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DETROIT BUSINESS MAIN 09-24-07 a 45 CDB.Qxd DETROIT BUSINESS MAIN 09-24-07 A 45 CDB 9/20/2007 3:49 PM Page 1 September 24, 2007 CRAIN’S DETROIT BUSINESS Page 45 Buffalo Peanut goes nuts for Warren company BY BRENT SNAVELY marily makes different versions of “Most manufacturers are so and muesli in May, and recently CRAIN’S DETROIT BUSINESS A NUTTY REVIEW coated and flavored nuts while Kar rigid in their ways … but here it’s landed a wholesale bulk nut distri- Taquitos.net, a Boston-based Web Nut simply sells nuts. really nice because of the tailoring bution contract with a major Mid- Dan and Jon Levy are launching site that reviews snack foods, had “They are not a direct competi- and customizing,” Brandvain said. west grocery retailer. more new products and services this to say about Buffalo Peanuts: tor on cinnamon-coated almonds Lipari is a distributor of deli, The bulk distribution contract lately than they have in their “These seasoned peanuts looked and candy coatings in general. bakery and packaged goods to gro- is part of a pilot program being small company’s 19-year history. kind of like mini-chicken nuggets, That’s not something that we do. cery retailers. tested at one store, but is expected The brothers got their start with a rough, irregular texture But as we both branch out, we “They are only one mile from to be expanded to two additional roasting cinnamon almonds in covering almost the entire peanut, 1988 while in college. They were with the same orange color as might bump into each other more our warehouse and if we are out of stores next month and could even- immediately hooked on the smell Buffalo wings. Upon first biting in, often,” Nicolay said. a product they will rush it here im- tually include as many as 50 and taste of the snack and thought there was mostly the sugary taste Avi Brandvain, director of nuts mediately,” Brandvain said. stores, Dan Levy said. the product would become a main- of honey-roasted peanuts, but a and confections at Lipari Foods Inc. In addition to its coated-nut Terms of the agreement bar the stream, everyday snack. hotter Buffalo sauce taste followed in Warren, said the Levy brothers business, the company also started company from disclosing the name … But most of those people always seem willing to adapt to a wholesale packaging division in of the retailer. It didn’t. actually liked the taste once they meet requests from the retail December 2005, became a certified Brent Snavely: (313) 446-0405, For years their Warren-based took the plunge and tried them.” Fresh Roasted Almond Co. did fine, stores Lipari serves. manufacturer of organic granola [email protected] but wasn’t growing. Then in 2005, the brothers cooked up a peanut with cayenne pepper and sugar, called it a Buffa- lo Peanut, and had a winner. Now sold in more than 1,000 gro- cery and convenience stores, the Buffalo Peanut has become their company’s No. 1 product. The Buffalo Peanut was born when a customer asked the broth- ers to copy a similar product origi- nally produced as a spicy cashew. “Jonny mixed it up and we both tasted it and looked at each other and said, ‘peanut,’ ” Dan Levy said. “We met with the customer and we just said, ‘We’ve got a bet- ter idea.’ ” The product works, the brothers said, Dan Levy because it cap- tures two big de- mographics — peanut lovers and those who like spicy food. “Everybody pretty much knows what buf- Investing in... falo sauce is,” Jon Levy said. Jon Levy “People who Southeast Michigan’s future. like heat will try it.” This year, Fresh Roasted Al- Detroit Edison is planning more than $600 million in upgrades to Southeast mond Co. is expecting sales to ex- Michigan’s electrical system. Work has already begun. Once completed, it will ceed $3.8 million, up from $2 mil- provide improved reliability for years to come. We’ll be: lion last year. In 2006, the Buffalo Peanut accounted for about 40 per- • Repairing or replacing hundreds of transformers, fuses, lightning arresters and cent of company sales. other pieces of equipment. The Buffalo Peanut also is part • Trimming thousands of trees to reduce power outages. of a wave of new nut products in the U.S. market, according to • Replacing or reconductoring miles of overhead power lines. Chicago-based industry research • Inspecting thousands of utility poles to identify and correct potential problems. firm Mintel International Corp. Ltd. Mintel’s study found more new • Rebalancing Southeast Michigan’s electrical system to prevent overloaded launches of nuts and nut-related electrical circuits. products in 2006 than at any time This is all a part of our ongoing commitment to deliver the energy our in the past six years. And accord- customers need, when they need it — today, tomorrow and into the future. ing to Mintel, nuts and dried fruit products are part of a $4.5 billion industry that