in Taylor and in places like Clin- Dave Kamis Chief Information Officer thrift stores will reach $54.5 mil- “green” philoso- gates is over $1 million in revenue, ton Township where the Salva- Paul Dalpiaz lion for 2012, up from $47 million phy of reusing Idzior per store,” Ukrainec said. tion Army already has stores, she Chief Human Resources Officer last year. items rather than sending them to Those stores support Goodwill’s said. And “there’s not prominent Margee Kaczmarek Director of Audience Development Operations Those funds, along with revenue a landfill. “And I think the mass employment and training pro- thrift in Ypsilanti, Taylor and Michelle Roth from the ARC’s food services cater- population is grabbing onto that,” grams to give people the skills nec- Monroe.” G.D. Crain Jr. Founder (1885-1973) ing business and the sale of used Idzior said. essary to get a job or to create busi- The Detroit-based Southeast Mrs. G.D. Crain Jr. Chairman (1911-1996) EDITORIAL & BUSINESS OFFICES: books online — but none of the Goodwill Industries of Greater De- nesses that produce jobs. Michigan ARC added six stores to 1155 Gratiot Ave., Detroit MI 48207-2732; (313) 446-6000 money raised by the Salvation Army troit, which re-entered the thrift There’s definitely a market for the 25 it operated when it took on Cable address: TWX 248-221-5122 AUTNEW DET Eastern Michigan Division — make store business late in 2010, a thrift, given that for-profits like oversight of the Romulus ARC a CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 up the division’s entire budget, decade after exiting it, is seeing Plato’s Closet have moved into it, year ago. is published weekly, except for a special issue the third week of August, and no issue the third week which supports the Adult Rehabil- the same shifts in customers, said he said. Since then, it’s opened two new of December by Crain Communications Inc. at 1155 Gratiot Ave., Detroit MI 48207-2732. itation Center for 300 men in De- Jeff Ukrainec, director of donated outlets: a Frenchtown Township Periodicals postage paid at Detroit, MI and troit and the center for 85 women goods. store near Monroe in June and a additional mailing offices. POSTMASTER: Send Geographic reach address changes to CRAIN’S DETROIT BUSINESS, in Romulus. There will always be shoppers Highland Township store in Circulation Department, P.O. Box 07925, Detroit, The centers provide six-month who go to thrift stores because Salvation Army ARC is leasing northwest Oakland County a year MI 48207-9732. GST # 136760444. Printed in U.S.A. residential rehabilitation, and they have limited budgets for space at all of the locations it plans ago. Entire contents copyright 2012 by Crain ARC operates on a $60 million an- clothing and household items, to expand or open, except one. It’s Sherri Welch: (313) 446-1694, Communications Inc. All rights reserved. Reproduction or use of editorial content in any nual budget.The chain’s core shop- Ukrainec said. But the typical negotiating the purchase of the [email protected]. Twitter: manner without permission is strictly prohibited. per is a middle-class female age 30- shopper has changed from some- Livonia store on Plymouth Road @sherriwelch 20120716-NEWS--0022-NAT-CCI-CD_-- 7/13/2012 6:03 PM Page 1
Page 22 CRAIN’S DETROIT BUSINESS July 16, 2012 RUMBLINGS WEEK ON THE WEB FROM WWW.CRAINSDETROIT.COM, WEEK OF JULY 7-13
and stepped up instead.” nia Health Center and Saline to submit signatures on a Potential donors can see GM to bring IT Health Center. ballot proposal requiring Local firms the ocean liner, and the Blue Care Network of Michigan voters to approve pieces available for sale, in Michigan is offering a new the building of the bridge. a detailed schematic at work in-house, high-deductible health plan The Michigan Supreme savetheunitedstates.org. that allows policyholders to Court will hear arguments take advantage of a tax-free July 25 in a dispute over a tee up at U.S. hire thousands health savings account. referendum that could Detroit Zoo has lions, The nonprofit South- overturn the state’s emer- bears – and meetings eneral Motors Co. eastern Michigan Health Asso- gency manager law. The plans to bring up to ciation will lay off 102 grant- court wants attorneys to Michigan’s finest meet- G 90 percent — from 10 funded employees — as address whether petitions Senior Open ing site isn’t a casino, hotel percent — its in-house in- much as 20 percent of its to- used to collect signatures or convention center, ac- formation technology tal workforce — assigned to had the correct type size. ichigan companies er by selling the 990-foot cording to the Meeting Pro- work, and intends to hire the Detroit Department of Ingham County Cir- were par for the ship to donors for $1 a fessionals International Michi- thousands as it shifts work Health