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http://www.crainsdetroit.com Vol. 23, No. 26 JUNE 25-JULY 1, 2007 $2 a copy; $59 a year

©Entire contents copyright 2007 by Crain Communications Inc. All rights reserved THIS JUST IN UAW, GM, Delphi reach iPhone? Foreign firms tentative pact The United Auto Workers has reached a tentative agreement with Delphi Corp. and General Motors Corp. on iDon’t know a new labor deal for the go shopping bankrupt parts supplier, the company announced Executives will wait and see before Friday. The agreement is subject to union ratification and approval by the buying newest wireless device U.S. Bankruptcy Court. Details were not immedi- BY SHEENA HARRISON porate data-encryption technolo- ately available at press CRAIN’S DETROIT BUSINESS gy or offer additional features be- for suppliers time Friday. yond what’s currently available Ap- Jeff Dockery, UAW Local Some local executives say on wireless devices such as the ple Inc. 2195 committeeman, said ’s new iPhone certainly BlackBerry or Treo. Friday that a ratification looks cool, but they probably “You don’t want to rush out Growth in Asia; need for vote at Delphi’s steering won’t trade their current PDAs and buy 20 of them and find out it plant in Athens, Ala., is for the new device when it doesn’t do anything better than scheduled for Thursday, launches Friday. any other phone,” said Bruce plants, technical help cited Automotive News reported. They’re McFarland, CFO of the waiting to Local 2195 represents Bloomfield Hills-based en- BY BRENT SNAVELY tional Ltd. see whether about 1,200 UAW workers gineering company CRAIN’S DETROIT BUSINESS Experts say the trend is the nat- the phone at the plant. Hubbell, Roth & Clark Inc. ural result of a rapidly growing au- can sup- Also voting on the agree- Apple will begin sell- For nearly two years, merger tomotive industry in Asia and the port cor- ment will be about 400 ing the iPhone at 6 p.m. and acquisition professionals have need for suppliers based there to hourly workers who took Friday at $499 for the 4- said overseas companies were ac- acquire technology and establish early retirement as part of gigabyte model and $599 tively shopping for U.S. automo- manufacturing last summer’s massive for 8 gigabytes. The tive suppliers. But examples were capabilities. GM-financed buyout of phone will be sold on- hard to find. “I think it’s Delphi workers, Dockery line; at Apple retail That’s inevitable and I said. They are still deemed stores, including loca- INSIDE changing. don’t think as active or preretirement, tions at Twelve Oaks Mall In recent that’s a nega- For U.S. suppliers months, sever- and they pay union dues. in Novi and the Somerset acquired by tive,” said In recent days, reports Collection in Troy; and at overseas al overseas au- James Orchard, have surfaced that the about 1,800 AT&T wireless retail companies, see tomotive sup- president of UAW was close to conclud- stores nationwide. list Page 24. pliers and Sterling ing a deal with Delphi. The Not AT&T, which is the exclusive manufacturers Heights-based every Orchard two sides were trying to iPhone service provider, remod- have either purchased, invested in interior suppli- executive eled 40 Michigan stores and plans or seriously considered buying as- bridge differences over will be in line er Faurecia North America. how fast wages and bene- to open four more this year. sets from some of the largest tier- “I think you are seeing … very when Apple’s one suppliers in North America, in- fits should rise for the iPhone goes on sale Much of that is taking place as financially strong and capable Chi- thousands of new hires Friday. cluding Lear Corp., Dana Corp., Magna See iPhone, Page 24 who replaced more than International Inc. and Noble Interna- See Suppliers, Page 24 20,000 UAW members who took buyouts and early re- tirements last year. Only 4,000 remaining Delphi employees began working there before it en- DEGC enlists help to boost case for Detroit retail tered Chapter 11 reorganization in October 2005. A new labor deal is nec- A study of essary for the company to Social Compact will study demographics downtown De- leave reorganization, prob- troit and surrounding neigh- ably sometime next year. BY SHEENA HARRISON city’s Next Detroit Neighborhoods nesses that we feel are well-suited borhoods Competing private equi- CRAIN’S DETROIT BUSINESS Initiative. to those particular neighbor- released in Octo- ty groups are trying to buy It’s hoped that the numbers will hoods,” said DEGC President and The Detroit Economic Growth Corp. ber showed that Delphi and position it as a show Detroit’s population can sup- CEO George Jackson Jr. largely overseas electron- is banking on the help of a Wash- the central city port and sustain retail and grocery Social Compact bases its reports ics company. The two ington-based nonprofit to create a has more resi- development, despite what retail- on market information that isn’t groups are led by Ap- business case for attracting retail dents and in- paloosa Management L.P. to the city. ers might think of Census figures used in typical demographic or Jackson come than is and Highland Capital Man- Social Compact Inc. plans to work and other traditional demographic Census projections. That includes projected in agement L.P. with the DEGC over the next three studies of the city. local tax-assessment data, build- Census figures. — Crain News Service years to study spending power in “What we’re going to do is look ing-permit activity, automobile For instance, the average house- at the numbers and then develop registrations, credit-bureau infor- hold income for downtown resi- See This Just In, Page 2 Detroit neighborhoods. That includes six areas outlined in the the strategies to attract retail busi- mation and utility data. See Compact, Page 24

Investor Richard Pzena CRAIN’S LISTS would be tough on Largest banks and thrifts, Page 14

NEWSPAPER Lear’s CEO, Page 3 Largest mortgage lenders, Page 18 DETROIT BUSINESS MAIN 06-25-07 A 2 CDB 6/22/2007 6:52 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS June 25, 2007

combination of technologies, in- nies, the largest in the industry, forms Committee. day that it would open by the end THIS JUST IN cluding wind turbines, solar pan- would have controlled the market The committee will address the of the day. els, hydrogen cells and waste for global test dummies used in billions of dollars of unfunded lia- On Thursday, lead investor Do- ■ From Page 1 burning. new and existing vehicles. bilities for retiree health care, ac- minic Pangborn said the restaurant A June 2010 opening is planned, — Crain News Service cording to a press release from would open Friday, but the com- Dillon’s office. Chinese company buys contingent on backers getting ap- plex remained proval to use 1,800 acres of state The committee is charge with NSF wins certification suit closed as of 1 Plastic Trim for $8.7M land in Grayling Township. Plans finding ways for the state to shore NSF Interna- p.m. By The majority ownership of include a renewable-resources Ann Arbor-based up funding for health care and tional has successfully enforced save money on health cares costs midafternoon, Ohio-based auto supplier Plastic learning center, water rides, roller its certification-mark rights for state retirees and employees. Trim L.L.C., which has employees coasters, snowmobile tracks, to- Dawn Thompson, against Duso Chemical Co. Inc. in a Rep. Mark Meadows, D-East in Bingham Farms and East boggan lifts, a shopping district a spokeswoman and a video-game center. New York state lawsuit. Lansing, will be in charge of the for Asian Vil- Tawas, was acquired by Hong Poughkeepsie, N.Y.-based Duso committee. Also on the commit- — Tom Henderson lage and project Kong, China-based Minth Group distributes chemicals used in mu- tee will be Andy Coulouris, D-Sagi- Ltd. in an $8.7 million deal. The nicipal water-treatment plants naw; Dudley Spade, D-Tipton; manager for In- Beavercreek, Ohio-based firm Makers of crash dummies drop worldwide. NSF is a not-for-prof- Lorence Wenke, R-Richland; and Pangborn finity Global Part- was sold to a partnership that plans to combine companies it organization that develops Brian Calley, R-Portland. ners Inc., a public-relations firm, also includes minority-stake in- standards and certifies food, wa- — Andrew Dietderich said the complex would open by vestments by Tokyo’s Sojitz Corp. Two suburban Detroit makers ter and dietary supplements. day’s end. Asian Village is also the and Plastic Trim managers. of crash dummies have dropped NSF sued and won a case in the Asian Village: We’re set to open host of The Parade Co.’s annual — Crain News Service plans to combine because execu- U.S. District Court for the Southern rooftop party for the Target Fire- tives from both companies saw District of New York seeking a per- Asian Village, the $7 million works. Group to provide ‘green’ energy little prospect of winning Euro- manent injunction against Duso, multirestaurant complex near pean regulatory approval. which then admitted it falsely the Renaissance Center, said Fri- — Brent Snavely for planned theme park “The prudent thing to do was to represented some of its product Partners Green, a Brighton coali- terminate this thing,” Douglas Un- as NSF-certified and made unau- CORRECTIONS kel, CEO of Plymouth-based First thorized use of the NSF mark. tion of green-technology compa- Ⅲ The Detroit Area Graduate Business Degree Programs list on Page Technology Safety Systems, said af- The mark was used on containers nies, marketers, government M28 in the June 4 issue should have noted that the full-time MBA ter regulators this month said of sodium hypochlorite and agencies and developers, said it program at Northwood University is offered only at its Midland cam- they planned to begin a detailed potassium permanganate, both has signed a letter of commitment pus. Also, Northwood no longer offers executive and managerial to install a renewable-energy sys- investigation of the proposed used to treat drinking water. — Robert Ankeny MBA programs, as was erroneously mentioned in a footnote on the tem to power Main Street America, a deal, Automotive News reported. list. The footnote should have included the cost of the evening MBA proposed $161 million theme park On June 14, the British private- program, $25,000, and the cost for its study-abroad MBA program, just south of Grayling. equity firm HgCapital, owner of Retiree health care reforms $43,000. The study-abroad program cost includes tuition, room, board Partners Green officials say it FTSS, withdrew its request for panel started in state House and fees. will be the first theme park in the regulatory approval of the Ⅲ A story on Page 3 of the June 18 issue of Crain’s cited an incorrect United States to be powered sole- takeover of the Rochester Hills- State House Speaker Andy date for Continental AG’s acquisition of ITT Industries. The correct date is ly by renewable energy. They based Denton Cos. Dillon, D-Redford Township, an- 1998. In addition, the story misspelled the name of the company’s head- said the 50 megawatts of power at The European regulators were nounced Friday the creation of quarters. Continental AG is based in Hanover, Germany. the park will be generated by a concerned that the two compa- the new Retiree Health Care Re-

12822 Stark Road, Livonia, MI 48150 734-293-2400 www.encoretirerecovery.com DETROIT BUSINESS MAIN 06-25-07 A 3 CDB 6/22/2007 6:23 PM Page 1

June 25, 2007 CRAIN’S DETROIT BUSINESS Page 3 CRAIN’S Promising prescription INDEX $5.5B market waiting as Pipex tests 2 drugs

BY ANDREW DIETDERICH Pipex has six drugs in its pipeline, talent in Michigan, I decided to come CRAIN’S DETROIT BUSINESS but two are closest to going to mar- here,” he said. ket: Trimesta and Coprexa. That’s not the only reason, though. An Ann Arbor-based company Trimesta is used to treat multiple The compound for Coprexa is li- that’s moving to the American Stock sclerosis; and Coprexa is used to censed from UM. Coprexa has been Exchange today plans to tap at least treat Wilson’s disease, which de- through two clinical trials and treats two drug markets that could be a disease called idiopathic pul- worth a total of $5.5 billion annually, stroys the lungs. monary fibrosis — the technical using drugs licensed from the Univer- Pipex was founded in Miami in name for Wilson’s disease, which sity of Michigan and the University of 2001 by Steve Kanzer, the company’s chairman and CEO. A biotech in- kills about 128,000 people in the Unit- California at Los Angeles. AARON HARRIS ed States annually. Two weeks ago, Pipex Pharmaceuti- vestor, Kanzer moved Pipex to “The technology came out of the Second life: Brownfield cals Inc. (Amex: PP) received $5 mil- Michigan in 2004 to be nearer to the tax credit helps reinvent University of Michigan, so it really lion from the National Multiple Sclero- talent pool in Ann Arbor. ABIDING MEMORIES L.L.C. Universal Mall. Page 23. speaks to the kind of talent and mon- sis Society, the largest grant ever “Florida is working on its biotech CEO Steven Kanzer moved Pipex to Ann Funding : State money to given by the organization. industry. But there is so much more See Pipex, Page 25 Arbor to be closer to the talent pool. help expand Dorsey Schools. Page 26.

