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CRAIN’S Readers first for 30 Years
DETROIT BUSINESS
The X’s and O’s of XPO’s 18-wheel deal to acquire Con-way,
Lear to buy Gilbert building for downtown innovation center,
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SEPTEMBER 28-OCTOBER 4, 2015
Homecoming spurs expats to give back, invest in city Invitees to return to Detroit this week for second event By Dustin Walsh dwalsh@crain.com
Soon after Thomas Tierney graduated from Wayne State University in 1960 and became an officer in the U.S. Air Force, he left Detroit — and didn’t
Hudson’s, Monroe Block plans on deck? Gilbert controls two coveted downtown parcels By Kirk Pinho kpinho@crain.com
By the time Dan Gilbert moved his online mortgage company downtown in 2010, he had sewn up the rights to develop three prime pieces of central business district land as part of the incentive package to lure Quicken Loans Inc. to Detroit from Livonia. Although one of the projects, The Z
garage, has been completed, the founder and chairman of Quicken and Rock Ven tures LLC and now downtown’s most prolific real estate buyer, still has the development rights to the other two: The 2-acre former site of the Hudson’s department store and a 1.96-acre site known in development circles as the Monroe Block. What’s next for these two properties, considered by many to be the two most
desirable in downtown Detroit, is expected to be determined soon. Development plans for the Hudson’s site on Woodward Avenue between State Street and East Grand River Avenue are expected this year, and plans for the Monroe Block — bounded by Monroe, Farmer and Bates streets, Woodward and Cadillac Square east of the Compuware building — are due next year.
look back. That’s until his alma mater came calling. Last year, Wayne State persuaded Tierney, president of Tustin, Calif.-based VitaTech Nutritional Sciences Inc., to attend the inaugural Detroit Homecoming event. This year, Tierney will return to his hometown, as among more than 170 “Detroit expats” who will descend on the Motor Thomas Tierney: City from Wednesday through Hecker Smilely Friday for the invitation-only mansion renamed Detroit Homecoming. Last after his $2M gift. year’s event attracted about 160. Also this week, the university will dedicate the former Hecker Smiley mansion property on Woodward Avenue to Tierney, thanks to a $2 million gift. The mansion, now owned by Wayne State, has been renamed the Tierney Alumni House. SEE HOMECOMING, PAGE 31
DETROIT HOMECOMING
SEE DEVELOPMENT, PAGE 32
In this issue and online © Entire contents copyright 2015 by Crain Communications Inc. All rights reserved.
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■ Author and Homecoming attendee David Maraniss dishes on how the All-American Mustang was almost “Imported From Detroit.” Page 31. ■ Follow all the Homecoming events and attendees online at detroithomecoming.com and by following the Twitter hashtag #dethomecoming. ■ See live streams of select Homecoming events provided by WXYZ-Channel 7 by visiting crainsdetroit.com.
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MICHIGAN
BRIEFS Herman Miller to err on side of caution to defend design When it comes to its chairs, Zeeland-based Herman Miller takes a stand — specifically, if any company copies its designs and sells the resulting knockoffs for less. MLive.com reports that the officefurniture maker is taking legal action against New York City-based Madison Seating , claiming its rival gives customers the impression that refurbished Herman Miller furniture is brand-new. One reason Herman Miller is going public: Madison Seating’s owner is Levi Cohen, who got into it with Herman Miller nearly a decade ago on the same issue when he owned LuxuryChair.com. Herman Miller contends Cohen is violating a consent agreement with terms that explicitly prohibit him from engaging in Madison Seating’s current activities and imposes specific penalties for violating the judgment. Herman Miller and competitor Steelcase Inc. sued Cohen and LuxuryChair.com in 2006, claiming Cohen’s company bought Google ads so that when their bestselling
Aeron and Leap chairs were searched, links popped up directing people to LuxuryChair.com before the companies’ own websites.
Mylan countersues Perrigo, alleges false statements Now who could have seen this coming? Not even a week after Perrigo Co. plc filed suit against Mylan N.V., claiming Mylan was misleading investors as part of a hostile takeover attempt, Mylan countersued Perrigo, alleging Chairman and CEO Joe Papa made misleading and false statements when he argued against the hostile takeover attempt. As in Perrigo’s case, MiBiz reported, Mylan’s suit asks a judge to declare Perrigo’s statements to investors as “materially false and misleading” in violation of federal securities law. The suit also seeks a judgment that requires Perrigo to issue correct statements. Perrigo, while domiciled in Ireland, has its headquarters in Allegan. Perrigo shareholders have until Nov. 13 to decide whether to sell their shares to Mylan. Assuming they don’t sue someone.
MICH-CELLANEOUS
䡲 The seventh edition of the annual ArtPrize competition began last week in Grand Rapids and runs through Oct. 11. Artists will compete for $500,000 in prizes, including a $200,000 grand prize selected by public vote. Now about that vote. A technology snafu halted voting Wednesday, the first day of the 19-day event, but was resolved that evening. Organizers say there are more than 1,550 entries by artists from around the world, with displays on view around the Grand Rapids area. 䡲 The city of Flint plans to issue an advisory about how to minimize exposure to lead in water amid concerns about the water supply, The Flint Journal reported. Flint is asking Gov. Rick Snyder for $30 million to improve the city water system, which once got its water from Detroit. Flint officials say the water is safe and meets standards. 䡲 Kellogg Community College in Battle Creek has suspended its search for a new president for at least the next year. In a release, KCC board Chairman Steve Claywell said that interim President Mark O’Connell has done a good job in the role since March. The college also said that because of declining enrollment and a tight budget, it makes no sense to devote resources to a national search for a new president. 䡲 Grand Rapids-based Alliant Healthcare Products received a $16 million, five-year contract from the
U.S. Department of Veterans Affairs ,
with an immediate $10.9 million order for endoscopes used in surgical procedures for veterans, The Grand Rapids Press reported. Alliant, which will supply the medical technology for nine VA hospitals in the Midwest, is owned by Bob Taylor, a former U.S. Air Force major. 䡲 Matthew Vlasic, a University of Michigan student and member of the Sigma Alpha Mu fraternity, was sentenced to probation and ordered to pay $5,000 for his role in weekend vandalism in January at the Treetops Resort ski resort in northern Michigan, The Associated Press reported. On that same weekend, Boyne Highlands reported property damage by students. 䡲 A judge ordered former Kent County Commissioner Michael Wawee to pay the Diocese of Grand Rapids more than $140,000 in restitution for his role in an alleged kickback scheme, The Grand Rapids Press reported. Wawee sold cemetery services for the Catholic Church. 䡲 A $1.5 million federal loan guarantee is expected to boost efforts to rehabilitate the vacant three-story Sperry’s building in downtown Port Huron, The Associated Press reported. An awning and bricks on the building were damaged in June by a military helicopter dropping off soldiers as part of an urban military training exercise. 䡲 The Great Lakes Fishery Commission said the population of sea lam-
INSIDE THIS ISSUE CALENDAR . . . . . . . . . . . . . . . . . . . . . . 25 CLASSIFIED ADS . . . . . . . . . . . . . . . . 29 CRAIN’S LIST . . . . . . . . . . . . . . . . . . . . 23 DEALS & DETAILS . . . . . . . . . . . . . . . 26 OPINION . . . . . . . . . . . . . . . . . . . . . . . . . . 6 OTHER VOICES . . . . . . . . . . . . . . . . . 6, 7 PEOPLE . . . . . . . . . . . . . . . . . . . . . . . . . 28 RUMBLINGS . . . . . . . . . . . . . . . . . . . . 34 WEEK ON THE WEB . . . . . . . . . . . . . . 34
COMPANY INDEX: SEE PAGE 33 preys has reached a 30-year low in Lake Huron and a 20-year low in Lake Michigan, The Associated Press reported. Numbers also are down in the other lakes, although they remain above target levels in lakes Superior and Erie. The average lamprey kills up to 40 pounds of fish. 䡲 The Van Andel Institute in Grand Rapids received a $3 million gift from the late Arthur Jabury, who had no connection with the institute, The Grand Rapids Press reported. Jabury, 87, left nearly half his fortune to the institute upon his death in October 2014. He worked in accounting for General Motors. 䡲 Grand Rapids-based Spectrum Health appointed Ron Lewis as president of Zeeland Community Hospital, MiBiz reported. Lewis was vice president and COO of Community Health Network East Region in Indianapolis. 䡲
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Biz CEO keeps on truckin’ Acquisition strategy creates trash hauling, equipment rental — and now trucking — giants By Bill Shea bshea@crain.com
New England businessman Bradley Jacobs made nearly 500 acquisitions to create enormous trash hauling and equipment rental companies in the 1980s and ’90s. Since 2011, he’s used that same strategy to create a massive transportation and logistics services firm based in Greenwich, Conn., called XPO Logistics Inc.
Jacobs’ latest deal as chairman and
CEO of XPO is the $3 billion all-cash acquisition of Ann Arbor-based Conway Inc. announced Sept. 10 and expected to close in October. Con-way will take the XPO Logistics name. What the deal will immediately do is make XPO the second largest lessthan-truckload (LTL) shipper in North America, and fills a portfolio gap among its freight brokerage, intermodal and last-mile delivery services. LTL is shipping multiple freight loads from different customers
under 20,000 pounds on a single truck to a hub where the cargo then is dispatched for delivery. “XPO Logistics has grown very fast and has become a real force in the industry,” said John Taylor, chairman of the supply-chain management department at Wayne State University ’s School of Business Administration. Con-way ranked as the sixthlargest U.S. trucking company by revenue last year ($5.8 billion), according to an index published in April by the Journal of Commerce. In a ranking of less-than-truckload carriers, that part of Con-way’s
COURTESY OF CON-WAY INC.
business was second nationally, at $3.6 billion behind only FedEx Freight ($5.6 billion). It also has a full truckload unit and a logistics business. Con-way makes about 60,000
daily deliveries, Jacobs said, while XPO does about 90,000. The LTL sector accounts for about $34.5 billion of the $700 bilSEE CON-WAY, PAGE 30
Lear set to buy Gilbert building for innovation center
Henry Ford cancer center at a glance
COURTESY OF HENRY FORD HEALTH SYSTEM
By Kirk Pinho
Location: A 300-acre parcel known as the South Campus. The area is bounded by Grand Boulevard to the north, the Lodge Freeway to the east, I-94 to the south and 14th Street to the west. The exact location on the campus isn’t expected to be decided until later this year. Size: Five stories, 144,000 square feet. Will include rooftop garden and skywalk connecting to Henry Ford
Hospital across West Grand Boulevard to the north. Funding: From Henry Ford operations, supplemented by a possible bond offering with other projects and money raised through philanthropy. Groundbreaking: Next spring, with the opening expected in the summer of 2018.
Henry Ford unveils plans for $110M cancer center New Center facility will integrate with main hospital By Jay Greene jgreene@crain.com
Plans for a long-awaited, $110 million outpatient cancer center in Detroit’s New Center area will be announced today by Henry Ford Health System, Crain’s has learned. The cancer center projectis the second development so far for the 300-acre parcel, known as Henry Ford’s South Campus. The area is bounded by Grand Boulevard to the north, the Lodge Freeway to the east, I-94 to the south and 14th Street to the west.
The exact location of the five-story, 144,000-squarefoot center on the South Campus isn’t expected to be decided until later this year, Henry Ford officials said. But the design calls for integrating the cancer center with the existing main hospital. The project is all part of a long-term plan for a $1 billion community health park. The outpatient oncology center — designed over two years with physician, community and cancer patient input — will include a rooftop garden and skywalk to connect it to Henry Ford Hospital across West Grand Boulevard to the north. “We have cancer treatment at the hospital that is SEE HENRY FORD, PAGE 28
kpinho@crain.com
Lear Corp. is buying a downtown Detroit building for a new innovation and design center, and the sale will be the first by Dan Gilbert’s Bedrock Real Estate Services LLC
after dozens of purchases. Up to 150 Lear employees and contractors are expected to work in Capitol Park after the Southfieldbased auto supplier’s purchase Sept. 14 of the 35,000-square-foot 119 State St. building, expected to be announced Monday. The workers are expected to come to the small downtown pocket of Capitol Park from both the compaAmazon in the D. ny’s seating and electriOnline retailer plans to announce cal divisions that it is opening a in its Southfield headcorporate office quarters as and technology well as elsehub in Detroit, where, said Page 33 Mel Stephens, Lear senior vice president of communications and facilities. Capitol Park is bounded by State, Griswold and Shelby streets. Lear plans to make the nearly 130-year-old building its Innova tion and Design Center, where there
MUST READS OF THE WEEK Robotics: A riveting 30 years
Are we staring at a bear?
In this week’s installment of our Looking Back series, Crain’s reports on how robots have become faster, stronger, cheaper and more prevalent, led by the auto industry, Page 5
True, trouble has been bruin — er, brewing — in the markets, but local wealth managers who make their living hunting for investments say opportunities abound for a wise hunter, Page 19
COSTAR GROUP INC.
LearCorp.plans to put up to 150 workers in the 119 State St. building in Capitol Park after buying the building from Dan Gilbert’s Bedrock Real Estate Services LLC. would be facilities for automotive innovation, a nonautomotive business incubator, a think tank, a creative design studio, an art gallery, Lear executive satellite offices, conference and meeting space and a rooftop garden, according to Bedrock and Lear. In addition, Lear will open its space to College for Creative Stud ies students to work with Lear emSEE LEAR, PAGE 33
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COURTESY OF BLUE TEAM RESTORATION
When Bryan Meklir (right) bought Young & Sons Drying and Restoration last month and combined it with his Blue Team Restoration, he also got a new partner in business and a long-ago partner in making snow forts in his cousin, Robert Young.
Family ties build customer trust in restoration biz By Marti Benedetti Special to Crain’s Detroit Business
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When cousins Bryan Meklir and Robert Young were growing up in Southfield, they spent a snow day building a snow fort so elaborate that they wound up on the evening news. That collaboration — and the others that followed — might have foreshadowed the cousins’ recent business deal. In August, Meklir, 39, owner and founder of Blue Team Restoration , a disaster-recovery company, and BBMK , a contracting division, bought Young’s company, Young & Sons Drying and Restoration. Young & Sons was dissolved, but the business that Young, 45, built was rolled into Blue Team Restoration. His title with Blue Team now is senior vice president, business development, Midwest region. Blue Team Restoration and BBMK are projected to reach $95 million in revenue in 2016 —$75 million in sales for Blue Team and an additional $20 million from absorbing Young’s restoration company. Blue Team Restoration’s clients are national and local and include nursing homes, assisted- and independent-living centers and other health care facilities. The company is the first called in the event of fire, wind or water damage to property that needs to be restored quickly. “What brought Rob and I together was we shared the same ethics,” said Meklir, Blue Team Restoration president and CEO. “We do it right, we don’t overcharge and we don’t mistreat employees. We’ve built a reputation that precedes us.” Maura Feaheny, senior director of plant operations for Chicagobased Senior Lifestyle Corp., said her company has used Blue Team and its construction arm BBMK for three to four years. “They do a bang-up job,” she said. “They are immediate and have the same sense of urgency we do”
when disasters strike. Feaheny said seniors consider their apartment or room in a senior center their home. “Blue Team gets that. They are respectful of the needs of residents,” she said. Before Young sold his business to his cousin, he gained Dan Gilbert’s Bedrock Real Estate Services LLC as a client. The cousins grew up in the same neighborhood as Gilbert. “When Dan decided to move his company from Livonia to downtown, he asked me to come downtown,” Young said. That was four years ago, when Gilbert owned four buildings; he now has more than 80 properties. Since the acquisition, Blue Team Restoration services all of Bedrock’s properties in the city and soon will service Gilbert’s properties in Cleveland and other cities. “Beyond work, it’s a relationship we have,” Young said. “We have a trusted relationship with all our clients.” The company handles only commercial property, although Young’s former company did residential as well. When a disaster occurs, Blue Team Restoration promises to get to the site within an hour or so, Meklir said. Meklir started BBMK in 1995 in Delray Beach, Fla., and founded Blue Team Restoration not long after. The company expanded from there, opening offices in Tampa, Orlando and Jacksonville, Fla. Now, it also has offices in Dallas, Houston, Atlanta, Baltimore and Livonia and equipment distribution centers in North Carolina and Oklahoma. The company has 118 employees and expects to add more than 50 in 2016. Meanwhile, Young, who at age 19 followed his late father into the metal scrapping industry, started Young & Sons Drying and Restoration in 1997. His company, which had 17 employees, worked on na-
tional disaster teams in the Gulf of Mexico and on the South Carolina coast and the East Coast, among other regions. After gaining Bedrock as a client, Young moved his office to the Chrysler House — a Bedrock building — downtown. He also works out of the Livonia location, which serves as Blue Team’s Midwest hub. Meklir’s purchase of Young’s business involved plenty of discussion and thought. The conclusion was the deal would allow Young’s business to expand and give Meklir peace of mind, with his trusted cousin at the helm of his Midwest operations. Meklir and Young talked about growing up together — although Young is six years older and babysat his little cousin at one point, and both had a parent die when they were young. “This makes us more empathetic,” Young said, adding that the disaster-recovery industry often lacks that element. For example, when Blue Team employees responded after a recent fire at a senior living center, they rented hotel rooms for the residents and brought in an Elvis Presley impersonator “to help take their minds off the fire,” Meklir said. Jeff Petrucci, president and owner of Bloomfield Construction in Bloomfield Hills, said Blue Team Restoration is sometimes a competitor, but he thinks highly of the company. “If a relative needed the service, I would recommend Robert,” he said. “I think the merger of the companies will give him more coverage.” The cousins spoke fondly of Detroit. They said their involvement with Bedrock and other clients makes them feel part of the city’s comeback. “We want to help Detroit with its revival,” Young said. 䡲
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Robotics has changed,but auto industry’s interest hasn’t LOOKING BACK: On Sept. 30, 1985, Crain’s reported on Detroit’s importance to the robotics industry, especially in auto manufacturing. Robots are used much more widely these days, and their look has changed, but auto remains a major player in robotics.More at crainsdetroit.com/30
By Dustin Walsh dwalsh@crain.com
The more things change, the more they stay the same. Thirty years ago, Detroit was the epicenter of the robotics industry — with vast implementation along manufacturing lines for the auto industry. In an article titled “Motor City becomes the nation’s Robot City,” published in Crain’s Sept. 30, 1985, issue, George Munson, then president of Robotics International , said, “The automobile industry is using every technology it can automate.” That remains true today, although robotics has evolved from a nascent industry into an industrial norm across many industries, such as pharmaceutical and electronics. But nearly 50 percent of all industrial robot orders still enter automotive factories, said Jeff Burnstein, president of the Ann Arbor-based Robotics Industries Association. “Detroit is still a major player in robotics. … The automotive industry is still the largest user in North America and other regions, such as Brazil and China,” Burnstein said. Robot orders and shipments in North America hit record numbers in 2014, according to the RIA. In 2014, 27,685 robots worth $1.6
billion were ordered from North American robot makers — a 28 percent increase in volume and 19 percent increase in sales from 2013, according to data from the RIA. The auto industry accounted for a 45 percent increase year over year. The largest growth of orders was for arc-welding robots, spot-welding robots and assembly robots. Mike Cicco, general manager for Rochester Hills-based robotics manufacturer Fanuc America Corp. , said robots have become faster, stronger and cheaper since the 1980s. “Robots are simply more capable, vastly more intelligent and much smaller than they used to be,” Cicco said. “This has really opened up the potential for more productivity for manufacturers.” This includes smaller manufacturers that once couldn’t afford the high cost. Fanuc frequently fills orders for one robot at a time for mom-andpop manufacturers looking for more advanced ways to compete, Cicco
said. “Robots have become far easier to use and more accessible,” he said. “They are now flexible enough that small-business owners can utilize them, where they can do something completely unique from a larger au-
“Robots are simply more capable, vastly more intelligent and much smaller than they used to be. “This has really opened up the potential for more productivity for manufacturers. Mike Cicco,Fanuc America Corp.
tomaker or tiered supplier.” Fanuc — including its parent, Fanuc Corp. of Japan — has shipped more than 330,000 robots worldwide since 1982. For Chesterfield Township-based Prism Plastics LLC, robotics is critical to the business plan, which is to compete globally without the use of traditional labor. The plastic component supplier for safety, fuel systems, steering systems and transmissions employs about one robot for every two employees, including its administrative and executive staff, said Jeff Ignatowski, director of sales and marketing. “Robotics and automation is a necessity for the way we run the business,” Ignatowski said. “Part of our strategy is to avoid labor as much as possible, allowing us to compete globally with technology by eliminating labor costs.” Prism is projected to generate revenue of as much as $32 million in 2015, with plans to reach $100 million by 2020. Ignatowski said Prism is unlikely
to bid on business that has processes that can’t be automated, and it frequently has declined customer requests to move operations to Mexico. “We don’t want to go to Mexico and employ cheap labor,” he said. “There’s nothing there for us but possibly a logistics advantage, and our customers usually agree when we show them what we can do with our machines right here.” Ignatowski said 99 percent of its precision-plastic components are never touched by a human hand. However, assembly lines across factory floors are using robots in close proximity to people in the newest innovation in industrial robotics with “collaborative robots” — robots that work alongside human counterparts, Cicco said. A collaborative robot allows more fluidity on the factory floor, which boosts productivity in smaller spaces, Cicco said. Robots, he said, “used to be these big, scary things put in gigantic cages. Now they are truly collaborative and allow a person to be in close proximity and work right alongside the robots. … That’s the future of manufacturing.” 䡲 Dustin Walsh: (313) 446-6042 Twitter: @dustinpwalsh
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CRAIN’S DETROIT BUSINESS
OPINION Boards need to look at adding diversity C
rain’s list of the 100 Most Connected Detroit businesspeople, which begins on Page 8, continues to illustrate what we’ve discovered over previous efforts in 2006 and 2010: As a region, we need to do a better job of bringing new players into community service. Some of this has to do with a need for diversity (See Mary Kramer’s column, Page 11), some of it has to do with age, but all of it has to do with building a pipeline of civic talent at the same time more experienced leaders are able to model, and perhaps mentor, up-and-comers. The problem is ongoing. In 2010, we editorialized on this same topic: Too many board members are being pulled from the same pool of people. Boards should represent diversity in many ways — age, gender, race, ethnicity, business experience and so forth. To do that, the recruitment process needs to change. Reaching out to professional groups organized around diverse characteristics is one. Creating a local version of Board Member Connect might be another. Organizing meet-and-greets is another — and the old guard needs to show up. This is a great time to make this happen. The city’s future has captured the interest of a much wider range of people than has sometimes been the case in prior years. Let’s take advantage of it.
University funding drives state’s future economy The disconnect between state government and state universities was in full view last week when legislators complained about tuition hikes of 7.8 percent and 8.5 percent, respectively, at Eastern Michigan and Oakland universities. The universities forgo $1 million or so in increased state funding awarded for holding tuition down, but they’ll collect about 10 times that in increased tuition and fees. They aren’t the first universities to have done this, and it’s easy to see why. Consider these figures from the College Board: 䡲 Tuition rates here have gone up an average of 10 percent over the past five years, compared with a U.S. average of 17 percent, but the average annual cost of tuition and fees is $11,909, compared to a U.S. average of $9,139. 䡲 The amount of state funding per student was $4,236 in 2013-14, the fifth lowest in the country and well below the average of $7,072. Spending per $1,000 of personal income was $4.31, again well below the U.S. average of $5.45. Some legislators are now looking for a bigger stick to hold universities in line, but given the pattern of disinvestment, that isn’t the answer. What’s needed is an organized system of funding based on defined public policy goals. Our future economy depends on it. 䡲
State needs to fix another key roadway: Its ports Emerging now is a series of piecemeal events that portend a bigger picture for Michigan’s economic future. They all relate to our state’s almost hidden infrastructure: our maritime trade waterways. We hear so much about Michigan’s road infrastructure, but little is reported on one of our greatest traffic-moving assets. Consider the fragmented reports of late: 䡲 The Detroit/Wayne County Port Authority’s unused $22 million, publicly funded dock and terminal building and the unwise efforts to sell this building instead of calling for it to be used for its original use. 䡲 Moves by a private owner to develop a huge logistics center in Detroit and similar efforts to assist the railroads with new, integrated facilities in Detroit with the help of the state. 䡲 A push to upgrade the locks at Sault Ste. Marie and create a new lock to facilitate increasing Great Lakes shipping. 䡲 The recent news that the Michigan Strategic Fund has loaned
OTHER VOICES: Joe Neussendorfer The writer is a member of the American Society of Civil Engineers, the Engineering Society of Detroit and the Detroit Economic Club. Monroe $3 million for river and port upgrades. 䡲 And the addition of the soonto-be-completed third lock at the Panama Canal. Incidentally, it was a Michigan civil engineer — Alfred Noble, born in Livonia — who worked on the original Panama Canal project in 1914. All of these pieces are coming together to tell state officials that we need to get serious about the revenue potential from increasing maritime trade and to make plans to create a “Michigan Ports Devel-
opment Authority.” Michigan already has port statutes on the books that could be amended to create such an authority. Potential new revenue could be generated and possibly used to improve our roads. According to Detroit/Wayne County Port Authority statistics, companies use its port and terminals to manage about 17 million tons of cargo annually. The authority is responsible for close to 16,000 jobs in Southeast Michigan. This translates into $500 million in direct business revenue, $225 million in personal income and $288 million in state and federal tax revenue. This economic impact would increase exponentially if Michigan were to create a statewide authority to help expand and market all of Michigan’s ports. Such an aggressive development would necessitate a cadre of highly trained civil engineers, of which Michigan has a great number. The result would surely “raise all boats.” 䡲
TALK ON THE WEB Re: Campbell Ewald wins Travelocity advertising work Congratulations to Campbell Ewald on landing Travelocity. Wonderful to see this work finding Detroit-based CE world-class in its creativity and integrated marketing acumen.
