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DETROIT BUSINESS MAIN 11-26-07 a 1 CDB.Qxd DETROIT BUSINESS MAIN 11-26-07 A 1 CDB 11/21/2007 6:54 PM Page 1 ® http://www.crainsdetroit.com Vol. 23, No. 48 NOVEMBER 26 – DECEMBER 2, 2007 $2 a copy; $59 a year ©Entire contents copyright 2007 by Crain Communications Inc. All rights reserved Outlook 2008 THIS JUST IN Detroit Chamber extends WHAT’S AHEAD Survey: Execs Blouse’s contract Record venture capital. Jobs for ex-Pfizer The Detroit Regional Is turnaround employees. High-tech Chamber board of directors looks good. Page 11. voted Wednesday to extend more dour on What 2008 holds in the contract for President store for industries and CEO ranging from suppliers to Richard health care to nonprofits Blouse Jr. be- to retail. Pages 13-25. the economy yond its Dec. on the way? 31, 2008, expi- Survey says BY CHAD HALCOM ration, cham- Ⅲ The state’s struggle CRAIN’S DETROIT BUSINESS ber commu- UAW pacts offer hope for state with taxes and the budget nications is taking its toll. Story, Expectations for Michigan’s econo- right. director Jon BY BILL SHEA firm ground. It means (the Detroit my have taken a nosedive and Lansing Kreger said. CRAIN’S DETROIT BUSINESS 3) all have a chance to survive,” Crain’s readers like may be to blame, based on a new sur- Blouse Kreger said Patrick Anderson, principal Mitt Romney and Hillary vey of 300 local business owners, man- Clinton in the presidential would not The good news for Michigan’s and CEO of East agers and department heads. primary. Page 33. say how much longer the economy heading into 2008 is there Lansing-based Some 97 percent of respondents in a Also, a roundtable of contract was extended. is good news, and it starts with the Anderson Eco- Nov. 12-19 survey for Crain’s Detroit business executives Blouse, who has headed beleaguered domestic automotive nomic Group and Business and Honigman Miller Schwartz the chamber since 1995, an- industry. sound off on the econ- former deputy omy, the influence of and Cohn L.L.P. said they were dissatis- nounced in March 2006 Those keeping tabs on the econo- state budget di- private equity and other fied with the condition of Michigan’s that he would retire by the my say the labor deals the Detroit 3 rector. “These topics. An edited economy, including 77 percent who end of 2006 to become CEO struck recently with the United Auto leaders under- transcript, plus full were “very dissatisfied” — a sharp of a logistics company. He Workers set the stage for a gradual stood the sur- results of the survey can uptick from the 41 percent who were later decided to remain turnaround in the only U.S. state vival of the in- be found at very dissatisfied in a similar survey with the chamber and weathering a recession — and www.crainsdetroit.com. just six months ago. Anderson dustry was at planned to retire at the end seemingly endless bad economic stake. In the The above are part of a Only 15 percent expected the eco- of next year. news. Ten percent of the state’s past, there was just bluster and series of roundtables and nomic picture to be brighter next year, surveys commissioned by The board gave Blouse workforce is directly employed by rhetoric.” and only 28 percent expect the outlook the extension “because Crain’s and Honigman the automakers or their primary When the four-year deals go fully Miller Schwartz and Cohn. for their own businesses to improve. they don’t want to disrupt suppliers, and the new contracts al- into effect in 2010, the contracts will The biggest number expected forward movement on ini- low General Motors Corp., Ford Motor save the automakers about $1,000 Economic news prospects for the state and themselves tiatives like One D, Work- Co. and Chrysler L.L.C. savings that per vehicle, which translates into to stay about the same: 57 percent and force Innovation for Regional The latest proposal to permit them to better compete with $3.8 billion for GM, $2.4 billion for repeal the services tax 50 percent, respectively. See This Just In, Page 2 other manufacturers and maintain Ford and $2 billion for Chrysler. has some surprises. The survey by Lansing-based re- market share. Much of the savings comes from Page 6. search firm Epic/MRA has a margin of And as the health of the Detroit 3 health care, wage and production Hospitality is a bright error of plus or minus 5.7 percent. goes, so goes Michigan. concessions that will reduce the spot in state’s declining “What’s happened to confidence LOOKING FOR NOMINEES “I think we went from teetering legacy costs of each vehicle. jobs picture. Page 32. these days is the state Legislature. The Do you know a 20-something on