These organizations appear in this week’s Crain’s Detroit Business:

AlixPartners L.L.P...... 1 American Broach & Machine Co. . . . 1 Amherst Partners L.L.C...... 1 Investor puts Anton, Zorn & Sowerby Inc...... 6 LANSING — In January, Jim Apple Inc...... 1 Arboretum Ventures L.L.C...... 26 Eggl made his Hector & Jimmy’s Arcadia Resources Inc...... 6 Ardesta L.L.C...... 11, 12 restaurant in Milford smoke- Art Moran Pontiac-GMC-Buick . . . . . 7 AT&T ...... 1 free. Avalon Investments Inc...... 11 Puff BBK Ltd...... 1 It was a business decision heat on Rossiter Bieri Co...... 1 made for a variety of reasons, BioArbor ...... 6 The Bosco ...... 3 including decreased use of his Cambridge Information Group . . . . . 4 Recommends no-confidence Charter = County Executive ...... 23 bar area smoking section, in- Comerica Bank ...... 11 creased nonsmoker preference Detroit Economic Growth Corp. . . . . 1 vote if sale of Lear fails Detroit Football Classic L.L.C...... 21 Huff to sit farther away from smok- Detroit Metro Sports Commission . . 21 Detroit Renaissance Inc...... 1 ers, and the potential impact of Dickinson Wright P.L.L.C...... 11 Y AVE ARKHOLZ or eighth-largest investor, and B D B Dietz Trott Sports & Entertainment . 21 CRAIN NEWS SERVICE Classic Fund Management AG, an- secondhand smoke on employ- Dorsey Schools ...... 26 other Lear investor. ees. EDF Ventures ...... 26 Investor Richard Pzena says But opposition increased last Statewide Elder Automotive Group ...... 7 Lear Corp. CEO Robert Rossiter de- But Eggl doesn’t think state EQ-The Environmental Quality Co. . . . 6 week as three shareholder advi- serves a board vote of no confi- Esperion Therapeutics Inc...... 3 sory services recommended that government should force other Federal-Mogul Corp...... 4 dence if shareholders scuttle the shareholders vote against the ban on businesses to do the same, as Foley & Lardner L.L.P...... 12 auto seating and electronics sup- Galeana Automotive Group ...... 7 deal. On Thursday, Glass Lewis & plier’s proposed sale to Carl Icahn. would happen under a pending General Sports and Entertainment . . 21 Co. of San Francisco and Vienna, Glassman Auto Group...... 7 Pzena is spearheading share- bill that would prohibit smok- HandyLab Inc...... 12 Va.-based Proxy Governance Inc. smoking holder opposition to the leveraged Hector & Jimmy’s ...... 3 joined Rockville, Md.-based Insti- ing not only at bars and restau- buyout. His firm, Pzena Investment Hubbell, Roth & Clark ...... 1 tutional Shareholder Services Inc. in Lear Corp...... 3 Management rants but also all private work- recommending a no vote. at work Mich. Chamber of Commerce ...... 3 L.L.C. in New places. Mich. Econ. Development Corp. . 12, 26 All three firms raised concerns York, controls Mich. Health & Hospital Ass’n . . . . . 3 about the negotiating role that “I think this is still America, Mich. Restaurant Ass’n ...... 3 about 9 percent lights Mich. Strategic Fund ...... 26 Chairman and and I like the idea of choice,” of Lear’s stock. MichBio ...... 3 CEO Bob On Friday, Eggl said. “You have something Miller Canfield ...... 1 Rossiter played National MS Society ...... 3 Southfield- up a before he took that is a legal substance, and I NextEnergy...... 12 based Lear said Nth Power ...... 26 the offer to a think customers should be able it would delay Olson Retail Group Inc...... 6 special com- Pipex Pharmaceuticals Inc...... 3 its upcoming debate to choose if they want to go into mittee of the Plymouth Venture Partners I ...... 12 shareholder a smoking place or a nonsmok- PricewaterhouseCoopers ...... 12 Pzena board, saying meeting that ProQuest L.L.C...... 4 personal finan- ing place.” Pzena Investment Management . . . . 3 was called to vote on the proposed cial incentives Quad Partners ...... 26 sale from Wednesday to July 12. But Daniel Haberman, co- Sensicore Inc...... 12 may have pre- “If this deal fails, shareholders Rossiter owner of The Bosco lounge in Social Compact Inc...... 1 vented him Syntel Inc...... 6 clearly believe that management from giving priority to sharehold- Ferndale, takes a different Tamaroff Automotive ...... 7 has not acted in their best inter- Tata Autocomp Systems Corp...... 1 ers’ long-term interests. view. Translume Inc...... 12 ests,” Pzena said late Thursday. Pzena said Rossiter and other 21st Century Investment Fund . . . . 26 Lear said the meeting was Universal Mall Properties ...... 26 senior managers negotiated the Ic- See Smoking, Page 25 postponed “to allow stockholders University of Michigan ...... 3 ahn deal, though it was not in the sufficient time to evaluate the Velcura Therapeutics ...... 3 best interest of shareholders. Venture Investors L.L.C...... 26 company’s response to recent Rossiter, President Douglas Del- Verizon Communications ...... 1 criticisms of the proposed merg- Voyager Learning Co...... 4 Grosso, and CFO James Vanden- er” with Icahn affiliate American Walsh College ...... 6 berghe have agreed to be hired by Wireless Toyz ...... 1 Real Estate Partners LP. Icahn after the sale. All three com- “My initial reaction is that bined would receive more than BANKRUPTCIES ...... 5 they felt like they needed more $26 million for their Lear stock BRIEFLY ...... 6 time to win the votes,” said Kirk BUSINESS DIARY ...... 21 and options. BY AMY LANE Ludtke, senior vice president of CALENDAR ...... 22 Lear, in a statement Friday, said Stamford, Conn.-based invest- CAPITOL CORRESPONDENT CAPITOL BRIEFINGS ...... 5 “CEO Bob Rossiter’s personal in- ment banking and research firm CLASSIFIED ADS...... 19 terests had no impact on the merg- CRT Capital Group L.L.C. KEITH CRAIN ...... 8 er decision-making process or out- LETTERS ...... 8 Opposition to Icahn’s offer come. Ultimate authority for the MARY KRAMER...... 9 emerged immediately after it merger rested with the active spe- OPINION ...... 8 was announced in February from cial committee and Lear’s board.” PEOPLE ...... 10 Pzena, along with Brandes Invest- RUMBLINGS...... 27 ment Partners L.P., Lear’s seventh- See Lear, Page 25 WEEK IN REVIEW ...... 27 DETROIT BUSINESS MAIN 06-25-07 A 4 CDB 6/22/2007 6:24 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS June 25, 2007 TAKING STOCK NEWS ABOUT DETROIT AREA PUBLIC COMPANIES Same name and same office; but new ProQuest isn’t like old

BY BILL SHEA CRAIN’S DETROIT BUSINESS ProQuest’s Information and Learning The new Ann Arbor-based company calling itself ProQuest L.L.C. unit took the name ProQuest CSA L.L.C., will not be publicly traded, said a spokeswoman for the maker of which was shortened to just ProQuest. This databases and other information products for higher education and month, the original ProQuest will become libraries. Currently, there are two Pro- Voyager Learning Co. Quests, and both are in the same ongoing investigation by the U.S. Se- ation, said she’s not heard of any office on Eisenhower Parkway. curities and Exchange Commission. misunderstanding over the two The original ProQuest sold its The New York Stock Exchange sus- ProQuests, considered among the Information and Learning division pended trading of ProQuest stock leaders in library software. for $222 million to Maryland-based on March 28, and it won’t be eligi- “As long as the product remains Cambridge Information Group in Feb- ble again until its SEC filings, quality and dependable, then ruary. Cambridge turned that into which are several years behind, they’re not as concerned about the a stand-alone company based in are up to date. Its shares are being corporate politics,” she said. the old ProQuest’s headquarters. traded on the over-the-counter The new ProQuest, which Information and Learning, market through the Pink Sheets. merged with a Cambridge sub- which employs about 550, took the At the close of trading Friday, sidiary publisher of abstracts and name ProQuest CSA L.L.C., which the shares were at $9.56 (Pink indexes, expects to generate $350 was shortened to just ProQuest re- Sheets: PQES). ProQuest was trad- million in revenue this year, Oroz- cently. This month, the original ing at $30.10 in January 2006 but fell co said. Under the previous compa- ProQuest will become Voyager to $10.50 five months later as the ac- ny, the Information and Learning Learning Co., a Dallas company that counting issues came to light. unit reported $245 million in rev- provides K-12 classroom learning Before its problems, ProQuest enue in 2005, making it ProQuest’s materials and software. narrowed its focus to K-12 educa- largest unit. The new ProQuest will remain tion products. So it bought Voyager The original ProQuest estimat- headquartered in Ann Arbor and for $340 million in January 2005. To ed its 2005 revenue at about $549 plans to hire 30 people over the eliminate its $532 million debt and million to $554 million, the most next six months, said publicist finance the Voyager deal, in Octo- recent numbers available. Tina Orozco. She said the company ber ProQuest sold its Ohio-based CEO Martin Kahn and President has no plans to go public and will electronic auto parts catalog busi- Matt Dunie, who run the new com- remain a subsidiary of Cambridge. ness for $527 million to Snap-On Inc. pany, were unavailable for com- A corporate transition team of of Kenosha, Wis. It then sold the In- ment. about 30 remains in Ann Arbor for formation and Learning division, a The original ProQuest was the original ProQuest to handle the deal announced in December. formed out of University Microfilms Cambridge deal, along with the The next step in the separation Inc., which had been bought by Bell company’s financial restatements of the ProQuest companies is the & Howell Co., a maker of microfilm and legal issues. The company was name change, which should elimi- readers and cameras. Bell & How- plagued by accounting misstate- nate any possible confusion. ell took the ProQuest name in 2001. ments that damaged its stock value, Gretchen Couraud, executive di- Bill Shea: (313) 446-1626, bshea sparked lawsuits and prompted an rector of the Michigan Library Associ- @crain.com

No approval yet for STREET TALK Federal-Mogul plan THIS WEEK’S STOCK TOTALS: 23 GAINERS, 52 LOSERS, 6 UNCHANGED 6/22 6/15 PERCENT CDB’S TOP PERFORMERS CLOSE CLOSE CHANGE Southfield-based Federal-Mogul Veri-Tek International Corp. $7.40 $7.00 5.71 Corp. spent four days in bankrupt- 1. First Mercury Financial Corp. 19.95 19.25 3.64 cy confirmation hearings last 2. week in Pittsburgh but was unable 3. Kaydon Corp. 52.87 51.15 3.36 to gain approval of a plan. 4. Dearborn Bancorp Inc. 17.43 16.97 2.71 The confirmation hearings have 5. ArvinMeritor Inc. 21.03 20.52 2.49 been continued to July 9 and 10, 6. Ford Motor Co. 9.13 8.92 2.35 said Robert Shannon, a partner 7. General Motors Corp. 35.46 34.66 2.31 with Bell Boyd & Lloyd L.L.C. in 8. American Axle 29.60 28.97 2.18 Chicago and counsel to Federal- 9. United Auto Group Inc. 21.61 21.19 1.98 Mogul’s shareholder committee. 10. BorgWarner Inc. 84.75 83.37 1.66 After the hearing July 10, sup- CDB’S LOW PERFORMERS 6/22 6/15 PERCENT porters and opponents of the plan CLOSE CLOSE CHANGE will be allowed to file briefs stating 1. TechTeam Global Inc. $11.88 $12.94 -8.19 their case through Aug. 31, Shan- 2. ITC Holdings Corp. 39.85 43.13 -7.61 non said. Final arguments are 3. Syntel Inc. 31.72 33.81 -6.18 scheduled for Oct. 1. 4. Taubman Centers Inc. 50.15 53.25 -5.82 Houston-based Cooper Industries 5. DTE Energy Co. 48.46 51.38 -5.68 Ltd., which is involved in Federal- 6. Meadowbrook Insurance Group 10.20 10.76 -5.20 Mogul’s bankruptcy case, also 7. Universal Truckload Services Inc. 19.49 20.52 -5.02 said Friday that the confirmation 8. Amerigon Inc. 15.77 16.60 -5.00 hearing has been continued until 9. CMS Energy Corp. 16.78 17.65 -4.93 July. 10. Somanetics Corp. 18.37 19.30 -4.82 Federal-Mogul filed for Chapter Source: Bloomberg News. From a list of publicly owned companies with headquarters 11 bankruptcy in the U.S. and the in Wayne, Oakland, Macomb, Washtenaw or Livingston counties. Note: Stocks trading United Kingdom on Oct. 1, 2001. at less than $5 are not included. — Brent Snavely DETROIT BUSINESS MAIN 06-25-07 A 5 CDB 6/22/2007 6:51 PM Page 1

June 25, 2007 CRAIN’S DETROIT BUSINESS Page 5 Partnerships crying foul over SBT’s replacement

LANSING — They’ve been voic- pushing for matter of principle, it’s a matter of The most significant problem performing work also would pay ing concern for weeks. And with the partnerships to fair policy — period. There should they cited is that the new Michi- the tax on its portion of the con- Legislature coming down to the be treated the not be a discussion about how gan Business Tax is, in part, based tract. wire in enacting a new business same as other much this costs; this is parity in on sales minus purchases of tangi- “The result of this proposal is tax, business lobbyists, law and ac- corporations.” the tax base.” ble property. that it allows the government to counting firms and others are try- By some esti- The chamber and others have The majority of purchases made tax the same pot of money over ing to stave off what could be a more mates, the been pressing the issue for weeks by construction companies are for and over again,” said Mike Nys- than $100 million tax increase on change is worth as lawmakers have debated ver- subcontracts for services by other trom, the association’s vice presi- firms organized as partnerships. about $111 mil- sions of a new business tax. businesses and not considered tan- dent. A central worry: Partnerships lion in revenue Last week, separate concerns on gible property eligible for deduc- Rep. Bieda said the work group won’t be able to deduct the money to the state in the the new tax structure surfaced tion from gross receipts. understands the construction in- paid partners from the new busi- CAPITOL BRIEFINGS new tax struc- from Michigan’s construction in- The Infrastructure & Trans- dustry’s issues and is open to sug- ness-tax base, while other corporate Amy Lane ture. dustry. portation Association says the re- gestions, but he could not say structures can deduct wages. Said Tricia The Michigan Infrastructure & sult is a cascading effect, in which whether the industry-sought de- The issue is one that has surfaced Kinley, director of tax policy and Transportation Association said some a prime contractor would pay the duction will be in the bill’s final in pending legislation that will en- economic development at the construction companies could see 0.76 percent modified gross-re- version. act a replacement to Michigan’s Michigan Chamber of Commerce: tax increases as high as 400 per- ceipts tax on the full contract Amy Lane: (517) 371-5355, current single-business tax, or SBT. “The cost is irrelevant. This is a cent. amount, and each subcontractor [email protected] “Roughly, this triples our business tax in Michigan,” said Thom Linn, chairman emeritus of Miller, Canfield, Paddock and Stone plc. “We INSIGHT pay more than $1 million of SBT now as a firm, and this would put us over $3 million.” RESOURCES He and Bill Hermann, managing partner of Plante & Moran P.L.L.C., said that if the issue isn’t rectified, partnerships in Michigan will re- VALUE organize into different entities to avoid the tax consequence. And that, Hermann said, would KNOWLEDGE erase any revenue gain the state would have received from the partnerships. “It’s poor tax structure,” he said. INNOVATION “Tax treatment for all businesses should be relatively comparable. And if one company’s structure gets a deduction for earned in- ADVICE come, so should the other. “I would hope that they’ll ultimately take a look at the impact it EXPERIENCE has and look for a way to correct this oversight.” Last Thursday, the chairman of the House Tax Policy Committee, LEADERSHIP Steve Bieda, D-Warren, said a work group on the business-tax replacement is aware of the issue DIVERSITY and “there’s an agreement … to re- solve it.” Bieda could not discuss specifics of the solution but said it would ad- SPECIALISTS dress the issue of parity. But as of late last week, no bill drafts had surfaced that would ease the concerns of business. LEGISLATION “We’ve seen nothing in writ- ing,” said Sarah Hubbard, vice president of government relations WISDOM for the Detroit Regional Chamber. “We’ve been told they have a par- tial fix in the works, but we’re still + DETERMINATION LAW SOLUTIONS ANKRUPTCIES B IT’S MORE THAN JUST THE LAW. The following businesses filed for Chapter 7 or 11 protection in U.S. Bankruptcy Court in Detroit At Miller Canfield, it’s about taking a real June 15-21. Under Chapter 11, a interest in your needs and having the expertise company files a reorganization and resources to fulfill them. It’s caring about plan that the court must approve. Chapter 7 involves total liquida- your business and building a real partnership. tion. It’s about looking ahead. Thinking creatively. Yazan’s Service Plaza Inc., 9240 Co- Achieving success. Most of all, it's about you. nant St., Hamtramck, voluntary Chapter 11. Assets and liabilities not available. Miracle Mechanical L.L.C., 1902 E. Michigan Ave., Ypsilanti, voluntary Chapter 11. Assets: $176,861; liabilities: $232,532. General Industries Inc., 2350 Rochester Court, Troy, voluntary Chapter 7. Assets and liabilities MICHIGAN • MASSACHUSETTS • NEW YORK • FLORIDA • CANADA • POLAND MILLERCANFIELD.COM not available. — Compiled by Justin Kroll DETROIT BUSINESS MAIN 06-25-07 A 6 CDB 6/22/2007 6:51 PM Page 1