Reader responses to stories and blogs that appeared on Crain’s website. Comments may be edited for length and clarity.
Michaellayne
Re: Traverse City fears high cost fuels talent shortage
Carhartt is a strong brand, but if its goal is to attract talented design professionals, i t s h o u l d h a v e l o o k e d t o D e t r o i t for new space. Central cities are where young talent wants to locate, not suburban locations. David Silverman
ingly nothing has changed since I heard that saying in the late 1960s.
TC … is all about money now, and it never was. It used to be about the beaches , fresh air and stars. These things should be available to all of us, not just the wealthy.
Freedom Trinity
Cindy
It has always been “A view of the bay is half the pay” in TC, and seem-
Re: Carhartt plans $18.6 million expansion of Dearborn HQ
Re: State loan to help Wurlitzer Building become 106-room hotel Nice hotel. Hotels, apartments, condos and retail all will help create a sustainable community. Justin Thompson
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Don’t keep state mired in past with GOP energy bill century ago, Michigan’s econo-
A my was exploding: auto indus-
try soaring; people flocking here; new factories, housing, and businesses sprouting. America wanted cars, Henry Ford made them cheaply, and his innovative assembly line made us the Auto State and Motor City. Today, the world wants solar panels and wind turbines, and Michigan’s peerless manufacturers could make us the Clean Energy State, with many thousands of new, high-tech, high-paying jobs. But not without a strong, permanent home market: Ford would have failed in Michigan if his market were Iowa. That’s why Lansing’s Republican senators must revise their awful energy bill, SB 438, which erases the bipartisan 2008 renewable standards that created Michigan’s renewables market and renewables assembly lines. Permanently bringing truly bigtime clean energy industry home to Michigan requires market certainty. Without it, we cede opportunities to competing states that are sticking with standards. Standards, which Democrats support, provide that certainty and challenge our uninnovative utilities to dump stale business models that remain profitable only because they are monopolies. What would have happened if Lansing had kowtowed to the horse-and-buggy industry and refused to fund road paving and traffic lights? With just 4,000 autos on the road, 21 million horses available, and buggies costing just $20, Ford and his contemporaries needed not only effective assembly lines, but also supportive infrastructure. Given the modesty of our 2008 standards (opponents call them “mandates” because it sounds scary) — 10 percent renewables by 2015, 1 percent annual efficiency gains, limited net metering — our
OTHER VOICES: Jim Dulzo, Dan Worth The writers are energy policy specialists at the Groundwork Center for Resilient Communities in Traverse City. initial, impressive renewables manufacturing success reflects Michigan’s potential to be a true giant if
state policies go big, rather than disappear. Consider: According to the American Wind Energy Association, close to 4,000 Michiganians made wind turbine parts in 2014. Yet Iowa, which has little manufacturing heritage but four times as many turbines, has twice as many wind jobs. And according to the Solar Foundation, 2,100 Michiganders had solar jobs in 2014, yet Massachusetts, hardly a sunshine or manufacturing state, has 14 times more solar installations and nearly five times as many jobs.
The difference is not wind speed or sunshine; it’s those states’ renewable standards. But utility lobbyists are telling Lansing conservatives that making utilities stick to a clear, required statewide clean energy plan is bad. Their bogus warnings against “cookie-cutter solutions,” “choosing winners and losers” and “unfair subsidies” avoid this truth: They are attacking standards because they work so well. Eventually, new technology wins: Autos did eliminate horses and buggies. Wind and solar power will
replace coal, natural gas, and centralized-only power generation. But will Michigan cash in? Without clear clean energy standards, and even with Gov. Snyder’s wise cooperation with the EPA’s Clean Power Plan, Michigan could get stuck behind a slow buggy, allowing more states to roar past us. Gov. Snyder’s own studies confirm that Michigan could affordably do much more than the CPP’s minimum in moving to clean, renewable energy. True leaders don’t do minimums; they see how far they can go. Just ask Henry. 䡲
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MOST CONNECTED
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Top 100 Most Connected In metro Detroit 1.John C. Carter, 10
51. Sam Valenti III, 16
2. Nancy Schlichting, 12
52. Philip Kessler, 16
3. David Dauch, 14
53. Stephen D’Arcy, 16
4. Richard Manoogian, 15
54. Maurice Binkow, 16
5. Michael G. Morris, 16
55. Matt Cullen, 16
6. Robert Taubman, 12
56. David Baker Lewis, 16
7. Reginald Turner, 12
57.J. Michael Losh, 16
8. Suzanne Shank, 12
58. Denise Lewis, 16
9. Deborah Dingell, 12
59. Gail Warden, 16
10. Susan M. Smyth, 12
60. Douglas Stotlar, 17
11. Carl Camden, 12
61. Ken Whipple, 17
12.Allan Gilmour, 12
62.Jonathan Aaron, 17
13. Dennis Archer, 13
63.James Farley, 17
14. Florine Mark, 13
64. George G.Johnson, 17
15.James B. Nicholson, 13
65. Matt Simoncini, 17
16. Stephen Biegun, 13
66. Cynthia Pasky, 17
17. Roger Penske, 13
67.Jeffrey Edwards, 17
18.James Grosfeld, 13
68. Kenneth Way, 17
19.James Hackett, 13
69.Antoine Garibaldi, 17
20. Charles McClure, 13
70. Robert Naftaly, 17
21. Steven Kurmas, 13
71. Stephen Polk, 17
22. David Brophy, 13
72. Rodney O’Neal, 17
23. Eugene Driker, 13
73. Helene White, 17
24. Richard DeVore, 13
74.Thomas Sidlik, 17
25. Marjorie Fisher, 13
75.Joseph Hinrichs, 17
26. Matthew Elliott, 13
76. Richard Barr, 17
27. Ralph Gerson, 13
77. Donald Coleman, 17
28. David Meador, 13
78. Lloyd Semple, 17
29. M. Roy Wilson, 13
79.John Russell, 17
30.W.FrankFountain Jr.,14
80. Patrick Fehring, 18
31.Andra Rush, 14
81. Edsel Ford II, 18
32. Gary Cowger, 14
82. Glenda Price, 18
33. David Brandon, 14
83.Victoria McInnis, 18
34. Richard Gabrys, 14
84. David Jaffe, 18
35. Ziad Ojakli, 14
85. Bruce Peterson, 18
36. Mary Barra, 14
86. Phillip Fisher, 18
37. Beth Chappell, 14
87. Michael Ritchie, 18
38. Sandra Pierce, 14
88. Ira Jaffe, 18
39. Mark Davidoff, 14
89. Ronald Weiser, 18
40. David Leitch, 15
90. Ismael Ahmed, 18
41. Peter Karmanos, 15
91.Ann Marie Uetz, 18
42. R.Jamison Williams, 15
92. David Foltyn, 18
43.James Vella, 15
93.Anessa Kramer, 18
44. Christopher Ilitch, 15
94.Jeffrey Kopp, 18
45. Sergio Marchionne, 15
95. H.Jeffrey Dobbs, 18
46. Dan Gilbert, 15
96.Janice Uhlig, 18
47. Donald Runkle, 15
97. Ronald Gantner, 18
48. Gerard Anderson, 15
98.Ann Hollenbeck, 18
49.William Clay Ford Jr., 15
99. Cameron Piggott, 18
50.Joseph B.Anderson, 15
100.William Pickard, 18
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SPECIAL REPORT: MOST CONNECTED
Bankers follow civic giants from city’s past NO. 1: John Carter takes the top spot with Chase’s reach and his own local involvement By Tom Henderson thenderson@crain.com
For decades, Detroit’s top banking executives also led in top civic roles. The late Charles “Chick” Fisher of NBD (now JP Morgan Chase ) and Eugene Miller of Comerica Bank were decision-makers and major players at a time when Detroit boasted corporate headquarters for the state’s largest banks. For the latter part of the 20th century, bankers and utility executives often had a bigger civic role than auto company executives. Times changed. Mergers followed. And bank headquarters dwindled. There are six bankers on Crain’s 2015 list of the 100 “most connected” business people, but the spot of John Carter, Michigan market leader for Chase Bank, at No. 1 on the list of 100 might surprise the other bankers with higher public profiles. Credit the reach of Chase and its local predecessor NBD, as well as Carter’s own long list of community involvements. “I’ve been with the bank 35 years,” said Carter, 59. “From a traditional perspective, going back to the National Bank of Detroit days, before we became Chase Bank, we’ve always been a major multimilliondollar contributor on a philanthropic basis. We’ve always had a major representation in philanthropy and civic leadership. It’s how we think we should conduct ourselves.” Business leaders were ranked in five categories (described in the story at the bottom of this page) that assessed the breadth and strength of their connections. Of the 9,300-plus people whose links were studied, Carter finished in the top 50 in all five categories, the only banker to do so.
Bankers in top 100: No.1: John Carter, Chase No.24: Ric DeVore, PNC No.26: Matt Elliott, Bank of America No.38: Sandra Pierce, FirstMerit No.80: Patrick Fehring, Level One No.87: Michael Ritchie, Comerica
Helping Carter reach the top of the list were long tenures on several boards, which made his connections stronger. Matt Elliott, Michigan market president of Charlotte, N.C.-based Bank of America Inc. , ranked lower for strength of connections because many of his board positions go back just two years, to when he was promoted to his current position. Carter said while his service on the boards of such civic groups as the Detroit Regional Chamber, the Detroit RiverFront Conservancy and the Downtown Detroit Partnership is important, his membership on the boards of the YMCA of Metropolitan JEFF KOWALSKY Detroit , Forgotten Harvest Inc. and John Carter said the organizations to which he feels the strongest attachment are those aimed at children, families and community. the Judson Center Inc. are what he savors. Charles Fisher Jr. of the Fisher retired from that job in 2001 and as “I feel strong emotional automotive family, had run for chairman in 2002, but not before attachments to those,” he 20 years before his death in being inspired to have the bank buy said. “The things that res1958. He eventually became the naming rights for Comerica Park. In a Sept. 21 interview, Miller said onate with me are organizachairman and CEO and was a No. 1 John Carter, this page C o m his mentor was Comerica Chairtions that aim at children, founding director of the No. 2 Nancy Schlichting, Page 12 munity Foundation for Southeast man and CEO Donald Mandich, families and community,” No. 3 David Dauch, Page 14 Michigan. He retired in 1993 and who urged him to become involved he said. No. 4 Richard Manoogian, Page 15 died last year. in nonprofits and foundations. “I’ve been on the board of Miller also had a career-long “I learned far more from the the Y for more than 20 years, No. 5 Michael G. Morris, Page 17 tenure at his bank, Comerica. boards of nonprofits than I ever I’ve been on the board at He ended up there in 1955 learned in the Comerica board Forgotten Harvest for eight because he ducked into the lobby to room,” Miller said. “On the Comerica years or so and on the board at JudBankers as mentors get out of the rain while waiting for board, we were all similar thinking, son for 10 years.“Judson does God’s Miller and Fisher loom large in a bus after an unsuccessful day of from the same backgrounds, with work. They affect kids and families job-hunting elsewhere — or at least the same level of financial means,” and make a huge difference,” he the career of many local bankers. Fisher became a vice president at that’s how he told the story. he said. “But on nonprofits, there are said. NBD in 1961 at the bank his father, He eventually became CEO and people from all walks of life. You
More Most Connected Are you connected? Online exclusive: Check out the Most Connected with one-of-a-kind spider maps. Then, play “Six Degrees, Detroit Style” with the Crain’s Clout Cloud. Just how connected are YOU? crainsdetroit.com/mostconnected
Subscriber exclusive Download the database of people and connections.
Free trial to RelSci Crain’s Most Connected doesn’t stop with the final ranking. What does it mean for your business? Find out through an exclusive free trial of the Relationship Science platform. crainsdetroit.com/freetrial ■ Discover how you and your colleagues connect to prospects ■ Expand current business ■ Discover new markets
The top 5
Here’s how RelSci connected the dots The Crain’s Detroit Business Most Connected Metro Detroiters list is a collaboration between Crain’s and New York-based Relationship Sci ence. Relationship Science, or RelSci, focuses on ways to illuminate the connectivity between individuals and the institutions with which they are associated. RelSci’s data platform — dossiers of some 4 million decision makers affiliated with more than 1 million organizations in the U.S., Europe and Asia — uses algorithms to predict the likelihood of a relationship between individuals based on shared life/work experiences. Its clients include more than 700 institutions in the finance,
corporate and nonprofit sectors. To learn more about the firm, go to RelSci.com.
Methodology RelSci used 13 major Crain’s lists to track a universe of more than 9,300 senior executives and board members tied to more than 600 forprofit and nonprofit institutions based in metro Detroit. RelSci’s research team then reviewed and updated profiles of the individuals tied to the Crain’s lists in the firm’s data platform. In general, RelSci uses more than 30 algorithms to map connections between people and organizations through past and present profession-
al, personal and civic experiences. Both qualitative and quantitative factors contribute to the strength of a connection, including job titles, length of employment, organization size and type of relationship. RelSci further honed its criteria by considering five characteristics to determine a final rank: 䡲 Reach, or number of connections. This is the size of a person’s network.
䡲 Reliability, or the strength of connections. This measures the quality
of a person’s relationships.
䡲 Influence, or links to highly con nected people. RelSci weighted and
combined its influence metric with its access metric before determin-
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SPECIAL REPORT: MOST CONNECTED need to learn to form consensus, to be able to forge alliances, which is why I encouraged my young executives at Comerica to get involved early.” Miller said that serving on a variety of boards also helped build stronger relationships with board members who were current bank customers as well as build relationships with board members he wanted to recruit as customers. Sandy Pierce, chairman and CEO of FirstMerit Michigan, spent 27 years at NBD and credits Fisher as a mentor who instilled in her the need for community involvement. “If you talk about emulating community involvement and caring, you can’t have a better role model,” she said. Pierce, 57, also credited her family. She was the youngest of 10 children who grew up above her parents’ bar in the Poletown section of Detroit. “I was the only one to go to college in my family, largely because of my birth order. I had a lot of help from my parents and my brothers and sisters,” she said. “I feel a great deal of gratitude. When I needed financial and emotional assistance, I got it. Giving back to the community, now, is paying back what was given to me.” Pierce said membership has to be because you want to contribute, not for purposes of resume building or networking. “You have to be accretive. Otherwise, don’t bother,” she said. “I firmly believe you can’t have a healthy business without a healthy community. It’s your responsibility to contribute your skill set, your money and your time.”
Benefits to society As befits the Michigan market president for Comerica, Michael Ritchie points to Miller as his role model when it came to community involvement, something he said the bank has prided itself on since its founding in 1849. “We get involved throughout our organization,” said Ritchie, 47. “We have more than 130 employees serving on more than 170 boards statewide. It comes down to your values. … It makes you feel good to help others, but it’s more than feeling good. It’s seeing what results. We’re here on earth to do good.” Elliott said that BOA donates more than $3 million a year to Michigan nonprofits, and the bank expects employees, especially management, to be active in civic and nonprofit organizations. He said getting to know prominent business leaders is good for the bank and can help get new business, but there are societal benefits, too. Elliott said, for example, when he joined the board of the Detroit Zoo in 2011, Mike Duggan, not yet the mayor, was a fellow board member. “When he became mayor, we already knew
each other. It wasn’t like we were best friends, but we had a relationship,” said Elliott, 48. The result was two programs the bank helped the city and other organizations launch earlier this year to make it easier for Detroiters to get mortgages to buy homes and get no-interest home-repair loans. Patrick Fehring, 58, chairman, president and CEO of Farmington Hills-based Level One Bank , said his community involvement serves both a personal need — “I choose to engage in organizations I have a personal interest in, a passion to begin with, like Detroit Public Television ” — and longer-term bank interests. “You engage with people you meet on boards, an engagement that can prove valuable years down the road, maybe business for the bank or for recruitment. In the end, board involvement helps you built trust and relationships, and you never know how that might pay off,” he said.
Part of Renaissance When Ric DeVore took the job as regional president for Southeast Michigan of Pittsburgh-based PNC Financial Services Group Inc. in 2010, it was a return home for him and his wife. He told his bosses at the bank then that this would be the last stop in a career at the bank that began in 1991. DeVore, 59, has belonged to a multitude of boards over time and has helped the bank land large customers because of it, but that is secondary to both him and PNC. “My message from my boss has always been clear. Here’s how you get fired: If you hit all your revenue targets but don’t do philanthropy, you fail. If you do philanthropy but don’t hit your numbers, you fail. “With our executives, it’s assumed that you’ll be on boards and in many cases, you’ll write personal checks, too. My personal reward is, I was gone for 19 years. This is my last stop. This is a chance for me to have an impact on a region I love, to say I came back at the right time and had an impact on my community. “I will feel blessed to say I was part of this renaissance.”
John Carter’s connections Civic/nonprofit boards: Y Foundation; Detroit Regional Chamber; Detroit Economic Club; Detroit RiverFront Conservancy; Forgotten Harvest; Business Leaders for Michigan; YMCA of Metropolitan Detroit; Detroit Historical Society; American Red Cross Southeastern Michigan; Judson Center Education: B.A., Alma College; MBA, University of Michigan
for Most Connected ing a person’s final ranking.
Access, or links to highly con-
nected organizations and their leaders. RelSci weighted and
combined this metric with its influence metric.
Centrality, or ability to connect two unconnected people. This
identifies the individuals who serve as the best bridges between separate groups of people. The final ranking is based on a weighted combination of rankings in each of the five metrics.
The fine print Although this list features strong quantitative factors, these types of rankings always
have an element of subjectivity. Different methodology would produce somewhat different results. Crain’s lists of local connectivity in 2006 and 2010, for example, were produced by measuring shared local board relationships. Connectedness is about measuring influence, not power. That’s why CEOs or company owners do not always rank higher on this list than other executives at their companies. The number of board seats is only one factor in the ranking. National or global
connections can move people higher. The individual listings in print and online include selected details about occupations, corporate and civic boards, education credentials and employment histories. Information was pulled from public databases, company websites and Crain’s research. The lists of connections are intended to be relevant, but they are not complete. We have verified as many of the details as possible with the individuals involved, but were not able to do so in every case.
Most Connected data should drive real efforts to diversify t’s a little jarring. Of the 100 people deemed “most connected” in this exhaustive review of the connections of more than 9,000 Detroit-area business executives, 14 are African-American men or women. Twenty are women. Period. So what does the data show? “What this says very clearly is that if you’re not in the circle, you’re not in the circle,” said Glenda Price, No. 82 on the list. “It’s very difficult to penetrate these boards and circles. Women and minorities are constantly on the periphery.” Creating the list of the 100 most-connected people represents hundreds of hours spent by Crain’s staff, led by Executive Editor Cindy Goodaker. She worked with New York-based Relationship Science, which identified more than 9,000 people who serve on top nonprofit boards, corporate boards and are otherwise leaders in Southeast Michigan. The company then overlaid that information with its own vast data. (See story, Page 10.) A full list of connections is online at crainsdetroit.com/mostcon- Anderson nected; the printed profiles list only current board memberships. Price, the retired president of Marygrove College, also has served on forprofit boards at LaSalle Bank and Compuware. And she is far from retired. Besides chairing nonprofit boards such as Focus: Hope’s, she runs the Detroit Public Schools Foundation. But the data also shows, Price said, that people out in the community doing things often are tapped for senior leadership roles, like corporate boards. Joseph Anderson Jr., No. 50, is a good example. The CEO of auto supplier TAG Holdings LLC grew up in Topeka, Kan. — a member of the class on which the landmark school desegregation suit, Brown v. Board of Education, was brought. He said graduating from West Point and serving in the U.S. Army was the foundation for all that came later. “It’s the education and the leadership associated with it that sets you up for people to look at you as someone with the potential for leadership,” he said. Anderson said he was tapped later as a White House Fellow, something he believes never would have happened without West Point. And from there, he was courted by both Ford and GM. Anderson picked GM’s Pontiac division. And a GM opportunity — serving on the Kettering University board — led to a fellow board member inviting him to serve on the board of auto supplier Meritor. He also credits Harry Pearce, at the time vice chairman of GM and an Air Force Academy grad, with giving him opportunities. Relationships and networks matter, Anderson said. “Of the eight or nine public boards I have been on, only one was a result of a contact from a search firm.” The next major nonprofit role: Joining the board of Business Leaders for Michigan. “Friends I bird hunt with are on the
I
MARY KRAMER Publisher mkramer@crain.com BLM board,” he explained. Anderson also credits other memberships — from the Oakland Hills Country Club to the Executive Leadership Council, a national organization of AfricanAmericans with C-suite positions — for helping him make connections. “My story may inspire some young African-Americans to get involved,” he said. Making connections is also important to Price. “People have asked me: Why am I so involved? Why do I serve and offer time, energy and money? It is important to me psychologically and emotionally as well as accomplishing things in the community that I think are important.” But Price also agrees investing time will result in connections that can benefit her personally and professionally. Which is why she is puzzled that more African-Americans don’t step up when asked. Look at the boards at United Way, the Detroit Symphony, the Detroit Institute of Arts, she said. “They are not there. They are not participating — and in some instances I know they have been asked. It’s discouraging that people I know with good positions, something to offer, don’t feel compelled to participate at the level I think they should.” The data also show you don’t have to have a fancy title to be connected. Plenty of people on our top 100 list are “more connected” than their CEOs, based on the Relationship Science criteria. Suzanne Shank was surprised by how few African-American executives made the top 100 and that she was No. 8, with no corporate board experience on her résumé. “That’s my goal in the next five years,” she said. “I have been so busy building my business. And the not-for-profit obligations are rewarding but time-consuming.” She wondered: If the list were compiled 20 years ago, would there be more African-Americans? “We have had many people retire, especially the auto executives and auto suppliers, the minority vendors,” Shank said. “They got hit hard in the financial crisis.” This project is more than just a list of people. It’s a tapestry for our region, and it just might generate some serious conversations at senior leadership levels about a conscious process to identify more diverse talent for corporate and major nonprofit boards.
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SPECIAL REPORT: MOST CONNECTED
Nancy Schlichting: Network, develop connections, maintain them NO. 2: Now on the list: Fixing the VA health system
AARON ECKELS
By Cindy Goodaker cgoodaker@crain.com
Nancy Schlichting will retire as CEO of Henry Ford Health System in December 2016 after 13 years in the job, but she’ll continue to leverage a broad and deep network of connections built over three and a half decades. “I’ve often marveled at my network,” said Schlichting, 60. “I’ve always sort of focused on doing my job well, always being receptive to people and getting involved in the community. I guess that’s sort of been the strategy over the years, but it started as a very young person,” she said. That began with a fellowship with the American Hospital Association and Blue Cross and Blue Shield Association in Chicago in the 1970s. There she met Rufus Rorem, whose ideas had led to the creation of Blue Cross and Blue Shield; Wilbur Cohen, the architect of Medicare; Walter McNerney, who brought Blue Cross into Medicare; and later his son, Jim McNerney, chairman of Boeing Co. She also met Gail Warden, the now-retired Henry Ford Health CEO who hired Schlichting into the system in 1998, and many others. “If you look at the Health Care Hall of Fame, I probably know 30 percent of them because of the exposure I had as a very young person, …” she said. “I had an incredible network as a 24-year-old, and I maintained that network over the years; and as I moved in my career, I continued to stay connected.” Those early connections led to running a 650-bed hospital at the age of 28 because of a mentor in Akron, Ohio, which led to sitting on a number of local nonprofit boards, which led to sitting on a local bank board at the age of 32. Membership in an organization of the top women in health care 20 years ago led to meeting the husband of one of the members, who became a search consultant, who years later, in 2006, then recommended her as a director for the
20
There are 20 women in the top 100, four of whom are in the top 10. In addition to Schlichting, those are: ■ No. 8: Suzanne Shank ■ No. 9: Deborah Dingell ■ No. 10: Susan M. Smyth
Walgreens Boots Alliance Inc. board.
“That’s been the pattern. It’s the network, it’s the performance in the job and it’s staying very connected to the community, serving the community.” Most recently, in June, Schlichting was appointed by President Barack Obama to chair the Com mission on Care, charged with recommending how best to strategically organize the Veterans Health Administration, local health care resources and deliver care to veterans. Schlichting said she was asked to join, and a few days later to chair, the commission by Sloan Gibson, deputy secretary of the U.S. Department of Veterans Affairs . She believes Gibson was aware of her because she had been recommended to be head of the VA. Schlichting named three things she believes are her legacy to Henry Ford: Turning around and investing in Henry Ford Hospital in Detroit, winning a Baldrige award and building the system’s West Bloomfield Township hospital. And she’s also proud of standing up for the city. “I was a champion for Detroit when very few people were. I came here as an outsider 17 years ago. When I came it was not a great time, and then it got worse, but I kept basically saying things won’t get better if you don’t believe they can. … Why would you not try to improve it instead of being a critic/observer/judge?” Is the canceled merger with Beaumont Health a regret? Not really.
