U.S. Bancorp to Open Loan Office Here

20121203-NEWS--0001-NAT-CCI-CD_-- 11/30/2012 5:30 PM Page 1

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Page 3 Utilities don’t want meddling U.S. Bancorp with renewable-energy rules There’s more than the score to open loan to consider, Pistons say Inside office here Where might Dave, Chuck the Freak land? Page 5 Ex-Comerica exec

Focus: Tax Law Michigan director

BY TOM HENDERSON ‘Cliff’ threat looms over CRAIN’S DETROIT BUSINESS

decisions U.S. Bancorp, one of the largest bank holding on estates, companies in the United States, is opening a commercial loan office in Southeast Michigan capital gains, and aspires to be one of the top three commer- Page 9 cial lenders in the state in five years. The Minneapolis-based bank has hired James Hilmer, a former Comerica Inc. executive and longtime investment banker with Detroit- based W.Y. Campbell & Co., as director and relationship manager of the Michigan region. U.S. Bancorp also has hired Tom Hammer, a former vice president of corporate banking for LaSalle ANDREW TEMPLETON/CRAIN’S DETROIT BUSINESS Bank before it was bought by Bank of America, to President Mike Score says Hantz Farms already has cleared tons of trash from the site of its 3-acre demonstration tree farm at Mt. Elliott Street and Brimson Avenue. oversee commercial lending in Grand Rapids. They also will focus on municipal finance This Just In and public and corporate bond issues. “We are serious about this. We think Michi- Sun Communities acquires gan is a great market, and we’re there for the four developments Hantz near 1st rung See U.S. Bancorp, Page 25 Sun Communities Inc., a Southfield-based real estate investment trust that operates and owns 171 communi- Bill aims to keep ties, has acquired four Michi- on tree farm climb gan manufactured-housing communities with 1,996 sites from Washington Township- City Council could vote next week on sale of lots biz from seeking based Rudgate Communities for $71.1 million. BY CHAD HALCOM a development agreement to sell more than Through the deal, complet- CRAIN’S DETROIT BUSINESS 1,500 city-owned lots, or about 140 acres, for ed Nov. 14, Sun (NYSE: SUI) nearly $520,000 at $300 per lot to subsidiary online passwords assumed $15.4 million in One day, Hantz Farms LLC could be a model Hantz Woodlands LLC. The site is on the lower mortgage debt secured by the of reinvention for Detroit and other aging east side, between Van Dyke and St. Jean BY CHRIS GAUTZ communities and paid $55.7 cities. Or it could be yet an- Street and Jefferson and Mack avenues. CAPITOL CORRESPONDENT million in cash. other discarded idea lost to Even if the sale is approved, the develop- Sun also entered into a history. ment agreement calls for Hantz to meet cer- Submitting an application, a résumé and a $21.7 million mortgage loan Either way, it will be a tain milestones, such as demolishing at least few references used to be enough, but some with a third-party lender, se- study in patience. 50 of the 111 homes in the area that are unfit businesses have begun asking job applicants to cured by one of the commu- Four years after owner for occupation. The demolitions must occur turn over passwords to their Facebook, Twitter nities, and acquired all the John Hantz of Southfield- within two years, or a “reverter” clause re- or personal email accounts, as well. seller-owned manufactured based Hantz Group Inc. incor- turns the lots to city ownership. Groups opposing that kind of job applicant homes in the communities, porated the urban farming After four years — if the company is still in probing have the practice well on its way to be- promissory notes and install- business and hired Mike compliance with all city-imposed conditions ing banned in Michigan with privacy-protect- ment sale contracts for an ad- Score as president, the com- — it has an option to acquire an additional 180 ing legislation. Hantz ditional $6 million, the company awaits a public hear- acres within a mile of the original purchase House Bill 5523, sponsored by Rep. Aric Nes- pany said in an 8K filing with ing next week on what could be its first site. All told, Score said, demolition costs on bitt, R-Lawton, would outlaw the practice of em- the U.S. Securities and Ex- chance to generate revenue as a mixed hard- the lower east side property will top $1.8 mil- ployers requiring prospective hires to turn change Commission. wood timber farm. — Sherri Welch The Detroit City Council could vote Dec. 11 on See Farm, Page 23 See Passwords, Page 22

Reach the biggest and most inﬂ uential audience ever with the largest print distribution in history, plus digital distribution to Crain’s readers. ISSUE DATE: Jan 21, 2013 • AD CLOSE EXTENDED: DEC. 10 Learn more at www.crainsdetroit.com/autoshow. NEWSPAPER 20121203-NEWS--0002-NAT-CCI-CD_-- 11/30/2012 4:31 PM Page 1

Page 2 CRAIN’S DETROIT BUSINESS December 3, 2012

MICHIGAN BRIEFS Dish on Dart: Expansion to add to develop a low-cost supercon- ducting wire for use by electric up to 325 workers near Lansing Detroit chamber chief preaches collaboration in W. Mich. utilities. The Associated Press re- In May, Crain’s Michigan Busi- ported that the Energy Depart- ness profiled the world’s largest The key to solving Michigan’s problems can be de- it is productive,” Baruah said. However, the divi- ment said such a wire would re- maker of foam cups — Mason- scribed in one word: collaboration. So said Sandy sion between cities and suburbs, black versus duce the cost of transmission based Dart Container Corp., which at Baruah, president of the Detroit Regional Chamber, in white, county versus county and east versus west lines, motors for wind turbines the time was just starting to digest a presentation last week in Grand Rapids. “continues to haunt us,” he said. and other electric devices and is its $1 billion acquisition of com- Baruah, who spoke at a breakfast event spon- Baruah lauded West Michigan for the strength of considered a potential — cliché petitor Solo Cup Co. Add to that a sored by the Seidman College of Business at Grand Val- its business institutions, the business community’s alert — “game-changing” technol- market becoming less fond of the ley State University, said the combination of the role in setting a regional agenda and the successful ogy. environmental challenges present- “nonpartisan” Gov. Rick Snyder, the state’s higher transformation of downtown Grand Rapids “into a Ⅲ A collaboration spearheaded ed by foam cups and dinnerware, education system, its hub of auto industry talent destination place.” by the Experience Grand Rapids visi- and it was clear that Dart had a and capabilities, and the portfolio of strong, Michi- But Baruah was far from Pollyannaish about the tors bureau has created a mobile full plate, so to speak. gan-based brands have the state pointed in the hard work the state faces. Getting people to work to- website that offers walkable tours In news last week of the cup-run- right direction. He also credited the electorate for gether is hindered by political divisions, he said. of downtown Grand Rapids using a neth-over variety, Dart announced its rejection last month of the ballot proposals, “We can only solve these challenges if we’re able to phone as your map and tour guide. it would add up to 325 workers and which he said would have taken the state back 50 talk to each other. That is an art, that is a skill that The tour is at grtagtour.org. spend $47 million to expand and years. our nation is losing. … We need to realize what Ⅲ Here’s news for those of you renovate its campus near Mason. “The collaboration and partnership between east we’re doing to ourselves.” who have a recent college graduate Dart, which employs about 1,100 in and west Michigan is not only real, it is genuine and — MiBiz sleeping in the room that by now mid-Michigan, plans to fill some was supposed to be your man cave, openings with Solo employees who Cooperative and Milwaukee-based sula, “in terms of better redun- the deal, Haworth will provide of- home office or walk-in closet: The will transfer from the Chicago area. We Energies plan to pump up to dancy and reliability,” The Min- fice furniture through December job market for grads will grow Dart will receive a $3 million per- $140 million into the coal-fired ing Journal in Marquette report- 2016 with four one-year renewal about 3 percent this school year, formance-based grant from the Presque Isle Power Plant in the Up- ed. options through December 2020, according to Michigan State Univer- Michigan Business Development Pro- per Peninsula. the Grand Rapids Business Jour- sity’s annual Recruiting Trends re- gram and a 12-year property tax Last year, We Energies said the port. abatement worth $5.2 million from nal reported. plant could be shut in 2017 or refit- Haworth wins $40M-per-year Growth is expected to be espe- Alaiedon Township, near Lansing. More than 55,000 government ted to be fueled by natural gas as cially strong for associate’s de- To receive the grant, Dart had to government furniture contract and nonprofit agencies are mem- the company looked to comply grees, which should see hiring rise demonstrate a need for funding bers of U.S. Communities, which Holland-based Haworth Inc. last 31 percent, particularly for manu- based on a cost disadvantage for with anticipated pollution regula- procures more than $1.5 billion in week landed a multiyear contract Michigan over the competing site tions. The joint venture and equip- products and services annually. facturing jobs. worth more than $40 million an- of Lake Forest, Ill., MLive reported. ment will require state and federal approval, The Associated Press re- nually through the U.S. Communi- Find business news from ported. ties Government Purchasing MICH-CELLANEOUS around the state at crainsdetroit That’s some lump of coal: U.P. Gov. Rick Snyder, who attended Alliance, a purchasing cooperative .com/crainsmichiganbusiness. last week’s announcement, said that represents state, local and Ⅲ Lapeer-based Grid Logic Inc. Sign up for Crain's Michigan power plant to get $140M rehab the project would benefit not only municipal agencies; nonprofit or- last week received $3.8 million Business e-newsletter at crains Cadillac-based Wolverine Power the U.P. but also the Lower Penin- ganizations; and schools. Under from the U.S. Department of Energy detroit.com/emailsignup.

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December 3, 2012 CRAIN’S DETROIT BUSINESS Page 3 Snyder: Gas should power future Innovations

al gas rather than coal-fired genera- Talks to start with utilities on future mandates tion as they bring new plants online. BY CHRIS GAUTZ coming years. and that it should be part of a larger Jeff Holyfield, CAPITOL CORRESPONDENT But they also urge lawmakers energy plan for the state. executive direc- not to meddle with the rollout of He called for the creation of a tor of media re- Conversations have officially current mandates on renewables. strategic reserve of natural gas lations and com- started focusing on the state’s next Those mandates state that 10 per- and praised Michigan’s successful munication wave of renewable-energy require- cent of the state’s energy must history of “fracking” natural gas services at CMS ments, which would kick in after come from renewable sources by and oil from layers of shale deep Energy Corp., current benchmarks are reached 2015, a goal the utilities say they beneath the surface. said the compa- in 2015. are well on their way to meeting. “We have strong assets here, ny is already The state’s two largest utilities In his special message on energy and we can do more with natural moving in that say they agree in general with Gov. and the environment Wednesday at gas,” Snyder said. direction. Snyder Rick Snyder’s call for them to re- the Kellogg Biological Station in Hick- He said he is bullish on natural “The governor has an excellent How much driver distraction place aging coal-fired power plants ory Corners near Kalamazoo, Sny- gas because, compared to coal, it’s a assessment of what is needed in is too much? Researchers with those powered by natural gas, der said that the state’s abundance better alternative. Snyder encour- and both are likely to do so in the of natural gas is an underused asset aged utilities to look at using natur- See Gas, Page 22 aim to find out, Page 11

Company index Ignore score: These companies have significant mention in this week’s Crain’s Detroit Business: American Civil Liberties Union of Michigan ...... 22 American Society of Employers ...... 22 Pistons see Angle Advisors ...... 10, 25 Bagger Dave’s Legendary Burgers Tavern ...... 3 Bell Media Radio ...... 5 Buffalo Wild Wings ...... 3 bottom line Center for Automotive Research ...... 12 Center for Healthcare Research & Transformation . . 8 Chrysler Group ...... 17 CIMX 88.7 FM ...... 5 CMS Energy ...... 3 getting better Comerica Bank ...... 25 Deloitte ...... 10 Denso International America ...... 11, 12 Pricey seats, Detroit Pistons ...... 3 Detroit Regional Chamber ...... 2 Detroit Wayne County Health Authority ...... 5 group sales help Diversified Restaurant Holdings ...... 3 Donnelly Penman & Partners ...... 16, 25 DTE Energy ...... 22 BY BILL SHEA Dykema Gossett ...... 9 CRAIN’S DETROIT BUSINESS Eaton ...... 11 Even with an 0-8 start that dev- eRaise.com ...... 21 Faurecia ...... 4 astated ticket sales of individual Ford Motor ...... 12 games, the Detroit Pistons expect to Freedom Hill Amphitheatre ...... 4 finish this season at least 10 per- General Sports and Entertainment ...... 24 cent better financially than last Hantz Group ...... 1 COURTESY OF DIVERSIFIED RESTAURANT HOLDINGS INC. year. CEO Michael Ansley said that despite concerns about “security, parking and the commute,” nearly three-fourths of his Hennessey Capital ...... 25 Strong group, courtside and staff at Diversified Restaurant Holdings Inc. voted to move the company headquarters to downtown Detroit. Humanetics Innovative Solutions ...... 13 suite sales have helped at least par- Jacobs Media ...... 5 tially offset the lack of single-game Jaffe Raitt Heuer & Weiss ...... 9 tickets being sold, said Dennis Loomis Sayles ...... 10 Lotus Bank ...... 16 Mannion, president of Palace Sports Luna Hillside ...... 4 & Entertainment Michigan Energy Michigan Jobs ...... 22 Inc., the umbrel- Flying high on wings, burgers Michigan Land Use Institute ...... 22 la company for Michigan Restaurant Association ...... 21 the Pistons, The National Federation of Ind. Businesses-Michigan . 22 Palace of Auburn Palace Sports & Entertainment ...... 3 Hills and its sis- Restaurant group expands, eyes downtown base PricewaterhouseCoopers ...... 9 ter venues. Rehmann ...... 9 “We’ll cer- BY ALLISON BATDORFF for a company recognized for Saga Communications ...... 10 Sommers Schwartz ...... 10 SPECIAL TO CRAIN’S DETROIT BUSINESS speedy construction and poised tainly track bet- Specs Howard School of Media Arts ...... 5 for a secondary public offering to ter financially We kept asking Talmer Bank ...... 16 than last year,” Diversified Restaurant Holdings “ raise funds. Mannion Inc. is going big with investment Tanner Friedman Strategic Communications ...... 5 he said. for feedback. We’ve Diversified is the largest Buf- U.S. Bancorp ...... 1 in downtown Detroit. But in the falo Wild Wings franchisee of Visteon ...... 12 Diversified’s Bagger Dave’s Leg- FOOTHOLD meantime, The changed 1,000 Minneapolis-based Buffalo Wild Walter P. Chrysler Museum ...... 17 Palace can ap- endary Burgers Tavern and Buffalo Wings Inc. and is the franchisor of Warner Norcross & Judd ...... 10 New competitor pear startlingly Wild Wings restaurants are ex- things since the Bagger Dave’s in addition to Wayne State University ...... 13 on sports panding rapidly. The Southfield- opening company-owned stores, WXYT FM 97.1 ...... 5 scene, Page 24 empty. The beginning. team drew what based business is cranking out like the one in Detroit. Bagger Dave’s and BWW loca- ” the box score The rapid pace of construction Michael Ansley, said was 10,517 people at the 22,076- tions across the Midwest, includ- and building renovations hasn’t Department index ing one of each slated to open in Diversified Restaurant Holdings Inc. seat Palace for Wednesday’s 117-77 come without hiccups, particular- BANKRUPTCIES ...... 8 downtown Detroit. And it’s even ly on Detroit’s Odd Fellows Build- rout of the Phoenix Suns. BUSINESS DIARY ...... 19 Maybe half that number were in moving the company’s headquar- Dave’s in southeast Michigan. ing, on Randolph Street near the CALENDAR ...... 18 the stands, and the team doesn’t ters there. Tack on an additional dozen or so foot of Gratiot Avenue. disclose how many tickets were DRH operates 30 BWWs and 11 restaurants in the works and the “Of course, there were rumors CLASSIFIED ADS ...... 21 giveaways and pre-purchased sea- Bagger Dave’s in Michigan, Flori- headquarters relocation — it will that we found Jimmy Hoffa,” said JOB FRONT ...... 20 da, Illinois and Indiana — includ- be housed with the biggest wings KEITH CRAIN...... 6 See Pistons, Page 24 ing 15 BWWs and five Bagger joint in the region — and it makes See Restaurants, Page 21 LETTERS...... 6 MARY KRAMER ...... 7 Getting to work Make the most of the season OPINION ...... 6 THIS WEEK @ Find people on the move, Check out what the weekend holds with PEOPLE ...... 20 job postings and other “10 Things to Do in Detroit,” posted Thursday WWW.CRAINSDETROIT.COM career information at crainsdetroit.com/jobfront. mornings at crainsdetroit.com/tenthings. RUMBLINGS ...... 26 WEEK ON THE WEB ...... 26 20121203-NEWS--0004-NAT-CCI-CD_-- 11/30/2012 4:32 PM Page 1

Page 4 CRAIN’S DETROIT BUSINESS December 3, 2012 Celani, Vicari team up to co-own Freedom Hill; sponsors sought