Page 6 CRAIN’S DETROIT BUSINESS June 25, 2007 BRIEFLY Aldi to open in Clawson Networking group forms for Ehrlich, a partner with California- That compares to increases of ter of intent to acquire much of the based venture-capital firm Inter- 3.2 percent in undergraduate tu- industrial-waste business of Okla- Batavia, Ill.-based Aldi Inc. plans life-sciences companies west Partners. ition and 5 percent in graduate for homa-based rival PermaFix Environ- to open a 17,000-square-foot store mental Services Inc. A new Ann Arbor educational The event is free and is sched- the 2006-07 year. at the site of a former Farmer Jack The deal, which is still subject to networking group has been form- uled for 5-7 p.m. July 11 at In a release, the college said it store in Clawson. negotiation, would allow EQ to ac- ed to help life-sciences companies the Michigan Union at the Univer- has kept undergraduate tuition in- The store will be located inside quire five of PermaFix’s six indus- grow from start-ups. sity of Michigan. For more creases under 5 percent for the Clawson Shopping Center at the information, write to susanna@ past four years. trial waste facilities along the East southeast corner of Crooks and 14 BioArbor, sponsored by Ann Arbor Coast for $9 million, with an op- Spark and MichBio, will concentrate annarborspark.org. — Sherri Begin Mile roads. Aldi is expected to — Andrew Dietderich tion to buy the sixth for an addi- open by the end of the year, along on technology commercialization, tional $2 million. company building, financial EQ planning to buy 5 of 6 units with an 8,000-square-foot Murray’s Walsh College OKs tuition hike — Chad Halcom Discount Auto Parts store, said Eric strategies, business development, of Oklahoma-based PermaFix Olson of Auburn Hills-based Olson regulatory affairs and marketing. The Walsh College board of Survey: Foreign workers needed, Retail Group Inc. Events typically will be held on trustees on June 14 approved a 3.9 Wayne-based environmental The Farmer Jack store that had the third Wednesday of the month percent increase in undergraduate service and waste manager EQ-The no matter what happens here occupied the site closed in 2005. and are open to the public. The tuition and a 7 percent increase in Environmental Quality Co. on May 30 Global demand for IT outsourc- — Sheena Harrison first meeting will feature Chris graduate tuition rates. announced it has submitted a let- ing would remain strong even in the face of a U.S. recession, according to a study conducted April 27- May 15 by Troy-based Syntel Inc. The 20 otenTrust Corporation. ©2007 Northern survey of 373 Fortune 1000 information technology executives found that 60 percent thought global demand would remain strong even with a U.S. recession, 25 percent thought demand would be mildly impacted and 15 percent said demand would be negatively affected. — Tom Henderson Arcadia delaying annual report Southfield-based Arcadia Re- sources Inc. said it is delaying filing its annual report but expects to report revenue of $158 million compared with $130.9 million for fiscal 2007. The company said it needs the additional time to complete several parts of the report including as- sessing internal controls required under the Sarbanes-Oxley Act. Arcadia (Amex: KAD) sells products and services in the health care industry. The company reported prelimi- nary results June 15. The company expects to report a fiscal 2007 loss of $43 million or 47 cents a share on revenue of $158 million. That’s compared with a loss of $4.7 million or 6 cents a share on revenue of $130.9 million. The company’s INVESTMENT ADVICE fiscal year ends March 31. — Andrew Dietderich and its effect on quality of life Developer buys site of former dealership in Clinton Township A developer looking to build retail and possible dining space has acquired the site of the former Parkway Chrysler Plymouth Jeep in Clinton Township, the broker of the sale said the week of June 11. quality of life Joseph Sowerby, partner at Mt. Clemens-based Anton, Zorn & Sower- by Inc. confirmed that Manchester Properties Inc. purchased the va- quality of investment advice cant site from dealership president and landowner Charles Reilly ear- Time, like all valuable resources, is finite. And it’s our job to help you make the most of it. By providing financial solutions lier this month, but would not dis- close the purchase price. that are based on what you need, instead of what we have to sell. Adjusting those solutions over time, as your needs The property has been listed at change. Using our resources to anticipate the opportunities, and minimize the risks. And organizing financial information $3.5 million and was on the market in a way that’s convenient for you. So you can get the most out of all your assets. Including your time. If you’d like to know more than 11 months, according to more about how we can help, call Buell Cole at 248-593-9207 or visit northerntrust.com. real estate database CoStar Group. Reilly moved the Parkway dealership to M-59 near Romeo Plank more than a year ago. Manchester Properties is regis- tered to a business office suite in Birmingham under President Private Banking | Asset Management | Financial Planning | Trust Services | Estate Planning Services | Business Banking James O’Malley. Sowerby said the buyer intended to develop retail and possibly dining space. — Chad Halcom DETROIT BUSINESS MAIN 06-25-07 A 7 CDB 6/21/2007 2:42 PM Page 1

June 25, 2007 CRAIN’S DETROIT BUSINESS Page 7 Elder Auto bucks trend with four new dealerships

BY CHAD HALCOM Chrysler looking to open new deal- der, if Ford finds a buyer to unload Moran Pontiac-GMC-Buick in South- Elder Automotive Group said its CRAIN’S DETROIT BUSINESS ers,” he said “A couple of brands Jaguar and Land Rover. field, has followed the consolida- revenue was between $470 million- like Toyota or Honda might have a The automaker confirmed last tion push but agrees that now is a $480 million in 2006, selling 6,500 Troy-based Elder Automotive little growth potential too — but week it has held talks with British good time for dealers to look at vehicles retail plus fleet sales. Group has opened three dealer- that’s hard to say.” lawmakers about its future opera- growth. In addition to the Macomb ships in Southeast Michigan and He said the key to a sound ex- tion of the luxury brands, and at His company acquired Tamaroff Township dealers, the company one in Florida since the beginning pansion may be finding brand least one private-investment firm Automotive’s nearby Buick fran- also added Saab of Tampa in Janu- of the year, mostly in a push to give Elder’s car brands more visi- names with a low dealer count in in the United Kingdom has shown chise in Southfield in April and ary. bility and independence. Southeast Michigan, such as Sat- interest. Ford sold Aston-Martin added it to its own operations. This year Elder received a But in an industry that views urn which has only two locations in March for $956 million. “I’d certainly say it’s an oppor- Salute to Dealers Award from Ford the local market as oversaturated in Macomb County, or GM-owned Elder said the Jaguar Land tune time to grow,” Moran said. and a GM Dealer of the Year award already with outlets for Big Three- Saab, which only has Elder’s two Rover dealership adds 45 jobs to “We added Buick for that reason, for Saab of Troy, which Elder says owned brands, company founder locations plus a division of Glass- Macomb County, and the total and we wouldn’t have gone to all is Saab’s biggest single retailer in and CEO Irma Elder knows some man Auto Group in Southfield. company expansion should mean that expense without having some the United States. of her colleagues will watch her Putting the brands “on their 50-75 new jobs for the region. confidence in the region, and that Chad Halcom: (313) 446-6796, closely. own” may prove well-timed for El- Tom Moran, president of Art the market can support it.” [email protected] “We are adding and growing. It is very risky, right now, but this is ©2007 Authorized Mercedes-Benz Dealers when the opportunity was, and this is when we were ready,” El- der said. Elder held a We get to keep the trophies, grand opening earlier this month for the but you can take home the winners. newly built Elder Jaguar Land Rover Lakeside in Macomb Township. The dealership had opened a few weeks earlier on Hall Road next to Saab of Lakeside, Elder’s other new Ma- comb County dealership which opened in April. The company esti- mates it invested $15 million in Macomb County for both facilities. Also this month, Elder moved its Aston-Martin of Troy operation into a new $1.5 million facility and expects to hold a grand opening at the new location this week. Those openings and one other in Tampa, Fla., bring Elder’s total holdings from six to 10 dealerships — seven in Michigan and three in the Sun- shine State. The 2007 ML 350. At 76, Elder remains CEO of her An Insurance Institute for Highway Safety Top Safety Pick. 23-year-old company but many management duties have passed to her two sons. Tony Elder is president of Elder’s Michigan division and vice president of its Florida operations, while Robert Elder is president in Florida and vice president in Michigan. Elder said her expansion efforts in the past year partly serves to give specialty brands such as Jaguar and Aston-Martin a chance to “break away from the other brands” owned by Ford Motor Co. Saab has already been a success with that strategy, because Elder used to sell the cars in a combined location with other brands. “It helps to establish the sepa- The 2007 GL 450. rate identity of the car, and the dis- Motor Trend Sport/Utility of the Year.™ tinctiveness and coolness of the car,” she said. “Put them on their own, and we hope it will do for Jaguar like it did for Saab.” Unlike any other. According to Carl Galeana, The experts have spoken. Test-drive the award-winning ML 350 and GL 450 today, the pride of co-chairman of the Mercedes-Benz Family of SUVs. Log on to MBUSA.com, or visit your local Mercedes-Benz the North Ameri- can International dealer for more details, and be sure to see the complete line of celebrated vehicles today. Auto Show and vice president of MBUSA.com Galeana Automo- tive Group in Warren, the cur- Special Rates available to DCX employees Galeana rent economic picture may be Mercedes-Benz of Bloomfield Hills Mercedes-Benz of Novi Mercedes-Benz of Rochester mixed for a dealer looking to grow. 36600 N. Woodward Ave. 39500 Grand River Ave. 595 S. Rochester Rd. “It (expansion) is most likely go- (248) 644-8400 (866) 524-9094 (248) 652-3800 ing to be in higher-end brand names. It’s not Ford or Chevy or Models shown with optional equipment. See dealer for details. Please always wear your seat belt. For more information, call 1-800-FOR-MERCEDES, or visit MBUSA.com. DETROIT BUSINESS MAIN 06-25-07 A 8 CDB 6/22/2007 5:13 PM Page 1

Page 8 CRAIN’S DETROIT BUSINESS June 25, 2007 OPINION Lear delay gives all a chance for review fter three investor advisory services recommended against a deal to sell Lear Corp. to a company led by A Carl Icahn, Lear’s annual meeting this Wednesday was suddenly postponed until July 12 (see story, Page 3). Lear says the delay will help shareholders review the company response to the critical reports. But it also gives Lear and Icahn time to review the $36 share price Icahn offered as well as some of the reports from the investor advisory services. One of those reports, from San Francisco-based Glass Lewis & Co., gives the Lear board an “F” for pay-for-performance, ar- guing that the auto supplier paid top executives more than peer companies did — and for poorer results. The report questions why the board’s special committee re- viewing the Icahn offer took just two weeks to approve it, with the full board approving a week later. And Lear hired JPMor- gan Chase & Co. to shop the company after the board accepted the deal, not before. Appearances count. Critics have suggested that top executives, including Lear Chairman and CEO Bob Rossiter, support the Icahn deal be- LETTERS cause they will benefit personally by cashing out their equity stake in the current Lear and being given equity in the new company. Rossiter led the talks with Icahn in the early stages Helmet column is wrong before turning them over to a special committee of the board. In its defense, Lear says the deal will help it execute its long- driver of the bike was not wearing term strategic plan and says Icahn’s offer is twice the price the Editor: Crain’s Detroit Business a helmet and had minor injuries. I just read Keith Crain’s June 11 welcomes letters to the editor. stock was trading for just a year ago. His wife was wearing a helmet, column about the potential repeal All letters will be considered for Lear has until July 12 to defend the deal, but Icahn may have and died from a broken neck. of the motorcycle helmet law, publication, provided they are to increase his offer to move it forward. “Now I know they have all gone signed and do not defame The economic impact is real. I mad,” and I couldn’t disagree individuals or organizations. own a motel in southern Michigan more. In the past I’ve always Letters may be edited for length and have an almost nonexistent Jobs fund for techs, not nail techs thought of Keith Crain as a for- and clarity. motorcyclist trade. The reason is simple. Bikers don’t want to vaca- ward thinker with progressive Write: Editor, Crain’s Detroit tion in a state with a helmet law. Venture-capital folks are buzzing about a $10 million invest- ideas, but he just lost the titles. He Business, 1155 Gratiot Ave., I’ve talked to them. I’m not making ment from the state’s 21st Century Investment Fund into simply buys into the drivel about Detroit, MI 48207-2997. the carnage that occurs once mo- this up. None of the surrounding E-mail: [email protected] Dorsey Schools, a trade school company in Madison Heights torcyclists get rid of the helmets. states have helmet laws. owned by Quad Partners, a private-equity fund in New York. Come on ... look at the facts before It’s estimated that $1.2 billion Dorsey now offers programs for young adults in information you go for the holier-than-thou falling over in your driveway, by would be fed into the Michigan technology and health care, including medical assistants in proclamations. all means, wear your helmet. economy in the first year if helmet Over the last 20 years, in In states without helmet laws laws were repealed. Is it good busi- doctors’ offices. states where helmet laws are in ef- insurance rates aren’t different ness to kiss that away when riding With the state money, Dorsey plans to open a fifth location fect, there is a consistently higher from when laws were in effect. without a helmet is really no more in metro Detroit and expand programs to possibly include incidence of fatalities than in AAA loves to throw this at you, dangerous than riding wearing paralegal training, cosmetology hospitality and culinary pro- states without such laws. but it’s simply not true. one? Most motorcycle fatalities oc- In some cases wearing a hel- If Crain’s really wants to help grams, and nursing (see story, Page 26). cur from blunt trauma. Helmets do met can kill you. There is evidence save motorcyclists, write about It’s great to have job-training options for young adults out- nothing to stop this. that in some collisions, the extra the need to educate the entire dri- side of a conventional community college or undergraduate Printed right on DOT ap- weight of the helmet breaks your ving population about paying at- school. But training cosmetologists is not what the architects proved helmets is: “does not pro- neck. I saw this first-hand in South tention to motorcycles on the vide protection in collisions of Dakota when a couple in Custer road. Two-thirds of all motorcycle of the 21st Century Jobs Fund originally had in mind. over 13 mph.” If you’re prone to State Park collided with a car. The See Letters, Page 9