and Wellness Promo- cuit Judge William Collette M course at the U.S. square inch. gan Chapter. away from contractors, tion after that agency is declined a motion by De- Senior Open over the week- The $25 million crowd- It’s the Detroit Zoo. Bloomberg News reported. converted into a separate troit Corporation Counsel end in Orion Township. funding effort to restore the The zoo was applauded nonprofit this year. Krystal Crittendon to recon- “We thought, being in a SS United States, docked on for its Wildlife Interpretive Dearborn-based Oak- sider a ruling that dis- Detroit economy, use as the Delaware River in Gallery, which hosts 30 to ON THE MOVE wood ACO and Southeast missed a lawsuit challeng- many Detroit vendors as Philadelphia, is reminis- 40 weddings each year and Elizabeth Parkinson, se- Michigan Accountable Care ing a financial stability possible,” said Keith cent of the efforts of Jerry seats 140, and the Ford Edu- nior vice president of mar- and East Lansing-based Ac- agreement between Detroit Aldridge, general manager Paffendorf, who made waves cation Center, with its four keting and communica- countable Healthcare Alliance of Indianwood Golf & Country Mayor Dave Bing and the in Detroit not long ago themed studios and 126-seat tions at the Michigan PC are among 89 account- Club, which hosted the tour- state of Michigan. when he started selling va- theater, nine picnic sites Economic Development Corp., able-care organizations is- nament. Stan Aldridge, Kei- The U.S. Air Force cant lots by the square inch. and a new events pavilion is leaving to join the Detroit sued shared-savings con- th’s father, is credited with clarified that it is not The SS United States, that can hold up to 540 Lions as senior vice presi- tracts by the Centers for bringing the tournament to eliminating 500 jobs at Sel- built in 1952, was a passen- guests. dent of brand and market- Medicare and Medicaid Ser- Oakland County. fridge Air National Guard ger liner and troop carrier. It also offers a couple of ing strategy. vices. Andiamo Restaurant Group Base, in response to confu- It broke the still-standing unconventional meeting Christopher Fay will St. John Hospital and of Warren, Michigan Tourna- sion caused by a letter transatlantic speed record spaces: the Arctic Ring of join Birmingham-based ad- Medical Center in Detroit ment Fleet Inc. of Commerce from Michigan U.S. Rep. 60 years ago. Life polar bear exhibit and vertising agency McCann Er- has upgraded its pediatric Township and ComSource services department and Candice Miller to Congress “Because it’s such a tech- the National Amphibian ickson Detroit as president. Inc. of Rochester Hills were He formerly was a manag- renamed it St. John Provi- expressing opposition to some of the vendors tapped. nological and industrial Conservation Center. ing partner of the Leo Bur- dence Children’s Hospital. any efforts that would re- The company also lob- marvel, the project really nett Group Taiwan. Fay suc- The new hospital has duce the Michigan Air Na- bied the tournament’s orga- rang true with a lot of peo- Aug. 1 deadline looms ceeds Joe Garcia, who joined the 223-member Chil- tional Guard. Miller was nizers to change its automo- ple here, since we’ve became global managing di- dren’s Hospital Association. under the impression the bile sponsor. Lexus of worked so long in Detroit for retail idea contest rector of Commonwealth, a Air Force was eliminating California was originally industry,” said David joint venture between Mc- the 107th Fighter Squadron chosen. The Aldridges Lawrence, chief administra- Entrepreneurs with an Cann Erickson and Goodby OTHER NEWS of the 127th Wing, but the pressed David Fay, then-ex- tive officer for Alpha, a met- idea for a Detroit-based re- Silverstein & Partners to Air Force said its actual ecutive director of the Unit- al fastener manufacturing tail business have until Detroit’s Financial Adviso- manage marketing for plan is to reinstate a pre- ed States Golf Association, to and assembly plant. Aug. 1 to enter the second ry Board approved Mayor Chevrolet. Dave Bing’s plans for viously discussed transfer replace Lexus with a Michi- Lawrence said the compa- Comerica Hatch Detroit con- $102 million in cuts to the gan-based car company. ny learned about the project test and compete for $50,000 of a half-dozen A-10s from city’s unionized workforce The result: More than 200 when Turnasure LLC, a in funding. the base. COMPANY NEWS that his administration is silver Chrysler 300Ms filled Philadelphia-based client, The 25 top ideas, deter- The American Civil Liber- The Troy-based Kresge expected to impose without the parking lot. called Alpha’s president in mined by Comerica Hatch, ties Union of Michigan filed a Foundation is leasing 2,500 negotiations, the Detroit Other Michigan-based search of Lee Iacocca, will