BY CHAD HALCOM Celani, 56, owner of Farmington chairman of Sterling Heights- about $2 million in improve- CRAIN’S DETROIT BUSINESS Hills-based MotorCity Harley-David- based Roncelli Inc., as partner with ments, including new outdoor son and Bloomfield Hills-based Mo- Vicari of Warren-based Andiamo lighting in the amphitheater Tom Celani is expanding his torCity Power Sports, is now partner Restaurant Group. parking areas by contract with business portfolio to a new side of with Joseph Vicari in the newly He acquired Hillside by assum- Macomb Township-based Prime town and a new side of entertain- formed Luna Hillside LLC, which has ing and paying debts Hillside owes Time Electric Inc. and a new digital ment. He’s become a co-owner acquired Hillside Productions Inc., to Macomb County and Fifth Third reader board for the amphitheater with controlling interest in the the theater management company Bank, Vicari said. Exact terms marquee. management company for Freedom for Freedom Hill. were not disclosed. “In this industry, you need to be Hill Amphitheatre in Sterling Celani closed that deal in Septem- Celani, a former partner in De- able to appeal to everybody. So my Heights. ber and replaced Gary Roncelli, troit-based MotorCity Casino LLC approach to it is a little different in and a co-owner with automotive the past,” Celani said. “Detroit has COURTESY OF FREEDOM HILL AMPHITHEATRE dealer Dick Scott of Plymouth- Freedom Hill Amphitheatre in Sterling a huge country music market, and based Dick Scott Chrysler Dodge Jeep Heights can seat about 7,200 people a huge classic rock market, and a Ram and Fowlerville’s Dick Scott in the pavilion and on the lawn. The Motown and African-American Motor Mall, said he and Vicari are new owners plan improvements. music market. shopping a new title sponsorship “There’s an inventory of all those for the amphitheater to various acts to bid on that would be able to companies. fill a theater this size. But you’ve The outdoor theater on Metro- got to have them in balance.” politan Parkway, which seats Vicari also said he believes a re- about 7,200 in combined pavilion cent reduction in summer events and lawn seating, was previously at the DTE theater in Clarkston Jerome-Duncan Ford Theatre at Free- also provides a greater opportuni- dom Hill until that sponsor filed for ty to book various acts that can fill Need growth When businesses face the organic demands bankruptcy and its assets were ac- a slightly smaller outdoor venue. of growth, purchasing goods, or even to quired by Suburban Collection in The pair plans a news conference capital? make payroll, Crestmark’s service and 2006. Celani Vicari Tuesday to announce new details innovative working capital solutions can be The company retained sponsor- of the Freedom Hill summer sea- the answer. ship consultant The Fulkerson Group me as being a significant partner son, including possible new acts, of Bloomfield Hills and has made who understands the entertain- Celani said. Providing accounts receivable financing and inquiries with Living Essentials LLC, ment and eating business like he Vicari also describes Celani as asset-based lending to small- and mid-sized the Farmington Hills-based dis- does,” Celani said. holding a “controlling” stake in businesses nationwide for over 15 years. tributor of the popular 5-Hour En- “The timing was also right with the new company, but both men ergy shot drink, and local au- the economy coming back in said they’d play about an equal Contact us today! tomakers and Meijer Inc., among Michigan, and in some ways I role in management. others, Vicari and Roncelli said. think the demographics for a sum- “When we’re finished with ren- Scott Frederick Celani said a five-year deal mer season are much better than ovations, the aesthetics of the fa- www.crestmark.com Matt Dekutoski could be worth $1.5 million to (DTE Energy Music Theatre).” cility are going to be much the 888.999.8050 Anntreal Hemmingway-Smith $2 million and would offer the He hopes to finalize a sponsor- same,” Vicari said. “But I’m hop- sponsor in-theater vendor space or ship agreement after the first of ing the bigger changes would be a site for product sampling and the year and envisions a full 2013 the level of talent we’re bringing consumer data sampling among season of 30-40 concerts and other in.” amphitheater patrons. events between early June and late Chad Halcom: (313) 446-6796, “Joe and I have been friends for September. chalcom@crainlcom. Twitter: 30 years, and I think he looked to The company expects to make @chadhalcom The firm worth listening to is the firm that listens to you.SM Growing Faurecia’s stock to trade in U.S. BY DUSTIN WALSH Stephen Biggar, global director North American growth to au- SM CRAIN’S DETROIT BUSINESS of equity re- tomaker demand for more sophis- Talk to Foley. We’re listening. search for New ticated products, typically found French supplier Faurecia SA an- York-based Stan- on European models by Mercedes- nounced last week it would sell dard & Poor’s Benz, BMW and Audi. stock on the U.S. over-the-counter Capital IQ, said “We’ve always had expertise in For 170 years, Foley has made it our mission to market as it continues meteoric an ADR repre- the high-end cars in Germany,” find out exactly what our clients want and deliver growth in the North American sents a business Heneka said. “Now we’re doing the auto market. going after a same thing here in North America, it. So when our Detroit clients asked for local Faurecia, which operates as more robust in- bringing that expertise to this access to the strength of a national law firm, Foley Faurecia North America Inc. in vestment mar- market.” recruited the city’s top talent to establish our Detroit Auburn Hills, appointed Citibank ket to open up North America now accounts as the depository bank for its more capital. Heneka for 25 percent of Faurecia’s sales. office and provide trusted local advisors who could American Depository Receipt pro- “You want to list where capital Heneka predicts the North Ameri- leverage our national resources. It’s one more gram — which allows foreign enti- is plentiful,” he said. “If a compa- can market will eventually make ties to sell stock on a U.S. ex- ny is expanding in a region, there up one-third of the French suppli- reason Foley received a top five ranking nationally change. can be interest in whatever seg- er’s business. for delivering exceptional client service in a recent The ADR stock will be sold un- ment or sub-industry of the econo- Part of that growth comes from survey of Fortune 1000 corporate counsel. der the ticker FURCY for the same my, and they can look to tap into Faurecia’s $1.1 billion book of market price as Faurecia’s stock is that investor interest.” business acquisition from Ford’s sold on the NYSE Euronext Paris Faurecia has shown growth in Automotive Components Holdings LLC Learn more about how Foley can add value to your business. Contact exchange. It was trading at $15.67 North America over the past few plant in Saline. Detroit Office Managing Partner Daljit S. Doogal at [email protected]. Thursday afternoon. years. The supplier of seating, Faurecia leased a portion of the However, the ADR stock will be emissions controls, interior sys- 1.6 million-square-foot former Vis- Foley.com worth one-half of a regular share, tems and exteriors is projecting $7 teon Corp. plant. The factory will said Eric-Alain Michelis, vice billion in revenue by 2016. That’s supply cockpits, instrument and president of investor relations, more than 45 percent growth from door panels and center consoles to Faurecia, in an email. revenue of $4.8 billion in 2011 and 12 Ford programs, including the F- “The ADR is the fastest and easi- up 349 percent since 2009, when it 150 pickup, Expedition, Explorer, est way to get our stock in the U.S.; generated $1.56 billion in revenue. Focus, Mustang, Taurus and Lin- it’s about creating opportunity Faurecia CEO Yann Delabriere coln Navigator and MKS. #5*$MJFOU4FSWJDF"5FBN 5IF#5*$POTVMUJOH(SPVQ 8FMMFTMFZ .BTTBDIVTFUUT and helps us raise capital,” said told investors in London last The deal also resulted in a joint Faurecia North America CEO month that the supplier plans to venture — Detroit Manufacturing Mike Heneka. “Companies we add five more plants by 2016 — Systems LLC — between Faurecia #0450/t#3644&-4t$)*$"(0t%&530*5t+"$,40/7*--&t-04"/(&-&4 ."%*40/t.*".*t.*-8"6,&&t/&8:03,t03-"/%0t4"$3".&/50 compete with (Johnson Controls Inc., three in the U.S. to support General and the Wayne-based Rush Group, 4"/%*&(0t4"/%*&(0%&-."3t4"/'3"/$*4$0t4)"/()"*t4*-*$0/7"--&: Magna International Inc., etc.) are on Motors Co. and Ford Motor Co., and owned by Andra Rush. 5"--")"44&&t5".1"t50,:0t8"4)*/(50/ %$ the exchange here, so we thought two in Mexico to support Nissan Dustin Walsh: (313) 446-6042, ª'PMFZ-BSEOFS--1t"UUPSOFZ"EWFSUJTFNFOUt1SJPSSFTVMUTEPOPUHVBSBOUFFBTJNJMBSPVUDPNF we should compete with them here Motor Co. and GM. [email protected]. Twitter: /$MBSL4USFFU 4VJUF $IJDBHP *-tt in the U.S.” Heneka attributes Faurecia’s @dustinpwalsh 20121203-NEWS--0005-NAT-CCI-CD_-- 11/30/2012 4:33 PM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 5 Morning radio abuzz over where Dave and Chuck might rise again

BY BILL SHEA second at 1.5, according to data from Arbitron. CRAIN’S DETROIT BUSINESS Advertising rates are largely linked to station ratings. 89X was thought to be charging Detroit’s morning radio landscape is $250 for a 60-second advertising spot during braced for another shake-up: where the “Dave and Chuck the Freak.” Other stations “Dave and Chuck the Freak” show and its in the market charge much less. lucrative ratings end up. The personality-drive show’s audience is The sudden departure last month of the expected to follow its hosts to another sta- show’s hosts from the Windsor-based alter- tion, likely one needing a ratings and rev- native-rock station “89X” — the on-air enue boost, radio industry watchers predict. branding for CIMX 88.7 FM — with what’s “They’re no different than Purtan and thought to be more than two years left on Harper. They just haven’t been around as their contract is the latest major local morn- long,” said Dick Kernen, vice president of in- ing radio change since Dick Purtan retired dustry relations at the Southfield-based in March 2010 from WOMC FM 104.3 and Jim Specs Howard School of Media Arts and a 50- Harper retired from WMGC 105.1 FM in De- year veteran of the radio industry. cember 2011. Some speculation has said that the show No one in Detroit radio seems to know will end up in Detroit, perhaps even as a syn- where “Dave and Chuck the Freak” will end dicated show for one of the mega-broadcast- up, or isn’t talking publicly about it. But ra- ers, but other scuttlebutt has them headed to dio insiders are speculating heavily that the a larger Canadian market. hosts will remain in this market. They’re expected to remain a morning 89X’s management publicly acknowledged show, although their risqué humor could be that another station offered the hosts a bet- toned down. ter deal than its owner, Toronto-based Bell “Morning drive remains the holy grail of Media Radio, was willing to match. radio. It’s where the big money is made, sta- “We’re sad to lose them, but we wish them tion brand and tone are set and, every pro- well. It’s business. We’ll grow something new grammer hopes, is what will induce listen- again,” said Eric Proksch, vice president and ers to stick with the station throughout the general manager for Bell Media Radio, which day,” Tanner said. has a sales office in Bingham Farms. Radio station owners do demographic, Other than to say the hosts didn’t disclose market and ratings research when thinking to him what station they were going to, about luring a show from another company, Proksch declined to discuss any details. said Fred Jacobs, president of Southfield- “Dave and Chuck the Freak” went on the based Jacobs Media Inc., which does market- air in April 2001 and consistently has been ing and consulting for radio stations. first or second in its targeted demographic: It’s not unlike political polling data re- When it’s heart valve surgery... men 18-34. search, he said, and the trend for a long time The show’s talent — Dave Hunter, Charles has veered away from shows jumping Urquhart and Lisa Way — is believed to around. Those that do, do so because a why go anywhere else? have a six-month noncompete contract deeply loyal audience will follow them, and clause that will keep it off the local airwaves a new station is willing to pay for the estab- until April or May. lished product. “If they do land in Detroit, they will be a Typically, the shows move within the force to be reckoned with, as their audience same market because of the difficulty in At most hospitals, heart valve surgery is still a major will very likely move with them despite the peeling away listeners in a new city from operation. format,” because they don’t play music in their current preferred show. the morning, said Don Tanner, a partner in “Personality shows are very much like re- At Beaumont, it’s a minimally invasive procedure. Farmington Hills-based Tanner Friedman lationships,” Jacobs said. “You get into that Strategic Communications and author of a groove in which you’re used to waking up to book about the radio and music industries, a show.” Beaumont doctors were ﬁrst in the country to replace No Static At All. 89X’s 100,000-watt signal covers Windsor, an aortic valve with a tiny catheter, and one of the few in The market leader for the past three metro Detroit and Toledo and can be picked Michigan to repair mitral valves with the same approach. months in the male 18-34 demographic has up in northeast Ohio. That means almost no incision at all. been WXYT FM 97.1, which is branded as Afternoon host Cal Cagno is doing the “The Ticket” and is the sports-talk station morning show until a replacement is named. that carries all game broadcasts of Detroit’s Bell Media Radio owns 35 Canadian sta- And today, Beaumont doctors are teaching the minimally pro sports teams. tions and is a unit of the Montreal-based invasive procedures we use to others. So that someday, The station’s morning drive-time pro- telecom giant Bell Canada — a significant they’ll be available everywhere. gram is “Stoney and Bill,” hosted by Mike piece of BCE Inc., which generated more than Stone, Bill McAllister and Sara Fouracre. $19 billion Canadian in revenue last year. The Ticket’s 6-10 a.m. rating for Septem- Bill Shea: (313) 446-1626, [email protected]. The world’s most advanced technology and most ber through November was 1.6, and 89X was Twitter: @bill_shea19 experienced cardiologists and surgeons are right here. So when you’re choosing a heart hospital...why in Program to train doctors for places that need more the world would you go anywhere else?

At least 85 physicians will be trained at “We hope to get approval for pediatrics, five health centers, clinics and hospitals geriatrics and obstetrics in January or Febru- over the next four years under a new pro- ary. If not, we will start those programs” in gram to expand primary care in under- July 2014. The school already sponsors more served areas. The program has been devel- than 2,000 residents in hospitals across Michi- oped by the Detroit Wayne County Health gan, including the Detroit Medical Center. Call 800-633-7377 or visit beaumont.edu Authority and Michigan State University College Chris Allen, CEO of the health authority, of Osteopathic Medicine. said many of the physicians will end up The program was made possible through a practicing in Detroit, helping community $21 million, three-year grant funded by the medicine for years to come. U.S. Health Resources and Services Administra- The participating federally qualified George Hanzel, M.D., is director of the Cardiac Catheterization tion. The Patient Protection and Affordable health centers are Covenant Community Health Lab and Structural Heart Disease Program at Beaumont Care Act also will provide funding for the Center, Detroit Community Health Connections, Hospital, Royal Oak. At the Beaumont Valve Center, he and his physicians. The Wellness Plan, Western Wayne Family colleagues are performing innovative, leading edge procedures, “We have approval for three residency Health Center and Family Medical Centers in slots in family medicine, psychiatry and in- Monroe. such as replacing aortic and mitral valves, and repairing mitral ternal medicine for July 2013,” said William Other training sites will include the DMC, valves using small catheters Strampel, D.O., dean of MSU’s osteopathic Botsford Hospital and Garden City Hospital. medical school. — Jay Greene 20121203-NEWS--0006-NAT-CCI-CD_-- 11/30/2012 4:34 PM Page 1

Page 6 CRAIN’S DETROIT BUSINESS December 3, 2012 OPINION TALK ON THE WEB From www.crainsdetroit.com meanings, and this may be one. Re: Yacht club sets sail to preserve, Reader responses to stories and William J maintain building blogs that appeared on Crain’s Detroit has chance website. Comments may be Good news because the founda- edited for length and clarity. tion will help the Detroit Yacht Re: Restaurateurs target West Village Club preserve its identity by help- reason for me to leave the party. ing to restore a historic building. Downtown Detroit, Midtown, Scooper What I’d like to know is if any- West Village, Corktown, Southwest to grow new ideas Detroit, they all have neighbor- thing is ever going to happen to the I am a Republican. I urge mem- hoods with the potential to rival old Detroit Boat Club building on bers of the Senate and House to his is a tale of two cities. Chicago’s Lincoln Park. It is good Belle Isle just down from the club. stop worrying about whether abor- One is among the nation’s poorest, with thousands to see these quality restaurateurs bill t cat tions are covered by insurance. adding locations beyond the sub- T of vacant lots and blighted houses. A major investor and If you are worried about the urbs to Detroit. This will have a a successful nonprofit both see value in using vacant land to health care costs, stop paying for Re: State Senate OKs bill to create greater impact than plopping a subur- heart surgery for people who create opportunities in urban farming projects. But critics regional transit authority ban mall or strip center into the city. overeat and don’t exercise, and have mired their separate proposals in endless hearings with- Michael Layne A step in the right direction and an stop paying for cancer treatment out any resolution. opportunity for a creative, more for people who choose to use tobac- The other is one of the nation’s richest, but it has a section flexible transit solution. co. Big money to be saved there. Re: Lions football: It’s serious biz filled with poverty and blight. With support of business and David Haraminac If you are trying to force morali- Their brand suffers when the nonprofit groups, the city clarified the opportunities for com- ty, ask your sons and daughters or product they display is not worthy Why does this metro area get a munity gardens and actual farms, whether they be nonprofit teenage grandchildren if they are of the fans. A team that is poorly bus system when every other city coached, frequently penalized and or for-profit. A specific project targets a three-mile swath on sexually active. Chances are good worthy of the name develops light that they are. Oh, and if you are lacking in effort makes Lewand’s the city’s south side, covering 11,000 vacant lots and 800 acres. rail? People hate buses and see them having sexual relations with some- job to grow the business much As you might guess, Detroit is the city with farming plans as the last option for transportation. one besides your spouse, make sure more difficult. in neutral. Chicago is the city that has quickly seized the op- They are slow, dirty, unpunctual, that their insurance is paid up. Detroit Dunc subject to breakdown, bad for the W. Dave portunity to revitalize neighborhoods and create new jobs environment, all-around unpleas- But they aren’t serious about win- with sound urban planning behind zoning changes. ant, and, yes, down-market. This Thanks for term limits; we need ning, and I don’t see this being As Chad Halcom reports on Page 1, Detroit City Council mem- sounds like a system prescribed by new blood. “football first.” The Lions aren’t bers have a chance to finally take action to move farming initia- people who hate rapid transit as a Charles Mott making much of an effort toward tives off the drawing boards and into reality. Two actions are re- Marxist means of socializing trans- investing in strategy to win on and portation, or as a waste of money. off the field, and they seem to not quired. First, the council should approve land sales to the Hantz “They want transit? Give ’em a Re: Nonprofits fear the ‘fiscal cliff’ have any idea what the solutions Farms group. Second, the city needs to finalize an ordinance to bus.” No. Please don’t. The proposed capping of deduc- are to their core deficiencies in permit broader use of vacant land to accommodate both the for- James38 tions by the feds will end the life of overall strategy. This results for a profit Hantz group and nonprofits like the Recovery Project. many nonprofits. Depending on the weak win/loss record and also a It’s time for Detroit to be known for something other than be- Re: Q&A with Andra Rush: Tax hikes, cap, it will likely be filled by many tremendous missed opportunity taxpayers with mortgage interest, for millions of dollars of unreal- ing the impoverished city that stubbornly says “no” to new ideas. fiscal cliff, effects on her companies taxes on residence, etc., and no cap ized profit. It’s a lose-lose-lose dy- Finally some sanity from one of money will be available to label as namic for the fans and the busi- the 1-percenters. Congress needs gifts. Charity will largely stop when it ness and the community. Don’t contaminate research to do the right thing and bring in an is not deductible. Elections have The Strategy Expert era of compromise. Tell Mitch Mc- Research spending at the University of Michigan tops $1.3 Connell and his like to do what billion. they were elected to do — work for But the university’s reputation as a research juggernaut the American people and not their has been tainted by its institutional affiliation with what’s own political self interests. LETTERS The Truth been described as “the most lucrative insider-trading scheme” ever charged by federal watchdogs. I agree with Andra that we need Just before Thanksgiving, the Securities and Exchange Com- to work together, both parties. In ad- Granholm is no joke mission and Justice Department separately alleged that a former dition, we need an energy policy similar to what Gov. Snyder is hedge fund manager had obtained and traded on inside informa- Editor: realignment. proposing. We also need to reduce tion about drug trial results for treating Alzheimer’s disease. It was sad for me to read Mary The pettiness of Kramer toward the size of our current government. Kramer’s cheap shots at Jennifer Granholm is not good for those of The source of the info was a UM neurologist, Sidney Car Nut Granholm here in the D.C. region us who champion the state of Gilman. Gilman, 80, retired last week. He had been a paid con- (“Granholm post-Lansing: Now Michigan here in the nation’s capi- sultant to a networking firm that connected him to the ex- Re: House panel nixes health exchange we’re blown away,” Nov. 12). Jen- tal. Envy is never a good posture to hedge fund manager, the SEC said. So those who oppose the federal nifer Granholm is well respected take, especially when it is so obvi- Now, the issue will be how UM and other research institu- government being involved in and is rumored to be on a number ous. health care have now handed con- of short lists for positions in the Greg Thrasher tions use this case to review their own policies and practices. president’s second-term Cabinet National Harbor, Md. The temptations of consulting contracts on top of already trol of the health care insurance exchange for Michigan residents ex- Send your letters: Crain’s Detroit Business will consider for publication all handsome teaching and research awards may entice re- clusively to the federal government. searchers to compromise their integrity — and the integrity of signed letters to the editor that do not defame individuals or organizations. Thanks for taking any control out of Letters may be edited for length and clarity. Email [email protected] the state’s leading research university. the hands of Michiganians. Another KEITH CRAIN: An early vote: Snyder for president Since the presidential election Jeb Bush, because he pirations, would be a gan a better place to live and nomic development because it’s a has been over almost a month, it had made a speech re- great name to throw in work. chance to showcase the results seems only natural that the con- cently and didn’t vigor- the ring. I find his entire manner refresh- our state has had over the last few versation would be about who the ously deny any ambi- If for no other reason ing and effective. He simply goes to months because of Snyder’s fine Republican and Democratic presi- tion for presidency, was than because he is a work and gets the job done with lit- work. If you want to attract busi- dential candidates will be in 2016. the GOP’s front-runner. pretty modest guy, tle or no fanfare. It is a great ness to our state, you need to During the last presidential I haven’t heard a lot Rick Snyder doesn’t change of pace from the normal po- point to Michigan’s positive campaign, I heard a lot of talking of comments about De- get a lot of credit for litical posturing. progress. heads touting this governor and mocratic candidates, ex- the job he has done in a I don’t think Snyder has an- I don’t know and don’t want to that governor for their comments cept that Secretary of remarkably short time nounced his intentions for a sec- speculate whether Snyder would and opinions. State Hillary Clinton in getting Michigan’s ond term, but I am rooting for him ever even consider running for Now those same talking heads might get the nod. house in order. He’s a to stick around. president. My guess is that he isn’t are starting, believe it or not, to I think we all should quiet, nonconfronta- And I think it is just as impor- interested. put forward opinions on potential start talking up our own governor tional executive who seems to tant for the rest of us to talk up But I think it’s time we all gave candidates in 2016. I even heard as someone who, while he doesn’t have absolutely no personal am- our governor. For one thing, such him a big pat on the back for a job someone seriously suggest that seem to have any presidential as- bitions other than to make Michi- talk is a great sales tool for eco- well-done.