KKEITH CRAIN: It’s a shame that they don’t get it No one has ever accused the launches and concept United States. ternational motor show, it’s going motor industry very well with a North American International cars, and a chance to It will not surprise me to remain in Detroit for the future. huge attendance of automotive ex- Auto Show of being in the hottest talk with many of the at all when Porsche offi- The international press goes to ecutives and cars. It has so many auto market in the country. global executives who cials announce that they the shows with the most cars, the more journalists that the compari- The growth and prestige of the come only to Detroit for are abandoning the most executives and the most new- son simply doesn’t work. show in our city is simply because the show. Geneva Motor Show a car introductions. In Detroit, it be- It’s a shame that Porsche pulled it has become the focal point of au- It’s a shame that few weeks after doing gan with the global introduction of out of Detroit. When it returns — tomotive products sold in the Unit- Porsche doesn’t under- the same to Detroit. Ob- the Lexus and the Infiniti and has and it will — it will be in the lower ed States. stand this unique show viously, Porsche can’t been going strong ever since. level, which might be a good thing That’s the reason that thou- and its value to market- justify the amount of Nothing else in North America for the show. But competitors are sands of journalists from all over ing the Porsche brand in money it spends based comes close. right now clamoring for Porsche’s the world flock to Detroit at what the United States and on its sales in Switzer- Regardless of what people say, prime space on the main level. must be the least favorite time, around the world. But I land, so I will await it’s not the convention center or Porsche thinks it made the right weatherwise, during the year. understand that Porsche closed its their announcement any day. the weather that creates an inter- decision. So do Ferrari, Maserati, It gives global journalists an op- engineering center in Detroit re- Despite all the other auto shows national show. It’s the cars and the Bentley, Aston Martin, Mercedes, portunity to see all the U.S. offer- cently, so it would appear it is hav- in the United States that lust for executives. Lotus and all its other competitors. ings as well as new product ing some real problems in the the prestige and influence of an in- Detroit represents the global We will miss them. DETROIT BUSINESS MAIN 06-25-07 A 21 CDB 6/21/2007 2:48 PM Page 1

June 25, 2007 CRAIN’S DETROIT BUSINESS Page 21 Organizers schedule next BUSINESS DIARY ACQUISITIONS Maryland and Baltimore. Also, A3C’s care centers in Pontiac, Sterling Montessori school design group is Heights, Warren and Troy. UnitedAuto Group Inc., Bloomfield providing design consultation for Hills, has acquired the Classic Auto- Affinia Group Inc., Ann Arbor, has be- football classic for 2008 Coral Reef Montessori Academy Char- gun production at its recently com- motive Group, a group of Toyota, ter School in Florida. Scion, Honda and Hyundai dealer- pleted WIX-Filtron manufacturing and BY BILL SHEA more than 54,000. ships in Austin, Texas. FH Martin Constructors, Warren, is distribution plant in Krasilov, CRAIN’S DETROIT BUSINESS Andy Appleby, chairman and the general contractor for the expan- Ukraine. The new 65,000-square-foot CEO of General Sports and Enter- CONTRACTS sion and renovation of a science lab at plant is the company’s second opera- Robert Porcher is working to Brownell Middle School in the Grosse tion in Eastern Europe. tainment L.L.C. in Rochester, said Schonsheck Inc., Wixom, has been se- get multiyear deals in place for Pointe Public School District. Also, FH an attendance decline wasn’t sur- lected by St. Joseph Mercy Oakland to Martin is building a Home Depot store MOVES teams to play in the Detroit Foot- prising. provide construction services for its in South Elgin, Ill., for the home-im- Behr-Hella Thermocontrol Inc. is mov- ball Classic and expects to an- Lake Orion Internal Medicine and Pe- provement retailer, and building a “(The game is) a little bit of a ing its North American headquarters nounce details for the 2008 game diatric Suite in the Bald Mountain Re- new elementary school in Newark, victim of its own success,” he from Plymouth to the Behr America gional Medical Complex. Schonsheck Ohio, for the by the end of summer. said. North Fork Local School headquarters campus in Troy in early The former Detroit Lions defen- also provides leasing services for St. District. Appleby doesn’t believe a year Joseph Mercy Oakland, and designed July. The company is a joint venture of SDE Business Partnering, Detroit, has sive lineman, who co-founded off will hurt the event. and built the Bald Mountain Regional automotive suppliers Behr and Hella. been awarded a contract to manage the classic in Medical Complex. Detroit Dismantling Corp. to 13840 In- “It’s the type of event that you the maintenance, repair and opera- 2002, said ear- can take a year off with,” he said. Power Marketing, Ann Arbor, has tervale St., Detroit. Telephone: (313) tions and procurement and services 836-3366. Sachse Construction & De- lier this month “It’s sort of a cultural event, a completed a rebranding process for operations for Chrysler Group’s U.S. the game at Covenant Construction, Ann Arbor. velopment Corp., Birmingham, was new event each year,” he said. and Canadian facilities. SDE has awarded the contract for the construc- , Ann Arbor, has Ford Field be- Mike Dietz, president and di- Phire Branding Co. formed a new subsidiary, SDE MRO tion of the new offices. completed brand development for Express, to service the Chrysler tween teams rector of Dietz Trott Sports & Enter- Boyne Northern Michigan Resorts. Group account. Wagner Design to the Concord Center, from histori- tainment in Bingham Farms, dis- Ann Arbor. Telephone remains: (734) Also, Phire launched a new corporate Reliance Building Co., Novi, was cally black col- agrees. Web site for Tinnerman L.L.C., 662-9500. Web site: www.wagdesign. leges is taking awarded the contract for the Rich- com. “It’s not a good idea to take a Brunswick, Ohio; and has has created mond Waste Water Treatment Plant , a European jeweler, a one-year hia- year off because you lose conti- new marketing-support materials for Wet Weather Storage Facility. The Charlotte Atelier from downtown Royal Oak to 128 S. Porcher tus because a Tinnerman’s heat treating, coating, project will consist of the installation nuity,” he said. “People that are Old Woodward, Birmingham. Tele- financial and finishing division. of a 1.3 million-gallon storage tank used to going and are looking for phone: (248) 593-3400. Web site: www. DeMaria Building Co., Detroit, has and a 7.5-million-gallon a day pump agreement with Alabama State it, it’s suddenly not there.” charlotte-detroit.com. University and Grambling State Uni- been selected by Biofuel Industries station. That’s not the only worry, Di- McQueen Financial Advisors Inc. from Group L.L.C. to build its NextDiesel McGraw Wentworth, Troy, has signed versity couldn’t be reached in etz said. 38505 Woodward Ave., Bloomfield manufacturing and office building on a three-year contract to manage time for this season. Hills, to 26676 Woodward Ave., Royal “The organizers also risk losing a 25-acre location in Adrian. Biofuel health benefits for the 5,000 employees Oak. Telephone: (248) 548-8400. Web This would have been the fifth an awesome weekend date to an- Industries will use the plant to manu- of TriMas Corp., Bloomfield Hills. site: www.m-f-a.com. classic, but would have been other event. That could be a prime facture NextDiesel biodiesel fuel produced from vegetable oils and animal Campbell Industrial Contractors Inc., played in November because of date for another organizer,” he Royal Oak, has been awarded the con- scheduling conflicts with the fats as well as other feedstocks. It ini- NAME CHANGES said. Next year’s game will be up tially will produce 20 million gallons tract to provide the rigging and me- Productivity Pros of Auburn Hills, schools. The first four were against the second year of the re- of fuel, with the capacity to expand to chanical installation services for En- a productivity consulting and train- played on Labor Day weekend. vived Detroit Belle Isle Grand Prix. produce 40 million gallons a year. ergy Conversion Devices’ new United Solar facility in Tijuana, Mexico. ing service, to Time’s Up. Telephone: Porcher declined to say what it The classic is one of the best- The Bayview Yacht Club, Detroit has (866) 906-7767. Web site: www.thetimes Meisner Schenden Publicity, Hunting- costs to stage the game, or what attended football games at the chosen BAB Associates L.L.C., Bloom- up.com. financial issues kept the schools field Hills, to handle public relations ton Woods, was named agency of venue after the Lions, said Risa record for Lighting Supply Co. of Fern- from reaching a deal. He did say for the 2007-2008 season and the 83rd- NEW SERVICES Balayem, director of communica- annual Port Huron to Mackinac Race. dale and its new location in Wixom. the event costs more than $1 mil- tions at Ford Field. The stadium Rand Construction Engineering Inc., Sandler & Travis Trade Advisory Ser- Soulliere Decorative Stone Inc., Utica lion to hold and promote. also hosts an annual Eastern Michi- Brighton, has been awarded a con- vices Inc., Farmington Hills, has an- and Novi, is expanding its services to “We just could not get the gan University game, the Mid-Ameri- tract by Condat Corp. to build a manu- nounced a partnership with logistics provide garage organization and re- numbers worked out between the can Conference championship facturing addition to its current firm DHL to provide customs and modeling services. Soulliere can now schools and it didn’t make sense Saline facility. Condat is a manufac- trade compliance services. install PVC or wood-based slat-wall game and the Motor City Bowl. materials to hang cabinets, work- to prolong it any longer,” he said. turer of industrial lubricants. “We’ll definitely hold the Labor EXPANSIONS benches, hooks, baskets, racks and Now, he’s going to pursue a Day date for (the game),” she said. Western Creative Inc., a Redford shelving to store as well as keep items Township advertising agency, has three- to four-year deal for teams Porcher said he has assur- Cleantech Group L.L.C., a Brighton- off the garage floor. Soulliere can also been named agency of record for Ma- to play starting in 2008, prefer- based for-profit organization that pro- install rubber floor mats rubber mod- ances from his major sponsors, jestic Drug, a South Fallsburg, N.Y. motes clean technologies and hosts ably on Labor Day weekend. ular floor tiles, epoxy flooring and which include Ford Motor Co., maker of temporary dental repair trade fairs in the U.S. and Europe, has acid staining flooring for the garage. Porcher also is beginning to seek Comerica Inc., Fifth Third Bank and products. Also, Majestic Drug has opened a London office. Also, Soulliere now offers complete a broadcast deal. Pepsi, that they’ll be back in 2008. signed a production services agree- Amherst Partners L.L.C., a Birming- prefab outdoor barbecue kitchens and He said Grambling and Alaba- Porcher, who retired from the ment with Western Creative for the ham-based firm that focuses on merg- fireplaces for outdoor living rooms. ma State won’t be candidates in creation of television and print adver- ers and acquisitions, restructuring Web site: www.brickpave.com. Lions in 2004 and is chairman of tising. 2008, but could be in the future. the Detroit Metro Sports Commis- and consulting, has opened an office National City, Cleveland, has retained in suburban Chicago. STARTUPS He said he has a short list of the sion, is a graduate of South Caroli- pulse220, Southfield, to manage its Aco Hardware, Farmington Hills, has most popular historically black na State University, a historically 2007 branch openings and corporate Commercial Title Services, 4111 An- opened a new store at 3552 E. Grand college football powerhouses, but black school. He is president of events. dover W., Suite 150, Bloomfield Hills. River Ave., Howell. Pat Kulikauskas and Karen Benton Auburn Engineering Inc., Rochester declined to name teams. Detroit Football Classic L.L.C., Dream Dinners Inc. has opened at are the principals in the new busi- Hills, announced it is a single-source Boosting attendance is anoth- which he co-founded with local 23019 Outer Drive in the Indepen- ness. Telephone: (248) 258-9300. Web provider of both tooling and molding er goal. Last year, Delaware State restaurateur Frank Taylor in dence Marketplace Shopping Center, site: www.cts-title.com. to dental equipment manufacturer Allen Park. Customers of the Sno- University beat Florida A&M Univer- 2002. Porcher is vice president of D4D Technologies of Richardson, Elite B2B Networking L.L.C., Troy, is homish, Wash.-based company are sity 34-14 in front of 29,713 fans. Taylor’s Detroit-based Southern Texas. a new business-to-business network- The first Detroit Football Classic, Hospitality Restaurant Group L.L.C. able to assemble dinners for at least ing group for those already successful The University of Michigan, Ann Ar- three nights a week for about $3.25 a between Florida A&M and Alaba- Bill Shea: (313) 446-1626, bshea in business and who have an exten- bor, has become a community partner serving. Shelly Keenan and Ginger sive network of contacts. Interested ma State, was played in front of @crain.com of the Southeast Michigan chapter of Mistor of Allen Park are partners in participants must fill out the pre- Leave a Legacy, a campaign that en- the Dream Dinners franchise. Web qualification document at www. courages support for charitable orga- site: www.dreamdinners.com. eliteb2bnetworking.com and then be nizations through bequests. Marble Slab Creamery has opened at interviewed. Axis Technology, a Bloomfield Town- 6315 Sashabaw Road, Clarkston. The Ilumisys, Troy, is a technology compa- ship-based technology-design and pro- ice-cream shop lets customers select ny that will focus on the direct re- LOOKING FOR SUCCESSFUL WOMEN ject-engineering firm, has been from a variety of candies, fruits and placement of fluorescent light tubes awarded contracts for the Johnson Who are the most powerful and successful women in metro Detroit? nuts, which are mixed into the ice with light-emitting diode lamps. The Controls Battery Division distribution cream on slabs. Telephone: (248) 625- new company is a spin-off of Altair En- Crain’s Detroit Business answered that question in 1997 and again in center, Florence, S.C., the American 8211. Web site: www.marbleslab.com. gineering Inc., Troy. Web site: www. 2002 when it published a list of the most influential women in Society of Clinical Oncology head- ilumisys.com. Southeast Michigan. They included entrepreneurs, civic leaders and top quarters, Alexandria, Va., and the Kumon Math and Reading Centers has executives at the largest companies in our area. Comcast headquarters in Southfield. opened its Detroit Southwest Center at 3570 W. Vernor Highway, Detroit. You can help us identify who should be recognized this year. Please Attendance on Demand Inc., a Farm- The 1,500-square-foot center offers re- consider top executives within your own business. How about the ington Hills employee time and atten- medial and advanced math and read- nonprofit boards on which you serve? dance service, has been selected by ing instruction for students from DIARY GUIDELINES Keith & Keith Corrections, a Charlotte, preschool to high school. Telephone: Overall, the women selected will be: N.C. correctional facility manage- Send news releases for Business (248) 290-0450, Ext. 257. Web site: Ⅲ Influential in their company or industry. ment service, for monitoring its near- Diary to Joanne Scharich, Crain’s www.kumon.com. Ⅲ Have a track record of accomplishment. ly 100 employees. Detroit Business, 1155 Gratiot Campers Paradise, a Clarkston recre- A3C-Collaborative Architecture, Ann Ave., Detroit, MI 48207-2997 or Ⅲ Have a solid reputation within their company or industry for integrity ational vehicle dealer, has opened its Arbor, is continuing its relationship send e-mail to jscharich@crain. and ethical behavior. new 18-acre center at 4941 White Lake with charter school group Imagine com. Use any Business Diary item Road. Telephone: (248) 922-9026. Forms to nominate candidates and to apply directly are at Schools Inc., Arlington, Va., by trans- as a model for your release, and www.crainsdetroit.com. Nomination forms should be submitted by July forming a concrete warehouse into a Raymond James & Associates Inc. has look for the appropriate category. 13. Past honorees are eligible for recognition and should include K-8 school in the Washington area and opened a new branch at 330 Town Cen- Without complete information, your information about their accomplishments since they were last chosen. working on a new 30,000-square-foot ter Drive, Suite 100, Dearborn. Tele- item will not run. Photos are Questions? E-mail Executive Editor Cindy Goodaker at K-8 school to open in Washington in phone: (313) 240-5099. welcome, but we cannot guarantee [email protected] or call (313) 446-0460. 2008. The firm also is providing inves- Concentra Operating Corp. of Addi- they will be used. tigations for other Imagine Schools in son, Texas, has opened three urgent- DETROIT BUSINESS MAIN 06-25-07 A 22 CDB 6/22/2007 2:37 PM Page 1