Health systems have to have scale, Schlichting said, and at $5 billion, Henry Ford is the largest in regional revenue. It’s also vertically integrated with operations that include hospitals, large ambulatory centers, a health plan, salaried medical group, academic teaching hospitals, pharmacies, home care and hospice care. “We’re unlike every other health system in this market. Most health systems are hospital operating companies. … We are an integrated model, which is very relevant today. “We look for partnerships that fit that model, and we are very selective about that because we don’t want to just aggregate hospitals at a time when hospital stays are declining. “We see our vision and model as a strength. We will always have strategic discussions. Some will go places, some will not.” In retirement, Schlichting said she’s excited about doing some new things. Chairing the Commission on Care “is opening a whole set of doors for me in terms of public policy and the Washington environment. And who knows where that will lead? I don’t know, but I’m definitely meeting some remarkable people.” She also has joined the technical advisory board of Arboretum Ventures. Schlichting said she’s been approached by a number of other for-profit and nonprofit organizations about board seats. “I don’t want to overcommit, though, because I do want more time to do things that feed my soul. … I want to play my violin. … I want to exercise more, play a little more golf, a little more tennis. “The most exciting thing about this next chapter is not having the schedule I have right now, so I have a little more flexibility in my life and less stress. I’ve had the stress for 32 years.”
Connections Corporate boards: Walgreens Boots Alliance Inc..; Arboretum Ventures (advisory); Fifth Third Bank (Eastern Michigan) Civic/nonprofit boards: Detroit Economic Club; Downtown Detroit Partnership; Kresge Foundation; Commission on Care (chair); Citizens Research Council of Michigan; Sanford School of Public Policy, Duke University (board of visitors); Federal Reserve Bank of Chicago, Detroit board; Detroit Regional Chamber. Education: A.B., Duke University; MBA, Cornell
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Robert Taubman Chairman, president and CEO Taubman Centers Inc. Taubman joined the company founded by his father, the late A. Alfred Taubman, in 1976; became CEO in 1990 and chairman in 2001. He led the company through its successful defense of a hostile takeover and has become a national leader in the real estate industry. He also serves as a trustee on the family foundation with siblings William Taubman and Gayle Taubman Kalisman, who is the foundation’s president. ■ Corporate boards: Sotheby’s, Comerica
community relations and government relations. Those connections are now widened from the inside as she succeeded her husband in Congress in January. ■ Civic/nonprofit boards: Metropolitan Affairs Coalition (co-chair); Children’s Inn at NIH; Democratic National Committee; Vital Voices Global Partnership Inc.; Detroit Economic Club; Economic Club of Washington, D.C.; Washington Performing Arts Society; Michigan Roundtable for Diversity and Inclusion; Community Foundation for Southeast Michigan; ThanksUSA (advisory); ACLU of Michigan (advisory); Parade Co. (executive committee) ■ Education: B.S., M.S., Georgetown Univer-
sity
Inc. ■ Civic/nonprofit boards: Real Estate Roundtable; founding chairman, Michigan council, Urban Land Institute; Southeast Michigan Council of Governments (delegate at large); Beaumont Health System; Cranbrook Educational Community; National Association of Real Estate Investment Trusts; Business Leaders for Michigan. ■ Education: B.S., Boston University.
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Reginald TurnerJr. Member Clark Hill PLC Turner’s community involvement has included political duty, including serving on Gov. John Engler’s Blue Ribbon Commission on Michigan Gaming, on the Michigan State Board of Education as an appointee of Gov. Jennifer Granholm and on the Detroit Public Schools board, representing then-mayor Dennis Archer. Turner also is a past president of the State Bar of Michigan and National Bar Association. ■ Corporate boards: Comerica Inc.; Masco
Corp. ■ Nonprofit/civic boards: United Way for
Southeastern Michigan; Detroit Institute of Arts; Community Foundation for Southeast Michigan; The Lawyers’ Committee for Civil Rights Under the Law; Hudson-Webber Foundation; Wayne County Airport Authority; Detroit Public Safety Foundation ■ Education: B.S., Wayne State; J.D., University of Michigan ■ Other employment history: Sachs Waldman P.C.; White House fellow, Clinton administration
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Suzanne Shank President and CEO Siebert Brandford Shank & Co. Inc. Shank co-founded her firm in 1996 with Muriel Siebert, the first woman to buy a seat on the New York Stock Exchange, and Napoleon Brandford. In 2010, the firm was named Black Enterprise’s Financial Services Company of the Year for becoming the first minority-owned firm to rank alongside Goldman Sachs and other global giants in municipal bond offerings. ■ Nonprofit/civic boards: Citizens Budget Commission; Charles H. Wright Museum of African American History; Spelman College; Bipartisan Policy Center; Wharton School, University of Pennsylvania; International Women’s Forum; Georgia Institute of Technology (advisory) ■ Education: B.S., Georgia Institute of Tech-
nology; MBA, University of Pennsylvania. ■ Other employment history: Muriel Siebert & Co. Inc.; General Dynamics Corp.
9
Deborah Dingell U.S. Representative 12th District Dingell has cut a wide swath through both metro Detroit and Washington, D.C., fueled by wide-ranging community interests, her marriage to retired U.S. Rep. John Dingell and a long career with General Motors, where she served as president of the GM Foundation and executive director of global
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Susan M. Smyth Chief scientist for global manufacturing General Motors Co. Smyth’s GM career began as a project engineer. She’s one of GM’s key strategic technology leaders, responsible for increasing the automaker’s global collaboration within its operations in the U.S., Europe, Israel, South Korea and China. She holds leadership positions in many technology- and manufacturing-focused national and global organizations and is co-director of collaborative research labs GM helped to create at MIT, University of Michigan and Shanghai Jiao-Tong University. ■ Civic/nonprofit boards: Society of Manufacturing Engineers; Manufacturing Council, U.S. Department of Commerce (chair); Queen’s University of Belfast (advisory); U.S. Council for Automotive Research (executive representative) ■ Education: B.S., M.S., Ph.D., Queen’s University Belfast.
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Carl Camden President & CEO Kelly Services Inc. Camden has served as CEO since 2006, succeeding Terence Adderley, son of company founder William Kelly, who remains chairman. Issues affecting the workforce, including health care, have been front and center for Camden and he was appointed this spring to the National Commission on Financing 21st Century Education created by the University of Virginia’s Miller Center of Public Affairs. ■ Corporate boards:
TopBuild Corp.; Temp
Holdings Co. ■ Civic/nonprofit boards: Committee for Economic Development Education Subcommittee; The Conference Board; Detroit Regional Chamber ■ Education: Bachelor’s, Southwest Bible College; master’s, Central Missouri State University; Ph.D., Ohio State University ■ Other employment history: Keycorp; Wyse Advertising; North Coast Behavioral Research Group; Cleveland State University
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Allan Gilmour President Gilmour-Jirgens Fund Gilmour first spent 34 years at Ford Motor Co., retiring in 1995 as vice chairman and CFO, but then rejoined the company as CFO from 2002 to 2005. Gilmour then was president of Wayne State University from 2010 to 2013. His foundation is named for himself and his partner, Eric Jirgens. Gilmour’s philanthropy has included WSU and LGBT causes. ■ Civic/nonprofit boards: Detroit Institute of Arts (honorary); St. Johnsbury Academy (emeritus); Detroit Zoological Society; Detroit Symphony Orchestra; Citizens Research Council of Michigan; Community Foundation for Southeast Michigan ■ Education: B.A., Harvard University; MBA, University of Michigan
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Dennis Archer Chairman emeritus Dickinson Wright PLLC
Stephen Biegun Vice president, international affairs Ford Motor Co.
The former mayor of Detroit also served as a Michigan Supreme Court justice. Archer also has served as president of the American Bar Association and the National Bar
Biegun has long experience in foreign policyrelated jobs in Congress and the White House that prepared him for his private-sector role: overseeing all aspects of Ford’s international government relations, including trade strategy and political risk assessment.
Association. ■ Corporate boards:
InfiLaw Corp.; TopBuild Corp.; Masco Corp.; Progressus Therapy Inc.; Jefferies & Co. (advisory) ■ Civic/nonprofit boards: Detroit Regional
Chamber (honorary); Bipartisan Policy Center Inc.; Levin Center at Wayne State University Law School (advisory) ■ Education: B.S., Western Michigan Uni-
versity; J.D., Detroit College of Law
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Florine Mark President & CEO The WW Group Inc. The self-made and civically active entrepreneur established the first Weight Watchers franchise in 1966 and is still its largest franchisee. Mark was the first woman business owner CEO to become a member of Detroit Renaissance, predecessor to Business Leaders forMichigan. ■ Corporate boards: Meadowbrook Insur-
ance; English Gardens; Art Van Furniture (advisory); Citizens Bank (advisory) ■ Civic/nonprofit boards: Detroit Regional Chamber; Henry Ford West Bloomfield; Detroit Economic Club; United Jewish Foundation of Metropolitan Detroit; Business Leaders for Michigan; Governor’s Council on Physical Fitness, Health and Sports; American Red Cross Michigan (emeritus); Jewish Federation of Metropolitan Detroit; Detroit Institute for Children; Jewish Federations of North America; Detroit Symphony Orchestra; Community Foundation for Southeast Michigan; Wayne State University School of Business Administration (board of visitors); John F. Kennedy School of Government, Harvard University (women’s leadership board); president, Jewish Community Center of Metropolitan Detroit; Henry Ford Health Foundation; Michigan Opera Theatre; March of Dimes; Michigan Fitness Foundation; Weizmann Institute
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James B. Nicholson President & CEO PVS Chemicals Inc. Nicholson joined PVS Chemicals, the family business, in 1972 and became CEO in 1979. Over the following decades he also has forged a resume of involvement in civic and nonprofit activities that has made him one of Southeast Michigan’s most sought-after board members. That involvement even extended into politics, when he made an unsuccessful effort to be the Republican nominee for the U.S. Senate in 1996. His son, James M. Nicholson, is PVS vice chairman. ■ Corporate boards: Amerisure; DTE Energy Co.; PrivateBancorp ■ Civic/nonprofit boards: Investment advisory committee, state of Michigan; Detroit Symphony Orchestra; McGregor Fund (chair); Community Foundation for Southeast Michigan (chair); Detroit Regional Chamber (honorary); Detroit Public Television (emeritus); Business Leaders for Michigan; DMC Foundation; Michigan Colleges Foundation; Booth School of Business, University of Chicago; YMCA of Metropolitan Detroit (emeritus); The Futures Foundation (chair) ■ Education: Bachelor’s, Stanford; master’s,
London School of Economics; MBA, University of Chicago ■ Other employment history: First National
Bank of Chicago in London, England and Ireland.
■ Civic/nonprofit boards: U.S.-Russia Busi-
ness Council; Center for a New American Security; Detroit Institute of Arts; U.S.ASEAN Business Council; Freedom House; Ford Motor Co. Fund ■ Education: University of Michigan ■ Other employment history: Chief of staff,
Senate Committee on Foreign Relations; National Security Council, George W. Bush; Office of the Senate Majority Leader, Bill Frist; U.S. Department of State; House Committee on Foreign Affairs
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Roger Penske Chairman and CEO Penske Corp. Since chairing the host committee for Super Bowl XL, Penske has taken on more local commitments, becoming a major go-to person for downtown improvements and has inspired other business execs to step up. He also remains one of the biggest auto dealers and renters of trucks via his Bloomfield Hills-based company as well as Team Penske, his high-profile NASCAR and IndyCar racing organization. Until 2013, he was a member of the board of General Electric Co.
■ Corporate boards: Fifth Third Bancorp; Northwestern Mutual Life Insurance, Ford Motor Co. ■ Civic/nonprofit boards: National Center for Arts & Technology; University of Michigan Gerald R. Ford School of Public Policy (committee); UM Life Sciences Institute (leadership council) ■ Education: Bachelor’s degree, University
of Michigan ■ Other employment history: President, Turnstone (Steelcase brand); Procter & Gamble.
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Charles McClure General partner Michigan Capital Partners The longtime automotive executive left Meritor in 2013 and last year, with Northstar Capital founder Russell Youngdahl Jr., formed Michigan Capital Partners, a private equity fund to invest in small and midsized suppliers. The $147.5 million fund was capitalized by private investors and up to $22.5 million from the Michigan Strategic Fund. ■ Corporate boards: Penske Corp.; DTE Energy; Remy International ■ Civic/nonprofit boards: Invest Detroit; Invest Detroit Foundation; Cornell University Council; Detroit Regional Chamber; Business Leaders for Michigan; Henry Ford Health System ■ Education: B.S., Cornell; MBA, University
of Michigan ■ Otheremployment history: CEO, FederalMogul; CEO, Meritor; Ford Motor Co.; Hoover Universal; CEO, Detroit Diesel; Johnson Controls; U.S. Navy
Penske Corp., at $26.4 billion in 2014 rev-
enue is second only to FCA US LLC among the largest privately held companies in metro Detroit. ■ Corporate boards: Universal Technical In-
stitute ■ Civic/nonprofit boards: Chairman, M-1 Rail; Downtown Detroit Partnership; Business Leaders for Michigan
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James Grosfeld Retired chairman and CEO PulteGroup Inc. Grosfeld has stayed active — and successful — as an investor in retirement. In late 2012, his Southfield-based Dawson Investments LLC purchased 5.49 percent of American Greetings Corp. at prices ranging from $16.83 to $17.15 a share and profited when the company went private 10 months later at a buyout price of $19 a share. A director at asset-manager BlackRock Inc. since 1999, he made a notable insider purchase in 2012 when he bought 500,000 shares at an average price of $186. The stock now trades in the $340 range, and according to he still holds about 523,000 shares. ■ Corporate boards: Lexington Realty Trust;
BlackRock Inc.
Steven Kurmas President and COO DTE Energy Co. Kurmas oversees DTE’s utility businesses. He is in Wayne State University’s College of Engineering Hall of Fame and received the Engineering Society of Detroit’s 2012 Horace H. Rackham Humanitarian Award. ■ Civic/nonprofit boards: American Gas Association; National Association of Manufacturers; Detroit Regional Chamber; engineering board of visitors, Wayne State; NextEnergy Center; YMCA of Metropolitan Detroit; Engineering Society of Detroit
Bachelor’s, master’s, Wayne
State
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David Brophy Director, Center for Venture Capital and Private Equity Finance University of Michigan Brophy founded the annual Michigan Growth Capital Symposium, which invites companies to pitch to hundreds of venture capitalists from around the country. The 34th symposium was in May.
■ Civic/nonprofit boards: Grosfeld Foundation; national commission, Anti-Defamation League
Bio-Star Ventures
■ Education: B.A.,
■ Civic/nonprofit boards: Founding direc-
Amherst College; LLB, Columbia University
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James Hackett Interim athletic director University of Michigan Hackett retired from Steelcase Inc. in early 2014 after nearly two decades as president and CEO. That tenure included painful decisions, notably a reorganization that cost 12,000 jobs but is credited with ensuring the company’s long-term survival. He wasn’t retired for long. The Columbus, Ohio, native was named in October to step in as the University of Michigan’s interim athletic director after the midseason departure of David Brandon (No. 33).
■ Civic/nonprofit boards: Chair, Levin Center, Wayne State Law School (advisory); Wayne State University Foundation; National Yiddish Book Center (chairman); Michael and Rose Assarian Family Foundation ■ Education: B.S., J.D., Wayne State; LLM, George Washington University
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Richard DeVore Executive vice president and regional president, Detroit and Southeast Michigan PNC Bank DeVore helped spur PNC’s corporate focus on early childhood education and development and has been a business leader advocating for public investment in pre-K programs. The bank supports that: PNC employees can have up to 40 hours of paid time off a year for early childhood volunteerism. On the upper end of the education scale, he chairs the board at Oakland University. ■ Civic/nonprofit boards: Detroit Regional
Chamber; Business Leaders for Michigan; Ann Arbor Spark; Detroit Symphony Orchestra; Detroit Economic Club; Detroit Public Schools Foundation; Citizens Research Council of Michigan; Oakland University ■ Education: Bachelor’s, University of Michigan; master’s, Wayne State University
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■ Education:
Driker is also one of the trustees of the $1.2 billion Ralph C. Wilson foundation, formed from the estate of the late owner of the Buffalo Bills. The foundation intends to spend down its assets over the next 20 years. Driker had been Wilson’s personal attorney.
■ Corporate boards: Granite Hall Partners,
tor, Michigan Venture Capital Association ■ Education: Bachelor’s degree, St. Francis
Xavier University; MBA, University of Detroit Mercy; Ph.D., Ohio State University
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Eugene Driker Member Barris, Sott, Denn & Driker PLLC Driker has a long history in service to Wayne State University, as well as Jewish and other community causes. He and his wife, Elaine, last year received the George W. Romney Award for Lifetime Achievement in Volunteerism from the Association of Fundraising Professionals. He was one of six mediators in the Detroit bankruptcy.
Marjorie M. Fisher Co-chair Max M. and Marjorie S. Fisher Foundation Fisher’s connections stem from two passions: Her family’s philanthropy and Egyptian studies. In addition to co-chairing the Southfieldbased foundation named for her parents, Fisher is an adjunct assistant professor of Egyptology at the University of Michigan and co-authored Ancient Nubia: African Kingdoms on the Nile, which won the 2012 American Publishers award for best archaeology and anthropology book. She also is perhaps the only of the Most Connected to be featured in fiction: She’s an eponymous character in Elizabeth Peters’ Egyptian-themed mystery novels. Her brother, Phillip, is No. 86 on this list. ■ Civic/nonprofit boards: James Madison Council, Library of Congress; Oriental Institute (visiting committee), University of Chicago; Zanvyl Krieger School of Arts and Sciences, Johns Hopkins University (advisory); University of Michigan (president’s advisory); Egyptian art visiting committee, Metropolitan Museum of Art; Berman Institute of Bioethics, Johns Hopkins University (advisory); director emeritus, Michigan Opera Theatre ■ Education: M.A., Johns Hopkins University; Ph.D., University of Michigan ■ Otheremployment history: Theban Mapping Project, The American University in Cairo; a range of other field experience.
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Matthew Elliott Michigan president Bank ofAmerica Elliott joined BoA in 2010 from George P. Johnson Experience Marketing to head middle market lending in Michigan, Indiana and Ohio, and was promoted to his current job in 2012. He also serves as global commercial banking market executive for middle market banking in Michigan, Indiana and Ohio. Prior to working for George P. Johnson as a
senior vice president of finance, he worked for NBD, American National Bank and Trust Co. of Chicago and Bank of America predecessors LaSalle Bank and Michigan National Bank. ■ Civic boards/nonprofits: Detroit Zoological Society, Detroit Economic Club; Detroit Regional Chamber ■ Education: Bachelor’s, Michigan State; MBA, University of Chicago
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Ralph Gerson Chairman Guardian Industries Corp. Gerson forged a career in international law and policy in Washington, D.C. — punctuated by a stint as state commerce director from 1983-85 — before returning to Michigan in 1988 to work for the company owned by his late uncle, William Davidson. ■ Civic/nonprofit boards: Detroit Symphony Orchestra, Detroit Economic Club, William Davidson Foundation; William Davidson Institute, University of Michigan; The Henry Ford; Business Council for International Understanding ■ Education: B.A., Yale; J.D., University of Michigan; M.S., London School of Economics ■ Other employment history: Akin Gump Strauss Hauer & Feld LLP; executive vice president, Guardian Industries, and president & CEO, Guardian International; special assistant, Office of the United States Trade Representative; counselor to Ambassador Robert S. Strauss
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David Meador Vice chairman and chief administrative officer DTE Energy Co. Meador is deeply involved in the community through his work at DTE and his ties to Wayne State University, but his passion has been advocating for the needs of autistic children. He and Stephen D’Arcy (No. 53), both of whom have autistic offspring, created the Autism Alliance of Michigan in 2010 and successfully lobbied for better health care coverage for autism treatment. A three-bill package passed by the Michigan Legislature in 2012 mandated autism HMO coverage and set up a special state fund to reimburse private self-funded employers for their costs if they provide the benefit. ■ Corporate boards: Landauer Inc. ■ Civic/nonprofit boards: Business Leaders for Michigan; Autism Alliance of Michigan (chair); Detroit Institute of Arts (emeritus); Focus: Hope; Downtown Detroit Partnership; Wayne State University Foundation; Michigan Economic Development Corp.; Hudson-Webber Foundation; Michigan Chamber of Commerce; Detroit Workforce Development Board (co-chair) ■ Education: Bachelor’s, MBA, Wayne State
University ■ Other employment history: Coopers &
Lybrand; Chrysler Corp.
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M. RoyWilson President Wayne State University Since becoming Wayne State University president in 2013, Wilson has immersed himself in the metro Detroit community and has continued to evolve the university’s role as a Midtown anchor and catalyst. Wilson came to Wayne State from The National Institute on Minority Health Disparities of the National Institutes of Health,
where he was deputy director. His research background has focused on glaucoma and blindness in populations from the Caribbean to West Africa. ■ Nonprofit/civic boards: TechTown; Detroit Regional Chamber; Detroit Symphony Orchestra; Downtown Detroit Partnership;
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Detroit Economic Club; Association of American Medical Colleges; American International Health Alliance; United Way for Southeastern Michigan; National Institute on Minority Health & Health Disparity; Health Sciences Center, Texas Tech University ■ Education: Bachelor’s, Allegheny College;
M.S., UCLA; M.D., Harvard ■ Other employment background: Charles Drew University of Medicine and Science; University of Colorado, Denver; Texas Tech University Health Sciences Center; Creighton University School of Medicine
He is a Michigan native who gained prominence in the Republican Party and was launched into the business world by legendary University of Michigan football coach Bo Schembechler, who recommended him for an entry level position at Procter & Gamble.
Brandon went on to successful CEO tenures at Valassis Inc. and Domino’s Pizza Inc. before taking his dream job as UM’s athletic director. Brandon’s tenure at UM was controversial, both for his executive style and poor results on the field. He resigned last October. ■ Corporate boards: Non-executive chairman, Domino’s Pizza Inc.; DTE Energy; Herman Miller; Meijer; PetSmart
NO. 3: ‘It’s about trying to be a community leader’ By Dustin Walsh
■ Civic/nonprofit boards: David A. Bran-
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W. Frank Fountain Jr. President and CEO Escambia Enterprises LLC Since retiring from a long career at Chrysler as a senior vice president in 2008, Fountain has maintained a range of community commitments, including fundraising for the Walter P. Chrysler Museum. ■ Corporate boards: DTE Energy Co. ■ Civic/nonprofit boards: City Year Detroit
(emeritus); Focus: Hope; DMC Foundation; Hudson-Webber Foundation; Wittenberg Center on Global Ethics; Community Foundation for Southeast Michigan; Invest Detroit Foundation; Hampton University
don Foundation; Gerald R. Ford Presidential Foundation; University of Michigan Board of Regents (emeritus) ■ Education: B.A., University of Michigan
34
Richard Gabrys President & CEO Mears Investments LLC Gabrys spent 42 years with Deloitte, retiring as a vice chairman in 2004. Since then, he has maintained a full-time role serving on a variety high-profile boards in both the forprofit and nonprofit sectors. Gabrys even stepped in as interim dean of the Wayne State University business school in 2005.
Education: B.A., Hampton University; MBA, University of Pennsylvania
■ Corporate boards: CMS Energy; TriMas; La-Z-Boy; Consumers Energy; Barbara Ann Karmanos Cancer Institute
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■ Civic/nonprofit boards: Crime Stoppers of Michigan; Detroit Regional Chamber (honorary); Detroit Renaissance Venture Capital Fund
Andra Rush CEO & president Detroit Manufacturing Systems LLC, Dakkota Integrated Systems LLC Rush started her first company, Rush Trucking, when she was 23 and built it into a $100 million-a-year enterprise. She’s since branched into auto supply with two joint ventures: Detroit Manufacturing Systems LLC with Faurecia and Dakkota Integrated Systems LLC with Magna International. ■ Corporate boards: Current Motor Co. ■ Civic/nonprofit boards: Boys & Girls Club of Southeastern Michigan; Business Leaders for Michigan; Downtown Detroit Partnership Inc.; Detroit Economic Club; Michigan Minority Supplier Development Council; National Recreation Foundation; United Way for Southeastern Michigan; Michigan Children’s Trust Fund; Detroit Regional Chamber; Minority Business Roundtable; Native American Business Alliance (executive committee); Detroit Regional Chamber (executive committee); U.S. Manufacturing Council ■ Education: Bachelor’s, MBA, University of
Michigan
■ Education: B.S., King’s College ■ Otheremployment history: Interim dean, Wayne State University School of Business
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Ziad Ojakli Group vice president, government & community relations Ford Motor Co. Ojakli chairs Ford’s political action committee, in addition to leading Ford’s global, federal and state government relations efforts. ■ Civic/nonprofit boards: Alliance of Automobile Manufacturers; Arab American Community Center for Economic & Social Services; Lorraine Civil Rights Museum Foundation; Smithsonian National Zoological Park; National Association of Manufacturers; Jackie Robinson Foundation; The Washington Center for Internships and Academic Seminars; Arab Community Center for Economic and Social Services; Ford’s Theatre Society; Arab American National Museum ■ Education: Bachelor’s, Georgetown Uni-
versity
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Gary Cowger Chairman and CEO GLC Ventures Inc. Cowger retired as group vice president of global manufacturing and labor relations for General Motors in 2009 after a 44-year career and now runs a consulting business and serves on corporate boards. ■ Corporate boards: Tecumseh Products; Titan International; Delphi ■ Civic/nonprofit boards: Kettering Uni-
versity; College for Creative Studies ■ Education:
Dad’s legacy, desire to influence guides Dauch
B.S., Kettering University;
M.S., MIT
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David Brandon CEO Toys R Us Brandon was named CEO of the Wayne, N.J.-based retailer in June, but he retains ties to the area through corporate board seats and other longtime connections.