SLttP XX 20121203-NEWS--0007-NAT-CCI-CD_-- 11/30/2012 4:35 PM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 7 MARY KRAMER: Senator’s Detroit bus ride drives transit bills

For years, some have suggested transfers and late buses. ate are awaiting action one described as “hand-to-hand The process also opened his eyes that if elected officials were ever “The big thing that in the House Trans- combat.” House passage isn’t as- to Detroit. “I’ve been to Detroit forced to ride public buses in came out (from transit portation Committee. sured; rumors abounded that many times,” he told lawmakers Southeast Michigan, the region’s riders) was they basi- Casperson told that House Democrats would hold last week. “I’ve gone to baseball transit problems would miracu- cally said: ‘Please help group last week: hostage bills favored by Gov. Sny- games, but had not spent time in lously be resolved. us.’ Nobody should “Something is desper- der for assurance that no right-to- the inner part of Detroit. I found a A Republican state senator from have to sit out there ately wrong with how work bills would be in play during very beautiful city sitting there, the Upper Peninsula town of Es- that long,” Casperson it’s working. Coming the lame-duck session. that I think we would be wise to canaba not only volunteered to do said of one of his frus- from the Upper Penin- “I hope and pray they don’t,” make sure that we spread the news that, he helped get regional transit trating, 45-minute sula, who would think I Casperson said. “This has been so that we do have a jewel in Detroit.” halfway to its goal. waits for a bus. would be involved in a hard. I can’t imagine having to go State Sen. Tom Casperson, who Casperson, recruited Detroit issue? But I got back at it again. All I am asking is Mary Kramer is publisher of chairs the Senate’s transportation to the cause by Senate to tell you, I did learn a that we give them (the Detroit re- Crain's Detroit Business. Catch her committee, spent about eight hours Democrats Bert John- lot spending the day gion) a chance.” take on business news at 6:10 a.m. one day riding buses operated by son of Detroit and Rebekah Warren down in Detroit.” Transit has been this region’s Mondays on the Paul W. Smith show the city of Detroit and by the subur- of Washtenaw County, became a Business leaders helped Casper- holy grail for decades; if the legisla- on WJR AM 760 and in her blog at ban SMART system. He quickly transit champion. The bills he suc- son’s cause by lobbying lawmak- tion passes, Casperson should get a www.crainsdetroit.com/kramer. learned it is not easy to get from cessfully steered through the Sen- ers with phone calls in a process lifetime transit pass for his role. E-mail her at [email protected]. Point A to Point B, especially with

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M&A Awards Crain’s Detroit Business and the Detroit chapter of the Association for Corporate Growth will honor companies and individuals in the following categories: Ⅲ Best Deal of the Year: More than $100 million and $100 million or more. Deals must have closed in 2012. Ⅲ Dealmaker of the Year/buyer- seller Ⅲ Dealmaker of the Year/adviser: M&A experts, lenders, CPAs, consultants and attorneys, among others, are eligible. Ⅲ Lifetime achievement: Senior- level executive who has been involved in significant transactions and made a significant impact on the community. Does not have to be retired. Applications are at crainsdetroit.com/nominate.The YOUR BUSINESS ISN’T JUST A JOB — IT’S A PASSION. You get to know your deadline is Jan. 21. Winners will be profiled in the customers, treat them fairly, and build relationships. Don’t you deserve that same kind March 25 issue of Crain’s and honored at an event May 1. of treatment from your bank? With Citizens Bank, you’ll get the right solutions and For questions concerning the products from people with the experience to know what’s right. After all, we’ve been nomination process, contact Executive Editor Cindy Goodaker at around over 140 years, helping businesses just like yours grow. So if you want a bank [email protected] or (313) that shares your passion, call us. BECAUSE WITH US, IT’S PERSONAL. 446-0460. For help in using the nomination form, contact Marketing Coordinator Kacey Anderson at [email protected] $)&$,*/( 4"7*/(4 r -0"/4 -*/&4 0' $3&%*5 r .&3$)"/5 4&37*$&4 or (313) 446-6786. 53&"463: ."/"(&.&/5 r 41&$*"-5: '*/"/$*/( r 8&"-5) ."/"(&.&/5 The Detroit chapter of ACG is part of a global association of professionals involved in corporate growth, development and mergers 1-800-946-2264 and acquisitions. The local chapter formed in 1984. For more CITIZENSBANKING.COM/BUSINESS information, see chapters.acg.org/detroit. 20121203-NEWS--0008-NAT-CCI-CD_-- 11/30/2012 5:31 PM Page 1

Page 8 CRAIN’S DETROIT BUSINESS December 3, 2012 State-federal insurance exchange lessens flexibility, experts say

BY JAY GREENE experts told Crain’s. parison-shop among private in- ing out any portion of the Patient Licensing and Regulatory Affairs. CRAIN’S DETROIT BUSINESS In a 9-5 vote Thursday, the Michi- surance plans through a website. Protection and Affordable Care “OFIR will determine whether the gan House Health Policy Committee The federal government will subsi- Act. health plans are qualified and eli- A federal-state health insurance rejected Senate Bill 693, which dize premiums for people based on “We don’t have as much flexibil- gible to participate in the ex- exchange for Michigan is expected would have created a state-run ex- income. ity, but the core benefit of the part- change. It is an important way to to be up and running in October change and used $9.8 million in fed- Gov. Rick Snyder and House nership model allows the state Of- keep control over our health insur- 2013, but the state’s health plans, eral funding to develop it. Speaker Jase Bolger, R-Marshall, fice of Financial and Insurance ance market.” employers and individuals will find An insurance exchange will al- had supported the bill, but conserv- Regulation to do health plan man- Marianne Udow-Phillips, direc- less flexibility than if the state had low individuals and employers ative Republicans on the Health agement,” said Steve Hilfinger, di- tor of the Center for Healthcare Re- approved its own exchange, several with 100 or fewer workers to com- Policy Committee balked at carry- rector of the Michigan Department of search and Transformation in Ann Ar- bor, said Michigan also will lose out on the ability to select local vendors to develop the information technology systems for the exchange. “That is unfortunate. (U.S.) Health and Human Services (Depart- ment) will hire Medicare contractors they have historically used in a generic-type approach,” Udow- Phillips said. “The state could have customized that to local needs.” Hilfinger said the federal government also will set fees that health plans and insurers must contribute to participate on the exchange and fund operations. “Michigan would have controlled those fees through a nonprofit board, as the governor wished,” Hilfinger said. “The nonprofit would have provided better market-based decision making and a leaner cost structure.” Hilfinger said it is also unclear whether the federal government will help fund state costs in 2015 under the partnership model for health plan management and consumer assistance. He said Michigan still could approve a state-run exchange some- time next year to be carried out in January 2015. “The governor is amenable to that because the state would have better control,” Hilfinger said, adding that he expects the federal government to certify Michigan’s approach with the feds early next year. Attorney General Bill Schuette has been a vocal opponent of a state-run insurance exchange. “I have always had grave concerns about establishing a health care exchange. This is an extreme- ly complex issue,” Schuette said in a statement. “In my discussions with other attorneys general and legal experts, we agree that many unanswered questions still remain, especially with regard to future costs to Michigan taxpayers and the practical and legal impact of looming federal mandates.” Jay Greene: (313) 446-0325, [email protected]. Twitter: @jaybgreene Chris Gautz contributed to this story.

Yes, you can claim 55.5 cents per mile but Uncle Sam is going BANKRUPTCIES The following businesses filed for to need more documentation than this naughty and nice list. Chapter 7 or 11 protection in U.S. Bankruptcy Court in Detroit Nov. 23- 29. Under Chapter 11, a company files for reorganization. Chapter 7 involves total liquidation. Gene’s Bar-B-Que LLC, 18519 School- (ELPINGBUSINESSOWNERSANDBUSINESSESOFALLSHAPESANDSIZESIMPROVEPROlTABILITY craft, Detroit, voluntary Chapter 11. REDUCETAXES PROTECTWEALTH ANDSTAYJOLLYALLYEARLONG Assets and liabilities not available. Stevens Design Services LLC, 19585 Pollyanna Drive, Livonia, voluntary (APPYHOLIDAYSFROMYOURFRIENDSAT5(9,,0 Chapter 7. Assets and liabilities not available. C&R Pizza Inc., 34896 Garfield Road, Fraser, voluntary Chapter 7. Assets FARMINGTON HILLS 248 355 1040sSTERLING HEIGHTS 586 254 1040sUHYLLP USCOM and liabilities not available. — Ryan Felton 20121203-NEWS--0009-NAT-CCI-CD_-- 11/30/2012 10:03 AM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 9

A CONVERSATION WITH

Michael Page, Pricewaterhouse- Coopers LLP Tax Law Tax to climb, ‘cliff’ or not Whether or not the federal government comes to an agreement Edged toward action to avoid hitting a “fiscal cliff,” it’s likely that the capital gains tax rate will go up. Either the White House and Congress fail to cut a deal and the ‘Cliff’ threat pushes decisions on estates, capital gains rate goes up Jan. 1 as scheduled, or they reach a deal in which a capital BY DUSTIN WALSH aging Americans decide whether to trans- said. “Valuations are down in the market gains rate increase will be part of the CRAIN’S DETROIT BUSINESS fer assets to children or family members. because of the recession, and gifting assets compromise. The current estate tax allows for wealth before they appreciate is a good idea. So if Michael Page, a partner at s the federal budget — and with it the of up to $5.12 million per person to be you can do it, you want to do it now.” PricewaterhouseCoopers LLP in country — edges closer to the “fiscal transferred tax-free. Carol Wright, a tax principal at Detroit, shared thoughts on the A cliff,” businesses in Southeast Michi- The tax is at the center of the Bush-era Rehmann’s Troy office, said her firm’s val- capital gains tax scenario with Crain’s gan wait for a resolution while their tax cuts, whose future is being de- uation department is the busiest it has just before Thanksgiving. lawyers and advisers work practi- bated in Congress. Republicans been all year in preparing for stock gifts. cally around the clock until the fi- PAYING want to repeal the estate tax, as Con- Other options include transferring es- Will the capital gains tax go up? nal minutes before Jan. 1. DIVIDENDS gress did in 2010. President Barack tate wealth into an irrevocable trust or Some way or another, rates are going At stake for business owners and Obama wants the tax’s threshold transferring assets into a family limited- to go up. And capital gains, deal makers are millions of dollars in Tax outlook lowered to 35 percent on estates val- liability corporation. especially on the top income tax payments as they face potential brings ued at more than $3.5 million. “The bottom line is clients need to meet earners, are going to go up. If you’re increases in estate and windfall, If both sides fail to find a solution, with their advisers as soon as possible,” at a 15 percent capital gains tax rate capital gains taxes. Page 10 the estate tax could default to its said William Sider, a partner and CEO at right now, fully phased in with the “Estate planning is previous levels — expanding from Southfield-based Jaffe Raitt Heuer & Weiss (3.8 percent) Medicare tax (on more motivated now be- 35 percent on estates valued at more than PC. “There are a lot of different strategies, passive income, set to begin Jan. 1 cause of the cliff,” said $5.12 million to 41 percent to 55 percent on so it’s not a situation that lends itself to under the Patient Protection and Michael Cumming, a part- estates val- action without a serious, robust discus- Affordable Care Act) and the ner at Dykema Gossett PLLC ued at more sion of all the various issues on the table.” phaseout of itemized deductions in Bloomfield Hills and than $1 mil- that’s due for repeal next year (for leader of its tax practice lion. The ex- See Cliff, Page 10 high-income earners), you’re looking group. “A lot of clients put it panded rates at a 25 percent rate. off, and now suddenly their would affect Cumming Will this have any effects specific personal planning is more 55,200 estates to Michigan? As a Michigan important than their business planning.” expected to resident, you’re going to pay tax on Cumming said he will be available change hands your portfolio income — generally through the New Year’s Eve celebrations next year, ac- about a 4 percent tax — and that to ensure his clients’ needs are met. cording to Congress’ Joint Committee on doesn’t really change under either “I’ll be here at my desk until the ball Taxation. scenario. drops,” he said. “There are a lot of poten- Many owners of family business- To me, if I’m looking at this year tial changes that could occur, and bottom es are transferring nonvoting selling an asset or next year selling line is our clients are waiting to see what shares of their company to children be- an asset, general sound advice says happens, so it could happen fast.” fore the end of the year, said Craig to never pre-pay a tax. What’s to say Among the biggest of those changes is Mathiesen, a principal and director of the capital gains rates in the future the estate tax. It could see a large increase estate and trust administration at when I go to sell won’t be lower? We if Congress and the White House don’t Rehmann LLC in Farmington Hills. saw this in the early 2000s (after the agree on a budget compromise that com- “Gifting shares allows the parents Taxpayer Relief Act of 1997). bines spending cuts and revenue increases. to maintain control of the compa- Taxpayers were given the option to Wealth totaling millions of dollars is ny, and they are gifting (the stock) elect to trigger capital gains. Well, changing hands ahead of the deadline, as before it appreciates,” Mathiesen then the Bush tax cuts came through,

and that rate went lower than the ARTVILLE special rate, so you paid tax for nothing. If I had an asset I knew I wanted to sell, I’d sell it this year, but that’s about as far as you can really go. I don’t see tax rates going lower, let’s put it that way. Is there anything you recommend to mitigate the effects of a higher rate? Harvesting capital losses is always a good strategy. If I have capital losses this year, I may want to let those roll over because they’re worth more to me next year. Knowing as a business leader that the government is going to deal with It’s not a situation the deficit, is that comforting? If “ you’re investing because you have to that lends itself to action meet growing demand, you’re probably going to invest anyway. But if without a serious, it’s another factor in weighing the cost of an expansion or an investment, I robust discussion of all think that it does have a role. I definitely think that clarity over the tax the various issues on the policy will have a positive impact on the economy. table. — Gary Anglebrandt, ” special to Crain’s Detroit Business William Sider, Jaffe Raitt Heuer & Weiss PC 20121203-NEWS--0010-NAT-CCI-CD_-- 11/30/2012 10:04 AM Page 1

Page 10 CRAIN’S DETROIT BUSINESS December 3, 2012 Focus: Tax Law Likely tax changes drive special year-end dividends

BY DUSTIN WALSH dends is 15 percent. But the Bush- creases — including taxes. back 25 cents a share, or $2.11 mil- CRAIN’S DETROIT BUSINESS era slash of the tax is set to expire Under Obama’s proposal, the top lion. at the end of the year, as Congress rate would increase to 39.6 percent It’s not solely Nancy Vella, director of Deloitte Grosse Pointe Farms-based Saga debates the so-called fiscal cliff. for high-income earners — defined “ Tax LLP in Detroit, said the payouts Communications Inc. paid out a spe- If a new agreement is not as $200,000 a year for an individual motivated by public companies to beat a tax cial dividend of $1.65 per share reached, dividends will be taxed at and $250,000 for a married couple. increase represent a shift in typi- today to its stockholders. Like the same rate as wages — current- “More companies are consider- by tax cal year-end spending. boards of directors across the ly 35 percent but scheduled to rise ing increasing the dividend in re- Traditionally, a lot of companies country, Saga’s is paying out spe- to 39.6 percent unless Congress sponse to the likelihood that the tax policy, announced divi- cial dividends partly because of and President Barack Obama’s ad- rate will go higher in 2013,” said dends in the the potential spike in the dividend ministration can stave off the fis- David Sowerby, portfolio manager but it’s a fourth quarter tax rate at year’s end. cal cliff through a combination of in the Bloomfield Hills office of but pushed off Currently, the top rate on divi- spending cuts and revenue in- Loomis Sayles & Co. LP. “It’s not sole- definite paying them un- ly motivated by tax policy, but it’s a til the next year, definite topic in the boardroom, be- topic in she said. cause we know companies are sit- the boardroom. “This year is ting on a lot of cash, and investors ” reversed,” Vella Let Olympia Entertainment are asking — rightfully so — how said. “Typical David Sowerby, they are going to use that cash.” planning is to ac- Loomis Sayles & Co. LP Vella add the Sparkle to your Season Saga (NYSE Amex: SGA) had celerate deduc- $18.6 million in cash on hand at the crease next year.” tions and push off income, but now Unforgettable Holiday Celebration Ideas to Fit Every Size and Style end of its third quarter Sept. 30. Saga’s largest shareholders in- companies are looking to accelerate For a list of ideas visit: OlympiaEntertainment.com/HolidayParties With the special dividend, the clude investment firms Towerview income and pay tax on it now and company returned $7 million to LLC, with 975,349, or 26.7 percent of push expenses off until next year.” shareholders. all shares; T. Rowe Price Associates Sowerby said dividends are CFO Sam Bush said the radio Inc., 589,435 shares, or 16.14 per- growing faster than profits, lead- broadcasting company decided to cent; and Fidelity Management and ing shareholders to want divi- pay a special dividend to take ad- Research Co., 375,077 shares, or dends as opposed to other pay- vantage of the lower dividend tax 10.27 percent. backs, such as a stock repurchase. rate and reward longtime share- Last week, the board of Detrex Nationally, dividends are growing holders. Corp. (PINK: DTRX) approved a 15 percent to 17 percent a year, “The dividend tax was certainly special dividend of $1 a share, to be while profits grow 4 percent to 5 one of the factors; we’re also in a paid out Dec. 17 to those who hold percent, he said. position where the cash was there shares as of Dec. 7. The move by “As a shareholder, I’d prefer a and we haven’t made any acquisi- the Southfield-based chemical dividend,” he said. “If a company tions lately,” Bush said. company will pay out $1.68 million is looking to do capital spending “We have a lot of valued share- to shareholders. and the result is a dividend, I know Creating Championship Level Events holders who have owned our Detrex CEO Thomas Mark did they are conscious of getting me a Call For Details: 313-471-3333 shares for a number of years, so if not return calls on the matter. good return on investment.” we can reward them for that loyal- Plymouth-based sensor maker ty with a one-off special dividend, Perceptron Inc. (NASDAQ: PRCP) Dustin Walsh: (313) 446-6042, it makes sense — especially when also announced a special dividend [email protected]. Twitter: you look at that potential tax in- in September, giving stockholders @dustinpwalsh