Page 22 CRAIN’S DETROIT BUSINESS June 25, 2007 CALENDAR TUESDAY Free. Contact: (734) 615-9670. JUNE 26 Detroit Economic Club. Noon-1:30 p.m. Import and Export Within the NAFTA July 11. John Snow, chairman, Cer- Territories. 8:30 a.m.-4:30 p.m. World berus Capital Management L.P. Royal Trade Center Detroit/Windsor. Drew Park Hotel, Rochester. $35 members, Warner, trade adviser, Detroit office, $40 guests of members, $50 others. Sandler & Travis Trade Advisory Ser- Contact: (313) 963-8547. vices. World Trade Center offices, Allen Park. $175 members. Others: First attendee, $220. Second attendee American Business Women’s Associa- from the same company, $190. Contact: tion Luncheon. 8:45 a.m.-2 p.m. July 14. (313) 388-2345, Ext. 22. Honoring Susie Mariutto, District V vice president of the American Busi- ness Women’s Association. Mariutto WEDNESDAY will deliver the luncheon keynote address. Detroit Marriott at the Renais- JUNE 27 sance Center. $65. Contact: (313) 202- 1907. Fuel Your Thoughts. 7:30- 9 a.m. Ma- comb Community College’s Center for Alternative Fuels. David Welch, Busi- Chamber Coffee. 8-9 a.m. July 20. Roy- ness Week’s Detroit bureau chief; Jim al Oak Chamber of Commerce. A net- Hall, consultant, AutoPacific; and working event for members and Andy Levin, deputy director, Michigan prospective members. No reserva- Department of Labor and Economic tions required. Michael Angelo Salon, Growth. Macomb Community College 108 S. Main St., Suite A, Royal Oak. South Campus, Warren. Free. Con- Free. Contact: (248) 547-4000. tact: (586) 445-7265.

SCORE Business Plan Workshop. 8:45 THURSDAY a.m.-12:45 p.m. Aug. 16. Service Corps of Retired Executives. Michigan Busi- JUNE 28 ness and Professional Association, North American Bengali Conference 27700 Hoover Road, Suite 100, Warren. 2007 Business Forum. 8 a.m.-6:30 p.m. $40 in advance, $50 at the door. Con- The Indian Chamber of Commerce tact: (313) 226-7947. and others. The business-to-business forum is to cover opportunities in automotive, information technology and CALENDAR GUIDELINES energy. Cobo Center, Detroit. $75. More Calendar items can be found Contact: (800) 550-6222. on the Web at www.crainsdetroit. com. Please send news releases for Calendar to Joanne Scharich, COMING EVENTS Crain’s Detroit Business, 1155 BioArbor Life Sciences Forum. 5-7 p.m. Gratiot Ave., Detroit, MI 48207- July 11. MichBio, BioArbor and Ann 2997, or e-mail jscharich@ Arbor Spark. Chris Ehrlich, partner crain.com. You also may submit with California-based venture-capital Calendar items in the Calendar firm InterWest Partners. Michigan section of crainsdetroit.com. Union, 530 S. State St., Ann Arbor.

Labor leaders to speak at Pancakes and Politics breakfast Labor leaders are to discuss the and Politics series. Crain’s Detroit 2007 future of labor in Michigan June Business is a media sponsor. SUMMER MANAGEMENT 27 during a “Pancakes and Poli- The forum is 7:30-9:30 a.m. at the tics” speakers forum in Detroit. Detroit Athletic Club in downtown Speakers for the meeting in- Detroit. INFORMATION SHOWS clude: Mark Gaffney, president of Cost is $65 and includes a six- the Michigan AFL-CIO; and Albert month subscription to the Michi- Join more than Garrett, president of the Michigan gan Chronicle. a thousand CPAs American Federation of State, County, For more information, visit & FINANCIAL and Municipal Employees Council 25. www.michronicle.com or call (877) Earn up to 16 continuing PROFESSIONALS The Michigan Chronicle and Real 979-5500. professional education credits Times Media sponsor the Pancakes — Joanne Scharich (8 hours each day)

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June 25, 2007 CRAIN’S DETROIT BUSINESS Page 23 Brownfield tax credit reinvents Universal Mall

BY CHAD HALCOM 2,000 new jobs. tor,” he said. “And that’s something MEGA board briefing documents. CRAIN’S DETROIT BUSINESS Shore said a local Brownfield they (Universal Mall) have been The new outdoor retail center Redevelopment Universal Mall has able to demonstrate because they will include 600,000 square feet of One of Southeast Michigan’s Authority at the just can’t get the tenants to go leasable space divided into nine oldest indoor malls will get the site and the ac- 40 tenants and a there.” stores in a central building, with wrecking ball in favor of a new companying tax Staying on in their current loca- each space ranging from 20,000 to outdoor mall and lifestyle center incentives fit 48% occupancy. tions after redevelopment will be 133,000 square feet. within the next few months, after the mall propos- mall anchor stores Value City and AJ The site also will have multiple its owners sought and obtained a al because of the the local brownfield authority for Wright, along with a separate smaller retail and commercial brownfield redevelopment tax extensive as- Universal Mall in May, also said Kroger store. A second-run movie buildings around the perimeter of credit Tuesday from the Michigan bestos and lead the site qualifies based on other le- theater will also remain but is one the center. Economic Growth Authority. paint removal gal criteria as well. of two existing structures that will Thomas said the management The state MEGA board voted to that will come “There’s a functional obsoles- be rehabilitated. company is eyeing prospective approve property-tax credit incen- Shore with the rede- cence component here,” he said. The mall’s vacant anchor stores, tenants and no formal agreements tives totaling $1.48 million over velopment. “We are a core (inner suburb) com- its common area and interior have been reached. eight years for Universal Mall Proper- Edwin Bayer, planning director munity and that allows us to consid- building store sites will be demol- Chad Halcom: (313) 446-6796, ties L.L.C., owners of Universal Mall on for the city of Warren which set up er functional obsolescence as a fac- ished, according to Thomas and [email protected] Dequindre Road in Warren. In return, the owners will spend $23 million to raze most of the aging and half-vacant mall and replace it with several new buildings Another small property investment will come from construction on a new road or boulevard within the site by the Macomb County Road Commission. Joseph Thomas, an attorney for Universal Mall Properties who attended the MEGA board meeting, When your wealth management firm is stable, said the company will submit a formal site plan for the new out- so are your assets. door layout to Warren’s planning commission by August or early September. The demolition and construction could begin late this year or early next spring, he said. “The indoor mall doesn’t hold the same attraction it once did. The retailers have made it clear they don’t want the great expense for the continued maintenance and operation of an indoor mall,” Thomas said. “The region can benefit much more from an outdoor mall and lifestyle center.” Built in the 1960s, Universal Mall has roughly 40 tenants and a 48 percent occupancy rate in the 752,000 square-foot facility — compared with 72 retailers and an 82 percent occupancy rate in 2001. Several retailer closures including Woolworth’s, Mervyn’s, Crowley’s and Montgomery Ward dealt repeat- ed blows to the commercial center since the current owners took over in 1999. Mike Shore, chief communications officer for the Michigan Eco- nomic Development Corp. , said rede- veloping the site could mean up to

Laugh, learn at Small Business Awards on Tuesday “Entrepreneurship and the Art of Improv” is the topic of the Crain’s Detroit Business Small Business Awards Tuesday in De- troit. Dan Izzo, a training leader at Wayne State University’s Bizdom U. entrepreneurship institute, and also the founder of Ann Arbor’s Improv Inferno comedy club, will speak. The awards event is from 7:30- The last thing you should be worried financial objectives while meeting your 9:30 a.m. at the Detroit Athletic Club, 241 Madison Ave., Detroit. about is the stability of your financial short-term monetary needs. And we do The agenda also includes break- position. So rely on Greenleaf Trust. so in a remarkably attentive manner that fast and networking. Fifth Third Bank and the Michigan Utilizing the collective wisdom of our year after year achieves nearly 100% Business & Professional Association wealth management and personal trust client satisfaction. To learn more, call are Small Business Awards spon- Financial Security from Generation to Generation sors, and Bizdom U is the event teams, we focus on your long-term Mark Jannott at 248.343.9000. partner. To register or for more informa- 122 concord road bloomfield hills, michigan 48304 www.greenleaftrust.com 248.343.9000 / 800.416.4555 tion, call (313) 446-6078. — Joanne Scharich DETROIT BUSINESS MAIN 06-25-07 A 24 CDB 6/22/2007 6:36 PM Page 1

