20120116-NEWS--0001-NAT-CCI-CN_-- 1/13/2012 7:30 PM Page 1 INSIDE IF YOU DO JUST ONE THING, TOP STORIES GUV... Hey, Mitt: Michael Make it pension Gross tries to fire reform, says Carol his health insurer ® Kellermann PAGE 4 PAGE 14 Jones Group struggling VOL. XXVIII, NO. 3 WWW.CRAINSNEWYORK.COM JANUARY 16-22, 2012 PRICE: $3.00 to find the right fit PAGE 3 Tick, tick, Daily News to Post: tick for Drop dead. Tabloid war back on in NYC Bloomie’s PAGE 3 Why tech, media legacy crave Hudson Sq. PAGE 4 Mayor eyes schools, A juicy case of jobs in his final two insider trading years; other gains IN THE MARKETS, PAGE 6 are set in stone Arianna Huffington meets Al-Jazeera BY JEREMY SMERD NEW YORK, NEW YORK, P. 8 Ed Koch restored the city’s fiscal health. Rudy Giuliani curbed crime. What will Mayor Michael Bloomberg be remembered for? There is, of course, no single an- swer—at least not yet. For the mayor, that is good news. He still has two years to write his administration’s final chapters and deliver on goals that have eluded him. And he made clear in his State of the City address last week that A CLASS BY HIMSELF: he plans to stay focused on his major Joseph Ficalora has taken priorities:education and economic de- his NY Community Bancorp velopment. BUSINESS LIVES from total obscurity to one of the nation’s top 40. “We don’t walk away from things,” he told Crain’s. “If you don’t get some- GOTHAM GIGS See BLOOMBERG on Page 42 A real fixture on the P. 47 city’s bar scene larry ford ● ANNE FISHER How to sell local artwork to a global audience P. 47 Building ● MOVERS & SHAKERS Leading contractors to THE LOAN RANGER industry higher ground P. 48 ● GAEL GREENE Favorite restaurants of 2011 P. 54 Joe Ficalora is one of banking’s sharpest shake-up lenders. Too bad about those slumlords INDEX Related Cos. brings That figure is so out of step with the bank’s THE INSIDER _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _10 BY AARON ELSTEIN peers—the industry median was $3.19—that it’s al- in outside contractor NEIGHBORHOOD JOURNAL _ _ _ _ _ _ _ _ _ _ _ _ _18 most as if Mr. Ficalora is operating on a different for Hudson Yards SMALL BUSINESS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _20 To many,Joseph Ficalora is an exemplar of banking. planet. To top it off, since taking his bank public in FOR THE RECORD _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _22 In his 19 years at the helm of New York Commu- 1993, Mr. Ficalora has delivered an average gain for nity Bancorp, he has taken it from obscurity to be- shareholders of 18% a year,triple the industry norm. BY DANIEL MASSEY CLASSIFIEDS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _38 EXECUTIVE MOVES come one of the nation’s 40 largest banks, all the “Banking is at heart a simple business:You take de- _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _47 while—in good times and bad—rarely making a dud posits, make loans and you don’t take big risks,” said Deeply dissatisfied with the two dozen WEEK ON THE WEB _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _52 loan. Over the past five years, including those of the Thomas Kahn,president of Kahn Brothers Group,an agreements negotiated over the sum- CHEAT SHEET _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _52 greatest financial collapse since the Depression, investment firm and longtime NYCB shareholder.“A mer between unions and contractors, THE WEEK AHEAD _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _54 NYCB has written off a mere 54 cents for every $100 lot of people forgot that. Joe never did.” and desperate to bring down the costs of loans, according to SNL Financial. See FICALORA on Page 40 of its massive Hudson Yards project, the Related Cos.has made a move cer- tain to shake the foundation of the REPORT REAL ESTATE city’s construction industry. The powerhouse developer last ELECTRONIC EDITION Graveyard shifts spur new life for city week brought construction giant Tutor neighborhoods. Top deals of 2011. Forecasts Perini Corp. in from California to be the contractor on its $4 billion,15-year for 2012. And more. PAGES 27-34 Hudson Yards undertaking,Crain’s has NEWSPAPER See RELATED on Page 42 20120116-NEWS--0003-NAT-CCI-CN_-- 1/13/2012 7:32 PM Page 1 IN BRIEF It’s on! Tab war A THIRD OF CITY RETAIL WORKERS SUPPORT FAMILIES ON LESS THAN $10 AN HOUR, AND more than half have no health insurance or rely on government programs for it, according to a survey conducted by Retail Action Project, a nonprofit advocacy group and the City pits Colin vs. Col University of New York’s Murphy Institute. The study, which will be published Jan. 17, surveyed 436 workers in jobs across the five boroughs to provide a data-driven snapshot of a New Daily News low-wage sector of the economy. Nearly one- third of those surveyed supported at least one editor Myler takes additional family member on their wages; their median income was $9.50 an hour. More than on his former boss half made less than $10 an hour, and one in five earned less than $8 an hour.The state and Allan at the Post federal minimum wage is $7.25.The retail sector, which is increasingly dependent on pools of part-time labor to accommodate the more BY MATTHEW FLAMM flexible schedules of shoppers, has typically been considered an entry-level job, focused on His paper keeps shedding readers, he’s cut younger employees or women who are also some two dozen staffers in just the past few juggling family-raising duties. But more than months and he faces an irreversible decline 70% of surveyed workers had completed some in print advertising as readers and dollars college or possessed a college degree.The study move to the Web. But Daily News owner also revealed that 71% of retail workers do not Mort Zuckerman is not giving up. receive health benefits of any kind through That’s the message the real estate their work, with 34% turning to government mogul appears to be sending with his high- programs for medical coverage. n profile new hire, Colin Myler, who started last week as the tabloid’s latest editor in chief. The 59-year-old Briton is a former BY THE NUMBERS Rupert Murdoch lieutenant and onetime No. 2 editor at the archrival New York CHEERIO: Colin Weekly shift of the city’s economy Post—which marks his appointment as the Myler holds up most aggressive strategic move Mr. Zuck- the last issue of ON SECOND THOUGHT Figures for holiday season retail sales and initial claims for unem- erman has made in years. the scandal- ployment benefits were surprisingly bad last And aside from his Fleet Street savvy, plagued News of week, just as euro worries were rising again. Mr.Myler brings a little something extra.As the World. the final editor of News of the World, he was caught up in last summer’s phone-hacking newscom 1.4% $20.1B 5.6M scandal,but was one of the few top Murdoch 2010 effective TOTAL magazine VISITORS to the TALE OF THE TAPE tax rate for private ad revenue for Met in the year employees to come off looking good. equity firm Carlyle 2011, up $8 ended June He opposed the family’s decision to COLIN MYLER VS. COL ALLAN Group million 2011, a record shut down the Sunday tabloid in an at- Source: Carlyle from 2010 Source: Metropolitan tempt to contain the scandal. And he in- Age Group Source: Publishers Museum of Art sisted James Murdoch had been informed 59 58 Information Bureau that hacking was widespread at the pa- Nationality STRUGGLING TO EAT The number of NYC residents who per—disputing the News Corp.scion’s tes- British Australian have difficulty affording food has slipped dramatically timony that he’d been told it was limited to Management style since 2008 but still accounts for 35% of the population.