Cliff: Driving choices ■ From Page 9 The threat of a tax increase is plan to sell this year,” Kennedy expediting merger and acquisi- said. “But potential buyers are tion activity before the calendar aware of the expected tax increas- starts over, said Cliff Roesler, es and have probably made offers managing director of Birming- that reflect discounts for the lower ham-based Angle Advisors- 2012 taxes to be paid by sellers.” Investment Banking LLC. Steve Schwartz, senior partner “I have never seen the deal in- at the Southfield-based law firm dustry as busy as it is right this Sommers Schwartz PC, also said minute,” Roesler said. “The expec- business owners considering the tation of tax changes is absolutely tax increase as a reason to sell driving activity, and I suspect should take pause. there are going to be a lot of deals “A lot of people are calling to see closing on Dec. 30.” if there is a benefit, but here in the A likely cause of M&A activity is Detroit area the companies that the capital gains tax rate. The Oba- survived the recession are more Every lawyer must pass the bar. ma administration is pushing for valuable,” Schwartz said. “So the the capital gains tax — a tax on the question is … whether they really sale of noninventory assets such Ours go on to raise it. want to sell now or wait two to five as stocks and companies — to increase to 20 percent in 2013 from 15 years, with the (possibility) that percent this year. the purchase price will be Wayne Law offers students a strong and comprehensive legal For example, if a business own- greater.” Dykema Gossett’s Cumming education. Our student-focused faculty members are dedicated er sells for $2 million this year, the tax bill is roughly $300,000. If the said that regardless of the motiva- to providing you with the skills you need to resolve complex capital gains tax increases to 20 tions, aging business owners are legal issues with creative solutions. It’s no wonder our alumni percent, that same transaction making moves that maybe should would end with a $400,000 tax bill. have been done in the past. AIM HIGHER go on to make signiﬁcant contributions in their communities Jay Kennedy, a tax partner at “People bring different values and beyond. Join our prestigious community of top attorneys, Warner Norcross & Judd LLP in and assets to the occasion, but ac- Southfield, said the potential in- tion is motivated now,” he said. judges and leaders. Visit law.wayne.edu or contact our crease in the capital gains tax has “Whether it’s estate planning or a Admissions Ofﬁce at (313) 577-3937. been a motivator to making deals, business move, people are finally but there still must be underlying weighing what’s important at this reasons to sell. time in their lives.” “The lower 2012 tax rates may Dustin Walsh: (313) 446-6042, Learn more at law.wayne.edu or us on Facebook at facebook.com/WayneStateLawSchool have motivated an older business [email protected]. Twitter: owner with no clear succession @dustinpwalsh 20121203-NEWS--0011-NAT-CCI-CD_-- 11/30/2012 10:05 AM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 11

REPORTER’S NOTEBOOK

Dustin Walsh writes about auto suppliers, the steel industry and the business of law. Call (313) 446-6042 or write [email protected] Suppliers and next-generation vehicles Dustin Walsh Eaton charged for super growth Fuel efficiency remains on the forefront of technology innovation in the automotive industry. Every engineer in the industry is trying to push vehicles farther on less fuel — whether through weight reduction, alternative propulsion or other methods. Cleveland-based Eaton Corp., which operates an innovation center in Southfield and proving grounds in Marshall, is taking its high-octane sports car superchargers to the mass- produced car market. Eaton (NYSE: ETN) expects to double supercharger sales by 2016. The maker of engine valves, gears, powertrain controls and superchargers reported net income of $1.4 billion last year on revenue of $16 billion. Grant Terry, manager of business development for Eaton’s superchargers unit, said automakers are making smaller engines to improve fuel efficiency, but customers still want horsepower. “We’ve always developed products to meet high horsepower specs,” Terry said. “Now we’re improving the performance of those superchargers at low speeds, in combination with the aggressive engine downsizing, to meet better fuel economy performance.” In the U.S., Eaton currently supplies COURTESY OF DENSO INTERNATIONAL AMERICA INC. its superchargers to Audi’s high-end Biometric sensors gauge a driver’s reactions in a simulator at Denso International America Inc.’s Human-Machine Interaction Lab in Southfield. offerings, including the A6, A7, S4, S5, Q5 and Q7 models, as well as Porsche’s Cayenne Hybrid and Panamera Hybrid. But it plans to enter the more economical car market, as it’s done with the Nissan Micra in Europe and Nissan Note in Japan. The fuel economy-focused North American market is dominated by turbochargers from companies like Life in the vast lane Honeywell and BorgWarner. Honeywell said earlier this year it expects turbocharged vehicles in the North America to grow to 3.2 million R&D aims to safely bring drivers a world of infotainment vehicles, up from 2.2 million in 2011. Superchargers work the same way as BY DUSTIN WALSH turbochargers by increasing power to CRAIN’S DETROIT BUSINESS the engine through an air-fuel mixture. By measuring the Engineers take new swipe But turbochargers are driven by exhaust inding balance between technology in- “ and superchargers are driven by a belt tegration and safety is a challenge for driver connected to the engine. F automakers and suppliers — a chal- at windshield displays Superchargers improve fuel lenge they are tackling head-on to get a workload, we What’s old is new again as Denso Inter- economy by 10 percent to 15 percent, piece of the booming infotainment mar- national America Inc., Continental Automo- Terry said. Eaton’s superchargers ket. can see which tive Systems Inc. and Delphi Automotive plc also perform better from a cold start Next year, automotive will be one of the look to windshield information displays. and release fewer emissions, he said. three fastest-growing markets technologies Developers are touting heads-up dis- But Terry said he believes as fuel for connected mobile devices plays that could project a warning sym- economy regulations continue to spur TESTING, and Internet content — behind work and which bol in the motorist’s line of vision to draw the use of turbos, superchargers and smartphones and tablets — ac- TESTING attention to a pedestrian or obstacle in turbochargers will be paired to offer cording to a recent report from ones don’t. the best fuel efficiency possible. the road. Or a navigation system might Dummies Stamford, Conn.-based Gartner ” superimpose an arrow over an exit ramp. “What you’re going to see in order get smart Inc. Justin McBride, A heads-up display could highlight to meet the aggressive standards to face That means suppliers and Denso International America Inc. safety speed, turn-by-turn navigation or radio (54.5 mpg by 2025), is compounding OEMs are spending on research of superchargers and turbochargers,” standards, stations. The idea is to keep the mo- and development in infotainment Internet behind the wheel, according to a he said. “We can use a supercharger Page 13 torist’s eyes on the road, not on the to capitalize on the growing de- report by State Farm Mutual Automobile In- for response at low speeds and the many new technologies that draw their mand for Web-based tools in cars. surance Co. turbo for operating at efficient zones eyes to the car’s center stack. The automotive infotainment market is ex- Japanese supplier Denso Corp. signed a at higher speeds, instead of Engineers are even developing dis- pected to reach $5 billion next year. memorandum of understanding with Intel compromising a turbo for response.” plays across the entire windshield, cre- But the push for the connected car has a Corp. in March to create a $100 million in- Eaton will launch its first four- ating an “augmented reality” where a cost: In a car, the Web can be deadly. The vestment fund to encourage hardware and cylinder supercharged product at the road’s lines could be visible to aid dri- National Highway Traffic Safety Administration software developers to create technologies North American International Auto ving through fog. says more than 3,000 driving fatalities an- for automotive infotainment. Show in January. The 2014 model will Automotive News contributed to this nually are attributed to distracted drivers. go on sale in late 2013. report. Nearly half of all drivers ages 18-29 use the See Research, Page 12 20121203-NEWS--0012-NAT-CCI-CD_-- 11/30/2012 10:38 AM Page 1

Page 12 CRAIN’S DETROIT BUSINESS December 3, 2012 Why Should Suppliers and Next-Generation Vehicles They Trust YOU?

BBB Accredited Businesses are committed to honest, ethical and fair business practices.

Show Your Customers What YOU Stand For

COURTESY OF DENSO INTERNATIONAL AMERICA INC. Denso International engineers check how long drivers in a simulator take their eyes off the road while interacting with prototype Denso infotainment technology at the Human-Machine Interaction Lab. Start With Trust® Research: Delivering tech safely ■ From Page 11 Join the Better Business Bureau Serving Eastern Michigan and the Upper Peninsula At Denso’s Southfield sub- either.” sidiary, Denso International America However, suppliers and au- For more information: Inc., engineers are working hard to If you’re driving, tomakers won’t stop trying to cash test a driver’s ability to use new “ in on the desires of the driver. bbb.org or 248-223-9400 systems while maintaining safety. your primary task is Ford Motor Co. has its own simu- Denso International’s Human- lator at its headquarters in Dear- Machine Interaction Lab mixes a piloting a two-ton born. driving simulator with biometric Its simulator has infrared sen- testing — skin conductivity, heart car down the road. sors on the steering wheel that can LIVE WEBCAST rate, brain waves and a host of oth- gauge changes in temperature in er stress indicators. We’re designing with the driver’s hands and face. Metal In the simulator, the operator is that in mind. pads on the rim of the steering given a generic driving scenario, ” wheel monitor heart rate, while a complete with rogue motorcy- Michael Tschirhart, sensor in the seat belt checks the clists. Visteon Corp. breathing rate. Denso wants to understand The industry uses the results of Latest developments when a driver becomes stressed — and drivers push for more mobile the physiological testing to create specifically, too stressed to drive content, legislators are pushing easier-to-use systems. in shale gas safely. This helps the supplier de- back. Ford’s current MyFord Touch velop useful integrated technolo- In February, NHTSA published infotainment system has been crit- gies and keep drivers safe, thus ap- ease-of-use standards for infotain- icized for its complexity. The au- litigation: peasing NHTSA, said Justin ment hand controls. In 2014, the tomaker’s current testing could al- McBride, senior design engineer agency will issue guidelines for ter future generations of the What you need to know to and head of the HMI lab for Denso use of voice technology. The regu- product. International. lations put pressure on automak- Denso International has already navigate the expanding maze “The idea is to bridge technolo- ers, and suppliers like Denso and taken its lab technology to the of litigation issues. gy into the car responsibly,” Visteon, to speed up research to road, inside a Lexus RX 350. The McBride said. “By measuring the make the products safe ahead of SUV monitors many of the same driver workload, we can see which regulations. physiological responses as its in- Thursday, technologies work and which ones Tschirhart was in Washington, house lab and tests driver interac- don’t.” D.C., two months ago as part of a tion with various radio controls, December 6, 2012 Van Buren Township-based Vis- Society of Automotive Engineers com- heads-up display, etc. teon Corp. also supplies integrated mittee to work with the U.S. Depart- Testing done there is about 10:00 a.m. to 12:15 p.m. EST mobility technology to automak- ment of Transportation to help devel- money as well as safety. Denso In- ers, and it, too, uses a simulator to op workable guidelines on ternational is looking for safe RSVP: mcdonaldhopkins.com test new technologies. technology standards. ways to integrate Denso technolo- or call: 800.847.6424 to register. The supplier is trying to tackle Infotainment naysayers still ex- gy into one package, McBride the proliferation of technology in- ist, even as the market gets more said. side autos that causes drivers to hands-off with more voice-activat- “As there is a continued push perform more tasks other than dri- ed systems. for connected cars, we’re looking ving, said Michael Tschirhart, “I’m not convinced there’s a for how we link up all of our prod- manager of HMI research and de- technical solution in doing some- ucts to create a whole system velopment and human factors thing cognitively that people OEMs want,” McBride said. technical fellow at Visteon. should not be doing while driving,” Denso International’s HMI lab “(When you’re) using something said Richard Wallace, director of will officially open in January. like your mobile phone, that’s transportation systems analysis Denso International plans to share your primary task. But if you’re for the Ann Arbor-based Center for the lab and research with cus- driving, your primary task is pilot- Automotive Research. “Voice-acti- tomers and researchers at univer- McDonald Hopkins PLC ing a two-ton car down the road,” vated Facebook isn’t as bad as look- sities, McBride said. Ford and the 39533 Woodward Ave., Suite 318, Bloomfield Hills, MI 48304 • 248.646.5070 Tschirhart said. “We’re designing ing at the screen, but is it so urgent Massachusetts Institute of Technolo- Stephen M. Gross with that in mind and are testing that we’re willing to take any de- gy have expressed interest in the Detroit Managing Member this issue and not just introducing gree of safety off the table? testing at the lab, Automotive News technology for technology’s sake. “I’m not sure there’s an answer reported in October. Chicago • Cleveland • Columbus • Detroit • Miami • West Palm Beach We’re trying to make the driving to the question of infotainment Dustin Walsh: (313) 446-6042, experience intuitive and safe.” and safety, and I don’t think Denso [email protected]. Twitter: Carl J. Grassi, mcdonaldhopkins.com President But as automakers, suppliers or any other auto company knows, @dustinpwalsh 20121203-NEWS--0013-NAT-CCI-CD_-- 11/30/2012 10:06 AM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 13 Suppliers and Next-Generation Vehicles Tech-savvy market demands crash dummies with smarts, sensitivity

BY DUSTIN WALSH Chris O’Connor, said. “We’re now getting down to CRAIN’S DETROIT BUSINESS CEO of where we have hit all the major in- Humanetics juries, and dum- The Plymouth headquarters of Innovative mies are becom- Humanetics Innovative Solutions Inc. Solutions Inc., ing more is part office, part plant and part says the crash sophisticated in test dummy medieval torture chamber. injuries that Specially calibrated tools perform industry can’t rest on its aren’t life- sadistic tests — a catapult hurls laurels as threatening.” dummy heads into a block of steel, a vehicle safety A recent ex- battering ram crushes rib cages and standards ample is the test- falling anvils flatten appendages. change and the ing of Ford’s in- But the tests — and the hun- focus shifts flatable seatbelt Bir dreds of soulless eyes peering from just saving airbag — a belt through packing plastic at the lives to designed to inflate to prevent in- plant — serve a higher purpose: preventing juries from the restraint in the injury. keep actual humans safe in the event of a crash. Wayne State re- event of a car crash. search led to adding sensors to the Humanetics manufactures and abdomen of new dummies, Bir said. calibrates crash test dummies for O’Connor said sensors are being several industries, mainly automo- placed in more representative ar- tive, and is developing new tech- eas of potential injury. nologies to keep us all in one piece. “We’ve come a long way from Much of the crash test dummy Vince and Larry,” O’Connor said. technology in circulation today “The dummies are becoming more KENNY CORBIN was developed in the 1980s, said and more representative of the hu- Chris O’Connor, CEO of Humanet- Dummies are packed with load and regular guest expert on ESPN’s helping companies like Humanet- man body, which makes us all ics. For those older than 30, these cell sensors, accelerometers, po- Emmy-winning “Sports Science.” ics develop smarter dummies. safer.” dummy models are recognizable tentiometers (to measure voltage) She said the new technologies “We want to make sure whatever Dustin Walsh: (313) 446-6042, as Vince and Larry, the singing and other sensors to measure a developed in the auto industry are innovation is being put in a vehicle [email protected]. Twitter: dummies featured in the 1980s’ crash’s effects on the body. adapting, and cadaver research is doesn’t create new injuries,” Bir @dustinpwalsh U.S. Department of Transportation The human stand-ins come in “Buckle Up” television ads. several sizes — 50th-percentile As regulators continue to push male at 171 pounds, 95th-percentile for stricter automotive crash tests, male at 223 pounds, and female and dummy makers are adapting to the child-sized models. They are biofi- need for advanced testing equip- delic — meaning they mimic, ment. move and react similar to a human “As cars advance, injuries body. They feature six polymer- change,” O’Connor said. “With the coated high-strength steel ribs, an adoption of restraint systems, you aluminum cast skull, cable- were no longer flying through the connected articulating neck and windshield, but now there were new rubber outer layer to protect the injuries to the knee, chest and legs.” expensive sensing equipment. Now, airbags are standard and Humanetics also sells individual moving beyond the steering wheel body part models, including legs, to side curtain and elsewhere. torsos and heads. These cause the body to move “Every part is anatomically cor- differently in different crash sce- rect,” O’Connor said. “A foot weighs narios, and new sensor equipment, and moves like a human foot; which with human characteristics, is re- is important in assessing damage in quired, O’Connor said. a non-life threatening crash.” Regulators continue to dictate Steve Rouhana, senior technical tougher crash requirements, lead- leader for safety, research and ad- ing automakers and suppliers to vanced engineering at Ford Motor develop new safety technology — Co., said advanced crash test dum- which also needs to be tested. mies allow au- Here, Humanetics capitalizes. tomakers to be “Every (automaker) knows that more accurate safety sells,” O’Connor said. “It and concise in used to be too easy to get a five-star their crash tests. crash rating. Now, the bar keeps Where older- rising. Regulation is good for us, model dummies but it’s also good for drivers.” could measure It’s a low-volume industry, as only 30-40 bits of Humanetics — majority-held by information, private equity firm Wynnchurch Cap- current models Rouhana ital Ltd. — sells only about 25 dum- can measure 80, mies a month, O’Connor said. And and next-generation models will the dummies are built to last sever- measure 200, he said. al decades, he said. Prices are steep, The next-generation dummies are from $20,000 to more than $100,000 in testing, including the World SID each, depending on the dummies’ (side impact dummy), developed sensing capabilities. through the United Nations Working Crain’s estimates company rev- Party on Passive Safety, and THOR enue at about $90 million; Wyn- (test device for human occupant re- nchurch wouldn’t release figures. straint), developed by the National Humanetics employs 450, includ- Highway Traffic Safety Administration’s ing 175 in Plymouth. It manufac- research and development arm. tures the sensor technology and test Humanetics will make both. equipment, which it sells to cus- The dummy maker uses human tomers. The dummies are manufac- cadaver research from Wayne State tured in Huron, Ohio, and the com- University, Virginia Technological Uni- pany has operations in Germany, versity, Virginia University and others. Japan, China, India, South Korea, As crash test dummies become Australia, Brazil and Mexico. more lifelike, it’s important to know Besides the automotive indus- that their improvements in saving try, Humanetics makes dummies lives come from others dying, said for the aerospace industry and the Cynthia Bir, professor of biomedical military. engineering at Wayne State University DBspreadAD_DBspreadAD.qxd 11/27/2012 9:10 AM Page 1

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Page 16 CRAIN’S DETROIT BUSINESS December 3, 2012 Lotus Bank blossoms plan for new branches in area

BY TOM HENDERSON CRAIN’S DETROIT BUSINESS Lotus was very Lotus Bank, until now a one- “ branch bank in Novi that was conservative launched in 2007 to serve the Indian and Asian business during the communities in Southeast Michigan, is embarking on a downturn. ... plan to extend its footprint from Ann Arbor to Bloom- Now it’s field Hills. In February, Lotus Bank ready to will open its second branch in grow. Farmington Hills, at the northeast ” corner of Grand River and Halsted John Donnelly, in what is currently a Talmer Bank Donnelly Penman & Partners branch. Lotus will sublet from Talmer for the three remaining years of its building with M-5 visibility will lease and then will lease directly help more people know who we from the building owner for the are. Now, people who bank with next two years, with subsequent us know us, but we’re pretty five-year extensions available, ac- much an unknown.” cording to Neal Searle, Lotus Searle said he is assembling a Bank’s president and CEO. marketing campaign to go along Searle said he is leaning toward with the expansion. holding the branch opening on As of June 30, according to the Feb. 28, the sixth U.S. Federal Deposit Insurance Corp., anniversary of Lotus ranked 37th in Southeast the day Lotus Michigan in deposit market share, opened its doors with $65.2 million in deposits and a for business market share of 0.06 percent. Chase The 7,000- was No. 1, with $24 billion in assets square-foot and a market share of 23.72 per- branch in a cent. four-story office Searle said Lotus Bank now em- building was ac- ploys 16 at its headquarters on 12 quired by Troy- Searle Mile Road, just west of Novi Road, based Talmer in and will add seven or eight em- 2010, when it bought the assets of ployees, including three loan offi- Citizens First Bank of Port Huron cers, when it opens the new when it was shut down by state branch. and federal regulators. “Lotus was very conservative Subsequent acquisitions of trou- during the downturn. It was very bled local banks as they were shut well run, and now it’s ready to down by regulators gave Talmer grow. It’s earned the right to step Today, more than ever, global competition, four branches in the Farmington on the stage and grow,” said John area, making this one redundant, new technologies, and corporate Donnelly, managing director of according to Talmer President and streamlining require innovative thinking the Grosse Pointe investment CEO David Provost. banking firm of Donnelly Penman & and leaderships abilities. Continuing Searle said that as a result of a Partners. your education can be key to your market study, Lotus will open one branch a year. Its third branch “We need to see these remain- success. From biomedical and robotics will be in the Plymouth-Canton ing community banks emerge as engineering to health information Township area, followed in turn bigger players in the market. It’s critical because of the devastation technology management, Lawrence by branches in Bloomfield Hills, Troy and Ann Arbor. in the credit cycle,” he said. “We Technological University offers He said the bank will also look to lost 11 or 12 community banks, many of them in Southeast Michi- innovative degrees and fast-track sharply grow what until now has been a small home mortgage origi- gan, and there’s an acute shortage certificate programs to prepare you nation business. of small-business loans and lines for the jobs of the future. Searle said the bank would also of credit available to business build or buy a facility in the next owners.” few years to serve as an operations Lotus has been one of a handful of banks in Southeast Michigan 013 013 013 center. 2 2 2 that consistently earn the highest AMERICA’S BEST BEST COLLEGES MILITARY He said that while Lotus is UNIVERSITIES in the Midwest FRIENDLY about 80 percent owned by those rating of five stars in the quarter- U.S. News & Princeton SCHOOL World Report® Review® G.I. Jobs® of Indian descent, it has a racially ly ratings of banks’ health by the diverse clientele and welcomes Fort Lauderdale, Fla.-based rat- Waive your application fee at business from everyone. He said ings firm of BauerFinancial Inc., as www.ltu.edu/applyfree just 30 percent of the client base is have been Talmer and Farming- Indian. ton Hills-based Level One Bank. He said the bank had signed a All three were launched in 2007, letter of intent to open its second just ahead of the recession. When Possible is everything. branch in Canton Township, in a it hit, those three, unlike other lo- former Fidelity branch that was cal community banks, didn’t have closed by regulators when Hunting- large portfolios of commercial or Explore over 100 undergraduate, master’s, and doctoral programs ton Bank bought most of the assets residential real estate loans about in Colleges of Architecture and Design, Arts and Sciences, of Dearborn-based Fidelity last to go bad. Engineering, and Management. year. Searle said Lotus had just one “But then this opportunity loan go bad during the recession, a came up,” Searle said. “Being in home mortgage loan. such a high-visibility spot was Tom Henderson: (313) 446-0337, Lawrence Technological University | 21000 West Ten Mile Road, Southfield, MI 48075-1058 too good to pass up. Putting our [email protected]. Twitter: 800.225.5588 | [email protected] | www.LTU.edu sign up on the top of a four-story @tomhenderson2 20121203-NEWS--0017-NAT-CCI-CD_-- 11/30/2012 11:13 AM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 17 Chrysler Museum to close after years of budgetary struggles