■ Other employment history: Chief of staff,
Indiana Rep. Mark Souder; legislative assistant, Indiana Rep. Daniel Coats; deputy assistant to President George W. Bush for legislative affairs; policy director and chief of staff, U.S. Sen. Paul Coverdell; Senate liaison, Bush-Cheney transition team
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Mary Barra CEO General Motors Co. Barra launched into national prominence in January 2014 when she became the first woman to lead a major automotive company. During her first year she faced revelations about faulty ignition switches that led to deaths and injuries, a 30 million car recall and was interrogated by Congress and lampooned on “Saturday Night Live.” In October 2014, Barra and her husband, Tony, chaired the Detroit International Wine Auction, raising a record $2.4 million for the College for Creative Studies. They also chaired the Barbara Ann Karmanos Cancer Institute’s 30th annual dinner in
dwalsh@crain.com
For David Dauch, chairman and CEO of Detroit-based American Axle Manufacturing & Holdings Inc. , board service is about influence and upholding his late father’s legacy. Dauch, 51, serves on 11 boards, a healthy mix of nonprofit and for-profit, making him one of the region’s most connected executives. “It’s important to have a large network,” Dauch said. “I want to understand the issues and have input to influence those issues. It’s about trying to be a community leader.” Before succeeding his father in 2012 at the helm of American Axle, Dauch began his automotive career at the now defunct Collins & Aikman Products Co. in 1987 as a sales manager. In 1995, a year after his father, Dick Dauch, formed American Axle, he joined the company. But he returned to Collins & Aikman in 2002 as a board member and continued with the company as it entered into bankruptcy in 2005 through the federal civil fraud charges brought against its CEO David Stockman and other directors and executives in 2007. The U.S. Securities and Exchange 2012, which raised nearly $1.7 million. Began her career with GM in 1980 as a coop student at the Pontiac MotorDivision.
Commission later settled with five of the defendants, including Stockman. “(Collins & Aikman) went through a difficult time, but it was a great learning experience on how companies are run and what not to do,” Dauch said. “It really made me appreciate what my father put in place at American Axle…and what we still have in place today. We’re a company of high integrity.” Dauch said. Dauch worked alongside his father in various management capacities before replacing him at the helm in 2012. The elder Dauch died in 2013. Continuing his father’s legacy of charitable work remains important to Dauch. He sits on a number of nonprofit boards, including the Boys & Girls Club of Southeastern Michigan.
Dauch’s family has long ties to organizations that benefit children. So much so, that the Boys & Girls Club’s offices are called the Dick & Sandy Dauch Campus and the Boys Scouts’ offices are called the Dauch Scouting Center. “I’m a faith-based guy and I’m about supporting youth and education,” Dauch said.
■ Education:
Bachelor’s, Michigan State
General Dynamics
Corp.
■ Other employment: Compuware Corp.;
Chappell Group; AT&T ■ Civic/nonprofit boards: U.S.-China Business Council; Detroit Economic Club; Detroit Country Day School; Kennedy Center Corporate Fund ■ Education:
B.S., Kettering University; MBA, Stanford University
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Beth Chappell President & CEO Detroit Economic Club Since taking the role at the Detroit Economic Club in 2002, Chappell has burnished its reputation as one of the top 5 speaker platforms in the U.S. In 2009, she convened a “national summit” in Detroit that brought dozens of high-profile speakers and about 4,000 attendees to Detroit. The event was financially stressful, but was ranked the seventh-best executive conference for that year by public relations firm Weber Shandwick. ■ Corporate boards: American Axle & Man-
ufacturing Holdings ■ Civic/nonprofit boards: M-1 Rail (com-
munications advisory board); Citizens Research Council; United Way for Southeastern Michigan; Parade Co.; CREW Detroit; Detroit Regional Chamber (honorary); St.
Connections Corporate boards: Amerisure; Horizon
Global Corp. Civic/nonprofit boards: Business Leaders of Michigan; Detroit Economic Club; Detroit Regional Chamber; Great Lakes Council Boy Scouts of America; Boys & Girls Clubs of Southeastern Michigan; Masco Association of Manufacturers; Original Equipment Suppliers Association; United Way for Southeastern Michigan; Miami University, Farmer School of Business Education: B.S., Miami University-Ohio; MBA, Michigan State University
Joseph Mercy Oakland University
■ Corporate boards:
“If we can make a difference in one kid’s life, that’s important. It was important to my father and it’s important to me.” American Axle also runs campaigns, internally, to garner support from employees for the charitable organizations on which he sits. Professionally, Dauch sits on several boards that garner him, and his company, influence over legislation and the future of business, including the Business Lead ers for Michigan, The Detroit Econom ic Club and the Detroit Regional Chamber. The big thing for me is that I want to be able to understand the issues at the state level,” Dauch said. “It’s a great opportunity for me to learn about other industries and create tight connections with the governor’s office and legislatures.”
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Mark Davidoff Managing partner, Michigan Deloitte LLP
Sandra Pierce Chairman & CEO FirstMerit Michigan Pierce, who also is vice chair of FirstMerit Corp., not only participates in many civic and community organizations, she’s known for stepping up to leadership posts once there. She’s been a go-to person for many things, including serving on the city of Detroit’s financial advisory board and also was recently named as one of American Banker’s 25 most powerful women in banking for the second year in a row. ■ Corporate boards:
■ Other employment history: CEO, Charter One Bank, Michigan; National Bank of Detroit and successor banks First Chicago NBD; Bank One and J.P. Morgan Chase
Penske Automotive
Davidoff spent two decades with nonprofits and that sensibility has carried over into the private sector. Deloitte is launching the Deloitte Cornerstone Career Pathways program, a five-year pilot program with Cornerstone Schools, to provide students with enhanced training in math, accounting, problem-solving, management and business ethics. He chaired the successful Detroit Regional Chamber Mackinac Policy Conference in 2015, a prelude to chairing the chamber’s board in 2015-16.
Group; Barton Malow ■ Nonprofit/civic boards:
Chair, Henry Ford Health System; Detroit Economic Club; Detroit Regional Chamber; Downtown Detroit Partnership; Detroit Riverfront Conservancy; United Way of Southeastern Michigan; Business Leaders for Michigan; Michigan Thanksgiving Day Parade Foundation; Invest Michigan; The Parade Co.; College for Creative Studies ■ Education: BBA, MBA, Wayne State Univer-
sity
■ Civic/nonprofit boards: Jewish Federation of Metropolitan Detroit; Downtown Detroit Partnership; M-1 Rail; Detroit Institute of Arts; Detroit Symphony Orchestra; United Way of Southeastern Michigan; The Jewish Fund; Michigan Chamber of Commerce ■ Education: B.S., Wayne State; M.S., Northwestern University ■ Other employment history: Jewish Federation of Metropolitan Detroit; United Jewish Foundation
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David Leitch Group vice president and general counsel Ford Motor Co. In addition to serving as Ford’s top lawyer, Leitch has pushed to ensure Ford’s legal team meets the American BarAssociation’s standard of 30 hours a year of pro bono work. Ford lawyers have been honored multiple times as Pro Bono Corporation of the Year by the Legal Aid and Defender Association and also have been honored by Appleseed Mexico for their work in that country. He was the overall Crain’s General Counsel Awards winner in 2011. ■ Corporate boards: Talmer Bancorp ■ Civic/nonprofit boards: National Chamber Litigation Center; Supreme Court Historical Society; National Center for State Courts (advisory); Civil Justice Reform Group (advisory)
■ Civic/nonprofit boards: Health Alliance Plan, GlobalGiving Foundation, Gleaners Community Food Bank, Detroit Symphony Orchestra, United Way for Southeastern Michigan, Cass Community Social Services ■ Education: University of Detroit Mercy ■ Other employment history: WJBK-Chan-
■ Civic/nonprofit boards: Lean Enterprise Institute, University of Michigan engineering advisory council
44
■ Education: B.S., master’s, University of Michigan; MBA, Massachusetts Institute of Technology
Christopher Ilitch President and CEO Ilitch Holdings Inc. Ilitch became the day-to-day leader of the family empire in 2004, but launched into greater visibility last year with the announcement of a 45-block renewal of Detroit neighborhoods anchored around a $535 million arena for the Red Wings.
B.A., Duke University; J.D., University of Virginia
■ Civic/nonprofit boards: Downtown Detroit Partnership; Business Leaders for Michigan; Detroit Economic Club; Ilitch Charities
■ Other employment history: Hogan Lovells; law clerk, U.S. Supreme Court Justice William Rehnquist; deputy counsel to President George W. Bush; deputy assistant attorney general, U.S. Department of Justice
Michigan
Peter Karmanos Founder Compuware Corp. Karmanos built Compuware into Michigan’s largest technology company, with revenues of more than $1 billion. Post-Compuware, he chairs Resolute, a software company oriented around controlling building operational costs; and co-founded and chairs MadDog Technology, an advanced technology company. The companies share quarters in Birmingham. He was inducted into the Hockey Hall of Fame this year for four decades of accomplishments in youth and professional hockey. He’s owned what is now the Carolina Hurricanes since 1994.
■ Education:
■ Nonprofit/civic boards: Wayne State Uni-
versity Foundation; Detroit Economic Club; USA Hockey Foundation; Barbara A. Karmanos Cancer Institute ■ Education: Bachelor’s, Wayne State
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R.Jamison Williams Jr. Founding member Williams,Williams, Rattner & Plunkett PC Williams, working with founder David DiChiera, restructured the debt of the Michigan Opera Theatre in 2012 and contributed $100,000 toward the $7 million raised to make the deal work. Williams’ law firm specializes in M&A work. ■ Corporate boards: Penske Corp.; Clarke Power Services; Nexlink Communications, Conifer Insurance Co.; Unruh Fabricators; Conifer Insurance ■ Civic/nonprofit boards: Chairman, Michigan Opera Theatre; Detroit Symphony Orchestra ■ Education: B.A., Princeton; J.D., University
of Michigan ■ Other employment history: Smith Bar-
ney; Booz Allen Hamilton
43
James Vella President Ford Motor Co. Fund and Community Services Vella joined Ford in 1988 as executive producer of the Ford Communications Network, then held a series of positions until being appointed to his current job leading philanthropic and community-related activities in December 2006. He is the new chair of the Detroit Economic Growth Corp.
■
Other employment history: General
Motors Corp., EcoMotors International
45
Sergio Marchionne CEO Fiat Chrysler Automobiles NV The Italian-Canadian Marchionne is a global automotive player who came to Detroit through Fiat; he was named CEO of Fiat in 2004, became CEO of Chrysler, now FCA, in 2009, and spent five years working to create a merger between the two companies. He soothed Detroit sensibilities in 2012 when he leased space in Dan Gilbert’s Dime Building in downtown Detroit, which Gilbert renamed Chrysler House. Marchionne also headed the local United Way campaign that year. ■ Corporate boards: Philip Morris Interna-
■ Civic/nonprofit boards: The Council for
the United States and Italy, European Automobile Manufacturers Association, Downtown Detroit Partnership, Peter G. Peterson Institute for International Economics ■ Education: Bachelor’s, University of Toronto; bachelor’s, master’s, University of Windsor; law degree, York University ■ Other employment history:
Deloitte & Touche, Lawson Mardon Group, Glenex Industries, Acklands Ltd., Algroup, Lonza Gropu Ltd., SGS S.A.
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Dan Gilbert Chairman and Founder Rock Ventures, Quicken Loans Metro Detroiters were unmoved when Gilbert brought LeBron James back to the Cleveland Cavaliers, of which he is the majority owner. But Gilbert’s commitment to Detroit remains primary. He houses dozens of mostly Detroit-oriented companies, investments and real estate purchases under the Rock Ventures umbrella. All told, Gilbert owns more than 80 properties encompassing more than 13 million square feet, ranging from offices to retail to a casino to parking. ■ Civic/nonprofit boards: Children’s Tumor Foundation; Business Leaders for Michigan; Cleveland Clinic; Downtown Detroit Partnership; M-1 Rail (vice chair); Detroit Blight Removal Commission (co-chair) ■ Education: Bachelor’s, Michigan State University; J.D., Wayne State University
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Donald Runkle President Runkle Enterprises A disciple of lean manufacturing going back to the 1970s, Runkle deployed lean principles throughout the company while with Delphi Corp. Involved in a variety of corpo-
Continuing the family businesses NO. 4: Manoogian modeled father first, but networking did the rest By Chad Halcom
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chalcom@crain.com
Gerard Anderson CEO DTE Energy Co. Anderson, who became CEO in 2010, like his predecessor Tony Earley, has taken on a range of community commitments. He joined DTE in 1993.
Bachelor’s, University of
tional ■ Corporate boards: Worthington Industries; Taubman Co.; National Hockey League
■ Corporate boards: Ioxus Inc., PowerGenix (advisory), Lear Corp., ActaCell (advisory), Tennenbaum Capital Partners (advisory), Via Motors, Tula Technology
nel 2, WBNS-TV, KNSD-TV
■ Education:
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rate boards, he’s also a co-founder of the U.S.Advanced BatteryConsortium
He also serves on the board of The Andersons Inc., a Maumee, Ohio-based publicly traded agribusiness and retailing firm founded and run by the Anderson family. ■ Nonprofit/civic boards: Downtown Detroit Partnership; Business Leaders for Michigan; Parade Co.; Community Foundation for Southeast Michigan; Nature Conservancy in Michigan; McGregor Fund; The Henry Ford; West Michigan Policy Forum; Edison Electric Institute ■ Education: B.S., Notre Dame; MBA, University of Michigan ■ Other employment history: McKinsey &
Co.
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William ClayFord Jr. Executive Chairman Ford Motor Co. Ford has been a strong advocate for green causes. He’s a co-founder of Fontinalis Partners, which invests in next-generation mobility companies. Previous board commitments have included eBay. He and former eBay CEO Meg Whitman, now CEO of Hewlett-Packard, were classmates at Princeton. His cousin, Edsel Ford II, is No. 81 on this list. ■ Civic/nonprofit boards: Chair, Detroit Economic Club; Conservation International; Business Leaders for Michigan: The Henry Ford; Henry Ford Health ■ Education: Bachelor’s, Princeton University; master’s, MIT
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Joseph Anderson Jr. CEO TAG Holdings LLC Anderson’s career started in the U.S. Army, continued as part of the Carter administration and led him to General Motors, which launched a long career in the automotive industry. ■ Little-known fact: The Oscar-winning 1967 documentary “The Anderson Platoon” was named for him and followed the activities of the infantry platoon he commanded in Vietnam. ■ Corporate boards: Rite-Aid; Quaker Chemical; Meritor; Wynnchurch Capital (advisory) ■ Civic/nonprofit boards: Original Equipment Manufacturers Association; National Recreation Foundation ■ Education: B.S., U.S. Military Academy at West Point; master’s, UCLA ■ Other employment history: General Motors; Composite Energy Management Systems; U.S. Department of Commerce; U.S. Army; Chivas Industries; White House fellow
SEE NEXT PAGE
Philanthropy and civic involvement were already a family tradition the first time Richard Manoogian joined a nonprofit board almost 50 years ago — but since then, it’s become a more personal one. Manoogian, 79, first joined the Detroit Institute of Arts board in 1968. Now chairman emeritus of both the DIA and of Taylor-based Masco Corp ., he has served on more than 20 corporate and nonprofit boards over the years and said what started as a sense of civic duty soon evolved. “I joined (DIA) originally as a civic activity to help and be involved in the community, and being subsequently exposed to art, I started to become a personal collector as well,” he said. “I was born and grew up in the Detroit area, so it’s been an important community asset to me.” Son of Masco founder Alex Manoogian, Richard is now chairman of both the Richard and Jane Manoogian Foundation and the Alex and Marie Manoogian Foundation , established by his late parents, which has supported Armenian cultural education via the Armenian Studies Program at the University of Michigan-Dearborn and the K-12 charter AGBU Alex & Marie Manoogian School in Southfield. Manoogian remains involved in a number of foundations, commissions and other boards and said his commitments can leave him “spread pretty fine.” But he has learned to pick causes where he can be of most help and is prepared for a serious commitment, since many projects prove more time-consuming than they seem. While his father’s own civic involvement got him started, many of his current commitments are a result of networking with others in the local business or nonprofit community, Manoogian said. “As you work with other people, you learn about the causes and organizations that are important to them,” he said. “As you get connected, you look to them and they’ll look to you.” He was an early participant in Midtown Detroit Inc . as one of the grant supporters of the Inn on
Ferry Street Project, which in 2000 began renovating a set of six buildings on Ferry east of Woodward that the DIA had owned since the 1970s. Philanthropic gifts accounted for more than $5 million of the $8.5 million spent to restore the Inn, which opened as a bed-andbreakfast in 2001, said Midtown President Sue Mosey. “(Manoogian) provided a grant for the Inn on Ferry Street Project and also provided a large amount of discounted product (such as) furnishings and fixtures,” she said via email. “At the time, Masco owned a large number of furniture and fabric lines. This was very significant (and) allowed us to move forward and close on all the (project) financing.” In the near future, Manoogian said he expects to see the DIA more involved in travel exhibitions and new cultural education programs in outstate Michigan, since the state was such a large player in the $816 million “grand bargain” that shored up Detroit retiree pension funding and helped the city exit federal bankruptcy last year without having to auction city-owned art. “The state of Michigan supported the grand bargain in a big way,” Manoogian said, “and it’s important that they get the benefits outreach and support outstate, by way of traveling exhibitions and works of art. It has always had a statewide program, but it’s going to become much bigger and more enhanced.”
Connections Civic/nonprofit boards: Business Leaders for Michigan; Detroit Institute of Arts, chairman emeritus; Masco Corp. Foundation; Detroit Economic Club; Invest Detroit; The Henry Ford; Mackinac Island State Park Commission; Armenian General Benevolent Union; Savannah College of Art & Design Inc.; Richard & Jane Manoogian Foundation, chairman, president and treasurer; Alex & Marie Manoogian Foundation, chairman and treasurer. Education: B.A., Yale University
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Maurice Binkow Partner Honigman Miller Schwartz and Cohn
Sam Valenti III Chairman and CEO Valenti Partners, World Capital Partners Valenti is often referred to as the godfather of the venture capital and private equity community in Michigan. There’s a reason. Among many other things, he was an integral part of Masco Corp.‘s grow-through-acquisition strategy that grew revenue from $10 million to nearly $13 billion, and as part of the investment committee for the state pension fund, he pioneered investments in venture capital and private equity for institutional investors. ■ Corporate boards: Chairman, Renaissance Venture Capital Fund; chairman, TriMas Corp.; co-chairman, Horizon Global Corp.; American Axle & Holdings
Binkow is a longtime real estate attorney who also has been an active part of the firm’s leadership. The Brooklyn native is an investor/producer for on and off Broadway shows and also funds concerts and theatrical events in metro Detroit and Ann Arbor.
■ Education: B.A., M.A., Western Michigan
University ■ Otheremployment history: Heartland Industrial Group; Masco Corp.; Masco Capital Corp.
cert House, Gift of Life Bone Marrow Foundation, Wayne State University Law School (visitors); University of Michigan School of Music, Theatre and Dance (advisory) ■ Education: A.B., University of Michigan; LL.B., Harvard University ■ Other employment history: U.S. Depart-
ment of Justice, antitrust division
Philip Kessler Partner Honigman Miller Schwartzand Cohn Kessler joined the Detroit-based law firm in early 2014 from Thompson & Knight, where he led the firm’s Detroit office and also worked in its New York office. He is perhaps best known for defending the University of Michigan before in the U.S. Supreme Court in 2003 in a case against UM’s affirmative action policy. A pair of rulings upheld the principle of affirmative action and the way it was deployed in the law school, but struck down the university’s specific use of it in undergraduate admissions. (Michigan voters struck down the use of affirmative action by public institutions in 2006.) ■ Civic/nonprofit boards: The Supreme Court Historical Society; British Institute of International & Comparative Law; National Judicial College; Boalt Hall School of Law, Berkeley ■ Education: A.B., University of Michigan; J.D., University of California, Berkeley ■ Otheremployment history:
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Matt Cullen President and CEO Rock Ventures The consummate insider, Cullen serves or has served on most of the organizations that work to improve downtown. He’s been the force behind the execution of the M-1 Rail project. And in a long career with General Motors’ real estate operations, he is credited with championing the purchase of the Renaissance Center and development of the riverfront.
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Butzel Long
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Stephen D’Arcy Partner Quantum Group LLC D’Arcy spent 34 years with PricewaterhouseCoopers, including 10 years as Detroit Group managing partner, seven years as global relationship partner for Ford and seven years as global automotive leader before retiring in 2010. He and other retired PwC senior executives now run Troy-based Quantum Group, a consulting and investment firm. Civic accomplishments include guiding the Detroit Medical Center board through a strategic planning process that led to its sale and conversion to a for-profit in 2010. He has advocated for better autism treatment and founded the Autism Alliance of Michigan with DTE Energy executive Dave Meador (No. 28). ■ Corporate boards: Premier Inc. ■ Civic/nonprofit boards: Detroit Sympho-
ny Orchestra; Citizens Research Council; Autism Alliance of Michigan; Hudson-Webber Foundation ■ Education: BBA, University of Michigan
NO. 5: One key: He can ‘get people talking’
■ Civic/nonprofit boards: Kerrytown Con-
■ Civic/nonprofit boards: Business Leaders
for Michigan; Zell Lurie Institute, University of Michigan (advisory); Hesburgh Libraries, University of Notre Dame (advisory)
Geographic reach, personal notes help power Morris’ connections
■ Civic/nonprofit boards: YMCA of Metro Detroit (exec committee); Detroit RiverFront Conservancy; Invest Detroit Foundation (chair); Detroit Regional Chamber; TechTown; Detroit Zoological Society (exec committee); Parade Co. (exec committee); College for Creative Studies; Community Foundation for SE Michigan; Hudson-Webber Foundation; Downtown Detroit Partnership; Detroit Economic Growth Corp.; Detroit Metro Convention and Visitors Bureau (exec committee); Citizens Research Council; Business Leaders for Michigan ■ Education: Bachelor’s, University of Michigan; MBA, University of Detroit Mercy
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David Baker Lewis Of counsel Lewis & Munday Lewis is a municipal finance expert who in 1972 co-founded what was then Lewis, White and Clay. It is one of the oldest and largest law firms founded and led by black attorneys and is nationally known as one of the top bond counsel firms. He served as the firm’s chairman and CEO from 19721982 and again from 2004-2010. Lewis also chaired former Gov. Jennifer Granholm’s campaign committee. ■ Corporate boards: H&R Block, Kroger Co.,
Steris Corp. ■ Civic/nonprofit boards: Oakland University (emeritus), Detroit Economic Growth Corp., Community Foundation for Southeast Michigan; Detroit Institute of Arts (emeritus); Henry Ford Health System, ■ Education: B.A., Oakland University; J.D., University of Michigan; MBA, University of Chicago
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J. Michael Losh Retired executive vice president/CFO General Motors Corp. Losh’s career at GM spanned from 19642000; his executive positions also included serving as general manager of Pontiac and Oldsmobile. Since retiring, he has served on a range of corporate boards. ■ Corporate boards: Masco Corp.; Aon; ZF TRW; H.B. Fuller; Prologis ■ Education: B.S., Kettering University; MBA, Harvard University
ANR was acquired in 1985, and in 1994 Morris joined Consumers
By Marti Benedetti Special to Crain’s Detroit Business
Michael Morris has lasting connections in the business world with the help of a simple gesture: He sends handwritten notes to those who do a good job – no matter what their status in a company or in his personal life. “It lets people know I care about them and what they are doing. I think it is important,” said Morris, 68, retired chairman and CEO of American Electric Power Co. Even though he is retired, he said maintaining connections remains a priority. “I still write notes to people,” he said. “One of my colleagues was on CNBC recently and did an excellent job. I sent him a note (in this case an email)… The guy who cuts my grass in Florida, I mailed him a note thanking him for doing a good job.” Of course, the reasons for Morris’s broad connections go beyond personal notes. And his place at No. 5 on the list may come as a surprise to many because it doesn’t arise from service on metro Detroit community boards. Instead, Morris’s life has ranged from a career in multiple industries — energy and law — to sitting on boards in the locations where his career has taken him , to relationships with political leaders, and military experience in college. He grew up in Fremont and Toledo, Ohio, and spent his high school years in Temperance, Mich. His high school biology teacher inspired him to want to do the same, so he attended Eastern Michigan University to pursue that goal. While at EMU, Morris signed up for four years of ROTC and went on to become a brigade commander. He then joined the U.S. Army Reserves. Toward the end of his senior year in 1969, he started thinking about getting a master’s degree
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Denise Lewis Partner Honigman Miller Schwartzand Cohn Lewis was the first woman and first minority in Michigan to be elected to the American College of Real Estate Lawyers. Savoy magazine this year named her one of the nation’s most influential black lawyers. She heads Honigman’s Urban Redevelopment Practice Group. ■ Civic/nonprofit boards: Detroit Zoologi-
cal Society; Real Estate Executive Council; Wayne State University Foundation; McGregor Fund; International Women’s
Power as president and CEO. Later on, he held CEO positions at Northeast Utilities, now Eversource Energy, and its
and teaching in a junior college or university. But around that time President Richard Nixon took two actions that greatly impacted his life: He started a reduction of forces and helped pass the National Environmental Policy Act (NEPA), which allowed scientists to find jobs in corporate America versus doing lab work or teaching. After graduating from EMU with a bachelor’s and master’s degree in biology, he was hired by Soil and Materials Engineers in Detroit. After three years, he joined Commonwealth Associates Inc. in Jackson, a large energy consultant that at the time was designing power plants and gas pipelines. “Commonwealth in Jackson was the first place the Environmental Protection Agency started enforcing NEPA rules,” he said, adding that these jobs made him forget about becoming a teacher. In 1976, Morris went on to work for America Natural Resources, a large interstate gas pipeline then headquartered in Detroit, which is where he stepped into his first management role. At the same time, he attended the former Detroit College of Law and completed a law degree in 1980. He said it helped hone his leadership skills. “It teaches you there are two sides to every story. No matter how compelling story A, story B is just as compelling,” he said. “I also learned calmness under pressure.” Forum; Detroit Investment Fund; Public School Academies of Detroit ■ Education: B.A., Columbia University; M.A., Wayne State University; J.D., University of Michigan
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Gail Warden President emeritus Henry Ford Health System Warden did not settle into retirement after leaving Henry Ford in 2003. He continues as a respected figure in health care — the National Center for Healthcare Leadership
bestows an annual leadership award
subsidiaries in Hartford, Conn.; and American Electric Power in Columbus, Ohio. He retired from there on his birthday: Nov. 11, 2011, at 11:11 a.m. He remained chair until the annual meeting in 2014. It was while he was at Northeast Utilities that he had his first corporate board appointment in 2000 — to Webster Bank in Connecticut, asked by a CEO he knew from the Connecticut Business Council.