the cliff to (having) two feet on See Economy, Page 32 See Survey, Page 33 who is someone to watch? Crain’s is looking for young professionals who are making their mark in the in their region. We will publish our 2008 class of 20 in their 20s LEED-ing the way Twenty 20s in the March 31 issue. Unlike some other award Blue Cross parking deck gets green certification programs, these entrepreneurs and creative thinkers may not have made their first million. BY DANIEL DUGGAN the roof. It also has a 55,000-gallon storm However, they should be living CRAIN’S DETROIT BUSINESS water holding system underneath it. proof that there is work under That was enough to get it certified last way by young people to counter The nine-story Blue Cross Blue Shield of month under the Leadership in Energy the region’s brain drain. Michigan parking deck in Detroit may be and Environmental Design program on Visit www.crainsdetroit.com/ the only parking structure in the country Oct. 23 by the U.S. Green Building Council. nominate for our online form. to be certified by a national green build- While environmentalists don’t like Nominations must be received ing program. cars, they do like smarter use of places to by Dec. 24. Questions? Contact And getting a group that advocates park them, said Kathleen Buck, an associ- Jennette Smith, (313) 446- mass transit to favor a parking deck was- ate at Neuman/Smith & Associates who 1622, [email protected] with n’t easy. oversaw the project with designer Scott questions about the process This, however, isn’t any ordinary park- Bonney. and Jennifer Dunn (313) 446- ing deck. 6786, [email protected], with “We were able to minimize the impact The Blues’ new parking structure includes a walking track on its The structure boasts Detroit’s only veg- of automobiles on this site,” Buck said. technical questions about the sedum-covered roof. Another environment-friendly feature: the nomination form. etative roof. It has a fitness center in the recycled steel and concrete supplies used to build the garage. parking structure and a walking track on See Parking, Page 30 CRAIN’S LIST New wave of tenants flows Leading small business NEWSPAPER into Pontiac, Page 3 lenders, Page 30 DETROIT BUSINESS MAIN 11-26-07 A 2 CDB 11/21/2007 6:45 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS November 26, 2007 shove’s bill. Thomas’ bill would TYJT Inc. Crain’s Detroit Business as copy Crain to speak on auto industry THIS JUST IN also require airlines to develop Ⅲ Boll Family YMCA, Detroit, desk chief overseeing the design, initiatives that improve service by Detroit-based Smithgroup. headline writing and final edit- Keith Crain, publisher of Auto- ■ From Page 1 and to provide a record of the Ⅲ Ronnisch Construction Group ing of the newspaper. motive News, editor-in-chief of most serious problems encoun- headquarters, Royal Oak, by Bid- Piatek joins Crain’s from The Crain’s Detroit Business and chair- Economic Development and the Lo- tered by customers. dison Architecture+Design of Farm- Flint Journal, where he had been man of Crain Communications Inc., gistics Hub,” Kreger said. — Amy Lane ington Hills. since 1985, will discuss “The State of “They want continuity of lead- Ⅲ University of Michigan’s Litera- holding jobs as the Auto Indus- ership as the Detroit region works ture, Science and Arts Building, news editor, First Industrial makes $18M sale try” at a Detroit to transform its economy,” he Ann Arbor, by SmithGroup. Sunday editor Economic Club said, “and are pleased with the First Industrial Realty Trust has Ⅲ Bank of Birmingham, Birming- and copy edi- collaborative efforts he has brunch at 11 sold 15 buildings to a group of ham, by Luckenbach/Ziegelman Ar- tor. He previ- achieved with Detroit Renais- California investors, K&F Invest- chitects P.L.L.C. a.m. Dec. 12 in ously was with sance. ments L.L.C., for $18 million. Ⅲ Affirmations Community Cobo Center. The Oakland Tammy Carnrike will continue as The sale includes an 11-build- Center, Ferndale, by Lucken- The speech Press in Ponti- COO, Kreger said. ing portfolio of automotive engi- bach/Ziegelman P.L.L.C. will be fol- — Robert Ankeny ac and the Ft. lowed by un- neering-related buildings in Troy — Daniel Duggan Piatek Crain and Madison Heights that were Myers News- veiling the fi- Air passenger rights proposed acquired as part of a 16-building Press. nalists in the 13th annual North purchase First Industrial made Comcast adds basic HD channels Piatek has a bachelor’s in psy- American Car and Truck of the Passengers on commercial in December 2005 from from Liber- Cable provider Comcast Corp.
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