BY SHERRI WELCH the museum foundation’s assets Given its inability to raise suffi- ing deficit this year, Glowiak said. CRAIN’S DETROIT BUSINESS for several million dollars “to pre- cient funds from the public during On its federal tax forms, the mu- serve our proud heritage of what is that period, the Chrysler Museum seum foundation reported total The Walter P. Chrysler Museum on display,” Glowiak said. Foundation was set to shift to a revenue of $518,612 in 2010 and will close at year’s end, following The proceeds from the sale of private nonprofit, which would $443,165 last year. years of fundraising challenges the assets — namely, vehicles and have limited its ability to raise In addition to grants and dona- and operating at a deficit. displays — will transfer to the public funds, Glowiak said. tions, the museum brought in rev- As of Jan. 1, the museum will Chrysler Foundation, along with When a charity loses its public enue from admissions, facility close to the public as a six-day op- the museum foundation, and will support status, “it’s not going to rentals and gift shop sales. eration and will become a special support charitable causes funded be supported by other founda- Over its 13 years, the Chrysler exhibitions mu- by the corporate foundation. tions, including corporate founda- Museum hosted a number of spe- seum controlled Glowiak said he expects the tions,” because the process be- cial events, including a Mopar ex- by Chrysler Group merger to be completed by year’s comes complicated and arduous, hibition to celebrate the Chrysler LLC. end. he said. parts and service group’s 75th an- The Walter P. “The intent is we will maintain Chrysler Corp. built the muse- niversary, cruise nights through- Chrysler Museum COURTESY OF WALTER P. CHRYSLER MUSEUM the museum, not as a six-day mu- um in 1999 and paid for construc- out the summer and an annual Foundation, The Walter P. Chrysler Museum in seum as it operates today but for tion of all its displays. summer display of hundreds of ve- which operates Auburn Hills, bankrolled by Chrysler special exhibitions for employees, Faced with the tumbling econo- hicles by the Chrysler Employee Mo- the museum, no- Corp. in 1999, will remain intact but retirees and the general public,” my and its own financial chal- torsport Association. open only for special events and tified its five re- Glowiak said. lenges, in 2008 the carmaker creat- Its current exhibit, “Cars, Trees exhibitions. maining employ- “It’s a new chapter. The goal ed the nonprofit Chrysler Museum & Traditions,” features brightly Glowiak ees and 126 for Chrysler. here is Chrysler, by repurchasing Foundation to operate the muse- decorated Christmas trees, the mu- volunteers last week. “We believe the only viable strat- those assets, has the ability to con- um. seum’s vintage vehicles and vin- “Our museum has faced the egy is to merge the … museum tinue to preserve its heritage and “Unfortunately, since 2008, the tage clothing styles tied to each same financial challenges that foundation into the Chrysler Foun- celebrate with the public through museum has struggled,” like other car’s era. many other, even longstanding, dation.” special exhibitions.” cultural organizations, Glowiak The museum remains open to cultural institutions have encoun- Auburn Hills-based Chrysler As a public charity, the museum said. the public through year’s end, tered,” said Brian Glowiak, the owns the museum building and foundation had five years to show The museum had operated at a with admission prices ranging foundation’s president and CEO, has been providing support includ- it passed the nonprofit test of pub- deficit for four years or more. It from $4 to $8. vice president of the Chrysler Foun- ing exterior security, maintenance lic support by being able to raise at had a reported loss of just under Sherri Welch: (313) 446-1694, dation and director of civic rela- and free rent to the museum. The least one-third of its total support $804,000 in 2010 and $657,510 last [email protected]. Twitter: tions and community engagement automaker plans to purchase all of from public gifts and grants. year and forecasts a similar operat- @sherriwelch Employment Law Experience In Your Corner.®

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NORTH AMERICAN INTERNATIONAL AUTO SHOW GUIDE NEWFOR 2013 Chinese section Crain’s Detroit Business AND the Asian Paciﬁ c American Chamber of Commerce will present “Business Beyond Borders,” distributed to a group of events for the NAIAS, including Automotive News China subscribers. ISSUE DATE: Jan 21, 2013 • AD CLOSE EXTENDED: DEC. 10 Learn more at www.crainsdetroit.com/autoshow. 20121203-NEWS--0018-NAT-CCI-CD_-- 11/30/2012 10:13 AM Page 1

Page 18 CRAIN’S DETROIT BUSINESS December 3, 2012

CALENDAR

Automotive Research. Snapshot into cal Assistance Center of Schoolcraft WEDNESDAY the process the National Research College. Learn about services and sup- DEC. 5 Council is using to assess technolo- port the PTAC offers to assist compa- gies and costs for improving fuel econ- nies with the contracting process. Entrepreneur Innovation Series. 7:30-9 omy of light-duty vehicles and to look Schoolcraft College VisTa- a.m. City of Southfield, Southfield at how the auto industry will position Tech Center, Livonia. $45. Contact: Chamber of Commerce. Learn how to itself to meet stringent fuel economy Holly Johnston, (734) 462-4438; email: access capital and take your product mandates. Fairlane Center-North [email protected]; website: or business to the next level. Small Building, Detroit. $95. Contact: Angie www.schoolcraft.edu/bdc/flyers/fly- Business Administration, Oakland Ely, (734) 929-0496; email: aely@car er-become-government-contractor.pdf. County Micro Loan program, Fifth group.org; website: www.cargroup. Third Bank, Southfield Chamber of org/?module=Page&sID=dec-briefing Protecting Your Investment, Ideas and Commerce. Contact: Rochelle Free- Trade Secrets in the Social Media Age. man, (248) 796-4161; email: rfree Selling Smart Workshop – Overcoming [email protected]; website: Noon-1 p.m. Macomb-Oakland Univer- Prospecting Paralysis. 9-11 a.m. Ann www.southfieldchamber.com. sity INCubator. With Bernard Fuhs, Arbor Spark. One hour of practice attorney, Butzel Long. Discussion will Great gifts for any Tigers fan. selling followed by hour presentation focus on protecting a company’s as- Don’t Let BYOD (bring your own de- on a sales topic. Free. Spark Central, sets, including trade secrets, confiden- vice) Become LFYO (liability for your Ann Arbor. Contact: (734) 372-4071; tial information and business rela- organization). 8- email: [email protected]; tionships. Macomb-OU INCubator at KIDS CLUB GIFT CERTIFICATES website: www.annarborusa.org. 9:30 a.m. Troy Velocity Collaboration Center, Ster- Give the little Tiger in your life the gift of Tigers baseball all Chamber of Com- ling Heights. Free. Contact: Joan Car- year long. Kids Club members get exclusive gifts, ticket offers, merce. With Fundamentals of Marketing Your Busi- leton, (586) 884-9324; email: Kathryn Ossian, ness. 6-9 p.m. Advantage Oakland. [email protected]; website: experiences and more. Miller Canfield Practical applications of marketing www.oakland.edu/macombouinc. litigation deputy concepts to help small businesses DETROIT TIGERS AUTHENTIC group leader and grow. Oakland County Business Cen- chair of the infor- ter, Waterford Township. $40. Con- The Future of Electricity Generation in GAME-USED ITEMS mation technolo- tact: Karen Lear, (248) 858-0783; email: Michigan: Coal, Natural Gas, Renew- Fans of all ages will cherish memorabilia used by their favorite gy section, and [email protected]; website: ables. 5-7 p.m. Ann Arbor Spark, players. Choose from jerseys, bats, bases, balls and more. Mary Kate www.advantageoakland.com. Michigan Energy Forum. With James Ossian Griffith, litigation Clift, policy director, Michigan Envi- associate. Many ronmental Council; Hal Fitch, chief, FANTASY EXPERIENCES employees and contractors use lap- THURSDAY Office of Oil, Gas, and Minerals, GIFT CERTIFICATES tops, smartphones, home computers DEC. 6 Michigan Department of Environmen- and tablets to conduct an organiza- Perfect for that Tigers fan who has dreamed of swinging for the tal Quality; and Erik Bauss, field direction’s business. Discussion will focus Business Research: Feasibility to Ex- tor, Energy In Depth — Michigan. fences at Comerica Park or throwing the ceremonial first pitch. on privacy, security and data re- pansion. 5:30-8:30 p.m. Advantage Oak- Moderated by Steve Craig, consultant, trieval, and how an organization can land. Find your ideal customers, iden- Shepherd Advisors, an Ann Arbor- protect itself. Michigan Schools & tify your competitors and perform based clean tech market research and 2013 WINTER FANTASY CAMP Government Credit Union, Troy. $10 competitive analysis. Farmington consulting company. Spark Central, Troy chamber members, $15 nonmem- The ULTIMATE gift for any Tigers fan. Community Library, Farmington Ann Arbor. Free. Contact: (734) 761- bers. Contact: Jaimi Brook, (248) 641- Hills. Free. Contact: Karen Lear, (248) 9317; website: www.annarborusa 8151; email: theteam@troycham 858-0783; email: smallbusiness@oak .org/events/details?e=11320. TO PURCHASE CALL ber.com. gov.com; website: www.advantage (313) 471-BALL (2255) oakland.com/expand. Breakfast Briefing: Process for As- COMING EVENTS sessing the Fuel Economy of Light- How to Become a Government Contrac- OpenCoffee. 8-9:30 a.m. Dec. 11. Ann Duty Vehicles. 8-11:30 a.m. Center for tor. 9 a.m.-noon. Procurement Techni- Arbor Spark. Networking event for entrepreneurs, investors and those who work with innovation businesses, particularly IT, clean tech and life sciences. Spark Central, Ann Arbor. Free. Contact: (734) 761-9317; website: www.annarborusa.org.

Today and Tomorrow Tour. 8-9 a.m. Dec. 12. Engineering Society of De- troit. Tour of ESD headquarters, Southfield. Free. Contact: (248) 353- 0735, ext. 120; email: [email protected]; website: www.esd.org.

Member Orientation. 8-10 a.m. Dec. 12. Automation Alley. Automation Alley headquarters, Troy. Free. Contact: (800) 427-5100; email: info@automa tionalley.com; website: www.automa tionalley.com.

Membership Meeting and Holiday Re- ception. 6-9 p.m. Dec. 18. Detroit Re- gional Chamber. Gem Theatre, De- troit. $20 members. Contact: Beverly Maddox, (313) 596-0343; email: bmad [email protected]; website: www.detroitchamber.com.

CALENDAR GUIDELINES If you want to ensure listing online and be considered for print publication in Crain’s Detroit Business, please use the online calendar listings section of www.crainsdetroit.com. Here’s how to submit your events: From the Crain’s home page, click “Detroit Events” in the red bar near the top of the page. Then, click “Submit Your Entries” from the drop-down menu that will appear and you’ll be taken to our online submission form. Fill out the form as instructed, and then click the “Submit event” button at the bottom of the page. That’s all there is to it. More Calendar items can be found on the Web at www.crainsdetroit.com. 20121203-NEWS--0019-NAT-CCI-CD_-- 11/30/2012 11:54 AM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 19

BUSINESS DIARY ACQUISITIONS OpTech LLC, Troy, an information utor and supplier, moved from 2143 machine interfaces. Website: launched a redesigned company web- technology and engineering Heide Drive to 1635 Northwood Drive, www.elektrobit.com. site: www.cbwm.com. , Roseville, was Michigan Fleet Service workforce solutions provider, opened Troy. Telephone: (248) 269-8200. Web- acquired by , Burroughs Inc., Plymouth, released Specialty Medical Equipment Inc., Star Truck Rentals Inc. a new office at 4600 S. Syracuse site: www.superiorstainless.com. Grand Rapids. SmartSource Advantage, a desktop Washington Township, is at a new St., Denver, Colo. Website: LV8 Communications LLC moved from scanner for merchant deposit capture website: www.shopspecialtymed.com. Ally Financial Inc., Detroit, reached an www.optechus.com. agreement to sell its Mexican insur- Grosse Pointe Woods to expanded of- environments. Website: www. WADL TV, Clinton Township, Synergy Dance Academy, Plymouth, ance business, ABA Seguros, Monter- fices at 1050 N. Adams Road, Suite 4, burroughs.com. launched “Speaking Sports” with opened The Synergy Annex, an rey, Mexico, to the ACE Group, a multi- Birmingham. Telephone: (313) 649- Gentherm Inc., Northville, a developer Denny McLain and Ron Cameron. expansion of its studio, to house the line property and casualty insurer in 5881. Website: www.lv8communica of thermal management technologies, Website: www.wadldetroit.com. Synergy Dance Co., at 320 N. Main Zurich, Switzerland. tions.com. announced that its thermoelectric St., Plymouth. Website: www.synergy- The Consulate of the Republic do technology for active heating and dance.com. Aristo-Cote Inc., Shelby Township, a Slovenia opened at 17101 Michigan CALL FOR NOMINATIONS polyurea coating company, moved cooling is being featured in a new Ave., Dearborn. Telephone: (313) 436- The Environmental Management As- MERGERS its Roseville location to 24951 Joy suite of office chairs being sold in re- 8515. Email: sloveniaconsulmi@ sociation, Harrison Township, is ac- Blvd., Harrison Township. Telephone: tail stores in Asia. In its initial ghafari.com. cepting nominations for its annual en- Edward Surovell Realtors, Ann Arbor, (586) 447-9049. Website: www.aristo launch, Gentherm is partnering with vironmental achievement award. has merged with Howard Hanna Real cote.com. Irischitose Co. Ltd., a Japanese manu- STARTUPS Estate Services, Pittsburgh. facturer and marketer of furniture. Nominations must be submitted by Trinity3 Inc., dba Elegant Events, a Website: www.gentherm.com. Feb. 1. Website: emaweb.org. NEW PRODUCTS furniture leasing company at 2570 MOVES Elektrobit Corp., Farmington Hills, in- Industrial Row, Troy. Telephone: CONTRACTS Superior Stainless & Alloys LLC, a troduced EB Guide 5.4, a software plat- NEW SERVICES (248) 388-9236. Website: www. Visteon Corp., Van Buren Township, stainless steel and aluminum distrib- form for developing in-vehicle human- Coldwell Banker Weir Manuel, Troy, elegantchiavaris.com. is supplying a climate system for the new Ford Ecosport SUV for Ford Mo- tor Co., Dearborn. Freedom One Financial Group, Clark- ston, a 401(k) plan recordkeeping and administrative service provider, announced that Freedom One Invest- ment Advisors Inc. will provide 401(k) plan advisory services for Blue Water Obstetrics & Gynecology PC, Port Huron. Fifth Third Bank Eastern Michigan, Southfield, announced that Tamra To- bin Teno has become a community partner of the Southeast Michigan program of Leave a Legacy through the Planned Giving Roundtable of Southeast Michigan, Metamora. Skidmore Studio LLC, Detroit, was contracted by The Michigan Metro Times Inc., Detroit, published by Times-Shamrock Communications, Scranton, Pa., to lead the redesign of Metro Times magazine, Detroit. Premier Development Solutions LLC, Plymouth, a business development company, was retained by DKS Bal- anced Living Solutions LLC, regional franchise for the fitness club Curves, to design and launch a comprehensive You’re paying your bank too much. program to grow its revenues and market share. ForeSee Results Inc., Ann Arbor, a customer experience analytics compa- We’ll prove it and pay you. ny, signed an agreement with TagMan, New York, a universal tag Meet with Flagstar today for a quick review of your current bank’s management system, to become a cer- 2 tified premium partner in TagMan’s fees. We think we can help you get rid of those fees. If we can’t, Up to a $500 cash bonus. Stream Global Partner Program. we’ll give you $100.1 Better yet, if we can and you open a Flagstar Dietz Trott LLC, Farmington Hills, a sports and entertainment manage- Business Checking Account, we’ll give you a cash bonus up to ment, marketing and advertising $500.2 Save money. Make money. It starts by calling Flagstar. firm, was selected as the agency of record for Michigan International Speedway Inc., Brooklyn; Detroit Pub- Business lic School League Athletics; and Brad Personal t Mortgage t t Commercial Galli, sports broadcaster, WXYZ-TV 7, Southfield. EXPANSIONS Diversified Restaurant Holdings Inc., Open an account today. Southfield, opened its 10th Bagger Dave’s location, at 6608 Telegraph (888) 324-4100 Road, Bloomfield Township. Tele- phone: (248) 792-3579. Website: flagstar.com/bizchecking www.baggerdaves.com. Nordstrom Inc., Seattle, Wash., announced plans to open new Nord- strom Rack stores in Auburn Hills and Ann Arbor in spring 2013. Web- 1 To qualify for this offer, Prospect must maintain a minimum balance of $5,000 at their current bank, submit required documentation and Flagstar Bank must site: www.nordstrom.com. decline to match or beat current bank’s pricing. This offer is not applicable if Prospect declines servicing savings offer above. To qualify for the $100 offer, Detroit Metropolitan Credit Union, De- Prospect must submit required documentation and Flagstar Bank must decline to match or beat current bank’s pricing. The offer is not applicable if Prospect troit, opened a new branch at 2 Wood- declines servicing savings offer above. ward Ave., Suite 118, Detroit. Tele- 2 Offer is available to all businesses with a tax identification number, not including sole proprietorships, with the exception of any Money Service Business (MSB) phone: (313) 202-9388. Website: and those businesses who do not currently pay deposit and checking account service fees. Offer expires December 31, 2012. To participate, Prospect must www.dmcu.com. provide the three most recent and concurrent months of monthly demand deposit account statements including the billing/analysis statement sufficient for a review of the customary and ordinary service fees for business deposit and checking activity. Offer does not apply to ancillary checking account services such as NSF, overdraft protection, wire transfers, and special reporting. Offer is not available on account conversions or in combination with any other checking DIARY GUIDELINES account offer and is nontransferable. Prospect must provide the tax identification number as the bonus is considered interest and will be reported on IRS Form 1099-INT. Account opening and award are subject to approval. Please contact a business banker for details. Product offerings differ per geographic region. To Send news releases for Business qualify for the New Client Cash Bonus offer, Prospect must open a business checking account and deposit $5,000 or more within 30 days of Flagstar Bank’s Diary to Departments, Crain’s offer with funds currently not on deposit with Flagstar Bank, FSB. Account must maintain average daily positive collected balance of $5,000 for twelve (12) Detroit Business, 1155 Gratiot months. Bonus payment is calculated by taking the monthly savings on ordinary business deposit and checking service fees of comparable services at previous Ave., Detroit, MI 48207-2997 or financial institution, multiplied by 12, and is payable in a one-time bonus of up to $500 per taxpayer ID. Eligibility for the bonus payment is based on the level send e-mail to cdbdepartments@ of business as evidenced by the three (3) most recent monthly statements provided. Eligible bonus amount will be automatically deposited into Prospect’s crain.com. Use any Business Diary checking account within 150 days after account opening. Checking account must remain open for a minimum of 12 months [with the minimum average daily item as a model for your release, positive collected balance of $5,000] or the bonus amount will be debited from the account at closing. Employees of Flagstar Bancorp are not eligible. Business and look for the appropriate Account service fee pricing is reviewed annually and subject to change. category. Without complete information, your item will not run. Photos are welcome, but we cannot Member FDIC guarantee they will be used. 20121203-NEWS--0020-NAT-CCI-CD_-- 11/30/2012 10:15 AM Page 1