Page 24 CRAIN’S DETROIT BUSINESS June 25, 2007

Suppliers: Foreign ACQUISITIONS BY OVERSEAS COMPANIES Compact: DEGC enlists Noble International Ltd. (Nasdaq: NOBL) and Arcelor Mittal: ■ From Page 1 Shareholders of Warren-based Noble International are dents in Social Compact’s report a mix of national and indepen- deals being done scheduled to vote Wednesday on a proposal to buy the Foot laser-welded blank business of for about was $59,300, 33 percent higher dent retailers including ■ From Page 1 Arcelor S.A. $300 million. In return, Arcelor would own than the Census’ projected aver- Locker, Ashley Stewart and Imperial age of $44,600. Market grocery store. nese suppliers beginning to come into the market, approximately 40 percent of Noble’s stock. Rotterdam, About 27 percent of downtown The center, which opened in and Russia just made a big investment in Magna.” Netherlands-based Arcelor Mittal is the world’s largest steel manufacturer. In May, Magna International Inc. announced it would residents have incomes between 1956, has been at full or nearly accept a $1.54 billion investment from Russian alu- Toledo-based Dana Corp., said June 7 it received $100,000 and $249,999, and about full occupancy since being re- approval from in New York to: minum magnate Oleg Deripaska, in return for a 17 U.S. Bankruptcy Court 43 percent have incomes between modeled in 1999, said President percent ownership stake and six of 14 board seats. Sell its hose and tubing division to Orhan Holding A.S., a $50,000 and $99,999, according to Thomas Petzold II. Bursa, Turkey-based manufacturing conglomerate, for John Hoffecker, managing director of Southfield- Social Compact. The average store at Belmont $85 million; and sell its coupled products business to The report said 74,300 resi- has been at the center for 23 based AlixPartners L.L.P., said India’s automotive mar- Coupled Products Acquisition L.L.C., a subsidiary of ket is developing rapidly. That’s causing Indian man- dents lived in downtown Detroit years, indicating a low tenant Elgin, Ill.-based Wanxiang America Corp. and surrounding neighborhoods, turnover rate. ufacturers to be flush with cash and eager to expand. Lear Corp. and Tata Autocomp Systems Corp.: On May 30, Southfield-based Lear disclosed that 13.3 percent greater than the Cen- Petzold said Belmont’s success Southfield-based Lear disclosed May 30 it was in sus’ 2006 population estimate of shows Detroit can have a strong Tata Autocomp Systems Corp. was the only contender buyout negotiations with Tata Autocomp Systems, a that seriously considered a counterbid to Carl Icahn’s division of Mumbai, India-based Tata Group, for more 65,500. retail environment. offer to acquire Lear for $5.3 billion. than two months. While no formal bid was offered, Tata New downtown residents are “We have an incredible pur- Tata bowed out after more than two months of was the only company to seriously consider countering largely young professionals ac- chasing power that has made this talks without making a formal offer, according to a pending $5.3 billion buyout offer from Carl Icahn. cording to Social Compact. About an incredibly stable invest- documents filed with the Securities and Exchange Com- Magna International Inc. and Oleg Deripaska: Aurora, 57 percent are ages 25-34. Forty- ment,” he said. mission. Ontario-based Magna announced in May that Deripaska two percent live alone, and 33 per- Others also think Social Com- But Tata also has considered acquisitions of other would invest $1.54 billion into Magna in return for a 17 cent are living with a spouse or a pact will help sway retailers to percent ownership stake. major tier-one suppliers in the U.S., Hoffecker said. Magna International of partner but have no children. look at Detroit. America Inc., Magna’s U.S. headquarters, is in Troy. And it is likely still interested in a U.S. presence. Also, 45 percent have a bachelor’s “We see the Social Compact and Shizuoka, Hoffecker also noted that Pune, India-based Bharat Metaldyne Corp. Asahi Tec Corp.: degree and 34 percent a master’s work as absolutely critical to Japan-based Asahi Tec completed its acquisition of or professional degree. what the right business-attrac- Forge Ltd., now one of the largest forging companies in Plymouth-based Metaldyne for $1.3 billion in January. The report confirmed what the tion targets are, especially in the the world, has grown by acquiring several companies, Asahi Tec financed the purchase with backing from including Lansing-based Federal Forge Inc. in 2005. Belgium-based RHJ International, a holding company DEGC had suspected and had retail sector, and being able to According to a recent study overseen by Hoffecker, owned by New York City-based private-equity firm been trying to convey to busi- make a compelling business case 27 percent of U.S. suppliers are in fiscal danger. The Ripplewood Holdings L.L.C. nesses about Detroit’s down- for Detroit,” said Detroit Renais- study, “Vehicle Industry Review and Outlook,” was Ford Motor Co. and Wanxiang: The Financial Times town, Jackson said. sance Inc. President Doug Roth- produced by AlixPartners and released Wednesday. reported in December that Wanxiang was in In May, the DEGC discussed well. Hoffecker and other experts say potential overseas discussions with Ford to buy operations that are part of the Social Compact report with The studies help show things buyers include automotive and manufacturing con- Automotive Components Holdings, a group of 23 plants retailers at the International Coun- that out-of-towners often can’t glomerates in Asia, Europe and Russia that are bene- and other facilities that Ford took control of as part of cil of Shopping Centers spring con- see about Detroit, such as in- the bail-out of So far, no deal has been fiting from a growing global automotive industry and Visteon Corp. vention in Las Vegas. Jackson creased foot traffic downtown announced. eager to establish a foothold in the United States. said the Social Compact numbers since Campus Martius Park and Pune, India- Economist David Sowerby said observers are like- Bharat Forge Ltd. Federal Forge Inc.: didn’t persuade some retailers to opened, said Jim Bieri, a retail based Bharat Forge bought Lansing-based Federal do deals in Detroit but caused consultant and president of the ly to become alarmed as American ownership of the Forge out of bankruptcy in June 2005 for $9.1 million. U.S. manufacturing base dwindles. At the time, Federal Forge had annual sales of about many to think twice about open- Detroit-based Bieri Co. “For the pessimist, it reminds me of around 1990 $60 million. ing locations downtown. “I believe they’re able to iden- when we were overly concerned about the Japanese Incat International Ltd. and Tata Technologies Ltd.: “Quite a few said, ‘You’re not tify retail demand in a way tradi- buying Rockefeller Center and Pebble Beach,” said Novi-based Incat was purchased in October 2005 by there yet, but keep in touch,’ ” tional demographics can’t,” Bieri Sowerby, chief market analyst in the Bloomfield Hills Tata Technologies, part of Tata Group, for about $98 Jackson said. “That’s progress. said. office of Loomis, Sayles & Co. L.P. “And it never proved million. Incat provides engineering and design services These deals don’t happen over- “Many retailers find that the to be a detriment to the U.S. economy. And I think the to automotive, aerospace and other manufacturers. night.” Social Compact and its method- same principle will apply to the greater global in- Letts Industries Inc. and Wanxiang America Corp.: Jackson said he thinks the So- ologies are verifiable and they vestor appetite for U.S. auto companies.” Detroit-based Letts sold a 60 percent stake in cial Compact studies being done accept them as fact,” Jackson Walter “Bud” Aspatore, chairman of Birmingham- Montpelier, Ohio-based Powers and Sons L.L.C. in June, in other Detroit neighborhoods said. based Amherst Partners L.L.C., said he has observed a 2005 to Wanxiang. Powers and Sons makes steering will motivate retailers to consid- Rothwell said he thinks the components. rise in Asian acquisitions . er placing stores throughout the study may be a similar turning Last week Aspatore rattled off three Chinese acqui- American Broach & Machine Co. and Qinchuan city. point in the city’s economic de- Machine Tool Group Co. Ltd:. sitions of companies that were either based in metro The Social Compact study velopment efforts. Detroit or had a presence here. Ann Arbor-based machine-tool manufacturer American could benefit Harper Woods- “This really represents a level Broach was acquired by Baoji, China-based Qinchuan He said the Chinese typically buy small to middle- two to three years ago, along with several other based Petzold Enterprises Inc., of sophistication in Detroit’s market-size companies for between $10 million and divisions of Ann Arbor-based United American Industries which owns Belmont Shopping business-attraction efforts that I $75 million. Inc. Center in Detroit. think we have not seen in the “It’s just under the radar screen,” Aspatore said of Sources: Crain’s research, Automotive News and The 150,000-square-foot center, past,” he said. the past activity. Amherst Partners L.L.C. located at the southeast corner of Sheena Harrison: (313) 446- Brent Snavely: (313) 446-0405; [email protected] Eight Mile and Conant roads, has 0325, [email protected] iPhone: Executives adoptwait-and-see attitudefor wireless device ■ From Page 1 AT&T rebrands its Cingular Wireless stores chases. The firm reimburses employees for Building and the Cadillac Tower in Detroit. and gives them the ability to sell landline- half the cost of any PDA, as long as the de- AT&T did not comment on whether the phone, Internet and cable television ser- AT&T would not say how vice works with Miller Canfield’s internal iPhone will use Motorola Good software or vices, along with wireless phones and plans. encryption technology. whether the device will be marketed to com- AT&T would not say how many iPhones many iPhones would be The law firm’s software, by Motorola Good panies and executives. will be available Friday or how many are ex- Technology Group, allows employees to send Despite the anticipated run on iPhones pected to be sold. But the company is antici- available Friday or how and receive data on their PDAs in a way that this week, AT&T competitors say the device pating “significant demand,” said Mark protects the information from being hacked. actually could benefit their businesses in Siegel, executive director of media relations many are expected But Freer said it doesn’t look like iPhone the long run. for AT&T. will use the same software. “It’s incredibly positive for the industry The iPhone, which features a full-color to be sold. “Because the iPhone is a closed system, because this announcement and this device flat screen, will give users the ability to lis- less service. there doesn’t appear to be any way to install have increased the awareness and apprecia- ten to music, watch videos, surf the Internet, McFarland said the company might be in- a Good Technology client on that system,” tion of data-rich devices,” said Wireless Toyz make calls and take digital pictures. terested in providing iPhones to executives if said Freer. President and COO Gregg Kuperstein. That sounds good to McFarland, who de- it offers features that employees don’t have on James Travnik, regional manager of The Farmington Hills-based Wireless Toyz scribes himself as a gadget “junkie.” But he’s current devices. But he said the company Downtown Collection in Detroit, said the sells phones for carriers such as Sprint, Veri- not sure whether the device will replace the likely will wait to hear reviews before decid- iPhone sounds “interesting” based on de- zon and T-Mobile. technology that Hubbell, Roth & Clark uses. ing whether the device is worth the money. tails he’s heard so far. But he’s probably go- That includes the Sidekick, the Motorola The company, which employs about 250, Brant Freer, chairman of the information- ing to hold on to his BlackBerry. KRZR, the Samsung UpStage and other new provides about 230 wireless devices to its ex- technology committee at Detroit-based Miller “My BlackBerry isn’t broke, so I don’t devices that have features similar to the ecutives, including different Treo models Canfield Paddock & Stone plc, sent an internal necessarily need to fix it,” said Travnik, iPhone’s. and the Motorola Q. Verizon Communications memo to employees last week that said the whose company owns and manages the Sheena Harrison: (313) 446-0325, sharri- Inc. provides Hubbell, Roth & Clark’s wire- law firm will not subsidize their iPhone pur- Penobscot Building, the First National [email protected] DETROIT BUSINESS MAIN 06-25-07 A 25 CDB 6/22/2007 5:20 PM Page 1