be reduced to 10 by a class-action lawsuit alleg- square feet of office space Free Press and Detroit News companies with hospitality Chrysler Group LLC’s former panel of businesspeople. ing that agencies charged on the second floor of the reported. Included are a 10 tents on the course included CEO. Iacocca led the effort Then the public votes to see with overseeing the High- Auburn Hills-based Borg- Woodward Gardens Building percent pay decrease, higher to restore the Statue of Lib- who receives the money. land Park Schools failed to Warner Inc., Clarkston-based in Detroit. out-of-pocket health care erty in 1982, and the SS Unit- “We’re putting the best of take the effective steps to Great Lakes Psychology Group DTE Energy Co. will al- costs and limits on overtime. ed States Conservancy was the best out there,” said Vit- ensure students are read- and Troy-based Dynamic Ma- low customers to opt out of The unemployment hoping to approach him to toria Katanski, executive di- ing at grade level as set chine of Detroit Inc. its wireless electric meter rate among blacks in met- serve again as a spokesman rector of Hatch Detroit. forth by state law, the De- This year’s applications, program but will charge an ropolitan Detroit fell to 18.1 troit Free Press and Detroit for a historic restoration percent in 2011, down from up about 30 percent from undetermined fee to cover News reported. Livonia group leads effort project. 25.4 percent in 2010, accord- the same time last year, in- conversion costs. Michigan officials “They figured we’d know Palace Sports & Enter- ing to a report from the Eco- to save ocean liner clude ideas for bakeries, have appointed a review how to get in touch with Ia- tainment will spend up to nomic Policy Institute. bike shops, apparel stores team to look over the fi- Livonia-based Alpha Group cocca, since we’re in Detroit $15 million in improve- Nancy Olind, a 37-year- and restaurants, Katanski nances of Allen Park, which of Cos. is leading an effort to after all,” Lawrence said. ments to The Palace of old former Wayne County said. could lead to an emergency restore a historic ocean lin- “But we loved the project Auburn Hills before the 2012- human resources employ- manager. 13 National Basketball Associ- ee, took advantage of an Pittsburgh Steelers line- ation season begins. early retirement program backer and Detroit native Troy-based Protean and is drawing an annual Larry Foote claims in a law- Electric Inc. announced $84 pension of $42,500 after 15 suit in Wayne County Circuit million in new funding, years of work, The Detroit Court that he was the victim from China-based GSR Ven- News reported. of a scheme to defraud him tures, to open a manufactur- The Michigan Alliance BEST FROM THE BLOGS out of more than $400,000 ing plant in China and com- for Prosperity was to submit READ THESE POSTS AND MORE AT WWW.CRAINSDETROIT.COM/BLOGS when he invested with two mercialize its in-wheel signatures on a November defendants associated with drive system for electric ve- ballot proposal that would A-Star Valet Inc., a Dearborn Jump-starting electric vehicles? Big plans for microbrewery hicles. change the state constitu- Heights valet service. tion to require a two-thirds What seemed like a When Norm LePage vote in the House and Sen- The owners of South- hollow“ promise a few opened“ Norman’s Eaton HEALTH CARE ate to raise taxes, rather field-based Miracle Home years ago is becoming a Street Station in 1984, The University of Michi- than a simple majority. Health Inc. have been reality. Prices for craft brewing was seen as gan Health System’s Cardio- Supporters and oppo- charged with Medicare advanced automotive a novelty. ... A quarter- fraud totaling $8.8 million. batteries are dropping century later, LePage’s ... vascular Center has hired nents of the New Internation- and will continue to successful dip into craft 14 cardiologists to staff four al Trade Crossing have until plunge over the next brewing ... is leading to outpatient clinics in De- Aug. 9 to submit comments OBITUARIES decade, according to a his latest venture in troit and Ann Arbor in an to the U.S. State Department new study. Birmingham. effort to reduce patient by email at NITCCom- Don McIntyre, who wait time. The clinics are [email protected]. Mean- helped found Superior Reporter Dustin Walsh’s blog on auto” suppliers, steel, Reporter Nathan Skid’s Detroit-area restaurant” blog Canton Health Center, while, a group called The Oldsmobile in Detroit, died higher ed and Livingston and Washtenaw counties can can be found at www.crainsdetroit.com/skid Chelsea Health Center, Livo- People Should Decide plans June 22. He was 86. be found at www.crainsdetroit.com/walsh DBpageAD.qxp 6/15/2012 9:08 AM Page 1 DBpageAD.qxp 6/19/2012 11:37 AM Page 1
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