Dennis Muchmore, Gov. Rick Snyder’s chief of staff, met Morris more than 30 years ago when Morris was executive vice president of Consumers Power. Muchmore said Morris is naturally friendly but his key to connectedness is he can “get people talking and keep them talking until they discover their mutual grounds for agreement. “He’s an amazing counselor and constantly redefines the goals and objectives of groups until they hone the parameters of their particular position. He’s quite a problem solver and never gets panicked or disagreeable — really an exceptional person and leader.” He was appointed by Gov. John Engler to serve on the Board of Regents at EMU from 1997-2004. His second term runs through 2018; he’s serving this year as board chair. He is tied to EMU because of all he learned there — and because that’s where he met his wife — and he said he is paying back.
Connections Corporate boards: Alcoa, Battelle, Hartford Financial Services Group Civic/nonprofit boards: U.S. Department of Energy’s Electricity Advisory Board; National Governors Association’s Task Force on Electricity Infrastructure named for him. Earlier this year, Becker’s Hospital Review named him one of 50 experts leading the field of patient safety. He led the Detroit Zoo in its successful quest in 2008 to earn voter approval for a regional millage. ■ Corporate boards: National Research Corp. ■ Civic/nonprofit boards: Chairman, Rosalind Franklin University of Medicine and Science; National Quality Forum; Detroit Zoological Society; National Committee for Quality Assurance; Detroit Wayne County Health Authority; Robert Wood Johnson Foundation (emeritus); Health Research and Educational Trust (emeritus); Rand Health; Greater Detroit Area Health Council; Citizens Research Council; National Center for Healthcare Leadership; Institute of Medicine
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SPECIAL REPORT: MOST CONNECTED ■ Education: B.A., Dartmouth College; MHA, University of Michigan ■ Otheremployment history: Group Health
Cooperative of Puget Sound; American Hospital Association; Rush University Medical Center
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versity; MBA, UCLA ■ Other employment history: Toyota, responsible for launch of Scion; general manager, Lexus
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George Johnson Managing director George Johnson & Co.
Douglas Stotlar President and CEO Con-way Inc. Stotlar joined Con-way in 1985 and has been CEO since 2005. He moved Con-way’s small headquarters from Silicon Valley to Ann Arbor, where it already had a large division, in 2011 because — wait for it — it couldn’t attract the talent it wanted in California. A pending sale of the company to XPO Logistics is expected to close in October.
Johnson formed his Detroit-based accounting firm in 1971 through a merger that included the firm of late Secretary of State Richard Austin and has been a consistent presence in local civic life. He’s the recipient of the 2012 lifetime achievement award from the National Association of Black Accountants, among other honors. His clients include accounting and audit work for many major nonprofit organizations.
■ Corporate boards: AECOM Technology
■ Corporate boards: TCF Financial
Corp. ■ Civic/nonprofit boards: American Transportation Research Institute; Emerson School; American Trucking Association; Federal Reserve Bank of Chicago ■ Education: B.S., Ohio State University ■ Other employment history:
President
and CEO, CNF Corp.
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Ken Whipple Retired chairman CMS Energy Corp. Whipple retired from Ford Motor Co. in 1999, after a 40-year career that included stints as president of Ford Financial Services and CEO of Ford Motor Credit. He spent two years beginning in 2002 as chairman and CEO of CMS Energy to rescue it after its CEO resigned over a scandal related to sham energy trading. He remained CMS chairman until 2010. More recently, he served on the Detroit Financial Advisory Board. ■ Civic/nonprofit boards:
United Way for Southeastern Michigan; Detroit Public Television (emeritus); Detroit Economic Club; Community Foundation for Southeast Michigan; Oakland Family Services; Partners4 Health; City of Detroit Retirement System ■ Education: B.S., Massachusetts Institute
of Technology
■ Civic/nonprofit boards: Detroit Institute
of Arts; Forgotten Harvest; Black United Fund of Michigan; Detroit Zoological Society; Detroit Regional Chamber; DMC Foundation; Community Foundation for Southeast Michigan; Wayne State School of Business; American Alliance of Museums; Detroit Economic Club (advisory) ■ Education: B.S., Wayne State University ■ Otheremployment history: Touche Ross
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Matt Simoncini President and CEO Lear Corp. Simoncini grew up in the city of Detroit and has shown commitment to his hometown in ways that go beyond the standard list of executive memberships. In 2013, he won the Free Press Automotive Leadership Award for suppliers in part for spearheading the development of a program for Detroit schools that teaches mentoring skills to high school students. The company also sponsored its first float in the Thanksgiving Day parade last year and recently purchased a downtown building. ■ Civic/nonprofit boards: Detroit Economic Club; Business Leaders for Michigan; Detroit Recreation Trust; Michigan Opera Theatre ■ Education: Bachelor’s, Wayne State Uni-
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Jonathan Aaron Principal Velvel Group A significant nonprofit commitment for Aaron is serving as president of the William Davidson Foundation, the family charity. Aaron’s wife, Mary, is the daughter of Davidson’s widow, Karen. Aaron’s Velvel Group offers trustee, fiduciary and family office services. ■ Civic/nonprofit boards: Jewish Federation of Metropolitan Detroit; American Committee for the Weizmann Institute of Science; Jewish Theological Seminary of America; University of Michigan Hillel; Detroit Country Day; Congregation Shaarey Zedek; Schechter Institutes; University of Michigan Health System (advisory); Henry Ford Hospital-West Bloomfield ■ Education: Bachelor’s, University of Michigan; J.D., Michigan State University ■ Other employment history: Guardian In-
dustries; Lason Inc.
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James Farley Executive vice president and president Ford Europe, Middle East and Africa Farley has made an impact at Ford since joining the company in 2007. Among other things, he’s credited with accelerating Ford’s business transformation in Europe, leading the reinvention of the Lincoln brand and executing the One Ford plan that focuses on new products. ■ Education: Bachelor’s, Georgetown Uni-
had been group vice president and general manager of JCI’s automotive experience group in both Asia and metro Detroit. ■ Corporate boards: Standex International ■ Civic/nonprofit boards: United Way for Southeastern Michigan; National Association of Manufacturers ■ Education:
B.S., Clarion University of
Pennsylvania
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Kenneth Way Retired CEO Lear Corp. Way has scaled back his civic commitments in recent years, but remains highly connected through a long list of prior boards and activities. ■ Corporate boards: Elio Motors; Wesco Distribution ■ Education: B.S., MBA, Michigan State University
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Antoine Garibaldi President University of Detroit Mercy Garibaldi became the first lay president of the University of Detroit Mercy, with its connected local alumni network, in June 2011. Among his goals: Become an anchor institution for its Six Mile and Livernois-area neighborhood, much like Wayne State has done on a larger scale for Midtown. The strategy is taking shape in Live6 Alliance, a coalition that includes the university, Kresge Foundation and the Detroit Economic
Other employment history: Varity KelseyHayes; United Technologies Automotive; Touche Ross; Horizon Enterprises
66
■ Education: B.S., Denison University
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Rodney O’Neal Retired CEO Delphi Automotive
of Arts; University of St. Thomas-Minnesota; United Way for Southeastern Michigan; Association of Governing Boards of Universities and Colleges; Wheeling Jesuit University; National Association of Independent Colleges and Universities.
ber; Sprint; United Way for Southeastern Michigan; Focus: Hope and the Michigan Manufacturers Association.
■ Education: Bachelor’s, Howard University; Ph.D, University of Minnesota
■ Education: B.S., Kettering University; master’s, Stanford University
■ Other employment history: National Institute of Education; Xavier University of Louisiana; Gannon University; Howard University; Education Testing Service Inc.
■ Other employment history: General Motors; General Motors of Canada
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Robert Naftaly Retired CFO Blue Cross Blue Shield of Michigan
Among his post-retirement accomplishments: Leading the execution of the newly formed UAW Retiree Medical Benefits Trust in 2008, for which he was named a Crain’s Health Care Hero in 2011.
■ Corporate boards: Kresge Eye Institute; advisory board, Michigan Prosperity Fund
Naftaly’s skills with numbers — and with spotting talent — led to his 2012 honor of the Lifetime Achievement Award in the Crain’s CFO awards.
■ Civic/nonprofit boards:
■ Corporate boards: UAW Retiree Medical
Cooper-Standard stock has skyrocketed from the low $20s when Edwards joined the company in late 2012 to about $55 a share on Sept. 24. Previously Edwards was a longtime Johnson Controls Inc. executive, who
■ Civic/nonprofit boards: Automotive Hall of Fame; Detroit Symphony Orchestra; Detroit Economic Club; Denison University; Leader Dogs for the Blind; Detroit Regional Chamber; Detroit Zoological Society; vice chair, Cranbrook Educational Community; president, Ralph L. & Winifred E. Polk Foundation
■ Civic/nonprofit boards: Detroit Institute
Pasky and her company support many nonprofit and civic causes in addition to her board memberships. One of her newer efforts is chairing the board of Endeavor Detroit, the second U.S. affiliate of a nonprofit that helps companies scale by providing a global network of mentors and advisers.
Jeffrey Edwards Chairman & CEO Cooper-Standard Holdings Inc.
Polk is president of the family foundation and in 2013 donated $10 million toward the $21 million Polk Family Penguin Conservation Center at the Detroit Zoo, the largest private gift in the zoo’s history. He also is an investor in Birmingham-based venture capital firm IncWell LLC and also invests through Birmingham-based Highgate. In March, he made a seed investment in Bloomfield Hillsbased DroneView Technologies, which is developing technology for drone aerial imaging and operator training.
Prior boards include Goodyear Tire & Rub-
Naftaly keeps a full dance card of corporate and nonprofit commitments and is highly sought out for his combination of financial acumen and people skills.
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Southfield-based R.L. Polk & Co.’s $1.4 billion sale to IHS Automotive in 2013 freed up its CEO, Stephen Polk, to pursue a range of community, philanthropic and business activities.
Growth Corp.
Cindy Pasky President and CEO Strategic Staffing Solutions
chair, Downtown Detroit Partnership; chair, Endeavor Detroit; Detroit Economic Club; Detroit Regional Chamber; Detroit Institute of Arts; Detroit RiverFront Conservancy; Detroit Youth Foundation; Business Leaders for Michigan; Community Foundation for Southeast Michigan; Michigan Board of Medicine
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Stephen Polk CEO Highgate LLC
O’Neal, who retired in March, helped lead Delphi through bankruptcy and diversify its client based away from former parent General Motors. His career almost didn’t happen: He ended up at General Motors Institute, now Kettering University, because a high school counselor filled out an application for him and put it in his locker.
versity ■
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Benefits Trust; Meadowbrook Insurance; Talmer Bancorp ■ Civic/nonprofit boards: Jewish Federation of Metropolitan Detroit; United Jewish Foundation of Metropolitan Detroit; Jewish Federation Apartments; American Israel Education Fund; City Year Detroit (emeritus); The Jewish Fund; Anti-Defamation League; Anti-Defamation League Foundation; Walsh College ■ Education: Bachelor’s, Walsh College ■ Other employment history: Geller, Naftaly, Herbach & Shapiro; DTE Energy; Blue Care Network; PPOM
■ Civic/nonprofit boards:
Real Life 101
(honorary)
73
■ Civic/nonprofit boards: Detroit Institute
of Arts (emeritus) ■ Education: A.B., Columbia-Barnard College; J.D., University of Pennsylvania ■ Otheremployment history: Judge, Wayne County Circuit Court; Michigan Court of Appeals
74
Thomas Sidlik Retired board of management member for global procurement and supply DaimlerChryslerAG
University of
■ Education: B.S., University of Dayton; MBA, Harvard University ■ Other employment history: Ryan Enter-
prises Group
76
Richard Barr Partner Honigman Miller Schwartz and Cohn LLP Barr leads the economic development incentives practice group and works extensively on redevelopment projects in Detroit. He has particular expertise in using incentives to redevelop contaminated sites. ■ Civic/nonprofit boards: Environmental advisory rules committee, Michigan State Office of Regulatory Reinvention; Hebrew Free Loan; Yad Ezra; West Bloomfield Township Roads committee; Adat Shalom Synagogue. ■ Education: BBA, J.D., University of Michigan
77
Donald Coleman Chairman and CEO GlobalHue Coleman is founder of what evolved into one of the largest minority-owned full-service agencies in the U.S. The Detroit-based firm specializes in multicultural marketing; its clients include Verizon Wireless, Jeep, Wal-Mart and the U.S. Navy. As the firm grew from its local roots, so did the breadth and strength of Coleman’s connections. Before beginning his advertising career at Campbell-Ewald, he spent four years in the NFL on the rosters of the New Orleans Saints and NewYorkJets.
■ Other employment history: Lowe Campbell Ewald; Burrell Communications
78
Lloyd Semple Retired chairman and CEO Dykema Gossett Semple’s community involvement was forged over a 40-plus year career at Dykema Gossett, more than six of those as chairman and CEO. He retired in 2004 and also joined the University of Detroit Mercy law school faculty, becoming dean in 2009 and retiring from that position in 2014. ■ Corporate boards: ExOne Inc. ■ Civic/nonprofit boards: Detroit Zoologi-
cal Society (chair)
Sidlik was considered one of the few Americans to operate effectively at DaimlerChrysler’s board level. He retired in 2007. ■ Corporate boards: Cooper-Standard; Delphi ■ Civic/nonprofit boards: Booth School of Business, University of Chicago; Stern School of Business, New York University; Eastern Michigan University (chairman emeritus) ■ Education: B.S., New York University; MBA, University of Chicago
Other employment history:
■ Civic/nonprofit boards:
Dayton
■ Education: B.A., University of Michigan; MBA, Hofstra University
White has previous involvement across a range of Jewish nonprofits. She has served in her current job since 2008.
■
Hinrichs has responsibility for North and South America for Ford as part of a career that also has seen him serve as president of Asia Pacific & Africa and chairman and CEO of Ford China. He was on the board of the U.S.-China Business Council from 2010-12.
■ Civic/nonprofit boards: Advertising Council (honorary); Spelman College; National Action Network
Helene White Judge U.S. 6th Circuit Court ofAppeals
Chrysler Financial
Joseph Hinrichs Executive vice president; president,Americas Ford Motor Co.
CEO,
■ Education: B.A., Yale University; J.D., University of Michigan
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John Russell President and CEO CMS Energy Corp. Russell has civic commitments that have spanned the state. Past involvements have included The Right Place Inc. in Grand Rapids and the Michigan Chamber of ComSEE NEXT PAGE
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SPECIAL REPORT: MOST CONNECTED FROM PREVIOUS PAGE
March after working as GM’s chief tax officer since 2009. She joined the company in 1995 and has held positions in the U.S., Canada and Switzerland.
merce. ■ Corporate boards: Hubbell Inc. ■ Civic/nonprofit boards: Edison Electric
Institute; Business Leaders for Michigan; Jackson County Community Foundation (emeritus); American Gas Association; Grand Valley State University ■ Education: BBA, Michigan State University ■ Otheremployment history: Meijer Inc.
■ Education: MBA, University of Windsor; bachelor’s and J.D., University of Western Ontario ■ Other employment history:
McCarthy
Tetreault law firm
David Jaffe Principal Jaffe Counsel PLC
Patrick Fehring President and CEO Level One Bancorp Inc. Fehring started Level One in 2007, two years after leaving his job as president and CEO of Fifth Third Bank, Eastern Michigan. He had led Fifth Third locally since it was formed in 2001 following the purchase of Grand Rapids-based Old Kent Bank. ■ Civic/nonprofit boards: Detroit Regional Chamber; Detroit Public Television; Detroit Regional Chamber Foundation ■ Education: B.S., Miami University, Ohio
81
Jaffe retired in 2014 as vice president and general counsel of Guardian Industries Corp. after 24 years. He then started his own firm to serve as acting general counsel for companies without in-house representation. ■ Civic/nonprofit boards: Boys Hope Girls Hope-Detroit, Music Hall Center for tthe Arts, Jewish Family Services ■ Education:
B.A., J.D., University of Chicago
■ Other employment history:
Honigman
Miller Schwartz and Cohn
85
Edsel Bryant Ford II Director Ford Motor Co. Ford has community involvement both wide and deep, but perhaps his signature project was chairing the Detroit 300 Committee, the city’s 300th anniversary celebration that resulted in Campus Martius Park. Ford made sure the funding for the $20 million park was rasied and that it opened on time in November 2004, an achievement that made him Crain’s Newsmaker of the Year. His cousin William Clay Ford Jr. is No. 49 on this list. ■ Corporate boards: Ford, International Speedway; chairman and owner, Pentastar Aviation; chairman and majority owner, Marketing Associates ■ Civic/nonprofit boards: Smithsonian Na-
tional Air and Space Museum (emeritus); Detroit Institute of Arts; The Henry Ford; president, Detroit Children’s Fund. ■ Education: BBA, Babsn College
President
and COO, Ford Motor Credit
82
Glenda Price President Detroit Public Schools Foundation The current list of Price’s involvements doesn’t begin to measure her impact locally. She has served on the Detroit Financial Review Board, was interim president of the Michigan Colleges Foundation and has taken over management of the DPS Foundation — and that’s since retiring as president of Marygrove College in 2006. Price also has served on the boards of Compuware and LaSalle Bank and of nu-
merous other professional and charitable organizations. ■ Civic/nonprofit boards: Chair, Focus: Hope; Detroit Receiving Hospital; Center for Michigan; The Jewish Fund; Community Foundation for Southeast Michigan; Council of Michigan Foundations; Detroit Symphony Orchestra; Center for Michigan ■ Education: Bachelor’s, master’s and Ph.D, Temple University ■ Other employment history: Provost, Spelman College; University of Connecticut; Temple University
83
Victoria McInnis Vice president, tax and audit General Motors Co. McInnis has held her current job since
■ Civic/nonprofit boards: Detroit Regional
Chamber; Downtown Detroit Partnership; United Way for Southeastern Michigan; Business Leaders for Michigan; Detroit Economic Club; Cornerstone Schools; College for Creative Studies ■ Education: B.S., Wayne State University; MBA, University of Michigan
88
Ira Jaffe Founding partner Jaffe Raitt Heuer & Weiss P.C.
84
80
■ Other employment history:
■ Civic/nonprofit boards: Detroit Institute
of Arts, Catalyst Inc.
■ Education: B.A., University of Michigan, J.D., Wayne State University
Outer Drive.
Bruce Peterson Senior vice president and general counsel DTE Energy Co. Peterson joined DTE in 2002 from the Washington, D.C., office of energy law specialist Hunton & Williams. He was a Crain’s General Counsel Award winner in 2012 for reducing DTE’s use of outside law firms and winning dismissal of an EPA lawsuit against the company. ■ Civic/nonprofit boards: Chairman, Cran-
brook Educational Community; chair, Edison Electric legal committee ■ Education: B.A., North Park University; J.D., University of Notre Dame. ■ Otheremployment history: Foreign service officer, U.S. Department of State
86
Phillip Wm. Fisher Founder Mission Throttle Fisher has turned his attention to social impact investing and new forms of fundraising. Mission Throttle invests in, advises and supports mission-driven organizations and entrepreneurs who use business principles to address social problems. Last year, with his mother, Marjorie S. Fisher, he sponsored the RiseDetroit Challenge, which distributed $100,000 to local nonprofits as a reward for successful fundraising. All told, 93 nonprofits raised nearly $680,000. Fisher is an investor in the platform for the challenge, Crowdrise. Fisher also chairs the Detroit Symphony, coming in after the tumultuous strike and has been part of the effort to rebuild bonds internally and externally. His sister, Marjorie M. Fisher, is No. 25 on this list. Their late father, Max, was an internationally known philanthropist. ■ Civic/nonprofit boards: co-vice chair, Max M. and Marjorie S. Fisher Foundation; chairman; United Way for Southeastern Michigan; United Jewish Foundation of Metropolitan Detroit; Starfish Family Services; Council of Michigan Foundations; Skandalaris Center, Washington University; Fisher College of Business, Ohio State University
87
Jaffe continues to practice law and participates in the governance of various client-related entities, include chairing the board of Redico Inc. and serving as CEO of The Fisher Group LLC, which handles the financial affairs of the Max Fisher family. ■ Corporate boards: CIGNET (Combined
Industrial Group Network) ■ Civic/nonprofit boards: chairman, Fred A. and Barbara M. Erb Family Foundation; McGregor Fund (emeritus); corporation development committee, Massachusetts Institute of Technology; Beyond Basics; Cranbrook Schools; Norman and Esther Allan Foundation ■ Education:
B.S., MIT; J.D., University of
Michigan
89
Ronald Weiser Founder McKinley Inc. Weiser who built a fortune through the real estate company he founded in 1968, also has been a longtime power player in Republican politics. He and his wife, Eileen, have donated nearly $100 million to the University of Michigan. Weiser also has served as Ambassador to Slovakia under President George W. Bush. ■ Corporate boards: Silver Bay Realty Trust ■ Civic/nonprofit boards: Samuel Zell & Robert H. Lurie Institute for Entrepreneurial Studies, University of Michigan; Republican Jewish Coalition; Gerald R. Ford Presidential Foundation; The Henry Ford; Victors for Michigan. ■ Education: BBA, University of Michigan
90
Ismael Ahmed Associate provost University of Michigan-Dearborn Ahmed helped found the Arab Community Center for Economic and Social Services (ACCESS) in 1971 and served as its executive director for almost 25 years. ACCESS in turn launched other Arab-American organizations and created the Arab American National Museum in 2005. He also led the Michigan Department of Human Resources under Gov. Jennifer Granholm.
Ahmed, among community contributions, in 1993 founded the Concert of Colors, an annual free concert featuring musicians from around the world. ■ Civic/nonprofit boards: Arab American National Museum; Detroit Symphony Orchestra; Reading Works; Arab American Institute (chairman) ■ Education: Bachelor’s, University of Michigan-Dearborn
91
Ann Marie Uetz Partner Foley & Lardner
Michael Ritchie President, Michigan market Comerica Bank
Uetz also is vice chair of Foley’s national bankruptcy and business reorganizations practice. She does pro bono work for the nonprofit Affirmations and also has done so for the Chicago-based Ray Graham As-
Ritchie became Michigan market leader in mid-2013, and has spent his career at the bank, joining in 1991 as a credit analyst. He is the son of a Detroit policeman and grew up in the city near Plymouth Road and
sociation forPeople with Disabilities. ■ Civic/nonprofit boards: International Women’s Insolvency and Restructuring Confederation-Michigan Network
92
David Foltyn Chairman and CEO Honigman Miller Schwartz and Cohn LLP Foltyn, one of seven members of the Most Connected list from Honigman, started as a summer associate and joined as an associate upon graduating from law school. Since 2008, he has been chairman of the law firm,. Clients include General Motors, Rock Fi-
■ Civic/nonprofit boards: Detroit Symphony Orchestra, National Business Group on Health, American Heart Association-Southeast Michigan ■ Education: Bachelor’s, Wilfrid Laurier University; MBA, York University ■ Other employment history: Cami Automotive (GM joint venture), GMAC (now Ally Financial)
97
nancial/Quicken Loans, Taubman Centers, Trinity Health and Kellogg.
Ronald Gantner Partner Plante Moran Cresa
■ Civic/nonprofit boards: Detroit Regional Chamber, Downtown Detroit Partnership, United Way for Southeastern Michigan, Detroit Economic Club, JVS and Community Workshop, Temple Beth-El
Gantner joined Plante Moran in 2012 after five years at Jones Lang LaSalle, where he was an early part of the firm’s efforts to build a leasing practice in metro Detroit.
■ Education:BBA, J.D., University of Michigan
Among other commitments, Gantner serves on the board of the Michigan State University Football Players Association — he was a student manager for the team from 1985 to 1988.
93
Anessa Owen Kramer Partner Honigman Miller Schwartzand Cohn Kramer is a trademark specialist who joined Honigman in 2010 from Brooks Kushman. She was named a Crain’s 40 under 40 in 2007 for spearheading a project that tripled Brooks Kushman’s trademark revenue and saved Ford MotorCo. millions of dollars. ■ Nonprofit/civic boards: Jewish Federation of North America (young leadership committee); Jewish Fund; Roeper School
■ Education: B.A., Michigan State University; J.D., George Washington University ■ Other employment history: Finnegan, Henderson, Farabow, Garrett & Dunner LLP
94
Jeffrey Kopp Partner Foley& LardnerLLP Kopp is a litigation attorney who also is a lieutenant colonel in the U.S. Army Reserves, where he is the senior legal counsel in the JAG Corps. Served in Iraq in 2008 as the detainee operations counsel at Camp Cropper in Baghdad. ■ Civic/nonprofit boards: West Point Society of Michigan; Detroit Metropolitan Bar Association ■ Education: Bachelor’s, U.S. Military Academy atWest Point; J.D., University of Notre Dame
95
H.Jeffrey Dobbs Tax partner KPMG LLP Dobbs has been KPMG’s global lead partner on the General Motors account since 2003 and also is the account executive for United Technologies Corp.