Page 20 CRAIN’S DETROIT BUSINESS December 3, 2012

Crain’s Job Front Visit www.crainsdetroit.com/jobfront to search for jobs, post a résumé or find talent. Job Front PEOPLE

tional sales manager. officer, RetroSense Therapeautics director, Michigan Film Office, Lans- IN THE SPOTLIGHT Mike Jacobson to manager, forensic LLC, Ann Arbor, from chief drug de- ing. and valuation services group, Grant velopment officer, Plante Moran PLLC has named Sue Novak office Thornton LLP, Southfield, from senior Foundation Fight- SERVICES managing partner of the firm’s Southfield office, its associate, Deloitte Financial Advisory ing Blindness, Co- largest, with more than 600 staff members. lumbia, Md. Joel Scheuher to vice president of re- Services LLP, Detroit. search, MarkLines North America Inc., She succeeds John Bebes, who assumed leadership of Susan Miller to manager, business so- Betty Priskorn to Southfield, from manager, information Plante Moran’s firm-wide not-for-profit practice. lutions group, Doeren Mayhew & Co. corporate director research, General Motors Co., Warren. Novak will oversee day-to-day administrative duties and PC, Troy, from senior staff. Also, of community out- Rochelle Vendittelli to manager, audit reach, Oakwood will continue as assurance partner and leader of Plante Healthcare Inc., SUPPLIERS and assurance practice, from senior Moran’s benefits plan audit practice. Dearborn, from staff. Julian Dench to global managing di- Novak, 50, earned a bachelor of science degree in executive vice rector, powertrain systems, TI Auto- accounting from Oakland University and is a certified president, The motive LLC, Auburn Hills, from vice Guidance Center, public accountant. Priskorn president and global account director, Novak Southgate. TRW Automotive, Livonia. INFORMATION TECHNOLOGY ADVERTISING lege, Dearborn, from dean of technical education, Aiken Technical College, David Sweeton to chief technologist, PEOPLE GUIDELINES Lori Bahnmueller Aiken, S.C. Stout Systems Development Inc., Ann to senior strate- Arbor, from software architect. Announcements are limited to gist, Brogan & management positions. Send Partners Advertis- ENTERTAINMENT NONPROFITS submissions to Departments, ing Consultancy Barry Walton to producer and editor, Crain’s Detroit Business, 1155 Inc., Birming- Palace Sports & Entertainment LLC, Lisa Dolan to con- Gratiot Ave., Detroit, MI 48207- ham, from public Auburn Hills, from show editor, NHL Hawkins Rowley troller, Huron- relations director Live, NHL Network, New York. Also, Clinton Metropoli- 2997, or send email to and account exec- Ron Breitner to post-production tech- GOVERNMENT tan Authority, [email protected]. utive, The Berline nical supervisor, from contract em- Eric Hawkins to police chief, South- Brighton, from fi- Releases must contain the person’s Group Inc., ployee, technical support, WJBK-TV field Police Department, from acting nance director name, new title, company, city in Bloomfield Hills. 2, Southfield. police chief. Also, Keith Rowley to fire and treasurer, which the person will work, former Bahnmueller chief, Southfield Fire Department, city of Bloomfield title, former company (if not EDUCATION FINANCE from acting fire chief. Hills. promoted from within) and former Carrie Jones to ex- city in which the person worked. Tracy Pierner to vice president of acad- Leonard Durso to vice president na- HEALTH CARE ecutive director, emic affairs for career and technical tional sales, Flexible Plan Investments Dolan Michigan Venture Photos are welcome, but we cannot programs, Henry Ford Community Col- Ltd., Bloomfield Township, from na- Steven Bramer to chief development Capital Association, Ann Arbor, from guarantee they will be used.

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December 3, 2012 CRAIN’S DETROIT BUSINESS Page 21 Restaurants: Group’s franchises grow Crowd funding for Hostess ■ From Page 3 Michael Ansley, DRH’s president made burgers and a family-friend- put one.” and CEO, referring to a strange ly atmosphere that entices guests Ansley eventually got out with could lift eRaise’s visibility construction site find — a bag of to stay a while. his equity, and tried again, this what turned out to be dog bones With multiple television screens time with a BWW in Sterling With 18,500 jobs caught up in With the announcement this unearthed in the ren- and a tightly focused Heights. the liquidation of Irving, Texas- week of a leadership change at ovation of the three- menu, Buffalo Wild “We kept evolving, and eventu- based Hostess Inc., a crowd-fund- the SEC, the final decision on level property. When you Wings caters to ally we got better,” Ansley said. ing concept launched by a group crowd-funding laws essentially The 450-seat Buffa- “ the sports-watching “We keep asking for feedback. of local entrepreneurs could of- has been put on hold. lo Wild Wings look at Michael crowd. DRH added We’ve changed 1,000 things since fer help to the employees who But that’s not stopping the restaurant is set to full service to its the beginning.” soon may find themselves with- DoughforHostess.com drive. open Dec. 21. Next Ansley, he’s on Novi location, In 2006, DRH diversified and out work. “What we are proposing is not door, the Bagger launching it to the self-underwrote its initial public The group also hopes to make crowd funding in a traditional Dave’s is scheduled the speedy top of the franchise’s offering. “We didn’t know where it a statement about the new fund- sense,” Clark said. “What we’re to open next year. restaurant sales would take us, but we knew we ing process. doing is a pledge campaign. We’re In khakis and a side. awards from 2003 to wanted to grow — we had to grow,” The Royal Oak-based crowd raising pledge commitments to button-down shirt, ” 2006. Ansley said. funding firm eRaise.com LLC re- validate the crowd-funding mod- Ansley is a no-tie Adriane De Ceuninck, DRH holds an DRH also got a five-year, $37 mil- cently launched its “Dough el.” regular guy. With Michigan Restaurant agreement with the lion term loan and a $10 million forHostess.com” campaign, which Pledges start at $25, but in- short hair and frank Association franchisor that could line of credit with Royal Bank of has a goal of $500 million. vestors won’t be charged or bound eyes, he looks like allow up to 47 BWWs Scotland Citizens N.A. About 30 per- The campaign is forging ahead to their contributions until the someone you might meet at a fra- by 2017. cent of the credit will pay for the even though the crowd-funding $500 million goal is reached. ternity party in college. Passion- construction and start of future rules haven’t been set up yet, If they hit the $500 million goal, ate about the business, he’s a restaurants, according to the com- eRaise CEO Spencer Clark said. Clark said, a seven-person board walking compendium of openings, Wings market grows pany’s website. Crowd funding, a hybrid of of directors — four members from acquisitions and line-item details But Diversified isn’t the only The goal is to be able to extend a venture capital and social media, eRaise management and three lo- down to the 81-cents per pound in- wing-centric operator in growth secondary public offering as soon was codified in April when Presi- cal entrepreneurs — will choose crease in bone-in chicken wings. mode. as possible. The ticker is reserved, dent Barack Obama signed the how to spend the capital. Clark Keeping it all straight is no Dave Vernon, chief develop- but nothing is official, Ansley said. JOBS Act (for Jump-start Our said options include finding ways small feat; DRH has 41 restaurants ment officer for Richardson “There’s still some uncertainty. Business Startups). to help save employees’ jobs or with two more Bagger Dave’s (one Texas-based Wingstop Restaurants We’re watching what happens now When the U.S. Securities and Ex- buying a Hostess sub-brand. company-owned, one franchise in Inc., said the market for wings is after the election. The fiscal cliff. change Commission releases the Hostess has 36 bakeries, 242 de- Missouri) and two more BWW not yet saturated. Wingstop has Health care,” Ansley said. “But rules for crowd funding, entre- pots, 216 retail stores and 311 hy- restaurants to open this year. The plans to open 10 restaurants in we’re as strong as we’ve ever preneurs will be able to raise up brid facilities across the country. company will have a total of 45 Southeast Michigan and has al- been.” to $1 million in equity by selling There are 381 Hostess employees restaurants open by year’s end. ready opened two, in Livonia and Nathan Skid contributed to this shares of private companies to at 20 locations in Michigan. It also announced that a Grand Southfield. story. investors. — Ryan Felton Rapids Bagger Dave’s will open Vernon said the company, next year, one of eight additional heavy on carry-out sales, protects sites planned for the chain. its franchisees by creating protec- tive rings around each location, REAL Beyond bar food prohibiting other Wingstop fran- MARKET PLACE chisees from opening within that Both growing restaurant chains area. ESTATE exemplify the all-ages appeal the “What we do is create a presence FINANCIAL SERVICES company is going for in its proper- based on population,” Vernon INVESTMENT PROPERTY ties. said. “You don’t want to be so big For instance, an electric train that you negatively impact fran- SALVATION ARMY TENANT Leased building for sale. Leased until 2021 2.6 million 8% that whirs overhead at the Bloom- chisees at other stores.” return plus deprecation west side location. field Township Bagger Dave’s Vernon said Wingstop opened [email protected] or call Bill 586-915-4441 aims to fascinate child patrons 50 new restaurants in 2012, bring- long enough for their parents to ing its total count to 547 at year’s OFFICE SPACE eat a custom-made burger while end. it’s still hot. BINGHAM FARMS “The kids love the train, which ACCOUNTING FIRM-TELEGRAPH AT Secret sauce 13 MILE WINDOW OFFICE AVAILABLE means their parents get to eat,” INCLUDING RECEPTIONIST, CONFER- Ansley said. “That’s good for every- Ansley credits his company’s ENCE ROOM, KITCHEN, FAX & COPIER one.” fast clip to its “smart and passion- CALL SUE AT (248) 540-0250 PAIGE & The company has reported ate” leadership team. COMPANY P.C gains in geography and revenue. Growth is necessary to create This year’s revenue is up $6.7 mil- career paths for those people, he VACANT LAND lion, or 15 percent over last year, said, many who started as bar- the company said. Existing stores tenders or at the back of the house LIVE AND WORK IN are faring well, too, with same- and rose through the ranks. DRH store sales growth of 9.4 percent employs about 2,500 people, he PETOSKEY AREA for Bagger Dave’s restaurants and said. 4 Profitable Business 6.7 percent for Buffalo Wild Wings The majority — 75 percent — of outlets. company staff recently voted to 4 72 Slip Marina Meanwhile, new BWW loca- move headquarters to downtown 4 Growth Potential tions are scheduled to open in Detroit, even amid the top three 4 50 Businesses for sale Michigan in Lapeer and Sault concerns of “security, parking Saint Marie, plus Hammond, Ind. and the commute,” Ansley said. DRH recently acquired eight The headquarters will relocate to EDUCATION more BWWs, with plans to use the third floor of the Odd Fellows Call Us For Personalized The University of Detroit Mercy - invites applications those as inroads to “rapidly ex- building. Service: (313) 446-6068 and nominations for Dean, School of Law. For more in- pand” Bagger Dave’s, securing When the facility is built, Ans- formation go to: http://www.eflassociates.com (open positions). Confidential inquires,questions and nomina- both brands’ footholds in the Mid- ley won’t be doing the painting CLOSING TIMES: Monday 3 p.m., tions may be directed to: Ms. Jan M. Asnicar, Vice west. himself, as he did in his first four one week prior to publication date. President-EFL Associates, at 913-234-1561 or [email protected]. “When you look at Michael Ans- restaurants. Please call us for holiday closing times. Joe Blachy ley, he’s on the speedy side,” said A son of a painter, the native FAX: (313) 446-1757 (231) 409-9119 Adriane De Ceuninck, the Michi- Ohioan worked for his dad, but the E-MAIL: [email protected] BUSINESS OPPORTUNITIES Call anytime between 7am & 10pm 7 days a week!" gan Restaurant Association’s vice aching arms proved good impetus INTERNET: president of marketing and com- to entrepreneurship. After work- www.crainsdetroit.com/section/classifieds -- Partner Wanted -- 420 Howard St., Petoskey, MI 49770 munications. ing his way to a degree in business Confidential Reply Boxes Available What’s unique about DRH, De administration at University of Day- Ceuninck said, is that the compa- ton, Ansley borrowed some money PAYMENT: All classified ads must be Call or email today for information ny is rapidly growing both con- and launched his first restaurant prepaid. Checks, money order or cepts at the same time. in Ypsilanti. Crain’s credit approval accepted. on a custom advertising plan! Credit cards accepted. Bagger Dave’s, Ansley’s home- It failed in everything except in Partner wanted for a 9 place corporate jet based grown-concept, focuses on fresh the “learning experience,” he See Detroit City Airport. Detroit to New York 1 hr, to [email protected] ingredients (kitchens only have said. “It was a lesson on how not to West Palm Beach 2:30. Great for business and Crainsdetroit.com/Section/Classifieds pleasure. All inquires please contact Charles 313.446.6068 walk-in refrigerators), custom- run a restaurant and where not to for more classified advertisements Chase for details (313)610-4120 20121203-NEWS--0022-NAT-CCI-CD_-- 11/30/2012 5:32 PM Page 1