has grown 50 percent For information on Detroit Edison programs, products and services, from $3 billion in 2001. Nick Nicolay, president of Kar Nut Products Co. in Madison call 800.477.4747. Heights, said the Atkins diet and the popularity of other low-carb di- or visit my.dteenergy.com. ets helped boost sales of his compa- ny’s nut products for several years, but said that craze has thinned out in recent years. Kar Nut expects annual sales to hit $45 million this year, up from $43 million last year, he said. The Power of Your Community e=DTE® Nicolay said that while Fresh Roasted Almond sometimes sells its products in the same store ar- eas as Kar Nut, Fresh Almond pri- DETROIT BUSINESS MAIN 09-24-07 A 46 CDB 9/21/2007 10:53 AM Page 1 Page 46 CRAIN’S DETROIT BUSINESS September 24, 2007 Wayne County moves to privatize Friend of the Court BY ROBERT ANKENY dollars,” Kelly said. plan would hurt county workers. such as improved sustainable efficiencies.” CRAIN’S DETROIT BUSINESS Workers affected are represented by the But Kelly said the Circuit Court does not The system last year collected and distrib- American Federation of State, County and Mu- need approval from the commission, or from uted almost $314 million in child-support Wayne County Circuit Court is moving to pri- nicipal Employees Local 3309, whose contract Wayne County Executive Robert Ficano, to payments, but has been criticized as slow vatize most of its Friend of the Court opera- with the county expired Sept. 1. adopt the privatization plan. RFP responses and error-prone. tions.. The union has voiced opposition to priva- are due Oct. 15. About 176 Friend of the Court workers are Chief Wayne County Circuit Judge Mary in jobs that would be taken over by a private tization of any jobs in the court system. Ficano has voiced cautious support for Beth Kelly issued an RFP on Sept. 10 seeking company that bids successfully. The sys- Shawndrica Simmons, AFSCME Local the plan. bids for the takeover of administrative du- tem’s referees and mediators would not be 3309 president, said the union would file un- “Since the court runs a deficit each year ties for the 242-employee agency with a $28 affected. million annual budget. fair labor practice charges with the National and there are complaints about service to “Present pay and benefits would not be “We want to incorporate private-sector Labor Relations Board this week and may file clients,” said County Press Secretary ensured,” Kelly said. “Pensions that are expertise and specialization in delivery of a lawsuit seeking to halt the plan. Sharon Banks, “Mr. Ficano supports the vested would obviously stay with workers,” child enforcement services, while maintain- The Wayne County Commission on Sept. 12 plan in theory. But the contract awarded she said. ing experienced employees to increase the passed a nonbinding resolution opposing must protect court employees and must Robert Ankeny: (313) 446-0404, bankeny@ funding by capturing more federal incentive the privatization on a 14-1 vote, saying the have stated measures of accountability, crain.com Consortium to test ways to distribute, produce electricity DTE Energy Co., Rolls-Royce Fuel Cell Systems Ltd., Detroit’s NextEner- gy and a Blacksburg, Va.-based software and consulting firm are teaming up to test new ways to generate and deliver electricity. The partners, which include Electrical Distribution Design Inc., are participating in a $5 million, three- year research project to explore new technologies for distributed power generation, which is the process of generating power at or near where it’s needed. The U.S. Department of Energy is supplying $2.5 million of the pro- ject’s funding, with the remainder LUXURY IS AT THE coming from the project partners. TOP OF OUR AGENDA The project, which has three main elements, was announced last week. In one part of the project, Rolls- Royce Fuel Cell Systems will test and evaluate technologies by which its fuel cell systems will in- terface with NextEnergy’s small- scale electricity grid in Detroit’s TechTown. The NextEnergy “mi- crogrid” power pavilion provides for on-site electricity generation and the testing of various alterna- tive energy technologies. “NextEnergy is delighted to partner with DTE Energy and Rolls Royce to advance distributed power technologies for utility use,” NextEnergy CEO Jim Croce said in a news release. “Our microgrid power pavilion is an ideal platform for use by in- dustry to test and validate ad- vanced electrical and thermal en- ergy systems in a real world environment.” A second part of the research project will look at the feasibility of using utility customers’ back-up Detroit’s ultimate entertainment destination is now the legendary chefs Wolfgang Puck and Michael Mina, a power generators to feed main perfect setting to host your next corporate event.
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