Dobbs previously was with Arthur Andersen in Kansas City, Mo. According to the Kansas City Business Journal, he was credited with shepherding Andersen employees and clients to KPMG during the accounting firm’s collapse in the wake of the Enron scandal in 2001. ■ Civic/nonprofit boards: Children’s Center of Wayne County, National Association of Manufacturers, Valparaiso University ■ Education: Valparaiso University
96
Janice Uhlig Executive director, global compensation General Motors Co. Uhlig has held her current position since January 2009 and also serves as the automaker’s executive director of health care initiatives. Before joining human resources in 2007, she held various finance executive positions at GM.
■ Civic/nonprofit boards: YMCA of Metropolitan Detroit, The Parade Co., Michigan State University Football Players Association ■ Education: B.S., Michigan State University ■ Other employment history:
Trammell
Crow Co., Hines
98
Ann Hollenbeck Partner Honigman Miller Schwartzand Cohn Hollenbeck leads Honigman’s health care practice group and also is a member of the firm’s higher education industry group and a business development partner. ■ Civic/nonprofit boards: American Health Lawyers Association; president, Ann Arbor Symphony Orchestra (president) ■ Education: B.S., Butler University; J.D., Indiana University ■ Other employment history: University of Michigan, Ice Miller Donadio & Ryan, Oakwood Healthcare
99
Cameron Piggott Member Dykema Gossett PLLC Piggott, a real estate attorney, has long been active in downtown Detroit civic life. On the professional side, he was the lead attorney for Renaissance Center Venture, the longtime owner of the Renaissance Center, and Majestic Star Casino in connection with a Trump Inc. joint venture in Gary, Ind., with the late Detroit businessman Don Barden. ■ Civic/nonprofit boards: Tomorrow’s Child Michigan SIDS; Downtown Detroit Partnership; William Beaumont Hospitals ■ Education: B.S.M.E., Michigan State University; J.D., University of Michigan
100
William Pickard Chairman and CEO Global Automotive Alliance LLC,Vitec USA LLC Pickard established the Global Automotive Alliance as a parent to several suppliers that manufacture plastic parts. He has a long history of entrepreneurism that includes owning McDonald’s franchises; and is an investor in Real Times Media, owner of the Michigan Chronicle, and also the MGM Grand Detroit. ■ Civic/nonprofit boards: Business Leaders for Michigan; Detroit Public Schools Foundation; National Black College Alumni Hall of Fame Foundation Inc.; Detroit Symphony Orchestra; Community Foundation for Southeast Michigan; Detroit Economic Club ■ Education: Bachelor’s, Western Michigan University; master’s, University of Michigan; Ph.D., Ohio State University
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SPECIAL REPORT: WEALTH MANAGEMENT TOM HENDERSON Reporter thenderson@crain.com
Trailblazer’s son takes own path Aubrey Lee Jr. has had extra-large shoes to fill as the junior to Aubrey Lee Sr., for whom the word “legendary” is not hyperbole. Lee is credited with being the first AfricanAmerican to be appointed a manager at the National Bank of Detroit, in 1966. He used his clout to hire and to extend commercial loans to minorities, and became instrumental in the careers of many future leaders. Aubrey Jr., 58, heads the
Aubrey Lee Jr.
Aubrey Lee Jr., Readus and Plowden Group of
wealth managers in the Southfield office of Merrill Lynch. He talked about his career and what it’s like having a trailblazer for a father.
FINANCE Grizzly, but bearable
Did you always want to follow your dad in the world of finance?
Not at all. I always wanted to be in radio. It was what I had a passion for. I embarked on a radio career, but I realized early that the lifestyle of the radio personality and raising a family were not consistent. One day you had a job, and the next day, you didn’t. What was your post-radio career path?
In 1980, I took a job at Manufacturers National Bank in Detroit as a branch-manager trainee. I ran several branches in Detroit from 1980 to 1987, when I left to come to Merrill Lynch. I felt my career was stalling a bit at Manufacturers. I considered leaving Detroit and taking a banking job in Cleveland, but a friend told me Merrill Lynch was hiring.
Wealth managers see opportunities ... for a wise hunter By Tom Henderson thenderson@crain.com
Yes, stock markets have had a wild ride during the last month — unlike anything seen since the Great Recession. There have been worries about Greece, the Federal Reserve Bank and interest rates, the collapse of the Chinese stock market and the repeated currency devaluations by the government in Beijing. Plotted on a graph, the ups and downs of the market indexes look like a blueprint for a new roller coaster at Cedar Point. The Stan dard & Poor’s 500 index had its worst month in August since May 2012, then on Sept. 2,
the Dow promptly lost 470 points. How worried should we be? Are we staring a bear market in the face? Or, worse, another recession? “Not much,” and “no” are the unanimous answers of 14 wealth management advisers interviewed by Crain’s. Their advice to clients, boiled down to a word: Chill. “This is when the money is made,” said Peter Schwartz, a principal in Bloomfield Hills-based Gregory J. Schwartz & Co. “Our job is to take the emotion out of it. The crisis du jour is China. Months ago, it was Greece. We’re not being defensive. We’re telling people to stay the course.”
“There’s going to be really good opportunities moving forward,” said Pete Gargasoulas, vice president and chief portfolio officer in the Southfield office of Fifth Third Bank. “This is a correction; this is not a bear. Rumors of China’s death are greatly exaggerated,” said Leon LaBrecque, CEO of Troybased LJPR LLC . He says sell-offs and fear have resulted in bargains, and he’s in a buying mood. “We’ve added oil to holdings, and we’re going to keep buying into energy. “I love SEE MARKET, PAGE 20
Was it tough being Aubrey Jr.? Was there ever a time you wished you were a Tom or a Joe?
Absolutely not. I wouldn’t trade it for the world. My dad was Aubrey. His father was Aubrey. My son is Aubrey. Having the name Aubrey Lee Jr. was a blessing. But it was important to make my own mark. Hence my start in radio. And my dad enjoys a particular brand of Scotch. I enjoy a different brand of Scotch (loud laughter). My dad opened some doors, but at the end of the day, you have to execute. I was approached to work for NBD, and I was, “You gotta be kidding!” No way was Aubrey Lee Jr. going to work at NBD. That would have been a no-win situation. I was smart enough to not do that.
“
We’ve been way, way due for a correction. ... The market was looking for a reason to sell — and the last few years hasn’t had one. China was the excuse.” Marie Vanerian, managing director of wealth management for the Vanerian Group
Read more of what Vanerian and other wealth management advisers have to say about the market ups and downs, Pages 21-22.
The markets have been going crazy. I imagine you spend a lot of time telling clients the sky isn’t falling.
Hand-holding is important. When clients act emotionally, it costs them. 䡲
GLENN TRIEST
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SPECIAL REPORT: WEALTH MANAGEMENT
MARKET FROM PAGE 19
times like this. It’s a lot more fun having opportunities,” he said.
Volatility drivers Marie Vanerian, managing director of wealth management for the Vanerian Group , which focuses on institutional clients in Merrill Lynch’s Troy office in the Bank of America building, reflects the consensus view among her peers of recent events. Each driver to the recent market volatility has its own set of circumstances — and it’s important
to look at the markets with a longer lens. On the sell-off in U.S. equities in August and September: “We’ve been way, way due for a correction,” Vanerian said. “It’s been four years since we had our last correction of 10 percent or more. “The market was looking for a reason to sell — and the last few years hasn’t had one. China was the excuse.” On how worried people should be over the crashing Chinese market and devalued currency: “The market crash was overdue and fueled by a liquidity crisis. We think the hard-landing scenario
“We’ve been convincing our clients to just enjoy their money and not watch stock reports on a daily basis.” Robert Gardner,seniorportfolio manager,Ann Arboroffice ofKeyBank
enough economy to be the disaster people were worrying about.” On what looks like now will be a quarter-point rise in rates when the members of the Federal Reserve next meet in December to raise near-zero interest rates: “As soon as the Fed begins to normalize interest rates, the better the market and the economy will be.” Asked about Greece, Schwartz said: “China puts Greece in perspective. Greece is insignificant.”
Interest rate concerns for the Chinese economy is overdone.” On Greece: “Greece isn’t a big
Jim Robinson, CEO of Grosse Pointe-based Robinson Capital LLC , said that since the Fed had been
making it clear for many months it would begin raising interest rates, either in September or December, it didn’t matter to the market if it was now or then. “It was no longer a question of if, but when,” he said. “Since I started doing this in 1981, I am not aware of a message about where monetary policy is going that has been telegraphed so insistently and for so long,” said Dennis Johnson, chief investment officer for Comerica Bank. “If anyone is surprised when the Fed moves, clearly they have had other things to focus on. This will not be a shock to the financial system.”
Market volatility
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When asked for a statistical take on the volatility in the stock indexes, one noted local adviser offered a percentage chance of a bear market. David Sowerby, portfolio manager in the Bloomfield Hills office of Loomis Sayles and Co. LP , said: “The most-often-asked question I’m getting is: ‘Is this unpleasant 10 percent correction going to lead to a painful bear market?’ ” “The long-term history of the market says that one in four 10 percent corrections leads to a bear market. I’d say the chances this time are one in six.” Clients need some reassurances in this kind of a market that it is not the beginning of a bear — and may even be a good time to add equities in a select fashion, said Robert Gardner, senior portfolio manager in the Ann Arbor office of KeyBank . “We’ve been convincing our clients to just enjoy their money and not watch stock reports on a daily basis,” Gardner said. Mike Dzialo, president and chief investment office of Rochesterbased Managed Asset Portfolios LLC, said the market crash in China and the accompanying devaluation in the country’s currency are of little long-term concern. They are, he said, just predictable results of a shift to a consumer-driven economy that needs far less commodities and raw materials. “We think the global economy will muddle along, which is a structural problem rather than a cyclical problem. The amount of debt in the system is at the heart of economic problems in the U.S., Japan and Europe,” said Dzialo. But do the various factors affecting market volatility add enough of a fear factor to impact the actual indexes? Most advisers say “no.” “You never say never, but if there is a bear market, it won’t be from an economic standpoint, it will happen from a fear standpoint,” said Nancy Meconi, a partner in the Auburn Hills office of Plante Moran Financial Advisors LLC . “People need to avoid overreacting. They need to avoid panic. They need to avoid trying to time the market,” she said. Tom Henderson: (313) 446-0337 Twitter: @TomHenderson2
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SPECIAL REPORT: WEALTH MANAGEMENT
What experts like,dislike – and tell clients By Tom Henderson thenderson@crain.com
One local wealth manager calls it the “crisis du jour,” a way of looking at the world that is a side effect of a 24-hour news cycle that has investors worrying about bear markets and falling skies. Four years ago, everyone was speculating about a double-dip recession in the U.S., followed in short order by fears that the BRIC countries of Brazil, Russia India and China —
which had made investors a bundle of money in recent years — were running out of steam. Would landings be hard? Time to sell. Or soft? Time to buy? Two years ago, Europe was in tatters. What in the world would happen to the European Union with Ireland, Spain, Greece and Cyprus swamped in debt and unemployment? Last year, it was the Russians in Ukraine, fighting in Gaza, continued negligible growth
in Europe and bond defaults in Argentina. Through it all, wealth managers have generally been optimistic. And a long bull market has proven them right. Despite all the recent volatility, they are still bullish. Here are some of the things they like, now. Here are some of the things they’re selling or avoiding. And here are some of the things they are telling clients. (Hint: Think large-cap stocks and technology.) 䡲
Aubrey Lee Jr. Senior resident director, first vice president wealth management, Aubrey Lee Jr., Readus and Plowden Group, Merrill Lynch, Novi
Mike Dzialo
Robert Gardner
Founder, president and chief investment officer, Managed Asset Portfolios LLC, Rochester
Senior portfolio manager, KeyBank, Ann Arbor
Likes: Consumer staples, particularly Nestle , Campbell Soup and Bob Evans ; tobacco, particularly Stockholm-based Swedish Match , which
makes smokeless tobacco products, and Imperial Tobacco Group plc , a maker of a wide variety tobacco products in the United Kingdom; large energy stocks such as Exxon Mobil, Royal Dutch and British Petrole um that can survive a low-price environment while providing sustainable dividend yields; and Tetra Tech Inc., a California company that does water purification Dislikes: Companies such as John Deere and Caterpillar that thrive in strong economies; large manufacturers; chemical companies; mining stocks Quote: “U.S. markets are the cleanest shirts in a dirty laundry pile.”
Likes: Technology, health care, financial sector, U.S. and European equities Dislikes: Emerging markets Quote: “We think volatility will be with us for some time to come, al-
Leon LaBrecque CEO, LJPR LLC, Troy
L i k e s : Oil, small-cap U.S. equities; European equities; highquality municipal bonds; shortterm high-quality corporate bonds D i s l i k e s : Metals; large U.S. companies like B o e i n g and C a t e r p i l l a r , which do a lot of selling in foreign markets and will be hurt by the rising dollar; U.S. Treasurys Quote: “Mexico looks promising. The other emerging markets are cheap, but not cheap enough.”
though we are still positive about the market.”
See ADVICE, Page 22
Likes: U.S. large-cap stocks, developed international markets, especially Europe and Japan; master limited partnerships in the energy sector Dislikes: U.S. small-cap stocks, emerging markets, commodities with the exception of energy Quote: “We think this is a correction. I’d go whole hog and double down if I was convinced it was just a correction.”
Dennis Johnson Chief investment officer, Comerica Bank, Detroit
Pete Gargasoulas Vice president and senior portfolio manager, Fifth Third Bank, Southfield
Likes: Technology, including Apple Inc. , Google Inc. and Amazon.com ; health care, including Gilead Sci ences Inc. ; financials, energy-infra-
structure stocks; master limited partnerships in energy sector Dislikes: Energy producers, commodities; emerging markets Quote: “Interest-rate sensitive stocks will react as the Fed normalizes interest rates. I emphasize the word ‘normalize.’ ”
Likes: U.S. equities; emerging and established international equities; health care, especially hospital stocks and both branded and generic pharmaceuticals; insurance; biotech; medical products; regional banks; high-quality municipal bonds; oil as a long-term play Dislikes: U.S. multinational industrial companies because of the strengthening U.S. dollar; utilities; U.S. Treasurys Quote: “The European Central Bank will have a very accommodating interest-rate environment through 2016, which will push equities there higher.”
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SPECIAL REPORT: WEALTH MANAGEMENT
ADVICE
“It drives me nuts when everyone obsesses about when the Fed interest hike is coming.”
FROM PAGE 21
Anne MacIntyre, president and CEO, Annie Mac Financial LLC, Sterling Heights
Anne MacIntyre
Jim Robinson CEO, Robinson Capital LLC, Grosse Pointe
Likes: Master limited partnerships in energy sector, large-cap energy stocks, European stocks, corporate debt Dislikes: Gold, industrial metals, emerging market stocks Quote: “At some point, emerging markets will be a screaming buy, but that’s a long way off. Energy has been so beat up; if you stick with larger-cap stocks, you’ll probably
do well. The Saudis are playing a long game by keeping production high, which is driving the small fracking players out of the business.”
David Sowerby
Marie Vanerian
Chief market strategist and portfolio manager, Loomis Sayles & Co. LP, Bloomfield Hills
Managing director wealth management, the Vanerian Group, Merrill Lynch, Troy.
President and CEO, Annie Mac Financial LLC, Sterling Heights
Likes: Large-cap U.S. stocks; tech-
nology; consumer discretionary, including retail apparel; biotech; high-yield corporate bonds Dislikes: Utilities, long-term U.S. Treasurys, small-cap stocks Quote: “I don’t see the excesses that need to be there for a bull market — the overleveraging, the overspending. And it drives me nuts when everyone obsesses about when the Fed interest hike is coming.”
Nancy Meconi
Lisa Sampson
Partner, Plante Moran Financial Advisors LLC, Auburn Hills
Senior vice president, managing director of wealth management, PNC Bank, Troy
Likes: Municipal bonds, European stocks, master limited partnerships in energy sector Dislikes: Developing markets, U.S. small-cap stocks, long-term U.S. Treasurys Quote: “International developed markets have better evaluations than U.S. stocks.”
Likes: Large-cap domestic stocks, dividend-paying stocks, bank stocks, real estate investment trusts Dislikes: Long-term bonds Quote: “Have a plan with your investment adviser and stick to it. Stay the course in these volatile times.”
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Likes: U.S. equities; the devel-
oped stock markets of Japan, Europe, Australia and New Zealand; some corporate junk bonds and investment-grade corporate bonds; financials and health care Dislikes: Emerging markets, U.S. Treasurys Quote: “Energy is interesting if you’re patient and not looking for a short-term trade. I’m always interested in areas that have had their own bear market. I’m not backing up the truck, but what was first sold off is a great place to hunt and fish.”
Likes: Equities in U.S., Japan, Europe; large companies with strong balance sheets and strong cash flow that are paying rising dividends; information technology, health care; high-quality corporate bonds Dislikes: Emerging markets, utilities, telecom Quote: “There is such a thing as good deflation. Lower oil prices have to equate to a better economy because it moves money from producers to consumers.”
Lyle Wolberg Partner, Telemus Capital LLC, Southfield
A true partner… 360 degrees advisory solutions to protect and inspire your financial success.
Call us to discover our disciplined system to strategically preserve and create wealth 248-827-1010 www.cigcapitaladvisors.com Securities offered through CIG Securities, Inc., Member FINRA/SIPC. Investment Advisory Services Available Through CIG Asset Management, Inc., a SEC Registered Investment Advisor. Insurance Services Provided by CIG Risk Management, Inc. All Are Wholly Owned Subsidiaries of CIG Capital Advisors, Inc.
Peter Schwartz Principal, Gregory J. Schwartz & Co., Bloomfield Hills
Likes: Energy stocks, dividendplaying stocks, small-cap stocks with little or no debt, European stocks, corporate bonds Dislikes: Chinese stocks, health care, technology Quote: “You don’t let the shortterm news cycles affect what you do with long-term money. We’re shortterm skeptics and long-term optimists.”
Likes: Alternative investments that have a low correlation to the stock market, such as reinsurance portfolios and catastrophe bonds, known as cat bonds, which are bonds issued by insurance or reinsurance companies to limit their exposure to catastrophic losses; managed futures contracts Dislikes: Utilities, real estate investment trusts, long-term U.S. Treasurys Quote: “The expected return for the stock market in the next 12 months is 6 to 8 percent. Alternative investments will yield 7 to 9 percent with much less volatility.” 䡲 Tom Henderson: (313) 446-0337 Twitter: @TomHenderson2
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20150928-NEWS--0025-NAT-CCI-CD_--
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C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 2 8 , 2 0 1 5
CALENDAR TUESDAY-WEDNESDAY SEPT. 29-30
15th Annual Great Lakes Women’s Business Conference. 9 a.m.-5 p.m.
Great Lakes Women’s Business Council. Conference will address the needs of both aspiring and established business owners and will deliver strategies for succeeding in a highly competitive market. Suburban Collection Showplace, Novi. $225 members, $250 nonmembers, at the door. Contact: Betty Aliko, (734) 677-1400; email: baliko@greatlakeswbc.org.
Heartland region, Comcast Cable. Ford Motor Co. Conference and Event Center, Dearborn. $100, $1,500 table of eight with sponsorship recognition. Contact: (313) 584-6100; website: detroitareachamber.com. Diversity, Inclusion & Equity Con versations for Nonprofits: Simple
25
Steps, Real Change. 10-11:30 a.m. Oct. 7. Michigan Nonprofit Asso-
Crain’s 2015 Health Care Leadership Summit Oct. 28
ciation. Small-group conversations on nonprofit diversity, inclusion and equity. Each seminar features a local nonprofit leader who will share strategies for success. Kristina Marshall, CEO of Win ning Futures, twill be featured. United Way for Southeastern Michigan, Detroit. Free for MNA members, $25 nonmembers. Contact: Sarah Pinder, (517) 492-2439; email: spinder@mnaonline.org.
Join Crain’s for this annual event that provides opportunities to learn about the ever-changing landscape of the health care industry, plus make the professional contacts to help navigate these changes. Held Oct. 28 at the Detroit Marriott Renaissance Center, the Health Care Leadership Summit will include keynote speaker Leah Binder, CEO of The Leapfrog Group; roundtable discussions; and the Health Care Heroes awards. Participants can net-
work with local business leaders and health care providers and discuss the latest in innovative health care strategies for 2015 and beyond. The summit is from 7:30 a.m.-1 p.m. Individual tickets are $125; reserved table of 10 is $1,300. Preregistration closes Oct. 23 at 9 a.m. If available, walk-in registration will be $140 per person. For more information, contact Kacey Anderson, (313) 446-0300 or email cdbevents@crain.com.
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WEDNESDAY SEPT. 30
Women of Influence . 8-9:30 a.m.
Women’s Business Forum. Meet four of the area’s top female business leaders. Featured panelists: Ann Bruttell, president, Meeting Coordinators Inc.; Alison Jones, director, global supply chain operations, Delphi Corp.; Munminder LaVelle, executive director of quality, Inteva Products; Debra Thorpe, senior vice president, Kelly Services. $18 Troy Chamber members, $28 nonmembers. An extra $5 will be charged to those who register the day of the event. MSU Management Education Center, Troy. Contact: Jaimi Brook, (248) 641-0031; email: jaimi@troychamber.com.
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Farbman C-Series. 9 a.m. Farbman Group. Jeff Jorge of Baker Tilly will speak on accelerating companies’ growth into international markets, and the event will share 10 steps to grow a business globally. Essex Center, Southfield. Free. Contact: Sandy Eisho, eisho@farbman.com; website: farbman.com.
THURSDAY OCT. 1
Executive Learning Series: Sports Marketing. 6-9 p.m. The Adcraft
Club of Detroit. Topic is the business of sports: turning customers into evangelical fans. Next Wave Media Lab, Troy. $25.00 members, $35 nonmembers. Website: adcraft.org.
UPCOMING EVENTS Western Wayne Business Leadership Luncheon. 5-8 p.m. Oct. 6. Dearborn
Area Chamber, Conference of Western Wayne, Livonia Chamber of Commerce. Mary Kramer, publisher of Crain’s Detroit Business, emcees a gathering of political and business leaders from communities along the I-275 corridor. Keynote speaker is Tim Collins, senior vice president,
Calendar guidelines. Visit crainsdetroit.com and click “Events” near the top of the home page. Then, click “Submit Your Events” from the drop-down menu that will appear. Fill out the submission form, then click “Submit event” at the bottom of the page. More Calendar items can be found at crainsdetroit.com/events.
$1 Billion
20150928-NEWS--0026,0027-NAT-CCI-CD_--
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C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 2 8 , 2 0 1 5
26 ACQUISITIONS & MERGERS iTeknik Holding Corp., Commerce
Township, a provider of wholesale and retail telecommunications services and products through its Send Global subsidiary, has entered into a letter of intent to acquire NSync Services Inc., Grand Prairie, Texas, a provider of distribution and implementation of data networking and telecommunications technology to corporate and government customers. Websites: iteknik.com, nsyncservices.com.
CONTRACTS iDashboards, Troy, a supplier of business intelligence dashboards, has contracted with Scalable Sys-
DEALS & DETAILS tems Inc., Piscataway Township, N.J., a data, analytics and digital transformation company. Scalable Systems is offering iDashboards the ability to understand industry challenges in life sciences and health care, education, travel and hospitality, financial services, retail and telecommunications
throughout the U.S., Europe and Asia. Website: idashboards.com. Altair Engineering Inc., Troy, an-
nounced that PBS Professional has been chosen to manage workload for the new Cray supercomputing system to be installed at the Bureau of Meteorology, Australia’s national
weather, climate and water agency. The new supercomputer will upgrade the bureau’s capability to deliver more precise forecasts with greater accuracy and frequency. Also, Altair announced that Bruel & Kjaer Sound & Vibration Measurement A/S, Naerum, Denmark, has joined
the Altair Partner Alliance, bringing its noise, vibration and harshness software, Insight+, to HyperWorks customers. Websites: altair.com, bom.gov.au, bksv.com. Fourmidable Group Inc., Bingham Farms, has been appointed as the new management agent for the Niles Housing Commission. The company will oversee a public housing community of 179 senior units and scattered family homes in
Niles. Website: fourmidable.com. Arotech Corp., Ann Arbor, training and simulation division, announced up to $8.1 million in new contracts and awards for its air warfare simulation group. The orders include a $4 million, five-year sole source award for FAAC’s air-toair training range software as well as awards to enhance its zone acquisition process software that assists U.S. Air Force fighter aircraft pilots in weapon employment. Funding associated with these new orders totals $3.4 million with the remainder to be incrementally funded over the next five years. Website: arotech.com. Toggled, Troy, a developer and producer of lighting technology and a subsidiary of Altair Engineering Inc.,has added Hyperikon Inc., San Diego, to its licensing program roster. Websites: toggled.com, hyperikon.com.
EXPANSIONS Legato Salon & Spa, Farmington,
has opened its second location, 335 E. Maple Road, Birmingham. Telephone: (248) 385-1166. Website: salonlegato.com. Biggby Coffee, East Lansing, has opened a location at 208 E. 14 Mile Road, Clawson. Telephone: (248) 632-1227. Website: biggby.com. Ningbo Jiebao Group Ltd., Ninghai, China, has opened JB North America, the company’s local sales and technical office, 37780 Hills Tech Drive, Farmington Hills. Telephone: (248) 956-6600. Website: jiebaogroup.com. DSW Inc., Columbus, Ohio, a footwear and accessories retailer, has opened a store at Independence Marketplace, 23171 W. Outer Drive, Allen Park. Telephone: (313) 438-2087. Website: dswinc.com.