June 25, 2007 CRAIN’S DETROIT BUSINESS Page 25 Smoking: Statewide ban at work lights up debate www.crainsdetroit.com ■ From Page 3 EDITOR-IN-CHIEF Keith E. Crain PUBLISHER Mary Kramer, (313) 446-0399 or He sees a statewide smoking ban For example, Garden City Hospital, “The country’s already turning [email protected] ASSOCIATE PUBLISHER Christopher Crain, (313) as an important public health step WHERE THERE’S SMOKE … as of July 1, will ban all smoking the corner on this issue; it’s just a 446-1645 or [email protected] and one that actually could boost and tobacco use on hospital proper- question of whether Michigan EXECUTIVE EDITOR Cindy Goodaker, (313) 446- 0460 or [email protected] business, retaining smoking clien- At issue: ty. The requirement applies to pa- wants to get left behind,” he said. Legislation MANAGING EDITOR Andy Chapelle, (313) 446- tele while bringing in new cus- tients, visitors and employees. And Meisner has scheduled HB 4163 0402 or [email protected] being debated WEB GENERAL MANAGER Michael Lee, (313) tomers who seek a smoke-free en- in Lansing that employees also cannot smell of to- for its second hearing Tuesday. In 446-0416 or [email protected] vironment. would ban bacco during their work shifts. the Republican-controlled Senate, ASSISTANT MANAGING EDITOR/FOCUS Jennette “What a smoking ban would say smoking in all The hospital is participating in a Smith, (313) 446-1622 or [email protected] a few members of that party pub- BUSINESS LIVES EDITOR Shawn Selby, (313) is: ‘You want your cigarette? No workplaces, campaign by the Michigan Health & licly support smoking bans. 446-1654 or [email protected] problem — just step outside and including Hospital Association to have all hos- But Senate Majority Leader GRAPHICS EDITOR Nancy Clark, (313) 446-1608 private or [email protected] smoke.’ You’re not going to lose pital campuses in the state become Mike Bishop, R-Rochester, opposes COPY EDITOR Vic Doucette, (313) 446-0410 your smokers … and you’re going businesses, smoke-free by 2008. More than 30 or [email protected] bars and HB 4163 and sees it as “govern- to gain nonsmokers,” Haberman of the MHA’s 146 member hospi- DATA EDITOR Anne Marks, (313) 446-0418 or restaurants. ment regulation that unnecessari- [email protected] said. tals have gone smoke-free, and 82 WEB DESIGNER/PRODUCER Ai-Ting Huang, House Bill ly impacts individual business Still, he won’t prohibit ciga- What’s happening: have committed to achieve the sta- (313) 446-0403, [email protected] 4163, sponsored by Rep. Brenda owners and operators,” even EDITORIAL SUPPORT Anita Duncan, (313) rettes at his establishment until a Clack, D-Flint, has had one hearing tus by January. though he also opposes smoking 446-0329; Joanne Scharich, (313) 446-0419 statewide ban is in place. Wendy Block, director of health NEWSROOM (313) 446-0329, FAX (313) 446- in the House Commerce and is “cognizant of the damages 1687 TIP LINE (313) 446-6766 Those divergent opinions under- Committee and is scheduled for a policy and human resources at the that secondhand smoke causes,” REPORTERS score the debate scheduled to fire second hearing Tuesday. Michigan Chamber of Commerce, said press secretary Matt Mars- up in Lansing again this week over said most of the chamber’s mem- Brent Snavely, senior reporter: Covers auto The arguments: Supporters say a den. suppliers, steel and restaurants. (313) 446-0405 a measure that could put Michigan ban is an important public health bers no longer allow workplace Although bar and restaurant or- or [email protected]. step, protecting customers and Robert Ankeny: Covers the city of Detroit, Wayne in the company of 30 states that re- smoking. However, that’s a deci- ganizations have been vocal critics employees from secondhand County government, and law. (313) 446-0404 or quire smoke-free work sites, sion that employers, with their of HB 4163, additional business in- [email protected]. restaurants or bars, according to smoke. They say the legislation employees, should have the right Sherri Begin: Covers nonprofits and education. terests have concerns. (313) 446-1694 or [email protected] the Campaign for Smokefree Air, a ultimately could produce business to make, she said. health care cost savings, and Detroit’s three casinos, for ex- Andrew Dietderich: Covers health care, coalition of health interests and But health advocates say the transportation, international business and banning smoking can boost an ample, have a competitive advan- biotech. (313) 446-0315 or others. dangers of secondhand smoke are establishment’s business. tage over their Windsor counter- [email protected]. The National Conference of State clear, both for customers and em- Chad Halcom: Covers services, environment and Opponents say workplace smoking part in the wake of Ontario’s 2006 Oakland and Macomb counties. (313) 446-6796 Legislatures cites a slightly lower ployees. policy should remain an individual smoking ban, said Sarah Hubbard, or [email protected]. total of at least 28 states with smok- Testifying earlier this month be- Sheena Harrison: Covers small business, retail business choice and should not be vice president of government rela- and nonautomotive manufacturing. (313) 446- ing bans, including 22 that require mandated by government. They say fore the House Commerce Commit- 0325 or [email protected]. tions for the Detroit Regional Cham- all workplaces to be smoke-free businesses are best equipped to tee, American Medical Association Tom Henderson: Covers banking, finance and ber. technology. (313) 446-0337 or and six states that allow some ex- decide what to offer customers, President-elect Ron Davis, direc- [email protected]. The chamber opposes the bill emptions. and many are already voluntarily tor of the Center for Health Promo- Bill Shea: Covers media, advertising and becoming smoke-free. Opponents and thinks businesses should be marketing, entertainment, the business of sports, House Bill 4163, sponsored by tion and Disease Prevention at and Livingston and Washtenaw counties. (313) Rep. Brenda Clack, D-Flint, would say a ban will hurt business. Henry Ford Health System, said expo- able to decide smoking policy on 446-1626 or [email protected] build on current bans in public sure to secondhand smoke “is a their own. LANSING BUREAU away the opportunity of individ- Amy Lane: Covers business issues at the Capitol, workplaces and prohibit smoking proven health hazard. Roger Martin, spokesman for ual restaurant and bar owners, telecommunications and utilities. (517) 371- in all workplaces. That would in- “The overwhelming weight of Greektown Casino L.L.C., said: 5355, FAX (517) 371-2492, [email protected]. or and their customers, to select “the “Right now, our facility welcomes 115 W. Allegan, Suite 220, Lansing 48933. clude bars, restaurants and other evidence shows that secondhand ADVERTISING private places of employment. type of dining environment that is smoke causes lung cancer, heart all guests, smokers and nonsmok- best for them.” ADVERTISING DIRECTOR Marla Downs, (313) The bill hits on concepts intro- disease, asthma episodes and others. That is the business model we 446-6032 or [email protected] He said one establishment duced previously in Lansing. But er respiratory diseases and condi- have embraced and one that we SALES INQUIRIES: (313) 446-6052; FAX (313) unlike predecessor bills that failed might offer a smoking lounge or tions,” Davis said. are trying to defend.” According to 393-0997 cigar area as a feature attractive to Meisner’s office, the smoking ban NEW BUSINESS DEVELOPMENT MANAGER Cathy to gain traction, the new measure David Finkbeiner, vice presi- Ross, (313) 446-0307, [email protected] has a good chance of at least pass- certain customers, while another dent of advocacy for the Hospital would not apply to Michigan’s ADVERTISING SALES Jeff Anderson, Terri might go smoke-free and use that American Indian casinos. Bob Engstrom, Matthew J. Langan, Tamara Rokowski, ing the Democratic-controlled Association, said HB 4163 is “a rea- Dale Smolinski state House. designation as a marketing advan- sonable way to go” to prevent peo- Berg, a spokesman for MGM Grand WESTERN ACCOUNTS Ellen Mazen (Los Angeles) Lined up to fight, however, are tage. Both businesses, Deloney ple from being exposed to second- Detroit Casino L.L.C., said that’s an (323) 370-2477 CLASSIFIED MANAGER Melissa McKay, (313) associations representing bars, said, would be hurt by a govern- hand smoke. issue. 446-1692 restaurants, grocers and bowling ment ban. House Commerce Committee “From MGM’s perspective, the CLASSIFIED ACCOUNT EXECUTIVE Christina Already, many employers, in- concern would be that all gaming Jaranowski, (313) 446-1655 centers, as well as some chambers Chairman Andy Meisner, D-Fern- MARKETING DIRECTOR Michelle Minor of commerce. cluding dining establishments, are dale, said he sees a government- facilities in the state would be EVENTS MANAGER Nicole Wiedling Andy Deloney, director of public going smoke-free voluntarily. Hos- mandated workplace smoking ban treated equally,” he said. MARKETING ASSISTANT Jennifer Dunn affairs for the Michigan Restaurant pitals are among those making the as a “bellwether issue” for Michi- Amy Lane: (517) 371-5355, MARKETING ARTIST Sylvia Kolaski SALES SUPPORT Suzanne Janik, Andrea Association, said the bill would take move. gan. [email protected] Beckham, YahNica Crawford CIRCULATION Candice Yopp, Manager. PRODUCTION MANAGER Wendy Kobylarz PRODUCTION SUPERVISOR Larry Williams, (313) 446-0301 SUBSCRIPTIONS (313) 446-0450, (888) 909-9111 Pipex: Tests 2 drugs Lear: Opposition grows TO FIND A DATE A STORY WAS PUBLISHED: (313) 446-0367 or e-mail the Crain Information Center at [email protected]. ■ From Page 3 ■ From Page 3 CRAIN’S DETROIT BUSINESS IS PUBLISHED BY CRAIN COMMUNICATIONS INC. ey that is available in the Ann in private-equity financing in the Lear spokesman Mel Stephens company’s earnings outlook,” In- CHAIRMAN Keith E. Crain Arbor area,” said Tim Robinson, fourth quarter and went public said that Rossiter has a 35-year stitutional Shareholder services PRESIDENT Rance Crain vice president of operations at at the end of April. track record at Lear of representing said in its report. SECRETARY Merrilee Crain Ann Arbor Spark, the economic de- Besides UM and UCLA, the shareholder interests. He said while Pzena has argued that Lear is TREASURER Mary Kay Crain Executive Vice President/Operations velopment association for the company has agreements with Rossiter and senior management worth close to $60 per share, which William A. Morrow Group Vice President/Technology, Ann Arbor area. McLean Hospital at Harvard Univer- helped negotiate the Icahn deal, a is where the stock traded in early Manufacturing, Circulation Kanzer said there is no treat- sity, the University of Southern Cali- special committee of the board of di- 2004. Robert C. Adams Vice President/Production & Manufacturing ment for Wilson’s disease, and the fornia and Children’s Hospital- rectors recommended the sale. Glass Lewis also mentioned Dave Kamis potential market for the drug is $5 Boston. The committee said the $36-per- Lear’s historical stock perfor- Corporate Director/Circulation billion annually. Pipex recently completed a share offer was fair and a capital mance and observed that Lear Patrick Sheposh G.D. Crain Jr. Founder (1885-1973) Pipex plans to file its applica- new lab in Ann Arbor. The com- infusion from Icahn would help raised its profit outlook for the Mrs. G.D. Crain Jr. Chairman (1911-1996) tion for approval for Trimesta in pany has 18 employees — four Lear continue to expand beyond year earlier this month. EDITORIAL & BUSINESS OFFICES: late 2009. The drug was discovered from Esperion Therapeutics Inc., in- its North America center. “We also note that Lear’s shares 1155 Gratiot Ave., Detroit MI 48207-2732; (313) 446-6000 by a UCLA researcher who found cluding the co-founder and co-de- Icahn’s offer includes the as- have underperformed an index of Cable address: TWX 248-221-5122 AUTNEW DET Subscriptions $59 one year, $98 two years. Out that a specific hormone in the pla- veloper of Lipitor, Charles Bis- sumption of about $2.5 billion in its peers during the prior two of state, $79 one year, $138 for two years. centa of pregnant women with gaier. He is Pipex president and a debt and an offer to buy out all Lear years,” Glass Lewis said in its re- Outside U.S.A., add $48 per year to out-of-state rate for surface mail. multiple sclerosis helped with re- member of the board. shareholders for about $2.8 billion, port. “Clearly, shareholders should Reprints: For inquiries call the reprints department mission of the disease and re- Pipex has a way to go when it or $36 per share. Institutional question whether now is the right at: (800) 494-9051, Ext. 144 , or at [email protected] duced lesions in the brain by 80 comes to finances, though. Shareholder Services said that Ic- time to sell the company.” CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is percent. In the first three months of the ahn’s offer of $36 a share is fair, but Pzena said that same board published weekly by Crain Communications Inc. at 1155 Gratiot Ave., Detroit MI 48207-2732. The drug, also licensed by year, the company reported a net said shareholders deserve better. should deal with management’s Periodicals postage paid at Detroit, MI and loss of $2.8 million or 90 cents a “To be enticed to sell their choices and determine whether the additional mailing offices. POSTMASTER: Send Pipex, has completed phase II address changes to CRAIN’S DETROIT BUSINESS, clinical trials. share. It does research and devel- shares, Lear investors need to be people running the company can Circulation Department, P.O. Box 07925, Detroit, MI 48207-9732. GST # 136760444. Printed in Kanzer said the potential U.S. opment and didn’t have any rev- offered a price reflecting an appro- best represent shareholders going U.S.A. market for that drug is worth enue. priate control premium over forward. He declined to elaborate. Entire contents copyright 2007 by Crain Communications Inc. All rights reserved. $500 million annually. Andrew Dietderich: (313) 446- standalone value and reflective of Reporter Brent Snavely con- Reproduction or use of editorial content in any Pipex completed $13.9 million 0315, [email protected] the recent improvements in the tributed to this report manner without permission is strictly prohibited. DETROIT BUSINESS MAIN 06-25-07 A 26 CDB 6/22/2007 4:15 PM Page 1

Page 26 CRAIN’S DETROIT BUSINESS June 25, 2007 State money to help expand Dorsey Schools

BY TOM HENDERSON based venture-capital and invest- to about 1,000, a lease to expand one of the cur- programs, criminal justice, cosme- CRAIN’S DETROIT BUSINESS ment-banking firm. and employ- rent locations and said others may tology and nursing. Beringea has not applied for any ment is up al- expand, as well. He said that the Previous investments by the 21st Quad Partners, a New York City- investments from either the 21st most 30 percent state’s investment may help fund Century Investment Fund were: based private-equity firm, will use Century Investment Fund or the to 140, including the purchase of another education- Jan. 24, up to $7.5 million in Ann Ar- some of a recently announced in- $95 million Venture Michigan Fund, full- and part- related company in Michigan that bor-based Arboretum Ventures L.L.C., vestment by the state’s 21st Century both of which are managed by the timers. “We ex- can be a platform for additional which focuses on health care; and Investment Fund to open a fifth loca- Southfield office of the Credit Suisse pect to continue purchases and that Quad Partners up to $10 million in San Francisco- tion of its Madison Heights-based Customized Fund that growth pat- plans to be involved in children’s based Nth Power, which focuses on Dorsey Schools, expand course of- Investment tern,” he said. education in the state, too. green technologies; and March 28, ferings and increase hiring and en- Group. Kaplan Quad Part- Frank said Dorsey typically of- up to $7.5 million in Ann Arbor- rollment. “We have an ners raised $125 fers nine-month to two-year pro- based EDF Ventures, which focuses On June 5, the Michigan Economic economy filled million for its first fund. The grams aimed at training young on health care and IT; and up to $10 Development Corp. announced that with people state’s investment will go into a adults not likely to do well at tradi- million in Wisconsin-based Venture the board of the Michigan Strategic trained for the second fund, which is currently tional two- or four-year colleges or Investors L.L.C., which focuses on Fund had approved an investment 20th century. being raised. The target size of that universities. He said Dorsey has health care. of up to $10 million in Dorsey. Companies here fund has not being disclosed pub- focused on IT training and health- Investments of an undisclosed Four previous investments from need people who licly. care-related positions, such as amount were made from the Ven- the fund, totaling up to $35 million, medical assistants and business ture Michigan Fund were made on Rothstein have 21st centu- Quad Partners’ Web site says it had been in venture-capital funds ry training,” has $200 million under manage- managers for doctors’ offices. Jan. 23 in Arboretum Ventures, that focus on young or emerging Rothstein said. “Critics can say, ment. He said expanded offerings for Nth Power and Venture Investors companies in health care technolo- ‘They (Quad Partners) haven’t Its portfolio includes beauty Dorsey funded in part by the state and on March 27 in EDF Ventures. gy, information technology and done technology,’ but we don’t see schools; culinary academies; a grant could include paralegal Tom Henderson: (313) 446-0337, green technologies. it that way. company that develops knowledge- training, culinary and hospitality [email protected] The most recent announcement “I’d say: ‘Hey, guys, it’s not just based games for adults and chil- drew criticism from some in the lo- about throwing money around. It’s dren; Beckfield College of Florence, cal venture-capital community. about the underlying infrastruc- Ky., which offers associate’s and They expressed disappointment ture, too.’ bachelor’s degrees in nursing, that three of the first five invest- “What Quad is doing is helping business and criminal justice; Blue ments from the $109 million fund retool our people so they’ll be part Cliff College, a group of seven Two proposals floated have gone to out-of-state compa- of the 21st century economy. I’ve schools in Louisiana, Mississippi nies and that the investment was met the Quad people, and they’re and Arkansas that offer associate’s in a buyout firm formed in 2000 to solid.” degrees in allied health, massage buy adult learning centers and ed- “With our investment in Quad therapy and criminal justice; and for Macomb reorganization ucation-related businesses. Partners, we will create more jobs private preschools and elementary Hoping their own proposals for and provide educational and train- schools. BY CHAD HALCOM It’s a very cum- funding will be successful eventu- ing services,” said Kelly Williams, Lincoln Frank, the firm’s man- CRAIN’S DETROIT BUSINESS bersome form of ally, no one would comment for managing director and group co- aging partner, said the state in- government.” the record. leader of New York-based Credit Su- vestment will help fund a fifth A group looking to reorganize Grace Shore, The investment in Quad Part- isse First Boston, who oversees the Dorsey location he hopes to have Macomb County government got co-treasurer of ners was strongly defended by Southfield office. open in Southeast Michigan by the several thousand dollars closer to Charter = Coun- Charles Rothstein, a board mem- Andrew Kaplan, a partner in end of the year. Dorsey currently its goal of getting the issue before ty Executive and ber of the Michigan Strategic Fund Quad Partners, said that since his has locations in Wayne, Madison voters in a ballot question last week president of the and a senior managing director at firm bought Dorsey in December Heights, Roseville and Southgate. — but a competing proposal before Central Macomb Beringea L.L.C., a Farmington Hills- 2005, enrollment is up 30 percent Frank said he is negotiating for the county’s own elected leaders Chamber of Com- may lead to widespread confusion Anton merce, wouldn’t by election time. reveal the exact Organizers of the Macomb ballot amount raised but said the commit- committee, Charter = County Execu- tee exceeded its fundraising goals. tive, held their first fundraiser last The committee is gathering the week. About 100 people attended necessary 29,000 signatures for a the gathering, with individual charter ballot question and needs guests paying sponsorship fees to the funds to cover expenses, Shore attend of $35 or $100. Corporate said. sponsorships were $300. William Crouchman, chairman The group seeks a ballot ques- of the elected county board, said last tion calling for a charter commis- week he has held off a vote on an sion to restructure Macomb gov- “optional unified” executive government, including the number of ernment until the board’s Aug. 16 its elected leaders and their dis- meeting. Voting any earlier could tricts, and establish a county exec- put the question on the Aug. 7 pri- utive office like Wayne and Oak- mary ballot rather than the Nov. 6 land counties employ. The plan general election. cuts some commissioners and “There’s no question adding a reapportions districts to free up county executive means adding to our county budget, and growing funds for an executive office. our government,” Crouchman Another proposal currently be- said. “The only question is fore the county board would keep whether the added cost is worth it the 26-member board of commis- for the added efficiency.” sioners but add an executive office Crouchman said timing the that seeks its budget from the com- board vote for August or later mission. serves voters. But Anton and Oakland and Bay counties have Shore fear the delay may put the a structure like the proposed mod- county’s question on the same bal- el before the county board, while lot, prompting voters to reject both Wayne County’s executive and out of confusion. commission are more like the “It (the timing) is becoming charter model. But neither plan gamesmanship. Anyone in the compels Macomb to mirror those county who’s older than 12 can see counties. that,” he said. “We have some good county com- Charter = County Executive missioners who are very well- must collect its signatures during meaning,” said Gabe Anton, part- a six-month period ending in late ner in Mt. Clemens-based Anton, October, meaning the Nov. 6 ballot Zorn & Sowerby and a funding sup- is a likely target date but it’s possi- porter of Charter = County Execu- ble the question may hold over to tive. “But in this model you always the February or May elections. get a small group that can create Chad Halcom, (313) 446-6796, chaos, and not enough gets done. [email protected] DETROIT BUSINESS MAIN 06-25-07 A 27 CDB 6/22/2007 6:58 PM Page 1