Page 22 CRAIN’S DETROIT BUSINESS December 3, 2012 Passwords: Bill would guard privacy Gas: Governor sees ■ From Page 1 over their passwords to social net- by this bill. But information peo- vulge their passwords to accounts fuel for state’s future working sites as a condition of em- ple choose to keep private should in order to gain or maintain employment. It also pertains to educa- stay that way, he said. ployment,” she wrote. ■ From Page 3 tional institutions and prospective A violation by a business or a Jim Tobin, co-founder of students. school of the stipulations laid out Raleigh, N.C.-based Ignite Social Michigan,” he said. der urged a “no” vote against The bill was approved unani- in the bill, if it were to become law, Media Inc., said it’s sad a law like CMS has plans to mothball Proposal 3, which would have en- mously by the House in September would be considered a misde- this needs to exist. seven of its smaller coal-fired shrined the state’s energy policy and is now sitting on the Senate meanor punishable by up to a “A healthy employer-and-em- units in 2015 or 2016 as new envi- into the constitution and man- floor after being reported from the $1,000 fine. ployee relationship does not start ronmental standards become dated that 25 percent of the Energy and Technology Commit- The impetus for the bill, Nesbitt with asking for clearly personal law, because adding the up- state’s energy come from renew- tee last week. said, came from constituents in his information,” Tobin said. grades to the units to comply able sources by 2025. Nesbitt likened the social media district that had heard about such Common sense dictates that ask- with the law would make the The current energy law man- passwords to practices going on in other states ing for such information is a bad price of the energy created un- dates were signed in 2008 by other invasions; and asked him to work to make idea, he said. competitive in the marketplace, then-Gov. Jennifer Granholm. a job applicant sure it could not happen in Michi- “I don’t tell my children my he said. Snyder said he’d like conversa- would never gan. He said other states, among password; I’m certainly not going Losing those seven plants, tions among stakeholders to oc- give an employ- them Maryland and Illinois, have to give my employer my pass- which are located at facilities in cur in 2013 on the next wave of er the key to been working on similar policies. word,” Tobin said. Muskegon, Bay City and Whit- goals. their post office Nesbitt said the National Federa- And such a request puts people ing, will leave the utility with a “We do need to set new goals as box and let them tion of Independent Businesses-Michi- sitting in a job interview in a very shortfall of generating capacity, we approach 2015, but let’s set go through their gan and the American Civil Liberties awkward situation, he said. he said, and some of the primary them together,” Snyder said. mail or bring in Union of Michigan support the bill. “It would take a very strong per- options to fill that gap are buying That is fine with the state’s all their family “I think that provides a good bal- son to risk their job to say ‘no’,” an existing natural gas plant or Nesbitt two largest utilities, they say, so photo albums to ance in terms of both protecting Tobin said. building a new one. long as the current law is not let the company look through. our electronic privacy while also Mary Corrado, president and “One of our options other than changed before 2015. “Just because it’s technological ensuring that business are able to, CEO of the Livonia-based American mothballing would be to convert “We are entirely open to and them to natur- instead of physical, I believe we if there was criminal activity … Society of Employ- agree that over the next year it’s al gas,” Holy- should still have some of the pro- they are able to respond,” he said. ers, said her or- appropriate to be opening discus- field said. tections,” he said. In testimony earlier this year in ganization does sions about this,” DTE’s Singer “That is an op- Nesbitt said there are also support of the bill, Shelli Weis- background said. tion we have things people list on their Face- berg, legislative director for the checks for mem- Singer and CMS Energy’s discussed.” book page — like their age or reli- ACLU Michigan, said that employ- ber companies, Holyfield said the current law is To build a gious affiliation — that a prospec- ers requiring private passwords and social media working and should run its tive employer is not allowed to ask from employees or job applicants passwords have new facility, it would ideally course, but they support working the job applicant about during the constituted a “frightening and ille- not been re- with the governor about how to interview process. gal invasion of privacy.” quested before. be located near a proceed next. If people have public settings on “Job applicants and employees “Asking for Holyfield “You really need to get to the their information and pictures on should not have to give up their Corrado passwords, I pipeline or 10 percent and assess where social media sites and it is already First Amendment rights, as well as think, is something that is not be- have the ability to have enough you’re at and make a decision on the Internet for anyone to freely risk the security of their private ing done by the majority of busi- fuel brought in, he said. from there,” Holyfield said. search, he said, that is not covered information, by being forced to di- nesses,” Corrado said. “Employers “It’s more infrastructure de- The Michigan Energy Michigan are savvy enough to do their home- pendent than geographically de- work to know if a prospective em- pendent,” Holyfield said. Jobs coalition, which champi- ployee is a good fit.” Len Singer, media relations oned passage of Proposal 3, said Charlie Owens, state director of manager for DTE Energy Co., said Wednesday that it welcomed the NFIB-Michigan, said before decid- the company agrees with the gov- governor’s call for a discussion ing to endorse the bill, the group ernor that natural gas will be a next year on increasing the did a survey of its members. The reliable piece of the state’s ener- state’s renewable energy stan- survey, conducted this spring, gy future. dard. found that 68 percent supported “When it is prudent to retire “Our broad and bipartisan the bill and 27 percent opposed it. our existing coal-fired power coalition welcomes the opportu- “They didn’t feel employers plants, we most likely will nity to have an open dialogue should have that ability to pry into replace them with natural gas with Gov. Snyder, the adminis- their employees’ personal busi- generation — along with some tration and the Legislature about ness,” Owens said. “Small business- renewables,” Singer said. how to make Michigan a leader es are different than big businesses. Snyder said he also wants to in the clean energy sector — a They view their employees more as bring in private partners sector that employs more than partners and family members.” through a state partnership, to 20,000 Michigan workers and Tom Crandell, owner of the create a strategic reserve of nat- contributes $5 billion to our Springfield Do It Center, a hardware ural gas in Michigan. He said it state’s economy,” Mark Fisk, store in Springfield, near Battle would allow for good invest- spokesman for the coalition, said Creek, said he has never met a ment, avoid spot markets that in a statement. business owner who would ask for people jump in and out of, and But others criticized Snyder such a thing. make the asset more sustain- for not being specific about his “We don’t need passwords,” he able. goals for increasing the usage of said. “Once I’m a friend, I can see He also said he wants to begin renewables and energy efficien- everything they post.” a discussion next year on in- cy and not providing more lead- Owens said his members largely creasing the state’s use of renew- ership on the issue. felt it wasn’t something they able energy. Rep. Aric Nesbitt, R- “We urge the governor to would need to do anyway. Lawton, chairman of the natural make his actions speak louder “You can usually get a pretty gas subcommittee, said he would than his words today,” Jim Dul- good idea of a person’s profile by like to learn more from the gov- zo, of the Michigan Land Use Insti- looking at their Facebook page or ernor about the goal of the strate- tute, said in a statement. “The friends, without having to have gic reserve and whether it would governor has a golden opportu- their passwords, because most be to stabilize prices or for the people don’t protect that stuff,” state to make money. nity to make Michigan a leader Owens said. “That stuff is out When obtaining natural gas in clean energy, but he’s not yet there. If you put it out there, gener- through fracking, Michigan has taken it. By utilizing low-cost ally, it’s going to get seen.” a good track record, Snyder said. energy efficiency and wind and Tobin said that when people ap- Fracking has gone on in the state solar power, we can create a ply to his company, he and his staff for more than a decade. more prosperous, cleaner and will look online for what is out “Michigan has done fracking better Michigan. there about the applicant and follow very well,” Snyder said. “We’ve “Since he’s invited a statewide their digital footprint around, but never had a serious problem. conversation on next steps for only what can be found publicly. We do fracking right in Michi- the state’s energy systems, we “To ask for what they have hid- gan.” will work very hard to convince den from the public is well beyond On renewables, Snyder said him those should be bold steps — what an employer should do,” he he wants to increase the goal in the kind that strong leaders said. the state, but he did not state a take.” Chris Gautz: (517) 403-4403, specific percentage he would Chris Gautz: (517) 403-4403, [email protected]. Twitter: like to see. [email protected]. Twitter: @chrisgautz During the fall campaign, Sny- @chrisgautz 20121203-NEWS--0023-NAT-CCI-CD_-- 11/30/2012 5:34 PM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 23 Farm: City Council vote could be near ■ From Page 1 lion, including $500,000 in site about $15,000. cleanup costs and landfill tipping fees. It is a private The tree saplings the company “ Governing urban agriculture expects to plant on the land would business enterprise The city Planning Commission, take decades to yield a marketable at a meeting Friday, will consider quantity of lumber, and that’s if for the business a proposed urban agriculture ordi- the city approves a separate com- nance that would govern commer- mercial farming ordinance. Still, owner to make cial farming enterprises like the Score said, there are other returns one Hantz has proposed. If it pass- on Hantz’s investment that come money, and there are es, Score said, the company may much sooner. side effects that do still have to seek a commercial farm designation under the ordi- The business of trees benefit (the city). nance for its own property. ” If that happens, the company For one thing, Hantz Farms’ sep- could grow shade crops under the Charles Pugh, arate 3-acre project demonstration trees that could in turn be sold to Detroit City Council site is on a brownfield property nurseries, or diversify its horticul- along Mt. Elliott at Brimson Av- Dec. 10 at the East Lake Baptist tural farming there. enue, but it will see natural soil re- Church on Jefferson Avenue. The Hantz has previously proposed a mediation from the saplings it ob- City Council, which tabled the Christmas tree farm and nursery tained and planted there late last Hantz purchase Nov. 20, is expect- site of its own on the farm, in addi- year. Those total 900 oaks, more ed to take it up again Dec. 11. tion to the hardwood growth areas. than 300 sugar maples and nine ap- Council President Charles Pugh But residents were concerned ple trees. said the city this week will send a about the pesticides that Christ- The company cannot harvest mailer to residents in the immedi- mas tree growers tend to use to the lumber at Mt. Elliott because ate area of the purchase, and he preserve the beauty of firs and it’s under an agreement to use the wants to give the project neighbors pines, so that part of the plan is on site only as a demonstrator, Score a chance to speak first at the pub- hold. said, but the company has cleared lic hearing since they are most di- In the meantime, Score said he away several tons of garbage in co- rectly affected. sees no real conflict between oper- operation with the city. “I like what I’ve seen at the ating as a for-profit company and “A growing tree represents (demonstration) site, and that offering public services to neigh- about an annual 5 percent return we’ve seen an immediate impact bors such as blight removal and on equity, because it adds 12 inch- on dumping. I like the fact that we stabilizing property values. The es in height and more than a third will have trees planted, and the only difference in the two types of of an inch in thickness (at the company provides cleanup and enterprises is that nonprofits are trunk),” he said. “The remediation services we’re not always able to required to put profits back into and cleanup also add to the value do,” Pugh said. the stated mission, while for-profit of the property, which at least rep- “I don’t want this oversold as a entities can use them however resents a kind of profit as it adds to way of creating jobs in the city, but they choose. your balance sheet.” it is a private business enterprise Hantz Farms is one of more than Another benefit, Score said, is for the business owner to make 15 companies of Southfield-based that the cleanup effort appears to money, and there are side effects Hantz Group Inc., which employs have halted further pollution, at that do benefit us (the city).” more than 500 people in 14 offices least on a hyperlocal level. Neigh- Pugh and Council Member Ken- statewide. A majority of the com- borhood residents and business neth Cockrel Jr. both voiced some panies are in financial services owners are much less likely to toss support for the urban farming con- and insurance, but some range their own garbage into vacant lots cept, but also some concern about from commercial aviation to in a clean area. protecting neighbors’ interests. court-ordered pension and asset Hantz has demolished three di- That’s because Hantz’s develop- evaluation. lapidated homes at the project site, ment agreement gives the compa- Score came to Hantz Farms from recently acquired another home, ny a right of first refusal on any the Michigan State University Exten- and has its eye on a fifth that it property in the 5,800-lot develop- sion office in Washtenaw County plans for the wrecking ball. ment zone that comes into city four years ago. At the time, Hantz Among other obstacles, the ownership via foreclosure. Group was using the Mt. Elliott streetlights don’t work at the Mt. The agreement allows for Hantz site to house bowling equipment it Elliott site, so Score still has to Farms to purchase any city-owned had purchased for DiLaura Brothers contend with occasional drivers lot in the development district for LLC and Bowling IQ LLC, two Hantz tossing garbage along the road at $300, if it doesn’t first sell for the companies at the same location in night. But Hantz Farms has forged base price of $500 at a Wayne Sterling Heights. ahead on other ideas to generate County Treasurer’s auction on Score said the realities of the money and reduce costs. foreclosed properties. But Score Hantz timber operation make it a Hantz recently acquired a shut- and Cockrel both said the develop- long-term play in Detroit. tered Titan Steel Co. warehouse ad- ment agreement allows homeown- Because the hardwoods are jacent to the project site on Mt. El- ers in the development zone a planted so close together, they will liott, Score said, and is in chance to purchase lots in their tend not to grow branches near the discussions with alternative-ener- own communities for $200 — if ground and produce wood logs gy companies on a plan to demol- they have been maintaining them with fewer knots when harvested. ish the building and install solar and cleared them prior to city own- Some trees will fall or be harvested energy panels. That use would con- ership. as they lose access to sunlight form with the site’s industrial zon- The city also has power to re- amid dense growth, but most trees ing, and the electricity it generates view the sale of lots it collects to will take more than 50 years to would be a revenue stream of its Hantz, Cockrel said. reach their full height. That means own. “We don’t want to see a situation the full return on a hardwood in- The same turnaround can work where the lots are sold to Hantz at a vestment would belong largely to on a larger scale on the lower east low price and then in a couple of future generations. side, benefiting both the company months the company could say, ‘We “This would be a legacy invest- and its neighbors, he said. decide we’re not feeling this urban ment for John Hantz. But there is- “There are nice properties from agriculture,’ and do something n’t any debt involved because it’s a remnant neighborhoods there, and else. That’s why we have a develop- cash-funded business,” Score said. the owners we find want to hold ment agreement,” Cockrel said. “No bank would get behind it, but onto property values and see the “But I do think the development it doesn’t have a lot of operating blight go away,” Score said. agreement addresses a lot of those costs, it yields a benefit to the com- “There are activists or community concerns we had adequately.” munity and he (Hantz) doesn’t groups who might be opposed to Score said the $300 price for fu- have to worry about the invest- our proposal for philosophical rea- ture lots is consistent with the per- ment being able to make him rich, sons, but aren’t necessarily in that lot price of its current purchase because he already is.” area.” proposal, and what it paid for Chad Halcom: (313) 446-6796, A public hearing on the Hantz every lot along Mt. Elliott site ex- [email protected]. Twitter: purchase is scheduled for 6 p.m. cept for Titan Steel, which was @chadhalcom 20121203-NEWS--0024-NAT-CCI-CD_-- 11/30/2012 5:35 PM Page 1

Page 24 CRAIN’S DETROIT BUSINESS December 3, 2012 Pistons: Pricey seats, group sales help team, but not on court ■ From Page 3 son tickets that are counted regardless of whether the fan shows up or not. Soccer gains foothold with fans The reason for the attendance problems is something the Pis- There’s a new competitor for soccer-specific Home Depot Center. tons and pundits have long ac- pro sports dollars. The Pistons are averaging knowledged: Fans simply don’t Major League Soccer, which be- 12,392 after seven games. buy tickets to watch a struggling gan play in 1996, has gained popu- Here’s how the pro soccer team that plays in north Oakland larity steadily, and there’s been league’s average attendance County. scuttlebutt over the past two stacks up against the per-game When they win, fans come out. years that Detroit is a possible ex- average of the most recently com- The Pistons sold out every game pansion city. pleted season of the four U.S. ma- from 2004 through 2008. MLS’ 19 teams averaged a col- jor leagues: The Pistons acknowledge that lective 18,807 fans per game this Ⅲ National Football League: 67,358 the winless streak to begin the season, which runs from March Ⅲ Major League Baseball: 30,895 year has been economically to December. It drew about 6 mil- Ⅲ MLS: 18,807 painful. lion fans in total. Ⅲ National Hockey League: 17,455 “The slow start has had an in- Each team plays 34 regular- Ⅲ National Basketball Associa- credibly negative effect. It doesn’t season games, including 17 home tion: 17,274. give you any momentum to sell games. MLS and Toronto-based Triple more tickets. It’s hurt us,” said The league’s worst team aver- Sports and Entertainment, which Mannion, the former Los Angeles aged more fans than the Detroit owns the Pontiac Silverdome, have Dodgers president hired by new Pistons are averaging so far this acknowledged in media reports owner Tom Gores in September season. that they’ve been in talks about 2011 to run Palace Sports. Chivas USA, which plays in the expansion. The league, however, After seven home games, the Los Angeles suburb of Carson, has said its 20th team is likely to Pistons were averaging 12,392 peo- had the league’s worst average be in New York. ple a game — dead last in the 30- home attendance this season at team National Basketball 13,056 per game at the 18,800-seat, — Bill Shea Association. Worse, they’re filling an average of just 56.1 percent of The More recent estimates were un- holds the contract to manage Mead- Palace’s capacity each game. The available. ow Brook Music Festival for Oakland next worst percentage in the NBA Industry observers are im- University. is the Sacramento Kings at 72.6 per- pressed with the efforts they’ve The venues collectively host 300 cent. seen from Mannion so far. events for 3.5 million people a A four-game win streak at The “Clearly, that’s disappointing year. Palace left the Pistons at 5-11 go- that the attendance has been as Without disclosing many de- ing into games at Memphis on Fri- low as it has, but it’s to be expected tails, Mannion said improvements day and Dallas on Saturday before in this economy,” said former to The Palace seating bowl are on returning to host Cleveland PHOTOS/ANDREW POTTER Palace executive Andy Appleby, tap for the 2013-14 season. He did tonight. The crowd watching Wednesday as the Pistons beat the Phoenix Suns looked now chairman and CEO of say seating access for fans with Management hopes the win smaller than the reported tally of 10,517 people at the 22,076-seat Palace of Rochester-based General Sports and disabilities will be improved but streak persuades people to buy Auburn Hills. Entertainment LLC and a co-owner of doesn’t expect the amount of seats tickets. a British pro soccer team and sta- to change significantly. “The area that is up in the air in dium. Mannion also reorganized the a big, big way is individual ticket A NET DECLINE “The team is rebuilding at this team’s business operations, hired sales,” Mannion said. “You count Here is the Detroit Pistons’ per- point. But the folks from Dennis on a batch of new executives and cre- on that when you have a very game average attendance, with down are very good. It does appear ated jobs and deployed new busi- small season ticket base.” team record and attendance rank they are moving the needle, albeit ness strategies. The team’s season ticket base is in the 30-team National Basketball slowly because of other outside He cannot make jump shots to thought to have fallen off by 50 per- Association in parenthesis: factors. beat the Cleveland Cavaliers, howev- cent over the past five seasons, a 2012-13: 12,392 (5-11, 30th)* “From my vantage point, er. decline of more than 6,000 season 2011-12: 14,413 (25-41, 28th)** they’re doing a very good job with tickets since 2007. That represents 2010-11: 16,660 (30-52, 18th) what they have to work with.” The basketball about $6 million in lost annual rev- 2009-10: 18,751 (27-55, 8th) enue. 2008-09: 21,877 (39-43, 1st) The billionaire What’s out of Mannion’s hands Season tickets range from $359 2007-08: 22,076 (59-23, 1st) is the basketball to $7,000 for a single seat in the Gores, a private equity billion- being played on 2006-07: 22,076 (53-29, 2nd) bowl of The Palace. The bulk of aire who paid $325 million for the The Palace 2005-06: 22,076 (64-18, 1st) those are in the $900-to-$1,000 team and Palace hardwood — range for the 41 home games. 2004-05: 22,076 (54-28, 1st) Sports in June what people buy Another factor in the atten- 2003-04: 21,290 (54-28, 1st) 2011, spent an the tickets for in dance woes: Detroit also hasn’t 2002-03: 20,470 (50-32, 1st) additional $14.5 the first place. yet played the big-draw teams * Through seven home games million on capi- The basket- such as the Los Angeles Lakers, ** 33-game home season, rather tal improve- ball product is Chicago Bulls and Miami Heat — than normal 41, because of labor Owner Tom Gores has spent ments at The the bailiwick of franchises that attract fans to The lockout $14.5 million on improvements at Palace before Pistons Presi- Dumars Palace regardless of the Pistons’ The Palace, including the concourse. the season, in- dent Joe Du- record. cluding total mars, who reports directly to tribute tickets in person. the 200 level, 37 of 50 suites are renovation of Gores. Gores “It makes the whole process of leased. the concourse, The team hasn’t made the play- The bright side group easier,” he said. The 300 level’s 80 suites, at the atrium entrance, club seats and offs since 2008-09 and has begun The Pistons don’t comment Fans also have been willing to top of the arena, are a tougher suites. the past two seasons in abysmal specifically on their financials. pay for the premium experience. proposition, Mannion said. He splits time between Califor- fashion. But the young cadre of Forbes.com estimated the team All first-row courtside seats, Sixteen were converted into a nia and Michigan. Mannion said Brandon Knight, Kyle Singler, generated $9.7 million in operating which range from $25,000 to $50,000 club that can accommodate up to Gores asks questions about the Andre Drummond and Greg Mon- income last season on $141 million each for the season, have sold out, 300 people for events. Ten other in- team but doesn’t issue directives roe is widely lauded for its poten- in revenue. Mannion said. dividual 300-level suites are leased or make suggestions. tial. The empty seats are somewhat A quarter of the second-row for the season. Gores owns Los Angeles-based “We’re very much aware of the deceptive when it comes to the courtside seats, which range from The remainder are available for Platinum Equity LLC. He paid for the need to win to drive attendance,” team’s financial health, however. $12,500 to $25,000 a season, are sold game-by-game rental. majority of the team himself, with Mannion said. “We have to get mo- Group sales have increased be- out, while the third row is used Palace Sports may convert 16 minority investment by one of the mentum going, show competitive cause technology has eased the generally only for big games, he more of those 300-level suites into private equity funds he controls progress. process, Mannion said. said. another club, Mannion said, but — the $2.75 billion Platinum Equity “It’s so easy for an organization A company or organization can Suite sales also are better than that decision hasn’t been made. Capital Partners II. to take on the persona of their email a link to its members, per- expected. Palace suites, which often are Palace Sports, estimated a cou- record, and we don’t have time for mitting individuals to pay and “We’re doing amazingly well,” leased in packages that include ple of years ago to generate about that.” print tickets from a site rather Mannion said. concerts in addition to Pistons $70 million in annual revenue sep- Bill Shea: (313) 446-1626, than having a designated person On the 100 level, all but five of 50 games, were leasing for about arate from the Pistons, also man- [email protected]. Twitter: trying to collect money and dis- suites are leased for the season. On $450,000 a season a few years ago. ages DTE Energy Music Theatre and @bill_shea19 20121203-NEWS--0025-NAT-CCI-CD_-- 11/30/2012 5:36 PM Page 1