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Yogurtopia, Dearborn, has opened a franchise restaurant, Yogurtopia East Dearborn, 6901 Schaefer Road, Dearborn. Telephone: (313) 582-1111. Website: yogurtopia.com. Kurtis Kitchen and Bath Centers, Livonia, has opened a showroom at 32722 Woodward Ave., Royal Oak. Telephone: (248) 554-2439. Website: kurtiskitchen.com.
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Metaldyne LLC, Plymouth, a manufacturer of metal-based components for engine, transmission and driveline applications in the automotive and light truck markets, is expanding by 37,000 square feet its plant in Bluffton, Ind. Construction is expected to start this month and be completed by March 2016. Website: metaldyne.com.
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PM Environmental Inc., Lansing, an environmental consulting firm, has opened an office at the Shelby Congress Building, 607 Shelby Ave., Suite 650, Detroit. Website: pmenv.com. SEE NEXT PAGE
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FROM PREVIOUS PAGE
MOVES Ross Mortgage Corp. has moved its
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NEW PRODUCTS North American Bancard LLC, Troy,
a processor of credit card payments, announced that its newest version of its PayAnywhere Mobile credit card reader is available exclusively in Apple Stores nationwide. Websites: nabancard.com, apple.com. Green Bridge Technologies LLC, New Hudson, which assembles, markets and distributes EPA certified natural gas vehicle systems by Crazy Diamond Performance Inc., Shelby Township, and part of Icom Group North America LLC, a provider of alternative-fuel systems, announced the launch of CDP’s new industry standard natural gas vehicle systems for the Chevrolet Trax and Cruze. Websites: icomnorthamerica.com, crazydiamondperformance.com, gbtfleet.com.
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NEW SERVICES Rochester Regional Chamber of Commerce, Rochester, has launched
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JMC Electrical Contractor LLC, Clinton Township, an electrical contracting firm, has launched a new division, JMC Technology Group, providing turnkey security solutions and low-voltage installations. Website: jmcelectricllc.com.
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Domino’s Pizza Inc., Ann Arbor, is offering a new rewards program. Customers sign up for Piece of the Pie Rewards online and can earn 10 points per day for online orders of $10 or more. When members earn 60 points, they can redeem those points for a free medium two-topping pizza. Membership perks include exclusive members-only discounts and bonus offers. Website: dominos.com.
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STARTUPS Robbins and Licavoli PLLC, a bou-
tique law firm specializing in family law, bankruptcy and immigration, established by attorneys Bryan Robbins and Matthew Licavoli, has opened at 3910 Telegraph Road, Suite 200, Bloomfield Hills. Telephone: (248) 723-8709. Website: robbinsandlicavoli.com. Deals & Details guidelines. Email cdbdepartments@crain.com. Use any Deals & Details item as a model for your release, and look for the appropriate category. Without complete information, your item will not run. Photos are welcome, but we cannot guarantee they will be used.
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HENRYFORD
PEOPLE: SPOTLIGHT Here are some of last week’s executive appointments from the Crain’s newsroom:
Belle Tire names Lawless CEO, Barnes III as president Allen Park-based Belle Tire Distributors Inc. has named former Champion Enterprises Holdings LLC CEO Jack Lawless as its new CEO and Don Barnes III as president. Lawless, 54, succeeds Steven Craig, who has led the company since 2012, overseeing efforts including its recent expansion into Indiana. Jack Lawless A clinical psychologist, according to his LinkedIn profile, Craig is returning full time to his role as president of Craig Counseling Services in Birmingham, said Monica Cheick of PublicCity PR, speaking for Don Barnes III Belle Tire. Before serving as president and CEO of Troy-based modular home builder Champion, Lawless was president of Wixom-based Headwaters Construction Materials Inc. and president and CEO of
Tapco International Corp.
Barnes, 32, has worked at his family’s company for 10 years, most recently as president of retail operations. Belle Tire was founded by his grandfather and is now owned by his father, Don Barnes Jr., and uncle Bob Barnes. In a related move, Belle Tire promoted Wayne Shotwell to COO from vice president of logistics and asset management.
American Axle appoints Oal Detroit-based American Axle & Manufacturing Holdings Inc. named Tolga Oal as president of its North American operations. He replaces Jon Morrison, who left American Axle in May to become president of the Americas for Rochester Hills-based Wabco. Oal, who also will become vice president of the supplier’s corporate operations, joined American Axle from ZF TRW Automotive Inc., where he was vice president of global electronics. Crain’s has moved its complete list of appointments and promotions to www.crainsdetroit.com/ peopleonthemove. Brief online listings for management-level positions are available at no cost, at editor’s discretion. Guaranteed print placement in the People on the Move feature can be purchased at the website above. People on the Move will return Oct. 5.
In June, Cardinal Health Inc. became the first tenant in Henry Ford’s South Campus commuFROM PAGE 3 nity health park when it opened a $30 million, spread over many places” on different floors and 273,520-square-foot medical products distribuclinical departments, said John Popovich Jr., tion center on 18 acres at 6000 Rosa Parks Blvd. M.D., president of Henry Ford Hospital and north of I-94, with 100 employees. chief medical officer of the five-hospital system. Schramm said Henry Ford has been talking “We wanted to design an (centralized) with developers and the city of Detroit environment that supported (cancer paabout a number of projects for the tients’) emotional needs because paSouth Campus. tients can be seen for weeks and months This month, Henry Ford officials met at a time,” said Popovich, adding that pawith the housing staff of Mayor Mike tient comfort helps with healing. Duggan to discuss plans for a mixed-inFunding for the oncology center will come, 100-unit residential, commercial come from Henry Ford operations, supand retail complex. plemented by a possible bond offering “Mayor Duggan is engaged with us with other projects, and money raised William on these projects, and we have been through philanthropy, said William Schramm: Closely working with his project management Schramm, Henry Ford’s senior vice pres- working with city. team very closely,” Schramm said. “We ident of strategic business development. have gotten them committed to (imOfficials said groundbreaking will begin next proving) housing, lighting, infrastructure” in the spring, with the opening expected in the sum- New Center neighborhood. mer of 2018. Site planning is expected to be Also discussed with developers: a senior living completed this year. center, which could include apartments for assisted and independent living. The center could proBigger vision vide living quarters for Henry Ford hospital retirees But the cancer center is just one part of the and long-term residents of the neighborhood. plan. In 2010, Henry Ford officials said the sysSince at least 2007, Henry Ford has been actem’s long-term strategy is to build out a South quiring land from the city and property owners to Campus community health park in the New prepare for development in the 300-acre parcel. Center area of Midtown that would include up Schramm said Henry Ford has spent about $10 to $500 million of Henry Ford projects. Plus, the million to acquire properties, clear areas of blight Henry Ford projects are expected to spur anoth- and demolish more than 100 vacant buildings. er $500 million of solicited private development Cleaning with trees? buildings. The health system cleared the shuttered JonThe overall health park would include Henry Ford Hospital inpatient and outpatient expan- ner Steel factory at 1930 Ferry Park and removed sions, green space for recreation and relaxation at least 1,000 old tires as part of a dendro-remeand a mix of commercial, retail and housing de- diation (using trees to remove toxins) process velopments, Popovich said. A specialty hotel SEE NEXT PAGE also is planned.
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with the Greening of Detroit . “We planted a tree species that cleans the soil and toxins on the site to create a small urban environment,” Schramm said. Henry Ford is working with Re claim Detroit to partially or fully deconstruct 14 buildings. It also is maintaining 100 other vacant lots, including some that are city-owned.
Expanded services, auxiliary development Popovich said Henry Ford’s main campus area also will be targeted for expansion and upgrades, including surgical and emergency department growth and modernization. Henry Ford’s oncology program is one of the largest in Michigan, with 5,500
new cancer patients treated each year. Oncology services, which are delivered by a team representing 20 specialties, are at the system’s four acute care hospitals and four outpatient centers. Over the past eight years, Henry Ford’s cancer volume increased 16 percent for outpatient services and 31 percent for inpatient services, Popovich said. Data from the Insti tute of Medicine show that cancer cases will increase 20 percent over the next decade. The new cancer center will serve as the operational anchor for Henry Ford’s cancer network. Clinical and support services for each type of cancer diagnosis will be on the same floor. Popovich said services will include radiation oncology, infusion
therapy, medical oncology, Popovich said the outand imaging and lab servpatient center also will ices. Inpatient surgery will offer easy access for pastill be performed at the tients to talk with research main hospital. nurses about early-stage Because cancer patients clinical trials. sometimes need care beThe center will offer exyond traditional business panded services such as hours, Popovich said, John Popovich Jr.: concierge services, psychothe outpatient center will Center will offer logical support, palliative offer urgent and express easy access. care, nutrition coaches, ficancer diagnostic services nancial navigation support, through walk-in clinics. The center yoga and eastern medicine. will offer extended weekday hours The cancer center and surroundand weekend care. ing development reflects a national “One worst thing cancer patients trend, said Rajesh Kothari, managdo is go to the ER,” Popovich said. ing director of Southfield-based “They aren’t often admitted and Cascade Partners LLC, an investsometimes have to wait a long time. ment banking and venture capital We want to encourage them to use firm that focuses on health care. “This is absolutely a trend. The our urgent care first. They can go to concept is, ‘We’re going to make this the ER if necessary.”
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a health care destination.’ ” Because cancer represents a large number of patients who come from outside Southeast Michigan, Popovich said, Henry Ford plans to expand housing options for out-oftown patients and families. The system currently offers patients overnight stays in an existing 17-unit building that it originally used to house residents and fellows. “We charge a nominal rate of $60 to $70 per night,” Popovich said. “We want to have a hotel or facility available for patients and families. It could be an extension of a sameday observation unit.” Henry Ford is talking with hotels and developers about developing such a specialty hotel for patients and families. “If nobody is interested,” Schramm said, “we will build one.” 䡲
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Vice President of Customer Support Covenant Eyes is looking to hire a Vice President of Customer Support. The Vice President of Customer support is a core member of the Executive Strategic Leadership team at Covenant Eyes, and is responsible for supporting the Covenant Eyes customer base, leading the customer support management and staff, and continuously shaping the business, the work, and the people in support of the company’s strategic direction. For detailed job description and to apply for position, go to our website:
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School of Nursing Operations Manager - Clinical Learning Center The U-M School of Nursing Clinical Learning Center (CLC) seeks an operational manager. The CLC provides unparalleled learning resources for nursing students in a new facility. This new position was created to facilitate the ongoing operations of the CLC. The manager will act as an operational manager and systems analyst responsible for analyzing and planning operational aspects of the CLC. The manager will implement necessary systems for scheduling, staffing and inventory. The manager will work with academic administrators, faculty and CLC staff to understand the materials and supplies necessary for the coursework conducted in the CLC throughout the year. Working closely with student services to fully understand and analyze the course schedules and coursework conducted in the CLC, the manager will analyze operational needs such as scheduling, equipment, inventory, etc. After defining systems, procedures and policies necessary to operate effectively and efficiently, the manager will work with appropriate groups within the School to implement these systems and develop business processes. The ideal candidate will have expertise in the areas of systems analysis, schedule optimization, inventory planning, staffing analysis and management, project management, and development of staff. A former management consultant, engineer, or operations analyst with management experience would be highly desirable for this position . Please visit the University of Michigan jobs website ’Careers at the U’ to learn more about this Opening and to apply: http://umjobs.org/ (Job Opening # 109374)
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CON-WAY
A tale of two truckers Con-way Inc. (NYSE: CNW)
FROM PAGE 3
lion domestic trucking industry, according to the Journal of Commerce. Cross-selling the acquired LTL services to current XPO clients is a major reason for the purchase. “(Con-way’s clients) also have transportation or logistics needs across the supply chain we happen to offer at XPO Logistics,” he said. The combination also will give the company the scale and technology to grab more of the growing business shipping online orders too large for parcel carriers such as UPS and FedEx, Jacobs said.
Cutting jobs, costs XPO will trim a “modest” number of Con-way’s 435 staffers in Ann Arbor, Jacobs, 59, said. “I love the people (in Ann Arbor); they’re very bright, dedicated people. The vast majority of them will still be there. That will be the brains of our less-than-truckload business in North America,” he said. Current Con-way President and CEO Douglas Stotlar will become an independent adviser to XPO through the first quarter of 2016.
䡲 䡲 䡲 䡲 䡲
2014 revenue: $5.8 billion 2014 net income: $137 million Employees: 30,100 Locations: 582 in 18 countries Customers: 36,000 XPO Logistics Inc. (NYSE: XPO) 䡲 2014 revenue: $2.3 billion 䡲 2014 net income: $63.6 million loss 䡲 Employees: 54,000 䡲 Locations: 887 in 27 countries 䡲 Customers: 16,000 Source: XPO Logistics
In announcing the Con-way deal, XPO said it will reduce costs over the year after closing by improving purchasing and supplier management, and finding savings in equipment, fuel, professional services, maintenance, supplies and marketing. XPO (NYSE: XPO) hopes to use the deal to improve operating profit by up to $210 million in two years. It ran a $63.6 million net loss on $2.3 billion in 2014 revenue. Wall Street hasn’t expressed much concern. One analyst attributes that to
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XPO being in acquisition mode. “It takes time to let them come together to realize cost savings,” said Satish Jindel, president and lead analyst at Sewickley, Pa.-based SJ Consulting Group Inc.
Jacobs said XPO had $585 million in EDITDA, its measure of financial success, in the past 12 months. He said the addition of Con-way will boost that to $1.1 billion.
Other deals XPO’s other acquisitions also have been eye-popping: Last year, it paid $335 million for Dublin, Ohiobased Pacer International Inc. , the third-largest intermodal logistics firm in North America. A year ago, it bought High Point, N.C.-based logistics firm New Breed Holding Co. for $615 million. XPO bought French logistics giant Norbert Dentressangle SA for $3.53 billion in April — it offers LTL services in Europe. Then Jacobs launched talks in early summer to acquire Con-way. He had tried to buy its logistics arm two years ago. The recent acquisitions are fueled, in part, by a $700 million equity investment in XPO in September 2014 by the Toronto-based Ontario Teachers’ Pension Plan , Ottawabased Public Sector Pension Invest ment Board , and Singapore-based GIC Private Ltd. The deal gives them a 21 percent stake in the company, the Wall Street Journal reported, and leaves Jacobs’ Jacobs Private Equity LLC with a 24 percent share. XPO used New York City-based J.P. Morgan Chase and Morgan Stanley as financial advisers on the Con-way deal, while Wachtell, Lipton, Rosen & Katz was legal adviser. Morgan Stanley is providing up to $2 billion in financing, and XPO said it has $1.2 billion in cash and a $415 million credit facility available. New York City-based Citigroup Inc. was Con-way’s financial adviser, and Chicago-based Sidley Austin LLP was legal adviser.
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Con-way traces its roots to the 1929 founding of Portland, Ore.based Consolidated Truck Lines. After acquisitions and name changes, it took its current name in 2006. XPO was created in 2011 after Jacobs invested $150 million in a Michigan third-party logistics services firm, St. Joseph-based Express-1 Expedited Solutions Inc., with the intent of using it as the foundation of a much larger shipping company. A few months later, Jacobs bought Express-1 and began targeting other acquisitions. Jacobs built his fortune through oil trading in the 1980s, and later by creating Connecticut-based United Waste Systems Inc. in 1989. After acquiring more than 200 trash businesses, he sold United in 1997 for $1.7 billion to what is now Houstonbased Waste Management Inc. He used that money to co-found industrial equipment rental firm United Rentals Inc. in 1997, and employed the same strategy of expanding via acquisitions. 䡲 Bill Shea: (313) 446-1626 Twitter: @Bill_Shea19
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Tierney said the gift “was a direct consequence” of last year’s Detroit Homecoming, which brought successful Detroit-area natives back to the city and drummed up more than $230 million in pending direct investment through 30 initiatives. “The abundance of value created for my family and the people around me, from my point of view, started at Wayne State University and in Detroit,” Tierney said. “To some degree, there’s guilt for my success, and I could not go forward in my life without paying off the debt owed to the university, so that guilt goes away.” Detroit Homecoming was created to re-engage the expats, many of whom grew up in the city or Detroit suburbs, with their hometown through philanthropy, real estate investment or other tangible contributions. “It has been remarkable to see how anxious our guests have been to re-engage with Detroit,” said Mary Kramer, Crain’s publisher and co-director of the Homecoming. “We are tracking outcomes, and they range from expats bringing business meetings to Detroit, to larger commercial investments, to a major capital raise in the works to create a $200 million real estate investment fund to develop multifamily housing.” A sampling of quantifiable investments: 䡲 The opening of Will Leather Goods in Midtown this month. The deal came together after William Adler, founder and CEO of the Oregon-based purveyor and a native of northwest Detroit, attended the event. 䡲 A pledge of $10 million to the newly launched Detroit Children’s Fund by Adam Levinson, chief investment officer of Fortress Investment Group ’s $2.9 billion Fortress Asia Macro Fund. 䡲 The renovation of the Ransom Gillis mansion in Detroit’s Brush Park by Nicole Curtis, a metro Detroit native, 2014 Homecoming speaker and host of HGTV’s “Rehab Addict.” The rehab will be featured in an eight-part series premiering on the network in November in collaboration with Detroit-based Quicken Loans Inc. 䡲 Capri Capital, a Chicago-based real estate management company with ties to Detroit, launched a $200 million capital raise to develop multifamily real estate downtown. Quintin Primo III, co-founder, chairman and CEO of affiliated Capri In vestment Group , is a graduate of Cass Technical High School . Gwendolyn Butler, vice chairwoman and chief marketing officer, is a graduate of Mumford High School. 䡲 Rheal Capital Management signed on as co-developer of 150 Brewster Wheeler apartments in Brush Park. The investment is part of a $50 million project that will include restaurant, retail and meeting space in addition to the apartments. (See story, Page 32.) 䡲 Seattle-based Code Fellows
31
‘Imported from Detroit’ was important to an author Chrysler’s tagline, “Imported from Detroit,” became immortal when Eminem prowled the streets of Detroit in a Chrysler 200, while a tough-sounding voice-over challenged the viewer: “What does this city know about luxury? What does a town that’s been to hell and back know about the finer things in life? ... When it comes to luxury, it’s as much about where it’s from as who it’s for.” Pulitzer Prize-winning author David Maraniss was watching that commercial, David Maraniss: first broadcast during the Inspired by Chrysler 2011 Super Bowl, and it inTV commercial. spired him to take another look at his hometown. The result is Once in a Great City: A Detroit Story (Simon & Schuster). Maraniss will be a featured speaker this week at the invitation-only 2015 Detroit Homecoming. (See story, Page 1.) Ironically, Maraniss discovered in his research that another car company almost took the “imported from Detroit” mantle — in 1964. In the early days of product planning for the debut of the then-unnamed Ford Mustang at the World’s Fair in 1964, a working name for
LLC, which provides tiered instruction on code writing, plans to open a Detroit location to help meet local demand for Web and mobile developers. 䡲 The Wendy Hilliard Gymnastics Foundation plans to open a recreation center in Detroit. Hilliard, the first African-American to represent the U.S. national gymnastics team and a native of Detroit, said gymnastics programs will begin in the fall of 2016. The foundation is working to secure space in the city. 䡲 At least seven Detroit Homecoming attendees have moved back to the city or purchased a home there. This year, Homecoming host committee members urged that the event adopt a theme: The power of professional sports. Host committee members include former Detroit Mayor Dave Bing; Christopher Ilitch, CEO of Ilitch Holdings; Tonya Allen, CEO of the Skillman Foundation ; Mary Barra, CEO of General Motors Co.; and others. The opening dinner will include on-stage interviews by ESPN host Mike Tirico, chatting with Detroit sports legends among a crowd of “expats,” hosts, and business and civic leaders. “Sports are so important to this city,” said Jim Hayes, co-director of Detroit Homecoming and retired publisher of Fortune magazine. “So much of (the expats’) emotional connection to Detroit centers around these teams and allows us to provide some excitement for those attending.” Among new agenda items this year are a business pitch competition for expats wanting to bring an enterprise to Detroit, a CrowdRise fundraising effort for metro Detroit charities and a digital idea-genera-
Book signing, luncheon David Maraniss, author of Once in a Great City: A Detroit Story, will appear at several upcoming local events:
䡲 The Detroit Historical Museum at 11 a.m. Saturday will host a moderated discussion with Maraniss about the book. A book-signing session will follow at noon.
䡲 Maraniss will appear at the Metro Detroit Book and Author Society’s luncheon at 11 a.m. Oct. 19 at Burton Manor in Livonia. The cost is $40. More information is available at bookandauthor.info.
䡲 Maraniss will speak at the annual book fair at the Jewish Community Center of Metro Detroit in West Bloomfield Township at 6 p.m. Nov. 11. Cost is $15. More information is at www.jccdet.org.
the car was Torino. The creative team of the ad agency J. Walter Thompson suggested using a campaign that described it as a “brand new import … from Detroit … inspired by Italy’s great road cars, but straight from Detroit.” The idea was nixed and Torino dropped, Maraniss writes, because Henry Ford II was in the midst of a divorce, and the gossip columns paired him with an Italian divorcee, Christina Vettore Austin (whom he later married). The
tion effort to tap expat expertise in solving city “challenges” Mayor Mike Duggan has identified. Besides Duggan, speakers on this year’s schedule include Gov. Rick Snyder; Dan Gilbert, founder and chairman of Quicken Loans and Rock Ventures LLC; David Maraniss, Detroit native and author of Once in a Great City: A Detroit Story; and Mark Reuss, GM’s executive vice president of global product development, purchasing and supply chain. Other big names on the agenda come from a range of industries: Tim Westergren, founder, Pandora Media Inc.; Kevin Plank, CEO and founder of Under Armour; Brad Keywell and Eric Lefkosky, founders, Groupon Inc.; and Roger Penske, founder and chairman, Penske Corp. Detroit native Stephen Ross, CEO of the real estate development firm The Related Cos. and owner of the Miami Dolphins of the National Football League , will address attendees via video to announce a new national initiative. Michael Bolton, best known as a singer and songwriter, will speak about his new documentary, “Gotta Keep Dreaming: The 21st Century Renaissance of Detroit.” Among the confirmed attendees: retired National Basketball Association player and Detroit Country Day alumnus Shane Battier; ABC journalist Bob Woodruff; real estate developer Peter Cummings; Butler (of Capri Capital); Christopher Keogh, chairman of GoldmanSachs Midwest; Deborah Chase Hopkins, chief innovation officer at Citi and CEO of Citi Ventures; and country musician Josh Gracin. Tours oriented around the city’s art and design heritage, technology, sports and entrepreneurship stories are also planned for attendees.
connection to all things Italian could lead to “bad publicity” and gossip. So goodbye, Torino (for now), and hello, Mustang! Maraniss is one of the speakers at the Detroit Homecoming, an event that draws former Detroiters home for a immersion in the city. The author lived in Detroit until age 7, when he moved with his parents to Wisconsin. Maraniss told Crain’s he “wanted to write a book that honored what Detroit has given America: Motown, cars, labor, civil rights and the middle class. Those are the five threads of the book” that came to focus on 18 months in Detroit, from fall 1962 to spring 1964. In that period, he found “the shadow” of Detroit’s eventual collapse, including a sociologist at Wayne State University who predicted the city would lose half a million residents every decade unless structural changes were made. In writing about the auto industry, he focused on the debut of the Mustang at the height of domestic auto sales. He found a largely untapped advertising archive at Duke University that included the J. Walter Thompson files about the Mustang. 䡲 A podcast of Publisher Mary Kramer’s conversation with Maraniss can be found at crainsdetroit.com/maraniss.
