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Businesses boost aid for parade
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..... 0011 up your investment portfolio PAGE 26
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Trade talks worry U.S. auto parts makers PAGE 4
WEEK OF NOV. 25 - DEC. 1, 1985 VOLUME 1
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NO. 43
Interstate race is on NBD, Comerica join hunt for acquisitions BY CHARLES CHILD CRAIN'S DETROIT BUSINESS
NBD Bancorp Inc. and Comerica Inc. are the Michigan bank holding companies most likely to expand across state lines in the upcoming era of interstate banking, bank analysts say. The door to interstate banking for Michigan banks was all but opened last Wednesday when the Michigan Senate approved legislation to permit acquisitions in neighboring states. Gov. James Blanchard is expected to sign the bill, which would become law Jan. 1. Indiana was the first state bordering Michigan to pass an interstate bill. Ohio followed suit this summer. Michigan's bill says state banks may enter Ohio, Indiana and Illinois, plus Wisconsin and Minnesota,
GLENN TRIEST
David Wagner of D&A Prototype works with a panagraph machine.
BY JANE WHITE CRAIN'S DETROIT BUSINESS
Detroit area tool and die shops and stamping plants are doing so well that they're grabbing up buildings, employees and in some cases other companies to keep up with demand. At the same time, they are looking to diversify or expand their services as a hedge against auto companies' future bad fortunes or pickier purchasing habits.
Special to CRAIN'S DETROIT BUSINESS
"We're up probably 100 percent" in sales since 1982 , when the stamping industry took a drubbing, said Robert Rink, vice president of Prestige Stamping Inc. in Warren. Prestige, which grosses between $15 million and $20 million in annual sales, expanded into a 42,000square-foot building next door in January, tripling its space. "We've also gone from 45 to 85 employees in the last year and a See STAMPING, PAGE 30
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See BANKS, PAGE 29
Liability costs put architects in bind BY DONNA RAPH AEL
Thriving tool and die shops will diversify to play safe
once those states pass reciprocal laws. Wisconsin and Minnesota are still deliberating. Michigan National Corp. and Manufacturers National Corp., the Detroit area's third and fourth largest bank holding companies, may acquire banks or be acquired themselves, observers believe. Michigan National, with assets of $6.9 billion, is considered a takeover candidate because it has a lucrative credit operation, the largest in the state. Manufacturers, with assets of $6.4 billion, was the most profitable of the four top bank companies based in the Detroit area for the first nine months of this year. "You might look for Manufacturers to make some small transactions (purchases), but they seem to be
Rising malpractice insurance premiums are putting the squeeze on architects, forcing some to practice without insurance and threatening the continued operations of others. Premiums for local architectural firms have risen at least 100 percent to 150 percent this year, with some increases as high as 800 percent. Similar increases are in effect across the country. "We're in the same situation as doctors," said Bob Greager, president of the Michigan Society of Architects. Rates for Greager's firm, Kenneth NeumannIRobert Greager &
DETROIT ARCHITECTURE SECTION
Associates, of Southfield, more than tripled this year, despite a significant rise in its deductible. The premium rose from $7,648 for $1 million worth of coverage with a $5,000 deductible, to $24,000 for the same coverage with a $15,000 deductible. Insurance eats 21/2 percent to 5 percent of gross fees, while in t he past it accounted for about 1 percent, according to Jim Phaendtner , senior consu ltant with Detroitbased Rossetti Associates Ar chitects Planners. Phaendtner heads the Professional Liability Task Force for the Michigan Society of Architects. See LIABILITY, PAGE 29
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In a specia l section , Crain's Detroit Business reports on criticisms by local architects of recent major projects in Detroit, including the Millender Center. Other stories include: Giffels Associates Inc. 's efforts to land a contract for a new auto plant; the plans of world-acclaimed architect Minoru Yamasaki, designer of the World Trade Center in New York City, and Harley Ellington Pierce Yee Associates' unusual area of expertise - cemetery design. See Pages 15-19. ~
Booth offers some employees early retirement incentives pages on a computer terminal, eliminating the manual cutting and pasting of type and pictures. CRAIN'S DETROIT BUSINESS Pagination will eliminate nearly all composing room Composing and typesetting employees at The Ann jobs, said Mary Sepucha, labor relations associate for the Arbor News are being offered cash buyouts to take early American Newspaper Publishers Association in Reston, Va. retirement or leave the paper. "The need for composing rooms will largely disappear Grand Rapids-based Booth Newspapers Inc. is offering the termination incentives to the 106 composing room because of computer technology," she said. She said employees at its eight newspapers around the state newspapers typically offer generous buyouts when proin an effort to thin ranks and prepare employees for duction jobs become obsolete. technology that may eliminate their jobs. Pagination approaches at a time when many newspapers' composing room employees have job guarantees in "The technology is changing, and this is an opportunity for these employees to plan their future," said their union contracts. Booth's unionized composing room employees are Roger Schoemaker, vice president of Booth. Booth is preparing for the entry of "pagination" - a See BOOTH, PAGE 30 ~ computerized process in which editors compose entire BY AMY BODWIN
KMS Industries research scientist Otho Ulrich works with a laser. The Ann Arbor firm has patented a laser method of making industrial diamonds. Story, Page 5 ~