December 3, 2012 CRAIN’S DETROIT BUSINESS Page 25 U.S. Bancorp: Loan office expected downtown www.crainsdetroit.com EDITOR-IN-CHIEF Keith E. Crain ■ From Page 1 GROUP PUBLISHER Mary Kramer, (313) 446-0399 or [email protected] long term. This isn’t a test market. “In the last 15 years, U.S. Bank ASSOCIATE PUBLISHER Marla Wise, (313) 446- We’re not going to be there just to has had the top-rated management 6032 or [email protected] EXECUTIVE EDITOR Cindy Goodaker, (313) 446- get out in a year,” said Bill Bertha, team in banking. That they 0460 or [email protected] U.S. Bank’s executive vice presi- reached out to Jim says a lot about MANAGING EDITOR Jennette Smith, (313) 446- 1622 or [email protected] dent for Wisconsin and Michigan. his capabilities,” said Bill Camp- MANAGER, DIGITAL CONTENT STRATEGY Nancy “There’s a lending void in the bell, who co-founded W.Y. Camp- Hanus, (313) 446-1621 or [email protected] DEPUTY MANAGING EDITOR Daniel Duggan, (313) state. We’re looking to lend, and bell with William McKinley in 1988 446-0414 or [email protected] we have a strong capital base with and continued to help run it after SENIOR EDITOR Bob Allen, (313) 446-0344 or [email protected] a full range of products to do it,” it was sold to Comerica in 1995. WEST MICHIGAN EDITOR Matt Gryczan, (616) 916- said Bertha, who said U.S. Bank “Jim was an exceptionally valu- 8158 or [email protected] SENIOR EDITOR Gary Piatek, (313) 446-0357 or will concentrate on middle-market able employee at W.Y. Campbell. [email protected] lending, which Hilmer defines as He made good money for us year in SENIOR DESIGNER Jeff Johnston, (313) 446-1608 or [email protected] companies with revenue between and year out,” said Campbell. DATA EDITOR Brianna Reilly, (313) 446-0418, $70 million and $1 billion. Hilmer was credited as sole man- [email protected] WEB PRODUCER Norman Witte III, (313) 446- “Michigan has a good story to ager on more than 300 underwrit- 6059, [email protected] tell, and more capital will help. I’m ings in 15 years at W.Y. Campbell. EDITORIAL SUPPORT Robertta Reiff, (313) 446- 0419; YahNica Crawford, (313) 446-0329 not going to put numbers on it, but Hilmer is temporarily working NEWSROOM (313) 446-0329, FAX (313) 446- when I say we’re going to be top out of U.S. Bank’s Southfield loan 1687 TIP LINE (313) 446-6766 three in market share, that’s say- office while he looks for a perma- REPORTERS ing a lot. There are big boys who nent location for commercial lend- Daniel Duggan, deputy managing editor: (313) have been in that market a long NATHAN SKID/CRAIN’S DETROIT BUSINESS ing. He said he already has several 446-0414 or [email protected] James Hilmer said he has several loan deals in the pipeline as he prepares to Jay Greene, senior reporter: Covers health care, time,” said Bertha. loan deals in the pipeline, well insurance, energy utilities and the environment. direct a new U.S. Bancorp commercial loan office in Southeast Michigan. (313) 446-0325 or [email protected] National and regional banks ahead of schedule. Chad Halcom: Covers litigation, higher education, don’t generally break out figures BOA, Wells Fargo, Citigroup and Michigan, had $13.9 billion in as- “I didn’t bring a book of busi- non-automotive manufacturing, defense contracting and Oakland and Macomb counties. for commercial lending by state. Chase are No. 1-4, respectively — sets. The oldest bank in Michigan, ness, but I brought a book of con- (313) 446-6796 or [email protected] But according to American Banker has had a small presence in Michi- Comerica, which is headquartered tacts, and I’ve been working them Tom Henderson: Covers banking, finance, technology and biotechnology. (313) 446-0337 or Magazine, as of June 30, U.S. Bank gan until now. in Texas, had $62.7 billion in assets. hard and they are paying off,” said [email protected] was No. 6 in the nation for the size It has a small home mortgage of- For the third quarter that ended Hilmer. “There’s a lot of pent-up Bill Shea, enterprise editor: Covers media, advertising and marketing, the business of sports, of its commercial and industrial fice in Southfield and corporate Sept. 30, U.S. Bancorp reported demand that needs to be met in the and transportation. (313) 446-1626 or loan portfolio, $45.4 billion. trust offices in downtown Detroit, record net income of $1.5 billion next couple of years, and we want [email protected] Nathan Skid, multimedia editor. Also covers the National rankings for other Lansing and Grand Rapids. It em- and new and renewed commercial to help meet it.” food industry and entertainment. (313) 446-1654, banks with a strong Southeast ploys about 60 in the state. Accord- lending of $35.7 billion. Hilmer said he will hire experi- [email protected] Dustin Walsh: Covers the business of law, auto Michigan presence were: No. 1, ing to Nicole Garrison-Spregner, U.S. Bank has no bank branches enced loan officers as he builds a suppliers and steel. (313) 446-6042 or Bank of America, $184.5 billion; No. vice president of corporate public in the state and until recently had pipeline of deals. [email protected] Sherri Welch: Covers nonprofits, services, retail 4, Chase, $132.5 billion; No. 5, PNC, relations, the bank has no plans to no commercial loan operations Mike Semanco, president and and hospitality. (313) 446-1694 or $53.9 billion; No. 7, Ally, $42.5 bil- open retail banking branches in here. It has done a limited amount of CEO of Rochester-based Hennessey [email protected] LANSING BUREAU lion; No. 9, Fifth Third, $27.7 billion; Michigan. commercial lending here, some of it Capital LLC, an asset-based lender, Chris Gautz: Covers business issues at the Capitol No. 10, Comerica, $25.1 billion. Nationally, U.S. Bank has nearly when it was asked to join syndicated said U.S. Bank’s presence here and utilities. (517) 403-4403 or [email protected]. U.S. Bank, the fifth-largest bank 3,100 offices in 25 states and $352 deals others were putting together. makes sense and will help Michi- ADVERTISING

in the U.S. and the largest of the so- billion in assets. By contrast, as of “We’ve been serving the Michi- gan businesses. SALES INQUIRIES: (313) 446-6052; FAX (313) called superregional banks that June 30, 2010, Flagstar Inc., the gan market, mostly from Milwau- “We’re leading the country out 393-0997 don’t have a national footprint — largest bank headquartered in kee and Chicago,” said Bertha. of the recession, and if you’re a big SALES MANAGER: Tammy Rokowski “But it’s always better to have peo- bank, you want to have an opera- SENIOR ACCOUNT EXECUTIVE: Matthew J. Langan ple on the ground, people with tion at the center of the recovery,” ADVERTISING SALES Christine Galasso, Lori good skills who know the area.” he said. Tournay Liggett, Dale Smolinski He said that as the Michigan U.S. Bank has a focus on asset- CLASSIFIED SALES (313)-446-0351 economy and the state’s auto indus- based lending, too, but Semanco EVENTS DIRECTOR Nicole LaPointe DIRECTOR, INTEGRATED MARKETING Eric Cedo try recovered, U.S. Bank decided it said that while his firm and U.S. SALES PROMOTION MANAGER Karin Pitrone wanted a much bigger presence Bank share a niche, they won’t be EVENTS COORDINATOR Kacey Anderson here. Concurrently, Hilmer came to fighting for customers. SENIOR PRODUCER FOR DIGITAL/ONLINE the bank’s attention last summer. “They’ll be doing larger deals PRODUCTS Pierrette Dagg John Donnelly, of managing di- than we do,” he said. “We won’t be MARKETING ARTIST Sylvia Kolaski SALES SUPPORT Suzanne Janik, YahNica Crawford rector of the Grosse Pointe invest- competing with them, and they CUSTOMER SERVICE ment banking firm of Donnelly Pen- won’t be taking deals away from man & Partners, which has its main us.” PRODUCTION MANAGER Wendy Kobylarz PRODUCTION SUPERVISOR Larry Williams focus on the banking industry, Michael Ritchie, Comerica’s ex- MAIN NUMBER: Call (877) 824-9374 or write said U.S. Bank’s leap into commer- ecutive vice president of middle- [email protected] SUBSCRIPTIONS $59 one year, $98 two years. cial lending here is big news. market lending in Michigan who Out of state, $79 one year, $138 for two years. “Look, U.S. Bank is the gold will replace Tom Ogden as Michi- Outside U.S.A., add $48 per year to out-of-state rate for surface mail. Call (313) 446-0450 or standard. They’re considered the gan market president in July, said (877) 824-9374. best bank in the U.S. and among U.S. Bank’s expanded presence SINGLE COPIES: (877) 824-9374 the most respected banks in the here is further proof of how far the REPRINTS: (800) 290-5460, ext. 125; (717) 505-9701, ext. 125; or lindsay.wilson world. You have to take this seri- state has come since the bottom of @theygsgroup.com ously. They didn’t do this just to the recession. TO FIND A DATE A STORY WAS PUBLISHED: (313) 446-0406 or e-mail [email protected] dabble,” he said. “And they’ve “It’s another sign of the revival CRAIN’S DETROIT BUSINESS IS PUBLISHED BY hired a top-notch person to do it.” Michigan is going through. We’ve CRAIN COMMUNICATIONS INC. Hilmer had been a vice presi- become much more competitive CHAIRMAN Keith E. Crain dent of investment banking for relative to the rest of the country,” PRESIDENT Rance Crain TREASURER Mary Kay Crain Comerica before joining W.Y. he said. Executive Vice President/Operations Campbell in 1995. He ran its highly Ritchie said U.S. Bank’s pres- William A. Morrow Group Vice President/Technology, profitable public finance group. ence is also good news for state Manufacturing, Circulation “Hilmer is a problem-solver and companies. “There are a lot of cap- Robert C. Adams Vice President/Production & Manufacturing one of the smartest commercial ital intensive companies here that Dave Kamis lenders I’ve ever come across. You need bank financing,” he said. Chief Information Officer Paul Dalpiaz put him on a deal, and he’ll get it But while he welcomes more capi- Chief Human Resources Officer done,” said Cliff Roesler, manag- tal to the state, Ritchie made it clear Margee Kaczmarek ing director of Birmingham-based Comerica has no intention of giving Director of Audience Development Operations Michelle Roth financial advisory firm Angle Advi- up market share without a fight. G.D. Crain Jr. Founder (1885-1973) sors LLC. “I’m glad some of these other Mrs. G.D. Crain Jr. Chairman (1911-1996) EDITORIAL & BUSINESS OFFICES: Roesler and Kevin Marsh banks are starting to find us. But 1155 Gratiot Ave., Detroit MI 48207-2732; (313) formed Angle when W.Y. Campbell we’ve always been here, through 446-6000 Cable address: TWX 248-221-5122 AUTNEW DET disbanded in 2010 after negotia- tough times and good times,” he CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 tions for employees to buy the com- said. “Competition is the Ameri- is published weekly, except for a special issue the third week of August, and no issue the third week pany back from its parent compa- can way. I’m OK with it. We have a of December by Crain Communications Inc. at ny, Comerica, hit a dead end. huge presence here. We have 150 1155 Gratiot Ave., Detroit MI 48207-2732. Periodicals postage paid at Detroit, MI and Others left to form a second in- people dedicated to middle-market additional mailing offices. POSTMASTER: Send address changes to CRAIN’S DETROIT BUSINESS, vestment banking firm, Birming- lending. We’re good at it, and Circulation Department, P.O. Box 07925, Detroit, ham-based Quarton Partners LLC, we’re very proud of the team we MI 48207-9732. GST # 136760444. Printed in U.S.A. while Hilmer remained to help have.” Entire contents copyright 2012 by Crain Comerica wind down affairs at Tom Henderson: (313) 446-0337, Communications Inc. All rights reserved. Reproduction or use of editorial content in any W.Y. Campbell and attend to deals [email protected]. Twitter: manner without permission is strictly prohibited. in the pipeline. @tomhenderson2 20121203-NEWS--0026-NAT-CCI-CD_-- 11/30/2012 5:51 PM Page 1

Page 26 CRAIN’S DETROIT BUSINESS December 3, 2012 RUMBLINGS WEEK ON THE WEB FROM WWW.CRAINSDETROIT.COM, WEEK OF NOV. 22-30

Beydoun and others went to seeking $455 million in by Moody’s Investors Service, allow for his return to the Court delays loans to refinance debt, citing a cash crisis that may Gilbert may U.S. said a person with knowl- mean bankruptcy or default After a dispute with an affirmation-action edge of the transaction. in the next 12 to 24 months. ex-boss of Wataniya in 2009 Ford Motor Co. began State Rep. Fred Durhal led to a court proceeding, tearing down a portion of Jr., a Democrat, announced Beydoun was forced to re- ban reversal its 4.7-million-square-foot that he intends to run for add old Kresge main in Qatar due to the Wixom Assembly Plant and mayor of Detroit. country’s labor laws. For a he ruling that ended said it is in sales negotia- The “Music of Queen” foreign worker to be al- Michigan’s ban on tions on the property. concert series at Orchestra lowed to leave, an exit per- T affirmative action in The Detroit Metropolitan Hall brought in more than building to fold mit must be granted by the college admissions was put Credit Union is absorbing the $150,000 in sales, making it Qatari employer. on hold until the U.S. assets and membership of the highest-grossing con- Beydoun reached out to Supreme Court decides to the Clawson Community Credit cert weekend in the Detroit he building that WMGC FM 105.1 has been U.S. Sen. Debbie Stabenow hear an appeal by state At- Union in a deal that has Symphony Orchestra’s 125- once housed the S.S. airing a promo ad in which and other members of torney General Bill Schuette. gained approval from state year history. T Kresge retailer could a cheerful Santa-voiced Michigan’s congressional The 6th U.S. Circuit Court and federal regulators. Officials said 15,000 become part of Dan Gilbert’s man claims the station delegation, who wrote to of Appeals in Cincinnati is- Ann Arbor-based people visited the Detroit His- still-growing real estate em- plays more holiday music U.S. and Qatari officials. He sued an order staying its NanoBio Corp. announced torical Museum the weekend pire. than its December competi- returned to Michigan last Nov. 15 ruling that the vot- that it closed on an $11 mil- it reopened to the public af- The 70,000-square-foot tor, adult contemporary October after receiving an er-approved mandate was lion round of venture capi- ter six months of renova- building, at 1201 Woodward WNIC FM 100.3. exit grant permit from unconstitutional. tal funding from existing tions. The museum opened Ave., is close to being sold, Dearborn-based WNIC Qatari officials. investors to continue devel- for 55 hours free of charge. and Gilbert’s real estate has been the local ratings The 248-page book is pub- oping treatments for cold Sidney Gilman, the Uni- group is one of the three leader in holiday music for lished in softcover ($22.95 ON THE MOVE sores, cystic fibrosis, geni- versity of Michigan neurolo- bidders on the building, ac- some time, and WMGC on Amazon.com) and hard- Barbara Murray plans to tal herpes and respiratory gy researcher named by au- cording to real estate would like some of the lu- cover ($32.95) by New York retire in syncytial virus. thorities as the person who sources. crative ratings enjoyed by City-based Algora Publishing. March af- The Detroit Red Wings leaked data to an SAC Capi- The other two bidders its rival. ter 23 years are worth $346 million in tal Advisors LP hedge fund weren’t identified. Building Phone and email mes- Super Bowl ad choir leading the latest annual National manager charged with in- owner Dennis Kefallinos sages were left for Steve Kos- AIDS Part- Hockey League franchise sider trading, resigned his would not comment on the bau, the market manager releases new album nership valuations from Forbes.com university position. potential deal. for Greater Media Detroit Inc., Michigan — an estimate that drops Lafayette Place, a $20 Grosse Pointe’s Selected Purchasing the building which owns WMGC, and Inc. The or- the team two slots, to sixth, million redevelopment of of God gospel choir, which would be consistent with Nick Gnau, who holds the ganization in the 30-team league. the 80,000-square-foot for- rose to fame with its perfor- Gilbert’s other recent acqui- same role for WNIC owner is seeking Murray Fisker Automotive, the mer Sears department store mance of Eminem’s “Lose sitions. He has bought up Clear Channel. her replacement. Anaheim, Calif.-based mak- built in 1929, was set to Yourself” in Chrysler’s Su- Woodward-fronting build- Former Detroit Free er of luxury plug-in hy- open Saturday in Pontiac. per Bowl commercial in ings between Grand Circus Press Publisher David brids, hired former General The Dossin Great Lakes Businessman’s book 2011, has released its latest Park and Campus Martius, Hunke, who retired in Sep- Motors global marketing Museum on Belle Isle closed album, “The Evolution II.” particularly buildings with tember as president of USA boss Joel Ewanick as interim for five months of renova- recalls Qatar detainment A press release touting available retail space. Today, has joined Detroit- chief of global sales and tions that will result in a A local Arab-American the album describes it The 1201 Woodward based software firm Digerati marketing. greater emphasis on the businessman who spent al- showcasing the choir’s “sig- building was renovated by Inc. as chief strategy officer. Detroit River and its role in most two years as a sort of nature hip church swag” Kefallinos in 2007 and 2008 Philip Hanlon, provost at the growth of the region. hostage to international law and described the tunes as a to be converted to a retail the University of Michigan, is LANSING NEWS Cobo Center finished “poetically written; contem- project. It once housed cor- in Qatar recently published leaving to become president its 2012 fiscal year, ending porary, urban and inspira- The state Senate ap- porate offices and a retail a book that documents his of Dartmouth College. He re- Sept. 30, $2.4 million under tional compilation.” proved legislation to create outlet for Kresge, which release from the Persian places Jim Yong Kim, who budget after originally Details about the album, a regional transit authority evolved to become the Kmart Gulf country last year. now leads the World Bank. planning for a $500,000 loss, which is available in stores for Southeast Michigan, af- Corp. Nasser Beydoun, 48, a for- Steve Hilfinger, director the Detroit Regional Conven- and online, are at selectedof- ter concern the idea was mer executive director of of the state Department of Li- tion Facility Authority said. god.com. The album is dis- doomed following squabbles the American Arab Chamber of censing and Regulatory Affairs, American Banker mag- tributed by New York City- among Detroit and subur- Santa drafted in radio war Commerce, traveled to Qatar is leaving his post to be- azine named Cathy Nash, based Kobalt Music Group. ban lawmakers. over holiday music after being hired as CEO of come chief operating officer A state House panel de- president and CEO of Flint- Wataniya Restaurants QSC, a of the Michigan Economic De- layed a hearing on a propos- based Citizens Republic Ban- It wouldn’t be the holiday Qatari investment group velopment Corp. starting Dec. al to end Blue Cross Blue corp Inc., one of three com- season if there wasn’t bick- BITS & PIECES that sought to open Ameri- 10, MLive.com reported. Shield of Michigan’s tax-ex- munity bankers of the year. ering: One of Detroit’s can restaurants such as Elizabeth Hardy, mem- empt status and transform The Michigan Depart- Christmas music radio sta- Sbarro and Caribou Coffee in ber of Kienbaum Opperwall it from a charitable trust to ment of Community Health re- tions is taking a shot at its the Middle East. Hardy & Pelton PLC, has been COMPANY NEWS a customer-owned nonprofit ceived a three-year, $1.6 archrival, and it’s using The Glass Palace: Illu- inducted as a fellow of the Agency 720, an ad mutual insurance company. million grant from the Cen- Santa Claus to do the dirty sions of Freedom and American College of Trial agency representing Chevro- Leaders from the gov- ters for Disease Control and work. Democracy in Qatar chroni- Lawyers, an invitation-only let dealer groups, is moving ernor’s office and the Legis- Prevention to monitor acute Adult contemporary cles the story of the lengths group of top trial lawyers. 31 employees from Troy to lature introduced a plan to and viral hepatitis. an office in One Detroit eliminate the taxes busi- Michigan is expected to Center. nesses pay on computers get new advanced battery Sterling Heights-based and equipment used in the research facilities in Ann General Dynamics Land Sys- manufacturing process. Arbor and Holland as part of tems notified officials it The plan would require vot- a partnership involving the would lay off 98 employees er approval. U.S. Department of Energy. Jan. 6 at the Anniston The Southeast Michigan BEST FROM THE BLOGS Purchasing Managers Index (Ala.) Army Depot, which READ THESE POSTS AND MORE AT WWW.CRAINSDETROIT.COM/BLOGS employs 500 to build and re- OTHER NEWS fell seven points in Novem- pair the Stryker eight- A judge has upheld ber to a level of 51.9. A fig- A farewell not to forget Cure for Wings withdrawal? wheeled armored vehicle. most aspects of a new law ure above 50 reflects an ex- Detroit-based lender requiring Michigan public panding economy in the While she didn’t The annual charity Ally Financial Inc., majority- school employees to pay index, a joint effort of the say“ “vagina” this time, hockey“ game pitting owned by the U.S., plans to more for their pensions. In- Institute for Supply Manage- it didn’t make Rep. Lisa Carhartt Inc. employees issue $500 million of bonds gham County Circuit Judge ment-Southeast Michigan and Brown’s speech on the and customers against to repay borrowings, Rosemarie Aquilina rejected the Wayne State School of House floor any less Detroit Red Wings Bloomberg News reported. Business Administration. shocking. alumni is getting special broader challenges from interest, given the Troy-based Flagstar teachers unions that the ” current NHL Bancorp Inc. was notified by law is rife with unconstitu- OBITUARIES lockout. the New York Stock Exchange tional provisions and con- that it is in compliance tract violations, the AP re- H. Clay Howell, former ” with the exchange’s pricing ported. An appeal is likely. executive director of United Capitol Correspondent Chris Gautz’s blog on the Reporter Sherri Welch’s blog about Southeast rules and no longer faces Detroit had its bond Way for Southeastern Michi- Lansing beat can be found at Michigan nonprofits can be found at possible delisting. ratings cut deeper into non- gan, died Nov. 15. He was www.crainsdetroit.com/gautz www.crainsdetroit.com/welch Greektown Casino LLC is investment-grade territory 82. DBpageAD_DBpageAD.qxd 11/14/2012 8:54 AM Page 1

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