Detroit Homecoming receptions were held throughout the summer in New York City, San Francisco and Washington, D.C.,
with more than 150 prominent expats attending. 䡲 Dustin Walsh: (313) 446-6042 Twitter: @dustinpwalsh
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Developers aim to rejuvenate city sites Among targeted projects: Rec center, Brush Park By Kirk Pinho kpinho@crain.com
The gym where Joe Louis trained. Part of an historic neighborhood that has fallen into decay. The area where Ty Cobb and Al Kaline once stood at home plate. Even the site of a notorious public housing project. All of those sites, and perhaps more, are inching toward new life this year as the Detroit City Council is expected to consider approving development agreements before 2015 comes to an end. And as those sites come under control of developers for new projects, that’s fewer options for prime city-owned properties in and around downtown for developers to salivate over, said George Jackson, the former president and CEO of the Detroit Economic Growth Corp. , who last year founded Ventra LLC, a consulting and development company in Detroit. “On the riverfront and downtown, (the number of quality developable sites owned by the city) is shrinking and you’ll have to go more to the privately owned ones,” he said. At least $234 million in development and redevelopment has been formally identified for a half-dozen or so projects since the city issued requests for proposal for the sites. Those are just the ones that have been publicly announced. For example, just outside the central business district sits the De troit Housing Commission-owned site that used to house the Brewster Douglass housing projects, demolition of which finished last year. An RFP for development of the 18-acre site could be issued by the end of the year, said John Roach, Mayor Mike Duggan’s spokesman. Development experts say the site is primed for new construction, particularly when coupled with what’s planned immediately west
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“They are real estate at the epicenter of Detroit’s recovery,” said Jeffrey Schostak, vice president and director of development for Livonia-based Schostak Bros. & Co. “Hudson’s and Monroe are clearly the best two sites.” he said. That’s because of their prominent locations and size that can accommodate large development projects in thriving areas downtown. Far less lodged in Detroit lore than the Hudson’s site but no less desirable, the Monroe Block was floated as the planned site for a new $111 million Meridian Health headquarters. That would have been the first new downtown office building construction in nearly a decade, but it was scrapped in 2014. Meridian instead chose to enter a 50-50 joint venture with Gilbert’s
as space for other uses such as retail, hospitality, restaurants, an incubator kitchen and educational uses. The site, outside the hot development spots in greater downtown, is not daunting to Castellano. “In New York City, I was doing residential projects on one of the most crime-ridden corners of the city, and the units sold out in a week,” he said.
and north at the Brewster Wheeler Recreation Center , off I-75 south of Wilkins Street, and in Brush Park , where an 8.4-acre mixed-use development is underway. What follows is a look at the status of the city’s RFPs and other sites controlled by the city or its various economic development agencies:
Brewster Wheeler Recreation Center Announced in April, the $50 million redevelopment of the recreation center where Joe Louis once trained is expected to include a new restaurant and meeting space, 100 to 150 residential units, and an acre of green space on 6.2 acres. The council is expected to approve a development agreement this fall, Roach said. The development team includes KC Crain, executive vice president/director of corporate operations for Crain Communications Inc. , parent company of Crain’s Detroit Business; restaurateur Curt Catallo; Livonia-based Schostak Bros. & Co.; and John Rhea, a Detroit native who is managing partner of Rheal Capital Management LLC. Crain, also group publisher of several Crain publications, co-owns the Vinsetta Garage restaurant in Berkley with Catallo. Catallo also is owner of the Clarkston Union and Union Woodshop restaurants in Clarkston. The recreation center is expected to house the restaurant and anchor the redevelopment. Land on the southern half of the property would be redeveloped into new housing and commercial space. The development would also include a kitchen incubator, a culinary arts studio, catering space, community and meeting space, and outdoor event space. The building is 52,000 square
Bedrock Real Estate Services LLC to purchase the 1.1 million-squarefoot former Compuware Corp. headquarters building on Campus Martius and an attached 3,000-space parking deck for $142 million last year. Meridian is taking up to 330,000 square feet in that building. Gilbert, through his Rosko Devel opment Co. LLC , which is registered to one of his closest confidants, has development rights for both the Monroe Block and the Hudson’s site with the Downtown Development Au thority, which owns both properties, according to Brian Holdwick, executive vice president of business development for the Detroit Economic Growth Corp., which staffs the DDA. Holdwick said Rosko has not yet submitted a development plan for the Monroe Block site. When Meridian approached the DEGC about housing a new 16-story, 320,000-square-foot headquarters
Former Tiger Stadium site LARRY PEPLIN
A redevelopment of Brush Park expected to be approved by the Detroit City Council by the end of the year would include apartments and townhomes, plus retail space. feet. Construction on the project is expected to be complete in 2017.
Brush Park Situated on two parcels totaling 8.4 acres, the planned $70 million Brush Park redevelopment is expected to be approved by City Council by the end of the year. Planned to include more than 330 apartments, townhomes and flats for sale and rent, plus 8,000 to 10,000 square feet of retail space, the Brush Park Development Co. project is expected to be complete in 2017. Brush Park Development includes Dan Gilbert’s Bedrock Real Estate Services LLC ; Marvin Beatty, chief community officer for Greek town Casino-Hotel and an investor in the planned $160 million redevelopment of the former Michigan State Fairgrounds site; Sam Thomas, president of Benton Harbor-based Star Development Co.; Darrell Burks, former senior partner of Pricewater house Coopers LLP and a member of the Detroit Financial Review Commis sion; former Detroit mayoral candidate Freman Hendrix, also president and CEO of Detroit-based
lutions; and Pamela Rodgers, owner and president of Rodgers Chevrolet and a member of the Detroit River Front Conservancy board. The redevelopment also includes renovations to the historic Ransom Gillis mansion at 205 Alfred St. and three others in the area. The Ransom Gillis renovation is being done by HGTV ’s Nicole Curtis, a Detroitarea native.
Herman Kiefer Health Complex
Advanced Security & Investigative So -
A New York City developer is in the process of receiving City Council approval for the transfer of 38 acres and buildings totaling 750,000 square feet to Herman Kiefer Development LLC , which plans to spend more than $70 million over the next eight years redeveloping the former hospital site off Taylor Street west of the Lodge Freeway. Ron Castellano, principal of both Herman Kiefer Development and New York City-based architecture firm Studio Castellano, said none of the buildings on the site will be demolished as part of the project, which would include an unknown number of multifamily units as well
on the site, Rosko’s development rights were suspended until the new development plans collapsed last year, according to Holdwick. Then the rights reverted back to Rosko, which has to submit a development plan next year. Carolyn Artman, senior public relations manager for Rock Ventures, said that while there is “nothing to report on the Monroe block at this time … there are several interesting ideas surfacing.” While specific plans for the Hudson’s site have not yet been announced, New York City-based Shop Architects PC and Detroit-based Hamilton Anderson Associates are the architecture firms working on the 2acre site’s design. Last spring after the release of a conceptual rendering of the site, Gilbert said in a statement that although the plans are evolving, it is expected to become the site of “an
iconic building that will have some ties to Detroit’s past, but more importantly, represent Detroit’s rebirth into a creative and high-tech future.” That’s evident in the rendering, released in March, which shows a modern swooped building, unlike anything nearby, on the east side of Woodward looking north. Constructed as an eight-story building in 1891, the Hudson’s building was a shopping destination for millions for nearly a century. It expanded to 25 stories and 2.2 million square feet before closing in 1983. It was imploded in 1998. Also included in the incentive package luring Quicken downtown were nearly $50 million in Michigan Economic Growth Authority tax credits and a $2 million annual parking subsidy from the city for 20 years. Crain’s reported at the time that Quicken was to lease space through 2015, but in 2013 begin construc-
A $44 million mixed-use development is planned for the site informally known as “The Corner” at Michigan Avenue and Trumbull Street. It is expected to include at least 126 new housing units and 30,000 square feet of retail space, plus a new headquarters building for the Detroit Police Athletic League. The baseball diamond will be maintained. Eric Larson, founder and president of Bloomfield Hills-based Lar son Realty Group LLC , the developer behind the project, said construction is expected to begin next year. “The process of finalizing the development agreement and coordination with the city has taken a little longer than everyone anticipated, but now it’s moving forward,” said Larson, who is also CEO of the Downtown Detroit Partnership.
South District Recreation Department building The city is finalizing terms of a deal to redevelop the former South District Recreation Department Build ing into a future “deconstruction
hub,” where materials from demolished homes are offered for sale or reuse, Roach said. The building is 38,000 square feet on Piquette Avenue between John R and Brush streets in Midtown. The chosen developer has not yet been disclosed. 䡲
tion on a new headquarters building in the immediate area surrounding the Compuware building. The third site to which Gilbert received development rights is now the Z Lot development, which has 33,000 square feet of retail space and a 1,300-space parking garage on Broadway Street between Gratiot and Grand River avenues. The Michigan Department of Li censing and Regulatory Affairs lists Howard Luckoff, a partner and real estate attorney in the Bloomfield Hills office of Honigman Miller Schwartz and Cohn LLP, as Rosko Development’s registered agent. He is one of Gilbert’s closest friends dating back to childhood in Southfield. Bedrock owns more than 80 properties throughout greater downtown, according to Quicken. 䡲 Kirk Pinho: (313) 446-0412 Twitter: @kirkpinhoCDB
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Amazon to open tech hub in Detroit Crain’s Detroit Business Amazon.com plans to announce Monday that it is opening a corporate office and technology hub in Detroit. The company already has about 100 full-time employees in its offices at 150 W. Jefferson Ave. and plans to expand its leased office space further in early 2016. More details are to be announced at a Monday morning press conference at Cobo Center. “We are expanding to multiple floors in our current building to accommodate the goals for our presence in Michigan and hiring plans to bring the great local talent to Amazon,” Peter Faricy, vice president for Amazon Marketplace, said in an emailed statement to Crain’s Friday. Faricy, a Detroit native, said the company has a long-term plan to expand in the state and bring more high-tech jobs to the city, adding
LEAR FROM PAGE 3
ployees on fabric, leather and sewing projects for car seating and interiors, plus some nonautomotive uses; and to Wayne State University students working on electrical distribution sys-
that Michigan is “a rapidly growing technology corridor.” Amazon Marketplace is the e-commerce giant’s service that lets third parties sell items on Amazon’s own website. Paul Choukourian, managing director of the Southfield office of Colliers International Inc., said Amazon, as a Fortune 50 company, making a commitment to downtown Detroit is “another excellent indicator.” “Any time you see another big company like that take a big presence or expand downtown, it’s going to continue to snowball into more activity,” Choukourian said. “It’s tremendous news.” The Detroit office already houses multiple Amazon (Nasdaq: AMZN) employees and business teams in software development, engineering and advertising sales. In addition to the corporate expansion, Amazon is announcing formalized support to Michigan and
Detroit’s STEM education efforts. For example, Amazon is donating $10,000 and 30 Amazon Fire tablets to the Carver STEM Academy program at Detroit Public Schools. The Carver STEM Academy offers students in pre-kindergarten through eighth grade a curriculum rich in science, technology, engineering, mathematics and the arts. The presidents of Michigan State University, University of Michigan and Wayne State University , along with Gov. Rick Snyder and Detroit Mayor Mike Duggan, are expected to be on hand for the announcement. “Amazon coming to Detroit complements Michigan State’s focus on preparing tomorrow’s leaders to support the community, the state and the world,” said Lou Anna Simon, MSU president. For several years, Faricy said, Amazon has had a significant recruiting and internship relationship
tems and capabilities, including connected cars and alternative energy, Matt Simoncini, president and CEO of Lear, said in a statement. “We plan to leverage the rapidly developing infrastructure in the central business district as well as the concentration of arts, science and technology
assets in the Capitol Park area to take our seating and electrical businesses to the next level,” he said. Gilbert, the founder and chairman of Quicken Loans Inc. and Rock Ventures LLC, called Lear’s effort a “cool, unique initiative where brilliant ideas will be developed, nurtured and brought to life,” in a statement. Bunia Parker, principal of Detroit-based Summit Commercial LLC, said the deal “indicates that the city is steadily growing and that large companies are seeing the benefit of moving into the city. I’m glad to see that trend continue.” Stephens declined to disclose a build-out cost. He said employees are expected to start working in the building next year. This is the second downtown office building purchase for Lear in 2015. In July, the 98-year-old company purchased the Hemmeter Building at 1465 Centre St. for $5.975 million, or $119.50 per square foot, for the 50,000-square-foot building built in 1911. Stephens said after the purchase that the building is expected to be used as a satellite office that will likely house an as-of-yet unknown number of administrative personnel. Bedrock purchased the State Street building and the 10,000square-foot building at 45 W. Grand River Ave. from Detroit real estate in-
with universities in Michigan. At the end of their internships at Amazon, students present their work to Amazon executives and leadership while receiving curriculum credit. “We are incorporating education into our unveiling event because Amazon believes in hiring the best talent, and that starts with education,” Faricy said. Said Snyder in a statement: “Amazon plans a commitment to developing talent, investing in high-tech jobs and keeping that talent in-state.” Amazon said job postings for Detroit will be at amazon.com/careers. The online retailer, founded in 1995, has a number of businesses, from its original online shopping site to the Amazon Prime Video streaming service to its Amazon Web Services unit that provides cloud computing power to businesses and other organizations. 䡲
CRAIN’S DETROIT BUSINESS www.crainsdetroit.com Editor-in-Chief Keith E. Crain Group Publisher Mary Kramer, (313) 446-0399 or mkramer@crain.com Associate Publisher Marla Wise, (313) 446-6032 or mwise@crain.com Editor Jennette Smith, (313) 446-1622 or jhsmith@crain.com Executive Editor Cindy Goodaker, (313) 446-0460 or cgoodaker@crain.com Director, Digital Strategy Nancy Hanus, (313) 446-1621 or nhanus@crain.com Managing Editor Michael Lee, (313) 446-1630 or malee@crain.com Managing Editor/Custom and Special Projects Daniel Duggan, (313) 446-0414 or dduggan@crain.com Assistant Managing Editor Kristin Bull, (313) 446-1608 or kbull@crain.com Senior Editor Bob Allen, (313) 446-0344 or ballen@crain.com Senior Editor Gary Piatek, (313) 446-0357 or gpiatek@crain.com Research and Data Editor Sonya Hill,(313) 446-0402 orshill@crain.com Web Producer Norman Witte III, (313) 446-6059 or nwitte@crain.com Editorial Support (313) 446-0419; YahNica Crawford, (313) 446-0329 Newsroom (313) 446-0329, FAX (313) 446-1687 , TIP LINE (313) 446-6766
REPORTERS Jay Greene, senior reporter Covers health care, insurance, energy, utilities and the environment. (313) 446-0325 or jgreene@crain.com Chad Halcom Covers litigation and the defense industry. (313) 446-6796 or chalcom@crain.com Tom Henderson Covers banking, finance, technology and biotechnology. (313) 446-0337 or thenderson@crain.com Kirk Pinho Covers real estate, higher education, Oakland and Macomb counties. (313) 446-0412 or kpinho@crain.com Bill Shea, enterprise editor Covers media, advertising and marketing, the business of sports, and transportation. (313) 446-1626 or bshea@crain.com Lindsay VanHulle, Lansing reporter. (517) 6572204 or lvanhulle@crain.com Dustin Walsh Covers the business of law, auto suppliers, manufacturing and steel. (313) 446-6042 or dwalsh@crain.com Sherri Welch, senior reporter Covers nonprofits, services, retail and hospitality. (313) 446-1694 or swelch@crain.com ADVERTISING
vestor Dennis Kefallinos in April 2014 for an undisclosed price. Lear also bought the Hemmeter Building from Kefallinos. Stephens said Lear determined it would need about 50,000 square feet downtown, but the vacant State Street building was too small, which is why it bought the Hemmeter. Other properties Gilbert owns in Capitol Park are 28 W. Grand River Ave.; the Clark Lofts building at 35 W. Grand River; the David Stott Building at 1150 Griswold St.; and 1215, 1250, 1416 and 1265 Griswold. Detroit-based Toole Contracting Group is the general contractor on the State Street project, while Southfieldbased Neumann/Smith Architecture is the project architect, Stephens said. 䡲 KirkPinho: (313) 446-0412 Twitter: @kirkpinhoCDB
INDEX TO COMPANIES These companies have significant mention in this week’s Crain’s Detroit Business: 33 Amazon.com ..........................................................3 American Axle Manufacturing & Holdings ......114 22 Annie Mac Financial ..............................................2 Aubrey Lee Jr., Readus and Plowden Group ..119, 21 4 BBMK ..........................................................................4 3 Bedrock Real Estate Services................................3 4 Blue Team Restoration ..........................................4 32 Brush Park Development ....................................3 Chase Bank ..............................................................110 Comerica Bank ..........................................110, 20, 21 3 Con-way ....................................................................3 Detroit Homecoming ..............................................11 Detroit Institute of Arts ........................................115 5 Fanuc America..........................................................5 Fifth Third Bank ................................................119, 21 FirstMerit Michigan ................................................111 Gregory J. Schwartz & Co...............................119, 22 3 Henry Ford Health System ....................................3
33
20, 21 KeyBank ............................................................2 3 Lear..............................................................................3 LJPR......................................................................119, 21 20, 22 Loomis Sayles ..................................................2 20, 21 Managed Asset Portfolios ............................2 32 Meridian Health......................................................3 Merrill Lynch ................................................119, 20, 21 20, 22 Plante Moran Financial Advisors ................2 22 PNC Bank ................................................................2 5 Prism Plastics ..........................................................5 Quicken Loans ..........................................................11 20, 22 Robinson Capital ............................................2 5 Robotics Industries Association ..........................5 Rock Ventures............................................................11 32 Rosko Development..............................................3 32 Schostak Bros.........................................................3 22 Telemus Capital......................................................2 20, 22 Vanerian Group................................................2
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WEEK
ON THE WEB SEPT. 19-25
Dick’s Sporting Detroit Digits Goods crosses $350 street in Troy
A numbers-focused look at last week’s headlines:
ick’s Sporting Goods Inc. in Troy is moving this week across the street, from Oakland Square shopping center on John R Road north of 14 Mile Road into 50,000 square feet of space at Oakland Mall on the west side of John R. Both properties are managed by Chicago-based Urban Retail Properties LLC. A grand opening is planned for Saturday.
D
COMPANY NEWS Detroit-based advertising firm Campbell Ewald said it has been named agency of record for Dallas online travel agency Travelocity. Terms were not disclosed. Nike Inc. submitted plans to the U.S. Green Building Council for Leadership in Energy and Environmental Design, or LEED, certification at 1261 Woodward Ave. in Detroit, intensifying talk that the Oregon-based sneaker and athletic wear company was planning a Nike Community Store there. Brooklyn, N.Y.-based HM Ventures Group 6 LLC, developer of a $22.3 million boutique hotel in downtown Detroit, received $3.5 million from the Michigan Strategic Fund. The company is working in conjunction with Brooklyn-based real estate developer Ash NYC, which bought the Wurlitzer Building for $1.4 million in May. They hope to have the hotel finished by 2017. AT&T Inc. announced plans to open 18 shops in Best Buy stores in Michigan, including locations in Ann Arbor, Auburn Hills, Madison Heights, Novi, Rochester Hills, Roseville, Taylor, Utica and Westland, by year’s end. Detroit-based craft brewer Atwater Brewing Co. announced it will open a 6,000-square-foot biergarten and taproom in downtown Grand Rapids. Flint-based Lutheran Homes of Michigan Inc., dba Wellspring Lutheran Services, plans to issue up to $20 million in bonds to help it buy Livonia Woods Nursing and Rehabilitation Center in Livonia from Brighton-based NexCare Health Systems. Owners of the Detroit City Football Club will seek bank loans and direct fan investment to raise between $750,000 and $1 million to renovate Hamtramck’s Keyworth Stadium as the semi-pro soccer team’s home next year. The Hamtramck School Board signed off on a multiyear deal that allows DCFC to lease the school system-owned stadium for events. Belleville auto supplier Neapco Drivelines LLC plans a $57.7
The annual cost for a Founding Platinum Membership at the new Emagine Palladium in downtown Birmingham. The membership provides $5 off tickets Thursday through Sunday, preferred seating and other perks. The 31,000square-foot theater on 250 N. Woodward Ave. is to open Oct. 2.
$18.6M The investment total for an expansion of garment maker Carhartt Inc.’s Dearborn headquarters. The 70,000-squarefoot addition is expected to add 215 jobs to the company’s statewide total of 462.
10,000
The number of seasonal hires national retailers are expected to make in Michigan this holiday season. Macy’s Inc., UPS, WalMart Stores Inc., Toys R Us and Kohl’s Corp. collectively are looking to hire for the positions.
million expansion that will keep it from moving some work to Mexico. All Pro Nissan, a newly opened Dearborn dealership, was a “key driver” in a 27.3 percent sales increase for the Southeast Michigan market after its first full month, Nissan Motor Co. Ltd. said. Windsor-based auto supplier Valiant International is expanding in Auburn Hills with the acquisition of a 187,000-squarefoot manufacturing plant. Hamtramck artisan chocolate maker Bon Bon Bon LLC was nominated for a 2015 Martha Stewart American Made Award, for a chance to win $10,000 in the annual competition. Voting is at marthastewart.com; winners will be announced Oct. 23.
OTHER NEWS The estate of former Detroit Pistons owner Bill Davidson sued Deloitte Tax LLP to recover $500 million in taxes, fees and penalties from the adviser after the estate was issued a $2.7 billion tax bill from the Internal Revenue Service. Oakland Community College is offering $1.5 million in training for up to 693 new employees of seven Oakland County businesses, with the college being reimbursed under the Michigan New Jobs Training Program. The National Institutes of Health is giving a five-year, $5.76 million grant to Wayne State University doctors and others for research on diagnosing infants with serious infections. The University of Detroit Mercy
dental school’s new mobile dental coach hit the road to provide oral health care and education to local schoolchildren. Robert Dye, senior vice president and chief economist for Comerica Bank, will be honored next month with the Lawrence R. Klein Award, sponRobert Dye sored by the W.P. Carey School of Business at Arizona State University, for having the most ac-
curate economic forecasts in the U.S. from 2011-14. Marilyn Nix, owner of Bloomfield Hills-based real estate consulting company Marilyn P. Nix & Associates, won the first CREW Detroit Woman of Impact Award. Detroit-based Walbridge Aldinger Co. and Troy-based Kirco Development LLC were also honored at the annual Commercial Real Estate Women Detroit Impact Awards luncheon. For the second year in a row, American Banker magazine named Sandy Pierce, chairman and CEO of Southfield-based FirstMerit Michigan and vice chair of Akron, Ohio-based parent FirstMerit Corp., as one of the 25 most powerful women in banking. Jim Vella, president of the Ford Motor Co. Fund and Community Services, was elected chairman of the Detroit Economic Growth Corp. and the Detroit Economic Growth Association boards of directors. The Metro Museum of Design Detroit, to highlight design indus-
try people and products, was to launch during the Detroit Design Festival’s closing party last weekend. The Wayne County Airport Authority wasn’t penalized for the county’s mounting financial distress as it sold $522 million of bonds to refinance debt and fund capital projects, Bloomberg reported. Jeff Beasley, Detroit’s former treasurer, was sentenced to 11 years in prison for extortion and bribery in a case related to corruption under then-Mayor Kwame Kilpatrick, AP reported. Lawmakers hinted at revising how Michigan contains the cost of college tuition after leaders at Eastern Michigan University and Oakland University went before House and Senate panels to defend their respective 7.8 percent and 8.5 percent tuition and fee increases instituted over the summer, AP reported.
RUMBLINGS Will Feds have to pay fees in Juggalo suit? loomfield Hills-based Hertz Schram PC wants a judge to award legal fees against the U.S. Department of Justice, in a dispute over labeling fans of Insane Clown Posse as a gang. The law firm brought a Freedom of Information Act lawsuit three years ago for records that the FBI had used in identifying the hip-hop act’s fans — also known as “Juggalos” — as a “loosely organized hybrid gang” in its 2011 National Gang Threat Assessment Emerging Trends Report. Howard Hertz, vice president of the firm, said the records request contributed heavily to a separate 2014 lawsuit against Justice on behalf of the musicians and several fans. That case was dismissed last year, but reinstated earlier this month by a federal appeals court. The firm sought about $18,300 in fees in the original case last year and has since asked for more as the dispute continues. “They eventually did comply with our FOI request, because they had to,” Hertz said. “Our position was they were ignoring us, and delayed for months, and it was only after we went to the courts that they complied.” A court magistrate has recommended the fee request be denied, but the firm wants U.S. District Judge Mark Goldsmith to reject that.
B
Mancini in June said he wouldn’t speak further on the matter until he was sure of an opening date. And he didn’t return calls Friday. So, stay tuned as this story bakes.
Gorman’s reopens threeday clearance center Gorman’s Furniture will reopen its new clearance center in late October next to its Farmington Hills warehouse, after an inaugural twoday clearance over the weekend. The center was part of the company’s annual fall warehouse sale Saturday and Sunday, but will be restocking a few more weeks before another soft opening. A full grand opening is planned in January.
More flight time for A-10? The A-10 combat jets at Macomb County’s Selfridge Air National Guard Base and elsewhere may be staying a while if a new contract inquiry is any indicator. The U.S. Air Force issued a request for information for wing assemblies on A-10s. That’s not the same as a bid solicitation, but it is a positive sign for the possible shelf life of that flying fleet. The Air Force expects to furnish more detailed information about the request soon.
Hispanic Chamber honors biz
Italian eatery still baking
The U.S. Hispanic Chamber of Commerce has honored several compa-
Visitors to Eastern Market have wondered for years: What’s up with the restaurant space next door to Supino Pizzeria? Supino owner Dave Mancini isn’t saying much so far. Mancini told Crain’s last year of his plans to open an Italian restaurant called La Rondinella in the space formerly occupied by Taste of Ethiopia, which closed in mid-2012. Originally he’d hoped for a late summer 2015 opening; by November, he was expecting cost overruns would push it back to next January. But Thursday night visitors to “Eastern Market After Dark” neighborhood event saw its lights on and people seated at tables. So has its time come?
nies in Michigan for awarding contracts to Hispanic-owned businesses. The Michigan Hispanic Chamber of Commerce member honorees last week were: Ford Motor Co., Enterprise Holdings and Toyota Motor North America, in the $1 billion or more category; General Motors Co., in the $250 million-$500 million category; Lear Corp., Delphi Corp. and Bank of America, in the $100 million-$250 million category; and MGM Resorts International and Honda North Ameri ca, in the $25 million-$50 million category. The national chamber also named the Michigan Hispanic Chamber its “Chamber of the Year” for the small chamber category.
La Rondinella may have had its lights on briefly last week, but its owner has stayed quiet about an official opening date for the Italian restaurant in Eastern Market.
OBITUARIES Edward Thomas, former president and CEO of Detroit Receiving Hospital and a longtime executive in the Detroit Medical Center health system, died Sept. 19. He was 80.
NATALIE BRODA
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Can Michigan provide consumers and employers the data needed to make smart decisions in health care? A growing number of Michigan’s health insurers, hospitals and consulting firms are already doing it. Attend the debate led by keynote speaker Leah Binder, CEO of The Leapfrog Group, a national nonprofit based in Washington, DC, representing employers and other purchasers of health care calling for improved safety and quality in hospitals. Michigan’s “F” grade came from the Report Card for State Price Transparency Laws issued by Catalysts for Payment Reform and the Health Care incentives Improvement Institute. Find out why the score was so low.
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