June 25, 2007 CRAIN’S DETROIT BUSINESS Page 27 RUMBLINGS WEEK IN REVIEW FROM WWW.CRAINSDETROIT.COM, WEEK OF JUNE 16-22

new regional brand cam- struction of The Shoppes at affairs for the Ann Arbor Area paign to serve their market- Farmer Jack Gateway Park in Detroit, a Chamber of Commerce from ing needs is scheduled for 2- retail center planned at policy adviser to Lt. Gov. Big week: The 3:30 p.m. July 11. Eight Mile Road and Wood- John Cherry, effective July 9. The brand campaign is sells 23 stores ward Avenue. She replaces Brandt Coultas, led by the Detroit Metro Con- The bill, first introduced who left to pursue his MBA. vention & Visitors Bureau and by State Sen. Buzz Thomas, D- Conway bash is designed to boost tourism to Kroger, Detroit, would allow tax-in- BRIEFLY and perceptions about the crement financing to fund region. It targets young ear- redevelopment at the Gate- Auburn Hills-based ly adopters. The effort is Hollywood way Park site, similar to RGIS Holdings L.L.C. an- part of the One D collabora- laws set up by a Downtown nounced Monday that it ac- is back in town tive aimed at the region’s he Kroger Co. con- Development Authority. quired ICICS Software Systems economic revitalization. firmed Wednesday While DDAs are limited to Ltd., the largest inventory t’s going to be a big week ECD goes nuts in Calif. The online seminar will il- T that it has agreed to one community, CIAs allow company in Israel. for the Birmingham- lustrate how nontourism acquire 20 Farmer Jack the financing to apply across CMS Energy Corp. has I based turnaround firm Rochester Hills-based En- closed on the $211.1 million ergy Conversion Devices Inc. businesses can employ the stores from the Montvale, municipal boundaries. of Conway MacKenzie & Dun- N.J.-based Great Atlantic & sale of CMS Energy Brasil S.A. announced the installation campaign to help them- Gateway Park is being de- leavy. It expects to sign a Pacific Tea Co. Inc. Terms and related assets to CPFL En- of a solar-energy system to selves and the region. It will veloped by Chicago-based lease any day for a new of- were not disclosed. ergia S.A., a Brazilian utility. power pistachio and al- include business-to-business General Growth Properties Inc., fice in Manhattan, and on The stores will become The University of Michi- mond growth in California. examples from the Detroit the nation’s second-largest Friday it holds its 20th an- part of Kroger’s Great gan board of regents on ECD installed the 1.1- Tigers, the Detroit Regional retail real estate investment niversary party at the Lakes division, based in Thursday gave final ap- megawatt solar system made Chamber’s young profession- trust. J.C. Penney has signed a Roostertail on the Detroit Columbus, Ohio. The divi- proval to solicit bids and up of its Uni-Solar brand al group Fusion and Strategic letter of intent to open a riverfront. sion currently operates 244 award contracts for the $226 thin-film photovoltaic solar Staffing Solutions Inc. 100,000-square-foot anchor The firm had a reputation stores under the Kroger million Michigan Stadium panels at Paramount Farm Inc. To register, call (313) store at the center. in the 1990s for throwing one banner in Ohio, West Vir- renovation and expansion in Lost Hills, Calif. Para- 202-1946 or e-mail of the best corporate Christ- ginia and Michigan. project. UM alumnus Steph- mount is the world’s largest [email protected]. mas parties in town. The Farmer Jack stores GM picks Houston firm to en Ross has donated $5 mil- supplier of pistachios And Van Conway, a co- in the deal are in Birming- lion to help cover the costs and almonds. build riverfront condos founder and senior BITS AND PIECES ham, Dearborn Heights, of the expansion. managing director of The installation The first ticket was giv- Dearborn, Northville General Motors Corp. has Detroit officials said the firm, says the an- spans 8 acres en out by the eco-friendly Township, Hartland Town- designated Houston-based Wednesday that they have niversary party will surpass and is the police car on the Wayne ship, St. Clair Shores, Hines Interests L.P. to build not yet received a formal of- the old holiday bashes, re- largest farm- State University campus and Hazel Park, Troy, Sterling luxury residential complex- fer from Huntington Woods membered for lavish based solar the first fuel-cell police car Heights, Algonac, Grosse es on 6 acres of its river- to purchase the Rackham spreads of food and drink. plant. in the world — a Mercedes Pointe Woods, Roseville, front property east of GM’s Golf Course and will need to The New York office will “F cell” that emits only wa- Westland, Brownstown global headquarters at the weigh specifics before ac- be run by managing director Just in ter vapor and runs virtually Township, Romeo and Im- Renaissance Center. cepting the $6 million offer. Mike Correra, who was re- time for Dream Cruise silently. One of the partners lay City. Hines said it will partner The Huntington Woods City cruited from New York- in the WSU Police F-Cell Also, Troy-based Holly- with GM on a mixed-use de- Commission voted Tuesday based Huron Consulting Group Peeling out on a set of project is Next Energy. wood Super Markets Inc. ac- velopment on land that the night to pay Detroit $6 mil- — recruitment that Conway Kumho Tire USA’s new Ectsa The more than 80-year- quired three Farmer Jack automaker will give the lion but also wants to re- says was made possible by an DX tires will generate the old Graphic Arts Building, at stores in Madison Heights, company. In exchange, GM ceive income from cellular equity-distribution plan his smell of burning rubber 41-47 Burroughs Ave., has Rochester Hills and Lake will receive a portion of fu- towers on the 123-acre site. firm instituted earlier this tinged with the gentle aro- received the Governor’s Orion, President William ture revenue from residen- Detroit area unemploy- year for top management. ma of lavender — and we’re Award for Historic Preser- Welch confirmed Thursday. tial sales. Hines will handle ment for May was 6.9 per- “If you don’t have the right hearing about it first. vation from the Michigan De- Terms were not disclosed. financing and construction cent, compared with 6.7 per- of the condominiums. Addi- person, a new office doesn’t The tires, designed for partment of History, Arts and cent in April and 6.4 tional development partners matter,” Conway said. luxury sedans, are the focus Libraries. The building is the Tower cancels auction percent in April 2006, the likely are to be included. He said he and co-founder of a new marketing cam- latest loft-style rehabilita- as Cerberus is only bidder Michigan Department of Labor Donald MacKenzie still have paign that the Rancho Cuca- tion in the New Center area. and Economic Growth said a controlling interest in the monga, Calif.-based tire The long-vacant building Bankrupt auto supplier ON THE MOVE Thursday. Ann Arbor un- maker plans to launch soon that once housed photo-en- Tower Automotive Inc. has employment for May was firm. Patrick Dunleavy’s St. John Health’s COO in Detroit. graving, printing and art stu- canceled its planned auc- 4.5 percent, unchanged name is still on the door, Paul Van Tiem and Dr. Jim Tuc- The tires are the first on dios has been converted to 40 tion for today after conclud- from April and up from 4.4 but he left last year to join ci, chief medical officer, have the market to emit a scent. rental units priced from $850 ing it has received no com- percent in April 2006. Bingham Farms-based Vir- left, the Warren-based com- A lavender fragrance is ac- to $1.555 a month About half peting bids to acquire the The Eastern Michigan chow Krause & Co. He wasn’t pany said Tuesday. Presi- tivated using heat-resistant company. University American Associa- a shareholder in Conway have been rented so far. dent and CEO Elliot Joseph oils infused in the tread Tower now will ask a U.S. tion of University Professors MacKenzie. The redevelopment team told employees that the re- compound. Bankruptcy Court judge to ap- voted Wednesday to sup- Conway said the equity includes Zachary and Associ- placement COO will have prove the previously an- port a resolution asking the distribution is part of a long- ates Inc., part of New Amster- more experience in the clini- nounced sale agreement EMU board of regents to range succession plan — and dam Activation I L.L.C.; the New cal or medical setting. Building ‘The D’ brand with TA Co. L.L.C., an affili- John Fallon the best way to get top talent Center Council; Jonna Construc- Steven Reif to president fire President for A free online seminar de- ate of Cerberus Capital Man- in new cities. But don’t ex- tion Co. L.L.C.; Rossetti Archi- of the Royal Oak/Southfield EMU’s response to the signed to illustrate how agement L.P., according to a pect either of the co-founders tects; and Quinn Evans/Archi- campus of Oakland Communi- death of student Laura Dick- businesses are adapting a Tower statement. In late to go anywhere soon. tects. ty College from interim vice inson in December. March, Cerberus revealed chancellor of academic af- Detroit’s City Planning plans to buy Tower’s assets fairs, effective July 1. He re- Commission on Thursday for about $1 billion. The pri- places retiring Vice Chan- declined to recommend ap- vate-equity fund also is ac- cellor George Keith. proval of plans to redevelop quiring the Chrysler Group Apple’s core attraction William Hansen, presi- Tiger Stadium, citing infor $7.4 billion from Daimler- dent and CEO of Leader Dogs complete plans, The Detroit Chrysler AG. Apple’s iPhone hits the market this trademark ease of use to a field not for the Blind in Rochester, News reported. generally known for that, everyone will Friday, and the hype is resulting in an The court is scheduled to said he Olympia Entertainment expected rush of business for AT&T want one. If it doesn’t, the iPhone will hear Tower’s request to plans to remains in talks with the (see story, Page 1). be a niche device. confirm its Chapter 11 plan retire at owners of the financially What are you looking for in a wireless Apple is uncannily skilled at crafting and approve the sale July the end of strapped Masonic Temple in gizmos that, upon lifting them in your phone? Are you a CrackBerry addict, 11. If successful, the compa- Detroit to book shows and is a camera important to you or do this year. hand, you just want. It’s a hard concerts at the historic you just want a small box with big ny expects to close the He’ll re- sensation to describe (a columnist venue. The building’s own- buttons that makes telephone calls? transaction by July 31. main un- for our sister publication Advertising er, the Masonic Temple Asso- Let me know by sending an e-mail to til a new Age called it “irrational consumer ciation, owes the city back [email protected], and we’ll explore Senate OKs bill to ease CEO is lust”), but both the iPod and taxes and utility bills and PowerBook have inspired such the sometimes maddening world of selected, Gateway Park financing could face foreclosure. feelings for me. WEB WORLD cell phones in Tuesday’s Web World Hansen then Berkshire Hathaway Inc. I haven’t gotten my hands on an Michael Lee column in www.crainsdetroit.com’s The state Senate unani- serve as iPhone yet (in fact, I’m something of daily e-mail. mously passed a bill president emeritus through Vice Chairman Charles Mun- a cell-phone luddite), but it seems to me that You don’t get the daily e-mail? You can sign up Wednesday creating a Cor- the end of 2008. ger has donated $3 million its success or failure will hinge on one thing: If at our home page by clicking on “Register for ridor Improvement Author- Kristine Profit to vice to the University of Michigan Apple can deliver a device that brings its E-mail Alerts.” ity that would aid the con- president of governmental Law School. DBpageAD.qxd 6/20/2007 11:17 AM Page 1

Not only will we beat you. We will beat you with your own femur bone.

JWT. Y&R. Wunderman. Ogilvy. GroupM. Now banded together. Now known as Team Detroit. And now throwing down this challenge to all companies in the greater Metro Detroit area: We invite you to try to defeat us in the sport of your choice. Cricket? Whip out your sticky wicket. Lawn darts? Nothing we love more than banned games.

BASKETBALL FOOTBALL

BASEBALL

Greco-Roman wrestling? Prepare to taste the mat, my friend. Softball, football, bowling, hockey, jai alai, curling, hide and seek, kick the can, buzkashi, birling, jousting. You name it, we’ll beat you at it. So go ahead and accept the Team Detroit Challenge. Contact us at 313-615-4007 and ask to speak with our Athletic Director. If you have the equipment, that is. SOFTBALL HOCKEY